Q4

a) Discuss the process of HRP forecasts using workload analysis method

Work-Study Technique: This technique is also known as 'work-load analysis'. This
technique is suitable where the estimated work-load is easily measureable. Under this
method, estimated total production and activities for a specific future period are predicted.
This information is translated into number of man-hours required to produce per units taking
into consideration the capability of the workforce. Past-experience of the management can
help in translating the work-loads into number of man-hours required. Thus, demand of
human resources is forecasted on the basis of estimated total production and contribution of
each employee in producing each unit items. The following example gives clear idea about
this technique.
Let us assume that the estimated production of an organisation is 3.00.000 units. The standard
man-hours required to produce each unit are 2 hours. The past experiences show that the
work ability of each employee in man-hours is 1500 hours per annum. The work-load and
demand of human resources can be calculated as under:

Estimated total annual production = 300000 units

Standard man-hours needed to produce each unit = 2 hrs
Estimated man-hours needed to meet estimated annual production (i x ii) = 600000
hrs
Work ability/contribution per employee in terms of man-hour = 1500 units
Estimated no. of workers needed (iii / iv) = 600000/1500 = 400 units

The above example clearly shows that 400 workers are needed for the year. Further,
absenteeism rate, rate of labour turnover, resignations, deaths, machine break-down, strikes,
power-failure etc. should also be taken into consideration while estimating future demand of
human resources/ manpower.

Q.7
a) "As an organization becomes more global, HRP becomes more important & complex"
Elucidate.
Well HRP becomes more important and Complex. See the Human Resource Planning and the
complexities of this system are the two sides of a coin and you need to understand the
concept of Human Resource Planning first.
What is this Human Resource Planning and how this function works bcz from the all function
of HR, planning is one of the important tool. This is the 1st step and the people are the most
important resource which is required to run any business or organization. Now this also very
important to understand the need of human resources on time so that neither my organisation

falls short of resources nor faces surplus. If organisation falls short of resources then will not
be able to deliver on time to client on the other hand if it has surplus resource then company
has to bear that cost which will affect organizations profitability.
There is another aspect also in this company also need to plan resources based on the skill
required to run the business. Otherwise they will have surplus in one area shortfall in other
area which will result to poor management. Hence until & unless you do correct resource
planning you will be able to manage human resources properly
Challenges at global level:
Creating a global mind-set within the HR group, creating practices that will be consistently
applied in different locations/offices while also maintaining the various local cultures and
practices, and communicating a consistent corporate culture across the entire organization
which are also becomes a tuff job for the HR Managers and a big challenge for this function.
Considering the HR function not as just an administrative service but as a strategic business
partner. Companies are involving the human resources department in developing and
implementing both business and people strategies. Creating a consistent corporate culture like
communicate to all locations about a common corporate culture, allow local cultures to
maintain their identity in the context of the corporate culture like
- Establish common systems (e.g., accounting, marketing, MIS).
- Provide management with education outlining how the company does business.
- Create an organizational mission with input from all locations.
- Create a written strategy outlining the corporate culture.
As the globalization settles, the HR emphasis would be on ideas and practices that might be
considered more widely include:
-initiatives connecting company and industry policies so that training implications are
considered as a matter of course
-initiatives which consider the implications for the company of the innovations they are
supporting , e.g. industry clusters
-initiatives incorporating collaboration across COUNTRY borders
-efficient use of the worldwide web to disseminate information and collect data
-initiatives which demonstrate learning from previous experience
-attention to resourcing issues
-initiatives which enable company staff to increase their expertise in new areas
-initiatives which build on established expertise in the company, and
-initiatives which seek to develop new specialisations in the company.
2. Technology-related skills
-Skills in identifying new applications of technologies
-Skills in developing new technologies, or advancing existing technologies
-Skills in identifying technological solutions to problems

3. Management skills
-Skills in identifying which innovation outcomes are appropriate for commercialisation
-Skills in knowing when and how to market a new product, tool or process (or other
innovation outcome) successfully
-Skills in securing intellectual property rights over innovation outcomes
-Skills in setting up efficient manufacturing processes for new products
-Skills in negotiating appropriate training provision with education and training providers

Q.2
c) What is Manpower Planning? What factors do you consider while forecasting, manpower
needs of an organization?

Ans. Manpower planning means planning means deciding the number and type of the human
resources required for each job, unit and the total company for a particular future date in
order to carry out organizational activities. Manpower planning may be viewed as foreseeing
the human resources requirement of an organization and the future supply of human
resources and (i) making necessary adjustments between these two and organizational plans
and (ii) foreseeing the possibility of developing the supply of manpower resources in order to
match it with the requirements by introducing necessary changes in the functions of human
resources management.

The important objectives of manpower in an organization are

to recruit and retain the manpower of required quality and quantity.
to foresee the employee turnover and make the arrangements for minimizing turnover and
filling up of consequent vacancies.
to meet the needs of the programmes of expansion, diversification etc.
to foresee the impact of technology on work, existing employees and future human resource
requirements.
to improve the standards, skill, knowledge, ability, discipline etc.
to assess the surplus or shortage of manpower and take measures accordingly.
to maintain congenial industrial relations by maintaining optimum level and structure of
human resources

to minimize the imbalances caused sue to non-availability of human resources of the right
kind, right number in right time and right place.
to make the best use of its human resources and
to estimate the cost of human resources.

Factors to be considered while forecasting, manpower needs of an organization.

Analysing the corporate and unit level strategies.

Demand Forecasting: Forecasting the overall human resources requirements in

accordance with the organisational plans.

Supply Forecasting: Obtaining the data and information about the present inventory of
manpower and forecast the future changes in the human resources inventory.

Estimating the net manpower requirement.

In case of future surplus than plan for redeployment.

In case of future deficit, forecast the future supply of manpower from all sources with
reference to plans of other companies.

Plan for recruitment, development and internal mobility if future supply is more than or
equal to net manpower requirements.

Plan to modify and adjust the organizational plan if future supply will be inadequate
with reference to future net requirements.

Degree of uncertainty and length of planning period.

The above points are discussed in details:

Demand Forecasting: The existing job design and analysis may thoroughly be reviewed
keeping in view the future capabilities, knowledge and skills of present employees. Further
the jobs should be redesigned and reanalyzed keeping in view the organizational and unit
wise plans and programmes, future work quantum, future activity or task analysis, future
skills, values, knowledge and capabilities of present employees and prospective employees.
The jobs generally should be designed and analysed reflecting the future human resources
and based on future organizational plans. Job analysis and forecast about the future
components of human resources facilitate demand forecasting. One of the important aspects

of demand forecasting of the quantity of human resources (skill, knowledge values,

capabilities etc) in addition to quantity of human resources. Important forecasting methods
are:
Managerial Judgement: Under this method, managers decide the number of employees
required for future operations based on their past experience.
Statistical Techniques Include: ratio trend analysis and econometric models. Under ratio
trend analysis, ratios are calculated for the past data and these ratios are used for the
estimation of the future manpower requirements For eg.

Present level of production (1-1-2005)

2000 units

Present number of foremen (1-1-2005)

Ratio is 2000/4

500

Estimated production as on (1-1-2005)

5000 units

Foreman required as on

5000/500 = 10

(1-1-2005)

Econometric models for manpower planning are built up by analyzing the past statistical data
and by bringing the relationship among variables.
1. Work Study Techniques: Under this method, total production and activities in terms of clear
units are estimated in a year. Then man-hours required to produce each unit is calculated,
Later the required number of employees is calculated. For eg.

Planned operations during 2005

Standard man-hours needed to perform each unit in 2005 =

0.25

Planned man-hours needed per year in 2005

Work ability per employee in man-hours in 2005

Number of employees required in 2005

1,60,000 units

40,000
2,000
40000/20000=20

Supply Forecasting

The first step of forecasting the future supply of human resources is to obtain the data and
information about the present human resources inventory.

Existing Inventory: The data relating to present human resources inventory in terms of
humans components, number, designation-wise and department wise would be obtained.
Principal dimensions of manpower planning are:
1. Head counts regarding total, department wise, sex-wise, designation-wise, skill-wise, pay roll
wise etc.
2. Job Family Inventory : It includes number and category of employees of each job family i.e.
all jobs related to the same category like clerks, cashiers, sub job family i.e. all jobs having
common job characteristics (skill, qualification, similar operations) like production engineer
(mechanical) and maintenance engineer (mechanical) and broad families like general
administration, production etc.
3. Age Inventory: It includes age-wise number and category of employees. It indicates age wise
imbalances in present inventory which can be correlated in future selections and promotions.
Existing inventory at a future date is calculated as follows:

Existing inventory at

Present Inventory

Potential additions Potential

Losses
A future date

as on today

Estimating the Net Man Power Requirements: Net manpower requirements in terns of
number and components are to be determined in relation to the overall man power
requirements for a future date and supply forecast for that date. The difference between

overall manpower and future supply of manpower is to be found out. The difference is the net
manpower requirement.

Action Plan for Redeployment, Redundancy/Retrenchment: If future surplus is estimated,

the organization has to plan for redeployment, redundancy etc. If surplus is estimated in some
jobs/departments, employees can be redeployed in other jobs/departments where the deficit of
employees is estimated. The organization should also plan for training or re-orientation
before redeployment of employees. Redeployment takes place in the form of transfers. If the
deficit is not estimated in any job/department and surplus is estimated for the entire
organization, the organization, in consultation with the trade unions has to plan for
redundancy or retrenchment.

Recruitment and Selection Plan : Recruitment and selection plan covers the number and
type of employees required, when they are required for the job, time necessary for
recruitment and selection process, recruitment sources, recruitment techniques to be used,
selection procedure to be adopted and selection techniques to be used to subsequently
recruiting the required candidates. It also covers the time factor for induction, preliminary
training and placement.
OR
2 important factors for forecasting future needs of manpower
In addition to current trends, the human resources planning should take into consideration of
future needs of manpower in terms of Demand and supply of manpower.
Robert Kreitner, spells out the following factors to be considered for forecasting Demand and
supply of manpower:A. Forecasting Demand:
a. Anticipating growth of organisation this growth rate can be from past trends on the
assumption that all variable affecting growth will remain constant.

b. Budget constraints and allocations the budget allocation specifically for the purpose of new
employees will determine the number of number of new workers that can hired, thus putting a
ceiling on the maximum number.
c. Anticipated turnover in personnel due to retirement, death, transfers, termination of
service, promotions etc. Most of these changes can be calculated in advance thus making the
forecasting of future demand easier and more accurate.
d. Introduction of new technology with continuous technological developments, innovation
and automation, the personnel needs are constantly changing. At many places, computers are
either replacing workers or reducing their numbers. The type of new technology introduced
will determine the number of people that may be hired or transferred.
e. Minority hiring goals the goals of hiring minorities and handicapped as a part of the
affirmative action policies may affect the demand for total number of employees, especially
when it is difficult to match the skilled or unskilled minority workers to the specific jobs
requirements.
B. Forecasting Supply:
a. Promotions of employees from within the organisation promotions are a good and reliable
source of supply of experienced and skilled personnel, who do not need to be extensively
trained and who are also familiar with the organisation goals, policies and philosophy.
b. Availability of required talent in the external labour market this may be assessed by
unemployment figures, a survey of private and public employment agencies and other
sources.
c. Competition for talent within the industry if the competition is very tough then it will be
more difficult to tap the supply and the cost of additional workers will, become very high in
the competitive industry, then the supply with remain flexible.
d. Population movement trends the demographical changes will also affect the sources of
supply. If there is a tendency for people to move from rural areas to urban areas then the
supply in the rural areas will dry up. Similarly, most new immigrants from outside have a
tendency to settle in cities, thus increase the supply in the urban areas.
e. Enrolment trends in vocational schools, colleges and universities if there is marked
increase in the number of students in training programme as well as colleges, this will
improve the supply of skilled personnel and personnel with specialized educational

backgrounds. On the other hand, due to high cost of education, there may be a decline in
college enrolment signifying a trend in scarcity of educated people.

Q.2a) sources of manpower planning

Internal Sources of Recruitment
Internal sources of recruitment means promotion of workers from the lower
rank to the upper rank. Majority of companies have established a policy of
promotion from within, that is vacancies other than at the lowest level are
filled up by promoting the personnel to the higher office. Thus it sets up a
chain of promotions that can be filled from those lowest in ranks by giving
them training to be eligible for higher position in the organisation.
(i) Transfer (ii) Promotion
2. External Sources of Recruitment
It is always not possible to recruit the workers form within. Especially vacancies
at lowest level or recruitment at the time to expansion of t firm or where job
specification cannot be met by the present employees, the employer ha to go to
external sources of manpower supply. Amongst the most commonly used
outside sources are s follows:
(i) Contacts through Present Employees. It is an excellent method of
manpower supply. Sometimes, the present employees recommend their friends
or relatives to t orgnaisation. Generally, it is expected from the present
employees that they will recommend the candidate who will have the potential
and qualifications to meet the company's standard of expectation but a great
care should be taken in selecting a person among those recommended by the
present staff.
(ii) Former Employees. Former employees mean persons who have ever
worked in the enterprise and have laid off or have left the organisation for
personal reasons and no eager to return. Former employees having g good
record on their credit may be preferred. These will require less initial training to
b ring them up to be standard of production than stranger to the enterprise.
(iii) Intermediaries. This system of recruitment is most current in Indian
industries. Intermediaries are generally known as jobbers Mukaddaurs, choudary
or contractors. Management generally consult these intermediaries at the time of
workers because they have to get the work done by the new entrants. This
system of recruitment ha led many abuses.
(iv) Recruitment at the gate. Sometimes, direct recruitment of workers is
made at the gate of the factory. Generally, the number of vacancies, nature of
work and time of interview are notified on the blackboard at the gate.

Prospective candidates attend the interview at the appointment time and get the
appointment . This system of recruitment is generally used to recruit the
unskilled workers.
(v) Unsolicited Applications. An organisation of repute draws a steady stream
of unsolicited applications at eh company's office. These applications should be
examined to locate good candidates.
(vi) Advertisement. Advertisement in newspapers n journals is now an
extremely popular source of recruiting staff. For types of vacancies, employers
resort to advertising by it is the most suitable source for filling of the vacancies
of technical and senior personnel. All particulars regarding the job an the
qualifications of the prospect candidate are given in t advertisement. This
system attracts the applicants requisite caliber.
(vii) Schools, Colleges, University and Technical Institutions. All these are
a very useful source of recruitment for a full rang of jobs. The employment
mangers of the enterprises martin a close liaison with the universities and
schools of technology especially for recruiting officer Apprentices or Management
Trainees. Universities an technical institutions keep on panel the proposing
young talents for employment an refer their names to the prospective employers
as and when asked for.
(viii) Employment Exchanges. Employment exchanges are regarded as good
source of recruitment for unskilled, skilled, or semiskilled operative jobs. In
some cases vacancies to the filled in by the employer is compulsory to be
notified to the employment exchanges to obtain the suitable candidates.
(ix) Private Agencies. Private agencies are doing a great service in recruiting
the technical and profession all personnel. They provide a nationwide service in
attempting to match the demand and supply of personnel. Many private
agencies tend to specialize in a particular type of job like sales, office, engineers
etc.
(x) Professional Bodies. Some professional bodies maintain a register of
qualified persons form which they recommend the names of the job seekers to
the employers when asked for.
(xi) Personnel Consultants. Consultants who specialise in the recruitment of
managers an other senior officials are now being called upon the assist the
management in filling of these posts. Companies hire the services of these
consultants at the time of recruitment of the senior officials. But this method is
open to debate and personnel managers generally oppose to the services of an
outsider who is no familiar with the personnel policy being adopted.