Human Resource Planning(also called Employment or

Personnel Planning) is essentially the process of

getting the right number of qualified people into the
right job at the right time so that an organisation can
meet its objectives.

It tries to assess human resource requirements in
advance keeping the production schedules, market
fluctuations, demand forecasts , etc. In the
background.
It is an integral part of the overall corporate plan and
reflects the broad thinking of the management about
manpower needs within the organisation.


Human resources plans are prepared for varying time
periods, i.e., short term plans covering a time period of
2 years and long term plans encompassing a period of
5 or more years.
1. Forecast personnel requirements.

2. Cope with changes.

3. Use existing manpower productively.

4. Promote employees in a systematic manner.
Reservoir of talent: People with requisite skills are
readily available to carry out the assigned tasks.
Prepare people for future: People can be trained,
motivated and developed in advance and this helps in
meeting future needs for high-quality employees quite
easily.
Expand or contract: If the organisation wants to
expand its scale of operations, it can go ahead easily as
advance planning ensures a continuous supply of
people with requisite skills.
Cut costs: Planning facilitates the preparation of HR
budget for each department or division. The physical
facilities such as canteen, quarters, school, medical
help, etc. Can also be planned in advance.

Succession planning: Human Resource Planning
prepares people for future challenges. The stars can
be picked up and kept ready for further promotions
whenever they arise.
1. Forecasting the Demand for Human Resources.

2. Preparing Manpower Inventory ( Supply Forecasting)

3. Determining Manpower Gaps.

4. Formulating HR Plans.
The HRP is made effective by following certain guidelines
such as:
1. Objectives: Important aspects such as people working in
the organisation, working conditions, human
relationships, etc . Should be kept in mind.
2. Top management support: The HR plan should get the
consistent support of the top management.
3. Employee skills inventory: The organisation must have an
up-to-date record of tha employees which may include
his previous jobs, tenure on current job, educational and
training qualifications,etc.

Human resource information system: To manage
employee skills inventory, organisation should
maintain computerised human resource information
system containing data on career progression,
appraisal, skills, interests,etc.
Coordination: A separate HR planning division must
be created, especially in large organisations to
coordinate HR planning exercises at various levels.