Meaning of HRP / Manpower / Personnel Planning
Human Resource (Manpower or Personnel) Planning (HRP) involves :-
- Forecasting (Estimating) the Manpower requirements and recruitment.
- Manpower Allocation
- Manpower Motivation
- Manpower Development
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Need / Advantages / Role / Importance of HRP
Now-a-days organisations are fully dependent on human resources. Thus, they are giving great importance to Human Resource (Manpower) Planning.
Following points bring out the need / advantages / role / importance of HRP :-
- To make optimum utilisation of human resources : HRP helps to make optimum utilisation of the human resources in the organisation. It helps to avoid wastage of human resources.
- To forecast manpower requirements : HRP helps to forecast the future manpower requirements of all organisations. It helps to forecast the number and type of employees who will be required by the organisation in a near future.
- To provide manpower : Every organisation requires manpower to conduct its business activities. HRP provides different types of manpower as per the needs of the organisations.
- To face manpower problems : HRP helps to face the manpower problems, which are caused by labour turnover, introduction of new technologies, etc.
- To integrate different plans : HRP helps to integrate the personnel plans with the other important plans of the organisation.
- To make employee development programmes more effective : HRP selects the right man for the right post. The right man will get maximum benefits from the employee development programmes. Therefore, HRP helps to make the employee development programmes more effective.
- To reduce labour cost : Today the cost of labour is about 25% to 45% of the cost of production. So the labour cost is increasing very quickly. Labour cost has to be reduced in order to face competition. HRP helps to avoid both shortage and surplus of labour. It helps to make optimum utilisation of labour. It also helps to reduce labour turnover. All this helps to reduce labour cost.
- To enable organisations to grow : When an organisation grows, the number of jobs also increases. More employees are required to perform these jobs. HRP helps to supply these employees to the organisations. So HRP enables the organisation to grow.
- To identify potential replacements : Each year many employees either retire or leave or are taken out of the organisation. HRP helps to find replacements for these employees. These replacements may be either from inside or from outside the organisation.
- To avoid disturbance in the production process : In HRP, the manpower requirements of the organisation are determined well in advance. So the manpower is supplied continuously to the organisation. This helps the production process to run smoothly. Thus, HRP helps to avoid disturbances in the production process.
- Basis for effective recruitment and selection : HRP is the basis for effective recruitment and selection in the organisation. It helps the organisation to select the right man for the right post.
- Basis for employee development programmes : HRP is the basis for employee development programmes.