Principles of HRM. Human Resource Planning

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1 Principles of HRM Human Resource Planning

2 Statistics Tanzania population: 44.8 million Annual Growth Rate: 3% Required Number of professional health workers: 125,924 (Source Available Number: 35,202 Deficit: 90,722 Manpower Plan to bridge the gap for future needs estimate future demand + supply increase supply to match demand

3 Manpower Planning and HRP Manpower Planning is done at national level HRP is done at organizational level

4 HUMAN RESOURCE PLANNING DEFINITION Human resource planning is the process of an organization s determination of the quality and quantity of human resources requirements to meet its long and short term goals and matching the required demand with an effective and consistent supply.

5 Factors to Consider Labour market changes demographics Organization s long and short term strategy Legal requirements Changing task-technological trends Balancing costs Avoiding waste Training Needs Business Continuity Developing leadership and Managers

6 Human Resource Planning Job Analysis Company Strategy What is impact on wage and salary program? What staff do we need to do the job? Is there a match? What staff is available within our organization? If not, what type of people do we need, and how should we recruit them? Performance appraisal Company data banks Training Employee management and development

7 Human Resource Planning Factors in Forecasting HR Requirements Projected turnover (as a result of resignation and terminations) Quality and nature of your employees (in relation to what you see as the changing need of your organization) The financial resources available to your organization

8 Technique to Determine Number of Recruits Trend Analysis Study of a firm s past employment needs over a period of years to predict future needs Ratio Analysis A forecasting technique for determining future staff needs by using ratios between sales volume and number of employees needed

9 Recruitment from External Resources Recruiting new staff from external sources will be influenced by several factors, namely : Macro- Economic Conditions of a Nation When the economic conditions are relatively difficult, there will usually be an oversupply, or the number of applicants will much higher than the demand. In such a case, the company will find it relatively easier to select new employees from the large number of applicants.

10 Recruitment from External Resources Availability of Manpower in Desired When the sector is one that is considered a rare sector, the company will have more difficulty in recruiting staff for this sector. For example, computer technology, or cellular engineering. Sectors

11 Recruitment from External Resources Company Reputation It will tend to be easier for a company to find and recruit the best people if the company has a good reputation, therefore the best fresh graduates will flock to apply to the company. Example : CRDB, VODACOM or UDSM.

12 Recruitment Yield Pyramid Some employers use a recruiting yield pyramid to determine the number of applicants they must generate to hire the required number of new employees. Example of Recruitment Curve: Leads generated Candidates invited Candidates interviewed Offers made 50 - New hires

13 Recruitment Sources Advertising (newspaper, magazine, internet) Recruitment Sources College Recruitment Recruitment Agent (headhunter)

14 Job Analysis

15 Job Design

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