HUMAN

RESOURCE
PLANNING
WELCOME TO OUR
PRESENTATION
HUMAN RESOURCE
PLANNING
Human Resource Planning
(HRP) is the systematic
process of forecasting an
organization’s future human
resource needs and ensuring
the right number and right
kind of people are available at
the right time to achieve
organizational goals.
Key elements / components of HRP

Forecasting demand for Analyzing supply of Identifying gaps Action plan

labor labor
(how many and what (internal: current (surplus or shortage, (recruitment, training,
skills will be needed) employees; external: skill mismatches) transfers, promotions,
labor market) layoffs)
Importance of Human Resource Planning (HRP)

Ensures manpower
availability

Supports organizational
strategy

Reduces recruitment cost &

time

Improves training &

development
Importance of Human Resource Planning (HRP)

Helps succession planning

Controls labor costs

Increases productivity &

utilization

Manages industrial relations

& morale
Importance of Human Resource Planning (HRP)

Reduces business risk

Facilitates HR metrics &

control

Improves flexibility &

responsiveness

Ensures legal compliance

7
Process of
Human Resource
Planning
Process of HRP

Review Analyze current

organizational human resources
objectives (HR inventory)

Forecast future Forecast HR

HR demand supply (internal &
(requirements) external)
Process of HRP

Compare demand
Prepare HR action
and supply —
plans
Identify gaps

Monitoring,
Implement the
evaluation &
plans
feedback (control)
Approaches to Human Resource Planning
1
1. QUANTITATIVE / MATHEMATICAL APPROACHES

RATIO/TREND ANALYSIS REGRESSION ANALYSIS WORKLOAD / TIME-STUDY MARKOV ANALYSIS

e.g. Required staff = predicts manpower calculates required hours models internal flows
based on driving by task times → (promotion, resignation)
(Projected output ÷ variables to forecast internal
Current output) × convert to number of supply.
Current staff. Example: (sales, production). people.
If a factory’s output will
double, and current staff
= 50 → required ≈ 100.
2. QUALITATIVE / JUDGMENTAL APPROACHES

DELPHI TECHNIQUE MANAGERIAL ESTIMATES

anonymous expert line managers submit
rounds to reach forecasts for their units.
consensus on future
staffing needs.
Strategies of Human Resource
Planning
Human Resource Planning (HRP) strategies are the planned actions or methods used by an
organization to forecast, attract, develop, and retain the right number of employees with
the right skills to achieve business goals efficiently.

1
 Strategies of Human Resource Planning
• Meaning:
Training Upgrading existing
and Development Strategy
pansion (Growth) Strategy
• Meaning: Increase manpower to employees’ skills to meet future
support organizational growth or needs.
new projects.
• Actions: Workshops,
• Example: A garment factory seminars, job rotation, e-
increases workers to meet export learning.
demand.
• Example: A telecom
• Purpose: Ensures enough skilled
workers for expansion. company trains its staff in
Retention Strategy Succession
• Meaning:
digital Planning
tools. Strategy
Preparing internal
• Meaning: Focuses on keeping employees to fill key future
existing skilled employees by positions.
improving satisfaction.
• Actions: Mentoring,
• Actions: Better pay,
leadership training, job
promotion, work-life balance,
shadowing.
training.
• Example: A bank introduces • Example: Assistant managers
bonuses to reduce employee are trained to become future
turnover. managers.
 Strategies of Human Resource Planning
edeployment Strategy Flexible Staffing Strategy
• Meaning: Adjusting workforce
size to meet current business • Meaning: Using part-time,
needs — neither overstaffing contract, or seasonal employees
nor understaffing. to manage workload changes.
• Example: An IT firm shifts • Example: Ice-cream factories
surplus staff to new projects hire seasonal staff in summer.
instead of layoffs.
• Benefit: Reduces cost and
utsourcing
• Meaning:Strategy
Assigning non- increases flexibility.
core jobs (like cleaning or • Meaning:
Employer BrandingBuilding a
& Recruitment Stra
payroll) to external strong image to attract
specialists. talented candidates.
• Example: A hospital
outsources canteen and • Example: Companies like
security services. Grameenphone or Unilever
promote good work culture to
• Benefit: Saves time and attract youth.
 Attrition
Attrition is when employees leave a company on their own (like resignation, retirement,
or death) and the company does not immediately replace them.
1
Attrition
Causes of Attrition Control Measures
• Low salary or poor benefits  Offer competitive pay and incentives
• Limited career growth  Provide training and promotion
opportunities opportunities
• Job dissatisfaction or heavy  Improve workplace environment and
workload leadership
• Better job offers elsewhere  Conduct exit interviews to identify
• Retirement or relocation reasons

✅ Example
At Ranga Handicrafts (Rangamati), 4 out of 20 artisans left in a year (20%
attrition). After introducing performance bonuses and skill workshops,
attrition fell to 10%. In short: Attrition shows how many employees an
organization loses over time managing it well ensures stability and long-
term success.
Lay-off
Lay-off means temporary termination
of employees due to business
problems, not because of employee
fault.

1
LAY-OFF
🔹 Causes of Lay-off 🔹 Features
• Lack of work or raw materials  Temporary dismissed
• Financial problems  Short term
• Business slowdown  Recalled employee when condition
• Machinery breakdown improve

✅ Example
A textile factory in Narayanganj stops production for 3 weeks due to a
yarn shortage. Workers are laid off temporarily, receiving half salary
until the raw material arrives.
 Retrenchment
Retrenchment is when a company reduces its workforce or cuts down
expenses to survive financial problems.
2
Retrenchment 🔹 Procedure of Retrenchment
• Notice: Employer must give one
🔹 Causes of month’s notice (or pay in lieu).
• Last come, first go: The most
Retrenchment recently hired workers are
• Financial loss retrenched first.
• Decrease sales / market • Compensation: Worker gets 30
• Technological change days’ wages for every completed
• Competition year of service.
Features: • Intimation to authority:
→ Cost reduction
→ Temporary or permanent Employer must inform the labor
→ Affects employees authority of retrenchment.

🔹 Effects
• Loss of livelihood for employees.
• Reduction
✅ Example A factory find there sales are decrease. Toin morale
save money,of itremaining
lets go of 50
workers & stop producing some workers.
less popular clothing lines.
 Early Retirement
According to Edwin B. Flippo, early retirement is a voluntary separation
where an employee leaves service before the normal retirement age,
usually with some benefits.
2
Early Retirement
🔹 Purpose / Objective: 🔹 Features:
 To reduce excess • Voluntary in nature — employees
manpower smoothly and choose to accept the offer.
respectfully. • Compensation package —
 To cut labor costs in includes gratuity, pension, or bonus
periods of financial benefits.
difficulty. • Peaceful method — no legal or
 To make room for younger, union disputes.
skilled employees. • Used in HRP as a “right-sizing”
 To avoid industrial conflict tool to balance workforce supply
that may arise from forced with demand.
✅ Example A government bank introduces a Voluntary Retirement Scheme
retrenchment.
(VRS) to reduce staff.
Employees aged 50+ with 20 years of service can retire early with full pension and a
lump-sum bonus.
Problems (Limitations) of Human
Resource Planning —
Although HRP is essential, it faces many practical problems that
reduce its accuracy and usefulness.
Problems (Limitations) of Human Resource Planning —

1 2 3 4

Uncertain poor Rapid Difficulty in

business HR technological forecasting
environment information change Human behavior

 Rapid market,  Incomplete  New tech can  People’s

political or employee make skills decisions
economic records, wrong obsolete quickly. (resignation,
changes make skill inventories migration) are
forecasts or no HRIS. hard to predict.
unreliable. Result: Planned
Result: Faulty Result: Turnover
training may not
Result: Plans based supply forecasts and supply
match future needs.
on past data and wrong estimates go wrong.
become obsolete. decisions.
Problems (Limitations) of Human Resource Planning —

5 6 7 8

Resistance from Short-term Cost and Inadequate

managers mentality of resource forecasting
and unions managers constraint techniques
 Line managers  Managers prefer  Smallsfirms  Wrong choice of
may not immediate results cannot afford methods
cooperate; unions over long-term HRIS, forecasting (qualitative vs
resist workforce planning. tools or full-time quantitative) or
changes. planners. misuse of models.

Result: HRP receives Result: Simplistic or

Result: low priority and poor no planning. Result: Inaccurate
Implementation resources. demand estimates.
delays or conflicts.
Problems (Limitations) of Human Resource Planning —

1 1 1
9 0 1 2

Internal Legal and Poor Time lag in

organizational regulatory Linkage With implementati
Business strategy
changes changes on
 Restructuring,  Sudden labor law  HRP done as a  Recruiting/training
mergers, or policy changes, formality, not takes time — by
shifts can minimum wage aligned with the time staff are
invalidate plans. hikes or new strategic plans. ready needs may
Result: Plans must compliance needs. Result: Misaligned have changed.
be redone frequently. Result: Increased hiring/training Result: Missed
costs and need for decisions. business windows.
new skill mixes.
Thank you
We appreciate your
questioning
Feel free to ask !