hrm lecture

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The Process of Human Resource PlanningRecruiting Human ResourcesRecruitment SourcesRecruiter Traits and Behaviors

Planning for and Recruiting Human Resources

W EE K 2

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Human Resource Planning

Figure 5.1

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IntroductionHuman resource planning is a

process by which an organization ensures that it has the right number and kinds

of people at the right place at the right time capable of effectively and

efficiently completing those tasks that will help the organization achieve its overall strategic objectives.

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1. Determine future needs

2. Determine future

turnover

3. Recruit, hire, or layoff as necessary

4. Offer training and developmen

t

StepsInvolved in Strategic Human

Resources Planning

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HUMAN RESOURCE PLANNING

The development of a comprehensive staffing strategy for meeting the organization’s current & future human resource needs.

An effort to anticipate future business and environmental demands upon and organization and to provide personnel to fulfill that business and satisfy that demand.

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HR Planning Process HR Strategies

The means used to anticipate and manage the supply of and demand for human resources. Provide overall direction in which HR activities will be developed and managed.Overall Overall

Strategic PlanStrategic Plan

Human Resources Human Resources Strategic PlanStrategic Plan

HR ActivitiesHR Activities

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Linking Organizational Strategy to Human Resource Planning

Assessing current human resources Succession planning

includes the development of replacement charts portray middle-to-upper level management

positions that may become vacant in the near future

lists information about individuals who might qualify to fill the positions

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Predicting the Future Labor Supply Decreases in internal supply come about

through: Retirements Dismissals Transfers-out Lay-offs Voluntary quits Sabbaticals Prolonged illnesses Deaths

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Retirements are the easiest to forecast. Other factors are much more difficult to project. Dismissals, transfers, lay-offs, and sabbaticals

are more easily controlled by management.

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Where Will We Find Workers migration into a community recent graduates individuals returning from military service increases in the number of unemployed and

employed individuals seeking other opportunities, either part-time or full-time

The potential labor supply can be expanded by formal or on-the-job training.

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Matching Labor Demand and Supply Employment planning compares forecasts for

demand and supply of workers. Special attention should be paid to current and

future shortages and overstaffing. Decruitment or downsizing may be used to

reduce supply and balance demand. Rightsizing involves linking staffing levels to

organizational goals.

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Employment Planning and

the Strategic Planning Process

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Estimating Internal Labor Supply

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Elements of Effective HR Planning

2. Forecast Future Internal/External Candidates (Supply)

1. Forecast Future HR Needs (Demand)

3. Implement Plans to Balance Supply and Demand

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Forecasting Future HR Needs (Demand)

Forecasting based on: projected turnover quality and nature of employees relative to needs decisions regarding product quality and new markets plans for technological and administrative change to

increase productivity and reduce headcount financial resources available

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Quantitative Approaches:Trend analysis: review past employment levelsRatio analysis: ratio of business activity/employeesScatter plot: graph of business activity/employeesRegression analysis: statistical relationship between

business activity and employees

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Qualitative Approaches:1. Nominal Group Technique

experts meet face-to-face group discussion facilitates exchange of ideas possible subjectivity, group pressure

2. Delphi Technique experts work independently wide range of views difficult to integrate diverse opinions

3. Managerial judgment

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Forecasting Future HR Supply:

Markov Analysistracking the pattern of employee movements

through various jobs and developing a transitional probability matrix

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Forecasting Future HR Supply

Skills/Management Inventoriessummary of each employee’s education,

experience, interests, skillsfor managers, also includes managerial

responsibilities, duties in current/previous positions, management training

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Forecasting Future HR SupplyReplacement Charts/Summariesvisual representations of likely internal

replacement employees for each position, including age, present performance rating, promotability status

replacement summaries also list relative strengths and weaknesses, current position

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Succession Planning analyze demand for managers/professionals audit existing executives, project future supply individual career planning/career counselling accelerated promotions performance-related training and development planned strategic recruitment

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External Candidatesgeneral economic conditionsnational labour market conditionslocal labour market conditionsoccupational market conditions

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Balancing Supply and DemandDealing with a Labour Surplus hiring freeze attrition early retirement buyout programs reducing hours (job sharing, work sharing, reduced

workweek) layoffs; supplemental unemployment benefits termination with severance package

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Balancing Supply and DemandDealing with a Labour Shortageovertimehiring temporary employeessubcontracting workexternal recruitmenttransferspromotions

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Balancing Supply and Demand

Canada’s Looming Labour Shortage over next 20 years, baby boomers will retire, creating a

critical undersupply of labour retention of older workers more Aboriginals, visible minorities, females more apprenticeships aggressive external recruiting offer flexible work arrangements

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Balancing Supply and Demand

Flexible Work Arrangementssought by younger workers to achieve work-life

balancesought by older workers to bridge to retirementalso assists in meeting customer needs

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Developing and Using a Strategic HR PlanIssues in Matching the Supply of Labor with the

Demand for LaborSuccession PlanningManaging a Human Resources SurplusOutplacement ServicesHR Planning in Mergers and Acquisitions

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Managing a Human Resources SurplusWorkforce Realignment

“Downsizing”, “Rightsizing”, and “Reduction in Force” (RIF) all mean reducing the number of employees in an organization.

Causes Economic—weak product demand, loss of market

share to competitors Structural—technological change, mergers and

acquisitions

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Managing a Human Resource Surplus (cont’d)

Downsizing Approaches Attrition and hiring freezes

Not replacing departing employees and not hiring new employees

Voluntary Separation Programs Early retirement buyouts offer incentives to

encourage senior employees to leave the organization early.

Layoffs Employees are placed on unpaid leave until called

back to work when business conditions improve. Employees are selected for layoff on the basis of their

seniority or performance or a combination of both.

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PlacementPerson-job Fit

Matching the knowledge, skills and abilities (KSAs) of people to the characteristics of jobs (tasks, duties and responsibilities–TDRs).

KSAs = TDRs = Job Success?KSAs = TDRs = Job Success?

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What is a Job? Job

A group of related activities and duties

Position The different duties and

responsibilities performed by only one employee

Job Family A group of individual jobs

with similar characteristics

JobJob

JobJob JobJob JobJob

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Person/Job Fit

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Approaches to Understanding Jobs

1. Workflow analysis2. Job design3. Job analysis4. Job descriptions and job

specifications

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Workflow Analysis

Workflow Analysis A study of the way work (inputs, activities, and

outputs) moves through an organization.

InputsInputsPeoplePeople

MaterialsMaterialsEquipmentEquipment

InputsInputsPeoplePeople

MaterialsMaterialsEquipmentEquipment

ActivitiesActivitiesTasks and Tasks and

JobsJobs

ActivitiesActivitiesTasks and Tasks and

JobsJobs

OutputsOutputsGoods and Goods and

ServicesServices

OutputsOutputsGoods and Goods and

ServicesServices

EvaluationEvaluationEvaluationEvaluation

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Job Design

Organizing tasks, duties, and responsibilities into a productive unit of work.

Job DesignJob DesignJob DesignJob Design

Job Job SatisfactionSatisfaction

Job Job SatisfactionSatisfaction

Job Job PerformancePerformance

Job Job PerformancePerformance

Physical andPhysical andMental HealthMental Health

Physical andPhysical andMental HealthMental Health

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Job AnalysisJob Analysis is a systematic exploration of the

activities within a job.It defines and documents the duties,

responsibilities and accountabilities of a job and the conditions under which a job is performed.

?

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Job Analysis Goal

Determine the duties and responsibilities of a particular job

Determine how the job relates to other jobs and the level of importance of the job

Determine the necessary qualifications in order to perform the job

Determine the working conditions associated with the job.

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Uses of Job Analysis InformationCompensation and job evaluationRecruitment and selectionHR planningTraining and DevelopmentPerformance Appraisals

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Job Analysis: What is Analyzed?

Work activities Schedule Location Materials used Job performance Skills and training Supervision, promotions Products, services

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Job Analysis: The Big PictureThe relationships among job analysis,planning, recruitment and selection

Job Analysis HR Planning

Recruitment

Selection

Nature and requirementsof specific jobs

Number ofspecific jobs to be filled

Pool of QualifiedApplicants

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Job Analysis Methods:How do you collect the information?

Interviews

Structured Questionnaire

Direct Observation

Logbooks / Work Diaries

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Interviews Most commonly used method

very adaptable Usually conducted with

job incumbents technical experts supervisors

Questions like: what are your most typical duties? How long do they take? How do you do them?

Caution: people may misrepresent/exaggerate job

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Questionnaire

Lists of many (>200) job characteristics and activities rated in term of frequency and importance

method is most useful for comparing jobs

very commonly used (esp. with interviews)

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Observation

Unobtrusive method camera; video; audio

Excellent for understanding and appreciating conditions under which job is performed

Allows analyst to experience aspects of job that worker may not be aware of

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Logbook / Worker DiariesWorker makes systematic entries in book

outlining activitiesMay be useful for jobs that are difficult to

observeCaution, not commonly used

too much variance in writing skills can exaggerate tasks performed

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Outcomes of Job Analyses

Job Description written statement of a job and its

requirements(tasks to perform) Job Specification

written statement of the necessary qualifications of the job incumbent

Education Experience Specialized training Personal Traits Manual dexterity

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Determining Job Requirements

• What employee doesWhat employee does• Why employee does itWhy employee does it• How employee does itHow employee does it

• What employee doesWhat employee does• Why employee does itWhy employee does it• How employee does itHow employee does it

• Determining job requirementsDetermining job requirements• Determining job requirementsDetermining job requirements

• Summary statement of the jobSummary statement of the job• List of essential functions of the List of essential functions of the

jobjob

• Summary statement of the jobSummary statement of the job• List of essential functions of the List of essential functions of the

jobjob

• Employee orientationEmployee orientation• Employee instructionEmployee instruction• Disciplinary actionDisciplinary action

• Employee orientationEmployee orientation• Employee instructionEmployee instruction• Disciplinary actionDisciplinary action

• Personal qualifications required in Personal qualifications required in terms of skills, education and terms of skills, education and experienceexperience

• Personal qualifications required in Personal qualifications required in terms of skills, education and terms of skills, education and experienceexperience

• RecruitmentRecruitment• SelectionSelection• DevelopmentDevelopment

• RecruitmentRecruitment• SelectionSelection• DevelopmentDevelopment

Nature of:

Job AnalysisJob Analysis

Job DescriptionJob Description

Job SpecificationJob Specification

Basis for:

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WHAT JOBS SHOULD BE ANALYZED FIRST?Jobs where adverse impact in hiring has

occurredEntry-level jobsJobs whose content has changedJobs with incumbents having poor performance

or high turnover

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Job Analysis Job Descriptions

Written statement of what jobholder does, how it is done, under what conditions and why.

Common format: title; duties; distinguishing characteristics; environmental conditions; authority and responsibilities.

Used to describe the job to applicants, to guide new employees, and to evaluate employees.

Identification of essential job functions is needed to assure compliance with Americans with Disabilities Act.

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Key Elements of a Job Description Job Title

Indicates job duties and organizational level Job Identification

Distinguishes job from all other jobs Essential Functions (Job Duties)

Indicate responsibilities entailed and results to be accomplished

Job Specifications Skills required to perform the job and physical

demands of the job

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Job AnalysisJob Specifications

States minimum acceptable qualifications. Used to select employees who have the essential

qualifications.

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Job AnalysisJob Evaluations

Specify relative value of each job in the organization.

Used to design equitable compensation program.

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Job vs. Worker Oriented Analyses

Job-Oriented analysis of tasks

necessary to complete the job

e.g. EMBA student attend lectures take notes read text write reports Do assignments at

home

Worker-Oriented analysis of the skills

and abilities required

e.g. EMBA student intelligent self-motivated able to work alone able to integrate

diverse information good long-term

memory time-management

skills

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Job Evaluation

Process by which wage rates are applied differentially to jobs

Market Perspective (External Equity) how difficult is it to fill the position not an assessment of value

Based on Job Analysis (Internal Equity) skill effort responsibility working conditions education requirements

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Nature of Job Design Job Enlargement

Broadening the scope of a job by expanding the number of different tasks to be performed.

Job Enrichment Increasing the depth of a job by adding the

responsibility for planning, organizing , controlling, and evaluating the job.

Job Rotation The process of shifting a person from job to job.

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Specialized to Enlarged JobsJob Enlargement = same-level activitiesJob Rotation = moving from one job to

anotherJob Enrichment = redesigning to experience

more responsibility, achievement, growth and recognition

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Identify VacancyDecide on appropriate recruitment/selection

methods

Decide how to attract candidates

Make a decision And offer

Job Analysis

Job DescriptionCompetency profiling

Take up references

Selection Interviews

Assessment

Sift and shortlist

Market the Job

Induct and Train

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