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Summary IP 144 - Chapter 4
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PART 2: Finding and Placing qualified employeesChapter 4: Strategic HR Planning Research
Human resource planning (HRP) – the process of anticipating and providing for the
movement of people into, within and out of an organisation with the aim of finding the best
fit between employees and jobs.
Also known as workforce planning or personnel/manpower planning
Strategic HR planning (SHRP) – the process by which organisational goals, as put forth in
mission statements and organisational plans, are translated into HR objectives to ensure
that the organisation is neither over- nor understaffed, and that employees with the
appropriate talents, skills and desire are available to carry out their tasks/duties in the right
jobs at the right times.
4.1 Types of HR Planning
First; the company can choose whether it wants to be proactive or reactive in its approach.
Secondly; an organisation can make a decision regarding the breadth of the planning.
Thirdly; this choice involves the formality of the plan. The organisation’s decision here can
take the formal or informal route.
Fourthly; this involves the degree of fit that the HRP has with the strategic plan of the
organisation.
Craft has identified the following possible types of linkages:
• Input linkages. Here, HR information is made available either before or during the
strategic planning process. This can take place through a specialised HR unit doing
scanning or through a specialised committee of HR personnel.
• Decision inclusion linkages. Here, HR personnel are either directly or indirectly
involved in the organisation’s strategic planning process.
• Review and reaction linkages. Here, HR personnel can respond to a personnel or
final strategic plan. The plan may be reviewed from an HR flexibility and desirability
viewpoint.
, 4.2 Planning Horizon
Short-time objectives – 1 year or shorter
Intermediate objective – 2-4 years
Long-range objectives – 5-15 yeas
4.3 Strategy-Linked HRP
Linking strategic planning and human resources:
, 4.4 Who is Responsible for SHRP?
For the HR professional to be successful, the following is important:
• HR managers will have to be knowledgeable about the organisation. This will enable
them to undertake an analysis, collect data, develop appropriate plans and
programmes, and ask questions that relate to the mission and goals of the
organisation.
• HR professionals will have to demonstrate their competence and expertise to line
managers.
• Developing linkages between HR planning and strategic company planning is a
process that occurs over time. When and how quickly this occurs depends on the
organisation’s competitive circumstances, the perceived potential of HR to play a
significant role in the organisation and the readiness of HR professionals to respond
when opportunities arise.
Typical division of HR responsibilities: HR planning
4.5 Why is SHRP so Important?
Benefits include:
• Creates competitive advantage
• Achieve long term goals
• Improve profitability of the organisation
• A better understanding of the HR implications of organisational strategics
• Recruiting experienced talent well in advance of needs
• Improved planning of assignments and other employee developmental actions
• Improved analysis and control of personnel-related costs
Strategic change – major transformation in the structure, size or functioning of an
organisation for the purpose of achieving strategic objectives.
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