M1 – Explain why human resource planning is important to an organisation
In this task, I will explain why it is important for Matthew Boulton College to plan its human
resource needs.
Human resource planning is a vital process for the success of an organisation. It is the processes
by which an organisation ensures that it has the right number and types of staff, at the right
time, and is capable of effectively completing tasks that will help the organisation achieve its
goals, aims and objectives.
Initially, the main objective of HR planning is to ensure that there is the best fit between
employees and jobs, while avoiding manpower shortages or even surpluses. Human resource
planning enables the college to identify areas of improvement around the organisation. It allows
them to figure out whether there are skills shortages among their staff and thus react
accordingly to solve the situation, either by providing training, mentoring, advice and
development.
As a result, these processes and initiatives can improve staffs’ skills and abilities and this can
increase efficiency and productivity in the workplace.
Additionally, in certain cases, an HR planning can allow the managerial department make
provisions for replacement or backup staff from both inside and outside the organisation if the
need arises. It ensures that people are available to provide a continuous smooth running of the
college.
In other words, human resource planning is considered as a tool used to assure the future
availability of manpower to carry out activities.
Furthermore, it helps them to determine whether they can perform skills transferability, both
now or in the future as this can be beneficial if some employees suddenly decide to leave the
college. Therefore, instead of performing external recruitment, the college will already know
from the results of the planning, which employees possess similar skills and thus request them to
take up the previous staff’s position if possible.
Long term forecasting from HR planning can allow the Matthew Boulton College to make tactical
plans to meet those needs.
Moreover, HR planning can enable Matthew Boulton College to determine how it can keep its
employees within the College. Through the HR planning, the organisation can ask for suggestions
and opinions from its staff and thus improve its amenities around the college to further
encourage them to perform to their best ability, but while keeping a tight control over their
spending. Besides, the HR planning is important as it also helps the college to cope with the
changes associated with external environment factors. That is, it gives a helping hand to assess
the current human resources through the HR inventory and adapts it to the changing socio-
cultural, technological, political and economic forces.
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