1 Concept of HRP
- Continuous planning for optimum use of quality employees
- Best fit people ↔ jobs; avoids shortage / surplus
- Bridges the gap: org plans ↔ HRM
- Groundwork for manpower procurement
Dale S. Beach: adequate qualified persons, proper times, satisfaction
Decenzo & Robbins: right number & kind, place, time
Clinical: HRP = cath lab rota. Forecast case load, count staff and leavers, then hire, cross-train or adjust shifts.
2 Types (2) + Objectives
| Macro | HR strategic planning / org design & dev; aligns with mission |
| Micro | tactics; right number + KSA mix per dept |
Macro drives micro · "3 types" = False
Ebook: 12 objectives
- Forecast needs · utilise existing HR · availability
- Surplus/shortage · technology impact · labour + housing cost
- Recruitment & training levels · mgmt development · productivity
Study Notes: 5
ForecastAlignSkill gapsFlexibilityResource use
3 Factors affecting HRP
Ebook
| External (3) | Economic · Govt policies · Technological |
| Internal (5) | Policies · Time horizons · Info type & quality · Trade unions · HR systems |
Short plan 6m–1y · long 3–20y · more uncertainty = shorter horizon
Study Notes
| Internal | workforce · culture · strategic objectives |
| External | labour market · economy · tech · regulation · globalisation |
| Organisational | strategy fit · innovation · market position · structure & culture |
Trap: Info quality is internal, not external.
4 Process of HRP
Ebook: 6 steps
- 1 Environmental scanning
- 2 Demand forecasting (quantity + quality)
- 3 Supply forecasting (internal + external)
- 4 Matching demand & supply
- 5 Action plan
- 6 Monitoring, control & feedback
Study Notes: 8 steps
Assess workforce → Scan → Forecast → Skill gaps → Strategies → Implement → Monitor & evaluate → Feedback & adapt
Trap: LMS key says "process begins with forecasting" = True. Demand forecast is not "solely historical".
5 Forecasting techniques (11)
| Bottom-up | lowest level upward |
| Top-down | market data downward |
| Delphi | expert panel, rounds converge |
| NGT | structured group brainstorming |
| Ratios | business variable : staff |
| Regression | dependent from independent |
TrendMath modelsWorkloadBrainstorming (DMAIC)Sales force estimate
Study Notes · Quant: trend, ratio, workload, regression · Qual: expert, Delphi, scenario, focus groups
6 HR flows & supply
In: recruits, promotions, transfers · Out: retire, terminate, resign, death, layoff, downsizing, exit
Internal supply (6)
Staffing tablesSkills inventoryHRISSuccession planningReplacement chartsRenewal analysis
External supply (4)
Labour marketsDemographicsContingent workforceIndustry trends
Remember: Renewal analysis starts at the top. Contingent workers are not on payroll.
7 Gap analysis & actions
| S = D | balance |
| S < D | shortage → hire, train |
| S > D | surplus → reduce |
Action plans (7)
- Layoffs · Downsizing · Early retirement · Reduced hours · Hiring
- Attrition: gradual, leavers not replaced
- Outplacement: terminate with dignity
Trading: Gap analysis = portfolio rebalancing. Underweight → buy (hire). Overweight → trim (attrition, outplacement).
8 Implement · Evaluate · Traps
Execution: communication · T&D · recruitment & onboarding · downsizing with sensitivity · leadership support · change mgmt
Evaluate: goal alignment · workforce capability · cost-effectiveness · employee satisfaction
Misconceptions
- Not just filling vacancies
- Not one-time: ongoing cycle
- Not only for large firms
- Talent = hire and retain
- HRP bridges, never widens