Chapter 4

• What is Human Resource Planning (HRP)?

  HRP is an HRM practice that helps managers predict HR needs related to acquiring, positioning, and utilizing employees.
• What is the main aim of Human Resource Planning?

  The aim of HRP is to aid managers in placing employees where they fit qualifications-wise to help the company achieve its goals.
• How does HRP relate to the overall plan of the organization?

  HRP estimates the number and type of workers needed to successfully implement the overall plan of the organization.
• How is Human Resource Planning defined in relation to a company's HR needs?

  HRP ascertains the company's present and subsequent HR needs.
• What role does HRP play in strategic planning?

  HRP serves as a link between human resource management and the entire strategic plan of the organization.
• What is strategic planning?

  Strategic planning is an organization's process of formulating and implementing its strategies and assessing their effects on the internal and external environment.
• What are the factors that affect Human Resource Planning?

  1. Company's goals, objectives, and strategies
  2. Time spent for planning HR needs
  3. Uncertainties of business activities
  4. Exactness of forecasting manpower needs
  5. Structural design of the company
  6. Internal and external availability of manpower
  7. Preparation period of positioning talents
• Why is forecasting important in Human Resource Planning?

  Forecasting is vital for predicting the company's future human resource needs and ensuring long-term performance.
• What are the three major considerations in forecasting for HRP?

  The three major considerations are predicting demand for labor, predicting supply of labor, and reconciling the gap between demand and supply of labor.
• What is an essential indicator of a company's progress in HRP?

  Predicting a firm's demand for employees is an essential indicator of a company's progress.
• What should a company include in its HR needs forecast?

  A company should append recent data, previous experiences, and other probabilities to create a sensible HR plan.
• What are the two methods of predicting HR needs?

  1. Quantitative methods
  2. Qualitative methods
• What do quantitative approaches in HRP involve?

  Quantitative approaches involve the use of numerical information or mathematical procedures in analyzing data.
• What are the types of quantitative analysis methods used in HRP?

  1. Trend analysis
  2. Ratio analysis
  3. Regression analysis
• What is trend analysis in HRP?

  Trend analysis is based on the concept that past events can help predict future HR needs.
• What does ratio analysis involve in HRP?

  Ratio analysis anticipates future HR demands by calculating the precise ratio between certain variables.
• How does regression analysis work in HRP?

  Regression analysis involves drawing a scatter diagram and calculating a regression line to determine the number of employees needed for each predictor.
• What are qualitative approaches in HRP?

  Qualitative approaches predict future HR needs based on opinions or gut feelings of selected members or outside experts.
• What is the Delphi technique in HRP?

  The Delphi technique is a qualitative forecasting method that seeks expert opinions to minimize biases in forecasts.
• What is supply forecasting in HRP?

  Supply forecasting provides a better picture of the number and type of positions needed to execute work at a specific time.
• What is the first step in predicting the supply of employees?

  The first step is forming a cluster showing the line of positions from which employees can anticipate growth.
• What should organizations consider when predicting the supply of employees?

  Organizations should consider possible mergers, buy-outs, and acquisitions.
• What are the outcomes of the HR planning process?

  • Set and carry out HRM practices
  • Handle the possibility of undersupply or oversupply of personnel
• What are the options for dealing with workforce oversupply?

  • Downsize (lay-off)
  • Suspend hiring
  • Job sharing
  • Set limits to overtime
  • Offer career breaks
  • Avoid contingent workers
  • Early retirement
  • Reduce pay
• What are the alternatives for dealing with workforce undersupply?

  • Hire additional employees
  • Encourage overtime
  • Create another work shift
  • Job re-assignment
  • Strengthen retention program