Professional Documents
Culture Documents
Expert Forecasts: This includes informal decisions, formal expert surveys and Delphi
technique.
Trend Analysis: Manpower needs can be projected through extrapolation (projecting
past trends), indexation (using base year as basis), and statistical analysis (central
tendency measure).
iii.
iv.
v.
3.
4.
Work Load Analysis: It is dependent upon the nature of work load in a department, in a
branch or in a division.
Work Force Analysis: Whenever production and time period has to be analysed, due
allowances have to be made for getting net manpower requirements.
Other methods: Several Mathematical models, with the aid of computers are used to
forecast manpower needs, like budget and planning analysis, regression, new venture
analysis.
Developing employment programs- Once the current inventory is compared with future
forecasts, the employment programs can be framed and developed accordingly, which will
include recruitment, selection procedures and placement plans.
Design training programs- These will be based upon extent of diversification, expansion
plans, development programs, etc. Training programs depend upon the extent of
improvement in technology and advancement to take place. It is also done to improve upon
the skills, capabilities, knowledge of the workers.
revenue), companies are now wising up to the potential themselves. An example? Deloitte have
cut $6M from their annual recruitment bill through more active sourcing on LinkedIn.
2. Facebook
Facebook is approached with a mix of enthusiasm and cynicism when it comes to recruitment.
Whatever you think, you cant ignore it. Creative employers can now target job ads to specific
types of users like a laser.Looking for a marketing manager, with an interest in indie music,
based in Sydneys eastern suburbs? Facebook can help. Also checkout professional networking
plugins like Branchout and BeKnown.
3. Video
Video is a great way to attract candidates by building a profile, and sharing your personality. Get
creative.
4. Meetups (www.meetup.com)
Whats your ideal candidate passionate about? Whats their area of specialty? Meetups are taking
off globally, allowing people with similar interests to get together in person. Yep! TRW (the real
world).
Heres a secret no recruiter would share with you. Youre looking for a Ruby on Rails specialist?
Theres a meetup for that. Why not go along, introduce yourself, and meet potential candidates in
person?A few hours at a meetup could save you $20,000, which is what a specialist recruiter
would charge when they find you a candidate this way.
5. Forums
This is an online version of a meetup. Theres a forum for almost any industry or niche. Youll
see people displaying their knowledge, expertise, and even complaints or frustrations about their
current employer. Examples:
Whirlpool internet and technology
Mumbrella marketing and digital
Selection
Now youve got a shortlist of candidates. How do you select the best one?! Dont ignore the
traditional interview. But these other online tools can make your interviews more efficient and
targeted.
6. Video Interviews
Anyone who has interviewed more than a handful of candidates in person will have experienced
the dud. Within 5 minutes you know theyre clearly not right for the role, but you continue the
interview to avoid appearing rude. Video interviews can solve this problem, whether:
Live interview eg through Skype
Recorded interviews Automated video interviews, with candidates recording their blind
responses to questions via webcam. (This is a tool we offer at Recruit Loop).
7. Psychometric Testing
Learn about behavioral, leadership or decision-making traits before hiring anyone. Psychometric
testing used to be expensive, but affordable online options include:
Right people
Peoplogica
Omnia
8. Skills Testing
Got a role with technical requirements? Youd want to be sure your candidate is up to the task.
You might even want to test a candidate before deciding whether to interview. Examples:
CodeEval or Codility Technical roles
OneTest Admin/clerical
9. Reference / Background Checking
We recommend conducting two reference checks before making any hire. But its a thankless
task, sometimes suited to outsourcing. Examples:
Verify
The PRM Group candidates can apply for their police check on line
10. Social Media Checking
This is a controversial, but growing area (see: Should employers check Facebook before making
a hire).
At one extreme, some web-savvy employers ask candidates to only submit their online social
profiles when applying for a job. Used with caution, a candidates online presence can tell you a
lot about their personality and cultural fit.
11. Employee Attachment
Did you know that during the first 120 days of your new recruits employment, they will actively
assess whether they have made the right decision to join your organization?
The cost of poor attachment is beyond the cost of recruitment. The direct and indirect costs can
add up to over $100,000 over the first three months for a new employee.
12. Ongoing Engagement
Measuring ongoing employee engagement used to require expensive consultants and surveys.
Weve been watching an Australian startup with interest Culture Amp which makes
engagement surveys more accessible, affordable and actionable.
Wooboard
Websumes
Definition of Websumes:
Websume is an online resume that you can use when applying for jobs, showcasing your works
or even to let the world know who you really are. You can also link to it from social networks to
allow your friends a way to learn more about you. Companies open their own website and
advertise the post on their own site like a traditional advertisement. Aggressive job candidates set
up their own webpage to sell their job candidacy called websumes.
Aggressive job candidates are also using the internet. They set up their own web pages called
websumes to sell their job candidacy. When they learn of a possible job opening they encourage
potential employees to check them out in their websites. Their applicants have standard resume
information supporting documentation and sometimes a video where they introduce themselves
to potential employers. These same websumes are also frequently searched by recruiting firms
that scan the internet in search of viable job candidates
Advantages of Websumes:
Internet recruiting provides a low cost means for most businesses to gain unprecedented
access to potential employees worldwide
It is a way to increase diversity i.e. getting potential employees from across the globe
Due to a wide search, internet recruiting provides people with unique talents
As computer prices fall, access costs to the internet decrease and therefore many potential
employees access internet hence organization can advertise higher level jobs as well as
low level jobs.
Disadvantages:
There is not any personal touch on contact between the potential employee and the
organization
Not all potential candidates can access the internet therefore the selection choice may not
be very wide
Selection
Selection, either internal or external, is a deliberate effort of organizations to select a
fixednumber of personnel from a large number of applicants. The primary aim of
employeeselection is to choose those persons who are most likely to perform their jobs with
maximumeffectiveness and to remain with the company. Thus, an attempt is made to find a
suitablecandidate for the job. In doing so naturally many applicants are rejected. This makes
selectiona negative function.
Definition of Selection
Having identified the potential applicants, the next steps are to evaluate their experience
andqualifications and make a selection. According to Yoder, the hiring process is of one
ormany go-no-go gauges. Candidates are screened by the employer and the shortlistedapplicants go on to the next hurdle, while the unqualified once are eliminated.
attempt to secure maximum amount of information from the candidate concerninghis suitability
for the job under consideration.
(e) Checking References
The reference provided by the applicant has to be checked. This is to find out from the
pastrecords of the candidate. Reference checking requires the same use of skills as required
bythe interviewer and some amount of diplomacy. The main difficulty is ascertaining
theaccuracy of information given. Besides inaccurate facts, the referees inability to assessand
describe the applicant and his limited knowledge about the candidate also pose problem.
In spite of its difficulties, it is necessary to verify the information. In many
organizations,reference checking is taken as a matter of routine and treated casually or omitted
entirely.
(f) Physical or Medical Examination
The next step is getting the candidates medically examined if there is a need. Quite often
thecandidates are told to get medically examined before reporting for duty. In Government
andother quasi government organizations getting medically examined is a must before
reportingfor duty or at the time of reporting for duty. Medical examination is a part of the
selectionprocess for all suitable candidates in many organizations.
(g) Final Interview and Induction
After the candidate is finally selected the management will have to explain the job to him.
Heshould be told as to what his duties are, what is required of him and what his future prospects
in the organization are. Normally this information is given to the candidate at the time of final
selection interview. This is the way how the candidate is inducted into the job. Heis formally
appointed by issuing him an appointment letter or by concluding with him aservice agreement.
The appointment letter contains the terms and conditions of theemployment, pay scale and other
benefits associated with the job.
The interviewer can describe the company and its policies, the duties and responsibilitiesof the
applicant as well as the opportunities available to him for future promotion. Theinterviewer
should, in fact highlight the favorable aspects of the job.
Placement
Placement is a process of assigning a specific job to each of the selected candidates. It involves
assigning a specific rank and responsibility to an individual. It implies matching the requirements
of a job with the qualifications of the candidate.
Pigors and Myers have defined placement as the determination of the job to which an accepted
candidate is to be assigned and his assignment to that job. It is a matching of what the supervisor
has reason to think he can do with the job demands; it is a matching of what he imposes in terms
of strain, working conditions, etc., and what he offers in the form of pay roll, companionship
with others, promotional possibilities etc.
After selecting a candidate, he should be placed on a suitable Job. It involves assigning aspecific
rank and responsibility to an employment. Most organizations put new recruits onprobation for a
given period of time (say 6 months or 1 year) after which their services areconfirmed after
successful completion of the probationary period. If the performance isnot satisfactory, the
organization may extend the probation or ask the candidate to quit thejob. However if the
employees performance during the probation period is satisfactory,his services will be
regularized and he will be placed permanently on the job.
Significance of Placement
The significances of placement are as follows:
Problems of Placement
Some problems might crop up while placing an employee on a job. These problems
couldinclude:
Employee expectations form the job.
Expectation form the employers are more than the employees ability or skills.
Technological changes might result in mismatch between the job and the employee.
Change in the organizational structure may result in changes in the job. These changesresult
in a misfit between the employee and the job.
Principles of Placement
A few basic principles should be followed at the time of placement of a workers on the job. This
is elaborated below:
1. Man should be placed on the job according to the requirements of the job. The job should not
be adjusted according to the qualifications or requirements of the man. Job first, man next,
should be the principle of the placement.
2. The job should be offered to the person according to his qualification. This should neither the
higher nor the lower than the qualification.
3. The employee should be made conversant with the working conditions prevailing in the
organization and all things relating to the job. He should also be made aware of the penalties if
he commits the wrong.
4. While introducing the job to the new employees, an effort should be made to develop a sense
of loyalty and cooperation in him so that he may realize his responsibility better towards the job
and the organization.
5. The placement should be ready before the joining date of the newly selected person.
6. The placement in the initial period may be temporary as changes are likely after the
completion of training. The employee may be later transferred to the job where he can do better.
Induction Program
Induction is the process of receiving and welcoming an employee when he first joins the
company and giving him basic information he needs to settle down quickly and happily and stars
work.
According to R.P Billimoria, induction or orientation is a technique by which a new
employeeis rehabilitated into the changed surroundings and introduced to the practices, policies
andpurposes of the organization.
A formal orientation tries to bridge the information gap ofthe new employee. When a person
joins an organization he is a stranger to it. He mayexperience a lot of difficulties which could
lead to tension and stress in him. This in turncan reduce his effectiveness.
To help the new comer to overcome his shyness and overcome his shyness nervousness in
meeting new people in a new environment.
To give new comer necessary information such as location of a caf, rest period etc.
To build new employee confidence in the organization.
It helps in reducing labor turnover and absenteeism.
It reduces confusion and develops healthy relations in the organization.
To ensure that the new comer do not form false impression and negative attitude towards the
organization.
To develop among the new comer a sense of belonging and loyalty to the organization.
1. Meaning of Forecasting
Human resources forecasting involves projecting labor needs and the effects they'll have on a
business. An HR department forecasts both short- and long-term staffing needs based on
projected sales, office growth, attrition and other factors that affect a company's need for labor.
Forecasting involves the generation of a number, set of numbers, or scenario that corresponds to
a future occurrence. It is absolutely essential to short-range and long-range planning. By
definition, a forecast is based on past data, as opposed to a prediction, which is more subjective
and based on instinct, gut feel, or guess.
HR forecasting continues the heart of the hr planning process and can be defined as ascertaining
the net requirement for personnel by determining the demand for and supply of human resources
now and in the future.
Forecasts refer to a prediction of the outcome when normal course of events are influenced and
altered by external forces. Forecasts usually take into account both the projections and the
estimates. For example, forecasts at the macro level could result in a statement of what would
happen if economic growth was deliberately manipulated by government policy Forecasting is
the process of making judgments about events whose actual outcomes have not been seen.
categories of manpower. They are also useful in the preparation of corporate plans incorporating
productivity changes, technological changes and major organizational developments.
4) Policy Conditional Forecasts
Policy conditional manpower forecasts are those which are determined by the policy towards the
factors which influence the demand for manpower.
5) Optimizing Forecasts
Optimizing human resource forecasts are those which are obtained as solutions to an optimizing
model in which numbers demanded of various categories of manpower are so determined that
either the end benefits are maximized, or cost of resources used in achieving a pre-determined
end objective is minimized.
6) Macro and Micro Forecasts
Macro forecasts are done usually at the national, industry sector and region state levels whereas
Micro forecasts are made at the enterprise or department level. Macro human resource forecasts
are used for planning, education and training facilities as well as to make decisions regarding
choice and location of industries for development whereas Micro human resource forecasts are
needed primarily for planning recruitment, promotion, training and counseling in accordance
with the plan for the development of enterprise or department concerned.
5.
Benefits of HR Forecasting
1.
2.
3.
4.
Reduces HR costs
Increases organizational flexibility
Ensures a close linkage to the macro business forecasting process
Ensures that organizational requirements take precedence over issues of resource
constraint
and scarcity (HR Supply and HR Demand)
Corporate mission,
Strategic goals
Operational goals,
Production budgets
HR policies
Organizational structure, restructuring, mergers
Worker competencies, expectations
HRMS level of development
Organizational culture, climate, job satisfaction,
Internal communications
Job analysis: Workforce coverage, current data
7.
a) Determine HR Demand
Variety of factors is to be considered each organizational subunit has to submit net personal
requirements to forecasting unit, based on future needs for labor required to meet agreed
objectives (e.g., market share/production level). HR demand figure must include individuals
needed to maintain/replace personnel who retire/die/fired/terminated/long term care,
replacements for those who are promoted/transferred. Subunit demands are then aggregated and
used as starting point for HR demand forecasts. Ascertain HR supply (includes internal supply
and external supply) and skills inventory- personal database record on each employee.
b) Ascertain HR Supply
Internal supply: current members of the organizational workforce, who can be retained,
promoted, transferred, to fill anticipated HR requirements
External supply: potential employees who are currently undergoing training, working for
competitors, members of unions of professional associations.
c) Determine Net HR Requirements
- external supply requirements = replacement + change supply components
- change supply = hiring to increase (or decrease) the overall staffing level
- replacement supply= hiring to replace all normal losses
- external supply = current workforce size x (replacement % per year + change % per year)
d) Institute HR Programs: HR Deficit and HR Surplus
- HR deficit --> occurs when demand for HR exceeds the current personnel resources
available in the organization's workforce (HR internal supply)
- HR surplus --> occurs when the internal workforce supply exceeds the organization's
requirement or demand for personnel.
Social, political & legal challenges easier to predict, but their implications are not very
clear (Implication of abolishing mandatory retirement age in US may not be known until a
generation has lived without 65 & out tradition)
Technology changes difficult to predict & assess but may radically alter strategic & HR
plans (PC would cause mass unemployment vis--vis IT field as a large one employing
millions of people directly / indirectly complicates HR, because it tends to reduce
employment in one dept. while increasing it in another)
b). Organizational Decisions
As organizations respond to changes in their environment, decisions are made to modify the
strategic plan, which commits firm to long-range objectives growth rates & new products,
markets / services & these objectives dictate number & types of employees needed in future
In short run, planners find strategic plans become operational in form of budgets
Sales & production forecasts are less exact than budgets but may provide even quicker
notice of short-run changes in demand for HR
New ventures means changing HR demands when a new venture is begun internally from
scratch, lead time may allow planners to develop short-run & long-run employment plans
merging HR group with Corporate Planning staff
9. Outcomes of Forecasts
Prediction: A single numerical estimate of HR requirements associated with a specific time
horizon and set of assumptions
Projection: Incorporates several HR estimates based on a variety of assumptions
Envelope: An analogy in which one can easily visualize the corners of an envelope
containing the upper and lower limits, or bounds, of the various HR projections extending
into the future
Scenario: A proposed sequence of events with its own set of assumptions and associated
program details
Contingency plans: Implemented when severe, unanticipated changes to organizational or
environmental factors completely negate the usefulness of the existing HR forecasting
predictions or projections; like a backup plan
Expert Forecasts
Expert forecasts rely on those who are knowledgeable to estimate future human resource needs.
At the first level of complexity, the manager may simply be convinced that the workload justifies
another employee. It is 4 types
a) Informal and instant forecast: Manager believes workload justifies another
employee.
b) Formal expert surveys: A better method is for planners to survey managers, who are the
experts, about their departments future employment needs. The centralization of this
information permits formal plans that identify the organizations future demand. May use
questionnaires or focused discussions e.g. nominal group techniques.
c) Nominal group technique: A focused group discussion where members meet face-to-face,
write down their ideas, and share them. All new thoughts on a topic are recorded and ranked
for importance.
d) Delphi technique: The soliciting of predictions about specified future events from a panel of
experts, using repeated surveys until convergence in opinions occurs. Although short-term
forecasting is generally handled by managers, the Delphi technique is useful for long-range
forecasting and other strategic planning issues. It typically involves outside experts as well as
company employees, based on the premise that outsiders may be able to assess changes in
economic, demographic, governmental, technological, and social conditions, and their
potential impact more objectively.
The Delphi technique involves the following steps:
1. The problem is identified (in this case, estimates of demand) and each group member is
requested to submit a potential solution by completing a carefully designed questionnaire. Direct
face-to-face contact is not permitted.
2. After each member independently and anonymously completes the initial questionnaire, the
results are compiled at a centralized location.
3. Each group member is then given a copy of the results.
4. If there are differences in opinion, each individual uses the feedback from other experts to
fine-tune his or her independent assessment.
5. The third and fourth steps are repeated as often as necessary until a consensus is reached
Trend Projection Forecasts
Perhaps the quickest forecasting technique is to project past trends. Trend analysis involves
studying the firms employment levels over the last three to five years to predict future needs.
The purpose is to identify employment trends that might continue into the future, assuming that
the past is a strong predictor of the future. Trend analysis is valuable as an initial estimate only,
since employment levels rarely depend solely on the passage of time. Other factors (like changes
in sales volume and productivity) will also affect future staffing needs.
a) Extrapolation: Extrapolation involves extending past rates of change into the future. For
example, if an average of 20 production workers were hired each month for the past two years,
extrapolation indicates that 240 production workers will probably be added during the upcoming
year.
b) Indexation: Indexation is a method of estimating future employment needs by matching
employment growth with a selected index. A common example is the ratio of production
employees to sales. For example, planners may discover that for each million-dollar increase in
sales, the production department requires 10 new assemblers.
c) Statistical Analysis
Various statistical procedures, including regression analyses, can be used to develop forecasts
based on scenarios or theorized relationships between variables.
Other Forecasting Methods
There are several other ways planners can estimate the future demand for human resources.
a) Budget and Planning Analysis: Organizations that need human resource planning generally
have detailed budgets and long-range plans. A study of department budgets reveals the
financial authorizations for more employees. These data plus extrapolations of workforce
changes (resignations, terminations, and the like) can provide short-run estimates of human
resource needs. Long-term estimates can be made from each department or divisions longrange plans.
b) New-Venture Analysis: When new ventures complicate employment planning, planners can
use new-venture analysis. New-venture analysis requires planners to estimate human
resource needs by comparison with firms that already perform similar operations. For
example, an integrated steel company that owns steel plants and iron ore mines decides to
explore iron ore at a new site. The management can estimate its employment needs in the
new mine by looking at employment levels of other iron ore mines and making necessary
adjustments for productivity improvements.
c) Computer-Based Simulation Models: The most sophisticated organizations used robust
technology to forecasting effectively. Computer models are a series of mathematical
formulas that simultaneously use extrapolation, indexation, survey results, and estimates of
workforce changes to compute future human resource needs. They simulate and forecast
changes in demand for human resources caused by various internal and external factors.
1. Managerial Judgment
This technique is very simple. In this, manager sits together, discuss and arrive at a figure which
would be the future demand for labor. The technique may involve a bottom -to -top or top-to bottom approach.
2. Trend Analysis
Method which forecast employments requirements on the basis of some organizational index and
is one of the most commonly used approaches for projecting HR demand.
Business Factor Annual Volume of Sales.
Total Number of Employees.
Compare the Productivity Ratio.
Calculate Human Resources demand.
Forecasted Human Resource Requirements
3. Ratio Analysis
Another approach, Ratio analysis, means making forecasts based on the ratio between.
1. Some causal factor (like sales volume)
2. The number of employees required
4. Scatter Plot
A graphical method used to help identify the relationship between two variables. A scatter plot is
another option. HR planner can use scatter plots to determine whether two factors measure of
business activity and staffing levels are related.
5. Computerized Forecast
The determination of future staff needs by projecting a firms sales, volume of production, and
personnel required to maintain this required volume of output, using computers and software
packages. Employers also used computerized system to personnel requirements.
6. Work Study Technique
Work study technique is based on the volume operation and work efficiency of personnel.
Volume of operation is derived from the organizational plan documents and increase/decrease in
operation can be measured.
7. Delphi Technique
This technique calls for a facilitator to solicit and collate written, expert opinion on labor
forecast. After answers are received, a summary of the information is developed and distributed
to the experts, who are than requested to submit revised forecast. Expert never meet face-to-face,
but rather communicate through the facilitator.
8. Regression Analysis
Regression analysis identifies the movement of two or more inter-related series. It is used to
measure the changes in a variable as a result of changes in other variables. Regression analysis
determines the relationship between Y variables such as the number of employees and X
variables such as service delivery by actually measuring the relationship that existed in the past.
Use of the method begins with a series of observation each costing of a value for the Y variable
plus a value for each X variable.
9. Econometric Models
Econometric models for estimation of manpower requirement differ from the statistical methods.
Past statistical data are analyzed in the hope that it will prove possible to describe precisely the
relationships between a number of variables in mathematical and statistical terms.
10. Nominal Group Technique
The nominal group technique is a decision making method for use among groups of many sizes,
who want to make their decision quickly, as by a vote, but want everyones opinions taken into
traditional voting.
a) Introduction and Explanation
b) Silent Generation of Ideas
c) Sharing Ideas
d) Group Discussion
e) Voting and Ranking
11. H R Budget and Planning Analysis
There are several other ways by which planners can estimate the future demand for human
resources. One approach is through budget and planning analysis. When new ventures
complicate employment planning planners can use new-venture analysis.
12. Scenario Forecasting
A scenario technique is used to explore the likelihood of possible future developments and
changes and to identify the interaction of uncertain future trends and events.
Preparation of Background
Selection of Critical Indicators
Establishing Past Behavior of Indicators
Verification of Potential Future Events
Forecasting the indicators
Writing of scenarios
13. Workforce Analysis
It means, to determine the rate of influx and out flow of employee. It is through this analysis one
can calculate the labor turnover rate, absenteeism rate etc.
14. Workload Analysis
It is a method that uses information about the actual content of work based on a job analysis of
the work. Workload analysis involves use of ratios to determine HR requirement. Both the
number of employees and the kind of employees required to achieve organizational goals are
identified.
15. Job Analysis
Job analysis helps in finding out the abilities or skills required to do the jobs efficiently. A
detailed study of jobs is usually made to identify the qualification and experience required for
them.
establish objective at this point in manpower planning. These objectives usually involve how to
attract desirable employees and how to get rid of undesirable ones. Short-term manpower
planning programs include recruiting programs, selection programs and performance appraisal
systems. Assessing the level of success at this point is usually very easy.
2. Intermediate-Term Manpower Planning
Intermediate-term manpower planning involves a lot more uncertainty at every phase of
manpower planning. The main question that must be asked is, What will we need? The task
becomes less about evaluating what is available now and more about forecasting. Often, a lot of
these questions are answered based upon the judgment and discretion of midlevel management.
Establishing objectives in this type of manpower planning usually involves trying to adjust
employees' skills to match those that will be needed in the immediate future.
3. Long-Term Manpower Planning
Long-term manpower planning is becoming one of the most important tasks faced by companies
that want to survive. Succession planning is a large part of this type of manpower planning. It
involves judging what kinds of skills managers will need in the future and figuring out how to
provide people the chance to build these skills. Also, competitive strategy plays a big role in
long-term manpower planning; will the company want to focus on maintaining innovation or on
cutting costs? Career development programs are often a part of the third phase of this type of
planning. The success of long-term planning programs is still difficult to assess, but as time
passes, more and more information becomes available.
2. Selection Process
After interviews are conducted, hiring managers and human resources personnel meet and select
a candidate to offer the job to. The team carefully considers the candidates' qualifications,
assessments and interviews to determine whom to offer the job. If hiring managers are not
satisfied with any of the candidates, the recruiting process may start again. In most cases, the
hiring team has the ability to select a candidate and a job offer is made. If the candidate declines
the job offer, the recruiting process may start again.
The Employee selection Process takes place in following order
Preliminary Interviews- Preliminary interviews are less formalized and planned than the
final interviews. The candidates are given a brief up about the company and the job
profile; and it is also examined how much the candidate knows about the company.
Preliminary interviews are also called screening interviews.
Application blanks- The candidates who clear the preliminary interview are required to
fill application blank. It contains data record of the candidates such as details about age,
qualifications, reason for leaving previous job, experience, etc.
Written Tests- Various written tests conducted during selection procedure are aptitude
test, intelligence test, reasoning test, personality test, etc. These tests are used to
objectively assess the potential candidate. They should not be biased.
Employment Interviews- It is a one to one interaction between the interviewer and the
potential candidate. It is used to find whether the candidate is best suited for the required
job or not. But such interviews consume time and money both. Moreover the
competencies of the candidate cannot be judged. Such interviews may be biased at times.
Such interviews should be conducted properly. No distractions should be there in room.
There should be an honest communication between candidate and interviewer.
Medical examination- Medical tests are conducted to ensure physical fitness of the
potential employee. It will decrease chances of employee absenteeism.
Appointment Letter- A reference check is made about the candidate selected and then
finally he is appointed by giving a formal appointment letter.
A detailed survey of the internal manpower resources can ultimately lead to as assessment of the
deficit or surplus of personnel for the different levels during the planned period. Whilst arriving
at the final figures, it is necessary to take into account the actual retirements and estimated loss
due to death, ill health and turnover, based on past experience and future outlook in relation to
companys expansion and future growth patterns.
04. Valuation of the Future Organizational Structure and Manpower Requirements:
The management must estimate the structure of the organization at a given point of time. For this
estimate, the number and type of employees needed have to be determined. Many environmental
factors affect this determination. They include business forecast, expansion and growth, design
and structural changes, management philosophy, government policy, product and human skills
mix, and competition.
05. Exhibiting of Human Resource Plan:
This step refers to the development and implementation of the human resource plan, which
consists in finding out the sources of labor supply with a view to making an effective use of these
sources. The first thing, therefore, is to decide on the policy that should the personnel be hired
from within through promotional channels or should it be obtained from an outside source.
The best policy which is followed by most organizations is to fill up higher vacancies by
promotion and lower level positions by recruitment from the labor market. The market is a
geographical area from which employers recruit their work force and labor seeks employment.
Factors to be considered in commitment manpower planning:
(1) Goals or objectives of Businessevery business enterprise has some goals or objectives.
The manpower planning must be integrated with business policies as regards to profitability,
production, sales and development of resources. Any change in business objectives would
certainly affect the manpower planning. For example a company decides to introduce computer
system in the enterprise. This change will affect the manpower planning i.e., company will have
to recruit computer operators or it will train its existing employees in computer science. Thus,
determination of business objectives clearly in advance is a prerequisite for the effective
manpower planning.
(2) Support of Top-level managementManpower planning must have the initiative and
support of top level management. Personnel manager as a staff authority can only advise or guide
the top management; he cannot implement decisions. Action on decisions or suggestions of the
personnel manager is to be taken only at the initiative of top executives. Thus support of top
management is a must for the effective manpower planning.
(3) Well-organized personnel departmentManpower planning requires forecasting the
requirements and developments of the personnel for this purpose, there is a need of a well-
organized personnel department. Personnel department collects, records, analyses, interprets and
maintains the facts and figures relating to all the personnel in the organization.
(4) Determination of related policiesDetermination of personnel policies regarding
promotion, transfer, wages, fringe benefits, training, leaves etc. is a prerequisite for manpower
planning Without these policies manpower planning will be of little use.
(5) Responsibilitythe responsibility of manpower planning should be assigned to some
responsible senior personnel He should be provided all figures to the planning.
(6) Fixing Planning PeriodPlanning is concerned with problem of future. The planning
period is divided into short term and long term. Planning period depends on the nature of the
business and the social, economic and political environment. Long term planning is preferable
for basic and heavy industries. Consumer goods industries may not resort to long term plans. The
other important factors arc rate of population growth education and training facilities cost of
training etc.
(7) Manpower standardsIn order to avoid the problems of overstaffing and understaffing, the
optimum manpower standards should be determined on the basis of prevailing standards in
similar organizations, past experiences and work measurement.
These factors will reduce the cost of production and will increase the quality of production and
will help in preparation of manpower plans.
Selection
Selection is the process of picking up individuals (out of the pool of job applicants) with
requisite qualifications and competence to fill jobs in the organization. A formal definition of
Selection is as under. Selection is the process of differentiating between applicants in order to
identify and hire those with a greater likelihood of success in a job.
4. Achieving and maintaining Production Level: Manpower planning helps in achieving and
maintains production level in an organization. There is reduction in labor turnover, absenteeism
and accidents etc. These industrial hazards are properly estimated by manpower management.
These estimates in advance are helpful in maintaining desired production levels.
Besides the above mentioned objects there are certain other objects of manpower management
also. These are bringing about industrial peace and harmony, effective utilization of manpower
resources and undertaking programs for the development of employees.