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Manpower Planning Leaving Certificate Business Unit 4 - HRM
Manpower Planning People are the most valuable resource available available to business and a nd need to be managed ma naged effectively. •
The Human Resource Resource (HR) department is responsible for this important task.
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Manpower Planning •
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Manpower planning involves the Human Resources Resources (HR) manager ensuring that the business has enough skilled workers workers to do all the jobs needed in the business, so that it can achieve its goals. The HR manager does this in three th ree steps. steps.
Step 1 – Forecast Future Demand •
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This involves forecasting future staffing needs based on the company’s strategic goals. It’s important for a business to have the correct number of staff staff with appropriate appropriate skills and qualifications.
The HR manager must estimate how many employees and what the skills the business will need in the future.
Step 1 – Forecast Future Demand •
Example –
An airline plans to run 100 flights a day from next July.
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Each flight needs two pilots.
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Therefore, the airline needs 200 pilots from July.
Step 2 – Calculate Existing Supply •
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The HR manager must conduct an audit of the existing employees who work in the business (including numbers, age and skills) to see how many workers workers the business has. Example contd. –
At the moment the airline employs 180 pilots.
Step 3 – Recruitment/Redundancy •
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If demand exceeds supply (i.e. if the business needs more employees than it has), the strategy is to recruit more employees. If supply exceeds demand (i.e. if the business has too many workers), the strategy is to make some of the existing employees redundant.
Step 3 – Recruitment/Redundancy •
Example contd. –
The airline will have to start start recruiting 20 pilots now to be ready to start work next July.
Benefits of Manpower Planning •
It avoids the problem of the business being wo rkerss might might result in understaffed. Too few worker products not getting made on time, leading to unhappy customers and lower sales.
Benefits of Manpower Planning •
It also avoids the problem of being overstaffed. If the manager sees that the business has too many workers, she can make the excess redundant. redundant. This, manpower planning helps the business reduce its wages cost.
Homework Questions •
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Use a ladder graphic organiser organiser to list the functions of a HR manager man ager,, using the Animoto from class, which is also als o on the website. Explain the purpose of Manpower planning and what it involves.
Referencing •
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Some information for these slides was taken from: Murphy, W. (2015). 21st Century Business: Business for Leaving Certificate, Revised Edition. Dublin: CJ Fallon. Stafford, J. & McGowan, S. (2012). It’s the Business: Business for Leaving Certificate. Dublin: The Educational Company of Ireland