Chapter 5 Flashcards
(15 cards)
What is Human Resource Planning (HRP)?
The process of forecasting future human resources requirements to ensure that the organization will have the required number of employees with the necessary skills to meet its strategic objectives.
What are the strategic importance of HRP?
Helps meet strategic goals, achieve economies in hiring, meet major market labor demands, anticipate shortages/surpluses, and control labor costs.
How does HRP relate to Strategic Planning?
HRP aligns with an organization’s short-term and long-term goals, ensuring the workforce meets business needs.
What are the external environmental factors in HRP?
Economic conditions, market trends, HR-related laws, social concerns, technological changes, demographic trends.
What are the steps in Human Resource Planning?
- Forecasting the availability of candidates (Supply)
- Forecasting future HR needs (Demand)
- Planning and implementing HR programs to balance supply and demand.
How do you forecast the availability of internal candidates?
Using skill inventories, management skills inventories, replacement charts/summaries, succession planning, and Markov analysis.
What is a skill inventory?
A summary of employees’ education, experience, interests, and skills used for transfer/promotion eligibility.
What is Markov Analysis?
A forecasting method tracking employee movements through various jobs and developing a probability matrix of transitions.
What factors are assessed in forecasting external candidates?
General economic conditions, labor market conditions, and occupational market conditions (education, age, gender, wages, unemployment).
What are methods to forecast future HR demand?
Trend analysis, ratio analysis, scatter plot, regression analysis, nominal group technique, and Delphi technique.
What is a staffing table?
A visual representation of all jobs within an organization with the number of current employees and future employment needs.
What is a labor surplus?
When the internal supply of employees exceeds forecasted demand.
What are ways to respond to labor surplus?
Hiring freeze, early retirement buyout, job sharing, reduced workweek, layoff, termination, leave of absence.
What is a labor shortage?
When the internal supply of employees cannot meet organizational needs.
What are ways to respond to labor shortages?
Internal solutions: Transfer, promotion, retention. External solutions: Recruiting.
