Sound human resource planning needs to be based on the principles and actions highlighted in the article below. In the practical world, an external human resource consultant or employment agency plays an important role in planning the basic requirements for human resource.
1. Human Resource Planning has to be finally integrated into the other areas of the organizations strategy and planning.
2. Senior management must give a lead in stressing its importance throughout the organization.
3. In larger organizations a central human resource planning unit responsible to senior management needs to be established. The main objectives of this are to co-ordinate and reconcile the demands for human resources from different departments, to standardize and supervise departmental assessments of requirements and to produce a comprehensive organizational plan. In practice, the Human Resource and Development department would normally play a leading role in the task. In smaller organizations these responsibilities would probably be carried out by a senior manager or even the managing director.
4. The time span to be covered by the plan needs to be defined. Because of the abiding problem of making forecasts involving imponderable factors, a compromise is often adopted in which a general human resource plan is produced to cover a period of several years. If the system is operated as a continuous, rolling plan, the five year period of general forecasting is maintained and each first year is used in turn for purpose of review and revision for the future.
5. The scope and details of the plan have to be determined. For large organizations separate human resource plans and forecasts may well be needed for various subsidiary units and functions. In smaller organizations one comprehensive plan will probably suffice for all employees. Where particular skills or occupations may pose future problems in recruitment or training, special provisions will be required in human resource planning.
6. Human resource planning must be based on the most comprehensive and accurate information that is possible. Such personal information is essential in any case for the effective management of the organization. Details of format and contents will naturally vary, but they will normally need to include details of age, sex, qualifications and experience and of trends likely to effect future forecasts, such as labor wastage, charges in jobs, salaries, etc. Apart from the routine collection of data for personnel records, special analyses may sometimes be necessary to provide particular information.