Explain the need for human resource planning.

Explain the need for human resource planning. 

Answer: 

Human Resource Planning is a mandatory part of every organization’s annual planning process. Every organization that plans for its business goals for the year also plans for how it will go about achieving them. To carry on its work, each organization needs competent staff with the necessary qualifications, skills, knowledge, work experience and aptitude for work. 

• There is an ongoing need to hire replacements since employees exit and organization both naturally due to superannuation and unnaturally due to resignation.

• To meet the need for more employees due to organizational growth and expansion, this in turn calls for larger quantities of the same goods and services as well as new goods. This growth could be rapid or gradual depending on the nature of the business, its competitors, its position in the market and the general economy. 

• Sometimes an organization may need to replace the nature of the present workforce as a result of its changing needs, therefore the need to hire new set of employees. For example a company acquired a new smaller company that deals with a different technology and they need a new set of workforce to manage the division. 

 • To meet the challenge of the changed needs of technology / product/service innovation the existing employees need to be trained or new skill sets induced into the organization.

• To identify the need to reduce its workforce in an organisation. In situations where the organization is faced with severe revenue and growth limitations it might need to plan well to manage how it will reduce its workforce.