The Impact of Human Resources Planning on the Performance of organizations

Abstract

The purpose of this work is to explore what factors motivate organizations and individuals to participate in HRP. Moreover, the study aims to identify and explore possible obstacles that might prevent secure developments of HRP implementation. This work has been conducted seeking to establish a relationship between human resource (HR) practices and firm performance. While this research has demonstrated promising results, a significant number of problems exist. This work seeks to identify the theoretical and empirical challenges facing researchers who wish to further establish the impact of HR practices on firm performance. For years organizations that have had what they thought were KPIs have not had the focus, adaptability, innovation, and profitability that they were seeking. KPIs themselves were mislabeled and misused. Examine a company with over 20 KPIs and you will find a lack of focus, lack of alignment, and underachievement. Some organizations try to manage with over 40 KPIs, many of which are not actually KPIs. The chapter one explains a new way of breaking performance measures into key result indicators, performance indicators, and key performance indicators. It also explains a significant shift in the way KPIs are used to ensure they do not create dysfunctional behavior. Chapter two indicates that human resource planning in the business practice should represent generally used and key activity for human resource management because human resource planning helps to make optimum utilization of the human resources in the enterprise and it helps to avoid wastage of human resources. Human resource planning allows to forecast the future manpower requirements and to forecast the number and type of employees who will be required by the enterprise in a near future. In the long-term period, success of any enterprise depends on whether the right people are in the right places at the right time, which is the nature of human resource planning. The aim of this contribution is to explain the importance of human resource planning. Human resource planning holds a huge role to play. Theoretical bases of HR planning practices have been investigated in detail in this work. Authors have tried to cover and present comprehensive literature on this important practice of HR. The importance of HR planning, its strategic objectives and factors influencing it are all covered in this literature study. Also, the study covers HR planning frameworks and models and tells the processes to retain and motivate the workforce of the organization. Human resource planning (HRP) has received a considerable attention as a method of linking strategic organization objectives to human resource programs and policies. A large body of literature has evolved advocating the use of formal, comprehensive human resource planning approaches in organizations. The underlying assumption is that human resource planning applications can have a major positive impact in the areas of personnel cost-effectiveness, employee productivity, and management resource development. The chapter three of this work is to explore the impact of human resource planning on organizational performance. The intention of this chapter further goes beyond identifying human resource planning methods currently used by the organization and how they lead to increased organizational performance, to investigate benefits associated with human resource planning to the organization, to identify challenges faced in implementing human resource planning and lastly to establish a board of knowledge that can be used by NCIV to improve organizational performance. Human resource planning requires considerable amount of financial resources besides time and staff. Small firms may not go for it, but large organizations prefer human resource planning as a means of achieving greater effectiveness and long-term objectives.