HUMAN RESOURCE DEMAND FORECASTING PPT

1

Forecasting as a Part of Human Resource
Planning
Choose human resource programs

DEMAND
FORECASTING

Determine organizational objectives

Internal programs

External programs

•Promotion

•Recruiting

•Transfer

•External selection

•Career planning

Demand forecast for each objective
Aggregate
demand forecast SUPPLY
FORECASTING

•Executive exchange •Training
•Turnover control
Internal supply forecast

Does aggregate supply meet aggregate No demand? External supply forecast

Aggregate supply forecast Yes
Go to feasibility analysis steps

2

MAN POWER DEMAND FORECASTING
Long Range
Objectives
& Plans

Overall
Requirements
for human resources Short terms goals, plans, programmes
& budgets

Work force
Requirements by occupational categories job skills etc

Inventory of
Present Human
Resources

Inventory by
Occupational
categories skills, Demographic characteristics Net New
Human Resource
Requirement
Leading to action planning.
For Recruitment
& Selection
Needed

Procedure for
Evaluating
Effectiveness or
Human
Resources

Needed
Replacement
or additions.
Leading to plans for developing, transferring, recruiting & selecting needed people

3

Causes of Demand for Human
Resources

External

Organizational

Workforce

Economic developments Strategic plan

Retirements

Budgets

Resignations

Sales & production forecasts

Terminations

New ventures

Leaves of absence Socialpolitical-legal challenges Technological challenges Competitors

Organizational
& job design

Deaths

4

HRP and Environmental Scanning
 Environmental Scanning
– The systematic monitoring of the major external forces influencing the organization.
 Economic factors: general and regional conditions
 Competitive trends: new processes, services, and innovations  Technological changes: robotics and office automation
 Political and legislative issues: laws and administrative rulings  Social concerns: child care and educational priorities
 Demographic trends: age, composition,and