Advantage at General Motors
Problem: Time spent completing HR transactions hurts employee and HR productivity Solution: Developing an employee services center website The website has saved GM time and money by:
Employee Flows in an Organization
External Recruits Recalls promotions demotions internal transfers Quits Retirements Deaths Layoffs
Human Resource Planning
• company strengths/weaknesses • external opportunities/threats • source of competitive advantage
1.Translating organizational goals into more narrow functional or departmental goals 2.Devising strategies for meeting these c Planning
“Why
does our organization exist?” “What unique contributions can it make?
Strategic Planning

Step 2: Scan the organizational environment
– The firm’s external and internal environments must be scanned to identify threats and opportunities. – External environment
The Definition of HRP

HRP is the process through which organizational goals, as defined in business plans and mission statements, are translated into staffing-level objectives and integrated personnel programs and policies. It is concerned with the flow of people into, through, and out of an organization. It involves forecasting the need for labor and the supply of labor, then planning the programs necessary to assure that the organization has the right mix of employees and skills when and where they are needed.

Strategic Analysis
– What human resources are needed and what are available?

Strategic Formulation
– What is required and necessary in support of human resources?

Strategic Implementation
– How will the human resources be allocated?
Human Resources Planning
Strategic Planning
Integrating HRP and Strategic Planning

– Costing less than a nickel a minute – Freeing employees time, improving speed and quality of their work – Improving the productivity of the HR Department
Strategic Planning
Step
1: Determine the organizational mission
– Mission statement
»A declaration of the organization’s overall purpose »Defines the basic business scope and operations that distinguish the organization from others of a similar nature »Answers the questions:
Strategy Implementation
Implement processes to achieve desired results:
• business goals
• company strengths/weaknesses • external opportunities/threats • source of competitive advantage
Human Resource Planning
“process of identifying and responding to organizational needs and charting new policies, systems, and programs that will assure effective human resource management under changing conditions”
»Assess the firm’s strengths and weaknesses in order to form strategic goals that take advantage of strengths
– The task of gathering information for strategy formulation rests with all managers and employees.
HRM and Competitive Advantage
HR Planning
Job Analysis
Recruitment Selection
Competence Motivation Work Attitudes Output Retention Legal Compliance Company Image Cost Leadership
»Challenges posed by political, legal, economic, social, and technological issues »Planners must also scan their industry environment.
– Internal environment
getting the right people at the right place at the right time
Five Major Objectives of HRP
Linking HR Planning Practices to Competitive Advantage
Employee Movements Into, Within, and Out Of Organization Are Smooth/ Less Disruptive Effective HR Planning Select HighQuality Applicants Retain HighPerforming Employees Transition Costs Are Minimized Lower Costs Competitive Advantage
» Specific » Challenging » Measurable
Strategic Planning
Step
4: Formulate a strategic plan
– Specifies the courses of action a firm must take in order to meet its strategic goals – Formulated by:
– The process typically consists of the following activities:
1.Determine the organizational mission. 2.Scan the organizational environment. 3.Set strategic goals. 4.Formulate a strategic plan, part of which addresses human resource needs.
Strategic Analysis
Establish the context:
• business goals
Strategy Formulation
Clarify performance expectations and future management methods:
values, guiding principles • business mission • objectives and priorities • resource allocations
Strategic Planning