Employee Motivation

Employee Motivation

Employee motivation is a process of getting the needs of the employees realized with a view to induce them to work for the accomplishment of the organizational objectives.

What is employee motivation?

Motivation refers to a force related to a person which develops a situation where a person perform or act with enthusiasm and persistence to accomplish a certain course of action. It is a willingness of action especially in behavior.

Motivation is a state or condition of having a strong reason to act or accomplish something. It is simply an incentive or reason for doing something.

Employee Motivation : Definition

Employee motivation is an art by which managers promote productivity in their employees. Motivation is an factor which stimulate desired energy in people internally to be engaged in making effort continually for a job, work or role in order to attain a desired goal.

Motivation is produced from the word “motive” which convey the meaning of a state which promote a man to an action in order to attain any purpose, objective, and goal.

In order to motivate people to work, it is necessary to study needs, emotions, etc. as the motive is within the individual. Indeed, motivation is an act of encouragement, exhortation and inducement.

Employee Motivation

Importance of employee motivation

  • Proper utilization of human resources:

Motivation induces man to work with positive attitude which improves their performance and effort to produce more for the benefits of the organization.

So, through motivation any organization is able to extract the desired skill and performance required for a work to be performed in best way.

  • Improves performance level of employees:

When the employees of any organization are well motivated their performance and efficiency improves. Every employee has some inherent qualities and when they are motivated these qualities came out through their performance.

  • Willingness to work:

The function of motivation influences the willingness of people to work which come from within. Motivation concern to create a need and desire on the path of the workman to present his best performance at a work place.

The motivation acts as a bridge between the ability to perform a task and willingness to do. Willingness to work always enhances the performance and efficiency.

  • Helps in achieving the organizational goal:

Employees are the vital resources needed to any organization to achieve its set objectives because every employee work and perform to attain all the desired goals of the organization.

Through motivation employees contribute their best efforts for obtaining the organizational goals as they are aware that with the achievement of the organizational objectives their personal goals will be achieved.

  • Motivation assists in shifting negative attitude to positive attitude:

If the employees are not motivated than they will not get inner feelings to perform well and there will be no optimum utilization of the given resources.

But, when the employees are motivated than there will be inner desire to perform their best to achieve the desired goal. Therefore, motivation helps employees to perform up to their maximum level by building positive attitude towards their work.

  • Motivation creates supportive working environment and co-operation:

Through motivation the relationship between superior and subordinate in the organization is improved. When the employees are satisfied with the benefits, recognition and respect in the organization than they will also support their superiors.

There will be more co ordination and co operation in the organization and the work will be performed in better way with full team spirit.

  • Reduction in employees turnover:

The motivation enhances the confidence in the employees which help them to achieve the organizational goals and their personal needs as well. When the personal needs of the employees are satisfied in the organization itself than they will prefer to remain in the organization and increase their earning rather than leaving the organization. Hence, motivation builds the satisfaction in the employees and satisfied employees never leave the job.

Types of employee motivation

The organization should understand the fact that employees are the individuals with different traits. Therefore, if the organization wants to motivate it’s employees than it should acquire the deeper understanding of different ways of motivation.

After understanding the several ways of motivation, You will be able to categorize your employees in a better way. And than right type of motivation will apply on them to increase the level of employee engagement and employee satisfaction.

Motivation is grouped into two categories i.e. intrinsic motivation and extrinsic motivation. Some of the employees react better to intrinsic motivation while other may react better to extrinsic motivation.

Intrinsic Motivation

Intrinsic motivation is defined as the motivation or the motives that originate internally and comes from within yourself rather than an outside source. It is behavior driven by satisfaction of internal rewards.

If the employees are intrinsically motivated to accomplish a task, they will enjoy the process of work and accomplish it willingly. It is the strong desire and the wish to accomplish them.

In intrinsic motivation, the employees perform and fulfill a task by finding it personally rewarding. Due to which they will enjoy and accomplish the task to see it as better opportunity to learn, explore their potentials.

If the task is completed through intrinsic motivation than it will usually leave you personally satisfied. Intrinsic motivation is valuable in work place because there is no need of anyone else to inspire or push them to complete a task. All the motivation they need to perform a work will find within themselves.

Extrinsic motivation

Extrinsic motivation is defined as the motivation or motive that comes from an external source rather than internal or within source. In extrinsic motivation there is either any promise of reward for the work or a fear of punishment.

As far as the extrinsic motivation is concerned the reward earned in this motivation don’t satisfy any personal need of employees. In fact, employees have to sacrifice their time and energy to approach an extrinsic goal.

Some employees in the organization may never be motivated internally. Therefore, extrinsic rewards will motivate them to accomplish a task in a better way. Extrinsic rewards consist of bonus, salary hike, award, public recognition, and other type of compensation.

In the workplace:

Every employee is different, and has different motivators. Therefore, it’s very important to know your people, discover what matters and motivates them, and than analyze and apply a required mixture of extrinsic and intrinsic motivators, so that you can motivate them successfully.

Related Topics:

Human Resource Management

Performance Management

Human Resource Planning Process


Employee motivation is very important tool in the hand of a manager or superior to motivate their employees at work place to give their best efforts while performing the task. Motivation is the art of boosting the desire and giving someone a reason for doing something.

types of compensation and benefits

Compensation and Benefits Management

Compensation and benefits management is the process of managing, analysing and determining the salary, incentives, and benefits given by any organization to their employees in exchange of their work.

What are compensation and benefits?

Whenever the employees receive a job offer, the first thing they look at is the salary offered for their work to be performed. Whatever salary is mentioned in the offer later whether it is hourly or monthly, the candidates see it as the most critical part of any job offer.

Generally, when employees think about compensation, the first thing that comes in their mind is salary. But for several employees, especially the senior employees the compensation and benefit is something more than just the regular pay.

Benefits is the part of compensation which includes indirect pay. Benefits can be like health insurance, stock options, and social benefits which are offered to employees. All of these things are important for any job offer.

The two jobs that offer identical salaries to the employees for the same work may be vary widely in the benefits category, which will made an one way effect for making them a better financial proposition than the other.

Goals of Compensation and Benefits Management

  • Attract employees
  • Retain employees
  • Motivate employees
  • Maximize ROI (Return on Investment)

These goals are achieved by offering broad and competitive compensation plans to the employees within the company budget.

Compensation and benefits management ensures employees should get paid a fair and pertinent salary based on:

  • Work performance
  • Position
  • Responsibilities
  • Experience
  • Job market
  • Company budget

What is compensation management?

Compensation management plays a vital role in HR because it can impact employee retention, the hiring process, company performance, and team management.

Compensation management is the process in which the management analyzes and ensures that the salaries, wages and bonuses given to employees for their work remain appropriate, equitable, and competitive.

If salary, bonuses, and benefits are not managed properly, employees might find much better packages elsewhere. The performance and job satisfaction could decline which can be result in downfall of the business.

Compensation management is responsible for managing the employees data and keeping up with complex benefits administration rules and regulations.

Compensation and Benefits definitions

Compensation and benefits for employees are key part of human resource management.

Employee Compensation:

Compensation is the remuneration awarded to an employee in exchange of their services or individual contributions towards any organization. The contribution can be their time, knowledge, skills, abilities, and commitment to any organization or project.

Compensation consists of both the financial and non financial reimbursement that the organizations pay to their employees in exchange for their work. Simply, compensation maybe defined as the pay given to an employee by an employer as a salary or wages.

Compensation is simply a methodical approach to provide financial value to employees in exchange of work they performed. Wages, salaries and tips are some common forms of compensation.

Employee Benefits:

Employee benefits are non financial rewards provided to employee as a return of their well performed work for the organization.

Benefits are the subset of compensation which covers non monetary form of compensation. It is the non financial part of compensation which includes;

  • Employees allowances
  • Pay raise
  • Paid vacation
  • Achievements and awards
  • Perks and bonuses
  • Social security
  • Health insurance
  • Meal breaks

Types of Compensation and Benefits

Compensation and benefits of employees are divided into two parts;

  • Direct compensation
  • Indirect compensation
Types of compensation and benefits

Direct Compensation

Direct compensation may be defined as the monetary rewards offered and provided to the employees in exchange of their work and the services for the organization.

The monetary benefits include basic salary, conveyance, house rent allowances, medical reimbursements, special allowances, stock options, bonus, provident fund, gratuity, leave travel allowances, etc.

These monetary benefits are given at a regular interval at a definite time.

Indirect Compensation

Indirect compensation is non monetary rewards other than the direct compensation in the form of benefits or perks given to an employee in exchange of their well performed work for the organization..

It includes overtime policy, leave policy, insurance, flexible timing, retirement benefits, paid holidays, job security, best staff award, etc.

Why are compensation and benefits important?

Compensation and benefits in HR play a vital role in encouraging employees and enhancing organizational effectiveness.

Compensation package offered to employees is essential because it is likely to be the primary reason the employees work for them. If companies offer best benefits to the employees than companies can get the desired talent for their success.

Compensation packages with good pay and advantages can help to attract and retain the best employees because the employees want to be associated with the companies which give the job with best benefits. And it gives an employee a reason to stick to the company.

  • Attracting Top Talent

People always want to look themselves in the best possible position financially. So a well designed research on competitor’s compensation and benefits packages is required by any organization to make sure that they also offer a relative packages to their potential employees.

So that they can attract the best candidates for your organization. Because candidates will prefer to go with the organization which will provide them best compensation and benefits plans according to their skills and experiences for the job.

  • Increasing Employee Motivation

When the employees are provided with the proper and suitable compensation than it shows you are valuing them as workers and human beings.

When people feel that they are being valued by the company than they feel better about coming in to work. Overall company morale increased and people are motivated to perform better towards their job and work.

  • Boosting Employee Loyalty

When the employees are being paid well then they feel happy and satisfied. which make them to stay with the company for long which is good for the employee and the organization’s success as well. Proper and suitable compensation is one factor why employees remain with employers.

  • Increasing Productivity and Profitability

When the employees are well compensated, they feel valued which results in increased motivation and loyalty. The good and well designed compensation and benefits plan makes the employees satisfied and happy.

And this happiness improve their performance and willingness to work with the company for a long time. And this results in enhancing the productivity and profit for the organization.

  • Job Satisfaction

Job satisfaction is most valuable factor for an employee to remain in the company for long time. Some time the reason of employee’s job leaving is that he/she is not well compensated according to his/her performance.

Creating the right compensation program leads to stronger job satisfaction. The well designed compensation plan is important for the job satisfaction of the employees because this stronger sense of satisfaction converts into the well performed work which results in company’s success.

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Compensation and benefits management is required as it encourages the employees to perform better, show their excellence and also provide growth and development options to the deserving employees. When the proper compensation and benefits are given to the employees than they feel valuable, motivated, secure and satisfied which motivate them to perform better for the success of the organization.

Performance management process

Performance Management in HRM

Performance Management

What is Performance Management?

Performance management in HRM refers to the process to ensure that the organization connects mission with the work of employees.

One of the primary HR activities is to manage employee attitude and behaviors. Managers do this by using performance management programs.

Performance management involves two related activities;

  1. Evaluating the performance of the employees against the standards set for them.
  2. Helps the employees to evolve the action plans to improve their performance.

Performance Management Meaning

Performance management is a continuous procedure which takes place throughout the year through communication between the supervisors and the employees in order to achieve the predetermined aim of the organization.

Performance management in HRM is a set of activities composed to ensure that the organization obtains the desired performance from its employees.

Effective Performance Management

It depends on the evolution and implementation of suitable performance management tools, feedback and documentation.

After the effective performance management program, a manager is able to answer the questions such as;

  • How can I best measure performance?
  • How can I best communicate the feedback to employees about their performance development?
  • How should I communicate to employees?
  • How should I manage poor performance?

Outcomes of Effective Performance Management

  • Clarifying the job responsibilities and expectations.
  • Enhancing individual and group productivity.
  • To develop employee ability through emphatic feedback and coaching.
  • Driving behavior to align the organization’s values, goals,and strategies.
  • Providing a basis for making human resource decisions.
  • Improving communication between employees and managers.
  • Prepare employees for work by focusing on the most important components of their job.

What Performance Management should do?

At a minimum performance management in HRM should the following four things.

  • Make clear what the organization expects.
  • Document performance for personnel records.
  • Identify the areas of success and development.
  • Provide performance information to employees.

Performance Management Purpose


The first purpose is administrative in nature because it directly affects a firm’s administrative decision regarding its workforce.

  • Firms use performance evaluation to make decision regarding their employees salary adjustments, merit raises, and incentive rewards.
  • Manager must make decision regarding the promotions, demotions, transfers, terminations, and even layoffs of individuals.
  • Knowing about the current performance of your employees as well as the potential of the employees to perform their job will help you to take decision about movement of employees within or outside of the organization.
  • Mangers also use performance evaluation data for disciplinary purposes that is to reinforce the attitude and behavior of employees should display on a daily basis.


The second purpose of performance management is developmental in nature using performance evaluation information to help employees improve their performance in order to add more value to the organization.

  • Performance management perform a important role in identifying the training needs of employees.

For example, if the employees do not perform optimally, a developmental emphasis endeavor to find out the areas where the employees performance need improvement. And then it will help to implement a course of action which helps the employees to meet their potential.

  • If a problem arises due to the behavior of the employees then a developmental approach involves the disciplinary actions to indicate employees that current actions or behaviors what they show may not be acceptable.
  • Generally a developmental approach also deal with succession planning or right employee career development.

Performance Management Process

There are five steps related to developing and implementing a good performance management process.

Performance management process

Performance Dimensions;

This process starts with identifying performance dimensions. Performance dimensions associate with the special tasks and activities for which employees are liable.

Performance dimension serves as a starting point for developing an effective performance management system. The job which the people perform, generally consist of multiple performance dimensions.

A job performance dimension should reflect the reason it exists in the first place. The performance dimensions should reflect the tasks, duties and responsibilities of that job.

Performance Measure;

After knowing dimensions now you have to be able to measure an employee’s level of performance on the dimensions you have identified.

In order to to make performance evaluation effective system should use valid, specific and clear standard of measuring the performance.

Performance measures must be reliable and valid. Reliability refers to how well the measure yields consistent results over time.

Rather, validity is the extent to which you are measuring what you want to measure and how well it is done. Really, the valid performance measures convey the genuine performance of your employees.

Sometimes due to the use of deficient or defective measures method, the performance evaluation become awry.

One key consideration in developing performance measure is clarifying the level of expected performance, or performance standards.

Evaluate Performance;

There are number of ways through which the performance of the employees can be evaluated by managers. They can compare and rank or order them, rate them against preset standards or evaluate the results and outcomes of performance.

These methods vary in some important ways, some methods focus on measuring performance outcomes like quality, speed and sales whereas others focus on employee traits and behaviors.

There are various methods to evaluate performance like ranking method, paired comparison, forced distribution method, graphic scale method, 360 degree, behaviorally anchored rating scale, etc.

Provide Feedback

Further step in the process is providing feedback to the employees to help them improve their performance. In order to make feedback effective, the it should be provided in set interval of time and in a professional manner.

Organizations vary in terms of how often they provide performance feedback. Most of the supervisors are required to formally appraise employees in every six months to one year.

Providing feedback to employee is an ongoing task. However, ideally supervisors will be providing feedback on a daily basis to employees.

Action Plan

Giving feedback to the employees is not sufficient to improve their performance. Rather effective managers take another step, they work with their employees to diagnose the source of performance issues and might help to drive strategies and set expectations to improve those issues.

Doing so requires a queer clear understanding of the nature of performance efficiency. The development of a plan to address performance problems and effective discipline of employees.

Taking action requires us to remove barriers, training and development activities to be implemented, coaching and mentoring to be pursued, and work design and technology solutions to be implemented as well as addressing the overall quality of performance on an ongoing basis.

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When you understand about the performance management in right manner, then you will be able to compose and execute a performance management system.

And it will motivate your employees to covey the necessary attitudes and behavior at work which will help your organization to achieve competitive advantage.

Performance management in HRM includes activities which ensure that goals of the organization are consistently being met in an effective and efficient manner.

process of training and development

Training and Development Process

What is Training and Development Process

Training and development process is an organized activity for enhancing the knowledge of the employees and transferring technical and management skills to the employees.

Now a days in technology based environment, things are changing very fast. In order to retain its position, an organization has to modify and act very fast according to the changes in the business environment. Hence, for achieving superiority, an organization should have skilled and well trained employees. And it is performed by training and development process.

Through training process the employees are taught specific skills according to the requirements of their respective jobs. And through development process the personalities and management skills of the employees are improved.

Steps in Training and Development Process

Assessment of Organizational Objectives;

First of all, in an organization, there should be a proper assessment of objectives. Nowadays the organizations should adopt new technological changes in the business environment, improve product quality through skilled personnel, enhance service quality and increase productivity to perform better and to stay competitive in the business.

Determining Training Needs;

Before an organization takes decision regarding training & development of its employees and allocate huge resources for it, organizations have to assess the training needs of its employees.

We sit down with the management and help them in identifying strategic goals & objectives, and skills & knowledge needed to achieve these goals and objectives. Then we work together to identify whether our staffs have the required knowledge and skills, if they don’t then training needs are discussed.

Saying of a Trainer…….

Training need investigation step is important due to many reasons. For example, employees performance may be down because the working standards are not clear to them.

And some reason may be faulty selection, lack of motivation, poor job design, less supervision and personal problems. In these cases, the problems may be solved by proper job design, offering incentives to motivate, improving supervision, etc.

If the deficiency in performance is because of lack of knowledge and skills, then training and development of employees is essential in this condition.

Two main ways which are basically used to identify the training needs are performance analysis and task analysis.

Task analysis is a process to identify the specific skills required by analyzing and studying the job in detail. Task analysis is suitable for determining the needs of the employees who are newly selected and new to their work.

And performance analysis is the method of investigating the performance scarcity and then determining the ways to correct this scarcity whether it should be fine through training or some other method like transferring the employee etc.

Apart from these methods, supplementary methods can be used to identify training needs such as supervisor’s reports, personnel records, management requests, observations, test of job knowledge and questionnaire surveys.

Setting Goals and Objectives of Training;

Once it is analyzed that training is the solution of the performance deficiency, then the objectives are set. In other words, once training needs are assessed, then the objectives of the training are established.

These objectives will specify what a trainee should accomplish after the successful completion of a training program.

Preparing the Training Budget;

Preparation of the training budget is specifically concerned with the allocation of funds to be provided for the training for carrying out the training activities as devised in the plan.

Deciding about the training venue;

The decision about the training venue depends invariably on the type of training given. For in company and on the job training, will be in the plant itself.

In case of the job training through external sources, the venue has to be somewhat away from the trainees working environment. The venue of the training will be some where outside the agency.

Fix up the methods and techniques to be used in the training;

There are various types of on the job and off the job training methods which can be used in the training program. The method of training would be chosen according to the specific objectives of the training program.

Evaluation of training program;

When the training program is completed, then the evaluation of program is done by the organization in order to see the effectiveness of training efforts. This is done to check whether the training program accomplish specific training objectives or not.

The conduct of training program is costly; this includes needs assessment costs, salaries of the training department staffs, purchase of equipment (computers, video and handouts), program development costs, evaluation costs, trainer’s costs, rental facilities and trainees wage during the training period.

Thus, it is important to assess the costs and benefits associated with the training program, in order to convince the top management that the benefits outplay costs.

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As we know that training and development programs are very essential for any firm or organization in order to develop their employees. For achieving the success and to grow to a greater height, the organization should have employees with updated skills and knowledge.

As due to rapid up gradation of technology and change in working methods day by day, the training and development process is continuously required by an organization to enhance and improve the skills and knowledge of employees.

process of recruitment and selection

Recruitment and Selection Process

Recruitment and Selection Process in HRM

A well devised recruitment and selection process is very essential for the organization because if an employee selected once, he/she will remain in the company for number of years.

Therefore, faulty recruitment and selection process will lead to low productivity and high labor turnover.

Recruitment and selection in HRM is a process by which the organization develops a set of qualified and desired job seekers for the future human resources needed in the organization even though specific vacancies do not exists in the organization. It is the procedure which connects the employers with the job applicants.

Steps in Recruitment

  • Publicizing information about job vacancies in the organization.
  • Identifying the sources of supply of adequate number and right type of personnel required.
  • Contact and communicate with the source of recruitment which is chosen. e.g. advertisement for vacancies in a newspaper so as to stimulate the prospective candidates to offer themselves for employment.
  • Assessing alternative sources of manpower and choosing the best source.

Recruitment Process

Recruitment process can be defined as the process of searching and choosing the potential human resources for filling the desired vacant posts in a company.

Recruitment process is the first step ob building a strong and energetic personnel base. Because the success of any organization depends upon its talented and effective human resources.

Recruitment process can be organized as follows;

  • Identifying the vacancy. Recruitment process starts when the human resource department receive the requisition for the people needed for the vacant jobs from any department of the organization.
  • Number of posts to be filled.
  • Number of persons required.
  • Qualification required for respective vacancies.
  • Preparing the job description and person specification.
  • Developing the sources required to fulfill the desired candidates for the job. (Advertising etc.)
  • Shortlisting the desired employee with desired characteristics.
  • Arranging the interview with the selected candidates.
  • Conducting the interview and decision making.

After recruitment process is done than immediately selection process starts i.e. the final interviews and the decision making, conveying the decision and the appointment formalities.

Recruitment and selection process

Selection Process

Selection process can be explained as the process in which right candidates with desired qualification and skills are shortlisted and selected according to the nature and requirements of the job.

Selection process includes the following systematic procedure.

  • Preliminary Interview

The organization set some minimum eligibility criteria for the candidates to be selected. And those candidates who do not fit in that criteria are eliminated from further selection process through preliminary interview.

This is basic interview which is conducted to eliminate the candidates who are not suitable to work in the organization. It helps the organization to move further for selection process with potential fit employees to fill their vacancies by removing the unsuitable candidates.

  • Receiving Applications

Those candidates who have qualified the preliminary interview, they are required to fill the application form in the prescribed format. This application contains personal information including name, father’s name, age, sex, marital status, Qualifications, experience, hobbies etc,

These information helps interviewers to obtain the clear idea about the candidates which helps to formulate the questions to get more information about him.

  • Screening Applications

When all the applications are received once, then these applications are screened by a special screening committee who analyse and choose the desired and suitable candidates from the applications to call for an interview.

Applicants could be selected through shortlisting criteria like age, sex, qualifications, work, experience of an individual, etc.

  • Employment Tests

In this step all the candidates have to go through some employment tests organized by the organization in order to check their skills, talent and the mental ability.

This is done through various employment tests like intelligence tests, personality tests, aptitude tests, interest tests, proficiency tests, etc. These tests help the organization to decide and judge the suitable candidates for the job.

  • Employment Interview

Employment interview is an important step. It not only acts as a check on the information already obtained but also provide the opportunity to form a better understanding of the candidate to motivate and inform him about the job and the company.

Purpose of this interview is to analyse and find the suitability of a candidate to the job. And provide him an idea about the job profile and what are the expectation of the organization from the potential employee.

This step is critical because organization has to select the right people for the right jobs. The communication skills and confidence level can also be checked at this stage.

  • Checking References

The organizations usually inquire for the references from the candidates which help the organizations to cross check authenticity of the information given by the candidates.

It is important source of information because through these references, the organization come to know about the capabilities, experience in the previous companies, managerial skills and leadership ability of the candidates.

  • Medical Examination

Medical examination of the candidate is required for several reasons like to ensure that he/she is physically fit for the job that he/she does not suffer from any latent disease and the firm is not liable for any claim under Workmen Compensation Act.

The medical exam is very important step in the process of selection. In some organizations, it is done at the beginning of the process while in some cases it is done after the final selection. Thus, this stage is not rigid and can take place anywhere in the selection process.

  • Final Selection and Appointment Letter

On completion of the selection process, the candidates are finally selected and letters of appointment are issued to them. This appointment letter states the term and conditions of employment including the pay scale, starting salary, allowances, the period of probation, and other benefits etc.

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Recruitment and selection process of employees is very valuable and important process in human resource management because it provides the effective and desirable employees to the organization. If it is not done effectively and in appropriate manner than it will directly affect the future growth and success of the organization.

training and development methods

Training and development Methods

Types of Training and Development Methods

There are several training and development methods available. The use of a particular method depends upon the criteria which accomplishes training needs and objectives.

There are various training and development programs which are held in the organization to train the employees according to nature of their jobs. Training and development methods are classified into two categories;

I. On-the-job Methods

On the job method is the heart and soul of all training in any organization. It is the most universal form of employee development.

It is traditional mode of training which is designed to enhance the knowledge and learning of employees to perform their job properly under the guidance and supervision of trained instructor.

Job instruction training;

This technique of training was developed during the world war II. It is basically used to teach the workers how to perform their current jobs. A trainer, supervisor and co-worker can act as a coach.


It is continuous learning process by doing. Coaching involves direct instruction, guidance, extensive demonstration and continuous critical evaluation and correction.

It is a kind of the daily training and feedback is given to employees immediately by their coach or supervisor.


In this method, a senior person in the organization takes the responsibility of training as well as grooming of a junior.

A mentor acts as a teacher, guide, counselor, philosopher, and facilitator of the juniors.

Whenever any problem arises to juniors to perform their work than mentor helps them to overcome to that problem through his experience and fine sense of opinion.

Job Rotation;

Position rotations training is broadening of the background of the trainees in the organization.

Through job rotation method a employee understand the larger perspective and different functional areas of the organization.

Special Projects;

This method of training give the chance to the trainees to work on some projects related with departmental objectives.

Through this method the trainees will acquire the knowledge about the assigned work and also learn how to work with others.

Committee Assignment;

In this, the trainees become the members of the committee in the organization. The committee assigned a problem to discuss and make recommendations according to that.

Training and development methods

II. Off-the-job Methods

Another part of training and development methods is off the job method. In this method the trainees have to leave their jobs and workplaces to learn and acquire knowledge related to their work which will enhance their working abilities.

Special courses and lectures;

Being a traditional method it is most popular method of developing personnel even today. These types of courses and lectures are designed to enhance and improve the knowledge of the trainees.

These courses and lectures are designed by any management or professional school.

Companies sponsor their trainees to attend these courses or lectures. This the most easy and quick way to provide knowledge to a large group of trainees.

Conferences and Seminars;

In this method, the participants have to share their ideas, suggestions, thoughts, viewpoints and recommendations.

When the trainees attend conference and seminars, they will observe a problem from different angles because the participants are from different fields and sectors.

Selected Reading;

This is the self improvement training technique. The Trainees obtain required knowledge and awareness by reading various business journals and magazines.

Most of the companies have their own libraries. The employees become the members of the professional associations to have awareness of latest development in their respective fields.

Case study method;

In this method, trainees used to analyze the situation/problem faced by a company in the past. Companies have the record of these situation and their solution in a written form.

These types of cases are provided to the trainees where they analyze and discuss the situations/problems and their solution.

The main aim of this method is to identify and diagnose the problem. The participants can suggest the alternate course of action according to them.

Programmed instruction/learning;

This is step by step self learning method where the medium may be a text book, computer or the internet.

This is a systematic method for teaching job skills involving presenting questions or facts, allowing the person to respond and giving the immediate feedback to his/her answers.


This is creativity training technique, it helps people to solve problems in new and different ways.

In this technique, the trainees are given the opportunity to generate ideas openly and without any fear of judgment.

Once a lot ideas are generated then they are evaluated for their cost and feasibility.

Role Playing;

In this method, a role of is assigned to the trainees in which they have to play a role of another person in an artificially created situation.

For example, a trainee is asked to play the role of a trade union leader and another trainee is required to perform a role of a HR manager.

Through this technique the trainees can understanding each other’s situation in better way by analyzing their work and problems faced by them.

Vestibule Schools;

Well established organization provide training center to the trainees within the organization in which the trainees are given some particular training according to the nature of their job.

A vestibule school is a training center operated by the personnel department. It is a training center produced to deliver the training to new employees in the organization according to the job requirements which are assigned to them.

Apprenticeship Training;

This is a saying that this type of training method started in the middle ages. That time, the people used to work under the guidance of a master craftsman in order to learn and enhance the trade skills.

In apprenticeship training the people improve the skills and become skilled workers through training and classroom instructions given to them.

In-basket Exercise;

In this technique, some memos, directives, e-mails, requests, reports, messages, hand written notes, etc., are given to the trainees by the management, staff members, supervisors and other stakeholders.

Then the trainee task is to review these in basket items, analyze the problem and then take action according to the situation. After taking the action a final report is made in the form of record notes, comments and responses.

Business Games;

Business games involves teams of trainees. The teams discuss and analyze the problem and arrive at decision. In this method, the issues which are related to the sales, inventories, research & development, production, etc are taken up for consideration.

Behavior Modelling;

This is a approach where trainee used to learn special supervisory skill. This is based on the social learning theory in which the trainee can learn new behavior by observing.

In this method the trainee is provided with a special model of behavior and also informed in advance of the consequences of engaging in that type of behavior.

Sensitivity (T-group) Training;

In this type of training, a small group of trainees consisting 10 to 12 persons is formed which meets in an unstructured situation. There is no set agenda or plan.

The main objective of this training are openness with each other, enhance listening skills, trust, support, tolerance, concern and help for others. The trainers serve a catalytic role.

The group formed in this method meets in segregation without any formal agenda. And there is a great focus on inter personal behavior. And then trainers provide honest feedback to members about their interaction with each other.

Multiple Management;

McCormick, president of McCormick & co. of Baltimore introduced the multiple management method of training in 1932. He presented the thought of organize a junior board of directors.

Authority is given to the junior board members to discuss any problem that could be discuss in senior board and give recommendations to senior board. Innovative and productive ideas became available for senior board.

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Human Resource Planning Process

Human Resource Planning Process

Steps in Human Resource Planning Process

Human resource planning process focuses on the demand and supply of the labor. It involves in the acquisition, development, and departure of people.

Human resources are definitely the most significant part of the organization as the success of any organization depends upon its qualified, skilled and effective personnel.

The purpose of manpower planning is to ensure that a predetermined number of persons with the correct skills are available at a specific time in future.

Thus, human resource planning is the process of identifying systematically that what must be done to fulfill the availability of the human resources needed by an organization in the future to meet its strategic business objectives.

human resource planning process

Analyzing of Organization Objectives;

The human resource management manager first observes the objectives of the organization. Then the manager prepares a  list of all the activities such as jobs, human resources etc. that are required to achieve the organization objectives efficiently.

There are some corporate level strategies like expansion, diversification, mergers, acquisition, reduction in operations, technologies to be used, method of production etc.

So, HRP should start with analyzing these corporate level strategies. Therefore, human resource planning should analyze the corporate plans of the organization  before setting out on fulfilling its tasks.

Manpower Forecasting;

Forecasting the overall human resource requirement like skills, knowledge, values and capabilities in accordance with the organizational plan is one of the key aspects of demand forecasting.

(a)  Executive or Managerial Judgment. In this method the managers decide the number of employees in the future according to the need of the organization. They adopt one of these approaches mentioned below.

  • Bottom Up Approach. In this approach the concerned supervisors send their proposals to the top management who compare these proposal with the organizational plans, and then implement necessary adjustments and finalize them to execute.
  • Top Down Approach. In this approach management prepares the requirements and proceed the information downwards to the supervisory level who finalize the draft and improves it.
  • Participate Approach. In this approach projections are made after participation and joint consultation of supervisors and management.

(b)  Statistical Techniques. In this method statistical methods and mathematical techniques are used to forecast and predict the supply and demand of human resources in the future.

(c)  Ratio Trend Analysis. In this method the past data of human resources like number of employees in each departments and work load, etc. are estimated. Past values are examined in this method to get the fairly and accurate idea of future projections.

(d)  Work Study Method. This technique is suitable to study the correlation between volume of work and labor i.e, demand of human resource is estimated on the workload. Work study method is very much suitable to the field of repetitive and manual jobs when it is feasible to measure work and set standards.

(e)  Delphi Technique. ‘Delphi’ is the name given to this technique after the Greek Oracle at the city of Delphi. The views of different experts related to industry are taken into consideration in this method and the then consensus about the human resource requirement is arrived at. Delphi technique primarily used to estimate the long term requirement of human resources.

Analyzing Human Resource Supply;

The human resource department manager estimates the manpower supply. The manager examines and find out that how many managers and employees are available in the organization.

Every organization has two sources of supply of human resources such as internal source and external source. Internally, human resource for certain posts can be obtained through promotions and transfers.

In order to judge the internal supply of human resource in future human resource inventory or human resource audit is necessary. Human resource inventory assist to determining and evaluate the quantity of internal existing human resources.

Once the future internal supply is estimated, supply of external human resource is analyzed.

Estimating Manpower Gaps;

Manpower gaps can be clarified by matching the demand forecasts and supply forecasts. Such matching will show the deficit or surplus of human resources in future.

Deficit suggests the number of persons to be recruited from outside, whereas surplus implies redundant employees to be redeployed or terminated. 

Action Planning;

Once manpower gaps are identified, plans are prepared to bridge these gaps. Plans to meet the additional personnel may be redeployment in other departments of the organization and may be retrench.

People may be persuaded to quit voluntarily through a golden handshake. Deficit may be fulfill through recruitment & selection of the employees, transfer of the employees, and promotion of the employees.

If there is shortage of certain skilled employees, then organization has to take care not only about recruitment but also retention of present employees. Therefore, the organization should make a plan to retain the existing employees.

Modify the Organizational Plans;

If future supply of personnel is estimated to be inadequate or less than the requirement, then the manpower planner has to suggest the management regarding the alterations or modifications in the organizational plans.

Controlling and Review;

When the action plans are set and implemented, than human resource structure and the processes should be controlled and reviewed according to action plans.

Problems in HRP process

As the future is uncertain so there may be some problems in the process of human resource planning which can be grouped as;

Inefficient information system;

For making the successful human resource planning the human resource information system should be reliable and strong. In the absence of reliable data, it is not possible to develop effective HR planning.


Labor absenteeism, labor turnover, seasonal employment, technological changes and market fluctuations are some uncertainties which human resource planning process might have to face.


Human resource planning is entirely dependent on HR forecasting and supply, which can not be cent per cent accurate process.

Time and Expense;

Some of the industries avoid the human resource planning because it is very time consuming and expensive.

Employee resistance;

Employees and their unions feel that the human resource planning increases their workload so they resist the process.

Human Resource Planning at Different Levels

Human resource planning is done at various levels according to their requirements. There are several levels of human resource planning according to different enterprises.

National Level;

Generally, central government plans human resources for the entire nation. It anticipates the demand and supply of human requirements at the national level.

Sectoral Level; 

Central and state governments also plan human resources requirements at sectoral level. It offer to meet the needs of some special sectors like Agriculture.

Industry Level; 

Different types of industries need the different types of personnel according to their nature of work. There are some personal requirements of the particular industries according to their nature of work.

These industries are such as Engineering, Heavy Industries, Paper Industries, Consumer Goods Industries, Public Utility Industries, Textiles, Cement, Chemical Industries, etc. Planning is executed to match personnel requirements of a particular industry.

Departmental Level;

This level of planning is done to fulfill the manpower needs of a particular department in a company, e.g. Marketing, Finance, and production departments etc.

Job Level;

This level of planning fulfills the human resources needs of a particular job family within department. For Example, the number of sales executives required in the marketing department of any organization.

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Training and Development

The purpose of Human Resource Planning process is to assure the availability of predetermined number of people required in the future.

training and development of the employees

Training and Development

Training and Development Introduction

What is Training and Development?

Training and Development is a continuous process of skill development of the employees working for any organization in accordance with changing environment. It is a core function of the human resource management.

Training and development of employees is the process of obtaining quality output from employees. It is the most common and continuous task performed in almost every organization for updating skills and knowledge of employees.

Training and development for employees is essential because it improves their working skills, enhance knowledge and ability to perform their task effectively which results in the long running success of the organization.

Training and Development Meaning

Training and development in HRM is simply an organised process for enhancing the skills and knowledge of people for performing a particular job. It is a learning process involving the gaining and enhancing of skills and attitudes.

Training is continuous process because a person never stops learning. The purpose of training is to improve the current performance and to mold the behavior of people so that they can perform their jobs in a better way.

Development means growth of employees in all aspects which includes education, learning and training. The level of development of the employees is higher which concerns with the senior managers.

Training Definitions

  • According to Dale. S. Beach, “Training is a organised procedure in which people working for any firm learn knowledge and skill for definite purpose”.
  • According to Jucius, “Training term used here indicates only process by which the abilities, skills and aptitudes of employees are increased to perform specific jobs”.
  • According to Elppo, “Training is the act of increasing the knowledge and skill of an employee for doing a particular job.

Training and Development Importance

There are various benefits of training and development to employees as well as the employers/organization. Some important training and development advantages are;

Training and Development Benefits to Employers

  • Increased Productivity. Increase in the skills of the employees, usually enhances quality and quantity output. Training increases the skills and efficiency of the employees for doing the job in a effective manner which results in the increment of the productivity.
  • Reduced Supervision. when the employees are well trained for their jobs than they can perform better even in the limited supervision.
  • Reduced Accidents. According to the survey, maximum accidents are caused due to the deficiencies in the skills of the people than the deficiencies in the working conditions. So proper training of employees reduces the chances of any accident.
  • Ensures flexibility and stability. Continuous and timely training of the employees make the organization more competent and enables it to overcome shortages of skilled personnel.
  • Economy in Operation. It is a well known fact trained personnel are capable of doing their tasks with care and caution. The wastage of time, energy, and materials is minimized and cost of production is reduced.

Training and Development Benefits for the Employees

  • Increase in morale of employees. Training enhances the morale of the employees by relating their skill with the job requirements. Training builds the confidence in the employees and they see their jobs in more meaningful ways.
  • More employment opportunities. A trained employee gets more employment opportunities as compared to untrained employee because every firm wants the trained and capable employees.
  • More adaptability. As the trained employee can better understand the nature of his job. And he can adapt the changes which are introduced in the working environment due to the changes in the market conditions.
  • Compensates incomplete education. At the time of joining the organization the employees have only theoretical knowledge about the work and training provides the practical knowledge to them, which makes the employee more efficient.
  • More chances of promotion. Training enhances the knowledge and skills of the employees which results in the more chances of promotion because the employees who have more knowledge and skills are considered more efficient as compared to employees who have less knowledge and skills.

Training and development Objectives

  • To increase productivity.
  • To develop first line supervisors to become a most effective mode of management.
  • To bring out more cordial relations, i.e. employee and employer relations.
  • To enhance morale of the employees and team spirit of the workers.
  • To enhance co-operation and co-ordination effectively at all levels.
  • To impact various social and supervisory skills.
  • To develop the people for higher performance by utilizing the knowledge, experience and inherent abilities.
  • To enhance knowledge and optimum use of resources.

Need of Training

Training acts as the bridges which connect the gap between the job requirements and employee’s present capabilities. Every organization should provide training to its workforce due to the technological changes and automation.

There is a need of training due to the following reason;

New Environment;

When a new employee comes to work he is unaware about the environment of the organization. Therefore, he should be given some training to make him familiar with his co-workers, superiors and company’s rules and regulation etc.

Such training is known as induction or orientation. It enables the new employee to obtain self confidence and to make him adjustable with the new environment. Training makes the new employees efficient.

Faculty Methods;

Due to lack of training some employees use inappropriate ways of doing work which will definitely result in wastage and inefficiency. Training is required to remove these defects.

This type of training may be called remedial training to employees which teaches them correct methods and behavior patterns.

Prevention of Accidents;

Training is needed to prevent industrial accidents. For this purpose, safety conscious must be created among the employees so that they realize the significance of safe working.

Moreover, they should be given instructions in the use of safety devices. Such training is known as safety training.

Career Development;

When persons working at lower levels are promoted to higher positions, they require training in the higher job. This is necessary to provide opportunity for advancements to the employees.

Such training may be described as promotional training. It simplifies the problem of executive succession and helps to ensure the continuity of the organization.

Types of Training

1. Vestibule Training;

This term is used to designate training in classroom for skilled production and clerical jobs. Under this method employees are trained in a special training center (vestibule) within the plant.

Training and development of employees

In vestibule training a working environment is created as like the actual work conditions of the work place. Then some qualified and trained instructors provide the training to the people carefully under the well planned and controlled learning conditions.

2. Apprenticeship Training;

In this method the trainees work as apprentices under the direct supervision of experts for a long period and some stipend is paid to them during the training period.

Trainees are imparted knowledge and skill in doing a particular crafts or a series of related job.

3. Job Rotation;

In this method the trainee moves from one job place to another, so that he can know to work on all the seats. This type of training is common for the employees of general management positions.

Under this method trainee understand the problems of the other seats while working on that seats. Such movement may be for the period ranging from 6 months to 2 years before a person is established in a particular job.

4. Internship Training;

This training basically helps to create the balance between the theoretical knowledge and the practical skills required to perform a particular job. It is combined effort of the educational institutions and business organizations.

In this method the theoretical knowledge is imparted by educational institutions and practical knowledge is imparted through business organizations.

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recruitment and selection of employees

Recruitment and Selection

What is Recruitment and Selection?

Recruitment and Selection is the process of defining the requirements of the job vacancy, describing the essential need of the vacancy and the job holders, advertising for the required job position and picking the most desirable and suitable person for the job.

As human resources are very important for the achieving the organization goal and success. If the organization does not recruit or select the appropriate candidates for the required jobs than it can bear the lose in the future.

So, recruitment and selection of the right person for the right job is the key to success for any organization


Recruitment Meaning

Recruitment is a process of searching and attracting effective job seekers for employment. Recruitment of candidates is a function which takes place before the process of the selection, which helps to create a pool of prospective employees for the organization so that the management can choose the right person for the right job from this selected list.

Recruitment Definitions by Authors

According to Dalton E. Mc. Farland, ” The term recruitment applies to the process of attracting potential employees to the company”.

According to Edwin B. Flippo, ” Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization”.

Recruitment Needs

Planned. i.e. the needs arising from changes in the organization and retirement policy.

Anticipated. i.e. these needs are those activities, which an organization can predict by analyzing trends in internal and external environment.

Unexpected. i.e. resignation, deaths, accidents, illness, etc. give rise to unexpected needs.

After recruitment process is done than immediately selection process starts i.e. the final interviews and the decision making, conveying the decision and the appointment formalities.

Recruitment Sources

Every organization has the option to choose the candidates for recruitment process from two types of recruitment: internal and external sources.

The sources which take place within the organization (like transfer of employees from one department to other, promotions, etc) to fill a desired position are known as internal sources of recruitment.

Recruiting candidates from all other sources which take place outside the organization (like outsourcing agencies etc) are known as external sources of recruitment.

Internal Sources of Recruitment
  • Transfers. According to the need the employees are transferred within the organization from one department to another according to their knowledge and experience.
  • Promotions. Some employees are promoted in the organization with more benefits and greater responsibilities based on their skills and experience.
  • Upgrading and Demotion of current employees in the organization according to their work performance.
  • Any time if there is a need than some Retired and Retrenched employees can also be recruited again if there is shortage of skilled and qualified people or increase in load of work. This type of recruitment saves time and costs of the organization as these people are already aware about the organizational culture, policies and procedures.
  • Many companies also recruit some dependents and relatives of Deceased and Disabled employees so that the family members of these employees do not become dependent on others.
External Sources of Recruitment
  • Press Advertisement. Advertisement of the vacancies in newspapers and journals are a widely used source of recruitment. It is a widely reached method in a short span of time.
  • Educational Institutes. Various management institutes, engineering colleges, medical colleges, etc are good source of recruiting the best talent. They provide the facilities for interviews and placements in the campus and due to which it is known as campus recruitment.
  • Placement Agencies. There are many private consultancy firms who perform recruitment for their client companies by charging a fee. It is known as RPO (Recruitment Process Outsourcing).
  • Employment Exchanges. Government organizes public employment exchange program throughout the country. They provide information about the job to the job seekers and help the employers to identifying desired candidates.
  • Manual workers can be recruited through contractors who maintain contacts with the sources of such workers. The labor for the construction jobs are recruited through this method.
  • Unsolicited Applicants. Many job seekers visit the office of some reputed companies for the job by their own. This can help in creating the talent pool or to get the desirable candidate for the job.
  • Employee Referrals / Recommendation. In many organization there is a system where the current employees of the organization can refer their friends, family members and relatives for some positions in their organization.
  • Recruitment at Factory Gate. Some workers are recruited at the factory gate and this type of workers are unskilled workers who are employed whenever a permanent worker is absent. And some of them may be recruited to fill permanent vacancies according to their efficiency and skills.
  • Internships. In this process various students got a chance to gain and obtain a valuable work experience working with the organization. In this way the organization can also get the candidates who will be suitable for the various vacant posts in the organization.
  • E-Recruitment. It is also known as online recruitment as it is the process of finding and hiring the suitable and desired candidates for the vacant job positions through internet. Nowadays, almost every organization make use of the internet to reach a large number of job seekers and hire the best talent for the company.


Selection Meaning

Selection is the process by which candidates for employment are distinguished between those who are suitable for the position and those who are not.

When the process of selection is done than the organization gets the most suitable persons who possess the ability, qualifications and skills to perform on the required posts for which they are selected.

recruitment and selection of employees

In a selection process more candidates are rejected and less of them are selected, so it can also be called rejection. This is the reason why selection is called a negative process.

Selection Definitions by Authors

According to Dale Yoder, “Selection is the process in which candidates for employment are divided into two classes, those who are to be offered employment and those who are not”.

According to Terry, “Selection involves a series of steps by which candidates are screened for choosing the most suitable persons for vacant jobs in the organization”.

Difference between Recruitment and Selection

MeaningSearching candidates to
apply for particular job.
It is appointing the employees
on the right job.
Nature It is positive process.It is negative process.
AimTo attract more and more
candidates for the vacant job.
To reject unsuitable candidate
and select suitable candidate
for the job.
Contract No contractual relation is
Contractual relation is created
in the selection process.
Sequence It precedes the selection.It follows the recruitment
Process It is simple process.It is complicated process.
Economy It is economical.It is expensive.
Time It is less time consuming.It is more time consuming.

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The success of any organization depends upon its employees. If the organization has optimum and perfect employees than the organization will enjoy the benefits of its unbeatable success.

Recruitment and Selection help the organization to choose the right candidate for the right job. And it helps in reducing the losses of any organization.

Human Resource Planning HRP

Human Resource Planning

Planning is very vital function to our everyday activities in every field and every type of work. Human resource planning is also a important and valuable part of  human resource management.

Several definitions have been given by different writers that what human resource planning is all about and it’s importance to achieve the organizational goals. Organization that do not plan for future have less opportunities to survive the competition ahead.

What is Human Resource Planning?

Human resource planning may be defined as strategy for acquisition, utilization, improvement, and preservation of the human resources in the organisation. The objective of HRP is to provide the right personnel for the right work and optimum utilization of existing human resource.

The major activities of HRP include: forecasting (future requirements), inventorying (present strength), anticipating (comparison of present and future requirements), and planning (necessary programs to meet future requirements).

HRP involves the gathering of information, making objectives, and making decision to enable the organization to achieve it’s goals and objectives.

Surprisingly, this aspect of HR is one of the most neglected aspects in human resource management field. HRP is a function which is applied accurately in the field of  Human resource management in order to reply the answers to the following questions.

  1. How much strength of staff does the organization have?
  2. What types of skills and abilities the employees have in the organization?
  3. What are the functions required by an organization for the optimum utilization of  the available human resources?
  4. How can the organization improve the skills and working conditions of the employees?
  5. How can the organisation satisfy the needs of employees?

HRP Definitions

According to Dale S. Beach, “HRP is defined as a process of determining and assuring that the organization will have an adequate number of qualified persons, available at the required times, performing jobs which meet the requirements of the enterprise and which provide satisfaction for the individuals involved”.

According to International Labor Organisation, “HRP is the process by which management ensures that it has the right personnel, who who are capable of performing those tasks which helps the organization to achieve its objectives. It involves the forecasting of human resources needs and the projected matching of individuals with expected vacancies”.

According to Jeisler, Manpower planning is the process which includes forecasting, developing and controlling – through which a firm ensures that it has the right number of people, the right kind of people, and at the right places at the same time doing things for which they are economically most useful”

According to R. Wayne Monday’s in Human Resource Management, Human resource planning is the systematic process of matching the internal and external supply of candidates with job openings that a company anticipates over a certain period of time. Put simply, human resource planning is keeping an up to date compilation of candidates inside and outside the company for future positions”.

According to Coleman, “Manpower planning is the process of determining manpower requirements and the means for meeting those requirements in order to carry out the integrated plan of the organisation”.

Human Resource Planning Objectives

  • Recruit and maintain human resource optimally.
  • To meet the requirements of the programs of expansion, diversification etc.
  • Supply control measure criteria to assure required availability of human resources at given time.
  • To expect the effect of technology on work, present employees and future human resource requirements.
  • Advancement of  knowledge, skill, ability, and discipline etc.
  • Estimate the excess or shortage of human resources and proceed accordingly.
  •  Maintain pleasant industrial relations by maintaining optimum level of human resources.
  • Minimize imbalances caused due to non availability of personnel of right kind, right number in right time and right place.
  • Making the optimum utilization of human resources.
  • Estimate the cost of human resources.
Human Resource Planning

Human Resource Planning

Therefore, human resource planning is required to achieve the objectives of estimating efficient human resources requirements; to meet changing requirements of the organisation with changing technology. And to make full utilization of existing and potential workforce of the organisation.

Human Resource Planning Importance

Fulfill the requirements of the organization

To do work in an organization, every organization needs personnel of desired skill, knowledge, and experience. This human resource requirement of organisation can be effectively fulfilled through proper human resource planning.

It helps in determine the number of human resources required and the type of human resource required to fulfill its needs.

Checking labor disequilibrium

Manpower planning helps to anticipate shortages and/or surpluses of manpower in the organisation. Both the situations are not good for the organization.

In case of shortage of human resources, the physical resources of the organization can not be properly utilized. And, in case of surplus of human resources, these resources may remain under unused.

Therefore, human resource planning helps in correcting this imbalance before it become expensive and unmanageable.

Counterbalance insecurity and changes

There should be proper utilization of human and non human resources in the organization. Sometimes the organization may have adequate non human resource such as machines, materials, and money but due to inadequate human resources the manufacturing and production process of the organisation cannot be started.

Therefore, human resource planning helps to offset uncertainties and changes as far as possible. And it enables to ensure availability of right human resources at right time and right place.

Fulfill the personnel requirements of the organisation

As in the existing organization, some posts may fall vacant due to retirements, resignations, promotions, accidents, and death of the employees.

Hence, there is a constant need of replacing the people or filling the vacant places with better options.

Therefore, human resource planning estimates the future requirements of the organization and helps to get human resources of right kind, right number, in right time, and right place.

Expansion, diversification, and modernization of the organization

It helps to execute future plans to meet expansion, modernization, and diversification needs of the organization.

Manpower planning ensures that organization has the proper kind of human resources available to meet these needs when required.

It ensures that organization has personnel of desired skills and knowledge available to handle the challenging job requirements.

Training and development of the employees

As a result of changing requirements of the organization due to globalization and the changing technologies day by day, there is a constant need of training and development of the employees.

It improves the skills and provide advancement of employees. Thus, it helps in meeting the future needs of the organization through highly skilled employees.

Fulfill individual needs of employees

It helps to satisfy the individual needs of employees for promotion, transfer, salary encashment, better benefits etc.

Helps in formulation of budgets

It helps in anticipating the cost of human resources such as salary and other benefits etc. It facilitates the formulation of human resource budget various departments or divisions of the organisation. So, it may help in, formulating the suitable budgets for an organization.

To check unemployment

It the method of right sizing of employees by the organization, some of the employees may become surplus. It means that the organization does not require their service now.

It tries to foresee the need of redundancy. It plans to check job loss or to provide for alternative employment in consultation with various concerned parties and authorities.


Human Resource planning is very important part of human resource management and very beneficial for an organization. As the human resource planning is the process by which a management determines how an organization should move from its current manpower position to desired manpower position.

Therefore, through human resource planning the management strives to have the right number and the right kinds of people at the right places, at the right time, to perform things which results in both the organization and the individual receiving the maximum long run benefits.