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When does a company follow long term manpower planning?
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Long term manpower planning is concerned with all jobs and all persons at once—with matching complete rosier of personnel to total job requirements. It is more concerned with fdling future vacancies rather than with matching existing candidates with existing jobs. Thus, it allows time for long run learning. The long term manpower planning has four following elements
(i) Projecting the organisation structure
(ii) Manpower inventory and analysis
(iii) Recruitment and selection.
(iv) Manpower development.
(i) Projecting the Organisation Structure-The first step in long run manpower planning is to forecast organisation structure that will best meet future needs of the organisation. The whole job structure should keep pace with changes in the environment. In matching the change with present job structure, the management must predict the manpower requirements in future. For this purpose, following three factors should be analysed.
(a) Rate of loss—Rate of loss depends upon the degree of quits, discharges, mutually satisfactory release, leave, death, retirement and transfers. These can be anticipated to some extent on the basis of analysis of past records and present circumstances.
(b) Expansion or contraction—The manpower requirement in future will depend upon the expansion or contraction in the size of the organisation. The size of the organisation may be predicted on the basis of the past rate of growth by projecting the trend in the size of sales, capital requirements or manpower stock.
© Job Analysis—After projecting the manpower needs job analysis should be made. Job analysis is the process of collecting and analysing all the facts relating to the nature of a specific job through scientific observation and study. A prediction of what capabilities will be required in the people to perform the job effectively. Such prediction is more important in case of managerial personnel because it takes more time to develop managerial skill. Again, the development of other personnel also depends upon the management abilities.
(ii) Manpower Inventory and Analysis—Manpower inventory and analysis involves the appraising of present key personnel, pointing out their characteristics without reference to specification to a particular position. Hence the management has to take stock of existing manpower and to find out how far the present stock of manpower would fulfill the qualifications of the anticipated jobs or how far they would be developed through training. This process will enable the management to know the present and potential abilities of individuals and their suitability for specific jobs and positions. By the help of this analysis, the management can estimate the number and type of posts to be filled in future.
(iii) Recruitment and selection—Once manpower requirements have been determined recruitment and selection should be started. Recruitment is the process of identifying the sources for prospective candidates and to stimulate them to apply for the jobs. Selection is the process of logically choosing individuals who possess the necessary skills, abilities and personality to fill specific jobs.
(iv) Manpower Development—Manpower development includes the development of individuals through training so that they can meet the challenges with their full capabilities. Having predicted the future needs of personnel, the existing personnel are trained and developed.