UNITED INTERNATIONAL UNIVERSITYSchool Of Business
Summer 2013Course Title: Human Resource Planning
Course Code: HRM- 4153
Term Paper
SUBMITTED TO SUBMITTED BYTaskina AliAssistant ProfessorSchool Of Business AdministrationUnited International University
1. ArunimaGhoshPeyaID: 111 102 084
2. SaymaSadiaID: 111 101 180
3. FarzanaBinte HamidID: 111 093 189
4. NaemaTanzeem ID: 111 101135
5. Sharmin SultanaID: 111 101 187
Section: A
Date of submission- 17/08/2013
LETTER OF AUTHORIZATION
August 17, 2013
Taskina Ali
Assistant Professor
School of Business
United International University
Dhanmondi, Dhaka.
Subject: Submission of Term Paper
Dear Madam,
We have prepared a term paper on “Human Resource Planning of
Dabur Bangladesh” that you wanted as partial requirement for the
course of Human Resource Planning.
In this term paper we have tried to give an idea about HRP of
Dabur Bangladesh. We have tried our best to provide important
information and to keep in mind your instruction. If you need any
clarification or any further information we would be happy to
provide it to you.
We, therefore, pray and hope that you would accept this Term
paper and oblige thereby.
Thank you.
Sincerely yours,
Name ID1.Kazi Oasek Bin Khorshed 111 102 0482.Arunima Ghosh Peya 111 102 0843.Farzana Binte Hamid 111 093 1894.Naema Tanzeem 111 101 1355. Sharmin Sultana 111 101 1876. Sayma Sadia 111 101 180
Table of Content
s1. Executive Summary.................................................5
2. Introductory......................................................62.1 Introduction:..................................................6
2.2 Objective:.....................................................62.3 Scope and Purpose of the report:...............................6
2.4 Methodology:...................................................72.5 Limitation:....................................................8
3. Literature Review.................................................83.1 Human Resource Management:.....................................8
3.2 Human Resource Planning:.......................................9
3.3 Why organization should conduct HRP:...........................93.4 How to conduct HRP of an organization:........................10
3.4.1 A Model for HR planning:........................................103.4.2 Activities required for HRP:.......................................11
3.4.3 Steps of HRP process:...........................................113.4.4 Steps for HRP:................................................13
3.5 Job Analysis:.................................................133.6 Why firms conduct Job Analysis:...............................14
3.6.1.1...........................................Purpose of Job analysis14
3.6.2 Uses of job Analysis:...........................................153.7 The process of Job analysis:..................................16
3.8 Job Analysis Techniques:......................................183.8.1 Critical Incidents Technique:......................................19
3.8.2 Behaviorally Anchored Rating Scales (BARS):..........................193.8.3 Position Analysis Questionnaire:...................................19
3.8.4 Functional Job Analysis:.........................................193.8.5 Hay system:..................................................19
3.9 Problems Associated with Job Analysis:........................193.9.1 Job analysis that is neither updated nor reviewed:......................19
3.9.2 Job description or specification that is too vague:......................193.9.3 Contamination and Deficiency:....................................20
3.9.4 Time and Cost of Job analysis:....................................203.10 HR Forecasting:...............................................20
3.11 Benefits of HR forecasting:...................................203.11.1 Reduce HR costs:..............................................20
3.11.2 Increases Organizational Flexibility:................................213.11.3 Ensure a close linkage to the overall Business Forecasting Process:..........21
3.11.4 Ensure that organizational Requirements take precedence over Issues of Resource Constraint and Scarcity:...............................................21
3.12 Environmental and Organizational Factors Affecting HR Forecasting:.......................................................22
3.13 HR Forecasting Time Horizons:.................................233.13.1 Current Forecast:..............................................23
3.13.2 Short-run Forecast:............................................233.13.3 Medium-run Forecast:..........................................23
3.13.4 Long -run Forecast:............................................233.14 How to determine the Net HR Requirement:......................23
3.14.1 Determine HR Demand:.........................................233.14.2 Ascertain HR Supply:...........................................24
3.14.3 Determining Net HR Requirements:.................................243.14.4 Institute HR Programs: HR Deficit and HR surplus:......................24
3.15 Tools of calculating HR Demand in the Organization:...........253.15.1 Tools that are used to calculate HR demand in an organization are:.........25
3.15.2 Analysis of Workload Factors:.....................................263.15.3 Time Series Analysis:...........................................26
3.16 Qualitative and quantitative Methods of HR forecasting with Advantages and disadvantages:......................................28
3.17 Methods used by Dabber Bangladesh for Demand forecasting:.....324. Organizational Profile:..........................................35
5. Findings and Analysis:...........................................406. Suggestion:......................................................44
7. Conclusion:......................................................458. Appendix.........................................................46
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1. Executive SummaryThis term paper contains the HR forecasts of “Dabur Bangladesh”.
Dabur Bangladesh is one of the largest MNC which is running
businesses in Bangladesh and successfully practicing
transnational HR culture in Bangladesh. As it’s a south-Asian
business organization, so they try to maintain a proper, standard
and employee wellbeing hr practices in their activities.
According to Dabur Bangladesh, their HR policy is centrally
controlled by the parent’s organization Dabur India. The HR
office of Dabur Bangladesh generates data and related support to
their head hr office. They maintain an integrative relation
between local HR office and parents HR office to create any HR
decisions. Basically each of the Local HR decisions is finally
taken by local HR manager in consultancy with head HR manager.
Dabur Bangladesh maintains a central DBMS in its parent’s
organization Dabur India. They maintain a competency mapping to
provide necessary training to their employees. Dabur Bangladesh
usually forecasts their manpower for short time horizon. Dabur
Bangladesh forecasts their manpower for the employees required in
administrative work and for the manpower required in
manufacturing plant. They sets some criteria like, employee
attires, attitude, punctuality, sincerity, education, efficiency
in achieving target, late stay, holiday job and mostly 360*
evaluation etc. These criteria are pre-requisite to get the next
hierarchical position. Basically, this report is the partial
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requirement of HRP course. The purpose of the report is to apply
the practical knowledge that we learned from HR planning course.
It’s a very knowledgeable, resource able and a great pool of HR
information.
2. IntroductoryDabur Bangladesh is one of the large MNC, running business in
Bangladesh. Who successfully is practicing transnational HR
culture in Bangladesh? As it’s a south-Asian business
organization, so they try to maintain a proper, standard and
employee wellbeing HR practices in their activities. As they
thought that every business have a customer, infect every
functional department have a customer, like- marketers customer
is consumer of that particular product, financial institutions
customer is that particular business people etc. but now what’s
about HR? Who is the customer for HR? Dabur Bangladesh believes
that their employees are the most potential customer for them.
It’s nothing but their strong commitment to their employees.
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2.1 Introduction:
The report was originated in our “Human Resource Planning”
course. It is assigned by our honorable faculty “Taskina Ali”,
since the report is partial requirement of HRP course. Our
teacher assigned us this report to introduce us with the
practical data and analysis to determine the human resource
planning process in an organization. She gave us the guidance and
information needed to prepare the report and also told us to
apply our theoretical knowledge of Human Resource Planning (HRP).
She told us to select an organization and help us to determine
which information needs to be collected.
2.2 Objective:
1. Partial course requirement
2. Application of theoretical knowledge
3. To create a pool of HR information for our students
4. To find out the practice of human resource planning process
in an organization of Bangladesh.
2.3 Scope and Purpose of the report:
The report will satisfy some question like,
1. What is human resource planning process?
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2. Why human resource forecasts are required for an
organization?
3. What are the facts are required in human resource planning
process?
4. What is the organization growth rate?
In addition with this, the report will give benefits to some
other aspects:
1. This report will help the organization to identify the much
more effective practice of human resource planning.
2. This report will also help the managers to identify the
actual manpower demand for that organization.
3. This report will help many researchers to precede their
further research about human resource planning for an
organization.
4. This report will also help the future students and present
students for carrying a clear idea about forecast demand for
human resources.
2.4 Methodology:Types of Data:
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We have used primary data as our data type.
Types of data sources:Primary sources:
Interviewing
Organization visit
Secondary sources:
Internet
Books
2.5 Limitation:1. Difficulties to collect the information from the
organization because of their organization policy.
2. No transportation and no security was provided by our
university
3. Multiple tasks at a time
Except these we don’t face any problems to make this term paper.
3. Literature ReviewGenerally the objective of a literature review is to gather all
information related to the topic from different types of
secondary sources and allocate them for further use. The
objective of this literature review which is included in a Term
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Paper based on the topic “Human Resource Planning” is to
accumulate all the available information from different sources
in a meaningful summarize form, that will help to get a clear
idea about the topic.
Human resource planning (HRP) is a part of human resource
management (HRM), so discussion of HRP without any overview of
HRM is incomplete. For defining HRP it is necessary to define
about HRM.
3.1 Human Resource Management: Human resource management can define as a process of handling and
managing people of an organization.
Human resource management (HRM) involves all management decisions
(Human Resource Management- FISHER, SCHOENFELDT, SHAW: 6th Edition,
Chapter-1, Page-7)[1]and practices that directly affect or influence
the people, or human resource who work for the organization.
Most experts agree that (Human Resource Management- Gary Dessler: 12th
Edition, Chapter-1, Page-30)[2] managing involves five functions:
planning, organizing, staffing, leading and controlling HRM is
the process of acquiring, training, appraising and compensating
employees and of attending to their labor relations, health and
safety and fairness concern.
3.2 Human Resource Planning:Armed with information (Human Resource and Personnel Management-
WILLIAM B. WERTHER, JR., KEITH DAVIS: 5th Edition, Chapter-6, Page-155[3]) about
jobs and their design, human resource planning systematically
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forecasts an organization’s future demand for and supply of
employees.
Human resource planning (Human Resource Management- FISHER,
SCHOENFELDT, SHAW: 6th Edition, Chapter-3, Page-96[4]) is concerned with
the flow of people into, through and out of an organization. HR
planning involves anticipating the needs for labor and the supply
of labor and then planning the programs necessary to ensure that
the organization will have the right mix of employees and skills
when and where they are needed.
HRP is a planning process (Human Resource Planning- Dipak Kumar
Bhattacharyya: Chapter-3, Page-51[5]) by which an organization can move
from its current manpower position to its desire manpower
position, through planning an organization strives to have the
right number and the right kinds of people at the right places at
the right time.
3.3 Why organization should conduct HRP: Optimum manpower planning (Human Resource Planning- Dipak Kumar
Bhattacharyya: Chapter-3, Page-51[6]) aims at:
Balancing demand, supply, distribution and allocation of
manpower.
Controlling cost of human resource.
Formulating policies on transfer, succession, relocation of
manpower.
HRP is essential wherever production of goods and services are
involved. This may be done either by external agencies
(consultants, suppliers of plant and machineries) or internal
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agencies (Personnel Department, Industrial Engineering
Department, Production Department, etc).
HR planning is (Human Resource and Personnel Management- WILLIAM B.
WERTHER, JR., KEITH DAVIS: 5th Edition, Chapter-6, Page-156[7]) more common in
large organizations because of:
Integrate strategic demands with appropriate staffing
levels.
Improve the utilization of human resource.
Match HR activities and future organizational objectives
efficiently.
Achieve economies in hiring new workers.
Expand the HR information base to assist other HR
activities and other organizational units.
Make major demands on local labor markets successfully.
Coordinate different HR programs such as affirmative action
plans and hiring needs.
Small organization can expect similar advantages, but their gains
are often considerably less. In fact, the benefits of HR planning
for small organizations may not justify the time and costs.
3.4 How to conduct HRP of an organization:3.4.1 A Model for HR planning:
The first (Human Resource Management- FISHER, SCHOENFELDT, SHAW: 6th
Edition, Chapter-3, Page-97[8]) step of HR planning is to collects
information; the next step is to forecast demand for human
resources; forecast supply of human resources; plan and conduct
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needed programs and the last step is feedback on planning
process. These steps can be explained by a figure:
Collection Information:A. From the external
Environment:
1. Economy
2. Technology
3. Competition
4. Benchmark
B. From inside the
organization:
1. Strategy
2. Business Plan
3. Current Human Resource
4. Rates of turnover and
1
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5. Government Regulation
6. Labor Market
7. Demographic and social
trend
mobility
Forecast demand for Human resources:A. Short term and long term B. Aggregate and individual
positions
Forecast supply for Human resources:A. Internal Supply B. External Supply
Plan and conduct needed programA. Increase or reduce
workforce size
B. Change skill mix
C. Develop managerial
succession plan
D. Develop career plan
Feedback on planning processA. Were forecasts accurate? B. Did programs meet needs
3.4.2 Activities required for HRP:
Manpower planning (Human Resource Planning- Dipak Kumar Bhattacharyya:
Chapter-3, Page-51[9]) consists a series of activities which can be
listed as following:
Forecasting future manpower requirement: this is done either
in terms of Mathematical projection or in terms of
2
3
4
5
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Judgmental estimates. Mathematical projections are done
extrapolating factors like, economic, environment,
development trends in industry etc. Judgmental estimates, on
the other hand, are done on the specific future plans of a
company by managerial discretion, which is based on past
experience.
Preparing an inventory of present manpower: Such inventory
consist data about each employee’s skills, abilities, work
preferences and other items of information. Inventory of
manpower resources helps in assessing the extent of
deploying such resource optimally.
Anticipating Problems of manpower: This can be done by
projecting present resources into the future and comparing
the same with the forecast of manpower requirements. This
helps in determining the quantitative and qualitative
adequacy of manpower.
Meeting manpower requirements: This can be achieved through
planning, recruitment and selection. Training and
development, induction and placement, promotion and
transfer, motivation and compensation to ensure that future
manpower requirements are correctly met.
3.4.3 Steps of HRP process:HRP process (Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-4, Page-71[10]) can be delineate into four different stages:
Investigation: it is the primary stage of HRP in any
organization. In this stage, organizations try to develop
their awareness about the detailed manpower scenario with a
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holistic view, looking at their current manpower. A SWOT
analysis can reveal a better picture with due consideration
of external environment, performance and productivity
trends, working practices, operational and strategic plans.
Scientific homework, at this stage itself can help to
identify present and future skill gap. Internal manpower
review has to be done with enterprise wide current
operational data, like marketing, financing, performance
data, current employment practices and methods, etc.
Forecasting: After adequate investigation, in the next phase
of HRP process, analysis of demand and supply is done.
Manpower supply is done considering both internal and
external supply. While doing internal supply analysis,
career planning and development, training and development
and succession plan aspects are considered along with
corporate policies and procedures. External supply analysis
is done considering macro level issues to understand their
availability. Demand forecasting help to identifying
requirements of manpower for various positions at different
points of time.
Planning and Controlling of manpower: At this stage
forecasts of manpower are translated into HR policies, which
encompass all HRP related issues like recruitment, training
and development. While going for recruitment, it is
necessary to understand the job descriptions which precede
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job analysis and job roles. It is also necessary to document
the status of recruitment. Similar efforts should be made in
planning and documenting the training and development
policies of the organizations to address to the problem of
knowledge and skill obsolescence in the context of changing
technology. Hence the scope of redeployment through
retaining also needs to be explored at this stage. While
doing HRP, flexibility and inter-relationship of all other
policies need to be considered. Mere planning and
documenting the policies will not help. Control must be
there to correct any observed deficiency in such plans.
Utilization: In this final stage of HRP process, success is
measured in terms of achievement trend, both quantitatively
and qualitatively. While quantitative achievement is visible
from productivity trend, manpower costs, etc. Qualitative
achievement is a subjective appraisal on achievement of
organizational objectives. Reflection of qualitative
achievement can also be studied in the context of prevailing
industrial relations, level of motivation and morale,
grievance pattern etc.
3.4.4 Steps for HRP: HRP should precede a number of steps (Human Resource Planning- DipakKumar Bhattacharyya: Chapter-3, Page-52[11]). Such steps are:
Job analysis: Job analysis is done to differentiate one job
to another. Job is defined as collection or aggregation of
tasks, duties and responsibilities, which are assigned to an
individual employee. Job analysis provides requisite
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information about a job. It is a process of determining the
nature of a specific job through detailed and systematic
study.
Job Description and Job specification: Job description is
the record of duties, responsibilities and conditions needed
for satisfactory performance of a particular job. Job
specification translates job descriptions into human
qualifications, required for successful performance of a
job.
Developing work rules: Most of the organization after
developing job description and specifications develop work
rule, which are some pre-determined decision about certain
course of action that may be taken when certain
contingencies arise. Organizations develop such work rules
in documented form and use the same as a control device to
ensure predictability of behavior.
Application of Industrial Engineering Techniques: Work
study, method study and work measurement techniques are also
applied as a preceding step for HRP. These techniques
provide opportunity for effective use of plant of equipment,
effective use of human efforts, measurement of human work,
better way of doing things, developing predetermined
standard.
Other factors: other factor include layout design, statutory
requirement, shifts and leave reserve that need to consider
for human resource planning process.
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3.5 Job Analysis:Job analysis (Strategic Human Resources Planning- Kenneth J. McBey, Monica
Belcourt: 2nd Edition, Chapter-5, Page-112)[12] can be define as an
examination of the jobs in an organization with a view to
documenting the knowledge, skills, and abilities associate with
successful performance of those jobs. The written outcomes of
this process are referred to either as job description or job
specification. Job analysis can also define as analysis of
subdivided work in the organization, both at the level of the
individual job and for the entire flow of the production process.
Job description and job specification are the written outcomes
produced by the job analysis process. Job description emphasizes
the duties to be carried out on the job. On the other hand job
specification emphasis to identify the competencies the jobholder
must possess to be a successful performer in the specified job.
Job analysis (Human Resource Management- Gary Dessler: 12th Edition,
Chapter-4, Page-142[13]) is the procedure for determining the duties
and skill requirements of a job and the kind of person who should
be hired for it.
3.6 Why firms conduct Job Analysis:
3.6.1.1 Purpose of Job analysis :(http://en.wikipedia.org/wiki/Job_analysis)14]
One of the main purposes of conducting job analysis is to prepare
job descriptions and job specifications which in turn help hire
the right quality of workforce into an organization. The general
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purpose of job analysis is to document the requirements of a job
and the work performed. Job and task analysis is performed as a
basis for later improvements, including: definition of a job
domain; description of a job; development of performance
appraisals, personnel selection, selection systems, promotion
criteria, training needs assessment, legal defense of selection
processes, and compensation plans. In the fields of human
resources (HR) and industrial psychology, job analysis is often
used to gather information for use in personnel selection,
training, classification, and/or compensation.
Industrial Psychologists use job analysis to determine the
physical requirements of a job to determine whether an individual
who has suffered some diminished capacity is capable of
performing the job with, or without, some accommodation. Edwin
Flieshman, Ph.D. is credited with determining the underlying
factors of human physical fitness. Professionals developing
certification exams use job analysis (often called something
slightly different, such as "task analysis" or "work analysis")
to determine the elements of the domain which must be sampled in
order to create a content valid exam. When a job analysis is
conducted for the purpose of valuing the job this is called "job
evaluation." Job analysis aims to answer questions such as:
Why does the job exist?
What physical and mental activities does the worker
undertake?
When is the job to be performed?
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Where is the job to be performed?
How does the worker do the job?
What qualifications are needed to perform the job?
What are the working conditions (such as levels of
temperature, noise, offensive fumes, light)
What machinery or equipment is used in the job?
What constitutes successful performance?
3.6.2 Uses of job Analysis:Job analysis (Human Resource Management- Gary Dessler: 12th Edition,
Chapter-4, Page-142[15]) is important because managers use it to
support just about all their human resource management
activities.
Recruitment and Selection: Job analysis provides information about
what duties the job entails and what human characteristics
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are required to perform these activities. This information
in the form of job description and specification helps
manager to decide what sort of people to recruit and hire.
Compensation: (such as salary and bonus) usually depends on
the job’s required skills and education level, safety
hazards, degree of responsibility and so on. Job analysis
provides the information to determine the relative worth of
each job and thus its appropriate class.
Performance Appraisal: a performance appraisal compares each
employee’s actual performance with his or her performance
standards. Doing so requires knowledge of the job’s duties
and standards, Managers use job analysis to learn what these
duties and standards are.
Training: The job description lists the job specific duties
and requisite skills-and therefore the training- that the
job requires.
Job analysis also helps to discovering unassigned duties and
legal compliance, such as EEO.
3.7 The process of Job analysis: The process (Strategic Human Resources Planning- Kenneth J. McBey, Monica
Belcourt: 2nd Edition, Chapter-5, Page-116[16]) of job analysis involves the
following steps to maximize the potential for success:
1. Determine the job or Process to be analyzed: Although the desire
outcome of a job analysis is to have a comprehensive record
of all organizational jobs and their associated duties,
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skill requirements, working conditions, and so on, reality
dictates that organizations normally select certain well-
defined jobs common throughout the industry that can be
benchmarked externally. Some of the factors that determine
whether job analysis will be concurrent or sequential
included: (1) the degree to which the selected job is
central or critical, (2) the availability of job analysts
and other resources, (3) the availability of external
performance benchmarks for organizational jobs.
2. Determining Methods and analyze the job or process: The second step in
the job analysis process involves an appraisal of the most
appropriate method(s) to use to study and record job related
behaviors. Selection criteria for job analysis methods
includes:
Cost: Cost includes license fees for such things as
copyrighted questionnaires, training, and
administration.
Time: Time includes that spent on survey ad interview
training and assessment, data coding and analysis, and
so on.
Flexibility of Methods: This criterion has to do with
whether the method is appropriate for the particular
circumstances.
Validity and Reliability: These criteria related to
whether the job analysis methods have been tested and
found to be accurate measures of the job’s essential
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elements and the results of these methods show a
consistent pattern over repeated usage.
Acceptance: Some job analysis method such as direct
observation and videotaping of work performance may be
considered intrusive by the workforce and, therefore,
may be met with resistance. Other methods, such as
questionnaires and interviews, might be deemed more
acceptable by the workers, who would then cooperate in
providing information to the job analysis.
The aforementioned selection criteria are used to evaluate the
following common methods of job analysis:
Interview: To gather information about a job, a job analyst
may interview the job incumbents, as well as co-workers,
supervisors, suppliers, clients, and subordinates. This type
of all-round analysis of a job is referred to as 360-degree
evaluation, as the job analyst has input from individuals
who are in the job under evaluation and in other jobs as
relate to it.
Observation: Observation of a job can be either direct or
indirect. In direct observation analysts observe the
production line for worker behaviors and the skills required
for job success. Recording of the number and duration of the
individual behaviors is normally captured on a standardized
recording sheet. Indirect observation can incorporate
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variety of means, such as a videotaped recording of the job
being performed, for subsequent analysis by the analyst.
Questionnaires: Numerous standardized questionnaires are
used for job analysis. Some of the more frequently used
instruments include: (1) the Position Description
Questionnaire, (2) the Functional Job Analysis, (3) the Job
Diagnostic Survey, (4) the Dimensions of Executive
Positions, and (5) the Position Analysis Questionnaire.
These survey instruments are normally completed by job
holders, their supervisors, and the people who work in other
jobs that are related to the specific job being
investigated.
Journals and Diaries: This method of job analysis ask
jobholders to maintain a written record of their job
activities, and associated time expenditures, for a preset
period that typically ranges from a complete work cycle or
typical week to up to a month. Although the information can
be useful in discovering actual time expenditures and
activities; there can be the problem of selective reporting
and bias as the respondent is fully aware that his or her
time and activities are being monitored.
Output and Production Analysis: Machine-generated output
reports, as well as production reporting procedures, can be
obtaining information about the job and its normal and peak
level of production. Although these techniques reveal little
about the qualitative or process aspects of the job, they
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are useful in determining appropriate performance standards
for output.
3. Examine the Recorded Data on the Job or Process: Having selected the
most appropriate methods to analysis the job, job analysts
record the knowledge, skills, and abilities, job-related
behaviors, duties, tasks, responsibilities, and working
conditions of the job. The next steps to examine these data
from a variety of perspectives to get a detailed profile of
the current job. After addressing all these issues, the job
analysts start to form a clearer picture of the present job
profile. This information is used to draft the job
description or specification, which should be reviewed not
only by the job incumbents but also by their supervisor.
4. Define and Formalize New methods and Performance Standards for the Job or
Process: At this point the analysts attempt to improve on
current practices by recommending new methods and
performance standards for the job.
5. Maintain new methods and Performance Standards for the Job or Process: It
is one thing to have formal written documents specifying the
duties, tasks, and KSAs required for job success, but it is
quite another to ensure that these new methods and standards
for performance are put into practice. There are four main
methods to help ensure usage of the new techniques and to
prevent relapses the old, comfortable ways of performing on
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the job: (1) communication and training, (2) supervisory
reinforcement, (3) employee feedback, and (4) reward system.
3.8 Job Analysis Techniques:
Job analysis techniques (Strategic Human Resources Planning- Kenneth J.
McBey, Monica Belcourt: 2nd Edition, Chapter-5, Page-124[17]) that are
widespread in contemporary organizational usage are:
3.8.1 Critical Incidents Technique:
Critical incident technique is a quantitative process of job analysis that produces behavioral statements along a range from superior to ineffective performance for a specific job.3.8.2 Behaviorally Anchored Rating Scales (BARS):
In this technique a job is divided into a number of key
dimensions, and each dimension contains a range of statements of
job behavior “anchored” to a numerical scale.
3.8.3 Position Analysis Questionnaire:
Position analysis questionnaire (PAQ) is a structured job
analysis checklist that includes 194 items or job elements used
to rate a job.
3.8.4 Functional Job Analysis:
Functional job analysis (FJA) analyses any job using three
essential elements: (1) People (important interpersonal
relationships on the job), (2) Data (obtaining, using, and
transforming data in aid of job performance), (3) Things
(physical machinery, resources, and the environment). Each of
these three dimensions is then rated by level of complexity and
importance.
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3.8.5 Hay system:
Hay system uses three key factors to analyze each job: (1) know-
how (the specific knowledge and skills required to perform the
job), (2) problem-solving (the decisions and problems that must
be successfully handled on the job), and (3) accountability (the
jobholder’s responsibilities for critical task completion and for
organizational resources, budgets, supervision of people, etc).
3.9 Problems Associated with Job Analysis:
Job analysis (Strategic Human Resources Planning- Kenneth J. McBey, Monica
Belcourt: 2nd Edition, Chapter-5, Page-124[18]) consist some problems, which
are:
3.9.1 Job analysis that is neither updated nor reviewed:
Recent change in technology, materials, and processes must be
incorporate into the amended job description or specification.
Obsolete job description not only fail to provide job incumbents
with meaningful guidelines but also results in an HR planning
process that is attempting to match individuals to jobs based on
information’s that is no longer valid.
3.9.2 Job description or specification that is too vague:
To be an effective component of HR planning, the job analysis
process must produce detailed, specific behavioral examples of
successful job performance for each job in the work process.
3.9.3 Contamination and Deficiency:
Contamination is an error that occurs when unimportant or invalid
behaviors or attributes are incorporated into a job description
or specification. On the other hand, deficiency is an error of
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omission when a job description or specification fails to
incorporate important aspects of the job required for success.
3.9.4 Time and Cost of Job analysis:
Typical costs include in job analysis are: licensing fees,
consulting fees, costs of lost production, codifying, analyzing,
drafting, revising and disseminating cost as well as the large
time require for analysis reduce the effectiveness of job
analysis.
3.10 HR Forecasting:
HR forecasting (Strategic Human Resources Planning- Kenneth J. McBey,
Monica Belcourt: 2nd Edition, Chapter-7, Page-161)[19] constitute the heart of
the HR planning process, can be define as ascertaining the net
requirement for personnel by determining the demand for and
supply of human resource now and in the future. After determining
the demand for and supply of workers, the organization’s HR staff
develop specific program to reconcile the differences between the
requirement for labor in various employment categories and its
availability.
3.11 Benefits of HR forecasting:
A great number(Strategic Human Resources Planning- Kenneth J. McBey, Monica
Belcourt: 2nd Edition, Chapter-7, Page-159[20]) of important benefits accrue
to organizations that take the time to institute effective HR
forecasting process, and the forecasting techniques employed do
not have to be sophisticated to be of value to the firm. A few of
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the more important advantages of HR forecasting are discussed
below:
3.11.1 Reduce HR costs:
Effective HR forecasting focuses on a comparison between the
organization’s current stocks of workforce KSAs (e.g.,
experience) and the numbers, skills competencies, and so on
desire in the workforce in the future. This inherent comparison
facilitates a proactive, sequential approach to developing
internal workers and is concurrent with activities focused on
obtaining the best external recruits from competitors,
universities, and training programs. In this manner organization
can reduce their HR costs as they take a long-run planning
approach to HR issues. This means that organizations will be less
likely to have to react in a costly last-minute crisis mode to
unexpected developments in the internal or external labor
markets.
3.11.2 Increases Organizational Flexibility:
An oft-cited advantage of HR forecasting is that its proactive
process increases the number of viable policy options available
to the organization, thereby enhancing flexibility. With regard
to labor supply considerations, forecasting process develop
program options that can determine whether it is more
advantageous and cost effective to retrain current members of the
workforce to fill anticipated job opening or fill this operation
with external recruits who are already in possession of the
required competencies and skills.HR forecasting is predicated on
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trends, assumptions, scenarios, and various planning time
horizons, the process itself encourage to development of a wide
range of possible policy options and programs from which the HR
staff can select.
3.11.3 Ensure a close linkage to the overall Business Forecasting Process:
The implementation of an HR forecasting process helps to
eliminate the possibility that personnel policies will veer away
from the overall operating and production policies of the
organization. HR forecasting an ongoing process takes its leads
from specific production, market share, profitability and
operational objectives set by the organization’s top manager. HR
forecasting analysis are set in motion to determine the
feasibility of the proposed operational objectives with respect
to time, cost, resource allocation, and other criteria of program
success. The analysis and subsequent feedback of the HR forecast
summaries to senior management help to ensure that the top
decision-makers in the organization (1) are aware of key HR
issues and constraints that might affect organizational plans for
success and (2) ensure the HR objectives are closely aligned with
the organization’s operational business objectives.
3.11.4 Ensure that organizational Requirements take precedence over Issues of
Resource Constraint and Scarcity:
The first step of HR forecasting process should be the
calculation of organizational requirements, or demand for human
resources. Determining the source of personnel-that is, the
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availability or supply of workers- is done only once the process
of evaluating personnel requirements for current and future time
horizons has been finalized. This sequence is not accidental, and
it reinforces the fact that attainment of desire organizational
goals and objectives must take priority over all issues
concerning resource scarcity and other implementation issues.
3.12 Environmental and Organizational Factors Affecting HR
Forecasting:
The HR forecasting (Strategic Human Resources Planning- Kenneth J. McBey,
Monica Belcourt: 2nd Edition, Chapter-7, Page-166[21]) process is extremely
complex, requiring specific numerical and skill competency
targets for personnel to be met despite operating in
circumstances of high uncertainty. This uncertainty arise from
both external environmental factors and from inside the
organization itself. When considering the environmental and
organizational factors, it should be consider that these factors
may be affect the forecasting of demand, supply or both of these
key planning variables.
Selected factors affecting the HR forecasting process are:
Internal /Organizational factors:
Corporate mission, statement, strategic goals
Operational goals, production budget
HR policies
Organizational structure, restructuring, mergers, etc.
Workers KSAs/competencies and expectations
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HRM level of development
Organizational culture, workforce climate and
satisfaction, and internal communications
Job analysis: workforce coverage, current data
External / Environmental Factors:
Economic Situation
Labor Market and unions
Governmental laws and regulations
Industry and product life cycle
Technological change
Competitor labor usage
Global market
Demographic changes
3.13 HR Forecasting Time Horizons:
Although there are variations among organizations with respect to
how they define their specific time parameters, the typical HR
forecasting time horizons are as following:
3.13.1 Current Forecast:
The current forecast is the one being used to meet the immediate
operational needs of the organization. The associated time frame
is up to the end of the current operational cycle, or a maximum
of one year into the future.
3.13.2 Short-run Forecast:
The short run forecast extends forward from the current forecast
and states the HR requirements for the next one-to-two year
period beyond the current operational requirements.
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3.13.3 Medium-run Forecast:
Most organizations define the medium-run forecast as the one that
identifies requirements for two to five years into the future.
3.13.4 Long -run Forecast:
Due to uncertainty and the significant number and types of
changes that can affect the organization’s operations, the long-
run forecast is by necessity extremely flexible and is a
statement of probable requirements given a set of current
assumptions. The typical long-run forecast extends five or more
years ahead of the current operational period.
The outcome of forecasts derived from these four time horizons
leads to prediction and projection.
3.14 How to determine the Net HR Requirement:
The overall (Strategic Human Resources Planning- Kenneth J. McBey, Monica
Belcourt: 2nd Edition, Chapter-7, Page-168[22]) process of determining net HR
requirement can be defined into four steps:
3.14.1 Determine HR Demand:
In determining demand a verity of factors have to be considered.
These are:
Each organizational sub-unit has to submit its net personnel
requirement to the corporate forecasting unit based on the
future labor needs to meet sub-unit and organizational
goals.
Identify the planned future changes in organizational design
or in restructuring with their associate increases or
decreases in staffing level.
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Consider the time horizon for which manpower demand will be
calculated.
Conduct a cost estimate for the net HR demand figure as a
reality check to determine whether the demand forecasting is
realistic.
3.14.2 Ascertain HR Supply:
Step two examines exactly how to fill the anticipated future
requirements for personnel. There are two supply options:
Internal supply and External supply.
Internal supply refers to current members of the organizational
workforce who can be retained, promoted, transferred etc., to
fill anticipated future HR requirements.
External supply refers potential employees who are currently
undergoing training (e.g. university students) or are working for
competitors, or who are members of union or professional
associations, or currently are in a transitional stage, between
jobs or unemployed.
Although some organizations hire recruits externally only when
their internal searches and job posting or bidding process fails
to identify sufficient numbers of high-quality internal
candidates, there are several other reasons like:
Expanding operation without increasing labor efficiency or
implementing labor-saving technology.
Internal employees are socialized and may be comfortable in
their modus operandi.
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Internal candidate may be considerably more expensive then
external.
Organizational objectives require a shift in operating
techniques, culture and past practices, hiring external
candidates is often desirable to shaking up the
organization.
The problems of ripple effects. (source: class lecture)
3.14.3 Determining Net HR Requirements:
The third steps in this process involve the determination of net
HR requirements. The equations are:
HR demand = External Supply- Internal Supply
HR demand – Internal Supply = External Supply
In the organization’s future plan consider expansion or
downsizing, the equation is:
External supply = Current workforce size * (replacement % per
year + change % per Year)
3.14.4 Institute HR Programs: HR Deficit and HR surplus:
HR deficit means that forecasted HR demand requirements cannot be
satisfied solely by use of the current internal workforce supply
of employees.
HR deficit = HR Demand > HR Internal Supply
In this case firm’s policy options focus on external supply
consideration of recruitment, selection, and compensation schemes
to attract new employees. It might be possible to hire part-time
employees, full-time employees, or a combination of both in an
Identify and determine the Manpower Planning
attempt to address the deficit. It might be possible to recall
any worker because of past lower level of HR demand.
HR surplus occurs when the internal workforce supply exceeds the
organization’s requirement or demand for personnel.
HR surplus = HR Demand < HR Internal Supply
In this case employees might be leaded off to reduce the excess
labor supply to a level equal to the demand requirements.
Alternative options like: hiring freeze, job sharing and
attrition can also be used to meet the HR requirements.
3.15 Tools of calculating HR Demand in the Organization:
3.15.1 Tools that are used to calculate HR demand in an organization are:
HR forecasting tools or the tools that are used to calculate HR
demand can be classified into two categories, these are: (1)
Quantitative Methods for forecasting Demand and (2) Qualitative
Methods for Forecasting Demand.
Quantitative Methods for forecasting Demand: This category
includes the methods:
Moving Average Method
Exponential Smoothing
Index/ Trends Analysis
Regression
Linear Programming
Actuarial models
Simulation
Probability matrixes
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First- Order Markov Model
Semi- Markov Model
Qualitative Methods for Forecasting Demand: This category
includes methods:
Delphi Technique
Expert Forecasts
Nominal Group Technique
The use of quantitative tools reinforces the idea of forecasting HR or manpower requirements. These tools are: (Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-4, Page-74[23)]
3.15.2 Analysis of Workload Factors:
To forecasts the manpower requirements at different points oftime, workload analysis is extremely important. Analysis ofpresent and future workload depends on the possibility toquantifying the work content in every area of organizationalactivities. Following steps help in workload analysis:
Classification of work: Identifying the work or job contentand time requirement for such job or work unit.
Forecasting the number of jobs: Job forecasting inquantitative terms for a number of jobs is done for a timeperiod.
Concerting the projected jobs in man- hours: Multiplying thetime requirement of each job with the number of projectedjobs.
Converting the man-hour into manpower requirement: aggregateman-hour is converted into manpower requirements.
3.15.3 Time Series Analysis:
Employment data over a time period are used under this method as
the basis for manpower forecasting. Recording employment levels
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over a time period need to observe the following five distinct
elements:
i. Trend: Fluctuation in level of employment over a time
period.
ii. Cyclical Effect: Change in employment in relation to some
particular event.
iii. Seasonality: Seasonality fluctuation occur more than once in
a given time period.
iv. Step: Sudden change in employment level due to economic
environment or increase market share, or procurement of some
new machines, etc.
v. Random Education: These are fluctuation in employment level
which is random in nature, i.e. such fluctuation does not
follow any obvious pattern.
The time series analysis consist the techniques:
Moving Average Method: Under this method average of the
combined employment level data for the recent past is
consider as the forecasted employment level for the next
period. This technique is useful to guard against random
fluctuations. For achieving better results, weights may be
assigned for different time periods at the discretion of the
analyst.
Exponential Smoothing Method: Exponential method eliminates
the need for past records by adopting smoothens random error
by giving exponentially decreasing weights to historical
data. Such weight factor is indicated by alpha (α), which is
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a smoothing constant, a non-linear decimal value which lies
between 0 and 1. The formula is:
Fm=Ft+α−(At−1−Ft−1)
Where,
Fm = Forecasted manpower
Ft−1= Forecasted demand for the previous period
α = Smoothing constantAt−1 = Actual manpower required for the previous period
Index/ Trend Analysis: Trend analysis is also known as
Simple Mathematical Method which consider the historical
(Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-8, Page-182[24]) relationship between an
operational index and the number of employees required by
the organization. Although sales level is probably the most
common index used by organizations, other operational
indices include (1) the number of units produced, (2) the
number of clients serviced, and (3) the production hours.
Complex Mathematical Methods: Some forecasting (Human
Resource Management- FISHER, SCHOENFELDT, SHAW: 6th Edition, Chapter-3,
Page-103[25]) methods use more complicated statistical
techniques. Large organizations with a long history of HR
planning are likely to employ these methods. One of such
method, Multiple Regression, uses several factors that
correlate with labor demand to forecast future demand.
Historical data are used to derive an equation describing
the relationships of these factors include sales, profits,
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capital investments, and GNP. Another forecasting method
employs linear programming to determine optimal staffing
levels given a set of constraints. Constraints might be
include compensation budgets, minimum and maximum ratios
between various kinds of jobs, or minimum and maximum output
figures.
The use of qualitative methods or judgmental methods is common
in small organizations or by those new to HR forecasting that
do not yet have the database or expertise to use some of the
more complex mathematical models.
Delphi Technique: Delphi technique (Strategic Human
Resources Planning- Kenneth J. McBey, Monica Belcourt: 2nd Edition,
Chapter-8, Page-182[26]) is a careful designed program of
sequential individual interrogations (usually conduct
through questionnaires) interspersed with information
feedback on the opinion expressed by the other
participants in previous round.
Expert Forecasting: Using expert to arrive a numerical
estimate of future labor demand is considered to be a
qualitative process of determining future labor
requirement because it is a detailed process of stating
assumptions, considering potential organizational and
environmental changes, and deriving a rationale to
support the numerical estimate.
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Nominal Group Technique: Nominal group technique is a
long run forecasting technique utilizing expert
assessment. It differs from the Delphi technique in
several important respects, such as: the group members
can meet face-to-face and interact, but only after
individual written, preparatory work has been done and
all the demand estimates have been publicly tabled, or
written on a flip chart, without discussion.
3.16 Qualitative and quantitative Methods of HR forecasting with
Advantages and disadvantages:
The following figure outlines some important techniques and their
main advantages and disadvantages:
Quantitative Methods of forecasting HR DemandMethod Description Advantages Disadvantages
Moving Average
Average data
about HR demand
for recent
periods and
projects them
into the
future.
Simplicity.
Data easily
available.
Seasonal or
cyclical
patterns may
be ignored.
Relies on
past data.
Exponential
Smoothing
Forecasters can
vary weights
for HR demand
assigned to
different past
May be used
to take into
account
factors
ignored by
Mathematical
Complexity.
Choice of
weights may
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time periods
used to project
future Hr
demand.
the moving
average
method (for
example,
cyclical
patterns)
be arbitrary.
Relies on
past data.
Trends
Projections
Numbers of
people hired or
requested
placed on one
axis; time is
placed on the
other axis. A
straight line
is plotted from
past to future
to predict HR
demand.
Easily
explained to
managers.
Easily
prepared by
HR planners.
Rough
estimates.
Relies on
past data.
Quantitative Methods of forecasting HR DemandMethod Description Advantages Disadvantages
Regression Mathematical
formula used to
relate staffing
to several
variables.
Can include
many
variables.
Efficient use
of all
available
Mathematical
Complexity.
Requires
large sample
sizes.
Relies on
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data. past data.
Linear
Programming
Assesses
required
staffing level
that matches
desired output
levels, subject
to certain
constrains.
Assesses what
should be in
the future,
not probably
will be.
Managers are
skeptical of
highly
sophisticated
methodology.
Numerous
assumptions
must be made.
Actuarial
models
Relate turnover
to such factors
as age and
seniority.
Reflect past. May not be
accurate in
individual
cases.
Simulations
Use scenarios
to test the
effect of
various
personnel
policies.
Useful for
considering
alternatives
HR programs.
Accuracy
varies.
Probability
Matrixes
Defines
“states” in the
organization-
such as
strategy
levels,
Help identify
career
patterns.
Help perform
turnover
analysis.
Require some
mathematical
sophisticatio
n.
Accuracy
varies.
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performance
rating and also
identify time
period.
First-order
Markov model
Multiply number
of people in
each job
category by the
probability of
movement
between
job/position
categories.
Model assumes
that current
job/position
category is the
chief
determinant of
movement.
Adequate for
considering
alternative
effects of
various HR
strategies.
Not adequate
for long-term
forecasts.
Requires
mathematical
sophisticatio
n.
Semi-Markov
Model
Same as First-
order Markov
model except
that
probability of
movement is
More
inclusive
than a first-
order Markov
model.
Not very
useful for
considering
alternative
affects of
various HR
Identify and determine the Manpower Planning
determined by
(1)
job/position
category and
(2) the
individual’s
length of stay
in the job
class.
strategies.
Requires
mathematical
sophisticatio
n.
Qualitative Methods of forecasting HR DemandMethod Description Advantages Disadvantages
Delphi
Technique
A group of
experts
exchanges
several rounds
of estimates of
HR demand or
supply,
normally
without meeting
face-to-face.
Feedback from
other experts
is used by each
individual to
Can involve
key decision
makers in
process.
Can focus on
what is
expected or
desired in
future.
Not bound to
the past.
Highly
subjective.
Judgments may
not
efficiently
use objective
data.
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“fine-tune” his
or her
independent
estimates
Nominal Group
technique
A small group
of experts
meets face to
face. After a
procedure that
involves open
discussion and
private
assessments,
the group
reaches
judgment
concerning
future HR
demand or
supply.
Same as
Delphi
Technique.
Group
discussions
can
facilitate
exchange of
ideas and
greater
acceptance of
results by
participants
Same as
Delphi
Technique.
Group
pressure may
lead to less
accurate
assessments
that could be
obtained
through other
means.
3.17 Methods used by Dabber Bangladesh for Demand forecasting:
Dabur Bangladesh does their job analysis in two categories.
First, for their official employees, and Second, for their
outsource suppliers. Outsourced suppliers are used for
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manufacturing purpose. Official employees are known as trainee
employee in Dabur Bangladesh.
Dabur follows Delphi techniques and Trend Analysis to forecasts
their human resource demand. They forecasts their employees based
on their future sales volume. At the beginning of the year Dabur
Bangladesh sets future target sales. Then they determine how many
employees are required for achieving that target.
Trend analysis consider the historical (Strategic Human
Resources Planning- Kenneth J. McBey, Monica Belcourt: 2nd Edition,
Chapter-8, Page-182[27]) relationship between an operational
index and the number of employees required by the
organization. There are five steps to conduct an effective
Index/Trend analysis. These steps are:
1. Select the appropriate business/operational Index.
2. Track the business index over time.
3. Track the workforce size over time.
4. Calculate the average ratio of the business index to
the workforce size.
5. Calculate the forecasted demand for labor.
Delphi technique is a careful designed program of sequential
individual interrogations (usually conduct through
questionnaires) interspersed with information feedback on
the opinion expressed by the other participants in previous
round. There are six steps associated with using the Delphi
technique for HR demand forecasting:
1. Define and refine the issue or question.
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2. Identify the experts, terms, and time horizon
3. Orient the experts
4. Issue the first round questionnaire
5. Issue the first round questionnaire summary and the
second round of questionnaires.
6. Continue issuing questionnaires until either all the
predetermined questionnaires stages have been completed
and summarize or the group reaches a clear majority
decision.
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4. Organizational Profile:
Dabur (Dabur India Ltd.) (Devanagari: डडडड) derived from
DaktarBurman) is India's largest Ayurvedic medicine manufacturer.
Dabur was founded by Dr SK Burman, a physician in Bengal. He
founded Dabur in 1884 to produce and dispense Ayurvedic
medicines. In 1896, as a result of growing popularity of Dabur
products, Dr. Burman set up a manufacturing plant for mass
production of formulations. His initial goal was to successfully
produce and market effective medicine for ordinary villagers.
DrBurman designed Ayurvedic medication for diseases such as
cholera and malaria. Soon the news of his medicines travelled,
and he came to be known as the trusted 'Daktar' or Doctor who
came up with effective cures. That is how Dabur got its name -
derived from the Devanagri rendition of DaktarBurman.
Information at a Glance:
Type Public (NSE, BSE)
Industry Health Care, Food
Founded 1885
Founder(s) Dr. S K Burman
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Headquarters
Dabur Tower, Kaushambi, Sahibabad, Ghaziabad - 201010 (UP), India
Area served Worldwide
Key people
DrAnandBurmanChairmanMr. AmitBurmanVice-ChairmanMr. Sunil DuggalCEO
ProductsDaburAmla, DaburChyawanprash, Vatika, Hajmola& Real
Employees 3,000 (Approx.)
Divisions
Dabur Nepal Pvt Ltd (Nepal),Dabur Egypt Ltd (Egypt),Asian Consumer Care (Bangladesh),Asian Consumer Care (Pakistan),
African Consumer Care (Nigeria),Naturelle LLC (Ras Al Khaimah-UAE),
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Weikfield International (UAE), andJaquline Inc. (USA).
Subsidiaries
Dabur International,
Fem Care Pharma,newu
Website Dabur.com
Dabur uses 2 major strategic business units (SBU) - Consumer CareBusiness and International Business Division (IBD).
Consumer Care Business addresses consumer needs across the entireFMCG spectrum through four distinct business portfolios of Personal Care, Health Care, And Home Care Foods.
Master brands:
Dabur - Ayurvedic healthcare products
Vatika - Premium hair care
Hajmola - Tasty digestives
Real - Fruit juices & beverages
Fem - Fairness bleaches & skin care products
The brand value of daburs products is 12 Billion-Rupee brands:
DaburAmla, DaburChyawanprash, Vatika, Réal, Dabur Red Toothpaste,
DaburLalDantManjan, Babool, Hajmola, Dabur Honey, Glucose, Fem
and Odonil
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The Strategic positioning of Honey as food product, leading to
market leadership (over 75%) in branded honey
market .DaburChyawanprash the largest selling Ayurvedic medicine
with over 65% market share.Vatika has been the fastest growing
hair care brand in the Middle East.Hajmola tablets in command
with 60% market share of digestive tablets category. About 2.5
croreHajmola tablets are consumed in India every day. Dabur is
the leader in herbal digestives with 90% market share in all over
the world.
Consumer Health Division (CHD) offers a range of classical
Ayurvedic medicines and Ayurvedic OTC products that deliver the
age-old benefits of Ayurveda in modern ready-to-use formats.
Major categories in traditional formulations include:
AsavArishtas
RasRasayanas
Churnas
Medicated Oils
Proprietary Ayurvedic medicines developed by Dabur include:
Nature Care Isabgol
Madhuvaani
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Trifgol
Division also works for promotion of Ayurveda through organized
community of traditional practitioners and developing fresh
batches of students.
International Business Division (IBD) caters to the health and
personal care needs of customers across different international
markets, spanning Nepal, Bangladesh, the Middle East, North &
West Africa, EU and the US with its brands Dabur&Vatika. IBD
contributes to about 30% of total sales of daburs. IBD leverages
the 'Natural' preference among local consumers to increase share
in personal care categories.
Focus markets:
- GCC
- Egypt
- Nigeria
- Bangladesh
- Nepal
- US
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Dabur more focuses on high level of localization of manufacturing
and sales & marketing in product offering.
Dabur Bangladesh is a joint venture of ACI and Dabur India which
is running through International Business Division.
ACI Ltd has Joint Venture with one of the leading companies of
India, Dabur India as Asian Consumer Care Ltd. Dabur has a long
range of food items which is distributed through the channels of
ACI Consumer Brands. These products are very popular in
Bangladesh Market. The food items are:
Dabur Honey.
DaburChawanprush.
Asian Consumer Care (Pvt.) Ltd. also markets the personal care
products of Dabur. The personal care products of Dabur are:
DaburAmla Hair Oil.
DaburVatika Hair Oil.
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Vatika Shampoo.
DaburVatika Face pack.All these products of Dabur are already
known to the customers through various satellite channels and
bringing good name for both Dabur and ACI.
5. Findings and Analysis:Dabur Bangladesh is one of the large MNC, running business in
Bangladesh. Who successfully is practicing transnational HR
culture in Bangladesh? As it’s a south-asian business
organization, so they try to maintain a proper, standard and
employee wellbeing HR practices in their activities. As they
thought that every business have a customer, infect every
functional department have a customer, like- marketers customer
is consumer of that particular product, financial institutions
customer is that particular business people etc. but now what’s
about HR? Who is the customer for HR? Dabur Bangladesh believes
that their employees are the most potential customer for them.
It’s nothing but their strong commitment to their employees.
According to dabur Bangladesh, their HR policy is centrally
controlled by the parent’s organization Dabur India. They
maintain a central employee database management system in their
parents head office which contains detail information of an
employee. The HR office of Dabur Bangladesh generates data and
related support to their head hr office. They maintain an
integrative relation between local HR office and parents Hr
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office to create any HR decisions. Basically each of the Local HR
decisions isfinally taken by local HR manager in consultancy with
head HR manager.
Dabur Bangladesh does their job analysis in two categories.
Firstly, for their official employees in administrative work.
Secondly, for their outsourced employees. Outsourced employees
are used for manufacturing purpose. Official employees are known
as trainee employee in dabur Bangladesh.
Dabur Bangladesh forecasts their employees for the short time
horizon that means they forecasts only for one to two years
period. As Dabur Bangladesh forecasts their employees for short
time horizon, so they do their job analysis for once in a year.
Dabber follows Delphi techniques to forecasts their human
resource demand. They forecasts their employees based on their
future sales volume. That means at the begging of the year Dabber
Bangladesh sets a future target sales. Then they determine how
many employees are required for achieving that target. They
maintain the previous record of sales volume. Usually next year’s
sales forecasts are incremented by 25% of the current year’s
sales volume.
As we know there are two sources of manpower supply. One is
internal sources of manpower and another one is external supply
of manpower. But as a source of manpower, internal supply is the
first choice of employee supply of Dabur Bangladesh. As they
believe that it reduces their cost of recruitment. At the same
Identify and determine the Manpower Planning
time they have another believe that, human nature wants to be
recognized. As they are motivating their employees through
promotion then they will try to give their best effort for the
organization. Due to these internal employee nurturing policies
they face the lowest employee turnover rate which is 1%. For
manufacturing plant, Daburs first priority is outsourcing
employees. Daburs find it as the most cost effective sources of
employee supply. Now, here a question may arrive that “Doesn’t it
a sacrifice of having standard employee?” Dabur Bangladesh sets
some criteria like, employee attires, attitude, punctuality,
sincerity, education, efficiency in achieving target, late stay,
holiday job and mostly 360* evaluation etc. these criteria needs
to fulfill to get the next hierarchical position. As outsourced
employee are considered as another potential source for official
purpose, so outsourced employees are worked hard to get better
job in Dabur Bangladesh. If organization found that none of the
employee is reliable or capable for next job position then they
go for recruitment and selection process.
As Dabur Bangladesh follow a conservative recruitment policy, so
they hardly face surplus supply employees. If surplus employee is
found then they treat it an s a long term burden. And then they
prefer Golden Handshakes or any law permitted approaches to
reduce unused employees. For administrative work job sharing is
not applicable but it can be applicable for manufacturing plant.
If Dabur found deficit employee then they prefer outsourcing
first then further recruitment. Overtime job policy is applicable
Identify and determine the Manpower Planning
for both administrative and manufacturing work. But it’s little
bit expensive.
Dabur Bangladesh has a competency mapping for each of the job.
Competency mapping means a detail list of KSAs (knowledge, skills
and abilities) to perform a job. Due to this competency mapping,
Dabur easily know what types of training are required for which
types of job and for which employees. So, they can easily train
to employees for preparing them for next hierarchical position.
According to Dabur Bangladesh, their highly employee favorable
human resource policy results the lowest employee turnover rate.
They offer different welfare policies like, insurance, financial
benefits, psychological motivation to their employees. According
to Dabur Bangladesh, if any employees fail to achieve his target
or if he/she constantly makes problem in organizational work then
HR manager talk to those employees and try to see and solve the
problem. They always try to create an interrogative process
between the employee and HR department.
Dabur Bangladesh is running their business in Bangladesh from
2003. At the beginning of its journey they are not a profitable
organization but from 2007 it becomes a highly profitable
organization. In 2010/11 fiscal year the growth rate of Dabur is
42% and 2011/12 fiscal year it becomes 57%. And they give credits
to their highly skilled employees, who turned to be an asset of
Dabur Bangladesh. As the mission statement of Dabur is
Identify and determine the Manpower Planning
“Celebrating Life”, they try to spreads it to their current
employees.
Findings
Current Work Force of Dabur Bangladesh:
Administrative WF 75 persons
Identify and determine the Manpower Planning
Outsourced WF 300 persons
Organizational Growth Rate is 25%
Turnover Rate is 1%
Employee efficiency rate is 83%-89%
We know,
HR forecast=External Supply + Internal Supply
External Supply=CWF*(Turnover rate + Growth rate)
External supply of employees (administrative purpose) =
75*(.01+.25) persons
=20 persons
Human resource forecasts (Administrative purpose) = (20 + 75)
persons
=95 persons
External supply of employee (Manufacturing purpose/Outsourced) =
300*(.01+.25) persons
= 78 persons
Identify and determine the Manpower Planning
Human resource forecasts (Manufacturing purpose/Outsourced) = (78
+ 300) persons
= 378 persons
Total manpower need to be recruited = (20 + 78) manpower
= 98 Man power.
So, Dabur have the 20 manpower demand for administrative work and
78 outsourced employees are required for manufacturing plant.
Total manpower demand for next fiscal year is 98 numbers of
employees.
6. Suggestion:
As internal supply is the main manpower source of Dabur
Bangladesh. It may have some negative effect to the
organization like, ripple effect. So, they need to more
focus on recruiting from external sources.
As internal employee may obsolete after a certain period of
time. So, to have better, knowledgeable, well skilled,
efficient employee they need to recruit from external
sources.
Identify and determine the Manpower Planning
As Dabur running its business in 60 countries of all over
the world. So, it’s the time to decentralize the HR
decisions of a particular country from the central
decisions.
Dabur have the 20 manpower demand for administrative work
and 78 outsourced employees are required for manufacturing
plant. Total manpower demand for next fiscal year is 98
numbers of employees.
7. Conclusion:Though it’s a partial requirement Human Resource Planning course,
but it helps to forecast the manpower demand of an organization.
Whatever we learned from HRP course, we are able to successfully
implement it with practical data. This report becomes a pool of
information for the students which contains large amount
theoretical and practical information. Due to the visit in a
well-known MNC, students are able to create a good relation with
an organization and moreover students are able to know the HR
Identify and determine the Manpower Planning
culture maintained by the MNCs in Bangladesh. Its helps to know,
how an organization manage its best manpower with its resources,
what a firm consider to recruit its employees, what are the
factors influence the demand forecasts, how forecasting occurs
and the HR view of Dabur Bangladesh to their employees.
Basically, this report clears the knowledge of HRP with its
proper implications. From this term paper, we are able to know
the customer of HRM, which is organizational own employees. Another
important learning is getting the knowledge of competency
mapping, which was a great learning for us.
Identify and determine the Manpower Planning
8. Appendix1.Human Resource Management- FISHER, SCHOENFELDT, SHAW: 6th Edition,
Chapter-1, Page-7
2.Human Resource Management- Gary Dessler: 12th Edition, Chapter-1, Page-
30
3.Human Resource and Personnel Management- WILLIAM B. WERTHER, JR.,
KEITH DAVIS: 5th Edition, Chapter-6, Page-155
4.Human Resource Management- FISHER, SCHOENFELDT, SHAW: 6th Edition,
Chapter-3, Page-96
5.Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-3, Page-51
6.Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-3, Page-51
7.Human Resource and Personnel Management- WILLIAM B. WERTHER, JR.,
KEITH DAVIS: 5th Edition, Chapter-6, Page-156
8.FISHER, SCHOENFELDT, SHAW: 6th Edition, Chapter-3, Page-97
9.Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-3, Page-51
10. Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-
4, Page-71
11. Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-
3, Page-52
12. Strategic Human Resources Planning- Kenneth J. McBey, Monica
Belcourt: 2nd Edition, Chapter-5, Page-112
13. Human Resource Management- Gary Dessler: 12th Edition, Chapter-
4, Page-142
14.http://en.wikipedia.org/wiki/Job_analysis
Identify and determine the Manpower Planning
15.Human Resource Management- Gary Dessler: 12th Edition, Chapter-4, Page-
142
16.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-5, Page-116
17.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-5, Page-124
18.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-5, Page-124
19.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-7, Page-161
20.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-7, Page-159
21.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-7, Page-166
22.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-7, Page-168
23.Human Resource Planning- Dipak Kumar Bhattacharyya: Chapter-4, Page-74
24.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-8, Page-182
25.Human Resource Management- FISHER, SCHOENFELDT, SHAW: 6th Edition,
Chapter-3, Page-103
26.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-8, Page-182
27.Strategic Human Resources Planning- Kenneth J. McBey, Monica Belcourt:
2nd Edition, Chapter-8, Page-182
Identify and determine the Manpower Planning
28.http://www.google.com.bd/imgres?imgurl=http://
www.emeraldinsight.com/content_images/fig/
0200120703001.png&imgrefurl=http://www.emeraldinsight.com/
journals.htm%3Farticleid%3D854271%26show
%3Dhtml&usg=__Imb2gfxJar1fl4y9BFcmHDFn1Oc=&h=1337&w=1092&sz=14&
hl=bn&start=1&zoom=1&tbnid=SKHrS3SUOFHuLM:&tbnh=150&tbnw=123&ei
=oKMHUoecFsWPrgf2_YDYDg&prev=/search%3Fq%3DDelphi%2Btechnique
%26sa%3DX%26biw%3D1280%26bih%3D894%26tbm
%3Disch&itbs=1&sa=X&ved=0CCoQrQMwAA
29. [http://www.aci-bd.com/sub_asian_con_care.php]
30. [http://www.iloveindia.com/economy-of-india/top-50-companies/
dabur.html]
31.Dabur Bangladesh, H#10, R#28, Block #K,2ND Floor, Banani, Dhaka.
32.http://www.google.com.bd/imgres?imgurl=http://trendsoutheast.org/
2011/wp-content/uploads/
2011/12/2513262775_672082cb0c.jpg&imgrefurl=http://
trendsoutheast.org/2011/all-issues/issue-02/delphi-method/
&usg=__L7dmsy6p1epfBKixcFyg0u3CbhM=&h=500&w=498&sz=82&hl=bn&sta
Identify and determine the Manpower Planning
rt=12&zoom=1&tbnid=CxsZApajAC-
FlM:&tbnh=130&tbnw=129&ei=Y9MHUsuMK8XtrQeN34H4Cw&prev=/search
%3Fq%3Ddelphi%2Btechnique%26sa%3DX%26biw%3D1280%26bih
%3D894%26tbm%3Disch&itbs=1&sa=X&ved=0CEAQrQMwCw
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