flowchart LR O[Organisational<br/>objectives] --> D[Demand<br/>forecast] O --> S[Supply<br/>forecast] D --> G[Gap analysis] S --> G G --> A[Action plan<br/>Recruit · Train · Redeploy · Retain · Reduce] A -. Feedback .-> O style O fill:#E3F2FD,stroke:#1565C0 style D fill:#FFF3E0,stroke:#E65100 style S fill:#E8F5E9,stroke:#2E7D32 style G fill:#FCE4EC,stroke:#AD1457 style A fill:#F3E5F5,stroke:#6A1B9A
5 Human Resource Planning and Job Analysis
This chapter covers two closely linked HR processes. Human resource planning answers the question “how many people of what kind do we need, and when?” Job analysis answers the prior question “what does each of these jobs actually involve, and what kind of person can do it?” The two processes feed each other — you cannot plan headcount without knowing what each job demands, and you cannot specify a job without a sense of where it fits in the workforce plan.
5.1 Human Resource Planning
5.1.1 What is HRP?
Human Resource Planning (HRP), also called manpower planning in older texts, is the process of forecasting an organisation’s future demand for and supply of the right type of people in the right number, and matching the two through deliberate action (dessler2020?; aswathappa2019?).
Two textbook definitions are widely cited.
TipTwo Definitions of HRP
| Author | Working definition | What it foregrounds |
|---|---|---|
| Eric Vetter | “The process by which management determines how the organisation should move from its current manpower position to its desired manpower position” | Movement from “as-is” to “to-be” |
| James Walker | “Estimating the demand for human resources, identifying the sources of supply, and developing strategies to match demand and supply” | Three-step demand–supply–strategy spine |
5.1.2 Nature and Features
- Future-oriented. HRP is always about a horizon — short (under one year), intermediate (one to three years) or long (three to ten years).
- Goal-oriented. It is derived from the firm’s strategic plan; HRP independent of strategy is just headcount accounting.
- System-oriented. It links recruitment, training, succession, compensation and separation into one cycle.
- Continuous. Plans are rolled forward as assumptions about the market and the workforce change.
- Quantitative and qualitative. HRP counts heads but also assesses skill mix, attitude and culture fit.
- Time-bound. Every demand and every supply estimate is anchored to a date.
5.1.3 Importance of HRP
Six practical reasons explain why every reasonably-sized organisation does HRP.
- Reduces uncertainty. Knowing roughly what hiring or layoffs lie ahead replaces panic with planning.
- Avoids surprises. Both shortages (production lines idle for want of operators) and surpluses (idle pay-rolls) are expensive.
- Enables training and development. A multi-year skill-gap forecast is the single best input to a training plan.
- Supports succession. Who replaces the plant manager when she retires in three years? HRP forces the question early.
- Controls labour cost. People are typically the largest single line item; planning makes the line predictable.
- Aligns HR with strategy. A diversification, an acquisition or a new technology each demands a different workforce.
5.1.4 The HRP Process
Most textbook treatments converge on a five-step cycle.
TipFive Steps in Human Resource Planning
| # | Step | What it produces |
|---|---|---|
| 1 | Analyse organisational objectives | Linkage between business strategy and HR plan |
| 2 | Forecast demand for HR | Number and type of people the firm will need |
| 3 | Forecast supply of HR (internal + external) | Number and type of people likely to be available |
| 4 | Identify the gap (demand − supply) | Surplus or shortage by category |
| 5 | Action plan | Recruitment, training, redeployment, retention, redundancy |
5.1.5 Methods of Demand Forecasting
TipCommon Demand-Forecasting Methods
| Method | What it does | Useful when |
|---|---|---|
| Managerial judgement | Line managers estimate the people they will need | Stable environments, small firms |
| Ratio-trend analysis | Past ratios (e.g. one supervisor per ten operators) projected forward | Steady production technology |
| Work-study technique | Time-and-motion data converted into man-hour requirements | Repetitive, measurable work |
| Regression analysis | Statistical relationship between business variable and headcount | Sufficient historical data |
| Delphi technique | Iterative anonymous expert estimates converging to consensus | Long horizon, high uncertainty |
| Workforce analytics | Algorithms over operational data | Large firms with HRIS in place |
5.1.6 Methods of Supply Forecasting
TipCommon Supply-Forecasting Methods
| Method | What it does |
|---|---|
| Skill inventory | Database of current employees’ skills, qualifications, experience |
| Replacement chart | Visual map of who replaces whom on the organisation chart |
| Succession plan | Multi-year pipeline for critical positions |
| Markov analysis | Probabilistic transitions between job categories over time |
| External labour market scan | Demographics, education output, competitor poaching |
5.1.7 Barriers to Effective HRP
- HR plans dissociated from business strategy — the most frequent and most damaging barrier.
- Conflict between line and HR. Line managers see HRP as paperwork; HR sees the line as short-term.
- Inadequate information systems. No data, no plan.
- Resistance from employees and unions to changes the plan implies.
- Inertia — last year’s headcount becomes this year’s plan by default.
- Volatile environments in which forecasts age within months — though it is precisely such environments where planning matters most.
5.2 Job Analysis
5.2.1 What is Job Analysis?
Job analysis is the process of collecting, examining and recording information about the contents of a job and the human attributes needed to perform it. Its two outputs are the job description — a statement of duties, responsibilities and reporting relationships — and the job specification — a statement of the qualifications, skills and personal traits required (flippo1984?; decenzo2010?).
TipJob Analysis at a Glance
| Element | Concerned with | Output |
|---|---|---|
| Job description | The job itself | Duties, responsibilities, working conditions, reporting lines |
| Job specification | The person to do the job | Qualifications, experience, skills, abilities, personal traits |
5.2.2 The Process of Job Analysis
TipSix Steps in Job Analysis
| # | Step | What it produces |
|---|---|---|
| 1 | Determine the use of the information | Selection? Training? Compensation? Each use needs different detail |
| 2 | Review background information | Existing organisation chart, process flow, prior job descriptions |
| 3 | Select representative jobs to analyse | A sample, where total coverage is impractical |
| 4 | Collect job analysis data | Using the methods listed below |
| 5 | Verify the information with the job-holder and supervisor | Reduces bias and error |
| 6 | Develop the job description and job specification | The two final documents |
5.2.3 Methods of Collecting Job Analysis Data
TipSix Methods of Job Analysis
| Method | How it works | Best for |
|---|---|---|
| Observation | Analyst watches the job-holder work | Manual, short-cycle jobs |
| Interview | Structured or semi-structured conversation with job-holder and / or supervisor | Most jobs; especially knowledge work |
| Questionnaire | Standardised forms filled by job-holder | Large numbers of similar jobs |
| Daily diary / log | Job-holder records activities through the day | Managerial and professional jobs |
| Critical incident technique (Flanagan, 1954) | Documenting examples of especially effective or ineffective behaviour | Identifying the core of the job |
| Position Analysis Questionnaire (PAQ) | 194 standardised job elements rated for use | Cross-job comparison |
A combination of two or more methods is the rule, not the exception — observation alone misses the why; interview alone misses the how; questionnaire alone misses the nuance.
5.2.4 Job Description
A useful job description follows a standard skeleton.
TipComponents of a Job Description
| Component | Content |
|---|---|
| Job identification | Job title, code, department, location, grade |
| Job summary | One paragraph on the purpose of the job |
| Duties and responsibilities | The “what” — bulleted, action-verb led |
| Working conditions | Hazards, physical demands, hours, travel |
| Relationships | Reports to, reports from, internal and external contacts |
| Authority | Decisions the job-holder may take alone, may recommend, must escalate |
| Performance standards | The yardsticks by which the job will be evaluated |
5.2.5 Job Specification
The job specification (sometimes called the “person specification”) describes the human requirements. The simplest scheme is the KSAOs model.
TipThe KSAO Model of Job Specification
| Element | What it covers | Example for a sales manager |
|---|---|---|
| Knowledge | Body of facts the job-holder must possess | Product features, pricing rules, sales-force compensation policy |
| Skills | Practical proficiency | Negotiation, presentation, CRM software |
| Abilities | Underlying capacities | Numerical reasoning, persuasion, stamina |
| Other characteristics | Traits, attitudes, motivations | Drive, integrity, willingness to travel |
A useful further cut is between essential and desirable requirements — confusing the two leads either to over-qualified hires (essential too high) or to under-qualified hires (desirable allowed to drift to the must-have list).
5.2.6 Uses of Job Analysis
The output of job analysis feeds nearly every other HR sub-system.
TipEight Uses of Job Analysis
| Use | How job analysis informs it |
|---|---|
| Recruitment & selection | Defines what to advertise for and what to assess |
| Training | Identifies the gap between current ability and job demand |
| Performance appraisal | Names the standards against which performance is judged |
| Compensation | Job evaluation begins with the description |
| Career planning | Maps career paths and required moves |
| Health & safety | Identifies hazards and required protective measures |
| HR planning | Provides the units that the workforce plan is built from |
| Legal compliance | Defines bona fide occupational qualifications, supports defence against discrimination claims |
5.3 Job Design
Job analysis describes the job as it is; job design changes the job as it should be. Four classical approaches dominate the literature.
TipFour Approaches to Job Design
| Approach | What it does | Trade-off |
|---|---|---|
| Job simplification | Reduces the job to its smallest, repeatable element (Taylor) | High efficiency, low motivation |
| Job rotation | Moves the worker through different jobs in a cycle | Reduces boredom and broadens skill; brief disruption |
| Job enlargement | Expands the number of tasks at the same skill level (horizontal loading) | Variety without responsibility |
| Job enrichment | Expands responsibility — planning, control, autonomy (vertical loading) | Higher motivation; harder to design |
5.3.1 Herzberg’s Job Enrichment
Frederick Herzberg’s 1968 Harvard Business Review article — “One More Time: How Do You Motivate Employees?” — argued that motivators come from giving workers more of the job to manage themselves: planning, scheduling, quality-checking, problem-solving (herzberg1968?). Job enrichment is the practical translation of his two-factor theory.
5.3.2 The Hackman–Oldham Job Characteristics Model (1980)
Richard Hackman and Greg Oldham’s Work Redesign offered the most influential modern model of job design. Five core job dimensions produce three critical psychological states, which in turn produce four work outcomes — moderated by the worker’s growth-need strength (hackman1980?).
TipHackman–Oldham Job Characteristics Model
| Core dimension | Definition |
|---|---|
| Skill variety | Different activities, different talents called upon |
| Task identity | Doing a whole, identifiable piece of work |
| Task significance | Impact on others’ lives or work |
| Autonomy | Freedom to schedule and decide how to do the work |
| Feedback | Direct, clear information about effectiveness |
| Critical psychological state | Produced by | Outcome |
|---|---|---|
| Experienced meaningfulness | Skill variety + task identity + task significance | High intrinsic motivation, high performance |
| Experienced responsibility | Autonomy | Low absenteeism and turnover |
| Knowledge of results | Feedback | High satisfaction with the work |
A Motivating Potential Score (MPS) summarises the five dimensions:
MPS = ((Skill variety + Task identity + Task significance) / 3) × Autonomy × Feedback
Because autonomy and feedback are multiplicative, a job with zero on either is unmotivating regardless of the other dimensions.
5.4 Practice Questions
Eight questions to test the chapter. Each card hides the answer — click Show answer to reveal it.
Q1
Human Resource Planning is primarily concerned
Human Resource Planning is primarily concerned with:
ARecruiting the largest possible pool of candidates
BForecasting demand for and supply of the right people at the right time
CNegotiating wages with trade unions
DConducting performance appraisals
Show answer
Correct answer
B. The demand–supply matching loop is the spine of HRP.
Q2
Match the technique with what it
Match the technique with what it is used for:
| Technique | Used for | ||
|---|---|---|---|
| (i) | Delphi | (a) | Visual mapping of internal successors |
| (ii) | Markov analysis | (b) | Iterative anonymous expert forecast |
| (iii) | Replacement chart | (c) | Probabilistic movement of staff between job categories |
| (iv) | Critical incident technique | (d) | Identifying core behaviours of a job |
A(i)-(b), (ii)-(c), (iii)-(a), (iv)-(d)
B(i)-(a), (ii)-(b), (iii)-(c), (iv)-(d)
C(i)-(c), (ii)-(d), (iii)-(b), (iv)-(a)
D(i)-(d), (ii)-(a), (iii)-(c), (iv)-(b)
Show answer
Correct answer
A. (i)-(b), (ii)-(c), (iii)-(a), (iv)-(d)
Q3
Which of the following is not
Which of the following is not an output of job analysis?
AJob description
BJob specification
CJob evaluation rank
DPerson specification
Show answer
Correct answer
C. Job evaluation uses the description and specification as inputs but is itself a separate process.
Q4
Adding more responsibility to a job
Adding more responsibility to a job — planning, scheduling and self-checking — rather than more tasks at the same level, is called:
AJob rotation
BJob enlargement
CJob enrichment
DJob simplification
Show answer
Correct answer
C. Enrichment is vertical loading; enlargement is horizontal loading.
Q5
In the Hackman–Oldham model, which of
In the Hackman–Oldham model, which of the following pairs of core dimensions has a multiplicative — not additive — effect on the Motivating Potential Score?
ASkill variety and task identity
BTask identity and task significance
CAutonomy and feedback
DSkill variety and feedback
Show answer
Correct answer
C. Zero autonomy or zero feedback drives MPS to zero.
Q6
The position analysis questionnaire (PAQ) covers
The position analysis questionnaire (PAQ) covers approximately how many standardised job elements?
A50
B100
C194
D250
Show answer
Correct answer
C. McCormick's PAQ uses 194 elements grouped into six divisions.
Q7
Arrange the steps of the HRP
Arrange the steps of the HRP process in the correct order:
(i) Forecasting demand
(ii) Action plan
(iii) Forecasting supply
(iv) Gap analysis
(v) Analysing organisational objectives
A(v), (i), (iii), (iv), (ii)
B(i), (iii), (v), (iv), (ii)
C(v), (iii), (i), (iv), (ii)
D(i), (ii), (iii), (iv), (v)
Show answer
Correct answer
A. Objectives → demand → supply → gap → action.
Q8
A job specification is best described
A job specification is best described as a statement of:
AThe duties and responsibilities of the job
BThe qualifications, skills and traits required of the job-holder
CThe salary range and benefits of the job
DThe promotion path from the job
Show answer
Correct answer
B. Description = the job; specification = the person.
ImportantQuick recall
- HRP = matching demand and supply of people. Five steps: objectives → demand → supply → gap → action.
- Demand-forecasting methods: managerial judgement, ratio-trend, work-study, regression, Delphi, workforce analytics.
- Supply-forecasting methods: skill inventory, replacement chart, succession plan, Markov analysis, external scan.
- Job analysis produces job description (the job) and job specification (the person).
- Six methods of job analysis: observation, interview, questionnaire, diary, critical incident, PAQ.
- KSAOs of a job specification: Knowledge, Skills, Abilities, Other characteristics.
- Job design ladder: simplification → rotation → enlargement → enrichment. Enrichment = vertical loading; enlargement = horizontal loading.
- Hackman–Oldham five core dimensions: skill variety, task identity, task significance, autonomy, feedback. Critical psychological states: meaningfulness, responsibility, knowledge of results.
- MPS formula: averaged first three × autonomy × feedback. Autonomy and feedback are multiplicative.