Human Resource Plan

1) Prepare a human resource plan for the business and explain each aspect of your plan.

Human Resource Plan

The human resource plan should include:

Strategic review

• Maintain taxi service at current level;

• Continue expansion of tyre fitting service by continuing to offer unbranded low price tyres and develop electronic wheel alignment service as an additional optional service.

Audit of Existing HR Staff

• Owner-manager 1

• Taxi drivers 8

• Reception/Taxi Co-ordinator 1

• Tyre Fitter 1

Demand for additional staff due to change in strategy and labour turnover

• Replacement of taxi drivers 2 (possibly 2 more in the summer)

• Appointment of co-ordinator 1

• Appointment of tyre fitter 1

Action plans to reconcile gap between demand and supply

• Recruitment and selection of two taxi drivers;

• Recruitment and selection of a tyre fitter or of a person capable of training to be a tyre fitter;

• Training of taxi drivers;

• Training of tyre fitters in use of electronic wheel alignment equipment;

• Justification of each aspect of the human resource plan.

It is necessary to review the strategy of the organization because changes in strategic direction usually have implications for human resources. In this case, we have an emergent strategy that is proving very successful in that it is resulting in the rapid expansion of a tyre fitting business. The expansion is affecting not only the tyre fitting side of the operation, but is also impacting on the human resources of the organization as a whole. The owner manager can no longer cope with the demands on his time as a manager/operator and so it is necessary for the company to employ additional staff to cope with the co-ordination of the taxi service and reception work.

The audit of the existing staff is necessary to provide a kind of stock-take of what the organization already has in terms of human resources. In this case, the numbers are small and we can work out mentally what the current human resource situation is.

The demand for additional staff is once again easy to estimate for the company because small numbers are involved and requirements are for a limited range of skills. The principle involved, however, is just the same as if we were looking at the additional demand for workers of many different skills working in a very large and complex organization. We need to know about any extra numbers demanded because of a change in strategy, or some other reason for extra demand or alternatively for a contraction in demand. It is also necessary to take into account numbers lost through labour turnover during the planning period, so that extra employees with the required skills can be recruited to compensate.

When we have the figures of existing employees, we can use these as a basis to calculate the gap between what we have and what we need by estimating what the expansion, caused by the change in strategy, entails. This figure plus an adjustment for labour turnover will provide us with the number of employees we need to recruit.

The activities to reconcile demand with supply follow