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MS-02: Managing Men

(For students registered prior to January 2005)


Course Code : MS-02
Course Title : Managing Men
Assignment No. : 02/TMA-1/SEM-I/2005

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1. Describe the Manpower planning process. Discuss how manpower supply and demand are forecasted in your organisation or an organisation you are familiar with. Describe the organisation you are referring to.

Answer. Manpower planning is defined by Vetter as "the process by which Management

determines how the organization should move from its current man power position to desired manpower position. Though planning, management strives to have the right time, doing things which result in both the organization and individual receiving maximum long run benefits".

Process involved in Manpower Planning:

  1. Anticipating Manpower needs
  2. Planning job requirements and descriptions
  3. Analyzing skills to determine the nature of manpower needs
  4. Selecting adequate source of recruitment

1. Anticipating Manpower needs:

For securing maximum motivation, it is always better to encourage existing em of importing new blood for higher appointments. Therefore, it is more effective too as far as possible, the manpower requirements from the supplies existing within the organization itself. Such internal promotion can secure optimum motivation and ensure the organization of its people.

Manpower Inventory:

An inventory of the existing personnel to compare what exits in stock with expected in stock at future dates is necessary. This would indicate the possible terms of organizational requirement. The inventory must be supplemented with appraisal of existing performance and assessment of future potential to indicate training and plans required to make the existing supply suitable for future needs.

Expected Loss and Extra Needs:

Whilst planning for say a period of five years, the expected loss situation can be evaluated in terms of retirement, transfer and other causes such as death and disability. In this way, the future vacancies of Manpower needs can be anticipated. The manpower forecast is thus concerned with anticipating the number of replacements required by reason of:

  1. resignations
  2. retirements
  3. deaths
  4. dismissals
  5. transfers and
  6. promotions

Needs for Systematic Manpower Planning:

To meet with the changing needs, Manpower Planning is a must. For example, growth of more industries can result in mobility of personnel and is a source of potential loss managerial and other personnel.

Manpower Planning Methods:

The four methods generally used to determine the requirements of personnel are: i) annual of vacancies; ii) long-range estimates of vacancies; iii) fixed minimum man specification requirements, and iv) specific position estimations.

Manpower Planning Steps:

Systematic manpower planning has not yet become really popular even in advanced countries such as USA and UK, being practiced there only by a few huge companies in large scale industries such as petroleum and chemicals. The following are the three steps:

First Step: Determine the period for forecasting requirements of manpower in the future.

Second Step: From the number available at the commencement of the period, deduct the expected wastage through deaths, resignations, retirements and discharges.

Third Step: In case of shortages, decide how such shortages are to be met and whether any training or developmental facilities would be required for this purpose.

  1. Planning job requirements and descriptions:
  2. An important step in manpower planning consists of planning job requirements. The requirements of a particular job must therefore be clearly delineated through a minute study of the duties to be performed in that job.

    Job Information:

    Job information thus becomes the basis of many management activities. Job information helps in many ways and more particularly for the Adequate Recruitment, Adequate Training, Adequate Salary Structures, Fair Appraisals

  3. Skills Analysis:

The skills required in different jobs must be analyzed in terms of the job description following the job analysis.

Desirable Managerial Skills:

The skills required for the successful executives can be divided into four types: (i) decision making skills, (ii) leadership skills, (iii) communication skills, and (iv) organizational and social skills.

4. Selecting Adequate source or recruitment: After the man specification is prepared, the job content confirmed, the job rate fixed and the recruitment salary range determined, it becomes necessary to consider the source from where such employees will be forthcoming. Basically , these sources can be divided into two:

(i) internal, and (ii) external.

Internal Sources: The best employees can often found from within the organization itself. Many organization in India therefore do give preference to people within the company. For example, at the National Machinery Manufactures Ltd., whenever a clear vacancy exists in a department, as far as practicable such vacancy is filled in by promoting a suitable employee from the lower cadre from the same department. When so promoting, the employee’s seniority, merits, initiative, accuracy of work, job knowledge and personal record are taken into consideration. Again, at Tata Motors outside recruitment is resorted to only when the requirements for trained personnel cannot be met from the resources generated by the company’s training scheme or by internal promotion.

However, it is necessary to inform immediately such applicants the decision as to whether they were successful or not in aspiring for the new opening. In case of unsuccessful employees, it may be necessary to inform them tactfully why they could not selected. They can further be advised on how to develop themselves further openings.


External Sources: The external sources of recruitment include the following:

  1. Recruitment advertising, i.e. receiving of applications by mail or personally in response to an advertisement by the company;
  2. Reference to employment exchanges;
  3. Recruitment from colleges;
  4. A study of a central applications’ file maintained of past applicants not selected at that time; and
  5. Use of special consultants for recruiting.

Some organizations entice persons away from other companies. This is particularly so in case of appointments like that of a sales representative. The employment exchange has unfortunately been found to be an unpopular source of recruitment by our companies in India.

Sources of Recruitment commonly used in India:

In India, in both public and private sectors, several sources of recruitment are used for securing employees. Public sector undertakings generally adopt formalized and institutionalized selection procedures. Whilst their policies are generally similar, there are variations. For example, some of them give preference to the corporation’s employees’ sons whilst others use a number of sources. According to Prof. Rudrabasaraj’s study, a public sector understanding in heavy engineering, recruited its non-supervisory staff through:

  1. Employment exchange
  2. External advertisement
  3. Internal advertisement
  4. Central Training Institute (the men being recruited for training in the CTI and for employment under an agreement);
  5. Introduction by liaison officer of the corporation;

Larsen & Toubro Limited is India's largest engineering and construction conglomerate with additional interests in IT and electrical business. A strong, customer-focussed approach and the constant quest for top-class quality have enabled the Company to attain and sustain leadership position for over six decades.

L&T has pioneered spectacular achievements in Indian industry. Many of the engineering projects executed by L&T have set new benchmarks in terms of scale, sophistication and speed. So do many buildings, highways, bridges and civil structures around the country which are widely regarded as landmarks.

In line with its policy of aligning capabilities to meet emerging trends, L&T initiated a mega-transformation process internally. This will ensure that the Company rapidly emerges as a knowledge-based, premium conglomerate with a global reach.

L&T believes that progress must necessarily be achieved in harmony with the environment. A commitment to community welfare and environmental protection constitute an integral part of the corporate vision.

Manpower planning at Larsen & Toubro Ltd.

In this company, there is no sophisticated or detailed manpower planning done covering the current and future needs of the entire organization. What is done is that different units of the organization are asked to present annually their manpower requirements for the properly trained and developed to take care of changing technology and the future needs of the company.


2. How training needs are determined in an organisation? Present a brief note how training needs are determined in your organisation or an organisation you are familiar with. Give suggestions to improve the method of determination. Briefly describe the organisation you are referring to.


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