CHAPTER TWO
LITERATURE
REVIEW
2.1 Conceptual
Issues
The purpose of this
study is to examine how manpower planning would be an effective tool for organizational
performance. A number of investigations and studies have been made on manpower
planning ; such investigations and studies provide a framework for further
investigation and leading to the ultimate development of existing ideas.
In this chapter, the
researcher will concentrate on reviewing related literature and various aspects
of studies affecting manpower planning.
2.2 Theoretical
Framework
The issue of
theoretical review on manpower planning can be used to mean a predetermined
course of an action, but defining manpower planning in such a way does not make
an organization to have a clear view of what the word manpower planning really
stand for. However, according to Steiner (1969), manpower planning as a process
with objectives, defines strategies, policies and detailed plan to achieve
them, which establishes an organization to implement decisions, include review
of performance and feedback to introduce a new manpower planning circle.
Therefore, manpower
planning involves selecting missions and achieving them, it requires decision
making that is chosen from among alternative future causes of action. Manpower
planning thus provides a rational approach to achieve presented objections.
Berneth (1996), defines
manpower planning as the deliberate and systematic determination of future in
order to fulfill the organization’s mission and meet its objectives, give
certain predicted or intended conditions. This definition shows that concerns
for manpower planning imply a future orientation and as such the essence of it
is to prepare for and predict events.
Because of constant
changes in the environment, continuous manpower planning is an essential change
that faces managers to plan in an attempt to reveal in advance opportunities
for, and threats to the programme. In most cases, success or failure depends on
a capacity to adapt to plan both to new information and changing environmental
conditions. Thus, manpower planning is a process by which managers utilize and
determine future action that will lead to realization of desired objective.
Manpower planning also helps to anticipate future situations or conditions and
their likely consequences. As such it enables an organization to provide for
means of embracing future uncertainties or at least ameliorate their negative
effects.
This is done by
reducing the risk exposure inherent in business operations in view process of
stemming enterprise objectives and selecting future cause of action necessary
for their accomplishment.
The success or failure
of any organization depends much on adequate and proper manpower planning of a
given organization managers and administration. Effective manager do not, and
cannot depend on the fate or the word of oracle as substitutes for manpower
planning. Therefore, any individual or organization that wishes to succeed in
business must of necessity equip its manpower planning.
Manpower planning is an
activity performed by all level of management and as such manpower planning is
a function of all managers, although the character and breath of manpower
planning will vary with the nature of the policies and plan outlined by the
supervisors.
The involvement of managers in manpower planning is
based on the idea that the success of a plan depends on commitment to the plan
by those responsible for performance.
According to Agbato
(1988), manpower planning is the effort to equip personnel, visualize the
future, as history by determining how we want the future to appear.
Manpower planning is
not how precisely we can predict the future, but rather to uncover the things
we must do today in order to have a future.
This implies that
manpower planning involves forecasting. Almost all manpower planning involve
forecasting and managers depend upon these forecasts in determining cause of
action.
Onoha (1999), for
manpower planning to be effective, it must include the following principles;
Manpower planning
should be based upon clearly defined objective and make use of all available
information.
Manpower planning
should consider factors in the environment which will help or hinder the
organization in reaching its goals.
They should take
account of the existing organization and provide for control, so that
performance can be checked with established standards.
They should be precise,
practicable and simple to understand and operate.
They should be
flexible, to ensure that circumstances necessitates change and this can be
affected without disrupting the manpower plan. Therefore, manpower planning no
matter by whatever it is defined, has one primary aim and that is the
attainment of individual and company objectives.
2.2.1 Manpower Planning
Problems
Cole,
H.J.D. et al (1961), stated some of the problems discovered in manufacturing
industries which lead to low productivity and performance.
According
to him, the problem of capital utilization which affects the performance and productivity
level in industry capacity - underutilization could be planned or unplanned. A
firm could decide to create excess capacity for its future expansion programmes.
Unplanned capacity under- utilization, on the other hand, has an adverse effect
on performance and productivity which leads to capacity under-utilization. According to him, the results are frequent
power interruptions, unavailability of raw materials, strikes and lockouts,
insufficient demand for a product and shortage of funds.
Agoro,
R.O. (1983) said that inadequate provision of basic need to manpower leads to
low performance. In an era where good things are no longer for the poor, Air
transportation, medical care, justice, shelter, transportation food and others.
Agoro, went ahead by saying that it is not uncommon to find workers living
under hard condition where basic needs are not in existence that the workers
will feel them, committing to work, workers are loaded in the buses as ice fish
that is packed in the carton.
Unfortunately,
most of these workers are resuming work from 6.am and return at late time that
their children could no longer enjoy them.
Time
management as stated by Umeh, P.O.C. (1987) is also a problem to manpower in
manufacturing industry. According to him “To enhanced performance and productivity,
it is relevant for the socio-economic climate to be normal with special
reference to those social engineering alignment in the areas of basic need of
life for those involved in the productive activities. A sick mind cannot
operate a perfect body. Most Nigeria workers have sick mind - working in un-perfect
bodies and operating under atmosphere un- conducive. The problem starts with
time factor element.
Robert,
L (1985) in his article states that, “over time work, usually without extra pay
in manufacturing industries is a routine. It has been reported that, it is not
unusual to see workers leaving their offices at 11.p.m or even at midnight, yet
it is accepted as a matter of course” Hard work never kills rather it builds.
Empirical review
in this study
is used to
outline the steps
in manpower planning which are as follows: According to Knootz et al
(1993), steps in manpower planning include:
(a)
Demand
Forecasting: The idea of demand forecasting entails
predicting and targeting. This involves a process of estimating the future
quality of manpower planning required by an organizaiton.
(b)
Supply
Forecasting: Manpower resources comprises of the
total effective effort that can be put to work as shown by the number of people
available and the capacity of employees to do the work and their performance.
(c)
Determine
Manpower Recruitment: Manpower planning is determined by
relating the supply to demand forecast and establishing any deficit or surplus
that will exist in the future.
Manpower
Productivity and Cost: Productivity is the output of
goods and services which can be obtained from a given input of employees within
the organization. Manpower planning cost on the other hand represent the
overall expenditure of manpower planning which includes remuneration cost,
retirement cost, training cost and personnel administration cost.
(e)
Action
Planning: The manpower planning should be prepared on the
basis of manpower requirement and the implication of the information on
productivity and cost. The main demand depending on circumstances will consist
of requirement planning, redundancy plan, re-development plan, productivity
plan and retention plan.
(f)
Manpower
Budgeting and Control: This is concerned with estimating manpower
planning requirement in terms of numbers, skills and goals needed to accomplish
a specific task within a time frame which is usually a financial year.
The above described activities are not only
necessary for the development of staff but also take care of the ever
increasing functions of the organization.
According to Cadson
(1982), to have the right number and the right quality of people requires
effective human resources planning and serious managerial attention and
commitment. This is important for a number of reasons which are as follows:
For any organization to
achieve a reasonable degree of success, it must not be equipped with excess or
inadequate manpower planning. The size, the excess stock piled employees can
create serious problems for organizations, for example, it can become a serious
drain on profits.
Effective human
resources planning can be very useful in stabilizing employment level.
Sometimes,
the need for strategic business planning that could permit the breaking of new
grounds or the outwitting of the competitions may come from an effective
manpower planning.
If organizations must
grow and survive in the increasingly competitive business world, it must have
optimum of talented manpower.
Human resource planning
helps to avoid or minimize the usual chaotic problems of management succession
created by either the sudden death or resignation of key executive. Human
resource planning permits succession plan for replacement to be drawn up well in
advance and be much known to all concerned.
The
importance of manpower planning cannot be over emphasized. According to Okonta,
S.U.(1992), no organization can survive for long or achieve its objectives
efficiently without a proper knowledge of its staffing position. Only manpower
planning provides such knowledge. The problems facing most manufacturing
industries is making decision on whom to employ, when, how many, and for which
activities.
In
his own contribution, Okonkwo, J.K.J. (1995) also stressed the importance of
manpower planning in areas of compliance with various federal state laws and
succession planning. To ensure a viable “succession plan”, it is also natural
that people come in and leave an organization as a result of retirements,
resignation, dismissals etc. succession plan is the process of filling existing
vacancies. It can only be executed with the help of proper human resources
planning.
2.3.3 Process Of
Manpower Planning
According
to Okonta, S.U (1992), the process of manpower planning includes inter-alia;
(1)
Specification of the objectives for the
specify plan after forecasting the manpower requirements of the firms
(2)
Assessment of the number and type of
each class of manpower needed to achieve the specified objectives.
(3)
Drawing up the plan including
implementation issues.
2.3.4 Training And Development
Batty,
J. (1979) defined training as “all the processes whereby worker are shown and
taught the skills for a particular job”. According to Batty, J, where education ends,
training begins although the precision point may be difficult to locate.
Accordingly,
any education which is technical in nature may be regarded as part of training.
Batty,
J.J. concluded by saying that the training given should be appropriate to the
type of work to be performed. A potential manger will need a quite different training
from that given to machine operator. Attempting
to give everyone the most comprehensive training possible would be both
wasteful and unnecessary.
Furthermore,
Okonta, S.U. (1992) defined training as a process of teaching skills and
imparting knowledge to the people for purpose. But education aims at developing the
individual generally.
2.3.5 Method Of Training
There
are many methods of training which is found in an organization, such as:
(1)
The
trainee’s educational background; the educational
background of the trainee will determine the type that will be given to him.
(2)
Time
available: Available of time should be noted regarding the
training that should be accomplished within that time given to that trainee.
(3)
Cost:
All training needs money. It needs money to embark on any training, knowing the
cost of training is important because it will help to know whether the
organization can afford the money.
The main methods of training are as
follows:
(1)
Apprentice
training
(2)
On-the-job
training
(3)
Classroom
or Special Course Training
(1)
Apprentice
Training Method
Apprenticeship gives organization
opportunities to identify useful and specialized employees. Usually,
apprenticeship programmes range from 2 to 5 years as the case may be. This
method is a modification of an old system where people use to acquire skills
and knowledge from craftsman.
(2)
On
–The-Job-Training
This is one of the most important methods of
training for all types of works, whether in the manufacturing or in the office.
The workers are asked to observed and then to carry out the work under
supervisions.
If necessary, a job is divided into
sections and each of these is taught before the trainee is expected to work.
Although, all types of work can be
covered, the method is best when dealing with routine work which takes a
relatively short time to learn. When a job is complex, and involves exercise of
judgment and decision making, both theory and practical may be necessary. This
is why professionals like engineers and accountants have to pass examinations
as well as obtain experience. A similar short of training is also necessary for
any managerial or supervisory posts.
With on-the job training, there is need
for properly trainee instructors, otherwise, an inefficient instructor can
produce a number of inefficient “Offspring” bad habits, such as taking risks,
may be initiated by trainees.
(3)
Classroom
or Special Course Training Method
With this, trainees are exposed to
various methods in classrooms and implant courses. These methods are lectures,
seminars, conferences, case studies etc.
These special courses are not
educational training as such, they are designed for trainees. The need for
especial courses is because of changes in technology.
2.3.6 Advantage Of Training
The
following are some advantages of training as adopted from the work of
OKONKWO.J.K.J. (1996).
(1)
Increase
In performance: - Training ensures increase in
performance- both in quality of output. Increase in performance- this lead to
organizational profits and increase in manpower pay. More output can be
obtained through the use of proper training of workers.
(2)
Less
of supervision:- Flippo, E.B. (1961) said that proper
training makes worker to become more conscious of their job, it’s also give
less supervisor.
(3)
Organization
Stability:- Stability is an organization ability
to sustain its effectiveness despite the
loss of some key personnel in the organization sector. Within the help of
training an organization still function even when the key personnel leave; this
is because there are other workers to perform these duties.
Others are Increase in employee’s moral,
Low labour turnover rate and Better organization health
2.3.7 Disadvantages Of Training
Batty,
J. (1977) said that “many thousands of pounds are involved in training”. It is
expensive to train workers.
Harekman,
F.R. (1977) said that, it seriously affects the performance of supervisors, who
are supposed to train the employees’ because a supervisor performs some other
duties, thereby taking most of their time.
When
the production process is dangerous in nature or it utilizes expensive and
scarce raw materials, on-the- job training can be very costly. It can result
into accident.
(1)
Educational
factor:- The pursuit of wrong policy or a shift in the
educational policy of a country can cause a shortage in manpower requirement of
a nation. This is in the case of developing countries where the educational
policies had focused on the trading of administrative personnel to the neglect
of their technical counterpart.
(2)
Technological
factors:- With change in technology, there must be change in
skill requirements of industries. Many jobs are been deskilled because many
factories, apart from manufacturing new parts are decommissioning old ones
while many joinery workers are now factory maids.
Therefore a change in the technology employed in an
organization or in any arm of the enterprise or the use of semi-finished product
will have definite effect on human resources, especially on their occupation
and skills.
(3)
Social
change or factors:- Experience has shown that many youths
do not want to remain in rural areas but want to go to the urban centres where
they can enjoy social amenities provided by the government. Where there is a
dearth of labour for the industries located in the rural areas, there is excess
for those in the urban areas.
(4)
Economic
factors:- Economic also play an important role in the labour
supply and mobility in any country.
(5)
Political
changes:- A change in government in this country usually put
fear in organization or enterprises as the policy statements of successive
government create one hardship or the other for industries and some time
disrupt continuity.
Manpower planning is a
leading function of management. This is because manpower planning determines
the premises and direction of activities on the organization failure to plan to
lead the organization without focus and direction, and in effect results in
stunted growth and eventual extermination. It suffices to say that
organizational performance largely depends on the quality of plans.
Good manpower depends
on the orientation and skill of the manager. To assist managers enhance their
planning skills management, experts have recommended among others the
application of scientific decision making process and the understanding that
manpower planning is a continuous exercise which has to be followed in a
systematic, objective and step by step manner, an indebt understanding about
the classification, types of plan and why plan fail, further equips the manager
to develop realistic plans. Two important modern approaches to manpower
planning, strategic manpower and management by objectives and the need to
understand the dynamics of planning and to integrate plan at various levels of
the organization into a comprehensive and unified system and purpose. Manpower
planning is not an event that steps abruptly, it is an ongoing process that reflects
and adapts to changes on the environment. It is a fundamental and primary
management function. It is the head that drags the other management functions.
It involves setting of goals and training personnel in order to achieve
performance and goals. In other words, it is a process of selecting enterprise
objective or department goals and devising means of accomplishing them.
Effective manpower planning will ask the following question: where do we start
from? Where do we go from the starting point? What do we go there to do? Who
goes with us? What do we go with? These questions are necessary because without
them managers cannot work with people and resources effectively.
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