An organisations performance and resulting productivity are directly proportional to the quantity and quality of its manpower and this manpower is managed through manpower planing. Manpower planning helps an enterprise to assess:
- What kind of people are required?
- How many people are required?
- How will they be selected?
So, it can be said that manpower planning consists of putting right number of people, right kind of people at the right place, right time, doing the right things for which they are suited for the achievement of the goals of the organisation.
Manpower planning is important for an enterprise because of the below stated reasons:
- It is a key to managerial functions: All the key managerial functions, i.e. planning, organising, directing and controlling are based upon the manpower. Human resources help in the implementation of all these managerial activities. Therefore, manpower planning becomes a key to all managerial functions.
- Helps in efficient utilisation of the work force: Efficient management of personnels becomes an important function in the highly industrialised world as today. Setting up of large scale enterprises require management of large scale manpower and this is done effectively through manpower planning.
- Motivating the workforce: Manpower planning not only aims at putting right men on right job, but it also comprises of motivational programmes, i.e. incentive plans to be framed for further participation and employment of employees in a concern. Therefore, it helps to motivate the workforce.
- Helps to develop better human relations: Manpower planning looks after the training and development of the work force which leads to better co-operation and improved human relations.
- Leads to higher productivity Productivity level increases when resources are utilized in a best possible manner. Higher productivity is a result of minimum wastage of time, money, efforts and energies and this can be achieved through manpower planning.