Kiran finished his graduation from Polytechnic college in the year 2018. He had specialised in repairing of electronic goods. After few months of his graduation, he met his uncle who has a small factory manufacturing electronic circuits used in Television. His uncle informed Karan that he could no longer run the unit so Karan decided to take over the factory. His uncle had two workers. Karan was able to get a huge order of supplying ₹ 10,000 units of electronic circuits every month from a popular TV manufacturing company in India. He knew that to meet the orders timely he has to employ more people. In order to do so he decided to formulate Manpower planning.
Describe the factors that Karan has to keep in mind while formulating a manpower plan.

Question

Kiran finished his graduation from Polytechnic college in the year 2018. He had specialised in repairing of electronic goods. After few months of his graduation, he met his uncle who has a small factory manufacturing electronic circuits used in Television. His uncle informed Karan that he could no longer run the unit so Karan decided to take over the factory. His uncle had two workers. Karan was able to get a huge order of supplying ₹ 10,000 units of electronic circuits every month from a popular TV manufacturing company in India. He knew that to meet the orders timely he has to employ more people. In order to do so he decided to formulate Manpower planning.

Describe the factors that Karan has to keep in mind while formulating a manpower plan.

Accepted Answer

While formulating a manpower plan, Karan must keep in mind three aspects: what kind of people are required, how many people are required, and how the personnel will be procured. (i) What kind of people are required - the organisation needs personnel with the necessary qualifications, skills, knowledge, experience and aptitude. Since positions have different duties and responsibilities, the entrepreneur must clearly work out the range of personnel required, from managers and supervisors to technical, skilled and unskilled labour. In Karan's case, to meet the huge order of supplying ₹ 10,000 units of electronic circuits every month, he needs workers with the technical skills to produce and repair electronic circuits. (ii) How many people are required - this deals with the quantity of personnel. The number needed for various positions is affected by the total work to be done, the work an average person does in a period, the expected absenteeism level, the rate of labour turnover, the present number of employees and future expansion or diversification plans. Since his uncle's factory had only two workers, Karan must estimate how many additional hands are required to meet the monthly order without delay. (iii) How to procure personnel - the entrepreneur must mention the strategies, methods, policies and rules for recruitment, selection and training of personnel, keeping in mind the objective of 'right person, at right job, at right time'. Karan must recruit and train the required people so that production runs smoothly and the order is delivered on time.