Manpower planning preparation is among the important parts of HR management activities. Through the formula of workforce preparation, companies make sure an appropriate labor force availability to sustain organization operations.

As the most important possession in a company, HR needs to fulfill the expectations and needs of the business. Otherwise, there is a high possibility that the company might stumble.

So, what is manpower preparation and what are its methods? Learn the complete review in the following Mekari Talenta short article.

Manpower planning is a procedure of recognizing, preparing, approximating, and satisfying the labor force with the right quantity, time, place, and expense according to the company's needs.

However, nowadays, the term workforce preparation is not only about fulfilling workforce demand and supply.

But also about how companies can ensure that existing labor force can have the abilities required by the company and identify what innovation is required to enhance the skills of these workers.

Marcus Lemonis, an American business owner, stated, "The client is second for me ideal behind the employee." It implies that business needs to constantly put their employees welfare initially above all else.

The strategic application of manpower preparation can have effects not only on HRD however on the general organization as well.

Here are some advantages that business can get through excellent manpower preparation:

- Increasing company productivity as the company can estimate the amount and kinds of labor force and innovation needed.

• Enabling the business to have quality labor force in line with business needs and goals.
• Detecting problems early in the management system, especially in the HR field, in addition to mitigation strategies.
• Creating effective labor force administration so that when there is worker turnover, the business does not have uninhabited positions causing interruptions in the company.
• Facilitating HR managers to make strategic decisions in establishing the labor force in terms of technology, skills, and staff member fulfillment.
• Quoting Deloitte, workforce planning can cost-effectively handle labor costs. This is since the company can spending plan the number of employees and costs precisely.
• Creating customer fulfillment. With excellent manpower planning, the business management automatically has great systems and requirements, which affect client satisfaction.
  
  Manpower Planning Objectives
  
  The primary objective of implementing manpower preparation is to make sure the of labor force according to the business's requirements. This planning process is not an activity that is done one or two times. Instead, it is a constant process as long as the company exists.
  
  Moreover, every 5-10 years, commercial technology always alters and progresses, therefore companies undoubtedly have to adjust.
  
  For example, ten years ago, cloud computing innovation or artificial intelligence (AI) were not popular by industries. However, just recently, these innovations have ended up being assets for companies to survive in the digital age.
  
  Companies are needed to fulfill these needs by having Human Resources or workforce efficient in developing and running such innovations. Manpower planning process is also needed when a business sees brand-new company chances and desires to implement them.
  
  Such projects require time, expense, workforce, and technology. If done hastily, these opportunities can develop into threats resulting in losses.
  
  For example, HR in your company has actually hired 5 staff members. However, the needed innovation is not readily available yet, the job timeline is unclear, and even the spending plan does not meet the job's expectations.
  
  Here is where workforce planning plays its role in making sure that these aspects are met properly according to the company's requirements. Thus, business chances can run as anticipated.
  
  To put it simply, another goal of manpower planning is to make sure no mismatch among the labor force, time, location, technology, and economy.
  
  According to The 2022 Global Talent Shortage by ManpowerGroup, the typical skill lack worldwide reached 75 percent in 2022.
  
  The sectors most impacted consist of government, education, healthcare, technology, manufacturing, financing, and retail.
  
  Meanwhile, according to the World Bank report in 2018, Indonesia needs at least 9 million IT workers between 2015 and 2030.
  
  This is likewise supported by data from Korn Ferry in 2017, which predicted Indonesia would face a proficient labor deficit of as much as 3.8 million by 2030.
  
  If both of these scenarios occur in your business, the organization growth rate will be substantially slower. Companies will likewise have a hard time to contend and make it through, particularly in the future.
  
  One technique to narrow the skill gap or even improve the company's capability to meet its labor force requires is through workforce preparation.
  
  Best Practices in Manpower Planning Process
  
  As a guideline, there are 4 primary actions in tactically developing workforce planning, as follows:
  
  Know the Company's Business Conditions and Plans
  
  Although workforce planning is a continuous process that runs continually, every year the company has service plans and assesses the present and future conditions.
  
  HR managers, in this case, need to collaborate with all departments and business systems. What are the strategic strategies of each company unit and what funds are needed?
  
  To be familiar with your business to line up with workforce planning, a minimum of think about the list below aspects:
  
  - The current workforce, how numerous company systems there are, and the types of tasks currently available
• The existing work culture. Does it currently satisfy expectations for the company, workers, and consumers?
• Business objective top priorities both short-term and long-term
• The type of individuals and skills required by each organization unit
• Also, understand the growth phase of your business, whether it's start-up, growth, fully grown, or decrease. This will determine the needed labor force capability.
• Potential business risks both existing and future ones.
  
  Mapping the Company's Future Workforce Needs
  
  The next step is to map the future workforce requires or manpower forecasting. Through workforce forecasting, you can approximate the needed labor force and the abilities needed by these employees. Manpower forecasting itself has 2 techniques: internal and external.
  
  Internal analysis consists of:
  
  - Expert analysis involving all staff members consisting of stakeholders from each department and C-level. This can be done through studies or casual discussions.
• Workload analysis by thinking about the existing work culture, functions, and the skills most required by each department or organization system.
• Workforce analysis, which includes observing the variety of employees, annual turnover rates, presence records through online applications, and worker performance.
• Other workforce-related analyses such as monetary and organization analyses.
  
  While external analysis consists of:
  
  - Analysis of the job market patterns and its effect on the company.
• Third-party analysis. Whether it's stakeholders who can offer external data or innovation suppliers who can support the company's manpower planning process. For example, the use of employee recruitment applications.
  
  Develop Workforce Programs
  worldbank.org
  The next action is to establish workforce programs that include recruitment procedure models, Standard procedure, and labor force placement.
  
  Additionally, it needs to be kept in mind that in manpower planning, the company not just concentrates on acquiring the required labor force but also on how to maintain it.
  
  Compensation programs, working hours, lacks, availability, and other approaches to ensure employee complete satisfaction with the business are essential aspects not to be ignored.
  
  Design Workforce Development Programs
  
  Finally, labor force advancement need to be executed to meet the company's required ability demands. As pointed out previously, manpower preparation not only concentrates on recruiting new skill but also on developing existing talent.
  
  According Huawei's Future of Work: 2022 Digital Talent Insight report, there are 3 main programs that companies can execute in workforce advancement programs:
  
  - Leadership: Building a workforce culture in the management stage so that the existing labor force has the very same mindset as the business's vision.
• Upskilling and reskilling: Developing existing staff member abilities or introducing brand-new abilities to workers.
• New skilling: Providing brand-new skills to brand-new graduates, for instance, through internship programs or external training.
  
  Examples of Manpower Planning
  
  Here are some research study cases that describe some cases on how workforce preparation can be utilized.
  
  Manpower Planning on Recruitment Process
  
  Manpower preparation frequently utilized in the recruitment procedure since some companies have factors to employ more staff members. With effective workforce strategy, company can identify its objective while identifying how many workers they require to complete some jobs.
  
  For example, a making company that produces steel products for construction projects analyses its sales number and discovered that the number of customers may increase 2 times within a year. The company understands that it does not have enough staff members to fulfill the production numbers for the increasing client. This projection shows the requirements of employing extra labor force to meet production quotas.
  
  Then, they develop a plan and identify the number of workers needed to increase production number. The company discovers that they need 20% more labor force to run the strategy and starts hiring new staff members. Over 2 years, they can attain their objective to fulfill the need of production for their increasing consumers.
  
  Manpower Planning on Leadership
  
  Leadership typically stands as a critical part within an organization's labor force. Effective management typically causes boosted productivity, the execution of brand-new policies, the growing of healthy work environments, and the facilitation of efficient procedures.
  
  Moreover, it is generally essential in cultivating readiness for modification. As an organization undergoes operational shifts, proficient leadership can considerably help the change process. A workforce plan commonly examines the current management capacity within business, highlighting the possible need for management development.
  
  For instance, one business concentrating on individual financing consultation, carries out an analysis of its HR metrics and observes a constant decrease in staff member engagement. It anticipates that just 20% of its existing employees may remain within the next 3 years.
  
  Recognizing the need for workplace transformation to strengthen staff member relations and retention rates, it designs brand-new policies. However, it acknowledges the need for enhanced management to effectively execute these policies and accomplish their objectives.
  
  Consequently, the business develops a labor force plan that integrates training and advancement initiatives for its current leadership. Through involvement in management advancement programs, both management and senior personnel refine their management proficiencies.
  
  Then, workers start to place higher trust and regard in their management figures, therefore fostering a more positive office atmosphere. As an outcome of the enhancement in its management abilities assisted in by boosted workforce preparation, it observes an increase in its predicted retention rates.
  
  Manpower Planning Through HRIS
  
  One technique in carrying out manpower preparation is by counting on HRIS.
  
  Through HRIS innovation, you can use labor force information more easily and thoroughly. This data can then be used to figure out the future instructions of the service, specifically in HR.
  
  According to Gartner's report, only 12% of business effectively use workforce information, specifically in assisting company decision-making.
  dartmouth.edu
  One provider of HRIS in Indonesia is Mekari Talenta.
  
  Mekari Talenta is a software application that has features covering multiple HR functions such as online attendance, payroll, performance management, employee self-service, employee database management, and manpower planning.
  
  With Manpower Planning (MPP) function, business no longer requires to do manual data analysis, mapping, calculation, and determination of work plans. The allocation of manpower requirements is more transparent to avoid unpredictability and to tone down recruitment expenses.