HUMAN RESOURCES PLANNING AND ORGANIZATIONAL PERFORMANCE (A STUDY OF UNION BANK PLC, BORI)

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Abstract

This study examines Human Resources Planning and Organizational Performance. The specific objectives of the study are to examine the relationship between planning and organizational survival, to find out the extent to which recruitment and selection influence organizational survival, to determine the relationship between training and organizational survival and to examine the relationship between compensation and organizational survival. The descriptive research method was employed since the study was to ascertain Human Resource planning and corporate survival. The population of this study is designed to constitute all management and junior staff of Union Bank PLC, Bori, Rivers State. The Taro Yemen’s formular was used to determine the sample size of 80.The Chi-Square (X2) statistical tool was used for the study.  Based on the findings of the study, recommendations were made that Public and private organizations should embrace human resource planning if organizational survival must be ensured, Human resources planning in  public and private organizations must be matched with the organizations’ strategic planning  for enhanced organizational survival.  In planning Human resources, the issue of merit should be taken seriously by all organizations and moreso, Training and retraining of employee should be a continuous exercise, amongst others.

Table of Contents

Title Page    i

Declaration ii

Certification         iv

Dedication  v

Acknowledgements        vi

Abstract      vi

Table of Contents vii

List of Tables       ix

List of Figures      x

CHAPTER ONE  1

INTRODUCTION         1

1.1Background of the Study   1

1.2 Statement of Problems      5

1.3 Objectives of the Study     6

1.7 Scope/Limitation of the Study    7

1.8 Definition of Terms 8

CHAPTER 2        10

LITERATURE REVIEW        10

2.1 Conceptual Framework     10

2.1.1 Concept of Human Resources Planning      11

2.1.2 Dimensions of Human Resources Planning 14

2.1.4 Measures of Organizational Performance    16

2.2.2 The Relationship between Human Resources Planning and Organizational Performance          19

2.3 Empirical Framework       19

3.1 Research Design      22

3.2 Population of the Study    22

3.3 Sample and Sampling Techniques        23

3.4 Questionnaire Design        24

3.5 Source and Method of Data Collection 24

3.6 Data Analytical Techniques        25

3.7 Reliability and Validity     25

CHAPTER FOUR         27

DATA PRESENTATION AND ANALYSIS       27

4.1 Questionnaire Administration and Retrieval  27

4.2 Data Analysis 28

4.3 Hypothesis Testing  32

4.4 Discussion of Findings      35

CHAPTER FIVE 38

SUMMARY, CONCLUSION AND RECOMMENDATION  38

5.1 Summary       38

5.2 Conclusion     38

5.3 Recommendations   39

References  41

Appendix I 45

Appendix II          46

CHAPTER ONE

INTRODUCTION

1.1     Background of the Study

Organizational performance as a construct suffer from, problems of conceptual clarity in many areas. The first area is the definition of the construct. The term performance is often used indiscriminately to descried everything from effectively and effectiveness to improvement. An adequate definition or in this case, many similar yet different definitions practitioners use the term to describe a range of measurement including impute efficiency, output efficiency and earn transactional deficiency (Stanncck, 1996).

Performance has to do with accomplishment standard of accuracy, completeness, cost and speed. Performance is seemed to be the fulfillment of an obligation in a manner that release the performer from all liabilities under the contract. Organizational performance therefore is a measure of how well of achieve appropriate objectives. This means that organization must be properly, evaluated in term of their productivity, skills taken decision and total commitment to their job so as to enable the organization to achieved expected goal (s).

Organizational performance has do with the effectiveness of the organization in fulfilling it purpose. The measurement of performance is very importance aspect to be considered. In any business entity that is gearing towards success. The survival of any organization depends solely on its performance which is strategic in Nature. Performance measurement to evaluate the entire health of the organization. Most executive are painfully aware of the fact that there is no one magic formular for measuring business performance. A review of literature on the subject shows a market trend from financial ratio and tangible to non-financial aspects an intangible as the most importance business measure.

Other have argued that financial analysis measure are inadequate due to performance and can not capture the true picture of the performance of the organization in the context of the modem business environment (Kaplan and Norton, 1996). What appear clear is that there are five main areas to considered when evaluating business performance market share, innovation head time and portion of revenue spent on research and development activities productivity of all input liquidity.

Inadequacy of Human Resources Planning has been cited as the reason why most public organization today are facing a chaotic situation as they did not at onset plan their workforce, neither did have any systematic human resource (HR) management programme that put the organizations goals first and the decay in the public organizations is evident as the level of frustration is equally high; and the “marketplace” trend of organization is becoming a reality (Goetz, 1989). The cause of this unfortunate development is primarily a lack of human resource planning. If not, what else can explain the sharp increase in workers strength as soon as any new chief executive emerges.

For instance, in  departmental  organizations  like  ministries,  four  directors  are  found  in  one obscure room doing nothing and other junior workers are satisfied to find a place under the mango trees located around the premises (Onah, 2008). The importance of planning human resources in a public organization cannot be over-emphasized. Human resource planning refers to the evaluation and identification of human resource requirements of the activities that are planned in order to meet socio-economic goals of the society (Dunn and Stephen, 1972). Effective human resource planning therefore implies that sufficient manpower, with the right mixture of talent, is available in appropriate locations, performing their jobs when needed.

Human resources planning therefore provide direction, reduce uncertainty, and minimize waste and sets standards. Therefore, according to Yesufu (2006) no activities can be done without planning; just  as  nothing  can  be  done  in  any  organization  without  first  determining  the organization’s human resource needs.

Although people‟s understanding of Human Resource Planning differs, the general objective is how to use scarce talents in an effective way in the interest of work and organisation. Human Resource Planning may be seen in its entirety as an effort to anticipate the future of the organisation and to provide personnel to fulfill that organisation and to satisfy customer‟s demands.

According to Bulla and Scott (1994) as „the process of ensuring that human resource requirements of an organisation are identified and plans are made for satisfying those requirements‟. This view suggests several specific, interrelations activities that together constitute human resources planning  which include personnel inventory, human resource process, action plan, control and evaluation.

Human Resource Planning is also the personnel process that attempt to provide adequate HR to achieve future organizational objectives. It includes forecasting future needs for employees of various types, comparing these needs with the present workforce and determining the numbers and types of employees to be recruited or phased out of the organization’s employment group.

“Human resource planning is the system of matching the supply of people, internally (existing employees) and externally (those to be hired and searched for) with over a given time frame” (Watters cited in Byars & Rue, 1991). Human resource planning has  two  objectives;  the  optimum  utilization  of

currently employed human resources and providing future HR needs in the areas of skills and numbers (Harvey & Bowin, 1996).

Human Resources Planning will enhance the process of decision making, encourage open discussion, bringing the right people together around the right questions, resolving conflicts among strong technical professionals, and managing emotional ups and downs of employees of the organization.

Schein (1976) noted that, the more complex organizations become, the more they will be vulnerable to human error. They will not necessarily employ more people, but they will employ more sophisticated highly trained people both in managerial and in individual contributor, staff roles.  The price of low motivation, turnover, poor productivity, sabotage, and intra-organizational conflict will be higher in such an organization. Therefore, it will become a matter of economic necessity to practice

effective human resource planning at Information Services Department. From the foregoing therefore, the study seeks human resources planning and organizational performance in Union Bank PLC, Bori.

1.2 Statement of Problems

Human resource has been considered or described by many human resource writers as the most valuable resource of an organisation. Despite the complex nature of human beings, which is their personality, character and the ability to achieve goals, people differ in all aspects.

People are in constant demand, but, cannot be easily replaced by technology or moved   around   like   finance.   Again, the   Human   Resource   Planning   is underpinned by Government‟s priorities to provide tangible improvements in services to citizens and to build strong, interconnected and sustainable communities. A systematic approach to human resource planning is needed to ensure that the public service is made up of the right people, in the right place, at the right time to deliver high quality, value for money services in partnership with communities, all the time.

The issue of Human Resource Planning raises series of questions. For instance, how effective is Human Resource Planning policies and practices in the banks? How do they address human capital challenges that hamper the execution of service delivery initiatives and interventions in union bank?  How effective is the Human Resource Planning practices and procedures in the banking sector?, is there adequate training and development in the banking sector? Does the bank make use the recruitment and selection process in recruiting their staff, are workers compensated properly? Based on the above questions the researcher decided to examine human resources planning and organizational performance in Union Bank PLC, Bori.

1.3 Objectives of the Study

The main objective of the study is to examine human resources planning and organizational performance in Union Bank PLC, Bori. The specific objectives are as follows:

  1. To examine the relationship between human resource planning and organizational performance in Union Bank PLC, Bori.
  2. To examine the relationship between demand forecasting and organizational performance in Union Bank PLC, Bori.
  3. To examine the relationship between supply forecast and organizational performance in Union Bank PLC, Bori.

1.4 Significance of the Study

Arguably, it is acknowledge that a study of this nature is not basically out for it purpose but as a result of some associated benefits it can help to offer generally. The study will help employers to ascertain the need for carrying out effective human capital planning in their respective organizations, especially in the banking industry.

The onus of this study will also open up future vents for young practicing managers to enhance human capital planning as a strategic and administrative tool for organizational performance and continues process for business survival. Most importantly, this study will also provide useful information to other scholars in the academic field in topical area under investigation and finally, this study will also be useful guide and information to other students that will carry out their studies in the future.

1.5 Research Question

The following research questions are posed to guide the study:

  1. To what extent does human resource planning relate to organizational performance in Union Bank PLC, Bori?
  2. To what extent does demand forecasting relate to organizational performance in Union Bank PLC, Bori?
  3. To what extent does supply forecast relate to organizational performance in Union Bank PLC, Bori?

1.6 Research Hypotheses

The following research questions are postulated to guide the study:

HO1: There is no significant relationship between human resource planning and organizational performance in Union Bank PLC, Bori.

HO2: There is no significant relationship between demand forecasting organizational performance in Union Bank PLC, Bori.

HO3: There is no significant relationship between supply forecast and organizational performance in Union Bank PLC, Bori.

1.7 Scope/Limitation of the Study

The study is delimited under the following heading: content, scope, geographical scope and study unit of analysis.

Content Scope: The content scope of this study involves an investigation to ascertain the relationship between human resources planning and organizational performance. The study is in the immediate domain of human resource management. The dependent variable is organizational performance. It is measures by productivity, effectiveness and market share. While independent variable is Human resources planning. It is measured by scenario planning, demand forecast, supply forecast and Training.

Geographical Scope: This study is limited to Union Bank PLC, Bori.

Unit of Analysis: The unit of analysis in this research is micro, which involves the individuals at the time of carrying out the study.

In carrying out an investigation of this nature the researcher must be faced with some constraints.

Firstly, the time constraint, the time frame provision for this study was short.

Secondly, financial constraints. Usually, a study of this nature involves some level of expenditure therefore; finance was also a limiting factor.

Thirdly, poor response from the respondent and inability to access the entire population of the study. In the next segment significance of the study will be discussed. Lastly, poor measurement instrument.

1.8 Definition of Terms

Demand forecasting

Estimate future needs for people and competences by references to corporate and functional plans and forecast of future activities level.

Human Resource

This is the strategic approach to the effective management of organization workers so that they help the business gain competitive advantage.

Human Resources Planning

Human capital as a key element in improving a firm assets and employees to increase productive as well as sustain completive advantage.

Effectiveness

Doing the right thing.

Productivity

I the range at which a given company is able to cover with his product.

Scenario planning

Making broad assessment of future environmental factors and their likely impact on people requirements (Wege and Dapper, 2016).

Supply forecasting

Estimate the supply of people by references to analyses of current resources and future availability after allowing for wastage. The forecast will also take account of labour market trends relating to the availability of skills and to demographics.

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