Manpower Planning

Manpower Planning

Manpower planning means making sure that the business has enough workers with the right skills to do all the jobs in the business.  There are three steps in manpower planning;

·         Step 1 – Forecast future demand.

·         Step 2 – Calculating existing supply.

·         Step 3 – If demand exceeds supply – recruit more staff. If supply exceeds demand then some staff may need to be made redundant.

Importance of Manpower Planning

·         Ensures that the business always has enough workers to carry out all the jobs needed to make a business a success.

·         Saves the business money by ensuring that there are not too many workers employed.  This helps to reduce the business’s wages bill.

(Information from William Murphy, 21^st Century Business: Business for Leaving Certificate, CJ Fallon.)

Manpower Planning notes link


Manpower Planning Video

Manpower Planning Powerpoint link