Environmental Factors to be Considered in Human Resource Planning

Human Resource Planning (HRP) is an important function in human resource management. It is used to assess the organization’s human resource needs in order to match skills with jobs, predict demand for manpower, and develop appropriate ways to motivate and retain top talents. An effective HR Planning process should consider various environmental factors that may affect the organization’s human resource needs.

1) Economic and Social environment

When assessing the human resource needs of an organization, it is important to consider economic conditions such as profits, GDP, inflation, and credit rates. If the economy is projected to improve, the organization is expected to grow and must prepare to hire more employees to meet the growing business needs.

in terms of social factors, the social environment may affect the nature and amount of tasks to be performed in the workplace. Therefore, employees must be trained and empowered to meet the changing market needs. for example, during Christmas and other festive seasons, the tastes and preferences of employees have to be considered. As many customers turn up to enjoy this period it’s prudent to consider a variety of products to meet the increased demand. Employees will also need some salary incentives because of increased activity.

2) Legal and political environment

Legal environment impacts business in terms of regulation, sales tax, import duties, corporate taxes, etc. Environmental and Health regulation can increase the costs to the Hotel thus HR planning ensures legal protection. Politics might remove international barriers to allow influx of tourists to boost its economy.

3) Technological environment

Most tourists use technology to book accommodation and their catering needs. Thus investing in modern technology helps to reduce uncertainties in terms of what kinds of meals to prepare, in what quantities as well the no of spaces to secure for its customers. HR planning ensures the required number of staff is ready to take up any new task that may arise.

4) Equal Opportunity Employment (EEO)

EEO means Equal Employment Opportunity for all. It ensures all persons work and advance on the basis of merit, ability and potential. It prohibits discrimination against people with disability, race, religion, nationality, sex or even color. A good case is where an expectant mother was denied a job because she was expectant

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