Articulating the value of human resource planning (HRP) activities in augmenting organizational performance toward a sustained competitive firm
| Pages | 62-90 |
| DOI | https://doi.org/10.1108/JABS-01-2019-0025 |
| Published date | 10 January 2020 |
| Date | 10 January 2020 |
| Author | Debarun Chakraborty,Wendrila Biswas |
| Subject Matter | International business,Strategy |
Articulating the value of human resource
planning (HRP) activities in augmenting
organizational performance toward a
sustained competitive firm
Debarun Chakraborty and Wendrila Biswas
Abstract
Purpose –The momentum of globalization has helped the organization to gain new insights into
the domain of human resources (HRs). The changing natureof work has affected the coherence of the
workplaces. Today, it is essential to preserve and nurture the cognitive and creative abilities of the
diverse group of employeesso that concrete outcomes and actions can be achieved. Humanresource
planning(HRP) is one of the processes that facilitate the developmentof employees and the integration of
their individual goals with the business plans. This paper aims to produce useful predictions and
unprecedenteddirection to boost organizational performance amidst cyclicalbusiness fluctuations. The
innovative HRP programs minimize the dysfunctional aspects of employee handling through proper
assessment of theirskills and abilities. This inclusive approachinitiates a sustainable journey for the firm
and heightensits competitive edge.
Design/methodology/approach –A descriptive study has been conducted through a structured
questionnaire. Primarydata were collected from respondents working in the HR department of different
manufacturingcompanies in the state of West Bengal, India. A multistagesampling technique has been
used. Data analysis has beenconducted through exploratory and confirmatory factoranalysis. Through
structural equation modeling, the researchers examined a series of dependence relationships
simultaneouslyand represented unobservedconcepts.
Findings –The current study ratifies the overall model and reflects that the HRP activities, namely,
retentionplan, professional training and development, job analysisand design, succession planning and
redeployment plan vitalizes the performance of the firm. A recruitment plan has a negative and non-
significant impact on the functional performance of the organization. Succession planning practices
immensely affectthe firm’s competitive edge followedby the retention plans. The results also upholdthat
the efficaciousperformance of the firm bringsin strategic sustainability for it.
Practical Implications –HRP activitiessufficiently address the HR concerns facilitatingthe organization
to coalesce the needs of the employeesand the business. It helps to adopt a long term perspective to
foster productivity, innovation and quality. It encouragesemployees to believe in their competencies to
deliver theirbest. Such practices involve the workforce; coordinatetheir efforts to contribute meaningfully
in this intricate business network. Thus, HRP practices drive to accomplishchallenging tasks, focus on
creative work-related projects, enhances an employee’s coping skills and morale to establish strategic
sustainabilityfor the firm.
Originality/value –The study sheds light on thefact that in this complex and dynamic business system
where the authors find multigenerational workforce, it is essential to nurture the subtle aspects of the
employees rather than continuous monitoring and controlling them. HRP activities provide such a
platform that maximizesemployees’ potential and will to fit into a firm’sbusiness strategy and translate a
strategicplan into action. Such practices have thecapability to intensify the positive aspectsand ideas in
an organization.
Keywords Human resource planning, Sustainability, Organizational performance, Competitive edge,
Strategic goal
Paper type Research paper
Debarun Chakraborty is
based at the Symbiosis
Institute of Business
Management, Nagpur,
India and Constituent of
Symbiosis International
(Deemed University), Pune,
India. Wendrila Biswas is
based at the Department of
Management Social
Science, Haldia Institute of
Technology, Haldia, India.
Received 25 January 2019
Revised 10 September 2019
Accepted 28 October 2019
PAGE 62 jJOURNAL OF ASIA BUSINESS STUDIES jVOL. 14 NO. 1 2020, pp. 62-90, ©Emerald Publishing Limited, ISSN 1558-7894 DOI 10.1108/JABS-01-2019-0025
1. Prelude
It is been almost two decades, as Dave Ulrich has been successful in deriving the value
and the evolving role of human resource (HR) in a changing world, and finally, to get a seat
at the table instead of just being considered as a support function (Soundararajan and
Singh, 2017). Today the HR function focuses on value adding and value creation activities
that support and endorse the execution of business strategy making an organization
uniquely position (Koltnerova et al.,2012;Biswas and Chakraborty, 2018). On the other
hand, to face the quality competition and uncertainty of global business environs, it is
imperative to manage the value of HRs as they are unique to the organization and are a
source of sustained competitive advantage (Barney, 1986;Prahalad and Hamel, 1990;
Upadhyay et al.,2016). They need to be motivated and sustained to achieve the strategic
intent of the firm and reinforce organizational capability to drive innovative business
outcomes (Parameswari and Yugandhar, 2015;Singh and Gaur, 2018). Here the HR
subfunctions play a critical role in the alignment of individual goals with that of business
strategy to unravel and solve key business challenges (Ghalamkari et al.,2015) that also
kindles leadership competencies (Almatrooshi et al.,2016). The managerial practices of
human resource planning (HRP)with its holistic and people-centric approach has facilitated
streamlining of human relations with the organizational work processes to fortify a firm’s
strategies, enhance its value (Biswas and Chakraborty, 2019), brings in orientation, foster
its yield and ensure a smooth transition (Bhattacharyya, 2017;Armstrong and Mitchell,
2017). FedEx Corporation thatfocuses on “People-Service-Profit” philosophy firmly believes
that efficient people practices fuel positive company growth. Companies such as Sage
Products Inc. (leading developer of innovative healthcare solution in the USA), AMX
(that leads in innovation in automation and video distribution), Hilcorp Energy Company
(leading manufacturer and distributor of energy in the USA) and Eileen Fisher (American
clothing brand) is of the opinion that HRP programs bring in productivity, wellness and
positive workspace that draws a actionable road map to boost the bottom line of a
successful business.
HRP with its plethora of innovative practices from manpower arrangement, job analysis and
design, succession planning, redeployment and retention plans helps to derive quantifia ble
outcomes (Sekhri, 2010) from the employees by using their adroitness in a meaningful way. It
also bequeaths an employeewithasenseofpurpose(
Ulferts et al.,2009). Companies today
are focusing on critical thinking and proactive behavior of the employees’ (Upadhyay and
Chakraborty, 2018) in this global matrix structure that espouses flexibility in organizati ons
(Aswathappa and Dash, 2008). Organizations want their employees to thrive on their
competence and authority and march toward improved productivity that would bestow a new
equilibrium in the economic and social aspect of the firm (S
ˇkarea et al., 2013). Companies are
going the extra mile to improvise strategies to empower their employees and generate a
suitable workforce. This would lead to vitality at work and build a strong, sustainable and
balanced growth of the firm to keep its competitive edge (Jonge and Peeters, 2019). The role
of HRP becomes pronounced here. HRP not only prioritizes the assessment of manpower
requirements in a company (Bhattacharyya, 2012)butalsoplaysastrategicroleinstimulating
sustainable performance of the firm (El-Kassar and Singh, 2018) by providing team players,
making employees responsible for their action, circumventing redundant investments on
people and helping the workforce live the mission of the establishment (Samwel, 2018). HRP
practices facilitate employees to refine their capabilities to c ompete and explore opportunities
that invigorate “organizational readiness”; a significant dimension of business strategy
(Al-Washi, 2016). This integrative linkage between business strategy and HRP practices leads
to optimization of the work processes (Budhwar et al., 2018), effective deployment of the HRs
and meets the corporate growth expectations (Golden and Ramanujam, 1985). Though the
significance of HRP in strategic planning of long term projects (Das, 2013) has been
discussed quite often, the relevance of emblematic HRP innovative practices in anticipating
and preparing the skill needs of the future among the employees has been limitedly
VOL. 14 NO. 1 2020 jJOURNAL OF ASIA BUSINESS STUDIES jPAGE 63
To continue reading
Request your trial