1

CHAPTER ONE

INTRODUCTION

1.0 Background of the Study

Human resource planning is one of the growing areas of academic research. Organizations regard

its human resource as their core competency because it would lead towards better organizational

performance.

Human resource planning was introduced because at previous times there was no suitable system

of managing people within the organization and certainly while following the human resource

management, top managers realized that the efficiency of work has increased and certainly there

were some techniques and processes developed which can increase the organizational

performance, then gradually the whole layout of human resource management was made and it

was concerning the staffing needs, its demand and supply. The ultimate aim is to achieve economic

advancement through the provision of relevant education and hence the production of the right

combination of human resources (Ololube, 2009).

Human resources planning is the strategic planning process at the level of the senior management.

The human resources planning is a process of guiding activities related to the human resources

management (Mursi, 2003).

Human resource planning is indeed concerned with broader issues about the employment of people

than the traditional quantitative approaches of manpower planning. Such approaches, as Liff

(2000) comments, derive from a rational top-down view of planning in which well tested

quantitative techniques are applied to long term assessments of supply and demand. She notes

2

“there has been a shift from reconciling numbers of employees available with predictable stable

jobs, towards a greater concern with skills, their development and deployment”.

The purpose of strategic human resource management is to improve business performance through

people management. Organizations need to manage their human resources effectively and

efficiently to achieve the desired goals and objectives (Cania, 2014).

Huselid (1995) argued that the HR practices had a significant impact both economically and

statistically on the intermediate results of both productivity as well as turnover.

According to Michael (2006) has shown that “the human resource takes place within the context

of the organization. Organizations nowadays are looking forward to have a competitive advantage

against the threats present in globalization. Due to the high competency requirements, most

organization aim to generate the kind of performance that can bring more profit. In order to do

that, the employees are required to perform well and improve.

Once a business entity has analyzed its mission, identified all its stakeholders, and defined its

goals, it needs a way to measure progress toward those goals (Kaplan & Norton, 1996).

Campbell’s (1999) theory defines performance as behavior or action relevant to the attainment of

an organization’s goals that can be scaled, that is, measured.

According to Gopikrishna (2011), also highlighted the significance of human resource planning

process by mentioning that objectives of the organization are achieved when planning is done

properly.

Most organizations will employ effective human resource plan in other to improve business

performance through people management. These organizations must manage their human

resources efficiently in other to meet their expectations. The strategic role of human resource

planning not only assists the organization in short period but also in many times to come. Thus it

3

is being seen that those organization which consider human resource planning as the significant

and essential part of their human resource management, this could turn out to be very helpful in

terms of dealing with its human capital which could possibly make the organization to standout of

the competition prevailing in the market.

Planning is the process managers use to identify and select appropriate goals and courses of action

of an organization. They resultant plans that come out of planning process details the goals of the

organization and specifies how they are intended to be attained. Like people, organizations can not

have it all done, so in a scale of preference, they need to determine their pro-rates and concentrate

their time, energy, and other resource to release their aims (Stewart, 1994).

Planning is an element of management which can be defined in a variety of ways. According to

Adesina (1990), planning is a method of deciding what we want to accomplish. It is essentially

concerned with concepts of the future, and problems requiring imagination, choice, design and

deliberate fore thought. Planning, from the above analysis, can be described as an economic

activity directed at the management of time and essential resources with the aim of achieving an

identified set of objectives. The success or failure of a plan is therefore measured against the time

frame within which the plan is set and the resources made available for the implementation of the

plan. Planning is therefore a managerial process directed at the optimal utilization of time and

resources in the attainment of a set of clearly identified goals. It is an important process in

economic development. Planning bridges the gap from where we are to where we want to be.

Organization According to Stewart (1994) “organizations are set up to achieve purposes that

individuals to achieve on their own organization they provide a means of working with others to

achieve goal. Individuals in organization, depend on each other’s effort through interactions and

which enable them work to words the realization of common goal.

4

Performance has been the most important issue for profit and non-profit organization. According

to Barney (2001) asserts that researchers have different beliefs and thoughts about organizational

performance but it still remains a controversial issue. Performance means quality, condition or

function. Non-profit organizations view their performance in terms of how they meet their

missions and goals. According to Daft (2000), states that organizational performance is an

effective and efficient manner for organization’s activity to achieve goals by using resources.

1.1 Problem Statement

The idea behind the assumption that human resource planning significantly contributes to

organizational results is that the human resource practices affects the employees in a positive

matter, e.g. by increasing job satisfaction and motivation, which in turn affects the operational

results, such as the quantity and quality of the products and services, which again will have positive

effect on the financial and market performance of a company, like return on assets, revenue, and

market share (Paauwe and Richardson, 1997) .

Effective planning can be hampered by a lack of commitment, the confusion of planning studies

with plans, a tendency to under-estimate the importance of planning premises, failure to see the

scope of planning, excessive reliance on experience, lack of control and insufficient information

(Koontz et al, 1980).

These and other inhibiting factors including the politicization of manpower planning efforts and

the dearth of professionally trained manpower planners have been identified as major challenges

in the achievement of effectiveness planning (Agabi, 1999). Insufficient and unreliable

demographic data and poor funding also constitute major hindrances (Nelson-Twakor, 2005).

5

The issue of Human Resource Planning raises series of questions. For instance, how effective is

Human Resource Planning policies and practices in an organisation? How do they address human

capital challenges that hamper the execution of service delivery initiatives and interventions at an

organisaton? When organisations embark on proper and effective human resource planning, it

helps organisations to gain corporate control over operating units, and coordinating and integrating

organizations decision making and actions.

Due to lack of human resource planning in most organisation. 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).

But the antecedents of human resource planning have not been studied as frequent as the outcomes

of human resource planning. Therefore the study aims to make a contribution to the existing

literature by examining the effect of human resource planning on organization.

1.2 Purpose of the Study

The main purpose of the study is to find out the effect of human resource planning on organization

1.3 Objectives of the Study

The general objectives of this study is to examine the significance effect of human resource

planning on organization using metro mass transit as a case study. The research will address these

specific objectives.

• To identify how metro mass transit manage their human resources.

6

• To evaluate the challenges Metro Mass Transit encounter in managing their human

resources.

• To examine how Metro Mass Transit help deal with these challenges.

1.4 Research Questions

In order to be within the limits of the research the following questions will guide the researcher to

obtain answers to the research problem:

• What strategies do Metro Mass Transit use in managing their human resources?

• Does Metro Mass Transit encounter challenges in managing their human resources?

• How does Metro Mass Transit deal with these human resource challenges they encounter?

1.5 Significance of the Study

The study will help organization managers in properly performing important human resource

functions such as true and timely information being provided about when to do recruitment of

employees. This timely process saves extra cost of company. The study will help human resources

managers in using the salaried staff in the organization effectively and salutary for the

organization’s benefits. It will also help human resource managers in recruiting skilled personal

for the job. It will also help contribute to the body of knowledge on effective human resource

planning by organisations in Ghana.

7

1.6 Scope of the Study

This study will focus on the public sector in general with a focal point on the Metro Mass Transit

in Kaneshie Pramprom, Accra Ghana. This is where the organization under study is located and

also the main location for accessing the respondents for the study.

1.7 Limitations of the Study

Despite the numerous advantages derived from undertaken this project, there will be some

limitations which includes the following:

Due to time constraints the researcher will not be able to gather a lot of information from

respondent because of the sample size chosen as well as focusing on one organization. The

researcher as a student will also be facing an issue of financial constraints and combining of her

regular studies leading to the inability to gather all questionnaires which will be sent out. In spite

of all these problems the research will encounter, the limitations will not be enough to affect the

outcome of the study.

1.8 Organizations of the Study

The study is organized and arranged into five chapters and the content of each chapter is outlined

below;

Chapter one outlines the background to the study, problem statements, purpose of the study

objectives and research questions of the study, the limitations and organization of the study.

Chapter two is devoted to the review of related literature on human resource planning on

organization.

8

Chapter three will present the methodology to be used for data collection, the compliance

assessment tool, the determination of sample size and administration of questionnaires.

Chapter four would highlight on the data analysis and discussion of findings, and chapter five will

outline the summary of major findings which would be followed by the conclusions and

recommendations.

9

CHAPTER TWO

LITERATURE REVIEW

2.0 Introduction

This chapter reviews the literatures relating to effect of human resource planning on organisation.

It is very difficult to develop a common specification on human resource planning. It's also

important to appreciate the orientation taken by researchers towards human resource planning in

their effort to enhance productivity or performance of employees. The main purpose of the study

is to investigate Human Resources Planning (HRP) on organization. The scope of this literature

review is expanded to include other related topic relevant in addressing the study. A well-

established organisation takes time and plan for their human resource. Human Resource Planning

(HRP) is one of the essential aspects of business planning which is geared towards the goals of the

organization or business.

2.1 Theoretical and Empirical Evidence on Human Resource

There have been a number of concerns and views which have been put forward by various scholars

and administrative practitioners on Human Resource. Among the reasons assigned by such

concerns is the effect of human resource planning on organizationis.

Quanah(2013), revealed that Human Resource are improperly planned; implemented and managed

by non-HR experts and that the practices, programmes and policies of organisations are lowly

perceived by their employees. For the purpose of the current study a number of theoretical

arguments have been developed or reviewed and integrated into the current study.

Study by Akhigbe (2013), was of the view that organizations being institutions are established to

accomplish specified goals. To achieve these goals, the human resource planning is seen as one of

10

the most crucial factors, without which the goals are as good as dead. The study recommended that

HRP should be a priority in every organization, since it has impact on organizational performance.

Adding to the array of concepts and theories is the term Human Resource which was originated by

Schultz (1961). Human Resource is the stock of competencies, knowledge, experience, social and

personal attributes including creativity and innovation, embodied in the ability to perform work so

as to produce economic value. Dess & Picken, (1999) assert human capital is generally understood

to consist of the individual’s capabilities, knowledge, skills and experience of the company’s

employees and managers, as they are relevant to the task at hand, as well as the capacity to add to

this reservoir of knowledge, skills and experience through individual learning. This theory is

concerned with how people contribute their knowledge, skills and abilities to enhancing

organisational capability and the significance of that contribution. This is rather broader in scope

than human resources.

2.1.1 Empirical Evidence

In Sang‟s (2005) study involving 160 respondents of two manufacturing firms in Cambodia and

Taiwan, it was asserted that a positive relationship exists between Human Resource Management

practices; human resource planning, staffing, incentives, appraisal, training, teamwork, employee

participation, status difference, and employment security on firm performance in areas of quality,

cost, and production flexibility.

According to Wang (2005) innovative firms treat HRM practices as the organisation’s strategy to

encourage team responsibilities, enhance organisational culture, and build up customer

relationships through participation and empowerment.

11

Richard and Johnson (2001) using a sample of banks examined the impact of strategic HRM

effectiveness on a number of performance variables. They found that the effectiveness of strategic

HRM is directly related to employee turnover and the relationship between this measure and the

return on equity was stronger among banks with higher capital intensity.

Guthrie (2012) examining the impact of HR practices on turnover and firm productivity among a

sample of firms in New Zealand noted that HR practices had an impact on turnover and that the

relationship between retention and productivity was positive when firms implemented high-

involvement HR practices, but negative when they did not. Strengthening the evidence of a

positive relationship between HRM practices and organisational performance is the research of

Ahmad and Schroeder (2003) which concluded that, there is a positive influence of Human

Resource Management practices (information sharing, extensive training, selective hiring,

compensation and incentives, status differences, employment security and decentralisation and use

of teams) on organisational performance as operational performance (quality, cost reduction,

flexibility and commitment). There has been the research into particular HRM practices out of the

bundle that contribute significantly to organisational performance.

Paauwe, J. and Boselie (2005), analysed 104 articles and established that the top four mostly

investigated human resource management practices that have a positive impact on organisational

performance are recruitment and selection, training and development, contingency and reward and

performance management.

Boxall (1998), suggests that in order for firms to generate human capital advantage, they should

recruit and retain exceptional individuals. Technology and capital can be acquired any time for a

price by most firms but it is not easy to acquire highly qualified and motivated employees.

Companies need to be careful when selecting employees.

12

Cole (2004), argued that, human resources are the most dynamic resource of all the resources at

the disposal of the organization and thus, the human resource needs to be given considerable

attention from managements to enable this resource realize their full potential in their work. For

this reason managements must address motivation, leadership, communication, work

restructuring, payment systems and training and development.

According to Osei (2017), effective Human Resources Management (HRM) practices within the

Small Medium Enterprise (SME) sector of Ghana may contribute to accelerating the growth of the

sector and the economy of Ghana at large.

Resource base view theory refers to how competitive advantage can be achieved through the

possession of valuable and rare resources that other competitors cannot imitate (Takeuchi, Lapak,

Wang & Takeuchi, 2007).

Finally, human resource planning includes gathering data that can be used to evaluate the

effectiveness of ongoing programmes and inform planners when revisions in their forecasts and

programmes are needed. Proper HR planning facilitates human resource utilization system that

affords human resource more effective equal employment opportunity planning, a better chance to

participate in planning their own careers and to share in training and development experiences.

2.2 Objectives of Human Resource Planning

The objectives of human resource planning in every organization are ensuring the optimum use of

human resources currently employed and providing for future human resources need as regards

skills, numbers and ages. This entails ensuring that the organization at all times has the right

number of personnel, with the right level of skills in the right jobs at the right time and that these

13

personnel are performing the right activities for the attainment of organizational objectives

(Ubeku, 1983).

However, the central objective of human resource planning in organization is to construct a

strategy of human resources development consistent with the organization’s broader aims of

economic development. As a plan, human resource planning seeks to define the ends and means

to achieving the overall organizational goal which include the following:

Attracting the number of people required with the appropriate skills, expertise and competencies

deficit in people. Development in a well-trained and flexible workforce, thus contributing to the

organization’s ability to adapt to an uncertain and changing environment. Reducing dependence

on external recruitment when key skills are in short supply by formulating relation, as well as

employee development strategies. Improving the utilization of people by introducing more flexible

system of work (Armstrong, 2004). Manpower planning establishes standard and control for

human resource management and this makes adaptation to future rational. Anticipating the

problems of potential surpluses or deficits of people (Ikeanyibe, 2009).

2.3 Process of Human Resource Planning

Human resource planning process deals with the activities involve in it. The Structure and

explanation below gives an overview of what goes into the planning process

14

Figure 2.1

Source: Armstrong (2008)

According to Hendry (1995), the process of HRP may be circular rather than linear, with the

process starting anywhere in the cycle. For instance, scenario planning may impact on resourcing

strategy, which in turn, may influence the business strategy. Alternatively, the starting point could

be demand and supply forecasts which form the basis for the resourcing strategy. The analysis of

labour turn over may feed into the supply forecast, but it could also lead directly to the development

of retention plans. There cannot be a well-articulated business plan as a basis for the HR plans.

The business strategy may be evolutionary rather than deliberate. It may be in parts intuitive and

incremental. Resourcing decisions may be based on scenarios riddled with assumptions that may

or may not be correct and cannot be tested. Resourcing strategy may be equally vague or based on

unproven beliefs about the future. It may contain statements about for example building the skills

base, that are little more than rhetoric. There is a systematic approach to developing, resourcing

strategy, scenario planning, demand and supply forecasting and labour turnover analysis. The

degree to which HRP can be carried out systematically will depend on the nature of the

Business Strategic Plan

Resource Strategy

Labour turnover Analysis Demand/supply

forecasting Scenario Planning

Operational effectiveness Work Environment Analysis

Human Resource

Plans

Work

Environment

Resourcing Productivity Flexibility Retention

15

organization. If the future is fairly predictable then formal planning might be appropriate. If it is

not so, the approach to human resource planning might have to rely on broad scenarios rather than

precise forecasts. The processes of Human resource planning (HRP) can be listed out as mentioned

here under.

a. Business Strategic Plans: These plans define future activity levels and initiatives

demanding new skills.

b. Resourcing Strategy: It gives a planning to achieve competitive advantage by developing

intellectual capital i.e. Employing more capable people than rivals, ensuring that they develop

organization specific knowledge and skills and taking steps to become employee of choice.

c. Scenario Planning: It assesses in broad terms where the organization is going in its

environment and the implications for human resource requirements.

d. Demand Supply Forecasting: It helps in estimating the future demand for people of both

quality and quantity and assessing the number of people likely to be available from within and

outside the organization.

e. Labour Turnover Analysis: It deals with analyzing actual labour turnover figures and

trends as an input to supply forecasts.

f. Work Environment Analysis: It seeks to analyze the environment in which people work

in terms of the scope that it provides for them to use and develop their skills and achieve job

satisfaction.

g. Operational Effectiveness Analysis: It analyses productivity, the utilization of people and

the scope for increasing flexibility to respond to new and changing demands.

16

2.3.1 The Need for Human Resource Planning and Development

Generally, human resources refer to people, humanity, and society with all its aspirations, needs

and capacities. As an economic resource, manpower is a representation of the aggregate skills and

attitudes resulting from the culmination of education and training. Such training is usually

designed to equip a labour force with the capacity to plan, organize and carry out economic process

when properly allocated. It is from this economic perspective that Gbosi (2003) describes

manpower as the bulk of human beings with relevant skills, energies, talents, knowledge and

attitudes that can be put to the production of goods and services. Here human beings are not

described as manpower or human resources except in that they can be put to some economic use

as a resource that in turn can be used for wealth generation or for the facilitation of increases in

wealth. The need for manpower planning is clearly expressed in the following excerpt from

Psacharopoulos and Woodhall (1985): Skilled manpower is one of the most crucial inputs of

modern economy growth (and to avoid critical shortages or surpluses of manpower). Planners have

sought to identify future requirements for skilled manpower and to design the education system so

as to produce a labour force with the necessary skill and technical or professional knowledge.

It is clear that every plan is directed at achieving specific objectives. Human resource planning

helps to eliminate or minimize problems of human resource wastage that arise from

unemployment, over-employment and under- employment, as the case may be. The central

objective of human resource planning is to construct a strategy of human resource development

that is consistent with a country’s broader objectives of social, political and economic

development. Human resource planning at the very least includes planning of the formal education

system, planning of in-service training and planning of adult education. This should also include

an analysis of the structure of incentives and the utilization of human resources as well as surveys

17

on unemployment and under-employment and the development of appropriate measures for their

alleviation.

According to Khadka (2009) human resource planning must be linked to the overall strategy of

the organization. It evaluates human resource requirements in advance keeping the organizational

objectives, operation schedules, and demand fluctuation in the background. Thus, human resource

planning should be future–oriented, system–oriented, and goal directed. According to him it

reduces uncertainty, develops human resource, improves labour relations, utilizes human resource

and controls human resource. Forecasting human resource requirements, effective management of

change, realizing organizational goals, promoting employees and effective utilization of human

resource are the main objectives of human resource planning.

2.4 Resource Strategy

According to Keep (1989) the objective of HRM resourcing strategy is to obtain the right basic

material in the form of a work force endowed with the appropriate qualities, skills, knowledge and

potential for future training. The selection and recruitment of workers best suited to meeting the

needs of the organization ought to form a core activity upon which most other HRM policies geared

towards development and motivation could be built. The strategic capability of an organization

depends on its resource capability in the form of people. This concept provides the rationale for

resourcing strategy. The aim of this strategy is, therefore, to ensure that an organization achieves

competitive advantage by employing more capable people than its rivals. These people will have

a wider and deeper range of skills and they behave in ways that maximize their contribution. The

organization attracts such people by being the employee of choice. It retains them by providing

better opportunities and rewards than others. It also develops a positive psychological contract

18

which increases commitment and creates mutual trust. Besides, the organization deploys its people

in ways that maximize the added value that they supply. The resourcing strategy determines.

a) The number of people needed in each of the key operational or functional areas in the short

term and long term.

b) The type of skills needed in the future.

c) The way to meet the needs from the existing resources.

d) The Place to find them.

e) The things needed to develop or extend skills base.

f) To identify people with potentialities and abilities.

g) The problem in attracting or retaining key staff.

h) The scope to make better use of people by increasing employment flexibility.

i) The danger of downsizing.

2.4.1 Components of Resourcing Strategy

Armstrong (2008) identified three components of resourcing strategy.

Resourcing Plans: These plans find people from within the organization and / or for training

programmes to help people learn new skills. If needs are not satisfied from within the organization,

resourcing plans prepare longer term by attracting more qualitative candidates as the employer

of choice.

Flexibility Plans: These plans increase the feasibility in the use of human resource to enable the

organization to make the best use of people and adapt swiftly to changing circumstances.

19

Relation Plans: These plans are intended to retain the people the organization needs. Resourcing

strategy provides the basis for these plans within the frame work of business needs. It will be

more effective, if it is supported by scenario planning.

2.4.2 Scenario Planning

Scenario planning is also called by the name, the formal strategic planning technique. An advanced

learner’s oxford dictionary defines a scenario as “an imagined sequence of future events”. It is a

more or less formalized process for establishing a view about any changes that can be seen to the

scale and type of activities in the organization and to its structure. It identifies all external

environmental changes that are likely to affect it. It aims at obtaining a better understanding of the

possible situation that may have to be dealt with in the future.

In this context, Reill (1999) observes that “Scenario planning tries to open minds to a range of

possibilities that organizations may have to confront. These possibilities are then ordered to

produce a series of internally consistent pictures of alternative futures. It is an intellectual process

that seeks to identify issues and examine the possible consequences of events. The scenario

planning involves making broad assessments of likely internal developments. It shows the

direction in which the organization is going and the implications this has on people requirements.

According to Armstrong (2008), the assessments may have to be made in the absence of any

articulated business plan, and thus involve questioning top management and key line managers on

how they see the future, and asking them to interrupt what this means in terms of their human

resource needs Assessments also have to be made on likely changes in the external environment

as it may affect the labour market. Scenario planning also helps sometimes in estimating future

people requirements. However, wherever it is feasible attempts can be made to produce demand

20

and supply forecast. They will help in determining the type of action needed to be taken if the

forecasts indicate the possibility of a human resource deficit or surplus.

2.4.3 Demand Forecasting

Demand forecasting is a process of human resource planning by which the number of people, their

skills and competencies required for an organization is estimated. The ideal basis of the forecast

is an annual budget and longer term business plan, translated into activity levels for each function

and department or decision on downsizing.

2.4.4 Supply forecasting

Supply forecasting is a process of human resource planning by which the number of people to be

available within and outside the organization is measured. Supply forecasting is based on the

following six factors. An analysis of existing human resources in terms of numbers in each

occupation skills and potentials; Forecasting losses to existing resources through attrition;

Forecasting changes to existing resources through internal promotion; Effecting changing

conditions of work and absenteeism; Sources of supply from within the organization; Sources of

supply from outside the organization in the national and local labour markets.

2.5 Challenges Associated with Planning Human Resource in an Organization by Armstrong

(2008)

One serious problem confronting organizations’’ human resource managers is the most effective

method of matching people with job which is what spurred that assertion that Human resource

21

planning is not an easy process. The following are some of the barriers of human resource planning

in achieving organizational goals:

a. Absence of productivity-oriented working culture and mechanisms to encourage labour

productivity;

b) High cost of skilled labour, and training.

c) The low level of computer literacy couple with the unstable power supply in this era of

computer-based organization structuring, hence without strong information base, human resource

planning becomes a tortuous assignment.

d) Lack of the willingness to recognize special talents in the formal education systems and to

encourage their development in specialized environments.

e) Poor record keeping constraining human resource planning; even though human resource

planning is not necessarily numerical estimation or list forecasting of the workforce, record

keeping is the hub of human resource planning. f) Career guidance is not a mandatory element

before the students leave schools after secondary education.

g) Limitations in the available systems for accreditation of training institutions, preventing the

training programmes on offer to meet job market needs and international standards.

Sadly, human resource planning has not often been successful; Byars and Rue (2004,) have

mentioned the following as obstacles to properly execution of human resource planning, and are

as follows:

Sponsorship of top management - for human resource planning to be viable in the long run, it must

have the full support of at least one influential senior executive. Such high-ranking support can

22

ensure the necessary resources, visibility, and cooperation necessary for the success of the human

resource planning programs.

Size of initial effort - many human resource planning programs fails because of an over

complicated initial effort, successful human resource planning programs start slowly and gradually

expand as they meet with success.

Coordination with the other management and HR functions - human resource planning must be

coordinated with the other management and HR functions, unfortunately human resource planning

specialists become absorbed in their own functions and fail to interact with others.

Integration with organizational plan - human resource plans must be derived from organization’s

plans. The key here is to develop good communication channels between the organization planners

and the HR planners.

Noninvolvement of operation managers - human resource planning is not strictly an HR

department function. Successful human resource planning requires a coordinated effort on the part

of the operating managers and HR personnel (Byars and Rue, 2004).

2.6 Benefits of Human Resource Planning

According to Koubek (2007), Human resource planning in the business practice should represent

generally used and key activity for human resource management because human resource planning

helps to make optimum utilisation of the human resources in the enterprise and it helps to avoid

wastage of human resources. Human resource planning allows to forecast the future manpower

requirements and also to forecast the number and type of employees who will be required by the

enterprise in a near future. In the long term period, success of any enterprise depends on whether

23

the right people are in the right places at the right time, which is the nature of human resource

planning.

The institute of Employment Studies, Reilly (1996) conducted a research suggesting a number of

why organizations choose to engage in HRP. These reasons include the following:

Planning for substantive reason; that is, to have a practical effect by optimizing the use of resource

and/ or making them more flexible, acquiring and nurturing skills that take time to develop,

identifying potential problems and minimizing the chances of making a bad decision. Planning

because of the process benefit which involves understanding the present in order to confronts the

future, challenging assumptions liberating thinking, making explicit decisions which can later be

challenged, standing back and providing an overview, and ensuring that long term thinking is not

driven out by short term focus. Planning for organizational reasons which involves

communicating plans so as to obtain support/adherence to them, linking HR plans to business plans

so as to influence them,(re) gaining corporate control over operating units, and coordinating and

integrating organizations decision making and action (Reilly, 1996).

The programme does not assist the Organization only, but it will also facilitate the career planning

of the employees and assist them to achieve the objectives as well. This augment motivation and

the Organization would become a good place to work. HR Planning forms an important part of

Management information system.

2.7 Human Resource Planning

Human resource planning is a process of analyzing an organization’s human resource needs under

changing conditions and developing the activities necessary to satisfy these needs (Biswajeet,

2010).

24

Organizations are realizing that it is imperative to hire employees who can do the job and be

successful at it. This requires the planning of Human Resource. It is unfortunate that many

organizations had to suffer due to improper HRP. Human Resources planning is based on the

concept that people are the most important strategic resources of an organization. Generally, it is

concerned with suitable resources to business needs both in longer tern needs and in shorter term

needs in terms of both quantity and quality.

Bulla and Scoh (1994), define Human Resource planning (HRP) that “it is the process for ensuring

that the Human Resources requirements of an organization are identified and plans are made for

satisfying those requirements”.

Firoiu (2003, human resource planning enables an organization to pursue both employees and

expectations of management organization).

It is a disciplinary and creative process for determining where the organization should be in the

future and how to taken to the future with the help of human resource staffing activities (Graf,

Hemmasi & Strong, 1996).

2.8 Importance of Planning

Planning is an element of management which can be defined in a variety of ways.

For Adesina (1990), planning is a method of deciding what we want to accomplish. It is essentially

concerned with concepts of the future, and problems requiring imagination, choice, design and

deliberate fore thought. For Koontz et al (1980), planning involves deciding in advance what to

do, how to do it, when to do it and who is to do it. Planning bridges the gap from where we are to

where we want to be. These authors acknowledge that although it is difficult to predict the exact

future, considering the interference of factors beyond human control even with the best-laid plans,

25

events are left to chance unless such events are planned. They conclude that planning is an

intellectually demanding process which requires the conscious determination of courses of action

and the basing of decisions on purpose, knowledge and considered estimates.

The definition of planning proffered by Koontz et al (1980) is supported by Akinwumiju & Agabi

(2008) who present planning as involving the prediction of events ahead of time and the mapping

out of strategies to meet such events. For this duo, planning also involves setting goals for the

future and deciding in advance the activities and resources that will lead to the realization of such

goals. The purpose of planning is to ensure that goals are achieved within the designated time

frame and at minimal cost. Planning, from the above analysis, can be described as an economic

activity directed at the management of time and essential resources with the aim of achieving an

identified set of objectives. The success or failure of a plan is therefore measured against the time

frame within which the plan is set and the resources made available for the implementation of the

plan. Planning is therefore a managerial process directed at the optimal utilization of time and

resources in the attainment of a set of clearly identified goals. It is an important process in

economic development.

2.9 Human Resource Management Practices

Many researchers over the period have identified different HRM practices by different names.

Researchers variously refer to certain sets of HRM practices as “best practices” or high

performance‟ (Huselid, 1995), sophisticated‟ (Golhar and Deshpande, 1997; Hornsby and

Kuratko, 1990; Goss et al., 1994; Wagner, 1998) or as “professional” (Gnan and Songini, 2003;

Matlay, 1999). Pfeffer (1994; 1998) argued the most appropriate term is “Best HRM practices”.

26

However, according to Chandler and McEvoy (2000), one of the lingering questions in HRM

research is whether or not there exists a single set of policies or practices that represents a

universally superior approach to managing people. Theories on best practices suggest that

universally, certain HRM practices either separately or in combination yield improved

organisational performance.

HRM practices are argued to initiate positive exchange relationships especially when mangers are

able to provide evidence of consideration and concern for needs of the individual worker (Gould-

Williams, 2007). There seem to be no agreement on what constitutes HRM practices. Over the

years, researchers have proposed various lists of practices; however, there is no agreement on what

or which qualifies as an aspect of HRM. It is worthy to note there are some practices that form the

core of the various proposed lists of practices. Nine of these practices are selected for this study

based on their significance in the literature reviewed, their impact and measurability.

2.9.1 Recruitment and Selection

According to Bratton and Gold (2007), Recruitment is the process of generating a pool of capable

people to apply for employment to an organisation and selection which is the process by which

managers and others use specific instruments to choose from a pool of applicants a person or

persons more likely to succeed in the job(s) given management goals and legal requirements.

According to Al-Ahmadi (2009), Recruitment and selection can play a pivotal role in shaping an

organisation‟s effectiveness and performance, if organisations are able to acquire workers who

already possess relevant knowledge, skills and aptitudes and are also able to make an accurate

prediction regarding their future abilities. Performance improvement is not only a result of well-

27

functioning system but also depends on effective human resource strategies that succeed in

recruiting and maintaining a committed and motivated workforce.

Recruitment and selection has become ever more important as organisations increasingly regard

their workforce as a source of competitive advantage. It is often claimed that selection nof workers

occurs not just to replace departing employees or add to the number but rather aims to put in place

workers who can perform at a higher level and demonstrate commitment (Ballantyne, 2009). This

function of HR is presented as a planned rational activity made up of certain sequentially-linked

phases within a process of employee resourcing, which itself may be located within a wider HR

management strategy. The process of recruiting and selecting may come in four stages: defining

requirement, planning recruitment campaign, attracting candidates and selecting candidates

(Armstrong, 2010).

2.9.2 Training and Development

According to (Armstrong, 2001) training is the formal and systematic modification of behaviour

through learning which occurs as a result of education, instruction, development and planned

experience. Training has the distinct role in the achievement of an organisational goal by

incorporating the interests of organisation and the workforce (Stone R J. Human Resource

Management, 2002). For training to have a better effect on performance, its design and delivery

should be well executed.

Training remains a vital to enhancing employee performance. The organisational commitment or

“the relative strength of an individual‟s identification and involvement in a particular

organisation” (Pool & Pool, 2007), depends on effective training and development programs.

28

According to these authors, organisations demonstrating keen insight make provisions for

satisfying the training needs of their current workforce.

Cheng and Ho (2001), indicate that adequate training produces marked improvements in employee

communication and proficiency of performances as well as extending retention time. Moreover,

when programs target communication skills with co-workers, there are significant increases in

profit as well as a greater number of reported positive working relationships that are formed. Also,

training and education have been shown to have a significant positive effect on job involvement,

job satisfaction, and organisational commitment (Karia and Asaari, 2006). Moreover, poor

performance reviews due to inadequate job training can produce employee dissatisfaction and

conflict.

2.9.3 Compensation

Bob (2011) , compensation processes are based on compensation philosophies and strategies

contained in the form of policies, guiding principles, structures and procedures which are devised

and managed to provide and maintain appropriate types and levels of pay, benefits and other forms

of compensation. This constitutes measuring job values, designing and maintaining pay structure,

paying for performance, competence and skill and providing employee benefit. However,

compensation management is not just about money, it is also concerned with that non-financial

compensation which provides intrinsic or extrinsic motivation.

Compensation has a motivational effect and therefore implies that having a compensation structure

in which the employees who perform better are paid more than the average performing employees

is vital to enhancing organisational performance (Hewitt, 2009). The growing recognition and

29

consensus that compensation promotes productivity is consistent with the early work of Peter

Drucker (1956) that states “happy workers are productive workers.”

2.9.4 Appraisal/Performance Management

Wiese and Buckley (1998), Performance appraisal of employees is the systematic evaluation of

employees‟ performance and potential for development during a certain period of time by

supervisors or others who are familiar with their performance. It is one of the oldest and widely

used management practices. Performance appraisal is an indispensable tool for an organisation

because the information it provides is highly useful in decision making regarding issues such as

promotion, merit increases transfer, discharge, training and development. Not only is performance

appraisal useful for the above issues, it may also increase employee’s commitment and satisfaction.

However, there has been a great realisation that it is more important to focus on defining, planning

and managing performance than merely appraising performance Pareek and Rao, (2006).

The increased competitive nature of the economy and rapid changes in the external environment

has forced many organisations to shift from reactive performance appraisals to proactive

performance management to boost productivity and improve organisational performance (Nayab,

2011).

Prasad (2005) defines performance management as the process of planning performance,

appraising performance, giving its feedback, and counselling an employee or teams to improve

performance.

Armstrong (2006) put it, performance management is a systematic process for improving

organisational performance by developing the performance of individual and teams. Performance

30

management is one of the most important developments in the field of HRM probably propelled

into visibility in the early 1980’s as a result of the growing importance of total quality management.

2.9.5 Employment Security

Studies by Delery and Doty (1996); Bjookman and Fey (2000) have emphasised the significant

correlation between employment security and organisational performance. According to Pfeffer

(1998) benefits of employment security, aside workers‟ free contribution of knowledge and their

efforts to enhance productivity, it also encourages people to take a longer-term perspective on their

jobs and organisational performance. In a study of the financial performance of 192 banks, John

Delery and Harold Doty observed significant relationship between employment security and the

bank‟s return on assets, an important measure of financial performance. Employment security

maintained over time helps to build trust between people and their employer, which can lead to

more cooperation, forbearance in pressing for wage increases and better spirit in the organisation.

The idea of employment security does not mean that the organisation retains people who do not

perform or work effectively with others; of course performance does matter. Employment security

is fundamental to the implementation of most other high-performance management practices such

as selective hiring, extensive training, information sharing and delegation. Companies are unlikely

to invest the resources in the careful screening and training of new people if those people are not

expected to be with the firm long enough for it to recoup these investments. Similarly, delegation

of operating authority and the sharing of sensitive performance and strategic information requires

trust and that trust is much more likely to emerge in a system of mutual, long-term commitments.

31

2.9.6 Employee Voice (Involvement and Participation)

The direct participation of staff to help an organisation fulfil its mission and meet its objectives by

applying their own ideas, expertise and efforts towards solving problems and making decisions is

termed as employee involvement. Research has shown that organisations that tap the strength of

their people will be stronger and more aggressive than those that cannot. Firms will never realise

the full potential of employees if they regard people as automatons or mere cogs in a wheel. In the

long run, such companies‟ inefficiencies attract competition, and unless the management

philosophy changes, they will disappear (Apostolou, 2000). So many studies have shown how

much of an impact employee participation can have on the performance and wellbeing of an

employee, team or the entire organisation: improved organisational decision-making capability,

and reduced costs through elimination of waste and reduced product cycle times (Apostolou,

2000); improved attitude regarding work (Leana, Ahlbrnadt, &Murrel, 1992); empowerment, job

satisfaction, creativity, commitment and motivation as well as intent to stay (Apostolou, 2000;

Light, 2004); increased employee productivity across industries (Jones, Kalmi, & Kauhanen,

2010).

2.9.7 Information Sharing and Knowledge Management

As Pfeffer (1998), asserts information sharing is an essential component of high-performance

work systems for two reasons; first, the sharing of information on things such as financial

performance, strategy and operational measures conveys to the organisation’s people that they are

trusted and the second is that even motivated and trained people cannot contribute to enhancing

organisational performance if they do not have information on important dimensions of

performance and in addition training on how to use and interpret that information. An enterprise

32

that makes real a shared culture that is in actual fact unbreakable through information flow will be

a competitive one. When the sharing of information is a vital component of the entire enterprise’s

culture, this can surely impact the effectiveness of the enterprise. When people work together,

share ideas, and sometimes wrangle, they build on one another’s ideas for the benefit of the

enterprise. The lack of communication and information sharing disrupts works and brings about

enterprise mediocrity.

In a study by Brian Hackett (2000) titled, “ Beyond Knowledge Management: New Ways to Work

and Learn,” knowledge management is defined as,” An integrated, systematic approach to

identifying, managing, and sharing all of an enterprise’s information assets, including databases,

documents, policies, and procedures, as well as previously unarticulated expertise and experience

held by individual workers.” In essence, it is gathering all the information and resources of a

corporation and making them available to the individual employee. In turn, the employee uses

these resources to create new innovative processes and thus, gives back to the firm.

2.9.8 Job design

Job design refers to work arrangement or rearrangement aimed at reducing or overcoming job

dissatisfaction and employee alienation arising from repetitive and mechanistic tasks. Through job

design, organisations try to raise productivity levels by offering non-monetary rewards such as

greater satisfaction from a sense of personal achievement in meeting the increases challenge and

responsibility of one’s work. Job enlargement, job enrichment, job engineering, job rotation and

job simplification are various techniques used in a job design exercise.

33

Opatha (2002) Job design is the functions of arranging task, duties and responsibilities in to an

organisational unit of work‟. The process of job design has been defined as, “...specification of the

contents, methods, and relationships of jobs in order to satisfy technological and organisational

requirements as well as the social and personal requirements of the job holder.”

(Buchanan, 1979) It can also be the process of putting together various elements to form a job,

bearing in mind organisational and individual worker requirements, as well as considerations of

health, safety, and ergonomics. In this rapidly changing business environment, it is has become

even more critical for jobs design to meet the requirement of challenging work. Changing

technology, advanced communication, and changing organisational structures have all impacted

job design. To be more responsive to the rapid pace of change, jobs must have some degree of

built-in flexibility. This flexibility is achieved through careful attention to job design. Job

simplification standardises work procedures and employs people in clearly defined and highly

specialised tasks. Job rotation and job enlargement were designed to take advantage of

specialization of labour from the job engineering approach (Luthans, 2005). Job rotation allows an

employee to work in different departments or jobs in an organisation to gain better insight in to

operations. Job enlargement can be used to increase motivation by giving employees more and

varied task. Job enrichment is the technique which entails the inclusion of greater variety of work

content, requiring a higher level of knowledge and skill, giving workers, autonomy and

responsibility in terms of planning, directing, and controlling their own performance, and

providing the opportunity for personal growth and meaningful work experience (Garg & Rastogi,

2006). A wealth of studies show that there exists a correlation between job design and performance

Al-Ahmadi (2009) indicated that the nature of job itself was found positively correlated with

34

performance , which indicates that satisfaction with amount of variety and challenge in one‟ s job

actually influence performance.

Job design gives a clear direction to how tasks are performed and this leads a positive change in

job performance and analysis as a result of which the organisational productivity is enhanced

though efficient work performance.

2.9.9 Career Planning

Career planning is the deliberate process through which someone becomes aware of his or her

personal skills, interests, knowledge, motivations, and other characteristics; acquires information

about opportunities and choices; identifies career-related goals; and establishes action plans to

attain specific goals (Dessler, 2008). According to Edgar Schein career planning (Manolescu,

2003) is a continuous process of discovery in which an individual slow develops his own

occupational concept as a result of skills or abilities, needs, motivations and aspirations of his own

value system. In HRM, career planning seeks to identify to identify needs, aspirations and

opportunities for individuals career and the implementation of developing human resources

programs to support that career. A well-planned career development system along with internal

advancement opportunities based on merit, results in high motivation among employees, which

has an impact on firm performance (Milkovich & Boudreau, 1998).

In a broader sense, career management which is defined by Mayo (1991) as the design and

implementation of organisational processes that enable the careers to be planned and managed in

a way that optimizes both the needs of the organisation and the preferences and capabilities of

individuals has become one of the most important elements in HRM. Byars and Rue‟s (2000)

explanation of career management is that, it is a joint-responsibility between individuals,

35

organisation, and employees‟ immediate managers. Individuals‟ responsibility, which covers two

main areas: preparing their own career plans and putting the plan into practice are termed as career

planning and career strategies respectively. The organisation’s and the immediate managers‟

responsibilities, if combined together would generate another dimension which is best named as

organisational career management.

2.10 Organization

According to Stewart (1994) “organizations are set up to achieve purposes that individuals to

achieve on their own organization they provide a means of working with others to achieve

goal….like to determine by whoever is in the best position to influence them. A key characteristic

of organization is their complexity”. Individuals in organization, depend on each other’s effort

through interactions and which enable them work to words the realization of common goal. Laid

down structures however fashion out how they relate to others. It can also be define as a group of

people identified with shared interest or purposes, example business or school.

Michael (2006) has shown that “the human resource takes place within the context of the

organization. The extent to which it is used, and the approach adopted, will be contingent on the

extent to which management recognizes that success depends on forecasting future people

requirement and implementing plan to satisfy those requirement.

2.10.1 Organisational Performance

Researchers have different opinions of what performance is. Organisational performance continues

to be a contentious issue in the management research circles. Javier (2002) equates performance

to the famous 3Es; economy, efficiency and effectiveness of a certain programme of activity.

36

According to Richard et al (2009) organisational performance encompasses three specific areas of

firm outcomes; financial performance (profits, return on assets, return on investment, etc), product

market performance (sales, market share, etc), and shareholder return (total shareholder return,

economic value added, etc.). Organisational performance is the organisation‟s ability to attain its

goals by using resources in an effective and efficient manner Daft (2000). We can put

organisational performance as the actual output or results of an organisation as measured against

its intended outputs, that is; goals and objectives. Performance should not be confused with

productivity; according to Ricardo (2001), productivity is a ratio depicting the volume of work

completed in a given amount of time. Performance is a broader indicator that could include

productivity as well as quality, consistency, effectiveness, efficiency and other factors.

A study by Chien (2004) found that there were five major factors determining organisational

performance, namely: Leadership Styles and Environment, Job Design, Organisational Culture,

Model Of Motive And Human Resource Policies.

The concept of performance borders on both what has been achieved and how it has been achieved.

Organisational performance can be measured in a number of different ways. The most obvious

way to measure what has been achieved and the approach used in many studies, is by reference to

key performance indicators (KPIs) which are usually to do with financial results (profitability) or

productivity. Measuring the “how” is more difficult. It has to rely extensively on qualitative

assessments of organisational capability or effectiveness.

2.11 Summary of the Chapter

The reviewed literature related to the effect of human resource planning on organization. The

chapter first presents the theoretical framework of Human resource planning (HRP) under which

37

the central objectives of human resource planning was differentiated from other objectives of

human resource planning. It presented the process of planning human resource , under which the

process of human resource were listed as ;Business strategic plans ,Resourcing strategy, Scenario

planning, Demand forecasting, supply forecasting and labour turnover Analysis , .It also presented

the resource strategy under which components of resourcing strategy were exposed and scenario

planning ,Demand forecasting ,supply forecasting were explained. Again. The need for Human

resource planning and as well as the of effective human resource planning were analyzed. The

study finally reviewed the literature on the challenges associated with human resource planning

on organization.

38

CHAPTER THREE

RESEARCH METHODOLOGY

3.0 Introduction

This study is aimed at examining the human resource planning of Metro Mass Transit (Accra) such

practices on the organisation. This chapter discusses the research design, target population, sample,

sampling techniques sources of data, and data collection procedures used in obtaining the required

data.

3.1 Research Design

This study applied an explanatory research design since it seeks to establish the impact of Human

Resource planning on organisational. The study used a selected number of Human Resource

planning (HRP) to get empirical data on Human Resource planning and how they affect

organisational. The research strategy for the research is a survey approach in order to collect

quantitative data which was analysed using descriptive statistical tools. The use of a survey enables

generalisation to be conducted using findings generated from a sample size which is representative

of the whole population.

3.2 Sample and Sampling Techniques

A sample is a selection of a group of people or events from a population to be able to find out true

facts about the sample that will be representative of the population. This becomes necessary as the

entire population cannot be studied due to the size, inaccessibility, time and financial constraints.

39

This study had an estimated population size of one hundred and twenty (120) people and this large

size made it impossible for the researcher to test every individual members of the population. As

such, a sample size of fifty (50) respondents, representing 41.7% of the population was chosen as

a reflection of the population for the study. Based on non-probability sampling procedure,

purposive and convenience sampling techniques were used for selecting respondents for

managerial employees and non-managerial employees respectively. The purposive sampling

technique is done with a predefined group in mind. The subjects will be handpicked from the

accessible population and matched against the criteria for being in the sample. The purposive

sampling technique will be applied in sampling for managerial employees because they had to

meet a criterion of belonging to the predefined group of top level managers. Again, the

convenience sampling technique will be used so that any non-managerial employee can participate

as a respondent. The convenience sampling technique suited the non-managerial employees better

due to their relative ease of access and the fact that any employee belonging to this group is a

potential respondent. Out of the sample size of 50, (5) were top management staff of managers

and supervisors, and the other 45 respondents were a combination of non-managerial members

constituting middle and lower level employees.

3.3 Data Collection Instruments

The study utilized both primary and secondary data. Primary data was collected from the field

using questionnaires, while secondary data was collected from journals and books. Both methods

helps to widen the scope of the data to be analysed.

40

3.4 Data Analysis Techniques

In analyzing the data collected from the field, the researcher will make use of tables, frequencies,

percentages, bar graphs and charts. The responses of the various workers will be first edited and

summarized using frequencies. Both qualitative and quantitative approaches was used to analyze

the data. The values corresponding to some items will be further converted to percentages to

facilitate comparison between the items.

41

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

4.0 Introduction

This chapter presents information on primary data collected from respondents on assessing the

necessity of human resource planning in an organization. The data were processed and presented

in tables, graphs and other statistical representations using Microsoft excel . Interpretations

given were on processed data collected from the field that sought to establish the Effect Of

Human Resource Planning On Organization (Metro Mass Transit, Accra).

4.1 Gender

This ratio gives enough prove of about 70% male dominance, and therefore agreed to the assertion

that it’s the men’s world. Since the women are represented by 30% (minority) from the table 1

below, it is clear that a lot of men are involved in the operations of the company than the women

(female).

Table 1 Gender

Gender Respondents Percentage%

Male 35 70

Female 15 30

Total 50 100

Source: Field Survey, 2018

42

4.1.1 Age of Respondents

Age forms one of the essential demographic variables on which data is obtained surveys.

Table 2 Age of Respondents

Age Respondents Percentage%

18-25 7 14

26-35 8 16

36-45 21 42

46 and above 14 28

Total 50 100

Source: Field Survey, 2018

Table 2 portrays absolute and percentage distribution of respondent’s age in groups. The Table

shows majority of the employees fall within the age bracket of 36-45 representing 42% of

respondents, with age 46 and above close to it with a percentage of 28%. It also indicated that only

7 employees are within age 18-25. It is also clear that only 8 employees are in the ages of 26-35

and above representing 16%.

In all, the study revealed that the workforce had fair balance of blend of youthful and energetic

with intelligent middle age employees. It also indicated 28% of the workers are nearing to pension

age (46 ands above).

43

4.1.3 Educational background

Table 3 Educational background

Educational level Respondents Percentage %

SSCE/WASSCE 25 50

BECE 13 26

Masters 3 6

HND 3 6

Degree 4 8

Others 2 4

Total 50 100

Source: Field Survey, 2018

The research indicated in Table 3, shows that 25 respondents of the study holds SSCE/WASSCE

Certificates as their highest attained educational level and also the highest in the survey with a

percentage of 50. Whiles that of masters and diploma holders recorded an equal percentage of 6

and also others being the lowest with a percentage of 4 representing 2 respondents. In summary it

is clear that the employees have had a level of formal education or are educated with the least

being BECE holders.

44

4.1. 4 Current Position of Respondents?

Table 4 Current Position of Respondents?

Position Respondents Percentage %

Administrator 3 6

Conductors 14 28

HR officer 5 10

Driver 17 34

Others 11 22

Total 50 100

Source: Field Survey, 2018

From table 4 above, 6% of respondents were administrators, 5 respondents were HR officers

representing 10% of respondents. Out of the 50, 17 were drivers representing 34% and also the

highest. 14 of respondent with a percentage of 28 were conductors and also the second highest to

drivers. 22% of respondents were comprised of others. From the survey it was clear that majority

of the workers at Metro Mass Transit are drivers or conductors.

4.1.5 Tenure with Metro Mass Transit?

The table 5 below present data on the number of years respondents of the study have been with the

organization under study.

45

Table 5 Tenure with Metro Mass Transit

Number of years Respondents Percentage %

less than 3 years 10 20

Between 3 and 5 years 13 26

More than 5 years 27 54

Total 50 100

Source: Field Survey, 2018

Table 5 above indicates that, 10 respondents representing 20% have being working with the

organization for less than 3 years, whiles 265 representing 13 respondents have been with the

organization for 3 to 5 years. 27 of respondents have been with the organization for more than 5

years representing 54%. The survey shows that majority of the workers at Metro Mass Transit

have more than 5years working experience. This can be considered to be favourable to the

organization.

4.2 Awareness of resource planning policy of Metro Mass Transit?

Table 6 Human Resource Planning Policy

HRP Policy Respondents Percentage %

Yes 41 82

No 3 6

Not Sure 6 12

Total 50 100

Source: Field Survey, 2018

From table 6 above, 41 of respondents concluded that they are aware of human resource planning

policy of Metro Mass Transit. 3 respondents representing 6% indicates that they were not aware

46

of human resource planning policy of the organization and 6 respondents with a percentage of 12

were not sure of existing or not existing human resource planning policy of the organization. From

the survey the studies concludes that majority of respondents are aware of the human resource

planning policy, this is a clear indicator of an existing human resource planning policy at Metro

Mass Transit.

4.3 Respondents have undergone training since joining Metro Mass Transit?

Table 7 Training since joining Metro Mass Transit

Training Respondents Percentage %

Yes 50 100

No 0 0

Total 50 100

Source: Field Survey, 2018

Figure 1

Source: Field Survey, 2018

From figure 1 above, all respondents representing 100%, concluded that they all received training

since joining the organization (Metro Mass Transit). This implies that all workers of the

organization receive training or are given the required training on the job.

Training

Yes No

47

4.4 How did the training impact on your work performance

Table 8 Impact of Training on Performance

Training Impact Respondents Percentage %

Excellent 6 12

Very good 15 30

Good 21 42

Better than before training 5 10

No change at all 3 6

Total 50 100

Source: Field Survey, 2018.

Figure 2

Source: Field Survey, 2018

Figure 2 above shows that, 6% of respondent concluded there was no change at all concerning

impact on training but 42% of respondents concluded that impact on training and was good. This

implies that there is proper human resource planning at MMT.

12%

30%

42%

10%6%

IMPACT OF TRAINING ON PERFORMANCE

Excellent Very Good better than before No change at all

48

4.5 Training Content Relevant To Work?

The table and figure below show responses of respondents’ base on the relevant of training on the

job or work.

Table 9 Training Content Relevant To Work

Training Content Respondents Percentage %

Totally Relevant 14 28

Very Relevant 29 58

Not Relevant 3 6

Cannot Tell 4 8

Total 50 100

Source: Field Survey, 2018

Figure 3

Source: Field Survey, 2018

Table 9 shows that, 6% of respondents concludes that training was not relevant to their personal

needs, goals and self-development, whiles 8% of respondents could not tell the relevance of

28%

58%

6%8%

Training Content Relevant

Totally Relevant Very Relevant Not Relevant Cannot Tell

49

training content to the personal needs, goals and self-development. 28% of respondents concluded

that training was totally relevant to their goals and self-development but 58 respondents agreed

that the content of training was very relevant to their personal needs, goals and self-development.

In all it was clear that training content was highly relevant to the needs, goals and self-development

of the workers.

4.6 Relevance of Human Resource Planning to Metro Mass Transit?

Table 10. Relevance of Human Resource Planning to Metro Mass Transit

Company Consider HRP Respondents Percentage%

Very serious 34 68

Seriously 12 24

Somewhat serious 4 8

Total 50 100

Source: Field Survey, 2018

Figure 4

Source: Field Survey, 2018

68%

24%

8%

Human Resource Planning

Very serious Seriously Somewhat serious

50

Table 10. indicates that, out of the 50 respondents 4 representing 8% concludes that the company

(MMT) consider HRP to be somewhat serious whiles 12 respondents with a percentage of 24%

says the company (MMT) considers HRP to seriously.34 respondents being the majority with a

percentage representation of 68% concludes that the organization considers HRP to very seriously.

The out of responses implies that the organization under study considers Human Resource

Planning.

4.7 Challenges faced by Metro Mass Transit in human resource?

Table 11. Challenges faced by Metro Mass Transit in human resource

Challenges Respondents Percentage%

Yes 39 78

No 8 16

Not Sure 3 6

Total 50 100

Source: Field Survey, 2018

51

Figure 5

Source: Field Survey, 2018

From figure 5 above, the survey indicates that, 6% of respondent are not sure the organization’s

challenges in human resource planning.16% of respondents concludes that the organization faces

no challenge in human resource planning whiles 78% of respondents concludes that yes the

organization have challenge in human resource planning. This implies that MMT has challenges

in dealing with human resource.

4.8 Separate department for Human Resource Planning?

The figure below shows data on respondents view on the organization having a department for

human resource.

0%

10%

20%

30%

40%

50%

60%

70%

80%

Yes No Not sure

Series 1

Series 1

52

Figure 6. Separate Department for Human Resource Planning

Source: Field Survey, 2018

From figure 6, all 50 respondents representing 100% concluded that there is a separate department

for human resource planning. The indicates that Metro Mass Transit has a department which deals

with human resource.

4.9 Importance of Human Resource Planning to MMT?

Table 12 Importance of Human Resource Planning to MMT

Is HRP Important Respondents Percentage %

Yes 46 92

No 4 8

Total 50 100

Source: Field Survey, 2018.

0%

20%

40%

60%

80%

100%

120%

Yes No

Separate Department

Separate Department

53

Figure 7

Source: Field Survey, 2018.

Figure 7 above shows that 92% of respondent agrees that human resource planning is important to

the organization with only 4 respondents representing 8% disagreeing to the fact that human

resource is important. This implies that human resource planning is important to Metro Mass

Transit.

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Yes No

Is HRP Important

Is HRP Important

54

CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.0 Introduction

The study investigated the effect of human resource planning on organization a case study of Metro

Mass Transit (Accra). The researcher was interested in finding out how Metro Mass Transit

manage their human resources, evaluate the challenges Metro Mass Transit encounter in managing

their human resources and examine how Metro Mass Transit help deal with these challenges. This

chapter gives a summary of the entire study and also makes conclusions and recommendations for

future research. For these reasons, questionnaires were administered to respondents who were

workers of Metro Mass Transit.

5.1 Summary of Findings

Human resource planning is very important within any human institution, for this reason any factor

that affect or impact on human resource planning to an organization is worth researching. This

study focused on Metro Mass Transit (Accra) and it was discovered that 42% of workers at Metro

Mass Transit were between the ages of 36-45years, with most of them being males. Also most of

the workers had SSCE/WASSCE as their highest level of educational qualification and this was

attributed to the fact that entry into the service requires a person to complete at least Senior High

School, meaning that SHS certificate was the minimum qualification for entry. The study also

identified that most of the workers at Metro Mass Transit were drivers and conductors. Also the

study revealed that majority of the worker had more than 5 years working experience with the

organization which considered to be favourable to Metro Mass Transit. Most workers attested to

the fact that the organization has a separate department for human resource, obtained training

55

which was relevant to their needs and also concludes that the organization considers human

resource to be very serious.

5.2 Conclusion

In conclusion, human resource planning has a strong influence on organizational performance in

projecting future demand of organization and environmental factors which helped to manage

human resource demand as required. Having the qualified personnel in organization helps to

achieve firm’s goals. The implementation of human resource planning leads to employee

productivity, machine efficiency, customer satisfaction, quality and quantity of service delivery.

From the study findings and in relation to the objectives of the research, the researcher also

concludes management practices also contribute drastically to employees desire to remain or quit

their jobs depending on how they are handled. Therefore, with most workers being within the age

36-45, provision of rewards should be addressed to retain them in other to have more experienced

workers in the organization to achieve higher productivity. The study also identified that the

organization has a challenge in dealing with human resource which was link to finance. The

researcher concludes that adequate resource (funds) should be made available to the human

resource department of MMT to enable them to plan and strategize well for the organization since

the success of the organization cannot be achieved without a sound human resource department.

5.3 Recommendations

Based on the findings of the study, the following recommendations were made:

The human resource department should keep developing and implement a comprehensive career

development training programme for the staff. This would enhance organizational culture or

policies, and build up customer relationships through participation and empowerment.

56

The department itself should have human resource plans so that no matter the changes in

management, the plans will still be followed. These plans should be periodically reviewed in order

to adjust to the dynamic environment. This would overcome the issues of excess staff which leads

to increase cost of labour and also constant changing of directors in the organisation as a result of

change in political power.

Since, the central objective of human resource planning in organization is to construct a strategy

of human resources development consistent with the organization’s broader aims of economic

development. The researcher recommends that, human resource planning of Metro Mass Transit

must seek to define the ends and means to achieving their overall organizational goal such as

attracting the number of people required with the appropriate skills, expertise and competencies.

5.4 Suggestions for Further Research

This study focused primarily on the effect of human resource planning on organization, based on

the limitations of this study, the researcher recommends that a further study be undertaken

encompassing more organizations and more indicators that will help unearth the effect of human

resource planning on organizations in Ghanaian. The researcher further suggest if possible a

comparative study of companies with human resource plans and those without be undertaken.