Principles of human resources planning require attention to fundamental concepts such as the importance of HR, integration of human resources and company objectives, efficiency and centralized decision-making. Personnel administration evolved from a primarily process-based function of the 1980s to an all-encompassing organizational component promoting the value of human capital. Human resources planning based on HR guiding principles ensures a well-structured component that synchronizes organizational philosophy and human resources strategy.
One of the beginning principles of HR planning stresses the importance of human resources. Engaging leadership that understands the impact of a functional human resources department is the best way to adhere to this principle. The Encyclopedia for Business, 2nd Edition, states: "Business consultants note that modern human resource management is guided by several overriding principles. Perhaps the paramount principle is a simple recognition that human resources are the most important assets of an organization; a business cannot be successful without effectively managing this resource." One way to realize the importance of HR is to envision an organization with neither a productive workforce nor the type of support that human resources planning and management provides.
Human resources serves the needs of the organization, top to bottom, including every member of its workforce. Therefore, integration of human resources functions with overall organizational goals is an HR principle that cannot be overlooked. The importance of integrating HR and company objectives builds on the previously mentioned principle: stressing the importance of human resources. Human resources activities that are merely an extension of management are signs of poor planning and failure to embrace forward-thinking ideas that improve the company's profitability. An "Entrepreneur" magazine article appropriately titled, "Integrating the Human Resource Function with the Business" reinforces this proposition when it states: "It is not enough for the human resource function to be responsive to management, "customer-oriented," or even aligned as partners with management." That said, a holistic approach to the integration principle of human resources planning ensures human resources will be fully committed to and a part of organizational goals.
Human resources information technology (HRIT) contributes greatly to the functionality and accuracy of human resources activities. Many organizations purchase sophisticated human resources information systems (HRIS) that minimize, or even eliminate, human error in processing employment data. Smaller organizations sometimes rely on outsourcing their HRIS needs for managing processes such as recruitment, payroll and compensation. Technology supports an important principle of human resources planning -- human resources data processing in the most efficient and accurate way possible.
Tying together the principles of human resources planning requires centralizing the HR functions. Systematic processes and organization adds a component to HR that employees will appreciate. A one-stop shop for meeting the needs of the employer and employees unifies human resources activities and adds value to department functionality. Centralization involves the decision-making, staffing and organizing of HR functions; however, it also addresses the need for physical resources such as an applicant processing area, private conference and interviewing space, and storage for employment and medical-related files.