Everything you need to know about career planning. A career is the work a person does in his entire life span.

Another definition of a career is the sequence of jobs that an individual has held throughout his or her working life. “Career Planning” therefore embraces a person’s entire life—the spiritual, social, educational and vocational. It is the process by which one selects career goals and the path to these goals.

The career planning is made up of two words viz. career and planning. A career has been defined as a sequence of positions held by person during the course of a lifetime. It is viewed fundamentally as a relationship between one or more organizations and the individual. As per views of D.T. Hall, “a career consists of a changes in values, attitudes and motivation that occur as a person grows older”.

According to Armstrong, “Career planning shapes the progression of individuals with an organization in accordance with assessments of organizational needs and the performance, potential and preferences of individual members of the enterprise.”


Learn about:- 1. Introduction to Career Planning 2. Meaning and Definition of Career Planning 3. Need 4. Objectives 5. Importance 6. Components 7. Process 8. Advantages 9. Limitations.

What is Career Planning: Meaning, Definition, Need, Importance, Process, Advantages and Limitations

Career Planning – Introduction

Career programs should not be concentrated on the career growth opportunities as the adequate high-level positions may not always be available in the organizations to provide upward mobility to employees. Thus, efforts put in the direction of career planning need to emphasize on those areas that lead to psychological success instead of vertical growth; that is promotion.

A career is the work a person does in his entire life span. Another definition of a career is the sequence of jobs that an individual has held throughout his or her working life. “Career Planning” therefore embraces a person’s entire life—the spiritual, social, educational and vocational. It is the process by which one selects career goals and the path to these goals.

The career planning is made up of two words viz. career and planning. A career has been defined as a sequence of positions held by person during the course of a lifetime. It is viewed fundamentally as a relationship between one or more organizations and the individual. As per views of D.T. Hall, “a career consists of a changes in values, attitudes and motivation that occur as a person grows older”.


As Davis stated, “When people rely largely on luck, however, they seldom are prepared for the career opportunities that arise. Successful people identify their career goals, plan and then take action. For them luck occurs when opportunity meets preparation.” To some extent, a career is a carefully worked out plan for self-advancement and development. On the other hand, planning is a pre-determined course of action. According to Allen, “planning is a trap laid to capture the future”.

It is a mental process involving fore sight, imagination, and sound judgement. It makes planner to think in a logical and systematic manner. It involves choice among various alternative courses of action. If there is one way of doing something, there is no need for planning. As per views of Koontz and O’Donnell, “planning is deciding in advance what to do, how to do it, when to do it, and who is to do it.”

Therefore, it is the process of thinking before doing. There is always need for a new plan to be drawn on the basis of new demands and changes in the circumstances. Planning is based on a future forecast, therefore, it should be reasonable flexible.

The career planning is a continuous process of developing human resources for achieving result. A further impetus to career planning is the need for organisation to make the best possible use of the most valuable employees in a time of rapid technological growth and change because it must be noted individual and organizational careers are not separate.


Thus, it is responsibility of management to design the entire career of new recruits in higher skilled, supervisory and managerial position. At the same time, if an employee is not able to translate his career plan into action within the organisation he may probably leave the organisation.

Career Planning What is Career Planning: Meaning and Definition Provided by Various Authors Like; Wrether, Davis and Armstrong

Planning is the process of deciding the future course of action to be followed in advance before starting the action. Generally, it is wise to think before doing any job. The phrases go true. Think before you speak or look before you leap. It gives the idea to have thoughts before doing anything in our life.

The planning process – (1) identifies the goals or objectives to be achieved, (2) formulates strategies to achieve them, (3) arranges or creates the means required, and (4) implements, directs, and monitors all steps in their proper sequence.

It is applicable for all activities without any exception. Without planning the clear direction would not be there regarding what to do, when to do, how to do, where to do and who would do. If planning is done then there would not be any confusion at all regarding these things. The work would be done as per plan and the result would be achieved properly. Planning is like a light house that shows the path to the performers.

In planning, relating to a particular activity number of options is to be generated, options are evaluated, and finally the best option is selected and implemented. Planning may be for short, medium or long-term depending upon the time during of the planning. The concept of planning also can be applied to career of individual then is called career planning.

Career planning is a systematic process by which one selects career goals and the path for attaining these goals. From the point of view of an organization, career planning helps the employee to plan his/ her career keeping in consideration his/her own capabilities and the needs of the organization.

From the point of view of an employee, in career planning, the employee decides his/her career goals and chalks out the path to attain his/her goal. Career planning may also involve counselling individual employees on their possible career paths. The purpose is to help employees develop themselves by giving them some idea of the direction in which they ought to be heading.

The type of career planning depends upon the target group for whom this has been done. The target groups are young students and existing employees already in job. The term career planning is frequently used both for youth studying in colleges as well for the employees in jobs in an organisation. Students by considering the education, qualities, aptitude decide what they want to be in future in their life after their education.

They have to plan their career in the beginning itself. In such career planning, counsellors, career advisers, teachers, senior friends, parents and family members offer helping hand and guide them in selection of the career. It would enable them to use their abilities, talents and qualities to full extent so that they can make their life happy.


The term career planning and development is also used for employees who are already in jobs in organisations. It is advocated that if the organisations are interested to get the best service of employees then they should plan for training and development programme for their employees more effectively.

This would be beneficial for both employees and organisation as a whole. The developed competencies would be available with the organisation to get the best output. This type of career planning is called organisational career planning.

Career Planning is defined by various authors as follows:

(a) Career planning is the process of establishing career objectives and determining appropriate educational and developmental programmes to further develop the skills required to achieve short-terms or long-term career objectives.


(b) The continuous process of evaluating your current lifestyle, likes/dislikes, passions, skills, personality, dream job, and current job and career path and making corrections and improvements to better prepare for future steps in your career, as needed, or to make a career change.

(c) Career planning is the process by which one selects career goals and the path to these goals. Career development is those personal improvements one undertakes to achieve a personal career plan. Career and management is the process of designing implementing goals, plans and strategies to enable the organisation to satisfy employee needs while allowing individuals to achieve their career goals.

So, due to this career planning and development is necessary to each and every employee in an organisation. The need of career planning and development is felt in each and every organisation of today’s global world.

(d) Career planning refers to the formal programmes that organisations implement to increase the effectiveness and efficiency of the human resources available. Career planning and development is the responsibility of the HR department of the organisation. Every person joining an organisation has a desire to make career as per his potentiality, ability, skills and so on.


Wrether and Davis have defined career planning as, “the process by which one selects career goals and path to these goals.”

According to Armstrong, “Career planning shapes the progression of individuals with an organization in accordance with assessments of organizational needs and the performance, potential and preferences of individual members of the enterprise.”

Career planning is not an event or end in itself, but a continuous process to develop workforce for achieving optimum results. However, it must be noted that individual and organizational objectives and goals are not separate and distinct. An individual who is not able to translate its career plan into action within the organization may probably quit the job. Thus, organizations should help employees in career planning so that both can satisfy each other’s needs.

Career planning is one important aspect of human resource planning and development. Every individual who joins an organisation desires to make a good career for himself within the organisation. He joins the organisation with a desire to have a bright career in terms of status, compensation payment and future promotions.

From the point of view of an organisation, career planning and development have become crucial in management process. An organisation has to provide facilities/opportunities for the career development of individual employees. If the organisations want to get the best out of their employees, they must plan regularly the career development programmes in their organisations.

Career Planning in HRM – Career Planning is Needed for these Reasons: Shortage of Competent Employees, Higher Career Expectation, Lack of Interests in Jobs & Few Others

Career planning is very important in the present time for every organisation. In past there was no much focus on career planning. The level of competition was very less and job opportunities were limited. There was no shortage of working force.


With fast changing business environment, high level of competition and fluctuating demand of products or services the need for talented and motivated manpower was felt strongly. The talented and motivated persons can be procured, developed and retained by the organisation. There are a number of techniques for this purpose. Career planning is one of them and very important.

The need for career planning was felt due to the following reasons:

1. Shortage of Competent Employees:

In the market there is a short supply of skilled and experienced persons. They are in short supply and every company management is looking forward for the competent person for their work. The management is ready to pay higher package even. For search of such person a lot of time and efforts are required. If a trained person is leaving the job, the work is affected substantially.

That might affect the profitability of the business. Such persons should not leave the organisation. They should be retained. To retain them their expectations are to be fulfilled. These can be fulfilled with the help of career planning. So the career planning has become necessary.

2. Higher Career Expectation:

Every employee is interested to do progress in his career. No one is interested to work on one position throughout his career. He wants to climb the ladder in his career over a period of time. If these expectations are not fulfilled then he would start looking for another job where the expectation would be fulfilled. The unfulfilment of expectation leads to dissatisfaction of employees.

To overcome this problem the expectations are to be considered and must be fulfilled. The expectation can be fulfilled to a good extent through career planning. If the person is getting promotion or higher level of jobs over a period of time then that person would be highly satisfied. He would develop positive attitude towards the organisation. The retention of employees would be very easy for the management.

3. Lack of Interest in Jobs:


When employees are assigned the jobs in the beginning they perform the tasks very sincerely. Over a period of time they start losing interest in jobs due various reasons like hard work, poor working condition, poor welfare facility, lack of job security, unfavourable working environment and attitude of management, poor or inadequate salary and inadequate development opportunities.

The level of commitment in job is reduced. The productivity and performance level of employees both go down. Finally, the organisation is the sufferer. There are different techniques those can solve the problem. Out of these, career planning can solve the problems related to career development and opportunities in job. If the interest in job is back due to better career planning then the organisation would be benefitted. That is why the need for career planning has been felt.

4. Wastage of Resources:

The management is not in position to make the show successful despite of availability of all required resources. He is not getting the support from employees, supervisors or managers, when there is no mutual understanding, sense of cooperation and team spirit, and then the friendly environment cannot be created.

In this situation the machines would be running without work, the time would be wastes or production waste would increase. The productivity per person or system would go down. The production cost would go high and in result the profitability of the whole organisation would go down. That is not accepted by the management. The management is interested for optimum utilization of all resource.

It is only possible when cooperation and team spirit is there among employees. Career planning could be one of the methods for creating good working environment of cooperation and team spirit. The management feels in present time it is need of the hour and cannot be ignored.

5. Wrong Job Placement:

In the beginning when a new employee is selected and placed on a job the placement may not be correct or as per his aptitude and skill. While performing the tasks he might not take interest in the job. If it is so then all efforts put in this direction are fruitless. To overcome this problem when the performance appraisal review is there the potentials of the persons are identified.


According to the potential the future assignments are allocated to the persons. Through career planning this can be solved. Person having hope that his talent would be recognized by the management and proper placement would be there in future, he continues in the job. That is why again the need for career planning has been felt.

6. High Level of Employees Turnover:

Whenever a person is satisfied with the prevailing situation he is not going to quit that situation. When he is not happy then only he would be thinking for another option. This is applicable in every sphere of our life. In job when a person is not happy with the job due to various reasons he would definitely think to change the job.

Nowadays the young people are changing the jobs very fast every after six months. If they are not happy over a small one issue the job is changed. It has become very difficult to retain the trained and experienced person. There is great challenge to maintain the satisfied working force.

The major issues for changing the jobs are unhealthy working environment, lack of job security, low pay package and inadequate promotion opportunities. Out of these the promotion or development opportunity cause of turnover can be minimized by career planning. So it is important for the organisation to accept career planning.

7. Low Level of Motivation:

Motivation is the desire to do the work and that comes from the deepest corner of the heart. It gives a trigger to accept the responsibility and do the job. It creates interest to do the work, creates attachment and develops sense of duty. With interest the work would not be there even years may pass.

At workplace the motivation level is to be maintained high. When level of motivation is high the persons would be performing the tasks even without asking. They take initiatives of their own and shoulder the responsibility. This thing is missing then the production quantity, quality, and productivity all are badly affected. There might be many reasons for low level of motivation.


The situation is to be studied and if the de-motivation is due to career development and opportunity for promotion then it can be overcome through career planning definitely.

Career Planning in HRM – Objectives towards Organisation, Management and Employees

In past, the importance of employees was very low. The management use to exploit them as per their requirements. They were asked to work for longer working hours and were paid very less salary. The workers were helpless because they did not have the other option to earn their livelihood. With the development in education, technology, competition the situation has changed drastically.

Now there a large number of trained and educated persons to work and job opportunities have also changed. If a person is not satisfied with one job then frequently they are changing. Over and above the competition in the market has created very tough situation for the management to do the business.

The demand of the products of the company that provides the products or services at lower price, better quality and better service to the customers is increasing. It is very difficult to meet the two ends at this crucial juncture. It is only possible with better performance and productivity of employees and machines. This work can be done by trained, experienced and motivated manpower. This only makes the difference in the market.

The company with talented and motivated manpower is only bringing the products or services at lower price and before others because due to their higher productivity and performance the production or operation costs go down. The need for talented and satisfied workforce is strongly felt by the management.

Career planning is now one of the most important elements of human resource management but still it is also among the most neglected and least developed in many companies. Management of the organisations is trying to do so by using different techniques. The objective is to make them satisfied, develop and retain them for longer period. One of the techniques used for this purpose is career planning.

The objectives of career planning are following:

(a) To attract, develop and retain the competent manpower in the organisation.

(b) To provide adequate development and promotional opportunities.

(c) To develop the potential of employees for future assignments.

(d) To utilize the manpower and other resources more effectively in the organisation.

(e) To provide proper job placement to employees.

(f) To improve the level of job satisfaction of employees at workplace.

(g) To reduce the labour problems and turnover to minimum level.

(h) To improve motivation and morale of employees.

(i) To enhance the level of commitment and attachment towards the organisation.

(j) To create healthy working environment in the organisation.

(k) To improve performance, productivity, profitability and goodwill of the organisation.

These objectives can be fulfilled to a very good extent provided the management takes sincere interest in career planning and its implementation. This has proved successful in motivating and retaining high potential individuals whose future appears to lie within the organisation.

Having a clear idea of the rules of the development and promotion in career, they will be prepared to invest their efforts to meet the requirements of the company and move up in career ladder. There are examples in industry like Tata Group, IBM, HUL, etc., could be achieved these objectives to a very good extent The management had paid special interests on career planning in their companies.

Further, it has created a very healthy working environment of mutual understanding, openness, trust, cooperation and team spirit. This is very helpful for better working and progress of the organisation. The future of career planning seems to be very bright in these companies. That is why every employee is interested to join these companies if they get the chance in future.

Career Planning in HRM – Importance for Employees and Organization/Employer

A. Importance of Career Planning for Employees:

1. Knowledge of Career Opportunities:

The process assists employees to identify various career opportunities (available within the organization) consistent with their own career goals. Once the opportunities are known, the employee can take steps to fulfil his career aspirations and interests.

2. Career Selection:

The career planning requires employees to have clear understanding of their potential, skills and interest. Hence, the process assists employees in selecting career as per their own interests, goals, talents and abilities.

3. Realistic Career Goals:

Knowledge of various career opportunities within the organization and understanding of one’s true potential and interests helps in setting up realistic career goals. It also helps them to avoid impractical expectations from the organization.

4. Career Advancement:

Proper career planning coupled with counselling from HR personnel helps employees to advance in their careers. It facilitates further development of their skills and potential. It also gives them an opportunity to take up higher responsibilities and roles.

5. Improvement in Performance:

The process helps to identify strengths and weaknesses of employees. The employees can take up appropriate training programme to improve on strengths and overcome weaknesses. It enables them to complete the job efficiently. Moreover, efficiency at current job leads to career advancement through promotions and transfers. This will motivate employees to give better performance.

6. Job Satisfaction:

The process helps employees to identify the tasks which they find interesting. Each employee is able to plan his career depending on his own interests, potential & life-goals. It ultimately increases their job satisfaction level & encourages them to perform even better.

7. Higher Self-Esteem:

The process helps employees to identify & achieve their career goals. It boosts their confidence & results in higher self-esteem.

8. Utilization of Employee’s Potential:

This process helps employees in deciding career goals based on their interest and potential. It also helps the recruiters to assign right job to the employees. This ensures that skills and abilities of employees are put to best possible use by the organization.

9. Reduces Boredom and Monotonous Work:

The process offers opportunities of career advancement to employees. They get chance to perform different tasks in different environment with different people. It reduces boredom and monotony experienced by employee at workplace.

10. Higher Standard of Living:

The process aids employees to achieve their career goals. It also offers opportunities of promotion and transfer, which results in higher pay, status and other monetary benefits. This helps employees to increase their standard of living.

B. Importance for the Organization/Employer:

1. Availability of Quality Manpower:

Training and development of employees is an important aspect of career planning. It ensures availability of right kind of manpower to carry out various activities in the organization. Training & development programmes also prepare employees to face new challenges like technological changes in the company in effective manner.

2. Retain Employees:

The process helps to retain competent and talented workforce in the organization. The organization provides opportunities of growth and development to employees within the company itself. Hence, the employees feel satisfied, valuable and stay loyal to the organization. Further, acknowledgement and rewards given for achievements motivate employees to give their best.

3. Succession Planning:

Succession planning is a process of identifying and developing employees within the organization to fill up key positions. The career planning process helps to identify skill, potential and capacity of employees. Thus, suitable and competent employees can be prepared through training and development programmes to take up higher roles and positions in the organization when the situation demands.

4. Introduction of Innovative Ideas:

Various training & development programmes help employees to attain in-depth knowledge related to various aspects of the job. As a result, the employees are able to introduce new ideas, methods and techniques that will help in producing quality goods and services at reduced costs. It also helps the organization to face market competition.

5. Increases Goodwill:

The HR department organizes various training and development programmes in order to improve the quality of manpower. It enables the employees to complete the job in an efficient manner. The improved performance, higher productivity and satisfied employees increase the goodwill of the company.

6. Increased Efficiency:

This process increases efficiency of employees. Trained employees are able to produce quality goods at a faster rate. It results in lower production cost for the organization. Moreover, proper training also reduces occurrence of accidents and abnormal wastage, which ultimately increases profit of the organization.

7. Satisfied and Motivated Employees:

The process requires self-assessment of one’s interests, goals, talents and abilities. This information helps the recruiters to assign jobs and assignments depending on interests and abilities of employees. Hence, employees feel satisfied and valuable as their skills and abilities are utilized optimally.

8. Reduces Labour Turnover:

Job satisfaction is an important factor that motivates employees to stay loyal to the organization. Further, the organizations offer fair opportunities to employees to advance in their careers through internal promotions and deputation. It results in lowering labour turnover.

Career Planning in HRM – Top 6 Components: Career Formulation, Career Path, Performance Appraisal, Promotion Policy, Rewards and Preparation of Corporate Plan

The career planning is very crucial for human resource management in an organisation to meet the needs of the changing time. To improve the effectiveness of the organisation at workplace, in society and in market, special focus is to be given. In past, this was neglected to a very good extent.

The focus of HR manager should be there on the following components of career planning:

1. Career Formulation:

HR plans are relating to different functions of the department. These are to be prepared well in the beginning in discussion with top level management and employees. This would contribute in getting the support of all parties concerned. HR plans can be prepared regarding HR planning, recruitment and selection, training and retraining, career, promotion, wages and incentives, rewards and recognition, development activities, etc.

The plans would make the job of managers very easy to convince employees well in time. Every employee would have clarity regarding HR activities and related aspects. These plans are to be prepared according to the corporate plan. There should be proper matching so the objectives of corporate planning could be achieved within target time.

2. Career Path:

Career path is the route that is to be followed by individual from lower to higher level of jobs. Management now plans job sequences for transfers and promotions of their employees. This makes transfers and promotions systematically with advance information to employees. Career path creates suitable mental makeup of employees for self-development.

This route is to be decided by HR manager in consultation with the top level management, consultants and employees. The path shows from one position to other position how much time is taken and what role or tasks are to be performed so that the person can move from one to other position. Career path is to be decided for different jobs under various departments.

Further, it shows how much time is taken from lower to the last position in total. It is to be communicated to all concerned employees on different jobs. It gives clear picture to every employee regarding his career positions, roles, and time required to get that position. The confusions are avoided and employees knowing every aspect related to career put efforts or play roles for further movement.

The involvement, commitment and performance level of employees improve a lot. That is the ultimate goal of management of the organisation.

3. Performance/Potential Appraisal:

Performance/potential appraisals are part of career planning. This component has been attached with the career planning. The objectives and standards of performance to achieve the objectives are decided in advance. These are communicated to every employee. They are assigned the job to perform.

Round the year their performance standards, quality of work, difficulties faced, competencies shown during work and initiative to shoulder the responsibility for problem-solving and leadership are appraised. The current performance and potential for further assignment both are assessed. Those are giving performance as per the standards and having potential for future assignments are considered for development opportunities or promotion.

4. Promotion Policy:

Everyone is interested for advancement or development of career. No one is interested to work at one position throughout his career. He is looking forward for promotion. When a person is promoted he gets higher salary, status and higher level of responsibility is to be fulfilled. This contributes a lot in development of motivation of employees. It is only motivation that creates interest to shoulder the responsibility willingly.

The involvement of employees increase and finally it leads to higher productivity and performance. This is only the final goal of management. So the promotion policy should be decided by the management and it should be linked with the career planning. To get a promotion or movement from lower to higher position the criteria like time, qualification, experience, achievements, behaviour at work and discipline are decided.

The promotion policy is to be communicated to all concerned in time. Further, it should be implemented fairly. This will make the position of the career of individual in job and contributes to retain the good and talented employees.

5. Development/Rewards or Incentives:

After performance appraisal the appraisal of employees should be reviewed. It is a function of performance management. During review efforts should be there to find out the contribution of employees towards achievement of objectives in terms of performance standards achieved. Quality of work, discipline, behaviour at work and initiative for problem solution, difficulties faced during job performance and deficiencies in competencies.

This would give the clear picture about contribution from employees and finds out the potential for future assignment. On the basis of this review the development activities are to be planned. Those who are lacking in competencies they should be given training.

Those who are performing well having high degree of competencies and faced do difficulty during work should be given opportunities for the new and better assignment. The consistent good performers’ cases should be considered for further performance also. The good performers should be given higher level of salary increments, incentives. Their cases should be considered for rewards and recognition.

This would contribute a lot in satisfying the career needs of the individual and provide them the job satisfaction. Such people would take the interest in the job and would not like to change the job. The retention of employees would be very easy for the management. It should not be ignored/and linked with the career development. It saves time, efforts and money of the organisation and makes the employees available continuously without any interruption.

6. Preparation of Corporate Plan:

The business environment is very risky and uncertain so it is to be scanned at regular interval. It is not done then the efforts may not be put in the right direction. Time-to-time the corporate plans are to be reviewed or prepared. The new trends in the markets must be considered so that the effectiveness of the company should be maintained high. The objectives or targets should be reviewed and adjusted with the changing needs.

For achievement of objectives what jobs are to be performed should be decided. The job description and job specification are to be developed; the expected standards of performance from employees should be planned well in time. This would make the things clear for middle level of management. According to corporate plan the career planning is to be adjusted for future action.

Career Planning in HRM – Process

The career planning process can be managed in the following ways:

(a) Identifying Individual Needs and Aspirations:

Most individuals do not have a clear cut idea about their career aspirations, anchors and goals. The HR professionals must therefore help an employee by providing as much information as possible showing what kind of work would suit the employee most, taking his skills, experience, and aptitude into account.

Such assistance is extended through workshops/seminars while the employees are subjected to psychological testing, simulation exercises etc. The basic purpose of this exercise is to help an employee form a clear view about what he should do to build his career within the company.

Workshops and seminars increase employee interest by showing the value of career planning. They help employees set career goals, identify career paths and uncover specific career development activities.

(b) Analysing Career Opportunities:

Once career needs and aspirations of employees are known, the organization has to provide career paths for each position. Career paths show career progression possibilities clearly. They indicate the various positions that one could hold over a period of time, if one is able to perform well. Career paths change over time, of course, in tune with employee’s needs and organizational requirements.

(c) Aligning Needs and Opportunities:

After employees have identified their needs and have realized the existence of career opportunities the remaining problem is of alignment. This process consists of two steps- first, identify the potential of employees and then undertake career development programs with a view to align employee needs and organizational opportunities.

Through performance appraisal, the potential of employees can be assessed to some extent. Such an appraisal would help to reveal employees who need further training, employees who can take up added responsibilities etc.

After identifying the potential of employees certain developmental techniques such as special assignments, planned position rotation, supervisory coaching, job enrichment, understudy programs can be undertaken to update employee knowledge and skills.

(d) Action Plans and Periodic Reviews:

The matching process would uncover gaps. These need to be bridged through individual career development efforts and organization supported efforts from time to time. After initiating these steps, it is necessary to review the whole thing every now and then.

This will help the employee know in which direction he is moving, what changes are likely to take place, what kind of skills are needed to face new and emerging organizational challenges. From the organizational view point, it is necessary to find out how employees are doing, what are their goals, and aspirations, whether the career paths are in tune with individual needs and serve the overall corporate objectives etc.

(e) Use of Employee Interest Inventories:

Assessment centres and HR departments of many organizations are frequently using employee interest inventories for managing their career paths. One such interest inventory is known as the Strong Vocational Interest Bank (SVIB) which was first developed by K. Strong Jr. Later this interest bank was modified by G. Frederic Kuder and the new interest inventory was based on employee interests with respect to the mechanical, clerical, scientific and persuasive activities of employees in their organizations.

Another inventory frequently used for measuring employee interests as well as skills is the Campbell Interest and Skill Survey (CISS). It can be used not only to assist employees in exploring their career paths and career options but also to help organizations develop their employees or to reassign them because of major organizational changes. The following matrix can be used to depict combinations of employee career interests and skills.

Career Planning in HRM  Major Advantages for Individuals and Organizations

In the last decade, the importance of career planning has been increased due to liberalization of economies across the world. The competition level increased to a great extent from multinational companies. The requirement of higher productivity, performance and quality of work can be fulfilled if the company is maintained talented and motivated manpower. If not it should be do done.

For this purpose career planning helps a lot to meet the requirement for satisfying and retaining employees. There are multidimensional benefits of career planning to performance, employees, organisation and finally to the society.

The major advantages of career planning are explained below:

(a) For Individuals:

Advantages for individuals are the following:

(i) Gives knowledge of various careers development and promotion to employees.

(ii) Encourages employees to avail training and development facilities for skill development.

(iii) Provides help in making career decision according to his lifestyles, traits, preferences, family environment, scope for self-development and aptitude, etc.

(iv) Helps in identification of employees for promotion from within the organisation.

(v) Contributes in motivating, satisfying and providing jobs satisfaction through promotion and development activities.

(vi) Increases sense of responsibility, commitment and attachment to the job and organisation.

(vii) Employee will await his turn of promotion rather than changing to another organisation. This will lower employee turnover.

(viii) Increase productivity and performance on job from employees.

(ix) It satisfies employee esteem needs and develop positive attitude towards organisation.

(b) For Organisations:

A long-term focus of career planning and development would solve many employees’ related problems and effectiveness of manpower and utilization of different resources will be proper.

There are many advantages of career planning to the organisation as a whole and these are explained below:

(i) Helps in attracting and retaining talented manpower in the organisation.

(ii) Satisfies the employee expectations and minimizes employee labour problems.

(iii) Makes easier for management to get support and cooperation of employees.

(iv) By attracting and retaining the people from different cultures, enhances cultural diversity.

(v) The employees’ turnover reduced and help in retaining the employees for long time.

(vi) To create healthy working environment in the organisation.

(vii) Improves performance, productivity, and profitability.

(viii) Provides a fairly reliable guide for manpower forecasting.

(ix) Career planning facilitates expansion and growth of the enterprise.

(x) Finally, the goodwill of the company improves in the market.

Career PlanningLimitations and Problems Faced during Planning a Career

The career planning is very useful in normal time. Further it is very useful when company is interested to increase its production capacity, expansion, entries in new world markets and establishing new factor or opening new branch offices. But it is not effective always. It is not useful in certain cases.

The main problems in career planning are as follows:

(a) Career planning can become unsuitable or smaller organisation. It can be suitable for medium and larger size of organisation when fresh candidates are to be taken at higher level.

(b) In a developing country like India with fast-changing business environment it becomes ineffective in the long run. May not be suitable for over a period of ten years or so. It is to be reviewed time-to-time otherwise the effectiveness would go down.

(c) Career planning is not an effective technique for low profile employees who are unskilled and illiterate. For them the career planning does not have any meaning. It becomes ineffective.

(d) In family business houses in India, family members are interested for fast development than other professional. They do not follow the career planning and career path. The whole process is disturbed and it remains on paper only for them.

(e) Systematically career planning becomes difficult due to impartial implementation when opportunities are going on the basis of person’s favour, nepotism in promotions, political intervention in recruitment and selection of reserve category candidates.

(f) When both wife and husband are working in the same organisation, if one is getting the opportunity for development then as per the transfer policy the case of other also to be considered. The process again becomes ineffective.

(g) When it become necessary to downsize the manpower, the career planning and development process becomes useless. The question of further development does not arise at all.

(h) When career opportunities are declining due to technological changes, the question of career development does not arise. The solution of the problem is not with the career development but it lies with career shift only.

(i) Complication of Career Issues – Occurs when there is an improper alignment of career issues and life stages of employees and their families. For example, if a 50-year-old employee is assigned a job of sales representative, he/she would not be able to perform the assigned job efficiently as compared to a 21-year old employee, who has more stamina and enthusiasm. This is an example of mismatch between career issues and life stage of an employee. Moreover, changing needs of employees throughout their career lifecycle complicate the career issues.