An integrated approach for manpower planning in the service sector

The manpower planning problem receives considerable attention by the management of service organizations because they are typically labor intensive. Not only must optimal staff sizes be determined over an extended horizon, but optimal staff schedules which assign labor to tours of duty and specific tasks, given the available staff size, must also be found. Adding to the complexity arising from the interrelatedness of the staff-sizing and staff-scheduling problems is the existence of the conflicting multiple objectives of minimizing costs and maximizing customer service. The few methodologies reported in the literature which treat the complete manpower planning problem as stated above have several shortcomings. Some techniques place a severe strain on computational capabilities. Also, these methods confound the specification of the goal levels with the analysis of the relative goal weightings. Often the specification of the desired goal levels is made at a different level in the organizational hierarchy than the specification of the relative importance of the various goals. This paper suggests an approach which overcomes these shortcomings. The methodology utilizes a simulation model with an imbedded heuristic procedure for the staff-scheduling problem to identify realistic aggregate staff-size goals to be used in a multiple-objective staff-sizing model. The methodology is applied to the manpower planning problem of a large sectional center post office and the managerial benefits are discussed.