AHSEC - 12: Staffing Important Notes for March 2022 - 23 Exam | Business Studies Class 12 Notes

[AHSEC Class 12, Business Studies Notes, Revised Syllabus, 2022 Exam, Staffing]

Class 12 Business Studies Notes
Unit – 6: Staffing

Objective Questions (1 Mark):

1. What is staffing?

Ans: It is the process of management which is concerned with obtaining and maintaining a satisfactory and satisfied work force. It involves finding the right person for the right job having the right qualification, doing the right job at the right time.

2. Mention various components of staffing.

Ans: a) Recruitment b) Selection c) Training.

3. What do you mean by Selection?

Ans: Selection: Selection can be defined as discovering most promising and most suitable candidate to fill the vacant job position in the organisation. The selection starts after candidates for jobs have submitted their application.

4. What is meant by recruitment?

Ans: It is a process of inducing or attracting the people to apply for the vacant jobs in the organisation. Simply, it means search for candidates who can perform the vacant roles and induce them to apply.

5. Define Training.

Ans: Training means equipping the employees with the required skill to perform the job. The candidates are sent for training so that they can perform the job in the expected manner.

6. Why internal sources of recruitment considered to be more economical?

Ans: Time and costs of training will be low because employees remain familiar with the organisation and its policies.

7. Why recruitment is regarded as a Positive Process and selection is a negative process?        2009, 2011

Ans: Recruitment is Positive Process because it is concerned with attracting qualified and competent individuals to apply for a job while selection is choosing the best among them and rejecting the unsuitable candidates.

8. Name the sources of recruitment used by company.

Ans: Internal Sources and External Sources

9. “Training is a life-long necessity for employees because it helps them to earn better performance.” Comment.

Ans: Benefits of Training:

1)      Helps in increasing productivity of workers and thus leads to increase in profit.

2)      Employs become more efficient in handling machine and thus chances of accidents are minimized.

10. Give the serial order of ‘staffing’ as a function of management.

Ans: It is the 3rd function of management.

11. Is human asset mentioned in the balance sheet?

Ans: No, it is not mentioned in the balance sheet.

12. Staffing in an organization is an estimation of manpower requirement. Comment.

Ans: Manpower planning – It is the very first step of the staffing function. It involves forecasting and determining the future manpower needs of the organization. It is the estimation of the required manpower keeping in view the present and future needs of the organization.

13. State the first step of process of staffing.

Ans: Enumerating man power requirement

14. Name the training method in which the knowledge of many department is important.

Ans: Apprenticeship programme/training

15. Name the function by which managers build an organization through the recruitment, selection and development of individual as capable employees.   

Ans: Staffing

16. Which source of recruitment is suitable for a newly established business – internal or external?

Ans: External Recruitment

17. Which function of management helps in obtaining right people and putting them on the right jobs?

Ans:  Staffing.

18. Name the process concerned with searching for prospective candidates for various jobs in an organization.

Ans:  Recruitment

19. Name the process concerned with searching for prospective candidates for vacant job position.    2012    

Ans:  Recruitment

20. Mention the elements of staffing in appropriate sequence.                 2009

Ans: 1. Recruitment 2. Selection 3. Placement.

21. State the internal sources of Recruitment?                               2009, 2010

Ans: (i) Transfer (ii) Promotion

22. Under what source of recruitment employees get motivated?          

Ans: Internal Source

23. What is job description?

Ans: It is the document describing task, responsibilities and relation of one job with other job.

24. What is job specificati3on?

Ans: It refers to the process of streamlining the attributes of a person required to do a job.

25. What is pre-requisite to selection?

Ans: The pre-requisite to selection is recruitment.

26. State one limitation of incorrect placement.

Ans: Wastage of material, time, effort and energy, resulting in lower productivity and poor quality of product, unsatisfaction among the employees.

27. Any two duties of Human resource management.

Ans: (i) Recruitment i.e., search for qualified people. (ii) Training & Development of employees.

28. Who was looked down by both the workers and the owners?

Ans: Labour welfare officer.

29. Why the importance of employee training has increased?

Ans: When jobs have become more complex.

30. State the step in the process of staffing related with the remuneration given to the employees for the services rendered by them?

Ans: Compensation.

31. What is called the vertical shifting of employees (upward)?

Ans: Promotion

32. Give any one benefit of promotion as sources of recruitment?

Ans: It improves loyalty and satisfaction level of employees.

33. What is an inherent part of human resource management?

Ans: Staffing.

34. What is both a line as-well as a staff activity?

Ans: Staffing.

35. If you wish to plan for a lifetime what is required

Ans: Develop people.

36. Training is a systematic learning process.                      True

**********************************

ALSO READ (AHSEC ASSAM BOARD CLASS 12)

1. AHSEC CLASS 12 BUSINESS STUDIES CHAPTERWISE NOTES

2. AHSEC CLASS 12 BUSINESS STUDIES QUESTION PAPERS (FROM 2012 TILL DATE)

3. AHSEC CLASS 12 BUSINESS STUDIES SOLVED QUESTION PAPERS (FROM 2012 TILL DATE)

4. AHSEC CLASS 12 BUSINESS STUDIES IMPORTANT QUESTIONS

5. BUSINESS STUDIES MCQs

**********************************

Long Questions (2/3/5/8 Marks):

Q.1. What is Staffing? Discuss the features and importance of staffing.        2007, 2010, 2016, 2020

Ans: Meaning: It is the process of management which is concerned with obtaining and maintaining a satisfactory and satisfied work force. It involves finding the right person for the right job having the right qualification, doing the right job at the right time.

In the words of French Wendell, “Staffing or Human resource management is the recruitment, selection, utilisation and motivation of human resource of the organisation”.

Features of Staffing:

1. It deals with human resources.

2. It is concerned with helping employees to develop their abilities.

3. It is concerned with finding the right person for the right job.

Need and Importance of Staffing:            2020

1. Obtaining competent personnel: Proper staffing helps in discovering and obtaining competent personnel for various jobs.

2. Higher performance: Proper staffing ensures higher performance by putting right person on the right job.

3. Continuous survival and growth: Proper staffing ensures continuous survival and growth of the enterprise, research & development, innovation.

4. Optimum utilization of human resources: Proper staffing helps to ensure optimum utilization of human resources. It prevents underutilisation of personnel and high labour costs. At the same time, it avoids disruption of work.

5. Improve job satisfaction: Proper staffing improves job satisfaction and morale of employee through objective assessment and fair rewarding of their contribution.

Q.2. What are the steps involved in the staffing process? Explain briefly?   2012, 2015, 2019

Ans: Steps involved in Staffing Process:

1)      Enumerating man power requirement: Staffing process begins with the estimation of man power requirement which means finding out number and type of employees need by the org. in future.                      2016

2)      Recruitment: After man power planning, the manager tries that more and more people should apply for the job so that the org. can get more choice and select better candidates.

3)      Placement and Orientation: Placement refers to placing the right person on the right job for which he is selected. Orientation refers to introducing the new employees with the existing employees.

4)      Selection refers to choosing the most suitable candidate to fill the vacant job position. It is a negative process because a number of candidates are rejected under it.

5)      Training and Development: The process of training helps to improve the job knowledge and skill of the employees. Training and Development not only motivate the employees but these improve efficiency of work also.

6)      Performance Appraisal: At this step the capability of the employees is judged and for that his actual work performance is compared with the work assigned to him. Performance and career planning: It is a process through which employees get better salary, status, position and also get promotion to higher post.

7)      Compensation: For deciding the compensation the works are evaluated. Compensation must be reasonable and related with the work.

Q.3. What is Human Resource management? Explain the relationship between Staffing and Human resource management.

Ans: Human Resource Management (HRM) can be defined as the set of programs, functions, and activities designed and performed in order to maximize both employee as well as organizational effectiveness. It is a management function that helps organization in recruiting, selecting, training, developing and managing its members. HRM is concern with the management of people in the organization from Recruitment to Retirement.

According to the Invancevich and Glueck, “HRM is concerned with the most effective use of people to achieve organizational and individual goals. It is the way of managing people at work, so that they give their best to the organization”.

Relationship between Staffing and Human resource management

Human resource management is the part of management process which develops and manages the human elements of the enterprise considering their knowledge, skill, creativity and talents. Human resource involves determining the organisation’s need of human resources, recruitment and selecting the best employee, training, developing, competing and rewarding the employee.

Generally when these functions are carried out at small scale level in small organisation, it is called staffing and when these functions are performed at large scale in big organisation in a separate department it is called human resource management.

Q.4. Explain the significance of HRM.

Ans: HRM becomes significant for business organization due to the following reasons:

1.       Objective: HRM helps a company to achieve its objective from time to time by creating a positive attitude among workers. Reducing wastage and making maximum use of resources etc.

2.       Facilitates professional growth: Due to proper HR policies employees are trained well and this makes them ready for future promotions. Their talent can be utilized not only in the company in which they are currently working but also in other companies which the employees may join in the future.

3.       Better relations between union and management: Healthy HRM practices can help the organization to maintain co-ordinal relationship with the unions. Union members start realizing that the company is also interested in the workers and will not go against them therefore chances of going on strike are greatly reduced.

4.       Helps an individual to work in a team/group: Effective HR practices teach individuals team work and adjustment. The individuals are now very comfortable while working in team thus team work improves.

5.       Identifies person for the future: Since employees are constantly trained, they are ready to meet the job requirements. The company is also able to identify potential employees who can be promoted in the future for the top level jobs. Thus one of the advantages of HRM is preparing people for the future.

Q.5. What is recruitment? Explain its process.

Ans: It is a process of inducing or attracting the people to apply for the vacant jobs in the organisation. Simply, it means search for candidates who can perform the vacant roles and induce them to apply.

Process of recruitment

Recruitment is the process of location,  identifying,  and  attracting  capable  applications  for  jobs  available  in  an  organization.  Accordingly, the recruitment process comprises the following five steps:

1.       Recruitment Planning: The first involved in the recruitment process is planning.  Hire planning involves to draft a comprehensive job specification for the vacant position, outline its major and minor responsibilities; the skills, experience  and  qualifications  needed;  grade  and level  of  pay etc.

2.       Strategy Development: Once  it  is  known  how  many  with  what  qualification  of  candidates  are required,  the  next  step  involved  in  this  regard  is  to  device  a  suitable  strategy for  recruitment  the  candidates  in  the  organization.  The strategic considerations to  be  considered  may  include  issues  like  whether  to  prepare  the  required candidates  themselves  or  hire  it  from  outside.

3.       Searching: This step involves attracting job seeders to the organization.  There are broadly two sources used to attract candidates.  These are:

Ø  Internal Sources

Ø  External Sources.

4.       Screening: Screening of selected candidates is an important step in recruitment. Preliminary applications, de-selections tests and screening interviews are common techniques used for screening the candidates.

5.       Evaluation and control: Given the considerable involved in the recruitment process, its evaluation and control is, therefore, imperative. The costs generally incurred in a recruitment process include Salary of recruiters, Cost of time spent for preparing job analysis etc. In view of above, it is necessary for a prudent employed to try answering certain questions like:

a)      Whether the recruitment methods are appropriate and valid?

b)      Whether the recruitment process followed in the organization is effective at all or not?

Q.6. What is internal source of recruitment? Mention its merits and demerits. State the Internal source of recruitment. 2013, 2014

Ans: Under internal source of recruitment, the vacant job positions are filled by using existing employees of the organisation and no outsiders are permitted in internal source.

Advantages of Internal Source of Recruitment:                  2015, 2019

a)      Job Security: It creates a sense of security among employees when they are assured that they would be preferred in filling up vacancies.

b)      Motivation: It motivates the existing employees, for they are assured of the fact that they would be preferred over outsiders when vacancies occur. It gives the scope of development for existing employees of the organisation.                                      2017

c)       Improved Commitment: It promotes loyalty and commitment among employees due to sense of job security and opportunities for advancement.

d)      Less costly and time consuming: Time and costs of training will be low because employees remain familiar with the organisation and its policies.

e)      Less training: As the persons in the employment of the company are fully aware of, and well acquainted wit, its policies and know its operating procedures, they require little training, and the chances are that they would stay longer in the employment of the organisation than a new outsider would.

It is due to the above mentioned advantages, internal source of recruitment is more preferable as compared to external source of recruitment.

Disadvantages of Internal Source of Recruitment                                             2017, 2020

a)      Discourages new ideas: Recruitment of internals leads to inbreeding and discourages new blood with new ideas from entering into the organization.

b)      Lack of suitable employee: It is possible that internal sources ultimately dry up and hence it may be difficult to find suitable persons from within the organization.

c)       Management Bias: As promotion is based on seniority, the danger is that really capable hands may not be chosen. The likes and dislikes of the management may also play an important role in the selection of personnel.

d)      Lack of innovation: Since the learner does not know more than the lecturer, no innovations worth the name can be made. Therefore, on jobs which require original thinking, this practice is not followed.

e)      Generally for middle level managers internal source is rarely used, however for promoting blue collar workers to white collar jobs internal source is more desirable.

Methods of recruitment under internal source:

a)      Transfer: Transfer means shifting of employees from one job to another at the same level of authority. Generally with the transfers there is no change in the rank, responsibilities and prestige. Only the place of working is changed.

b)      Promotion: Promotion refers to shifting of employees from one job position to other with higher level of authority. In promotion the authority level, the rank, responsibilities and prestige improve or increase. Generally with the promotions there is increase in salary also.

c)       Recommendation by Present Employees: The present employees of an enterprise may be informed about likely vacant position. The employees recommend their relations or persons intimately known to them. Management is relieved of botheration for looking out prospective candidates. The persons recommended by the employees will be suitable for the job because they know the needs & requirement of various positions.

Q.7. What is external source of recruitment? Mention its merits and demerits. State five methods for external recruitment.                      2008, 2012, 2014

Ans: External source of Recruitment: When the candidates from outside the organisation are invited to fill the vacant job position then it is known as external recruitment. Whenever large numbers of job positions are vacant then external recruitment is preferred.

Advantages of External sources of recruitment:

a)      Fresh ideas: It will help in bringing new ideas, better techniques and improved methods to the organisation.

b)      Wider choice: The external sources provide a wider choice of personnel to choose from.

c)       Qualified personnel: Required qualifications are available for the external sources. The entry of qualitative persons from outside will be in the interest of the organisation in the long run.

d)      Competitive Spirit: Competitive spirits is available by external source. The suitable candidates with skill, talent, knowledge are available from external sources.

e)      Minimised cost: The cost of employees will be minimised because candidates selected in this method will be placed in the minimum pay scale.

Limitations of External sources of recruitment:

a)      Lowering morale of employees: Motivation, morale and loyalty of existing staff are affected, if higher level jobs are filled from external sources. It becomes a source of heart-burning and demoralisation among existing employees.

b)      Costly process: It is more expensive and time-consuming. Detailed screening is necessary as very little is known about the candidate.

c)       Expenses on training: Orientation and training are required as the employees remain unfamiliar with the organisation.

d)      High replacement cost: If new entrant fails to adjust himself to the working in the enterprise, it means yet more expenditure on looking for his replacement.

Methods of External sources of recruitment are:

a)      Direct Recruitment: Sometimes the organisations paste notice at the gate of their factory or workshop stating the vacant job positions. The people who are interested in those jobs walk in for interview. This method of external recruitment is called direct recruitment.

b)      Advertising on Television: A new trend of external recruitment is telecast on various channels regarding vacant job position. They telecast the requirement of the job along with the required qualification.

c)       Employment Exchange: Employment exchange act as middlemen between the job-seekers and the organisations who have vacant job positions. The candidates leave their bio-data and details of their qualifications with the employment exchanges and when the organisations approach employment exchanges for suitable candidates.

d)      Placement agencies and Management consultant: Placement agencies provide nation-wide service of matching demand and supply of work force. These agencies invite the bio data and record from various job seekers and send them to suitable clients.

e)      Web Publishing: In internet there are certain websites such as naukri.com and monster.com provides information regarding job seekers and companies which have vacant job position.

f)       Campus recruitment: Sometimes the senior managers of the organisations visit various professional colleges and institutions to get fresh candidates with latest technological know how. This is called campus recruitment.

Q.8. What do you mean by Selection? Briefly describes the steps in the selection process?

Ans: Selection: Selection can be defined as discovering most promising and most suitable candidate to fill the vacant job position in the organisation. The selection starts after candidates for jobs have submitted their application.

The selection process usually includes a number of steps:

1. Preliminary screening: In this step the candidates who do not fulfill the required basic qualification are eliminated.

2. Selection test: Though these tests, ability and skill of the candidates are measured. Common types of tests conducted by organisation are Intelligence test, Aptitude test, Personality test, Trade test, Interest test.

a)      Intelligence test is conducted to check the efficiency level of the employee in performing the job.

b)      Personality test is conducted to find out the human behaviour of the candidate.

c)       Trade test is conducted to check the basic knowledge and skill of the candidate related to vacant job position.

d)      Interest test is conducted to find out the type of job in which candidate has more interest.

e)      Aptitude test is conducted to find the potential of learning new jobs and techniques.

3. Employment interview: The candidates who qualify the test are called for interview.

4. References & background checks: After the candidate declared successful in the interview then information related to back ground, social relation, and character are indentified.

5. Selection decision: The candidate who passed the test, interview, reference check is included in selection list & the manager’s select most suitable candidate from the list.

6. Medical examination: Before giving appointment letter, the candidates are selected for medical fitness.

7 Job offer: For job offer the appointment letter in hand over & a date in the appointment letter is mentioned on which one has to report for the duty.

8. Contract of employment: After the acceptance of job offer by a selected candidate required to sign various documents.

Q.9. What is training, Education and development? Discuss any two advantages of training and development to the organization and to the employees?                      2008, 2012, 2020

Ans: Training: Training means equipping the employees with the required skill to perform the job. The candidates are sent for training so that they can perform the job in the expected manner.

Education: Education focuses on personal growth of the employees. It is concerned with improving the general knowledge and understanding of the employee.

Development refers to overall growth of the employee. It focuses on personal growth and successful employee development. Development is much wider in concept as compared to training as training is only one part of development.

Advantages to the Organization:

(1) Improving Performance: Training helps in increasing productivity of workers and thus leads to reduction in cost and increase in profit.

(2) Attitude formation: It helps in developing positive attitude of the employees towards the organisation and motivates them to take the initiative.

(3) Helps to adapt changes: Training helps the employees to adopt environmental changes.

(4) Reducing wastage of resources: Through the superior level training, the problem of wastage of materials can be avoided.

(5) Reduced learning time: A trained employee takes less time in learning the job as compared to untrained employee.

Advantages to the employees:

1)      Better Career Options: Improved skill and knowledge due ton training bring better career options for employees.

2)      Earning More: Improvement in efficient performance of employees helps the employees to earn more.

3)      Boost up the Moral: Training increases the satisfaction and moral of employees.

4)      Less chance of accidents: Training makes employees more efficient so there is less chance of accidents.

5)      Job satisfaction: Perfection in work gives job satisfaction of the employees. Employees will give maximum to the organisation if he satisfied with his job.

Q.10. What do you mean by on the job training? Mention its various methods.                                2011

Ans: On-the-job training: When the employees are trained while they are performing the job then it is known as On-the-job training. Under this method the employees learn by doing. This method is suitable only for technical jobs and the advantage of this method is employees can learn the practical problems while working on the job. The biggest disadvantage of on-the-job training is that it results in wastage of resources.

Commonly used methods used for on the job training are:

a)      Apprenticeship programme/training: The workers seeking to enter skilled jobs are sent for apprenticeship training programme which is an on-the-job method of training. In the Apprenticeship Programme, a master worker or a trainer is appointed who guides the worker or learner regarding the skill of job. It is suitable for people seeking to enter skilled traits for example – plumbers, electricians, iron worker etc.

b)      Job rotation: Job rotation is an on-the-job method of training in which the employee is shifted from one job position to other for short interval of time to make him aware of requirements of all the job positions. For example, in banks the employees are shifted from one counter to other so that they learn the requirements of all the counters.                                                      2017

c)       Internship: Internship is an agreement between the professional institutes and the corporate sector when professional institutes send their students to various companies so that they can practice the theoretical knowledge acquired by them through professional institutes. Under this training programme the organizations get people with fresh ideas and latest knowledge and the companies have to pay very less amount of salary which is called stipend.

d)      Coaching: In this method superior guides and instructs the trainee as a coach. He guides employee, how he can over-come his weakness and make his strength more strong, superior suggest the changes required in the behaviour and performance of the employee.

e)      Induction or orientation training: Induction or orientation is a process of receiving and welcoming an employee when he first joins the company and giving him the basic information he needs to settle down quickly and happily and start work.

Q.11. What do you mean by off the job method of training? Enumerate various method of off the job training?  2016, 2018, 2020

Ans: Off-the-job training: Off-the-job training means training the employees by taking them away from their work position which means employees are given a break from the job and sent for training. This method of training is more suitable for managerial job positions as conferences, seminars are held to train the managers.

Methods of Job Training:

a)      Conferences/class room lectures: It is a highly structured way to convey a message or specific information with the help of audio-visual aids formal classroom sessions of training can be made more interesting.

b)      Vestibule School: Vestibule school means duplicate model of organization. Generally when the expensive and delicate machineries are involved then employers avoid using on-the-job methods of training. A dummy model of machinery is prepared and instead of using original machinery employees are trained on dummy model.

c)       Films: Showing films is also a very effective method in certain cases. Films can give important information on various techniques through demonstrative skill.

d)      Case Study: Under this method managers discuss real problems that they have faced and trainees are asked to give their suggestions and alternatives to solve that problem. Case study helps the trainees to decision under real work situation.

e)      Computer Modeling: Under this method a computer is programmed to show real problems of job and how to overcome such problems. In this method the employees can learn a lot without incurring much cost.

f)       Programmed instructions: Under this method a learning package s prepared to give general instructions and specific skills. This information is broken into sequence of meaningful units.

Q.12. Differentiate between training, education and development on the bases of purpose and focus.                2016

Training

Development

Education

It is a process of imparting knowledge for doing specific job.

It is a process of learning opportunities designed to help employees grow.

It is concerned with improving the general knowledge and understanding of employee.

It is a job oriented process.

It is a carrier oriented process.

It is a knowledge oriented process.

It focuses on technical skills.

It focuses on conceptual and human ideas.

It focuses on logical ability.

The basic purpose of training is to enable the employees to do job or home intended job.

The basic purpose of development is to enable the growth of the employees.

The basis purpose of education is to help the employees to improve their personal ability.

It is imparted for a fixed period.

It is a continuous and never ending process.

It is a continuous process.

Q.13. Differentiate between internal source of recruitment and external source of recruitment?

Basis

Internal Sources

External Sources

Meaning

it is a recruitment of employees from Within the existing employees of the org.

It is a recruitment of employees from outside the org.

Basis

Generally seniority is the bases of Recruitment.

Generally recruitment is based on merit. It provides wider choice in the Recruitment of employees.

Choice

It gives limited choice in the Recruitment of employees.

It provides wider choice in the Recruitment of Employees.

Economy

It is less expensive and less time Consuming.

 

I t is a more expensive and more time

Consuming.

Quality

Choice is restricted to available pool of Talent only.

Best and talented employees can be Selected.

Time Involve

Comparatively less time is required for Filling the vacancies.

It requires more time to fill the Vacancies.

Q.14. Differentiate between Recruitment and Selection.                             2007, 2015, 2018, 2020

Basis

Recruitment

Selection

Meaning

It is the process of searching and Motivating candidates to apply for Job.

It is that process of staffing which rejects the unsuitable candidates and choose the suitable candidates.

Purpose

The basic purpose is to create a large pool of applicants for the jobs.

The basic purpose is to eliminate as many candidates as possible until the most suitable candidates get finalized.

Scope

Recruitment is restricted to the extent of receipt of application.

Selection includes sorting of the candidates.

Positive /Negative process

Recruitment is a positive process. As more and more applicant are sought to be attracted.

Selection is a negative process as more applicants are rejected than selected.

Criteria

It gives freedom to applicants. Any one is free to apply.

It gives very little freedom to applicants. Applicants must meet the selection criteria.