2nd PUC Business Studies Question Bank Chapter 6 Staffing

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Karnataka 2nd PUC Business Studies Question Bank Chapter 6 Staffing

Question 1.
What is stalling? ( 1 Mark )
Answer:
Staffing is the managerial function of filling and keeping filled the positions in the organisation structure.
In simple, staffing is ‘putting people to jobs’. It begins with identification of work force requirement, which is followed by recruitment, selection, placement, training, promotion, performance appraisal and development of work force.

Question 2.
Explain the importance of staffing. ( 4 Marks )
Answer:
Staffing function of management finds the right people for the right job. The right people can take the business to the top. Proper staffing offers the following benefits to the organisation.

Staffing function of management helps in discovering and obtaining competent personnel for various jobs.
Staffing function contributes for higher performance by putting right person on the right job.
It ensures continuous survival and growth of the enterprise.
It helps to ensure optimum utilization of human resources by avoiding the situations of both the excess and shortage of personnel.
It improves job satisfaction and morale of employees through objective assessment and fair reward for their contribution.
(Write any four points)

Question 3.
Explain the stages (or steps) in staffing process. ( 8 Marks )
Answer:
The prime concern of the staffing function in the management process is the timely fulfillment of the manpower requirements within an organisation. To ensure this, staffing process involves the following stages (steps):

(1) Estimating the man power requirements: It involves determining the number of persons and type of persons having desired qualifications, skills and experience required for the performance of various jobs in the organisation. For this purpose work load analysis and work force analysis are made.

(2) Recruitment: It is the process of searching the candidates for employment and stimulating them to apply for jobs so that the right people in right number can be selected. For this purpose, both internal sources (such as transfer and promotion) and external sources (such as advertisement in print and electronic media, campus recruitment etc) of recruitment may be explored. For fresh talent and wider choice external sources are used.

(3) Selection: Selection is the process of choosing the suitable candidates from among the job applicants to fill various jobs in the organisation. It involves testing the ability, knowledge and skill of the applicants through selection tests and interviews. Those who are able to successfully negotiate the test and the interview are offered an employment contract through an appointment letter.

(4) Placement and orientation: After selection, the employee is given the charge of the job for which he has been selected (i.e., placement). After this, the selected employee is taken around the work place, introduced to other employees and informed about the rules and policies of the organisation (i.e., orientation).

(5) Training and development: Training is the process by which the aptitudes, skills and abilities of employees to
perform specific jobs are increased. Both on the job training methods such as apprenticeship training, internship training, job rotation etc. and off the job training methods such as classroom lecture, case studies etc. are used to train up employees.

To attract and retain talented people, organizations will offer the opportunities for career advancement to their members by providing learning opportunities. Human resource development department will take care of this issue.

(6) Performance appraisal: Performance appraisal involves evaluating an employee’s current and / or past performance as against certain predetermined standards. Usually this process will include defining the job,
appraising performance and providing feedback.

(7) Promotion and career planning: Managers need to take measures to provide promotional avenues for their employees. They must encourage employees to grow and realize their full potential. Promotions are an integral part of people’s career. Promotion results in more pay, responsibility and job satisfaction.

(8) Compensation: Payment of adequate compensation or remuneration to the workers is one of the important aspects of staffing. Workers tender their services for compensation in the form of wages or salary and additional benefits like bonus, commission etc. A properly developed compensation system enables an employer-to attract, obtain, retain and motivate people of required calibre (i.e., ability or talent or capacity) and qualification in his organisation.

Thus, as a process, staffing includes acquisition, retention, development, performance appraisal, promotion and compensation of its human resource. A well organized staffing process results in quality staff-the real assets of the organisation.

Question 4.
State any one stage of staffing process. ( 1 Mark )
Answer:

Estimating the manpower requirements.
Recruitment
Selection

Question 5.
What is placement? ( 2 Marks )
Answer:
Placement refers to the employee occupying the position or post for which the he / she has been selected.

Question 6.
What is orientation? ( 2 Marks )
Answer:
Orientation is introducing the selected employee to other employees and familiarizing him / her with the rules and policies of the organisation.

Question 7.
What is recruitment? ( 1 Mark )
Answer:
Recruitment refers to the process of finding possible candidates for a job or a function.
OR
Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in an organisation.

Question 8.
Explain the internal sources of recruitment. ( 4 Marks )
Answer:
There are two important internal sources of recruitment.
They are:

Transfers
Promotions

(1) Transfers: It involves shifting of an employee from one job to another or from one department to another, without a substantive change in his status, responsibility and salary. Transfer is a good source of filling the vacancies with employees from overstaffed departments. It is practically a horizontal movement of employees. Shortage of suitable personnel in one branch may be filled through transfer from other branch or department. At the time of transfer, it should be ensured that the employee to be transferred to another job is capable of performing it.

(2) Promotions: Business enterprises generally follow the practice of filling higher jobs by promoting employees from lower jobs. Promotion leads to shifting an employee to a higher position, carrying higher responsibilities, facilities, status and pay. Promotion is a vertical shifting of employees. Promotion is given on the basis of knowledge, experience and skill of an employee. Promotion helps to improve the motivation, loyalty and satisfaction level of employees.

Question 9.
State any one internal source of recruitment. ( 1 Mark )
Answer:

Transfers
Promotions
(Write any one point)

Question 10.
What is transfer?
(Or)
Give the meaning of ‘transfer’ as an internal source of recruitment. ( 1 Mark )
Answer:
Transfer refers to shifting of an employee from one job to another or from one department to another, without a substantive change in his status, responsibility and pay.

Question 11.
What is promotion?
Answer:
Promotion refers to shifting an employee to a higher position, carrying higher responsibilities, facilities, status and pay.

Question 12.
State any one merit of internal sources of recruitment. ( 1 Mark )
Answer:
Merits of internal sources:

Employees are motivated to improve their performance.
It simplifies the process of selection and placement.
Filling jobs internally is cheaper.
(Write any one point)

Question 13.
State any one limitation (i.e., demerit) of internal sources of recruitment. ( 1 Mark )
Answer:
Limitations of internal sources:

It reduces the scope for induction of fresh talent.
A new enterprise cannot use internal sources of recruitment.
Frequent transfer of employees may reduce the productivity.
The spirit of competition among the employees may be hampered.
(Write any one point)

Question 14.
Explain the external sources of recruitment. ( 8 Marks )
Answer:
External recruitment provides wide choice and brings new blood in the organisation. The commonly used ‘external sources of recruitment are:

(1) Direct recruitment: Under the direct recruitment, a notice is placed on the notice board of the enterprise specifying the details of the jobs available. Job seekers assemble outside the premises of the organisation on the specified date and selection is done on the spot. The practice of direct recruitment is followed usually for casual vacancies of unskilled or semiskilled jobs.

(2) Casual callers: Many qualified persons visit the offices of reputed companies and apply for jobs on their own. Management preserves such unsolicited applications and the candidates may be called for interview, whenever the need arises.

(3) Advertisement: Advertisement of vacancies in newspapers and trade journals, is one of the popular external sources of recruitment. The advertisements give information about the number of vacant posts, nature of jobs, required qualifications, skills needed and remuneration offered for the jobs. Advertisement brings response from many number of suitable candidates and gives the management a wider range of candidates for selection.

(4) Employment Exchanges: Employment exchanges run by the government are an important source of recruitment of personnel for unskilled and skilled operative jobs. Job seekers register their names with the employment exchanges. The employment exchanges supply the names of suitable persons to the business enterprises when there is a requisition from them.

(5) Placement Agencies and management consultants: Placement agencies are private agencies which collect bio-data of a large number of candidates and recommend suitable candidates to the business enterprises on then- request. Management consultancy firms help the organizations to recruit technical, professional and managerial personnel. They specialize in middle level and top level executive placements.

(6) Campus recruitment (Educational institutions): Universities, colleges and institutes of management and technology are a popular source of recruitment for technical, professional and managerial jobs. These institutions offer an opportunity to the business enterprises to conduct interview of the qualified students for various jobs in their campus, i.e., campus recruitment.

(7) Recommendations of employee: Applications introduced by present employees or their friends and relatives may also prove to be a good source of recruitment.

(8) Labour contractors: Labour contractors are generally employees of the organisation, who maintain close contacts with labourers and can provide the required number of unskilled workers at short notice.

(9) Advertising on television: Telecasting of vacant posts over television is a widely used source of recruitment these days. Information about number of vacant posts, required qualifications, job description and remuneration offered etc. is given in these advertisements. Generally, this type of telecasting is popular in big cities.

(10) Web publishing: Internet is becoming a common source of recruitment these days. There are certain websites which are specifically meant for providing information about both job seekers and jobs available. Websites such as www.naukri.com, www.jobstreet.com etc. are very commonly visited by job seekers and the organizations searching for suitable people.

Conclusion: Thus, different external sources are available for recruitment of staff. The management must select an appropriate source for recruiting its staff.

Question 15.
Briefly explain any four external sources of recruitment. ( 4 Marks )
Answer:
(1) Direct recruitment: Under the direct recruitment, a notice is placed on the notice board of the enterprise specifying the details of the jobs available. Job seekers assemble outside the premises of the organisation on the specified date and selection is done on the spot. The practice of direct recruitment is followed usually for casual vacancies of unskilled or semiskilled jobs.

Question 16.
State any one external source of recruitment. ( 1 Mark )
Answer:

Advertisement
Employment exchanges
Campus recruitment
Placement agencies and management consultants.

Question 17.
State any one merit (or advantage) of external source of recruitment. ( 1 Mark )
Answer:
Merits of external sources of recruitment:

Qualified personnel: It helps the management to attract qualified and trained people.
Wider choice: Management gets wider choice while selecting the people for employment.
Fresh talent: It helps to bring new blood with fresh talent.
Competitive spirit: It makes the present employees to work hard to compete with the outsiders.
(Write any one point)

Question 18.
State any one limitation (or demerit) of external source of recruitment. ( 1 Mark )
Answer:
Limitations of external sources of recruitment:

Dissatisfaction among existing staff: It may lead to dissatisfaction and frustration among existing employees since chances of promotion are reduced.
Lengthy process: It takes a long time to initiate the selection process.
Costly process: Giving advertisement and processing of applications is a costly process.
(Write any one point)

Question 19.
What is campus recruitment? ( 1 Mark )
Answer:
Recruitment of personnel from the campus of various educational institutions is called campus recruitment

Question 20.
As a HR manager, list out any ten sources of recruitment to fill in the vacancies in your organisation. ( 5 Marks )
Answer:
As a HR manager of an organisation, to fill the vacancies, I would look into the following sources of recruitment.

I. Internal Sources

Transfers
Promotions

II. External sources

Direct recruitment
Casual callers
Advertisement
Employment exchange
Placement agencies and management consultants.
Campus recruitment (Educational institutions)
Recommendations of employees
Labour contractors
Advertising on television
Web-publishing

Question 21.
Give the meaning of selection.
Answer:
Selection is the process of choosing the best person from among the job applicants for a job.
It is the process of selecting the best and eliminating the rest.
OR
According to Dale Yoder, “selection is the process of choosing from among the candidates from within the organisation or from the outside, the most suitable person for the current position or for the future position”.

Question 22.
Describe the steps involved in selection process,
(or)
Explain the procedure for selection of employees. ( 8 Marks )
Answer:
Selection is the process of choosing the best person from among the job applicants. It is said that “selection is the process of elimination”. The important steps in the process of selection are:

(1) Preliminary screening: First, the applications received from the job applicants are examined. The examination (or screening) of applications helps to ascertain whether the candidate fulfills the minimum eligibility conditions or not. The purpose of screening is to prepare a list of eligible candidates who are to be evaluated ( further. Through this process, unqualified candidates are eliminated.

(2) Selection tests: After screening the applications, eligible candidates are asked to appear for selection tests. Selection tests are tests made to discover and measure the intelligence, skill and ability of the candidates. Passing the test will make the candidate eligible for further consideration.

The following tests are usually conducted for selection of employees:

Intelligence tests
Aptitude test
Trade test (Proficiency test)
Personality tests
Interest tests.

(3) Employment interview: Those candidates who were qualified in the selection tests are called for interview. Interview is a formal, in-depth conversation conducted to evaluate the candidate’s suitability for the job. The role of the interviewer is to seek information and that of the interviewee is to provide the same. It helps the employer to evaluate the candidate regarding his / her personality, smartness, intelligence, attitude etc. Those candidates who come out successfully in the interview are considered further.

(4) Reference and background checks: The employer tries to verify information and check the background of applicants. This, helps to know the additional information such as character, honesty, loyalty and such other qualities of candidates. For this purpose, information may be obtained and verified from the heads of educational institutions where the candidates have studied or from reference or from their previous employers.

(5) Selection decision: After clearing all the tests, interviews and reference checks, the right candidate will be selected for the job. The final decision to select the candidate is taken after getting the opinion of concerned manager of the department where the selected candidate has to work.

(6) Medical examination: After the selection decision, but before the job offer is made, the candidate is required to undergo a medical fitness test. The job offer is given only to those candidates who are declared physically fit for the job.

(7) Job offer (Issue of appointment letter): Candidates finally selected are issued a formal appointment order by the organisation. It is a job offer and contains the details like nature of the job, the remuneration, pay scale, a date by which the candidate must report on duty and other terms and conditions relating to employment.

(8) Contract of employment (Acceptance of job offer): If the selected candidate decides to join the organisation, he has to report to the concerned authority and formally join the organisation by giving his consent (acceptance) in writing. After this, certain documents (the attestation form and a contract of employment) need to be executed by the employer and the candidate.

Thus, starting from preliminary screening till the job offer, in each step of a selection process, every effort is made to eliminate some of the candidates in order to select the best persons. Therefore, it is rightly remarked that selection is the process of elimination.

Question 23.
Mention the first step in selection process. ( 1 Mark )
Answer:
Preliminary screening is the first step in selection process.

Question 24.
Explain any four types of tests used for selection of employees.
(OR)
Explain the different types of selection tests. ( 4 Marks )
Answer:
Selection tests are tests which attempts to measure certain characteristics of individuals.
Important tests used for selection of employees

Intelligence tests: It is a psychological test which is used to measure the level of intelligence quotient (I.Q.) of an individual. It is an indicator of a persons learning ability or the ability to make decisions and judgements.
Aptitude test: It is a test which tries to measure individuals potential for learning new skills. It indicates a person’s capacity to develop in future.
Personality tests: Personality tests are the tests which discover and measure the overall qualities of a person such as emotional reaction, maturity levels, confidence, courage etc.
Trade test (Proficiency tests): These tests measure the existing skills of an individual. They measure the level of knowledge and proficiency in the area of professions or technical training.
Interest tests: Interest tests are the tests used to know the pattern of interests or involvement of a person in a particular kind of work. These tests suggest the nature of job liked by a candidate which may bring him job satisfaction.
(Write any four points)

Question 25.
State any one type of selection tests. ( 1 Mark )
Answer:

Intelligence tests
Interest tests
Personality tests

Question 26.
What is meant by ‘Interview’ in selection process? ( 1 Mark )
Answer:
Interview is a formal, in depth conversation conducted to evaluate the applicant’s suitability for the job.

Question 27.
What is training? ( 1 Mark )
Answer:
Training is any process by which the aptitudes, skills and abilities of employees to perform specific jobs are increased.

Question 28.
What is the meaning of ‘Development’ in staffing process? ( 1 Mark )
Answer:
Development refers to the learning opportunities designed to help employees grow.
OR
Development means growth of individual in all respects.

Question 29.
State any one difference between training and development. ( 1 Mark )
Answer:

Training	Development
1. It is a process of increasing knowledge and skill.	1. It is a process of learning and growth.
2. It is to enable the employee to do the job better.	2. It is to enable the overall growth of the employee.
3. It is a job oriented process.	3. It is a career oriented process.

(Write any one point)

Question 30.
Explain the benefits of training and development to the organisation and to the employees. ( 8 Marks )
Answer:
Training and Development, being an attempt to improve the current or future employee performance by increasing employees ability to perform through learning, offers the following benefits:

I. Benefits of training and development to an organisation are:

Training is a systematic learning, always better than hit and trial methods.
It enhances employee productivity both in terms of quantity and quality, leading to higher profits.
Training equips the future manager who can take over in case of emergency.
Training increases employee satisfaction and morale and reduces absenteeism and employee turnover.
It helps in obtaining effective response from employees to fast changing environment – technological and economic.
A well trained employee needs less supervision. This results in reduced cost of supervision.

II. Benefits to the employees.

Improved skills and knowledge due to training lead to better career of the individual.
Increased performance by an individual help him to earn more.
Training makes the employee more efficient to handle machines. Thus, it reduces the chances of industrial accidents.
Training increases the satisfaction and morale of employees.

Question 31.
How does training and development of employees benefit the organizations? ( 4 Marks )
Answer:
Benefits of training and development to an organisation are:

Training is a systematic learning, always better than hit and trial methods.
It enhances employee productivity both in terms of quantity and quality, leading to higher profits.
Training equips the future manager who can take over in case of emergency.
Training increases employee satisfaction and morale and reduces absenteeism and employee turnover.
It helps in obtaining effective response from employees to fast changing environment – technological and economic.
A well trained employee needs less supervision. This results in reduced cost of supervision.

Question 32.
Explain the four methods of on the job training and any four methods of off the job training. ( 8 Marks )
Answer:
Training is any process by which the aptitudes, skills and abilities of employees to perform specific jobs are increased. There are various methods of training, they are:

I. On the job training methods: (Where workers learn by doing the work under the guidance and supervision of superiors).

(1) Apprenticeship programmes: Apprenticeship or ‘Understudy’ is a method of training under which the trainee is required to work under the supervision and guidance of a master worker (an expert) for a specified period of time. This method helps the employees to know about the complications and complexities of the job. This type of training is commonly used to train up employees like electricians, plumbers, iron workers or carpenters who require a higher level of skill.

(2) Coaching: Under this method, the superior guides and instructs the trainees (employees) as a coach. The superior familiarises the employee with the methods of using the equipments, tools and materials. This helps the learner to pick up the skill and speed in work. The coach or counselor (i.e., superior) sets goals and suggests how to achieve these goals. He also reviews the work and provides regular feedback to the trainee on his performance and offers him suggestions for improvement.

(3) Internship training: It is a joint programme of training in which educational institutions and business firms cooperate. Under this internship training, professional institutes send their students to big industrial or business enterprises to gain practical work experience. E.g. Engineering students may be sent to industrial enterprises from time to time to gain practical work experience. Internship training is common in medical, engineering, management, auditing and legal profession.

(4) Job-Rotation: Job rotation is a method of training which involves rotation (or movement or shifting) of the employee (trainee) from one department to another or from one job to another so that he may learn the working of various departments or jobs. Under this method, the trainee gets a chance to test his/her own aptitude and abilities. It allows trainees to interact with other employees.
(Write all the four points)

II. Off the job training methods (where training is provided away from the actual work place):
The following are the important methods of the off-the-job training:

(1) Class room Lectures Conferences: Under this method, trainees are given training in the form of lecture in a classroom. Some times audio visuals and demonstrations are also used to make the classroom presentation more interesting. This method is used effectively for the purpose of teaching administrative aspects to managerial executives in the organisation. Managers are informed about the rules, procedures, methods and techniques for tackling different problems.

(2) Films: They can provide information and explicitly demonstrate skills that are not easily represented by the other techniques. It is a very effective method of training in certain cases.

(3) Case study: Case study is a written description of an actual situation (real problems that managers have faced) in the past in the same organisation or somewhere else and trainees have to study and analyse the case and give their conclusions. Case is later discussed by instructor with all the merits and demerits of each option. The aim of this method is to develop the decision-making abilities of the employees.

(4) Computer modeling: Computer simulation modeling is the technique of representing the real world situation by a computer programme. It allows learning in a artificial environment without the risk of damage to machines or equipments.

(5) Vestibule training: This is a method of training which is used mostly to train up technical staff and office employees who deal with sophisticated equipments, tools and machines. The training is given away from work place by duplicating the actual working conditions and by giving similar materials and equipments.

(6) Programmed instruction: Under this method some useful information is broken into meaningful units and these units are arranged in a proper way to form a logical and sequential learning package, i.e., from simple to complex. The trainee goes through these units by answering questions or filling the blanks and thus acquires some specific skills or general knowledge.
(Write any four points)

Thus, different methods are available to train up the employees. Management can select a suitable method to give training to employees.

Question 33.
Explain the different methods of on the job training. ( 4 Marks )
Answer:
(1) Apprenticeship programmes: Apprenticeship or ‘Understudy’ is a method of training under which the trainee is required to work under the supervision and guidance of a master worker (an expert) for a specified period of time. This method helps the employees to know about the complications and complexities of the job. This type of training is commonly used to train up employees like electricians, plumbers, iron workers or carpenters who require a higher level of skill.

(2) Coaching: Under this method, the superior guides and instructs the trainees (employees) as a coach. The superior familiarizes the employee with the methods of using the equipments, tools and materials. This helps the learner to pick up the skill and speed in work. The coach or counselor (i.e., superior) sets goals and suggests how to achieve these goals. He also reviews the work and provides regular feedback to the trainee on his performance and offers him suggestions for improvement.

Question 34.
Explain any four methods of off the job training. ( 4 Marks )
Answer:
(1) Films: They can provide information and explicitly demonstrate skills that are not easily represented by the other techniques. It is a very effective method of training in certain cases.

(2) Case study: Case study is a written description of an actual situation (real problems that managers have faced) in the past in the same organisation or somewhere else and trainees have to study and analyse the case and give their conclusions. Case is later discussed by instructor with all the merits and demerits of each option. The aim of this method is to develop the decision-making abilities of the employees.

(3) Computer modeling: Computer simulation modeling is the technique of representing the real world situation by a computer programme. It allows learning in a artificial environment without the risk of damage to machines or equipments.

(4) Vestibule training: This is a method of training which is used mostly to train up technical staff and office employees who deal with sophisticated equipments, tools and machines. The training is given away from work place by duplicating the actual working conditions and by giving similar materials and equipments.

Question 35.
State any one method of on the job training. ( 1 Mark )
Answer:
Methods of on the job training:

Apprenticeship programmes
Coaching
Internship training
Job rotation
(Write any one point)

Question 36.
Name on the job training method used to train up plumbers, electricians or iron workers. ( 1 Mark )
Answer:
Apprenticeship programmes

Question 37.
State any one method of off the job training. ( 1 Mark )
Answer:
Off the job training methods

Classroom lectures / Conferences
Case study
Computer modeling
Vestibule training

Question 38.
State the off the job training method used to train up employees before handling sophisticated machinery and equipment. (1 Mark )
Answer:
Vestibule training

Question 39.
What is job rotation?
Answer:
Job rotation refers to shifting the trainee from one department to another or from one job to another. It is one of the methods of on the job training.

I. Multiple choice questions (1 Mark each)

Question 1.
Which one of the following is not a function of staffing
(a) Recruitment
(b) Training
(c) Compensation
(d) Directing
Answer:
(d) Directing

Question 2.
Which one of the following is an internal source of recruitment
(a) Transfer
(b) Employment exchange
(c) Advertisement
(d) Campus recruitment
Answer:
(a) Transfer

Question 3.
Promotion of employees results in
(a) Increase in pay
(b) Increase in responsibility
(c) increase in job satisfaction
(d) All of the above
Answer:
(d) All of the above

Question 4.
Which of the following is On-the-job method of training?
(a) Case study
(b) Coaching
(c) Vestibule training
(d) Computer modeling
Answer:
(b) Coaching

Question 5.
Which of the following is off the job method of training?
(a) apprentice programmes
(b) Internship training
(c) Case study
(d) Job rotation
Answer:
(c) Case study