We have given these Business Studies Class 12 Important Questions Chapter 6 Staffing to solve different types of questions in the exam. Go through these Staffing Class 12 Important Questions and Answers & Previous Year Questions to score good marks in the board examination.

Important Questions of Staffing Class 12 Business Studies Chapter 6

Question 1.
Define ‘Workforce Analysis’. (Delhi 2019)
Answer:
Workforce analysis is the concept which will help the human resource manager to find out the number and type of personal available.

Question 2.
Define ‘Selection’ (Delhi 2019)
Answer:
The process of choosing the test of suitable candidates from among the pool of job candidates is called selection.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 3.
Biru Nandan, Chairman of Lalit group of companies founded ‘Biru University’ for undergraduate and postgraduate courses in diverse disciplines. The Information Technology department of the Lalit Power Ltd., had few vacancies related to Cyber Security. The Human Resource Department of the company decided
to recruit fresh engineering graduates from ‘Biru University’ for the same. Identify the type of source of recruitment. (Delhi 2019)
Answer:
The company has used ‘External Source of Recruitment (Campus recruitment)’.

Question 4.
Why is aptitude test conducted in the process of selection? (All India 2017)
Answer:
In the process of selection, aptitude test is conducted to measure the potential of an individual to learn new skills.

Question 5.
Bhagwati Enterprises is a company engaged in the marketing of air-conditioners of a famous brand. The company has a functional structure with four main functions; purchases, sales, finance and staffing. As the demand for the product grew, the company decided to recruit more employees.
Identify the concept which will help the Human Resource Manager to find out the number and type of personnel available so that he could decide and recruit the required number of persons for each department. (All India 2017)
Answer:
‘Work force analysis’ is the concept which will help the Human Resource Manager to find out the number and type of personnel available.

Question 6.
Why is ‘employment interview’ conducted in the process of selection? (Delhi 2017)
Answer:
The ’employment interview’ is conducted in the process of selection to judge the personality of the candidate, his way of talking, his conduct and temperament, presence of mind and maturity, etc.

Question 7.
Alpha Enterprises is a company manufacturing water geysers. The company has a functional structure with four main functions production, marketing, finance and human resource. As the demand for the product grew, the company decided to hire more employees.
Identify the concept which will help the Human Resource Manager in deciding the actual number of persons required in each department. (Delhi 2017)
Answer:
‘Work load analysis’ is the concept which will help human resource manager in deciding the actual number of persons required in each department.

Question 8.
How does staffing improve job satisfaction and morale of employees? State. (Comportment 2014, 2013)
Answer:
Staffing helps in improving job satisfaction and morale of the employees by employing right people at right job, train them and developing their abilities, evaluating their performance and promoting them.

Question 9.
How is staffing a continuous process? State. (Comportment 2014)
Answer:
Staffing function is described as filling and keeping filled the positions in the organisation. Staffing is a continuous process because new jobs may be created and some of the existing employees may leave the organisation.

Question 10.
Recruitment is one of the specialised activities performed by Human Resource Management. Mention any two other specialised activities of Human Resoure Management. (Delhi 2014)
Or
‘Providing for social security welfare of employees’ is one of the specialised activities performed by Human Resource Management. Mention any two other specialised activities of Human Resource Management. (All India 2014)
Or
‘Maintaining labour relations and union management relations’ is one of the specialised activities performed by Human Resource Management. Mention any two other specialised activities of Human Resource Management. (Foreign 2014)
Answer:
Two other specialised activities of Human Resource Management are:

  • Handling grievances
  • Training and development of employees

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 11.
How are employees motivated to improve their performance when the organisation uses internal sources of recruitment? State. (All India 2014)
Answer:
A promotion at a higher level may lead to chain of promotions at lower levels in an organisation. This motivates the employees to improve their performance through learning and practice.

Question 12.
Why employees become lethargic when the organisation uses internal sources of recruitment? State. (Delhi 2014; Foreign 2014)
Answer:
The spirit of competition among the employees may be hampered as they are likely to expect automatic promotion because of seniority. Thus they are least interested in work and become lethargic.

Question 13.
State how staffing ensures ‘continuous survival and growth of enterprise’. (All India 2013)
Answer:
Proper staffing ensures continuous survival and growth pf an enterprise through succession planning for managers.

Question 14.
Define recruitment. (Delhi 2013)
Answer:
According to Yoder, “Recruitment is a process to discover the sources of manpower to meet the requirements of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers to facilitate effective selection of an efficient working force”.

Question 15.
Name and state the ‘on-the-job method of training’ that is used to give training to the electricians. (All India 2013)
Answer:
Apprenticeship programme It is an on-the-job training method. Under this, a master worker as a trainer is appointed, who guides the workers regarding the skill of job. Electricians are required to undergo such training.

Question 16.
Give the meaning of ‘orientation’ as a step in the process of staffing. (Delhi 2012)
Answer:
Orientation refers to introduction of new employees to the existing ones in the organisation and familiarising them with the rules and policies of the organisation.

Question 17.
What is meant by‘estimating manpower requirement’ as a step in the process of staffing? (Delhi 2012)
Answer:
‘Estimating manpower requirement’ means finding out the number and types of persons or employees needed by the organisation in the near future.

Question 18.
What is meant by ‘development’ of employees in the process of staffing? (Compartment 2012)
Answer:
Opportunities designed to help in the growth of individuals in all respects are referred to as development.
It denotes the process by which the employees acquire skills and competence to do their present job and increase their capabilities for handling higher jobs in the future.

Question 19.
Give the meaning of ‘performance appraisal’ in the process of staffing. (Compartment 2012)
Answer:
It means evaluating an employee’s current or past performance against the pre-determined standards.

Question 20.
Give the meaning of ‘placement’ as a step in the process of staffing. (All India 2012)
Answer:
Placement refers to the employees occupying the position or post for which the person has been selected.

Question 21.
Give the meaning of ‘compensation’ as a step in the process of staffing. (All India 2012: Compartment 2012)
Answer:
Compensation refers to all forms of pay or rewards offered to employees. It may be in the form of direct financial payments like wages, salaries, incentives, commission and bonus or may be in the form of indirect payments like employer paid insurance and vacations, etc.

Question 22.
State the meaning of ‘training’. (Comportment 2012)
Answer:
It is the systematic development of knowledge, skills and attitudes required by an individual to perform adequately a given task or job.

Question 23.
What is meant by selection of employees? (All India 2011)
Answer:
Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job.

Question 24.
State the meaning of the term recruitment in one sentence. (Delhi [C) 2011: All india 2010)
Answer:
Recruitment refers to the process of searching for prospective employees and stimulating them to apply for jobs in the organisation.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 25.
What is meant by staffing? (Delhi (C) 2010)
Answer:
Staffing has been described as the managerial function of filling and keeping filled the positions in the organisation structure. In other words, staffing is that part of the process of management which is concerned with obtaining, utilising and maintaining a satisfactory work force.

Question 26.
How does staffing help to ensure optimum utilisation of human resources? (Delhi 2010)
Answer:
Staffing helps in ensuring optimum utilisation of human resources by putting right person on the right job. It prevents under-utilisation of personnel and high labour cost. At the same time, it avoids disruption of work by indicating the shortage of personnel.

Question 27.
Give one limitation of internal sources of recruitment. (Delhi 2010; All India 2010)
Answer:
The spirit of competition among the employees may be hampered.

Question 28.
Give one advantage of external sources of recruitment. (Delhi 2010: All india 2010)
Answer:
Through external sources of recruitment, the management can attract more qualified and trained people to apply for vacant jobs in the organisation.

Question 29.
Name the method of training in which trainees learn on the equipments they will be using. (Delhi 2010; All India 2010)
Answer:
In vestibule training, employees learn their jobs on the equipment they will be using and actual work environments are created in a classroom, which is away from the actual work floor.

Question 30.
Name the method of training in which the trainees work directly with a senior manager and the manager takes full responsibility of the trainees. (Delhi 2010: All India 2010)
Answer:
Coaching

Question 31.
Name the method of training in which the trainee learns under the guidance of a master worker. (Delhi 2010; All India 2010)
Answer:
Apprenticeship training

Question 32.
How does staffing help to ensure higher performance of employees? (All India 2010)
Answer:
Staffing finds the right person for the right job. It ensures higher performance at the employees as work is assigned according to their capabilities and at the same time, organisational objectives are achieved in the most efficient and effective manner.

Question 33.
Explain “Vestibule Training’and ‘Apprenticeship Programme’ as methods of training. (All India 2019)
Answer:
Vestibule training:
In vestibule training, employees learn their jobs on the equipment they will be using and actual work environments are created in a classroom, which is away from the actual work floor.

Apprenticeship programme :
Apprenticeship programme It is an on-the-job training method. Under this, a master worker as a trainer is appointed, who guides the workers regarding the skill of job. Electricians are required to undergo such training.

Question 34.
State the steps in selection procedure, after the ‘employment interview’ but before the job offer. (CBSE 2018)
Answer:
Steps in selection procedure after employment interview’ but before ‘job offer’ are as follows:
Reference and background checks: Many employers request names, addresses and telephone numbers of references for the purpose of verifying information and gaining
additional information of an applicant. These references can be teachers, friends, previous employers, relatives etc, who can give additional information about the candidate.

Selection decision: The final solution decision has to be made from the candidates, who pass the tests, interviews and reference checks. The views of the concerned manager will be generally considered in the final selection, because he is responsible for the performance of the new employee.

Medical examination: After the selection decision and before the job offer, the candidate is required to undergo a medical fitness test. The job offer is given to the candidate, only if the candidate is physically and mentally fit for the job.

Question 35.
Atul-The Assistant Manager, Vikas-the Marketing’Head and Leena-The Human Resource Manager of TVIontac Enterprises Ltd.’ decided to leave the company.
The Chief Executive Officer of the company called the Human Resource Manager, Leena and requested her to fill up the vacancies before leaving the organisation. Leena suggested that her subordinate Miss Rama Wadhwa is very competent and trustworthy, if she could he moved up in the hierarchy, she would do the needful. The Chief Executive Officer agreed for the same. Miss Rama Wadhwa contacted ‘Smith Recruiters’ who advertised for the post of marketing head for ‘Montac Enterprises Ltd’. They were able to recruit a suitable candidate for the company. Atul’s vacancy was filled up by screening the database of unsolicited applications lying in the office.
(i) Name the internal/external sources of recruitment used by “Montac Enterprises Ltd.’ to fill up the above stated vacancies.
(ii) Also state any one merit of each of the above identified source of recruitment. (All India 2016)
Or
Ashish, the Marketing Head Kaman, the Assistant Manager and Resource Manager of ‘Senor Enterprises Ltd’.
decided to leave the company. The Chief Executive Officer of the company called Jyoti, the Human Resource Manager and requested her to fill up the vacancies before leaving the organisation. Informing that her subordinate Miss Alka Pandit was very competent and trustworthy, Jyoti suggested that if she could be moved up in the hierarchy, she would do the needful. The Chief Executive Officer agreed for the same. Miss Alka Pandit contacted ‘Keith Recruiters’ who advertised for the post of marketing head for ‘Senor Enterprises Ltd’. They were able to recruit a suitable candidate for the company.
Raman’s vacancy was filled up by screening the database of unsolicited applications lying in the office.
(i) Name the intemal/external sources of recruitment used by ‘Senor Enterprises Ltd. to fill up the above stated vacancies.
(ii) Also state any one merit of each of the above identified source of recruitment. (Delhi 2016)
Or
Vinod-The Human Resource Manager, Umesh-The Assistant Manager and Ashok-the Marketing Head of Hitashi Enterprises Ltd decided to leave the company.
The Chief Executive officer of the company called the Human Resource Manager, Vinod and requested him to fill-up the vacancies before leaving the organisation. Vinod suggested that his subordinate Rajesh is very competent and trustworthy. If he could be moved up in the hierarchy, he would do the needful. The Chief Executive Officer agreed for the same. Rajesh contacted ‘Zenith Recruiters’ who advertised for the post of marketing head for ‘Hitashi Enterprises Ltd’. They were able to recruit a suitable candidate for the company. Umesh’s vacancy was filled-up by screening the database of unsolicited applications lying in the office.
(i) Name the internal/external sources of recruitment used by ‘Hitashi Enterprises Ltd.’ to fill-up the above stated vacancies.
(ii) Also, state any one merit of each of the above identified source of recruitment. Foreign 2016
Answer:
(i) The intemal/extemal sources of recruitment used by ‘Montac Enterprises Ltd’ to fill up the above stated vacancies are:

  • Promotion It is an internal source of recruitment in which an employee is shifted to a higher post. Leena’s vacancy was filled by using this source.
  • Placement agencies and management consultants It is an external source of recruitment. These agencies provide a nationwide service in matching personnel demand and supply. Vikas’s vacancy was filled by using this source.
  • Casual callers It is again an external source of recruitment through which the organisation keep a database of unsolicited applicants in their files. Atul’s vacancy was filled by using this source.

(ii) One merit each of Promotion: It helps to increase the motivation and satisfaction of employees.
Placement agencies and management consultants They help organisations to recruit technical, professional and managerial personnel easily.
Casual callers It is in inexpensive method of recruitment.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 36.
Name and define the process that helps in finding possible candidates for a job or a function. (Compartment 2015)
Answer:
Recruitment is the process that helps in finding possible candidates for a job.
According to Yoder, “Recruitment is a process to discover the sources of manpower to meet the requirements of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers, to facilitate effective selection of an efficient working force”.

Question 37.
Name and define the process in which candidates are eliminated at every stage and a few move on to the next stage till the right type of candidate is found. (Compartment 2015)
Or
Name and define the process that helps in choosing the best person out of a number of prospective candidates for a job. (Compartment 2015)
Answer:
Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job.
It is done in the third step, in which a prospective candidate is chosen from the pool of candidates. It ensures that the organisation gets the best among the available and it also enhances the morale of the selected candidate.

Question 38.
Why is training important for the employees? State any three reasons. (Compartment 2014; All India 2012; Delhi 2012)
Or
State any three reasons why training is beneficial for employees of an organisation. (Foreign 2014)
Answer:
Employees should be provided training to help them increase their knowledge and skills. The employees training in an organisation is necessary due to the following reasons:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 39.
Give the meaning of placement, orientation and training in the process of staffing. (Delhi 2012)
Answer:
Placement refers to the employees occupying the position or post for which the person has been selected.
Orientation refers to introduction of new employees to the existing employees of the organisation and familiarising them with the rules and policies of the organisation.
Training refers to the systematic development of knowledge, skills and attitude required by an individual to perform efficiently a given task/job.

Question 40.
Why is training important for an organisation? State any three reasons. (Delhi 2012; All India 2012)
Answer:
Training is important for an organisation because of the following reasons:

  • Training of the workers leads to increase in productivity and reduction of wastages.
  • It reduces absenteeism and labour turnover as trained workers become more confident and thus, they become regular and stick to their job and place.
  • It is required to teach technology and work methods to employees.

Question 41.
Define training and development. (Delhi 2012; All India 2012)
Answer:
Training It refers to the process by which aptitudes, skills and abilities of employees to perform specific jobs are improved. According to Michael Armstrong, “Training is the systematic development of knowledge, skills and attitudes required by an individual to perform adequately a given task or job”.

Development It involves growth of an employee in all respects. It denotes the process by which the employees acquire skills and competence to do their present job and increase their capabilities for handling higher jobs in the future. Development is a continuous process of building competencies of employees and thus facilitating overall development of employees.

Question 42.
Why is staffing considered as an important function of management in all types of organisations? State any three reasons. (Delhi 2011; All India 2011)
Answer:
Staffing is considered as an important function of management because of the following reasons:

  • It helps in discovering and obtaining competent personnel for various jobs.
  • It results in improved performance by putting right person on the right job.
  • It ensures the continuous survival and growth of an enterprise through the succession planning by managers.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 43.
Staffing as a part of Human Resource Management includes many specialised activities. Explain any three such activities. (All India 2011)
Answer:
Three such activities are as follows:

  • Recruitment, i.e. search for qualified people.
  • Analysing jobs, collecting information about jobs to prepare job description.
  • Handling grievances and complaints.

Question 44.
External sources of recruitment are considered better than internal sources. Give any three reasons in support of this statement. (All India 2011)
Answer:
External sources of recruitment are considered better than internal sources because of the following reasons:

  • Qualified personnel People outside the organisation may have required qualification, training and skills available with them which may serve the organisation.
  • Fresh talent The entry of fresh talent into the organisation is encouraged. New employees bring new ideas to the organisation.
  • Wider choice When vacancies are advertised, there are chances of receiving large number of applications. Therefore, it offers a wide choice to the management.

Question 45.
Nisha Sethi was working as a Human Resource Manager in a famous consultancy firm, KLI Global Services. Her job included preparing job descriptions, recruitment, developing compensation and incentive plans and facilitating employee learning. They had entered into alliances with institutes to ensure continuous learning of their employees. With the jobs becoming more and more complex, KLI Global Services invested large amount of money in marking the employees learn the skills necessary to complete the jobs.
State by giving any five points, how this investment is likely to benefit the organisation? (Delhi 2019)
Answer:
The company has invested in training of employees.
Benefits of training:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 46.
After passing his secondary school examination, David left the school at the age of 15 years and started getting training under his father. His father, a renowned electrician, had worked for many companies. He everyday started accompanying his father on work and watched him carefully while working. David was a good learner and learnt the techniques of work quickly. Now his father started passing on the tricks of the trade to David. With the passage of time David acquired a high level skill and became a well-known electrician at Indore. Big business-houses started calling him for electrical-wiring.
(a) Name the method of training discussed in the above para.
(b) State any three benefits which David could get on being trained. (Compartment 2018)
Answer:
(a) Training method used is’Apprenticeship training’.
(b) For benefits of training:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 47.
Explain briefly ‘casual callers’ and ‘labour contractors’ as external sources of recruitment. (All India 2017)
Answer:

  • Casual callers: Many business organisation keep a database of unsolicited applicants, i.e. casual callers in their files. This source of recruitment is generally resorted to by manufacturing organisations to fill up vacancies at the labour level. It is an inexpensive method of recruitment.
  • Labour contractors: They supply the required workers to the organisations especially engaged in manufacturing. They keep a dose contact with labourers. Through these contractors, workers are appointed in factories at a very short notice.

Question 48.
Explain briefly ‘transfers’ and ‘promotions’ as internal sources of recruitment. (Delhi 2017)
Answer:
Transfer: It means shifting of employees from one job position to other at the same level of authority. Only the working place is changed. Therefore, it refers to horizontal movement of the workers. Transfer does not involve any drastic change in the responsibilities and status of the employee.

Promotion: It refers to shifting of employees from one job position to the other with higher level of authority. Here, employees move in upward direction within an organisational structure. There is also an increase in compensation or salary, e.g. promotion of a derk to the post of an accountant.

Question 49.
A company manufacturers very sophisticated switch gears used in automatic cars. For this the company uses hi-tech machines. Most of the times the workers of the factory remain idle because of lack of knowledge regarding the use of these hi-tech machines. The frequent visits by the engineers and constant supervision of the foreman results into high overhead charges. Explain the way by which this problem can be overcome. Also state how this helps the employees. (Comportment 2015)
Or
Manu, a Chief Manager in a company using highly sophisticated machines and equipment, wants that every employee should be fully trained before using the machines and equipment. Suggest and describe the best method of training that Manu can use for training of the employees. (Delhi 2012)
Answer:
Vestibule method of training should be imparted in the given situation.
Vestibule training Under this method, employees learn their jobs on the equipment they will be using, but the training is conducted away from the actual work floor. Actual work environment is created in a classroom and employees use the same materials, files and equipments. This is usually done when employees are required to handle sophisticated machinery and equipment. Vestibule training is suitable where a large number of persons are to be trained at the same time for the same kind of work. The main emphasis is on learning rather than on production.

Question 50.
Mr Naresh recently completed his MBA from one of the Indian Institutes of Management in Human Resource Management. He has been appointed as Human Resource Manager in a Truck Manufacturing Company. The company has 1,500 employees and has an expansion plan in hand that may require additional 500 persons for various types of jobs. Mr Naresh has been given the complete charge of the company’s Human Resource Department.
List out the specialised activities that Mr Naresh is supposed to perform as the Human Resource Manager of the company. (Comportment 2015)
Answer:
The duties of Human Resource Managers are:

  • Training and development of employees for efficient performance.
  • Maintaining labour relations and union management relations.
  • Handling grievances and complaints.
  • Providing for social security and welfare of employees.

Question 51.
The workers of ‘Vyam Ltd.’ are unable to work on new and hi-tech machines imported by the company to fulfil the increased demand. Therefore, the workers are seeking extra guidance from the supervisor. The supervisor is overburdened with the frequent calls of workers.
Suggest how the supervisor, by increasing the skills and knowledge of workers, can make them handle their work independently. Also state any three benefits that the workers will derive by the decision of the supervisor. (All India 2015)
Or
The workers of ‘Gargya Ltd’, are unable to work on new computerised machines imported by the company to fulfil the increased demand. Therefore, the workers are seeking extra guidance from the supervisor and the supervisor is overburdened with the frequent calls of workers.

Suggest how the supervisor, by increasing the skills and knowledge of workers, can make them handle their work independently. Also state any three benefits that the workers will derive by the decision of the supervisor. (All India 2015)
Answer:
The supervisor can increase the knowledge and skill of workers and make them work independently by providing them training. It refers to the systematic development of knowledge, skills and attitude required by workers to perform their jobs/tasks adequately.
Three benefits of training:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 52.
State the merits of internal sources of recruitment. (Compartment 2014)
Or
Internal sources of recruitment are better than external sources of recruitment. Explain by giving reasons in support of the statement. (Comportment 2014: Delhi 2011: All India 2011)
Or
‘Internal sources of recruitment are better than external sources’. How? Give any four reasons. (All India 2010)
Answer:
Internal sources of recruitment are better than external sources in the following respects:

  • Economical sources Internal sources are less time consuming and less expensive because the organisation and the employees are already known to each other.
  • Simplifies the process of selection Since, the employees are already known to the organisation, therefore, the process of selection and placement gets simplified.
  • Motivates employees Filling higher level jobs through promotion helps to improve the motivation and morale of employees as they know that they can be promoted to senior position in the organisation if they work harder for the organisation.
  • Sense of security Internal recruitment creates a sense of security among the staff.
  • No problem in adjustment As the organisation and the employees are familiar with each other, this leads to smooth functioning of the enterprise without any problem in adjustment on the part of the new employees or the organisation.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 53.
Why external sources of recruitment are better than internal sources? (All India 2014)
Or
External sources of recruitment are better than internal sources. How? Explain by giving any four reasons in support of your answer. (Delhi (C) 2010)
Or
State any four advantages of external sources of recruitment. (All India 2014)
Answer:
External sources of recruitment are better than internal sources because: (any four)

  • Fresh talent The entry of fresh talent into the organisation is encouraged. New employees bring new ideas to the organisation.
  • Wider choice Through external recruitment, the organisation gets wider choice.
  • Qualified personnel By using external recruitment, the management can get qualified and trained persons.
  • Latest technical knowledge Through campus placement, the organisation get employees with latest technical knowledge.
  • Competitive spirit When outsiders join the organisation, this develops a competitive spirit in existing employees of the organisation.

Question 54.
State any four limitations of using internal sources of recruitment. (Comportment 2014)
Answer:
Limitations of internal sources of recruitment are as follows:

  • No scope for fresh talent Internal sources may not be able to bring new competent fresh talent, ideas and latest technical know-how.
  • Not suitable for new organisation A new enterprise cannot use internal sources of recruitment. No organisation can fill all its vacancies from internal sources.
  • Limited choice The choice is limited as the recruitment can be made only out of the candidates available within the organisation,
  • Employees become lethargic The employees may become lethargic if they are sure of time bound promotions.

Question 55.
How is training of employees beneficial for the organisation? State by giving any four reasons. (Delhi 2014)
Or
State any four reasons why training is needed in an organisation. (Delhi 2011)
Answer:
Three benefits of training:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 56.
Atul is working in an organisation. After every three months, his manager transfers him from one department to another so that he may gain a broader understanding of all the departments of the organisation.
Name and explain the method of training Atul is undergoing. (All India 2012)
Answer:
Job rotation training This kind of training involves shifting the trainee from one department to another or from one job to another. This enables the trainee to gain a broader understanding of all parts of the business and how the organisation functions as a whole.

When employees are trained by this method, the organisation finds it easier at the time of promotions, replacements or transfers. This will broaden his horizon and capacity to do a variety of jobs. Rotation of an employee on different jobs should not be done frequently.

Question 57.
Define staffing as a function of management and state its importance. (Delhi (C) 2011)
Or
Explain staffing as a function of management. Also explain by giving any four reasons why proper staffing is required in an organisation. (All India 2010)
Answer:
According to Koontz and O’ Donnell, “The managerial function of staffing involves manning the organisational structure through proper and effective selection, appraisal and development of personnel to fill the roles designed into the structure”.

Staffing function of management helps in obtaining right people and putting them on the right jobs.
Proper staffing ensures the following benefits to the organisation: (any four)

  • Obtaining competent personnel In all organisations, there is a need for people to perform work. Staffing function helps in discovering and obtaining competent personnel for various jobs.
  • Higher performance Staffing finds the right person for the right job. It ensures higher performance of the employees as work is assigned according to their capabilities and at the same time, organisational objectives are achieved in the most efficient and effective manner.
  • Survival and growth By appointing efficient staff, staffing ensures the continuous survival and growth of an enterprise. An organisation grows with the sincere efforts of its employees only.
  • Optimum utilisation of human resources Through manpower planning and job analysis, we can find out the number and types of employees required in the roganisation. So, there are no chances of overmanning, shortage or under-utilisation of personnel.
  • Motivation and morale Staffing as a separate function, is needed to motivate employees for better performance, incentive plans, staff welfare and for other personnel activities. If there is a separate personnel department in the organisation, it motivates employees and develop higher morale in them.

Question 58.
Explain in brief the various steps involved in the process of staffing. (All India 2011)
Answer:
Various steps in the process of staffing are as follows:
(i) Estimating manpower requirements: It refers to finding out the number of persons or employees and type of employees needed in the organisation in near future. As both overstaffing and understaffing are undesirable, the manager tries to find out the manpower requirement by equating work load analysis to work force analysis.

  • Work load analysis Finding the number and type of employees required to perform various jobs.
  • Work force analysis Analysing existing work force already occupying the job positions.
  • Comparison The manager compares the two and find out the excess of work load over work force indicating under staffing, and thus fulfils the gap.

(ii) Recruitment: It refers to the process of inducing the people to apply for the job in the organisation. After assessing the number and type of required employees, the manager tries to get greater number of applicants for the job, so that the organisation can select better candidates.

(iii) Selection: It refers to the choosing of most suitable candidate to fill the vacant job position. Selection is done through
a process, which involves tests, interviews, etc.

(iv) Placement and orientation: In this step, employee occupies the position or is placed, for which he/she has been selected. After this, a brief presentation about the company is given and employee is introduced to his superiors, subordinates and colleagues.

(v) Training and development: In this step, training is imparted to the selected candidate, by which he/she can enhance his/her skills, knowledge and through this, one can also explore the opportunities for growth.

(vi) Performance appraisal: It refers to evaluating the performance of employees against some standards which are known to employees in advance.

(vii) Promotion and career planning: Promotions are an integral part of people’s career. It means people placed in positions of increased responsibility and it usually means more pay, responsibility and job satisfaction.

(viii) Compensation: It refers to price of the job. It includes pay, rewards and other incentives given to all the employees. It includes direct as well as indirect payments.

Question 59.
Explain any two external sources of recruitment. (All India 2011)
Answer:
Two external sources of recruitment are:

  • Casual callers It is generally followed by the factories of manufacturing organisations to fill up vacancies at the labour level. In such cases, the organisation keeps the record of casual callers and present them at the time of requirement.
  • Advertising The most common and popular method of external recruitment is advertising, e.g. for the job of an accountant, the advertisment can be given in CA journal, for lower rank it can be given in local newspapers and for higher rank it can be given in national level reputed newspapers. Advertisement may also be done through television.

Question 60.
Explain
(i) Apprenticeship and
(ii) Job rotation, as methods of training. (All India 2011)
Answer:
(i) Apprenticeship In this, trainee work under the guidance and supervision of a guide or a trainer for a prescribed amount of time. During this process of training, the apprentice is imparted both theoretical and practical training, by the expert. Some of the areas of apprenticeship training includes:

  • Building construction.
  • Skilled craft like mechanics, electricians, welders, etc.

(ii) Job rotation training: This kind of training involves shifting the trainee from one department to another or from one job to another. This enables the trainee to gain a broader understanding of all parts of the business and how the organisation functions as a whole.

When employees are trained by this method, the organisation finds it easier at the time of promotions, replacements or transfers. This will broaden his horizon and capacity to do a variety of jobs. Rotation of an employee on different jobs should not be done frequently.

Question 61.
‘Entertainment India Ltd.’ has been incorporated with the objective of entertaining people by organising festivals, programmes and other similar events depicting the rich cultural heritage of the country. The company management has renowned personalities from the field of art, literature and culture. They decided to give a platform to young budding musicians, poets and artists. The company decided its organisational structure by grouping similar jobs together. Thereafter, the heads of different departments were also appointed. Nisha, one of the heads, did an analysis of the number, type and qualification necessary for people to be appointed. The information generated in the process of writing the job description and the candidate profile was used to develop ‘Situations vacant’ advertisement. This was published in print media and flashed in electronic media. This brought in a flood of response.
Explain the other steps which Nisha has to perform to complete the process being discussed above. (AII India 2019)
Or
Explain the process of staffing. (Delhi 2010)
Answer:
The process discussed here is ‘staffing’. Other steps involved in this process are:

  • Selection
  • Placement and orientation
  • Training and development
  • Performance appraisal
  • Promotion and career planning
  • Compensation

For explanation of steps:
(i) Estimating manpower requirements: It refers to finding out the number of persons or employees and type of employees needed in the organisation in near future. As both overstaffing and understaffing are undesirable, the manager tries to find out the manpower requirement by equating work load analysis to work force analysis.

  • Work load analysis Finding the number and type of employees required to perform various jobs.
  • Work force analysis Analysing existing work force already occupying the job positions.
  • Comparison The manager compares the two and find out the excess of work load over work force indicating under staffing, and thus fulfils the gap.

(ii) Recruitment: It refers to the process of inducing the people to apply for the job in the organisation. After assessing the number and type of required employees, the manager tries to get greater number of applicants for the job, so that the organisation can select better candidates.

(iii) Selection: It refers to the choosing of most suitable candidate to fill the vacant job position. Selection is done through
a process, which involves tests, interviews, etc.

(iv) Placement and orientation In this step, employee occupies the position or is placed, for which he/she has been selected. After this, a brief presentation about the company is given and employee is introduced to his superiors, subordinates and colleagues.

(v) Training and development: In this step, training is imparted to the selected candidate, by which he/she can enhance his/her skills, knowledge and through this, one can also explore the opportunities for growth.

(vi) Performance appraisal: It refers to evaluating the performance of employees against some standards which are known to employees in advance.

(vii) Promotion and career planning; Promotions are an integral part of people’s career. It means people placed in positions of increased responsibility and it usually means more pay, responsibility and job satisfaction.

(viii) Compensation: It refers to price of the job. It includes pay, rewards and other incentives given to all the employees. It includes direct as well as indirect payments.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 62.
Moga Industries Ltd. approached a well established university in the city of Madurai to recruit qualified personnel for various technical and professional jobs. They selected Tanya, Ritu, Garima and Chetan for various vacancies in the organisation.
After the selection and placement, “Moga Industries Ltd.’ felt the need to increase the skills and abilities, and the development of positive attitude of the employees to perform their specific jobs better. The company also realised that learning new skills would improve the job performance of the employees. Hence, the company decided to take action for the same.
(i) Name the step of the staffing process regarding which the company decided to take action.
Answer:
(i) The step in staffing process discussed here is ‘Training and development’.
(a) For benefits of training:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 63.
There were two vacancies for the post of Assistant Manager in ‘Gyan electrics Private Ltd.’. ‘Parth’ the Human Resources Manager identified one suitable candidate ‘Vishwas’ from within the organisation and promoted him to the post of Assistant Manager. For another post, the Manager ‘Parth’ took help of a placement agency and selected ‘Saleem’. After six months, Parth observed that ‘Vishwas’s’ performance was much better than ‘Saleem’s’ performance though ‘Vishwas’ was less qualified than ‘Saleem’. Hence, ’Parth’ decided that in future he will not make any appointment with the help of an outside source.
Explain any four reasons on the basis of which ‘Parth’ would have taken the above decision. (compartment 2018)
Answer:
The reasons are the disadvantages of external source of recruitment. These are:

  • Dissatisfaction among existing staff The morale of the existing employees is reduced due to which overall working of organisation is affected.
  • Lengthy process Right from inviting application to induction training, it is a very lengthy process. Sometimes, it doesn’t reap the matching benefits.
  • Costly process This type of recruitment is a costly process. It is a setback for organisation if the productivity of new employees does not match the costs.
  • Adjustment problem New recruits take time to adjust in the organisation. This might turn to be an acute problem in a complex organisational structure.

Question 64.
Anoop Gaur started ‘Cat’s Eye’, a company for providing cyber security solutions to businesses.
Its objective is to prevent, detect, respond to cyber attacks and protect critical data. He was a hardworking software engineer and an expert in cyber security. His reputation grew by leaps and bounds as he was not only a person of integrity but also did his work with utmost honesty and sincerity. The business started growing day-by-day.
He was delighted when he was offered a big project by the Ministry of Science and Technology. While working on the project he found that the volume of work made it impractical for him to handle all the work by himself. Therefore, he decided to expand the team. The company maintained a close liaison with an engineering college in the state. During a campus placement, Aarav and Pranshi were appointed to work for the new project.
He found the new employees capable, enthusiastic and trustworthy. Anoop Gaur was thus, able to focus on the objectives and with the help of Aarav and Pranshi, the project was completed on time. Not only this, Anoop Gaur was also able to extend his area of operations. On the other hand, Aarav and Pranshi also got opportunities to develop and exercise initiative.
(i) Identify and explain briefly the concept used by Anoop Gaur in the above case which helped him in focusing on the objectives.
(ii) Also, explain any four points of importance of the concept identified in part (i). (All India, Delhi 2017)
Answer:
(i) Anoop Gaur has used ‘Campus Recruitment’ as a source of external recruitment which helped him in achieving his objective. Campus recruitment The recruiters of the organisations visit various professional colleges, technical institutes to recruit fresh graduates or the people with the latest technical know how. This type of requirement is more common for engineers, computer programmers, MBAs, etc. Organisations prefer this mode because fresh graduates can be moulded according to the organisation’s requirement easily.

(ii) Importance of external source of recruitment are:

  • Fresh talent The entry of fresh talent into the organisation is encouraged. New employees bring new ideas to the organisation.
  • Wider choice As a mode of external recruitment, the organisation gets wider choice.
  • Qualified personnel By using this mode, the management can get qualified and trained persons.
  • Latest technical knowledge Through campus placement, the organisation get employees with latest technical knowledge.

Question 65.
State the importance of the internal sources of recruitment. (Compartment 2014)
Or
Define recruitment. State any five merits of internal sources of recruitment. (Comportment 2012)
Answer:
Under internal source of recruitment, the vacant job positions are filled by inducing the existing employees of the organisation. It implies shifting of the existing employees from one place/post to another place/post. This is called transfer. It also implies shifting an employee to a higher ‘ position carrying higher responsibilities, facilities, status and pay, through promotions.

Question 66.
What is meant by training? State any four benefits of training to the organisation. (Delhi 2014; Comportment 2014)
Answer:
Training is the systematic development of knowledge, skills and attitudes required by an individual to perform adequately a given task or job. The purpose of training is to achieve a change in the behaviour of those trained and to enable them to do their jobs in a better way. Training is not a ‘one step’ process, but is a continuous or never ending process.

Benefits of training are as follows:

  • Reduced learning time A trained employee takes less time in learning the job as compared to untrained employee. As a result, there is less wastage of resources and higher productivity in the organisation.
  • Better performance The performance of trained employees is always better than the performance of untrained employees. In the training programmes, their qualities and capabilities are improved and employees get some experience of working on the job before they are actually assigned the job. This improves their performance and efficiency level.
  • Attitude formation The training and development aims at moulding the employees so that they develop positive attitude for the organisation. It motivates them, to be ready to take the initiative and thus on attitude of support and cooperation exist among the employees.
  • Helps in solving operational problems While performing various activities, the organisation faces various problems such as problem of absenteeism, wastage of resources, dissatisfaction of employees, lack of team work, etc. Through training, these operational problems can be avoided or removed in the organisation.

Question 67.
What is staffing? Explain any five points of importance of this function. (Comportment 2012)
Answer:
Staffing function of management helps in obtaining right people and putting them on the right jobs. (1)
Importance of staffing:
(i) Obtaining competent personnel In all organisations, there is a need for people to perform work. Staffing function helps in discovering and obtaining competent personnel for various jobs.

(ii) Higher performance Staffing finds the right person for the right job. It ensures higher performance of the employees as work is assigned according to their capabilities and at the same time, organisational objectives are achieved in the most efficient and effective manner.

(iii) Survival and growth By appointing effident staff, staffing ensures the continuous survival and growth of an enterprise. An organisation grows with the sincere efforts of its employees only.

(iv) Optimum utilisation of human resources Through manpower planning and job analysis, we can find out the number and types of employees required in the roganisation. So, there are no chances of overmanning, shortage or under-utilisation of personnel.

(v) Motivation and morale Staffing as a separate function, is needed to motivate employees for better performance, incentive plans, staff welfare and for other personnel activities. If there is a separate personnel department in the organisation, it motivates employees and develop higher morale in them.

Question 68.
A newly appointed personnel manager is of the view that training is beneficial only for the workers and not for the organisation. Do you agree with his view? Give any four reasons in support of your answer. (All India 2010: Delhi (C) 2010)
Answer:
No, as per my opinion, manager’s viewpoint is not correct. Training is beneficial for both, viz organisation and for workers.
For reason of training is important for an organisation:

  • Systematic learning Training is systematic learning, always better than hit and trial method, which leads to reduction of wastage of efforts and money.
  • Increase in productivity A trained worker is more efficient in his work. He has better knowledge, skills and speed for his job. This leads to increased output which is profitable for the enterprise.
  • Fewer accidents Trained employees are proficient in handling machinery and equipment. Thus, less prone to accidents.

Question 69.
Explain the process of selection of employees. (Delhi 2010; All India 2010)
Answer:
Following are the main steps of selection process adopted by organisations:
(i) Preliminary screening It helps the manager to eliminate those applicants who are not suitable for the current job. Such screening helps in rejecting unfit job seekers by analysing the information supplied in the application form.

(ii) Selection tests Through various tests, ability and skill of the candidates are evaluated. These tests are divided into the following three categories:

  • Psychological tests Some selection tests are of psychological nature. Objectives of psychological tests is to examine the mental ability, interest in work, maturity, etc of the candidates.
  • Proficiency tests In this test, candidate’s ability and skill manifested in an examination are verified. Here, special attention is paid to see the correctness of the ability and skill as emphasised by the applicant.
  • Other tests Main objective of this test is to know the understanding of the candidates, his communication ability, his mental maturity, writing ability, alertness, etc.

(iii) Employment interview Having successfully cleared all the tests related to employment by the candidate, he is called for final interview. The objective is to judge the personality of the candidate, his way of talking, his conduct and temperament, his interest, presence of mind and maturity, etc.

(iv) Selection decision Applicants who clear selection tests, employment interview and reference checks are selected. Prior to taking final selection decision, the opinion of concerned manager is sought.

(v) Job offer After successfully clearing, the job offer is given to the selected candidates for job. A date is mentioned in the appointment letter, from which one has to report for the duty.

(vi) Contract of employment After the acceptance of job offer by a selected candidate, he becomes an employee of the organisation. In this phase, the appointee signs various documents. Main document among them is the attestation form in which the detailed description of the employee is provided, which he himself attests. This can be used at the time of need in future. Apart from this, a written contract of employment is framed in which the following information is provided:

  • Job title
  • Rate of remuneration
  • Working hours
  • Leave rules
  • Grievance removal procedure

Multiple Choice Questions

Question 1.
Recruitment of employees from outside the organisation is known as
(a) internal source of recruitment
(b) external source of recruitment
(c) selection
(d) staffing
Answer:
(b) external source of recruitment

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 2.
Which of the following is a web publishing source of recruitment?
(a) Monster.com
(b) PTipkart.com
(c) Snapdeal.com
(d) Amazon.in
Answer:
(a) Monster.com

Hint:
Monster.com is a website designed to provide information to both job seekers and employers. There are many websites like monster.com and naukri.com designed to provide information to both job seekers and employers.

Question 3.
Which of the following is conducted for verifying information provided by a candidate?
(a) Preliminary screening
(b) Selection tests
(c) Selection decision
(d) Reference and background check
Answer:
(d) Reference and background check

Hint:
The objective of reference and background check is to verify information provided by the candidate and to obtain additional information about him.

Question 4.
Who among the following requires medical fitness test for selection?
(a) Call centres
(b) Accountancy firms
(c) Armed forces
(d) Law firms
Answer:
(c) Armed forces

Hint:
Armed forces and police services require the candidates to undergo a medical fitness test. A candidate is selected only if he is physically and mentally fit.

Question 5.
Shifting of an employee to a higher post carrying higher salary, status and responsibility is known as
(a) transfer
(b) promotion
(c) job rotation
(d) None of the above
Answer:
(b) promotion

Question 6.
Many employers request names, addresses and telephone numbers of …………. for the purpose of verifying information and gaining additional information of a candidate.
(a) placement agency
(b) employment exchange
(c) reference
(d) labour welfare officer
Answer:
(c) reference

Question 7.
In which method, a trainee is put under the guidance of a master worker for a specified period to acquire a high level of skill?
(a) Apprenticeship programme
(b) Job rotation
(c) Coaching
(d) None of the above
Answer:
(a) Apprenticeship programme

Question 8.
Job offer is made through ………. to the selected candidate to confirm his acceptance and communicating to him the reporting date and time.
(a) contract of employment
(b) letter of appointment
(c) contract for service
(d) letter of credit
Answer:
(b) letter of appointment

Question 9.
Which of the following institution provides vestibule training?
(a) Industrial Training Institutes
(b) Indian Institute of Technology
(c) Indian Training Council
(d) Indian Training Commission
Answer:
(a) Industrial Training Institutes

Hint:
In case of industries which use sophisticated technologies, employees learn their jobs through vestibule training. Industrial Training Institutes (ITI’s) are training institutions which provides training for operating sophisticated tools and machines by creating a work environment in a classroom.

Staffing Class 12 Important Questions and Answers Business Studies Chapter 6

Question 10.
Which of the following statements is not true?
(a) Aim of education is to develop a rational mind.
(b) Fixed assets are the biggest assets of a business enterprise.
(c) Staffing ensures continuous survival and growth of an enterprise.
(d) The views of the concerned manager are generally considered in selection decision.
Answer:
(b) Fixed assets are the biggest assets of a business enterprise.

Hint:
Human resources are the biggest assets of a business entity not its fixed assets, as it is them who work on machines, solicits clients and perform various functions which makes an organisation feasible. Without quality human resources, fixed assests are useless.