NCERT Solutions - Staffing Commerce Notes | EduRev

Business Studies (BST) Class 12

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Commerce : NCERT Solutions - Staffing Commerce Notes | EduRev

The document NCERT Solutions - Staffing Commerce Notes | EduRev is a part of the Commerce Course Business Studies (BST) Class 12.
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Short Answer Type Questions

Question 1. Briefly enumerate the important sources of recruitment.
 Answer 
There are two Important sources of recruitment

NCERT Solutions - Staffing Commerce Notes | EduRev
When the firm arranges for manpower from within the organisation then it is known as
an internal source

These are of two types

(a) Transfer When we move an employee from one department to the other, from one branch to the other, from one division to another which leads to a change in his/her working environment it is known as a transfer There is hardly any change in his authority and responsibility.
 

(b) Promotion 

NCERT Solutions - Staffing Commerce Notes | EduRev

When we move an employee to a higher level In the same department,
branch, division or different department, branch or division which increases his
authority, responsibility and status, It is known as a promotion.
When the firm makes arrangements for manpower from outside the organisation from
any of the above given sources, it is known as external sources of recruitment

Question 2. What is meant by recruitment? How is it different from selection?
 Answer 
Recruitment refers to the process of finding possible candidates for a lob. It can be defined as the process of motivating and encouraging people to come and apply for a job in an organisation Selection is the process of identifying and choosing the best person out of a number 01 prospective candidates for a job. If recruitment is positive, selection is negative Recruitment helps in creating a pool of prospective workforce whereas selection helps in finding the best out of them.

Question 3. Define training. How is it different from education?
 Answer 
Training is the systematic development of knowledge, skills and attitudes
required by an individual to perform adequately a given task or job.

NCERT Solutions - Staffing Commerce Notes | EduRev

Question 4. Distinguish between training and development.
 Answer 
Difference between training and development

NCERT Solutions - Staffing Commerce Notes | EduRev

Question 5. Why are internal sources of recruitment considered to be more
 economical?
 Answer
Filling of jobs internally is cheaper as compared to getting candidates from
external sources because only transfer or promotion has to be done. It does not involve
the long process of staffing or selection It Increases the cost in the form of more time.
money and efforts in recruiting.

Question 6. What is the importance of staffing function in today’s environment?
 Answer 
Staffing is considered to be a key function because it deals With human resource. which is regarded as one of the most valuable resource of any organisation Once an organisation could place the right man at the right Job it is easy to plan, organise. coordinate. direct and control the human activities to get the desired results It helps in discovering and obtaining competent personnel. ensures the continuous survival and growth, helps to ensure optimum utilisation of resources and improves Job satisfaction as well.

Long Answer Type Questions

Question 1. Define the staffing process and the various steps involved in it.
 Answer
Staffing process of the management is concerned With acquiring, developing. employing. remunerating and retaining people or we can say It is the timely fulfilment 01 the manpower requirements with in an organisation.
The following steps are involved in staffing process

(i) Estimating the Manpower Requirements The first step in the staffing process is
determining the present manpower Inventory and assessing the present and future
manpower requirements of the organisation keeping In mind the production schedule.
demand etc.

(ii) Recruitment Recruitment may be defined as the process of searching for
prospective employees and stimulating them to apply for jobs in the organisation. For
this vanous sources can be used like transfer promotion, advertising. job consultants etc

(iii) Selection Selection of the prospective is the process of choosing from among the
pool Job candidates developed at the stage of recruitment It Involves a host of tests and
interviews

(iv) Placement and Orientation employee to other employees Orientation
is Introducing the selected and familiarising him with the rules and policies of the
organisation. He IS taken around the work place and
given the charge of the job for which he has been selected Placement refers to the
employee occupying the position or post for which the person has been selected

(v) Training and Development All organisations have either in-house training centres or
have forged alliances with training and educational institutes to ensure continued
learning of their subordinates By offering the opportunities for career advancement to
their members, organisations are not only able to attract but also retain its talented staff.

(vi) Performance Appraisal After the employees have undergone a period of training
and they have been on the job for some time. there is a need to evaluate their
performance The employee is expected to know what the standards are and the
superior IS to provide the employee feedback on his/her performance. The performance
appraisal process. therefore, will Include defining the lob. appraising performance and
providing feedback

(vii) Promotion and Career Planning It is very Important for all orqarusauons to
address career related Issues and promotional avenues for theIr employees. They must
provide opportunities to everyone to show their potential and in return promotions can
be provided.

(viii) Compensation All organisations need to establish wage and salary plans for their
employees. There are various ways to prepare different pay plans depending on the
worth of the job. Compensation therefore. refers to all forms of payor rewards going to
employees.

Question 2. Explain the procedure for selection of employees.
 Answer 
The important steps in the process of selection are as follows
1. Preliminary Screening It helps the manager eliminate unqualified or unfit Job
seekers based on the information supplied In the application forms.
2. Selection Tests An employment test is a mechanism that attempts to measure
certain characteristics of individuals These range from aptitudes, such as manual
dexterity, to Intelligence to personality.
3. Employment Interview Interview is a formal, in depth conversation conducted to
evaluate the applicant’s suitability for the Job
4. Reference and Background Checks Many employers request names, addresses
and telephone numbers of references for the purpose of verifying information and
gaining additional on an applicant.
5. Selection Decision The final decision has to be made among the candidates who
pass the tests. Interviews and reference checks
6. Medical Examination Before the candidate is given a job offer he/she is required to
go through a medical test.
7. Job Offer Job offer IS made through a letter of appointment/confirm hiS
acceptance Such a letter generally contains a date by which the appointee must
report on duty.
8. Contract of Employment After the job offer has been made and candidate accepts
the offer. certain documents need to be executed by the employer and the
candidate There is also a need for , preparing a contract of employment It
Includes lob title. duties responsibilities, date when continuous employment starts
etc.

Question 3. What are the advantages of training to the individual and to the
 organisation?
 Answer
Training helps both the organisation and the individual

Benefits to the Organisation

1. Training is a systematic learning which reduces the wastage of efforts and money.
2. Enhances employee productivity
3. Training helps a manager to handle an emergency situation.
4. Training motivates workers and thus reduces absenteeism.
5. Helps in adjusting to the changing environment (technological).

Benefits to the Employee

1. Better career opportunities due to improved skills and knowledge.
2. Earnings can be increased due to improved performance.
3. Trained workers can handle machines more efficiently.
4. Employees always remain motivated and satisfied.

Question 4. The staffing function is performed by every manager and not necessarily
 by a separate department. Explain.
 Answer 
Staffing is a function which all managers need to perform. It is the responsibility
of all managers to directly deal with and select people to work for the organisation.
When the manager performs the staffing function his role is slightly limited. In small
organisations, managers may perform all duties related to employees salaries, welfare
and working conditions but as organisation grow and number of persons employed
increases, a separate department called the human resource department is formed
which has specialists in managing people.

Application Type Questions

Question 1. The workers of a factory are unable to work on new machines and always
 demand for help of supervisor. The supervisor is overburdened with their frequent calls.
 Suggest the remedy.
 Answer 
Since the workers of a factory are unable to work on new machines. Training
should be imparted in this case as it is the process of learning new skills and application
of knowledge. Whenever, the new machines are installed in business it is the duty of
management to provide training in order to achieve the desired goal. As per the case it
is mentioned that supervisors are over burdened with their calls. Supervisor had some
other work also if he involves in imparting training then his work is suffered. Thus, the
management should provide the apprenticeship training programme under this trainee
put under the guidance of a master worker. These are designed to acquire a higher
level of skill. The master worker performs the job and the trainee observes him
performing. When the learner learns all the skills then slowly he starts taking up the job
step by step and get full charge on job after some time.

Question 2. The workers of a factory remain idle because of lack of knowledge of hi-tech machines. Frequent visit of engineer is made which causes high overhead charges. How can this problem be removed? 
 Answer 
The workers of a factory are not performing because of lack of knowledge of hi-tech machines. Technological change arises the little need for employees to upgrade or alter their skills. Thus, in this case training should be provided by the engineer to one of their supervisor so that he will guide the other workers and able to enhance their productivity. Frequent visit of engineer results in high overhead charges When the training imparted to the supervisor then he equips and handle the situation In the absence of engineer or In case of emergency 

Question 3. The quality of production is not as per standards. On investigation, it was observed that most of the workers were not fully aware of the proper operation of the machinery. What could be the way to improve the accuracy? 
 Answer 
Workers should be provided off the job training methods where they can be
taught how to maintain accuracy related to the proper operations of the machinery.
Training makes the employee more efficient and results in high productivity.

Question 4. An organisation provides security services. It requires such candidates who are reliable and don’t leak out the secrets of their clients. What step should be incorporated in selection process?

Answer ‘Reference check’ – this step should be done very carefully. Previous employer can be contacted to check his moral behaviour or conduct. Sincerity etc. The new candidates should be made to sign contract of employment which clearly states that strict action will be taken If found guilty

Question 5. A company is manufacturing paper plates and bowls. It produces 1,00,000 plates and bowls each day. Due to local festival, it got an urgent order of extra 50,000 plates and bowls. Advise how the company will fulfill its order and which method of recruitment would you suggest?

Answer There are two sources; internal and external. If internal source IS used then existing workforce can be asked to work overtime. If external source is used then

  1. existing employees can be asked to recommend names of their friends and relatives.
  2. recruitment through labour contractors can also be done.

Case Problems

1. A company X limited is setting up a new plant in India for manufacturing auto components. India is a highly competitive and cost effective production base in this sector. Many reputed car manufacturers source their auto components from here. X limited is planning to capture about 40% of the market share in India and also export to the tune of at least $ 5 million in about 2 years of its planned operations. To achieve these targets it requires a highly trained and motivated work force. You have been retained by the company to advise it in this matter. While giving answer keep in mind the sector, the company is operating.

Question 1. Outline the process of staffing the company should follow.

Answer X Ltd is planning to set up new plant in India for manufacturing auto components. The prime concern of the company is to hire the manpower who are highly trained and motivated. In order to achieve the targets, the company should follow the staffing process in this manner.

NCERT Solutions - Staffing Commerce Notes | EduRev

Question 2. Which sources of recruitment the company should rely upon? Give reasons for your recommendation.

Answer The company is establishing a new unit in India. Thus. they should rely on external sources of recruitment. They should adopt this source and through employment exchange. placement agencies. labour contractors they will able to get the good staff in company

This recommendation is fruitful because through these sources the company is having a wide choice of candidates. they can get the qualified personnel and brings new blood in the organisation who are highly
competitive. will work harder to show better performance.

Question 3. Outline the process of selection the company should follow with reasons.

Answer Through recruitment process organisation receive large number of applications. In order to select the most suitable candidate to perform the job. Selection process is to be considered. Following steps are to be taken

NCERT Solutions - Staffing Commerce Notes | EduRev
Company should follow these steps in series as the first step preliminary screening
helps the manager to select among those candidates whose applications are selected

Second step is selection test it is to be conducted to check the practical knowledge of
the candidate.

Third step interview is to be taken of those candidates who qualify the test. A panel of
experts is called which are identifying the best among hundreds.

Fourth step is selection decision. The candidates who pass the test, interview included
In selection list and critically examined that they are best or not.

Fifth step is examining their medical fitness they are efficient or not.

Sixth step is to offer the job, providing them a letter of appointment in which terms and
conditions are mentioned.

The final step is contract of employment when candidate accepts the job offer they
signed the contract of employment, the employer and candidate exchange certain
documents.

Question 4. Which methods of training and development should be Company initiate? Explain giving reasons. 
Answer
The company can use ‘On the job’ and ‘Off the job’ training methods.
The merits or benefits of ‘On the job’ are

1. It is a practical method.
2. The trainee can contribute towards the real/actual work. (iii) Separate
arrangements need not be done.

If the ‘Off the job’ methods are used then the benefits derived are

1. Vestibule training helps in avoiding modern and expensive equipment from being
damaged.
2. Conference helps In to develop conceptual knowledge reduce, resistance to
change etc.

2. A major insurance company handled all recruiting screening and training processes
for data entry/customer service representatives. Their competitor was attracting most of
the qualified, potential employees in their market. Recruiting was made even more
difficult by the strong economy and the ‘job seeker’s market: This resulted in the client
having to choose from candidates who had the ‘soft’ skills needed for the job, but lacked
the proper ‘hard’ skills and training.

Question 1. As an HR manager what problems do you see in the company?
 Answer 
The human resource manager may face the following problems
(i) Lack of trained workforce
(ii) Lack of sufficient personnel to provide customer services.
(iii) Inefficient maintenance of data.

Question 2. How do you think it can be resolved?
 Answer 
Following steps can be taken to resolve these problems
(i) Proper training of the personnel.
(ii) Provision of incentive based schemes.
(iii) Proper data base should be maintained by the company provide efficient services. in
order to

3. A public transport corporation has hired 1,000 buses for the different routes for the
passengers of metropolitan city. Most of the 3,000 crewmen (drivers, conduct, helpers
etc) of these buses have been found to be wanting in satisfactorily dealing with public
and daily commuter. They seem to be little interested in the job and the job seem to
have lost all meaning to them.

Question 1. As manager of the public transport company what measures do you suggest to improve the working of crewman in question?
 Answe
r The following measures can be taken to improve the working of crewmen.
(i) Along with wages/salary various other facilities should be provided to them like
education for their children, insurance etc.
(ii) Working hours should be between 7 to 8 per day
(iii) Intervals should be provided.

Question 2. Is it possible to modify their behaviour by planning a suitable type of
 training? Suggest one.
 Answer
Yes, it is possible to modify their behaviour by planning ‘coaching’ training
programme as in this programme superior guides and instruct the trainee as a coach.
He suggests the changes required in behaviour and performance of the employee.
Coach gives due Importance to the objective of individual and objectives of
organisation. Thus, effective coaching motivates the employees to perform their best
ability.

4. Ms Jayshree recently completed her post graduate diploma in human resource
management. A few months from now a large steel manufacturing company appointed
her as its human resource manager. As of new, the company employs 800 persons and
has an expansion plan in hand which may required another 200 persons for various
types of additional requirements. Ms Jayshree has been given complete charge of the
company’s human resource department.

Question 1. Point out what functions is she supposed to perform?
 Answer 
Ms Jayshree as HR manager is required to perform the following functions
(i) Recruitment
(ii) Prepare job description
(iii) Preparing compensation and incentive plans
(iv) Arranging training programmes
(v) Making welfare schemes for employees
(vi) Handling grievances of employees
(vii) Handling labour dispute

Question 2. What problems do you foresee in her job?
 Answer
She may face the following problems
(i) Properly qualified candidates may not be available.
(ii) Demand for wages may go higher.
(iii) After providing training the workers may leave the organisation.
(iv) Trade unions may bring unreasonable demands.

Question 3. What steps is she going to take to perform her job efficiently?
 Answer 
Following steps can be taken by her to perform her job efficiently
(i) She should make use of all the possible sources of recruitment.
(ii) She should frequently consult the experts and also observe the policies followed by
competitors to recruit and retain the workforce.
(iii) Maintaining cordial relationship With trade unions and encouraging them to act as
one big family.

Question 4. How significant is her rote in the organisation?
 Answer 
Her role n very significant In the organisation. She is a human resources
manager and concerned with timely procurement of competent manpower and ensuring
its effective and efficient utilisation so as to survive along with the three main objectives;
organisational. individual and societal.

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