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(a) (i) Principle of Timeliness: According to this principle, an accounting system should be established in such a fashion that it provides information to all users in a timely manner. If timely information is available to the management, corrective steps can be immediately taken. In India, there is a provision for publishing half-yearly financial reports of the companies. This provides timely information to investors and potential investors to make their investment decisions. 

(ii) Money Measurement Concept: According to this principle only those transactions can be recorded in the books of accounts, which can be expressed in the terms of money. This makes accounting records relevant, simple and easy to understand. For example, the retirement of the chairman of the company cannot be recorded because it is not possible to measure the monetary effect of retirement except in terms of gratuity and other benefits payable to the chairman. 

(b) Newspapers: Educated and civilised people all over the world read newspapers as a matter of habit. Newspapers reach all places and are read by all types of people. Therefore, newspapers advertising has a general and wide appeal. Newspapers can be classified into several categories on the basis of frequency of publication, (daily,weekly, monthly), language (Hindi, English etc.), retion, time (morning, evening and day editions). The choice of particular newspaper for advertising depends upon the circulation of the paper, the type of readers it serves, the geographical region in which it is popular, the cost of space and general reputation of the paper. 

The features of newspapers as a media of advertising are: 

1. Newspapers has a wide circulation and therefore, the advertisement reaches a large number of persons. 

2. The choice of a particular newspaper for advertising depends upon the circulation of the paper, language, types of readers it serves etc. 

3. Newspaper are printed daily and therefore the advertisement can be repeated daily. 

(c) Narmada Bachao Andolan: This was started in 1986 under the leadership of Medha Patkar. It aimed primarily to educate those directly affected about the social and environmental impact of large development projects. It began as a protest against the construction of dams in the Narmada valley. The Andolan mobilised and organised residents of the Narmada Valley on human rights, and environmental issues related to big dams. The leaders of this movement are fighting against displacement and disregard of the rights of the people. 

Chipko Movement: It is a tree-embracing movement started in April 1973 in Mandal Village in Uttrakhand against felling of trees by forest contractors. It is a spontaneous peoples movement started by the village women based upon non¬violent resistance reflecting awareness of the local people against environ-mental degradation. Mr. Chandi Prasad Bhatt and Mr. Sunderlal Bahuguna led the movement from the front.

(a) Uses of Product Life Cycle: 

1. When the product life cycle is known the firm can prepare an effective product plan. 

2. Management can take advance steps before the decline of the product. 

3. The maturity stage can be extended by finding new uses of the product. 

4. Technological innovations can be adopted to improve the quality, features and design of the product. 

5. Product life cycle points out the needs for significant and periodic adjustments in the marketing strategy or marketing mix of the firm. 

(b) Steps taken by Nokia: 

1. After 2010, Nokia switched to the Microsoft Windows OS from Symbian operating system. 

2. Nokia sell its acquisition to Microsoft to improve its brand image. 

(c) Nokia can adopt following promotional activities to increase its market share: 

1. Exchange Offers: Company can announce the exchange of an old mobile phone with a new mobile after payment of a specified amount. 

2. Price-off offers: Company can offers modern and new products at below the normal price. 

3. Prize Contests: Company can announce prize for dealers, salesman, customers, distributors under various activities.

(i) The business entity concept states that the transactions associated with a business must be separately recorded from those of its owners or other businesses. It requires the use of separate accounting records for the organization that completely exclude the assets and liabilities of any other entity or the owner. Without this concept, the records of multiple entities would be intermingled, making it quite difficult to discern the financial or taxable results of a single business. 

(ii) The going concern concept of accounting implies that the business entity will continue its operations in the future and will not discontinue its operations due to any reason. A company is a going concern if no evidence is available to believe that it will or will have to cease its operations in future.

External factors of the micro environment of business are as follows: 

Customers: As all businesses need customers, they should be customers-oriented. The firm’s marketing plan should aim to attract and retain customers through products that meet their “wants and needs” and excellent customer service.

Employees: Employing staff with relevant skills and experience is essential. This process begins at the recruitment stage and continues throughout an employee’s employment via ongoing training and promotion opportunities. Training and development play a critical role in achieving a competitive edge; especially in Service Sector Marketing. If a business employs staff without motivation, skills or experience it will affect customer service and ultimately sales.

Suppliers: Suppliers provide businesses with the materials they need to carry out their business activities. A supplier’s behaviour will directly impact the business it supplies. For example, if a supplier provides a poor service this could increase timescales or product quality. An increase in raw material prices will affect an organization’s Marketing Mix strategy and may even force price increases. Close supplier relationships are an effective way to remain competitive and secure quality products.

Shareholders: As organizations require investment to grow, they may decide to raise money by floating on the stock market i.e. move from private to public ownership. The introduction of public shareholders brings new pressures as public shareholders want a return from the money they have invested in the company. Shareholder pressure to increase profits will affect organizational strategy. Relationships with shareholders need to be managed carefully as rapid short term increases in profit could detrimentally affect the long term success of the business.

Media: Positive media attention can “make” an organization (or its products) and negative media attention can “break” an organisation. Organizations need to manage the media so that the media help promote the positive things about the organisation and reduce the impact of a negative event on their reputation. Some organizations will even employ public relations (PR) consultants to help them manage a particular event or incident.

Consumer television programmes with a wide and more direct audience can also have a very powerful impact on the success of an organisation. Some businesses recognize this and will change their reaction when consumers mention that they are going to contact a consumer television programme or the newspapers about the business.

Principles of Management as laid down by F.W. Taylor are: 

Division of Work : Division of work refers to dividing the work into compact jobs and allocating these compact jobs to different individuals.

Authority and Responsibility : According to this principle, there should be a proper balance between authority and responsibility.

• Authority is the right to give orders to subordinates and responsibility is the duty, which a subordinate is expected to perform by virtue of his position in organisation. Authority and responsibility go hand in hand.

Discipline : Discipline refers to obedience to rules and regulations of the organisation, which is necessary for systematic working of the organisation.

Unity of Command : According to this principle, each subordinate should receive orders and be accountable to one and only one superior.

Unity of Direction : Unity of Direction implies that there should be one head and one plan for group of activities having same objectives.

Subordination of Individual Interest to General Interest: According to this principle, interest of the organisation as a w hole must prevail over the interest of the individuals or employees.

Remuneration of Employees : According to this principle, overall pay and compensation should be fair to both employees and organisation.

• The remuneration should be just and fair to everybody. 

• It should provide satisfaction to both employees and organisation.

Centralization and Decentralization : According to this principle, there should be proper balance between centralization and decentralization in the organisation. Centralization refers to concentration of authority at the top level, whereas decentralization refers to evenly distribution of authority at all levels of management.

Scalar Chain: Scalar chain is the chain of superiors ranging from the highest authority to the lowest level in the organisation.

Order: According to this principle, there should be a place for everything and every one.

• If there is a fixed place for everything and it is present there, then there w ill be no obstruction in work. 

• It will lead to increased productivity and efficiency.

Equity : According to this principle, there should not be any discrimination among the employees on the basis of religion, language, caste, sex, belief or nationality.

Stability of Personnel: According to this principle, there should be proper efforts to achieve stability and continuity’ of tenure of personnel.

Initiative : According to this principle, workers should be encouraged and given an opportunity to take some “initiative in making and executing the plans.

EspiritvDe Corps : According to this principle, management should take reasonable steps to develop a sense of belongingness and feeling of team spirit among employees.

Science, Not Rule of Thumb : In order to increase organizational efficiency, the Rule of Thumb’ method should be substituted by the methods developed through scientific analysis of work.

Rule of Thumb means decisions taken by manager as per their personal judgement’s. According to Taylor, even a small production activity can be scientifically planned. This will help in saving time as well as human energy. Decisions should be based on scientific enquiry with cause and effect relationships.

Harmony, Not Discord : Taylor emphasized that there should be complete harmony between the workers and the management since if there is any conflict between the two; it will not be beneficial either for the workers or the management Both the management and the workers should realize the importance of each other. In order to achieve this state, Taylor suggested complete mental revolution on the part of both management and workers.

It means that there should be complete change in the attitude and outlook of workers and management towards each other. It should always be kept in mind that prosperity for an employer cannot exist for a long time unless it is accompanied by the prosperity of the employees of that organization and vice versa.

Mental Revolution: The technique of Mental Revolution involves a change in the attitude of workers and management towards each other. Both should realize the importance of each other and should work with full cooperation. Management as well as the workers should aim to increase the profits of the organization.

Cooperation, Not Individualism : This principle is an extension of principle of “Harmony, not discord’ and lays stress on mutual cooperation between workers and the management. Cooperation, mutual confidence, sense of goodwill should prevail among both, managers as well as workers. The intention is to replace internal competition with cooperation.

The basic principles of scientific management are as follows : 

(i) Science not Rule of Thumb: Each and every job and the method of doing it should be based on scientific study and analysis rather than on trial and error. The task to be performed should be scientifically planned. The materials, equipment and working condition should be standardised. The amount of work to be done should be decided through objective study.

(ii) Harmony not Discord: There should be healthy co-operation between employer and employees. Taylor advocated a complete mental revolution on the part of both management and workers. Management should adopt an enlightened attitude and share the gains of productivity’ with workers. Workers on their part should work with discipline and loyalty.

(iii) Maximum not Restricted Output: Conflict between management and workers arises mainly on the division of surplus. Taylor suggested that the best way to resolve the conflict is to increase the size of surplus so that each side can have a larger share. Management and w orkers have a common interest in increasing productivity.

(iv) Division of Work and Responsibility: Taylor suggested separation of planning from operational work. Management should concentrate on planning the job of workers and workers should concentrate on the performance of work.

(v) Scientific Selection, Training and Development of Workers: Workers should be selected and trained to keep in view the job requirements. Each and every worker should be encouraged to develop his full potential.

1. Science, Not Rule of Thumb: This principle says that we should not get stuck in a set routine with the old techniques of doing work, rather we should be constantly experimenting to develop new techniques which make the work much simpler, easier and quicker.

2. Harmony, Not Discord: As per this principle, such an atmosphere should be created in the organisation that labour (the major factor of production) and management consider each other indispensable. Taylor has referred to such a situation as a ‘Mental Revolution’. Taylor firmly believed that the occurrence of a mental revolution would end all conflicts between the two parties and would be beneficial to both of them.

3. Cooperation, Not Individualism: According to this principle, all the activities done by different people must be carried on with a spirit of mutual cooperation. Taylor has suggested that the manager and the workers should jointly determine standards. This increases involvement and thus, in turn, increases responsibility. In this way, we can expect miraculous results.

4. Development of Each and Every Person to His/Her Greatest Efficiency and Prosperity: According to this principle, the efficiency of each and every person should be taken care of right from his selection. A proper arrangement of everybody’s training should be made.

It should also be taken care that each individual should be allotted work according to his ability and interest. Such a caring attitude would create a sense of enthusiasm among the employees and a feeling of belongingness too.

Labelling: Label is a slip which is found on the product itself or on the package providing all the information regarding the product and its producer. This can either be in the form of a cover or a seal. 

For example, the name of the medicine on its bottle along with the manufacturer’s name, the formula used for making the medicine, date of manufacturing, expair date, batch no., price etc., are printed on the slip thereby giving all the information regarding the medicine to the consumer. The slip carrying all these in details called Label and the process of preparing it as Labelling.

Packaging: Packaging aims at avoiding breakage, damage, destruction, etc., of the goods during transit and storage. Packaging facilitates handling, lifting, conveying of the goods Many a time, customers demand goods in different quantities. It necessitates special packaging. Packing material includes bottles, canister, plastic bags, tin or wooden boxes, jute bags etc.

The three objectives of management are : 

Organisational objectives : Management is responsible for setting and achieving the objectives of an organisation. 

These objectives include :

• Optimum utilization of resources. 

• Innovation and development of new product or a new method of production. 

• Securing maximum results with minimum efforts. 

• Integration of organisational and individual interest.

Social objectives: Social objectives deal with the commitment of an organisation towards society-. 

These objectives include :

• Consumer satisfaction 

• Providing financial support to community 

• Preservation and protection of environment

Individual Objectives: It refers to ascertainment of the objectives in reference to the employees, while ascertaining personal objectives. It must be taken into consideration that in no way there is a clash between organisational and personal objectives.

These objectives include :

• Providing good working conditions 

• Peer recognition 

• Good human relations amongst the workers 

• Integration of personnel objectives with corporate objectives.

A crossed cheque is a cheque, the amount of which is payable through the account of the payee. It cannot be cashed at the counter of the bank. If it is stolen, nobody can encash the cheque. Two parallel lines are to be drawn across the face of the cheque with the words ‘Account Payee’ in order to make a cross cheque. A cheque is said to be crossed when two transverse parallel lines are drawn across its face (with or without any words):

• The crossing of a cheque ensures security and protection to the true owner of the cheque. 

• It helps to detect the bonafide owner of the cheque.

Planning is selecting priorities and results (goals, objectives, etc.) and how those results will be achieved. Planning typically includes identifying goals, objectives, methods, resources needed to carry out methods, responsibilities and dates for completion of tasks.

ESOP (Employee stock ownership plan) refers to an employee benefit plan which offers employees an ownership interest in the organization. Employee stock ownership plans arc issued as direct stock, profit-sharing plans or bonuses and the employer has the sole discretion in deciding who could avail of these options.

However, Employee stock ownership plans are just options that could be purchased at a specified price before the exercise date. There are defined rules and regulations laid out in the Companies Rules which employers need to follow for granting of Employee stock ownership plans to their employees.

Management as a science: Science is a systematised body of knowledge, which can be acquired through observations and experimentations. The basis of science is to search for information by means of determining the cause-effect relationship through observations and experimentation. 

The essential features of science are as follows:

• Systematised body of knowledge. 

• Continued observations.

• The universal validity of principles. 

• Principles-based on experiments.

Now let us see how far management fulfils these requirements to qualify as a science.

(i) Systematised body of knowledge: Science is a systematised body of knowledge which is based on a cause-effect relationship. Management viewed science as it is also a systematised body of knowledge built up by management make use of scientific methods for observations followed by management practitioners and experts over a period of time. The principles of management make use of scientific methods for observations.

(ii) Continued observations: Science uses the scientific methods of observations which are unbiased and objective. The knowledge of management has been acquired through the continuous efforts of many experts and practitioners over a period of years. The methods of observations followed by management are not completely objective, since management deals with human beings whose behaviour cannot be predicted.

Management as an Art: Art refers to the application of skill and knowledge to attain the desired result. Art is concerned with the practical application of theoretical knowledge. The function of Art is to accomplish concrete ends. It represents the methods of doing specific things and indicates how an objective is to be achieved. Every art is practical and is concerned with the creation of something. 

Art has the following five essential features:

• Practical knowledge. 

• Personal skills. 

• Result – Oriented approach. 

• Constructive skill (i.e. creativity). 

• Regular practice aimed at further improvement.

Now let us see how far management fulfils these requirements to qualify as an art: 

(i) Practical knowledge: Art presupposes the existence of theoretical knowledge. Art is concerned with the application of theoretical knowledge. Therefore, every form of art has both theoretical and practical aspects. Management is an art of getting things done through people to accomplish desired results. Management is concerned with putting the available knowledge into practise so as to accomplish predetermined goals.

(ii) Personal skills: Every manager has his own style of working the taste of management lies in the skillful used of one’s technical knowledge to ensure maximum productivity and profitability. The manager has to use his personal skill and knowledge in solving many complicated problems to accomplish desired results. Therefore, management is a practice and performance.

Ploughing back of profits refers to the process of retaining a part of the net profit year after year and reinvesting the same in business. 

There are some advantages of ploughing back of profits are :

(i) The company can undertake its plans for expansion, growth and modernization without bothering about conditions in the capital market. 

(ii) Ploughing back of profits add to the financial strength and creditworthiness of the company. 

(iii) Reserves created by ploughing back of profits can be used to stabilize the rate of dividend on equity shares.

La belling refers to designing the label and putting it on the package. A label is a small slip placed on the product to denote its nature, contents, ownership, destination etc. It is a medium through which the manufacturer gives necessary information to the user or consumer. 

Various advantages of labeling are:

• A carefully designed label helps in attracting the customers and induces them to purchase the product. 

• It avoids price variations by publishing the price on the label. 

• It helps in identifying the product from among various products available in the market.

• It is a guarantee for the standard of the product. Hence, it raises the prestige of the product and of the manufacturer. 

• It is social service to customers, who very often do not know anything about the product’s characteristics features.

Management is considered to be science because : 

Systematic Body of Knowledge : Management is a systematized body of knowledge based on cause and effect relationship e.g., genetic principle derived by Darwin. Like all other organized activity, management has its own vocabulary of terms through which managers communicate with each other.

Observations and Experiments: The principles of management have also been developed over a period of time, on the basis of experimentation and observation. Management experts and practitioners have developed the knowledge after careful analysis, inquiry and experience. Management deals with human beings and human behavior which cannot be scientifically predicted.

Cause and Effect Relationship : Management Principles builds the cause and effect relationship between various factors. For example, dual subordination leads to confusion.

Universal Validity of Principles : The principles of science are universally applicable i.e.. these principles hold time under each and every situation. These principles have universal validity. These principles have to be modified according to the situation.

Art implies application of know ledge and skill to trying about desired results. An art may be defined as personalized application of general theoretical principles for achieving best possible results. 

Art has the following characters :

Practical Knowledge : Every art requires practical knowledge therefore learning of theory is not sufficient. It is very important to know practical application of theoretical principles.

Personal Skill: Although theoretical base may be same for every artist, but each one has his own sty le and approach towards his job. That is why the level of success and quality of performance differs from one person to another.

Similarly management as an art is also personalized. Every manager has his own way of managing things based on his knowledge, experience and personality that is why some managers are known as good managers.

Creativity: Every artist has an element of creativity in line. That is why he aims at producing something that has never existed before which requires combination of intelligence and imagination. Management is also creative in nature like any other art. It combines human and non-human resources in useful way so as to achieve desired results. It tries to produce sweet music by combining chords in an efficient manner.

Perfection through practice : Practice makes a man perfect. Every artist becomes more and more proficient through constant practice. Similarly managers learn through an art of trial and error initially but application of management principles over the years makes them perfect in the job of managing.

Result-Oriented : Even art is result oriented as it seeks to achieve concrete results. In the same manner, management is also directed towards accomplishment of predetermined goals. Managers use various resources like men. money, material, machinery’ and methods to promote growth of an organization.

The demerits of Public deposits are : 

Uncertainty : Public deposits is an uncertain and unreliable source of finance. During depression period the depositors may not respond. Also, deposits may be withdrawn whenever the financial position of the company is not stable.

Suitable for Short-term Finance : A company cannot depend upon public deposits for a long-term financing requirement as the maturity’ period of public deposits is between six months to three years.

Hindrance to Growth of Capital Market : Public deposits hamper the growth of a healthy capital market in the country. Widespread use of public deposits creates a shortage of industrial securities.

Line and staff organisation refer to a pattern in which staff specialists advise line managers to perform their duties.

• Managers are of two types – Line Managers and Staff Managers. 

• Line Managers perform the functions of decision-making, issuing orders and controlling while Staff Managers perform the functions of advising, assisting and providing expert and specialised services. 

• There is unity of command. 

• There is a scalar chain.

Merits: This form of the organisation came to existence as an improvement over the line organisation. Line and staff organisation has removed serious drawbacks of the line organisation.

Specialization: It is based on planned specialisation, line managers get the benefit of specialized knowledge of staff specialists at various levels.

Encouragement to research and development programmes: The growth of an enterprise depends largely on various research and development programmes. 

The staff provides this service to the line departments.

Balanced decisions: Line managers may not have specialised knowledge in all areas and due to this line managers may sometimes give wrong orders or pass the wrong judgement. The suggestions and advice are given by the staff manager help them in making a rational judgement and balanced decisions.

Less burden on line managers: Staff managers relieve the line managers from the botheration of concentrating on the specialised functions like accounting, selection and training of employees, public relations etc. Thus there is a less burden online managers. Many problems that are ignored or poorly handled in the line organisation, can be properly covered. It is more flexible.

Staff transfer is the movement of an employee from one job to another (or from one organisation to another) without any increase in pay, status or responsibilities. Usually, transfer takes between jobs (or offices) paying slightly the same salaries. A slight change in responsibilities, duties and pay increasing may also occur. Transfer is an important source for internal recruitment. A transfer may take place at either at the intention of the employer or at the request of the employee concerned. “A transfer involves the shifting of an employee from one job to another without special reference to change in responsibilities (or compensation)” Dale Yoder, “A transfer involves a change of jobs without any significant increase in responsibility or income.” 

Three types of staff transfers are : 

Production transfer: Production transfer arises when there is need for more workers in one factory (or plant) and surplus workers in another factory (or plant). In such a situation workers are transferred from the over staffed factory to the under staffed factory. It helps to establish the employment in the organisation and pervents layoff of workers. 

Replacement transfer: Replacement transfer arises when an employee with a long service is transferred in other department to replace an employee with shorter service. Such a replacement is also known as bumping. This transfer helps to retain the long service employees as long as possible during a period when there is high pressure of work. 

Versatility transfer: Versatility transfer arises for the purpose of preparing the employees for production transfer as well as replacement transfer. This transfer helps to develop all around proficiency among the employees. It is a tool in the hands of management to have a more versatile group of employees. The necessity of such a transfer can be increasingly felt as part of a continued re-training programme.

Staff locating devices 

Cell Phones : Most of the companies have provided cell phones to their employees or they are possessing it at their own. Immediate contact can be made by the person from office. If the person is not in the position to attend the call, atleast he comes to know from where call is being received. 

Bells and Buzzers : Bells and buzzers are devices which produce sound on pressing a button. This button is located at the table of the superior and by pressing the button bell sounds outside his room/cabin and the sub-staff/peon to whom it is intended reaches to the location of calling official. 

Loud Speakers : Speakers can also be used in locating the employees. The message by the official is given to the Reception Area or other concerned employee who makes an announcement on public speaker system to address an employee.

Situational leadership is an adaptive leadership style. This strategy encourages leaders to take stock of their team members, weigh the many variables in their workplace and choose the leadership style that best fits their goals and circumstances.

“Staff appraisal is the process of evaluating the employee’s perform once on the job in terms of the requirement of the job.” 

In Merit Grading method certain grades of merit are decided. The raters are required to distribute the rating into predetermined scales. Employees are rated on the basis of overall performance. 

This method eliminates the subjective judgement and two or more employees can be given equal rating. 

Some objectives of staff appraisal are : 

• To identify the strengths and weaknesses of staff to place right men on right job. 

• To maintain records in order to determine compensation packages, wage structure etc. 

• To identify inefficient workers and the’ reasons for their inefficiency. 

• It serves as a basis for influencing working habits of the employees.

Performance Appraisal is the systematic evaluation of the performance of employees and to understand the abilities of a person for further growth and development. 

PROS: 

They provide a document of employee performance over a specific period of time. 

• They provide a structure where a manager can meet and discuss performance with an employ ee. 

• They allow a manager the opportunity to provide the employee with feedback about their performance and discuss how well the employee goals were accomplished. 

• They provide a structured process for an employee to clarify expectations and discuss issues with their manager. 

• They provide a structure for thinking through and planning the upcoming year and developing employee goals. 

• They can motivate employees if supported by a good merit increase and compensation system. 

CONS: 

• If not done right, they can create a negative experience. 

• Performance appraisals are very time consuming and can be overwhelming to managers with many employees. 

• They are based on human assessment and are subject to rater errors and biases. 

• Can be a waste of time if not done appropriately. 

• They can create a very stressful environment for everyone involved.

A report is an organised form of facts that serves some purpose. It is prepared by the report writer and presented to the persons interested in it. It is a description of the event for someone who was not present at the time of event. 

Characteristics of a Good Report: 

• A report should be proper organisation of facts. 

• A report written in a simple and unambiguous language is a good report. 

• A report should not be too lengthy. 

The report-writer should be clear about the purpose of the report. After ascertaining the purpose, a good report can be prepared. 

A report should have a proper heading. Reports of various types : 

• Formal Reports 

• Informal Reports 

• Statutory Reports 

• Non-Statutory Reports 

• Special Reports 

• Routine Reports 

• Letter Reports 

• Memorandum Report 

• Staff Report Technical Report 

• Audit Report

Fair warning to terminate an employee Every employee should be given the chance to reach the standards you set and be given a fair hearing. Your HR policy should set fair and clear procedures for discipline and dismissal. Use our HR manual template to set up your policy. Required notice period. 

This varies depending on how long they have worked for the business. You may also choose to pay ‘payment in lieu of notice’ (money equal to the wages for the notice period) if you would like the employee to stop working immediately or before the end of the notice period.

Suspension means disciplinary action taken against an employee to penalize him for his conduct. Whereas, termination is the removal of an employee from the payroll due to circumstances beyond the control of the employer.

Four Important steps that may be adopted by an organisation in its staff selection procedure are:

Preliminary Interview: The preliminary interview is usually brief and it helps in deleting the totally unsuitable candidates. If an applicant is eliminated at this stage the organisation will be saved from the skill of processing him through the remaining steps of selection procedure. It may take place across the counter in the organisation employment office. It may be carried out primarily to determine whether it is worthwhile for the applicant to fill in an application form. However, some organizations follow the practice of holding preliminary interviews after receiving applications from the candidates. The job seekers will be called for the employment tests and interviews only if they get through the preliminary interview. 

Receiving Applications: An application form is designed to get a written record of the candidates qualifications, experience and any other specialty. There is a high degree of similarity between the application form of different organisation. The data obtained from the application form is useful is determining the suitability of the candidate. 

Group Discussion : Group discussion can also be conducted for selecting candidates. In this method four or five candidates are brought around a conference table and are asked to discuss on a given issue or topic. The candidates discuss and the selection panel observes them carefully and ranks them according to merit. 

Reference Check: The persons named in the application form by the candidate are contacted for cross-checking the candidate’s character, behavior, initial background, etc. Some organizations send the details of the candidates to local police station for verifying his character.

Campus Placements/Campus recruitment drives are conducted in various educational institutes for providing job opportunities to the students who are pursuing their particular academic courses. Campus placements offer a student a wonderful opportunity to get placed during the course of his academic pursuits, and provide him the comforts of a safe and secure future. Keeping in mind the importance of the campus placement programs, it is vital for a student to prepare adequately for these programs and make sine that they put their best foot forward. 

Benefits for Business Houses: The business houses are benefited from getting wide choice of candidates to select for different job posts. They can select the right and talented candidate from a vast pool of young applicants within a limited time. 

Campus recruitment helps in saving time and efforts of the business houses : An organization through effective campus recruitment finds an opportunity to establish a link with the next batch of students. 

This in turn paves way to serve the future and long term recruitment needs of the business house. Students participating in internships and summer training programs may have direct recruitment to different job positions offered by the business house.

Advantages to the students : Students have the advantage of getting a good job according to their qualification level even before the completion of their academic course in college. Campus recruitment helps in increased selection ratio. More number of quality candidates can be selected through this recruitment process. The students have not to apply at various places for a job.

Selection Interview : Interview serves as a means of checking the information given in the application forms and the tests results. It also provides an opportunity to the candidates to enquire about the job during interview. Managers get an opportunity to take a decision about their suitability for employment. Selection interview should be conducted in an atmosphere which is free from disturbance, noise and interruption. Interview should be conducted in great depth to judge the suitability of the candidates. There are no hard and fast rules of interviewing candidates. Interviews, in general, 

can be conducted in the following ways : 

1. Structured or Patterned Interview: In such an interview different sets of questions having the same pattern and with the same difficulty level, are framed in advance. Different candidates are asked different series of questions. 

2. Unstructured or Non-directive Interview: In this interview, questions to be asked are not planned in advance. Questions pertaining to the job are asked and candidates are asked to respond freely to show their ability for the job. 

3. Stress Interview : This interview is held to note how thick-skinned the candidate is. The candidates are asked awkward questions and it is seen how they react to such questions. If they do not lose their balance of mind, they prove their worth as suitable candidates. 

4. Group Interview : In this interview, a number of candidates face the interview . committee together. The candidates are asked to opine on an issue or they are asked to discuss a topic. 

Checking References : References are generally required to enquire about the conduct of those persons who have been found suitable in the interviews and tests. References can be collected from the previous employers, colleges last attended or from any other reliable source. Before forming a balanced opinion, it is necessary to enquire from three to five persons about the conduct of the prospective employee. However, this exercise may not always produce the desired results because ; 

(i) no candidate will cite the name of a referee who might speak unfavourably about him; 

(ii) the referee may not always respond; and 

(iii) due to a prejudice the referee may deliberately speak against the candidate.

Mutual funds that invest in equity shares, as well as bonds, are known as Balanced Mutual Funds. The idea is to provide both growth and income benefits to investors.

A pay slip is a small paper document which shows full details of monthly wages, deductions made and net w ages of an individual. It is different from payroll as a payroll represents full information relating to the pays of all the employees working in an organization.

(a) High rates of absenteeism. 

(b) Excessive complaints and grievances. 

(c) Low turnover.

(a) High rate of wastage and spoilage. 

(b ) High rate of absenteeism. 

(c) High rate of labor turnover. 

(d) High rate of strikes.

Methods of Raising Morale 

Monetary Incentives: Monetary incentives like good salaries and wages help to encourage the employees for greater productivity. The management should evolve such a wage/salary structure which enables the workers to earn at a reasonable level and to live a decent life. Assurance of a sound wage structure builds up morale of workers. 

Non-Monetary Incentives: Non-monetary incentives are also helpful in boosting the morale of employees. These incentives may be provided to them in the form of medical aid, recreational facilities, holiday homes, creche facility to the children of working couples, etc. 

Job Security: Security of job boosts the morale of the employees. The management should follow a good labour policy that ensures the security of the job to its employees. The workers should also be assured that in case their services are not required in their present jobs, they will be absorbed in alternative jobs sooner or later or immediately. 

Sound Promotion Policy: A sound promotion policy is a must to boost the morale of the employees. Promotion policy should be so adopted by the management that it gives proper weightage to merit and seniority. If only one base either seniority or merit is adopted, it will not be good for the morale of the employees. 

Healthy Working Conditions: The working conditions in the organisation play a crucial role in boosting the morale of the employees. Working conditions should be healthy so that employees may work with best efforts and attain organisational objectives. 

Redressal of Grievances: Employees’ morale remains high if there is a proper redressal system of grievances of the employees. The employeess should be convinced that there is fairness and the impartiality in dealing with their grievances. The morale of the employees is high if their grievances are redressed properly and quickly. 

Effective Leadership: The morale of the employees is also influenced.

While press media of Advertising has a wide circulation, audio-visual media has a limited circulation. While the cost of press media is moderate, the cost of audiovisual media is high.

Management is considered to be a discipline because it helps to improving discipline among the employees by exercising authority, assigning responsibility and introducing procedures of evaluation and control.

The elements of directing are : 

• Supervision 

• Motivation 

• Leadership 

• Communication

Two sources of external recruitment used in today ‘s world are : 

Advertisement : Advertisement in newspaper, business magazines and journal is very common source for fulfilling the senior positions in an organisation. The advantages of this method is that adequate information about the organisation and the job can be given to allow self-screening by prospective candidates.

Employment Exchange : Employment exchanges register the names of job seekers and maintain records of their qualifications, experience etc. These are run by the government and act as a link between the job-seekers and employers.

Internal Sources: Best employees can be found within the organisation. When a vacancy arises in the organisation, it may be given to an employee who is already on the pay-roll. Internal sources include promotion, transfer and in certain cases demotion. When a higher post is given to a deserving employee. it motivates all other employees of the organisation to work hard. The employees can be informed of such a vacancy by internal advertisement.

Methods of Internal Sources: 

The Internal Sources are given below: 

Transfers : Transfer involves shifting of persons from present jobs to other similar jobs. These do not involve any change in rank, responsibility or prestige. The numbers of persons do not increase with transfers.

Promotions : Promotions refer to shifting of persons to positions carrying better prestige, higher responsibilities and more pay. The higher positions falling vacant may be filled up from within the organisation. A promotion does not increase the number of persons in the organisation.

A person going to get a higher position will vacate his present position. Promotion will motivate employees to improve their performance so that they can also get promotion.

Present Employees: The present employees of a concern are informed about likely vacant positions. The employees recommend their relations or persons intimately known to them. Management is relieved of looking out prospective candidates.

The persons recommended by the employees may be generally suitable for the jobs because they know the requirements of various positions. The existing employees take full responsibility of those recommended by them and also ensure of their proper behavior and performance.

Importance of Campus Recruitment: 

The companies will be benefited from getting wide choice of candidates to select for different job posts. Companies can select the right and talented candidate from a vast pool of young applicants within a limited time. On the other hand, students have the advantage of getting a good job according to their qualification level even before the completion of their academic course in college. 

Campus recruitment helps in saving time and efforts of the companies. The entire campus recruitment process from a college is not a tedious toil. It prevents the occurrence of unusual expenditures related to recruitment process such as advertisement, initial screening, and final selection procedures etc. This in turn turns to be useful in reduced manpower effort and time as well.

Two sources of e-recruitment are : 

1. Resume Scanners 

2. Job portals 

Job Portals: A job portal, also known as a career portal, is a modem name for an online job board that helps applicants find jobs and aids employers in their quest to locate ideal candidates. Some government agencies, non-profit organizations, universities and private businesses have their own job portals that applicants can access on the organization’s website.

Various factors that influence the staff morale: 

(i) to use his talent and work with full enthusiasm. Morale tends to be low when the job provides no challenge and satisfaction and job standards are considered very high. 

(ii) Interpersonal relations: Confidence in fellow worker builds high morale. An employee would get more confidence in his fellow workers when he finds that his fellow workers are providing the right advice. This will increase the morale among the employee. 

 (iii) Working conditions : A physical work environment exerts significant influence on the morale of employees, job security, medical benefits, wages, welfare facilities etc. have a great impact on the employees’ morale. When the wages are fair, job is secure and there are opportunities for promotion, job satisfaction and morale are likely to be high. 

(iv) Organisational efficiency : The line of authority and responsibility should be clearly defined so that each employee may be able to know the person to whom he is responsible. So, there should be proper system of communication to promote organisational efficiency which is the key to degree of morale.

Methods of Raising Morale :

Monetary Incentives : Monetary incentives like good salaries and wages help to encourage the employees for greater productivity. The management should evolve such a wage/salary structure which enables to workers to earn at a reasonable level and to live a decent life. Assurance of a sound wage structure builds up morale of workers. 

Non-Monetary Incentives: Non-monetary incentives are also helpful in boosting the morale of employees. These incentives may be provided to them in the form of medical aid, recreational facilities, holiday homes, creche facility to the children of working couples etc. 

Job Security : Security of job boosts the morale of the employees. The management should follow a good labour policy that ensures the security of the job to its employees. The workers should also be assured that in case their services are not required in their present jobs, they will be absorbed in alternative jobs sooner or later or immediately. 

Sound Promotion Policy : A sound promotion policy is a must to boost the morale of the employees. Promotion policy should be so adopted by the management that it gives proper weight age to merit and seniority. If only one base either seniority or merit is adopted, it will not be good for the morale of the employees. 

Healthy Working Conditions : The working conditions in the organisation play a . crucial role in boosting the morale of the employees. Working conditions should be healthy so that employees may work with best efforts and attain organisational objectives.

Two limitations of performance appraisal are : 

(a) Inexperience of evaluator : The evaluation might not be trained and experienced to make a right judgement of job performance. 

(b) Opposition from trade unions : Trade unions may oppose performance appraisal on the ground that it entails discrimination among its members.

Money plays an important role in motivation. It is a means to satisfy physiological and safety needs. It is also used in satisfying social needs as it is considered a symbol of power, prestige and status. It determines the standard of living of the person and gives him self-confidence.

Money plays an important role in motivation. But money falls to satisfy needs of a higher level or esteem and self actualization to employees money is not the only criteria to work in an organisation. They work for recognition, freedom, status, job satisfaction, stability of employment, opportunity for promotion, participation in management, job enrichment, healthy competition and post retirement benefits.