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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.

It refers to the process of searching for prospective employees and stimulating them to apply for job in an organisation.

Compensation means the reward that employees receives in exchange of their contribution to the organisation in the exchange of their services.

Other specialized activities of human resource are:

(i) Recruitment

(ii) Analysing jobs

(iii) Developing compensation and incentive plans

(iv) Training and development of the employees

(v) Handling grievances and complaints

(vi) Ensuring social security and welfare of the employees.

(vii) Defending the company in law suits and avoiding the legal complications.

It is personnel department.

It refers to determine the number and type of employees required.

It refers to introducing the selected employee to his boss and subordinates and familiarising him with the rules and policies of the organisation.

a. Transfer

b. Promotion

It refers to invite applications for filling up the vacancies from candidates outside the organisation.

i. Placement Agencies: These days placement agencies are coming up as a good source of external recruitment. These agencies are established by private individuals. People can get their names registered with them. Such a registration is done usually for high or medium level jobs. On the request of an organisation, these agencies do the whole job of recruitment on behalf of the organisation. They get their fee for rendering this service from theorganisation. They are helpful in establishing a balance between the demand and supply of the employees on the national level.

ii. Recommendations: With a view to establishing good employer-employee relations, sometimes managers recruit people on the recommendation of their existing employees. In this way, present employees feel encouraged and there is a complete control over new employees. This source is mostly used for appointing lower level employees.

It refers to recruitment from educational institutions.

It reveals the number and type of staff available.

Preliminary screening.

Employment exchange.

Because it is a process in which a person is selected and the others are rejected. 

Correct option is (C) Man power planning

It refers to acquaint the newly appointed employes with their job and the organisation.

Development program is imparted by educational institutions and experts of various fields.

External Source.

External Source.

(b) Selection, training, recruitment

i. Management Consultants or Head Hunters: These days management consultants are available in the market. These firms are experts in the recruitment of managerial staff. In case of a vacant managerial post in an organisation their help can be sought. These firms are already in contact with suitable candidates for the managerial posts. Whenever, a demand is placed before them, they offer their candidates for such posts. For rendering this services they get their fees or commission. These firms also perform the job of advertisement for recruitment when the request is made to them.

ii. Employment Exchanges: Employment exchanges are set up by the government in almost all districts. Name and other particulars of a job-seeker are recorded in the employment register. Under this system, personnel managers forward information regarding vacant jobs to the concerned employment exchange. Employment officer, in turn, forwards the names of applicants with requisite qualifications, from among those entered in his register, to the organisation. Manager of the organisation, interviews them and makes selection as per his requirement. This method of recruitment is mostly followed to select typists, clerks, peons, etc.

iii. Media Advertising: Media is an effective way of finding out employees from outside the organisation. Through it people are attracted towards the organisation for higher and medium level jobs in large number. Advertisement is made with the help of newspapers, employment news, television, magazines, etc. The advertisement gives information about the number of vacant posts, nature of the job, required qualifications, remuneration, etc. This enlarges the area of selection for the organisation and as a result of it the appointment of good employees becomes possible. However, under this system sometimes a large number of unqualified applicants send their applications which results in a loss of time and money.

It refers to the temporary separation of the employee from the employer on the initiative of the latter.

Meaning: It refers to filling and keeping filled the posts with people.

Elements: In the modern form of staffing, following three elements are included:

i. Recruitment: Recruitment means the process under which different sources for future employees are searched for, and they are motivated to apply by sending application-forms for their selection in the organisation. In this process, effort is made to receive maximum number of application-forms. That is why it is known as a positive process.

ii. Selection: Selection means to select pre-determined number of able applicants from the pool of applicants with the help of various tests. Its nature is negative because in this, effort is made to reduce the number of applications.

iii. Training: Training is a process through which effort is made to increase efficiency in the employees for a particular job, so that their knowledge and skill both are increased.

It is related to ‘staffing’ function of management.

"Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organisation."

External sources of recruitment:

(i) Recommendation of Employees: Many firms encourage their employees to recommend the names of their relatives, friends for employment. Such applicants are likely to be good employees because their background is sufficiently known.

(ii) Labour Contractors: Labour contractors keep in touch with labourers in the villages and bring them to the places where they are needed. On payment of commission, they are ready to supply required number of workers.

(iii) Management Consultants: Management consultancy firms help organisations to recruit technical, professional and managerial persons. They specialise in middle level and top level executive placements. They maintain the data of persons with different qualifications and skills and advertise the jobs on behalf of their clients.

(iv) Campus Recruitment: Universities, colleges, institutes of management and technology, etc., provide technicians, engineers, chemists, accountants etc.

Many big organisations maintain a close link with the universities, technical & management institutes to recruit qualified personnels for jobs. This is referred to as campus recruitment.

(v) Advertisement: Advertisement in newspapers and journals is a common method of encouraging people to apply for the jobs. The main advantage of this method is that sufficient information about the organisation and the job can be given to allow self-screening by the applicants. It attracts a large number of candidates.

(vi) Employment Exchange: Employment exchange registers the names of job seekers to maintain records for their qualifications, experiences, etc. Employers inform the exchanges about the vacancies. These exchanges refer the names of people possessing required qualities and skills to the employers.

(vii) Recruitment agencies: An agency may be hired to perform the task of selection. They are also called placement agencies. These agencies work for a charge.

No, it is not mentioned in the Balance Sheet.

IIM — Indian Institute of Management, IIT – Indian Institute of Technology, HRM – Human Resource Management.

Definition: According to French Wendell, ‘‘Human resource management is the recruitment, selection, development, utilisation, compensation and motivation of human resources of the organisation.”

Evolution of HRM: The kind of role today HRM is playing was not the same since inception.

Various phases of its development are as follows:

i. Labour Welfare Stage: Earlier businesses used to be on small scales. That was the era of establishment of Trade Unions. By its effect the need for a person is felt who can act as a mediator between the employer and the employees. For this Labour Welfare Officer was appointed. His role was limited to provide least welfare facilities to the employees.

ii. Personnel Management Stage: With the expansion of business, factory system came into existence. Many people start getting employment under one roof. As a result, the need for a person is felt, whose job is to make employees available for a company. With this approach, earlier Personnel Officers and later on Personnel Managers were appointed. Their role was limited to recruit, select and place the employees.

iii. HRM Stage: The business further expanded and simultaneously the technology was developing at a fast pace. In this situation, the need was felt for the training and development of employees. Human resource was now considered to be an important part of organisation and was felt that it can be developed. With this cult, Personnel Manager was replaced by Human Resource Manager. His job is to effectively manage the people so that they remain to be a part of the organisation for all.

a. Labour Welfare Stage

b. Personnel Management Stage.

The companies do not always use internal source of recruitment despite being economical because of the following reasons:

(i) It is an incomplete source as no organisation can fill all its vacancies from internal sources.

(ii) The employees may become lethargic if they are sure of time bound promotions.

(iii) Spirit of competition among the employees may be hampered.

(iv) Frequent transfers of employees may often reduce the productivity of an organisation.

(v) Complete reliance on internal recruitment involves danger of inbreeding' by stopping 'infusion of new blood' into the organisation.

(vi) A new enterprise cannot use internal source of recruitment.

(vii) There is limited choice of candidates when the vacancies are to be filled from internal source of recruitment.

Staffing ensures continuous survival and growth of the enterprise through making the continuous planning for the development of managers.

In this role he gives advice to other departmental managers so that they can resolve problems of the employees.

Through employment exchange:

• Unemployed people register themselves in public and private employment exchanges. These exchanges prepare a database of all such people.
• The database contains details such as name, address, qualifications, experience, skills, etc.
• The organizations can approach these employment exchanges and obtain the list of candidates that can fit into the job.
• The organizations then contact suitable candidates and calls for recruiting them.

Recruitment of staff is done on the basis of suitable qualifications, skills, knowledge and sincerity.

Meaning of Recruitment: "Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organisation."

Limitations of Internal sources of recruitment:

(i) When vacancies are filled through internal promotions, the scope for fresh talent is reduced.

(ii) The employees may become lethargic, if they are sure of time bound promotions.

(iii) The spirit of competition among the employees may hamper.

(iv) Frequent transfers of employees may reduce the overall productivity of the organisation.

(v) It may not be possible for an organisation to fill all vacancies from internal sources.

Higher Job satisfaction

Class Room Lecture.

It stops the entry of young blood.

i. Increase in Motivation

ii. Industrial Peace.

It refers to that method of training the basic theme of which is—‘learning while doing’. This method is applied to the workplace.

Job rotation.

Off the job training method are methods are those in which training is provided away from the actual working condition.

It refers to that method of training the basic theme of which is — ‘learning before doing’. This method is used away from the workplace.

Correct option is (C) Waiting list

It increases Motivation.