6 H - Learning Business Studies

6 H

CHAPTER-6
Staffing

    Concept and Importance of Staffing and Staffing Process

Ø Features of Staffing :

(i)      It is an integral part of the management.

(ii)    It is a pervasive function of the management related to manpower or human resources.

(iii)  It is a continuous process.

(iv)  It has a wide scope.

(v)    It is a multiple objective activity.

Ø Importance :

(i)      Discover and obtain competent personnel for filling the vacancies.

(ii)    Improves performance by putting right person at the right job.

(iii)  Ensures continuous survival and growth of an organisation.

(iv)  Ensures optimum utilisation of human resources.

(v)    Improves job satisfaction and morale of the employees.

Ø Staffing as a part of Human Resource Management :

In small organisations, the function of staffing is performed by all managers but in large organisations, the function of staffing is responsibility of a separate department called the ''Human Resource Department''.

Following are the activities to be performed by Human Resource Personnel :

(i)         Recruitment

(ii)       Preparation of job descriptions

(iii)     Selection

(iv)     Preparation of compensation and description plans.

(v)       Placement and orientation.

(vi)     Training and development

(vii)   Performance appraisal

(viii) Maintaining labour relations by handling complaints and grievances of employees.
(ix)     Providing for social security and welfare of employees.

(x)       Handling lawsuits and legal complications of company.

Ø Process of Staffing :

(i)         Estimating manpower requirements : Assess number and type of employees needed by an organisation in near future through workload and workforce analysis.

(ii)       Recruitment : Search prospective employees and stimulate them to apply for the job.

(iii)     Selection : Choose the best person out of the pool of prospective candidates.

(iv)     Placement and Orientation : Employee occupies the post and gets familiar with the organisation.

(v)       Training and Development : Improve the job knowledge and competence of employees.

(vi)     Performance Appraisal : Employee’s performance is evaluated for salary hike, promotion, etc.

(vii)   Promotion and Career Planning : Opportunity for higher position with more pay, responsibility, etc.
(viii) Compensation : Pay plans are determined.

   Recruitment Process

Ø Internal Sources of Recruitment :

(i)  Meaning : It refers to re-arrangement of existing staff to fill up the vacant jobs.

(ii) Types :

(a)   Transfer

(b)   Promotion

(iii) Advantages :

(a)   Motivates employees to improve their performance.

(b)   Simplifies the process of selection and placement.

(c)   No need of induction training.

(d)   Maintenance of adequate workforce in an organisation.

(e)   Jobs are filled economically internally.

(iv) Disadvantages :

(a)   Scope for induction of fresh talent is reduced.

(b)   Time bound promotions make employees lethargic.

(c)   Not applicable to new enterprise.

(d)   Spirit of competition among employees is hampered.

(e)   Frequent transfers reduce employees’ productivity.

Ø External Sources of Recruitment

(i)    Meaning : It refers to searching for employees from the sources outside the organisation.

(ii)  Types :

(a)   Direct recruitment

(b)   Casual callers

(c)   Advertisement

(d)   Employment exchange

(e)      Placement agencies and management consultants

(f)    Campus recruitment

(g)   Recommendation of employees

(h)   Labour contractors

(i)     Web publishing

(iii) Advantages :

(a)   Attracts qualified personnel to apply for the jobs.

(b)   Gives a wider choice to management while selection.

(c)   Brings fresh talent in the organisation.

(d)   Develops competitive spirit amongst the existing staff.

(iv) Disadvantages :

(a)   Develops dissatisfaction among existing staff.

(b)   Lengthy process.

(c)   Heavy cost on advertisement and selection process.

   Selection Process

Ø Process of Selection

(i)        Preliminary screening : Elimination of unqualified and unfit job seekers.

(ii)      Selection tests : Measure certain characteristics of individuals.

(iii)    Employment interview : In-depth conversation to evaluate applicant’s suitability.

(iv)    Reference and background check : Verify and gain additional information about an applicant.

(v)      Selection decision : Candidates who pass tests, interviews and reference checks are finally selected.

(vi)    Medical examination : Candidate undergoes a medical fitness test.

(vii)  Job offer : Letter of appointment is offered to the applicant for acceptance of the applicant.

(viii)Contract of employment : Contract documents are exchanged between the employer and the employee. 
  Training and Development Revision Notes

Ø Importance of Training and Development

(i) To the Organisation :

(a)   Systematic learning prevents wastage of efforts and money.

(b)   Enhances employee productivity leading to higher profits.

(c)    Enables employee to become managers in future.

(d)   Increases employee morale and reduces employee turnover.

(e)    Obtain better response to fast changing environment.

(ii)  To the Employee :

(a)   Leads to better career due to improved skills.

(b)   Increases earning due to enhancement in performance.

(c)    Reduces accidents due to careful handling of machines.

(d)   Increases satisfaction and morale of the employees.

Ø Training Methods :

(i)  On-the-Job Methods :

(a)  Apprenticeship Programmes : Apprentice (trainee) work under the guidance of master worker to acquire a higher level of skill, e.g., plumbers, electricians, etc.

(b)   Internship Training : It is a joint programme between educational institution and business firm in which students work in firms to gain practical knowledge and skills.

(c)  Induction Training : New employee is introduced to the organisation, its work culture and colleges to make him familiar and comfortable on the job.
(d)  Off-the-Job Methods :

Vestibule Training : Artificial/simulated work environment is created in a class room, away from actual work floor, where training is given on dummy models of actual equipment.

   Know the Terms

Ø Staffing : Staffing is ‘putting people to jobs’. It is a managerial function which is concerned with obtaining, utilising and maintaining a satisfactory and satisfied workforce.
Ø Human Resource Management : It involves procuring, developing, maintaining and appraising a competent workforce to achieve goals efficiently and effectively. Staffing is an integral part of human resource management.
Ø Recruitment : It is the process of searching for prospective employees and encouraging them to apply for jobs in an organisation.
Ø Selection : It is the process of identifying and choosing the best person out of a number of prospective candidates for a job.
Ø Training : It refers to the process of increasing the knowledge, skills and abilities of employees for doing a particular job.
Ø Development : It refers to the overall growth of an employee. It prepares employees to handle higher jobs in the future.
Ø Education : Development of logical and rational mind which helps in determining relationship between the important variables.
Ø Intelligence : Person’s ability to make decisions and judgment.
Ø Aptitude: Individual’s potential to learn new skills

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