Chapter-6 Staffing

Meaning

After planning and selection of the organization structure, the next step in the management process is to fill the various posts provided in the organization. This is termed as the management of staffing function. In the simplest terms, staffing is ‘putting people to jobs’. It begins with workforce planning and includes different other function like recruitment, selection, training, development, promotion, compensation and performance appraisal of work force. Staffing is that part of the process of management which is concerned with obtaining, utilizing and maintaining a satisfactory and satisfied work force.

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Staffing has been described as the managerial function of filling and keeping filled the position in the organization structure. This is achieved by, first of all, identifying requirement of work force, followed by recruitment, selection, placement, promotion, appraisal and development of personnel, to fill the roles designed into the organization structure.

Importance of Staffing

In any organization, there is a need for people to perform work. The staffing function of management fulfills this requirement and finds the right people for the right job. Basically, staffing fills the positions as shown in the organization structure.

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Proper staffing ensures the following benefits to the organization:

Helps in discovering and obtaining competent personal for various jobs;
Makes for higher performance, by putting right person on the right job;
Ensures the continuous survival and growth of the enterprise through the succession planning for managers;
Helps to ensure optimum utilization of the human resources. By avoiding over manning, it prevents under- utilization of personnel and high labor costs. At the same time it avoids disruption of work by indicating in advance the shortages of personnel; and
Improves job satisfaction and moral of employees through objective assessment and fair reward for their contribution.

Staffing as part of Human Resource Management

It is a function which all managers need to perform. It is a separate and specialized function and there are many aspects of human relations to be considered. It is the job of managers to fill positions in their organization and to make sure that they remain occupied with qualified people.

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The staffing function deals with the human element of management. Managing the human component of an organization is the most important task because the performance of an organization depends upon how well this function is performed. The success of an organization in achieving its goals is determined to a great extent on the competence, motivation and performance of its human resource.

It is the responsibility of all managers to directly deal with and select people to work for the organization. When the manager performs the staffing function his role is slightly limited. Some of these responsibilities will include placing the right person on the right job, introducing new employees to the organization, training employees and improving their performance, developing their abilities, maintaining their moral and protecting their health and physical conditions.

Human Resource Management includes many specialized activities and duties which the human resource personnel must perform. These duties are:

Recruitment, i. e., search for qualified people
Analysing jobs, collecting information about jobs to prepare job descriptions.
Developing compensation and incentive plans.
Training and development of employees for efficient performance and career growth.
Maintaining labour relations and union management relations.
Handling grievances and complaints.
Providing for social security and welfare of employees.
Defending the company in law suits and avoiding legal complications.

Staffing Process

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What follows is a brief description of the above stages.

Estimating the Manpower Requirements: You are aware that while designing the organizational structure, we undertake an analysis of the decisions and the decision-making levels, activities as well as relationship among them with a view to evolving the horizontal and vertical dimensions of the structure. Thus, various job positions are created. Clearly, performance of each job necessitates the appointment of a person with a specific set of educational qualification, skills, prior experience and so on.
Recruitment: Recruitment may be defined as the process of searching for prospective employees and stimulating them to apply for jobs in the organization. The information generated in the process of writing the job description and the candidate profile may be used for developing the ‘situations vacant’ advertisement. The advertisement may be displayed on the factory/office gate or else it may be got published in print media or flashed in electronic media. This step involves locating the potential candidate or determining the sources of potential candidates.
Selection: Selection is the process of choosing from among the pool of the prospective job candidates developed at the stage of recruitment. Even in case of highly specialized jobs where the choice space is very narrow, the rigour of the selection process serves two important purposes: (a) it ensures that the organization gets the best among the available, and (b) it enhances the self- esteem and prestige of those selected and conveys to them the seriousness with which the thing sare done in the organization.
Placement and Orientation: Joining a job marks the beginning of socialization of the employee at the workplace. The employee is given a brief presentation about the company and is introduced to his superiors, subordinates and the colleagues. He is taken around the workplace and given the charge of the job for which he has been selected. This process of familiarization is very crucial and may have a lasting impact on his decision to stay and on his job performance. Orientation is, thus, introducing the selected employee to other employees and familiarizing him with the rules and policies of the organization. Placement refers to the employee occupying the position or post for which the person has been selected.
Training and Development: What people seek is not simply a job but a career. Every one must have the opportunity to rise to the top. The best way to provide such an opportunity is to facilitate employee learning. Organisations have either in- house training centers or have forged alliances with training and educational institutes to ensure continuing learning of their employees. The organisations too benefit in turn. If employee motivation is high, their competencies are strengthened, they perform better and thus, contribute more to organizational effectiveness and efficiency.
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. All organizations have some formal or informal means of appraising their employee’s performance. Performance appraisal means evaluating an employee’s current and/or past performance as against certain predetermined standard. 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 job, appraising performance and providing feedback.
Promotion and career planning: It becomes necessary for all organizations to address career related issues and promotional avenues for their employees. Managers need to design activities to serve employees’ long-term interests also. They must encourage employees to grow and realize their full potential. Promotions are an integral part of people’s career. They refer to being placed in positions of increased responsibility. They usually mean more pay, responsibility and job satisfaction.
Compensation: All organizations need to establish wage and salary plans for their employees. There are various ways to prepare on the worth of the job. Basically the price of the job needs to be determined. Compensation, therefore, refers to all forms of pay or rewards going to employees. It may be in the form of direct financial payments like wages, salaries, incentives, commissions and bonuses and indirect payments like employer paid insurance and vacations.

Aspects of Staffing

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There are three aspects of staffing: recruitment, selection and training. These are now discussed in detail.

Recruitment

Recruitment refers to the process of finding possible candidates for a job or a function. It has been defined as ‘the process of searching for prospective employees and stimulating them to apply for jobs in an organization.’

Advertising is commonly part of the recruitment process, and can occur through several means, through several means, through newspapers, using advertisement, through professional publication, using advertisements placed in windows, through a job center, through campus interviews, etc.

Sources of Recruitment

The object of recruitment is to attract potential employees with the necessary characteristics or qualification, in the adequate number for the jobs available. It locates available people for the job and invites them to apply for the job in the organization. The process of recruitment precedes the process of selection of a right candidate for the given positions in the organization. Recruitment seeks to attract suitable applicants to apply for available jobs. The various activities involved with the process of recruitment includes

(a) identification of the different sources of labor supply,

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(b) Assessment of their validity,

(d) Inviting applications from the prospective candidates, for the vacancies,

The requisite positions may be filled up from within the organization or from outside. Thus, there are two sources of recruitment – Internal and External.

Applicant (Person)

Organization (Job)

Recruitment (identification and attraction)

Selection (assessment, evaluation and final match)

Training (Acquainting and skill development)

Internal Sources

There are two important sources of internal recruitment, namely, transfers and promotions, which are discussed below:

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Transfers: It involves shifting of an employee from one job to another, one department to another or from one shift to another, without a substantive change in the responsibilities and status of the employee. It may lead to changes in duties and responsibilities, working condition etc., but not necessarily salary. Transfer is a good source of filling the vacancies with employees from over-staffed departments. It is practically a horizontal movement of employees. Shortage of suitable personnel in one branch may be filled through transfer from other branch or department
Promotions: Business enterprises generally follow the practice of filling higher jobs by promoting employees from lower jobs. Promotion leads to shifting an employee to a higher position, carrying higher responsibilities, facilities, status and pay. Promotion is a vertical shifting of employees. This practice helps to improve the motivation, loyalty and satisfaction level of employees.

Merits of Internal Sources

Filling vacancies in higher jobs from within the organization or through internal transfers has the following merits:

Employees are motivated to improve their performance. A promotion at a higher level may lead to a chain of promotion at lower levels in the organization. This motivates the employees to improve their performance through learning and practice. Employees work with commitment and loyalty and remain satisfied with their jobs. Also peace prevails in the enterprise because of promotional avenues;
Internal recruitment also simplifies the process of selection and placement. The candidates that are already working in the enterprise can be evaluated more accurately and economically. This is a more reliable way or recruitment since the candidates are already known to the organization;
Transfer is a tool of training the employees to prepare them for higher jobs. Also people recruitment from within the organization do not need induction training;
Transfer has the benefit of shifting workforce from the surplus departments to those where there is shortage of staff;
Filling of jobs internally is cheaper as compared to getting candidates from external sources.

Limitations of Internal Sources

The limitations of using internal sources of recruitment are as follows:

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When vacancies are filled through internal promotions, the scope for induction of fresh talent is reduced. Hence, complete reliance on internal recruitment involves danger of ‘inbreeding’ by stopping ‘infusion of new blood’ into the organization;
The employees may become lethargic if they are sure of time-bound promotions;
A new enterprise cannot use internal sources of recruitment. No organization can fill all its vacancies from internal sources;
The spirit of competition among the employees may be hampered;
Frequent transfers of employees may often reduce the productivity of the organization.

External Sources

An enterprise has to tap external sources for various positions because all the vacancies cannot be filled through internal recruitment. The existing staff may be insufficient or they may not fulfill the eligibility criteria of the jobs to be filled.

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The commonly used external sources of recruitment are discussed below:

Direct Recruitment: Under the direct recruitment, a notice is placed on the notice-board of the enterprise specifying the details of the jobs available. Job-seekers assemble outside the premises of the organization on the specified date and selection is done on the spot. The practice of direct recruitment is followed usually for casual vacancies of unskilled or semi-skilled jobs.
Casual callers: Many reputed business organizations keep a database of unsolicited applicants in their offices. Such job-seekers can be a valuable soured of manpower. A list of such job-seekers can be prepared and can be screened to fill the vacancies as they arise. The major merit of this source of recruitment is that it reduces the cost of recruiting workforce in comparison to other sources.
Advertisement: Advertisement in newspapers or trade and professional journals is generally used when a wider choice is required. Most of the senior positions of industry as well as commerce are filled by this method. The advantage of advertising vacancies is the more information about the organization and job can be given in the advertisement.
Employment Exchange: Employment exchanges run by the Government are regarded as a good source of recruitment for unskilled and skilled operative jobs. In some cases, compulsory notification of vacancies to employment exchange is required by law. Thus, employment exchanges help to match personal demand and supply by serving as link between job-seekers and employers. Unfortunately, the records of employment exchange are often not up to date and many of the candidates referred by them may not be found suitable.
Placement Agencies and Management Consultants: In technical and professional areas, private agencies and professional bodies appear to be doing substantive work. Placement agencies provide a nationwide service in matching personnel demand and supply. These agencies compile bio-data of a large number of candidates and recommend suitable names to their clients. Such agencies charge fee for their services and they are useful where extensive screening is required. These professional recruiters can entice the needed top executives from other companies by making the right offers.
Campus Recruitment: Colleges and institutes of management and technology have become a popular source of recruitment for technical, professional and managerial jobs. Many big organization maintain a close liaison with the universities, vocational schools and management institutes to recruit qualified personnel for various jobs. Recruitment from educational institutions is a well-established practice of businesses. This is referred to as campus recruitment.
Recommendations of Employees: Applicants introduced by present employees, or their friends and relatives may prove to be a good source of recruitment. Such applicants are likely to be good employees because their background is sufficiently known. A type of preliminary screening takes place because the present employees and the candidates and they would try to satisfy both.
Labour Contractors: Labour contractors maintain close contacts with labourers and they can provide the required through labour contractors who are themselves employees who are organization. The disadvantages of this system are that if the contractor himself decides to leave the organization, all the workers employed through him will follow suit.
Advertising on Television: The practice of telecasting of vacant posts over Television is gaining importance these days. The detailed requirements of the job and the qualities required to do it are publicized along with the profile of the organization where vacancy exists.
Web Publishing: Internet is becoming a common source of recruitment these days. There are certain websites specifically designed and dedicated for the purpose of providing information about both job seekers and job opening. In fact, websites are very commonly visited both by the prospective employees and the organisations searching for suitable people.

Merits of External Sources

The advantages of using external sources of recruitment are as follows:

Qualified Personnel: By using external sources of recruitment, the management can attract qualified and trained people to apply for vacant jobs in the organization.
Wider Choice: When vacancies are advertised widely, a large number of applicants from outside the organization apply. The management has a wider choice while selecting the people for employment.
Fresh Talent: The present employees may be insufficient or they may not fulfill the specifications of the jobs to be filled. External recruitment provide wider choice and brings new blood in the organization. However, it is expensive and time-consuming.
Competitive Spirit: If a company taps external sources, the extisting staff will have to compete with the outsiders. They will work harder to show better performance.

Limitations of External Sources

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1. Dissatisfaction among existing staff: External recruitment may lead to dissatisfaction and frustration among existing employees. They may feel that their chances of promotion are reduced.

2. Lengthy process: Recruitment from external sources takes a long time. The business has to notify the vacancies and wait for applications to initiate the selection process.

3. Costly process: It is very costly to recruit staff from external sources. A lot of money has to be spent on advertisement and processing of applications.

Selection

Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job. Towards this purpose, the candidates are required to take a series of employment tests and interviews. At every stage many are eliminated and a few move on to the next stage until the right type is found. The process may start right from the screening of the applications. It may continue even after the offer of employment, acceptance and joining of the candidate. It is so because the process of selection, like any other managerial decision, involves judgment about the performance potential of the candidate. The effectiveness of the selection process would ultimately be tested in terms of on-the-job of the chosen person.

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Process of Selection

The important steps in the process of selection are as follows:

Preliminary Screening: Preliminary screening helps the manager eliminate unqualified or unfit job seekers based on the information supplied in the application forms. Preliminary interviews help reject misfits for reasons, which did not appear in the application forms.
Selection Tests: An employment test is a mechanism (either a paper and pencil test or an exercise) that attempts to measure certain characteristics of individuals. These characteristics range from aptitudes, such as manual dexterity, to intelligence to personality.

Important Tests Used for Selection of Employees:

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Intelligence Tests: This is one of the important psychological tests used to mesure the level of intelligence quotient of an individual. It is an indicator of a person’s learning ability or the ability to make decisions and judgments.
Aptitude Test: It is a measure of individuals potential for learning new skills. It indicates the person’s capacity to develop. Such tests are good indices of a person’s future success score.
Personality Tests: Personality tests provide clues to a person’s emptions, her reactions, maturity and value system etc. These tests probe the overall personality. Hence, these are difficult to design and implement.
Trade Test: These tests measure the existing skills of the individual. They measure the level of knowledge and proficiency in the area of professions or technical training. The difference between aptitude test and trade test is that the former measures the potential to acquire skills and the later the actual skills possessed.
Interest Tests: Every individual has fascination for same job that the other. Interest tests are used to know the pattern of interests or involvement of a person.
Employment Interview: Interview is a formal, in-depth conversation conducted to evaluate the applicant’s suitability for the job. The role of the interviewer is to seek information and that of the interviewee is to provide the same. Though, in present times, the interviewee also seeks information from interviewer.
Reference and Background Checks: Many employers request names, addresses, and telephone numbers of references for the purpose of verifying information and, gaining additional information on an applicant. Previous employers, known persons, teachers and university professors can act as references.
Selection Decision: The final decision has to be made from among the candidates who pass the tests, interviews and reference checks. The views of the concerned manager will be generally considered in the final selection because it is he/she who is responsible for the performance of the new employee.
Medical Examination: After the selection decision and before the job offer is made, the candidate is required to undergo a medical fitness test. The job offer is given to the candidate being declared fit after the medical examination.
Job Offer: The next step in the selection process is job offer to those applicants who have passed all the previous hurdles. 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. The appointee must be given reasonable time for reporting.
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.

Training and Development

Training and Development is an attempt to improve the current or future employee performance by increasing an employee’s ability to perform through learning, usually by changing the employee’s attitude or increasing his or her skills and knowledge.

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Training Methods

There are various methods of training. These are broadly categorized into two groups: On-the-Job and Off-the-Job methods. On-the-Job methods refer to the methods that are applied to workplace, while the employee is actually working. Off-the-Job methods are used away from the work place. The former means learning while doing, while the letter means learning before doing.

On the Job Methods

Apprenticeship Programmes: Apprenticeship programmes put the trainee under the guidance of a master worker. These are designed to acquire a higher level of skill. People seeking to enter skilled jobs, to become, for example, plumbers, electricians or iron-workers, are often required to undergo apprenticeship training. These apprentices are trainees who spend a prescribed amount of time working with an experienced guide, or trainer. A uniform period of training is offered to trainees, in which both fast and slow learn here, are placed together. Slow learners may require additional training.
Coaching: In this method, the superior guides and instructs the trainee as a coach. The coach or counselor sets mutually agreed upon goals, suggests how to achieve these goals, periodically reviews the trainees progress and suggests changes required in behavior and performance. The trainee works directly with a senior manager and the manager takes full responsibility for the trainee’s coaching. Classically the trainee is being groomed to replace the senior manager and relive him from some of his duties. This gives a chance for the trainee to learn the job also.
Internship Training: It is a joint programme of training in which educational institutions and business firms cooperate. Selected candidates carry on regular studies for the prescribed period. They also work in some factory or office to acquire practical knowledge and skills.
Job Rotation: This kind of training involves shifting the trainee from one job to another. This enables the trainee to gain a broader understanding of all parts of the business and how the organization as a whole functions. The trainee gets fully involved in the departments operations and also gets a chance to test her own aptitude and ability. Job rotation allows trainees to interact with other employees facilitating future cooperation among departments. When employees are trained by this method, the organization finds it easier at the time of promotions, replacements or transfers.

Off the Job Methods

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Class Room Lectures/Conferences: The lecture or conference approach is well adapted to conveying specific information-rules, procedures or methods. The use of audio-visuals or demonstrations can often make a formal classroom presentation more interesting while increasing retention and offering a vehicle for clarifying more difficult points.
Films: They can provide information and explicitly demonstrate skills that are not easily represented by the other techniques. Used in conjunction with conference discussions, it is a very effective method in certain cases.
Case Study: Taken from actual experiences of organisations, describe, as accurately as possible real problems that managers have faced. Trainees study the cases to determine problems, analyse causes, develop alternative solutions, select what they believe to be the best solution, and implement it.
Computer Modelling: It simulates the work environment by programming a computer to imitate some of the realities of the job and allows learning to take place without the risk or high costs that would be incurred if a mistake were made in real life situation.
Vestibule Training: Employees learn their jobs on the equipment they will be using, but the training is conducted away from the actual work floor. Actual work environments are created in a class room and employees use the same materials, files and equipment. This is usually done when employees are required to handle sophisticated machinery and equipment.
Programmed Instruction: This method incorporates a prearranged and proposed acquisition of some specific skills or general knowledge. Information is broken into meaningful units and these units are arranged in a proper way to form a logical and sequential learning package i.e. from simple to complex. The trainee goes through these units by answering questions or filling the blanks.

Very Short Answer

What is meant by staffing?

Ans:

Staffing is that part of the process of management which is concerned with obtaining, utilizing and maintaining a satisfactory and satisfied work force.

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Staffing has been described as the managerial function of filling and keeping filled the position in the organization structure.

2. State the two important sources of recruitment.

Ans:

Internal Sources

There are two important sources of internal recruitment, namely, transfers and promotions, which are discussed below:

i. Transfers

ii. Promotions

2. External Sources

The commonly used external sources of recruitment are discussed below:

Direct Recruitment
Casual callers
Advertisement
Employment Exchange 3. 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.

Ans: The issue can be resolved by providing comprehensive training to workers on the operation of the new machines. This training should include hands-on practice, troubleshooting techniques, and clear demonstrations to build their confidence.

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4. 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 quality of production to meet the standards?

Ans:

To improve production quality, conduct a skills assessment, provide targeted training on machinery operation, and distribute clear SOPs. Follow up with hands-on practice, periodic refreshers, and on-the-job mentoring. Monitor progress and give feedback regularly.

5. 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.

Ans:

Train workers to operate hi-tech machines through workshops and hands-on practice. Hire an on-site technical supervisor to reduce external engineer visits. Provide clear manuals, implement regular maintenance, and encourage knowledge sharing to boost efficiency and lower overhead costs.

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Short Answer

What is meant by recruitment? How is it different from selection?

Ans:

Recruitment and selection are two distinct but interconnected stages of the hiring process. Recruitment refers to the process of identifying, attracting, and encouraging potential candidates to apply for job openings. It aims to create a pool of qualified applicants and is generally a positive process designed to maximize applications. Methods such as job advertisements, campus drives, and online job portals are commonly used in recruitment. In contrast, selection involves choosing the most suitable candidate from the pool of applicants generated during recruitment. It is a filtering process that focuses on assessing candidates through methods like interviews, aptitude tests, and background checks to ensure they meet job requirements. While recruitment focuses on attracting talent, selection ensures the right fit for the job. Together, these processes form the foundation of an effective hiring strategy.

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

Ans:

Process of Selection

The important steps in the process of selection are as follows:

Preliminary Screening: Preliminary screening helps the manager eliminate unqualified or unfit job seekers based on the information supplied in the application forms. Preliminary interviews help reject misfits for reasons, which did not appear in the application forms.
Selection Tests: An employment test is a mechanism (either a paper and pencil test or an exercise) that attempts to measure certain characteristics of individuals. These characteristics range from aptitudes, such as manual dexterity, to intelligence to personality. 3. 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. Explain the method or recruitment that the company should adopt in the given circumstances to meet the order.

Ans:

The company should adopt temporary recruitment methods like hiring temporary workers, offering overtime to existing staff, outsourcing part of the production, reallocating internal resources, and incentivizing employee referrals. These strategies will help quickly meet the urgent demand without long-term commitments.

4.Distinguish between training and development.

Ans:

Training and development are both essential for enhancing skills, but they differ in focus and purpose. Training is short-term and task-oriented, designed to improve specific skills or knowledge required for current roles. It addresses immediate needs, often through structured programs like workshops or hands-on sessions.

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In contrast, development is long-term and broader in scope, focusing on personal and professional growth to prepare individuals for future challenges and roles. It involves activities like mentoring, coaching, and leadership programs, aiming to build overall capabilities and potential.

5. Why are internal sources of recruitment considered to be more economical?

Ans:

Internal sources of recruitment are considered more economical because they help organizations save on costs associated with external hiring processes. Firstly, internal recruitment reduces expenses related to advertising job vacancies, recruiting agencies, and screening costs. Since candidates are already familiar with the company’s culture and operations, onboarding and training are less expensive and time-consuming.

Additionally, the hiring process is faster because the organization already knows the internal candidates’ skills and performance. The risk of hiring a wrong fit is also lower with internal candidates, as their previous work experience is well-documented, further reducing turnover and associated costs. Ultimately, internal recruitment promotes employee retention and morale, leading to a more efficient and cost-effective hiring process.

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6. ‘No organization can be successful unless it fills and keeps the various positions filled with the right kind of people for the right job.’ Elucidate

Ans:

This quote emphasizes the importance of having the right individuals in the right roles within an organization. For any organization to be successful, it must ensure that its workforce is made up of people who possess the necessary skills, knowledge, and characteristics to excel in their respective positions. Here’s a breakdown of the key points:

Right People for the Right Job: Hiring individuals who align with the job requirements—whether it’s technical skills, experience, or personal traits—ensures that they can perform their roles effectively. For example, a leader should have strong decision-making and communication skills, while someone in a technical role should possess specific expertise.

Filling Positions Properly: The organization must carefully assess its needs and fill positions with individuals who are best suited for the roles. This might include offering training or development programs to help employees grow into their positions and make a meaningful contribution.

Retention of Key Talent: It’s not just about filling positions initially; it’s also about retaining those who continue to perform well. Keeping the right people engaged and motivated is essential for long-term organizational success. This might involve fostering a positive work culture, offering career advancement opportunities, and recognizing employee contributions.

Overall Impact on Success: An organization made up of the right people working in the right roles will be more efficient, innovative, and adaptive, leading to better outcomes and long-term success.

Long Answer

‘Human resource management includes many specialized activities and duties.’ Explain.

Ans:

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Human Resource Management includes many specialized activities and duties which the human resource personnel must perform. These duties are:

Recruitment, i. e., search for qualified people
Analysing jobs, collecting information about jobs to prepare job descriptions.
Developing compensation and incentive plans.
Training and development of employees for efficient performance and career growth.
Maintaining labour relations and union management relations.
Handling grievances and complaints.
Providing for social security and welfare of employees.
Defending the company in law suits and avoiding legal complications. 2. Explain the procedure for selection of employees.

Ans:

Process of Selection

The important steps in the process of selection are as follows:

Preliminary Screening: Preliminary screening helps the manager eliminate unqualified or unfit job seekers based on the information supplied in the application forms. Preliminary interviews help reject misfits for reasons, which did not appear in the application forms.
Selection Tests: An employment test is a mechanism (either a paper and pencil test or an exercise) that attempts to measure certain characteristics of individuals. These characteristics range from aptitudes, such as manual dexterity, to intelligence to personality.

Selection of Employees:

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Intelligence Tests: This is one of the important psychological tests used to mesure the level of intelligence quotient of an individual. It is an indicator of a person’s learning ability or the ability to make decisions and judgments.
Aptitude Test: It is a measure of individuals potential for learning new skills. It indicates the person’s capacity to develop. Such tests are good indices of a person’s future success score.
Personality Tests: Personality tests provide clues to a person’s emptions, her reactions, maturity and value system etc. These tests probe the overall personality. Hence, these are difficult to design and implement.
Trade Test: These tests measure the existing skills of the individual. They measure the level of knowledge and proficiency in the area of professions or technical training. The difference between aptitude test and trade test is that the former measures the potential to acquire skills and the later the actual skills possessed.
Interest Tests: Every individual has fascination for same job that the other. Interest tests are used to know the pattern of interests or involvement of a person.
Employment Interview: Interview is a formal, in-depth conversation conducted to evaluate the applicant’s suitability for the job. The role of the interviewer is to seek information and that of the interviewee is to provide the same. Though, in present times, the interviewee also seeks information from interviewer.
Reference and Background Checks: Many employers request names, addresses, and telephone numbers of references for the purpose of verifying information and, gaining additional information on an applicant. Previous employers, known persons, teachers and university professors can act as references.
Selection Decision: The final decision has to be made from among the candidates who pass the tests, interviews and reference checks. The views of the concerned manager will be generally considered in the final selection because it is he/she who is responsible for the performance of the new employee.
Medical Examination: After the selection decision and before the job offer is made, the candidate is required to undergo a medical fitness test. The job offer is given to the candidate being declared fit after the medical examination.
Job Offer: The next step in the selection process is job offer to those applicants who have passed all the previous hurdles. 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. The appointee must be given reasonable time for reporting.
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.

3.What are the advantages of training to the individual and to the organization?

Ans:

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Right People for the Right Job: Hiring individuals who align with the job requirements—whether it’s technical skills, experience, or personal traits—ensures that they can perform their roles effectively. For example, a leader should have strong decision-making and communication skills, while someone in a technical role should possess specific expertise.

Filling Positions Properly: The organization must carefully assess its needs and fill positions with individuals who are best suited for the roles. This might include offering training or development programs to help employees grow into their positions and make a meaningful contribution.

Retention of Key Talent: It’s not just about filling positions initially; it’s also about retaining those who continue to perform well. Keeping the right people engaged and motivated is essential for long-term organizational success. This might involve fostering a positive work culture, offering career advancement opportunities, and recognizing employee contributions.

Overall Impact on Success: An organization made up of the right people working in the right roles will be more efficient, innovative, and adaptive, leading to better outcomes and long-term success.

Kaul Consultants have launched www.naukaripao.com exclusively for senior management professionals. The portal lists out senior level jobs and ensures that the job is genuine through rigorous screening process.
State the source of recruitment highlighted in the case above.
State four benefits of the above identified source of recruitment.

Source of Recruitment:The source of recruitment highlighted in the case above is online recruitment through a specialized job portal, www.naukaripao.com, targeting senior management professionals.

b. Four Benefits of the Identified Source of Recruitment:

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Targeted Talent Pool: The portal specifically caters to senior-level professionals, ensuring that the candidates applying for the jobs are suitable for higher-level positions.
Rigorous Screening Process: The platform ensures that the jobs listed are genuine and verified, which increases the chances of hiring quality candidates and reduces fraudulent job offers.

4. A company, Xylo 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 manufactures source their auto components from here. Xylo limited is planning to capture about 40% of the market share in India and also export to the tune of at least 50 crores in about 2 years or 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 answers keep in mind the sector the company is opertating.

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Questions:

Outline the process of staffing the company should follow.
Which sources of recruitment the company should rely upon. Give reasons for your recommendation.
Outline the process of selection the company should follow with reasons.

a.Staffing Process

What follows is a brief description of the above stages.

Estimating the Manpower Requirements: You are aware that while designing the organizational structure, we undertake an analysis of the decisions and the decision-making levels, activities as well as relationship among them with a view to evolving the horizontal and vertical dimensions of the structure. Thus, various job positions are created. Clearly, performance of each job necessitates the appointment of a person with a specific set of educational qualification, skills, prior experience and so on.
Recruitment: Recruitment may be defined as the process of searching for prospective employees and stimulating them to apply for jobs in the organization. The information generated in the process of writing the job description and the candidate profile may be used for developing the ‘situations vacant’ advertisement. The advertisement may be displayed on the factory/office gate or else it may be got published in print media or flashed in electronic media. This step involves locating the potential candidate or determining the sources of potential candidates.
Selection: Selection is the process of choosing from among the pool of the prospective job candidates developed at the stage of recruitment. Even in case of highly specialized jobs where the choice space is very narrow, the rigour of the selection process serves two important purposes: (a) it ensures that the organization gets the best among the available, and (b) it enhances the self- esteem and prestige of those selected and conveys to them the seriousness with which the thing sare done in the organization.
Placement and Orientation: Joining a job marks the beginning of socialization of the employee at the workplace. The employee is given a brief presentation about the company and is introduced to his superiors, subordinates and the colleagues. He is taken around the workplace and given the charge of the job for which he has been selected. This process of familiarization is very crucial and may have a lasting impact on his decision to stay and on his job performance. Orientation is, thus, introducing the selected employee to other employees and familiarizing him with the rules and policies of the organization. Placement refers to the employee occupying the position or post for which the person has been selected.
Training and Development: What people seek is not simply a job but a career. Every one must have the opportunity to rise to the top. The best way to provide such an opportunity is to facilitate employee learning. Organisations have either in- house training centers or have forged alliances with training and educational institutes to ensure continuing learning of their employees. The organisations too benefit in turn. If employee motivation is high, their competencies are strengthened, they perform better and thus, contribute more to organizational effectiveness and efficiency.
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. All organizations have some formal or informal means of appraising their employee’s performance. Performance appraisal means evaluating an employee’s current and/or past performance as against certain predetermined standard. 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 job, appraising performance and providing feedback.
Promotion and career planning: It becomes necessary for all organizations to address career related issues and promotional avenues for their employees. Managers need to design activities to serve employees’ long-term interests also. They must encourage employees to grow and realize their full potential. Promotions are an integral part of people’s career. They refer to being placed in positions of increased responsibility. They usually mean more pay, responsibility and job satisfaction.
Compensation: All organizations need to establish wage and salary plans for their employees. There are various ways to prepare on the worth of the job. Basically the price of the job needs to be determined. Compensation, therefore, refers to all forms of pay or rewards going to employees. It may be in the form of direct financial payments like wages, salaries, incentives, commissions and bonuses and indirect payments like employer paid insurance and vacations.

1.Internal Sources

There are two important sources of internal recruitment, namely, transfers and promotions, which are discussed below:

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Transfers: It involves shifting of an employee from one job to another, one department to another or from one shift to another, without a substantive change in the responsibilities and status of the employee. It may lead to changes in duties and responsibilities, working condition etc., but not necessarily salary. Transfer is a good source of filling the vacancies with employees from over-staffed departments. It is practically a horizontal movement of employees. Shortage of suitable personnel in one branch may be filled through transfer from other branch or department
Promotions: Business enterprises generally follow the practice of filling higher jobs by promoting employees from lower jobs. Promotion leads to shifting an employee to a higher position, carrying higher responsibilities, facilities, status and pay. Promotion is a vertical shifting of employees. This practice helps to improve the motivation, loyalty and satisfaction level of employees.

2. External Sources

The commonly used external sources of recruitment are discussed below:

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Direct Recruitment: Under the direct recruitment, a notice is placed on the notice-board of the enterprise specifying the details of the jobs available. Job-seekers assemble outside the premises of the organization on the specified date and selection is done on the spot. The practice of direct recruitment is followed usually for casual vacancies of unskilled or semi-skilled jobs.
Casual callers: Many reputed business organizations keep a database of unsolicited applicants in their offices. Such job-seekers can be a valuable soured of manpower. A list of such job-seekers can be prepared and can be screened to fill the vacancies as they arise. The major merit of this source of recruitment is that it reduces the cost of recruiting workforce in comparison to other sources.
Advertisement: Advertisement in newspapers or trade and professional journals is generally used when a wider choice is required. Most of the senior positions of industry as well as commerce are filled by this method. The advantage of advertising vacancies is the more information about the organization and job can be given in the advertisement.
Employment Exchange: Employment exchanges run by the Government are regarded as a good source of recruitment for unskilled and skilled operative jobs. In some cases, compulsory notification of vacancies to employment exchange is required by law. Thus, employment exchanges help to match personal demand and supply by serving as link between job-seekers and employers. Unfortunately, the records of employment exchange are often not up to date and many of the candidates referred by them may not be found suitable.
Placement Agencies and Management Consultants: In technical and professional areas, private agencies and professional bodies appear to be doing substantive work. Placement agencies provide a nationwide service in matching personnel demand and supply. These agencies compile bio-data of a large number of candidates and recommend suitable names to their clients. Such agencies charge fee for their services and they are useful where extensive screening is required. These professional recruiters can entice the needed top executives from other companies by making the right offers.
Campus Recruitment: Colleges and institutes of management and technology have become a popular source of recruitment for technical, professional and managerial jobs. Many big organization maintain a close liaison with the universities, vocational schools and management institutes to recruit qualified personnel for various jobs. Recruitment from educational institutions is a well-established practice of businesses. This is referred to as campus recruitment.
Recommendations of Employees: Applicants introduced by present employees, or their friends and relatives may prove to be a good source of recruitment. Such applicants are likely to be good employees because their background is sufficiently known. A type of preliminary screening takes place because the present employees and the candidates and they would try to satisfy both.
Labour Contractors: Labour contractors maintain close contacts with labourers and they can provide the required through labour contractors who are themselves employees who are organization. The disadvantages of this system are that if the contractor himself decides to leave the organization, all the workers employed through him will follow suit.
Advertising on Television: The practice of telecasting of vacant posts over Television is gaining importance these days. The detailed requirements of the job and the qualities required to do it are publicized along with the profile of the organization where vacancy exists.
Web Publishing: Internet is becoming a common source of recruitment these days. There are certain websites specifically designed and dedicated for the purpose of providing information about both job seekers and job opening. In fact, websites are very commonly visited both by the prospective employees and the organisations searching for suitable people.

c. Selection Process Xylo Limited Should Follow

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Job Advertisement: Publish the job openings on multiple platforms, including industry-specific job portals, social media, and recruitment agencies to ensure broad visibility.
Resume Screening: Shortlist candidates based on their qualifications, work experience, and alignment with job requirements. This is critical for a company aiming for a high level of industry-specific competency.
Preliminary Interview (Telephonic/Virtual): Conduct initial screening interviews to evaluate communication skills, job interest, and basic qualifications.
Skills Assessment: For technical positions, especially in manufacturing and quality control, use practical tests or technical interviews to assess the candidate’s problem-solving ability and technical knowledge.
In-Person Interview: This stage should involve both technical and behavioral interviews. The panel should assess not only the candidate’s technical abilities but also their soft skills like teamwork, adaptability, and alignment with company values.

5. A major insurance company handled all recruiting, screening and training processes for data entry/customer service representativies. 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 ‘jobseeker’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.

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Questions

As an HR manager what problems do you see in the company?
How do you think it can be resolved and what would be its impact on the company?

a. Problems in the Company:

Inadequate Candidate Pool: The company is struggling to attract qualified candidates, which is especially problematic in a strong economy where jobseekers have more options.
Skills Mismatch: The available candidates possess the required soft skills but lack the necessary hard skills, leading to potential inefficiency or the need for extensive retraining.
Dependence on a Third Party: The insurance company has outsourced all recruiting, screening, and training, which might limit control over the quality and suitability of candidates.
Competitive Talent Shortage: The competitor is drawing in the better-qualified candidates, which indicates the company may not be offering as attractive job opportunities or benefits.

b. Resolution and Impact:

Resolution:

Improve Employer Branding: The company should focus on enhancing its brand reputation as an attractive workplace. Offering competitive salaries, benefits, and career development opportunities could help attract top talent.
Develop In-House Training Programs: Instead of relying on external recruitment and training, the company could implement internal training programs to bridge the gap between soft skills and hard skills, ensuring candidates can be equipped for the job role.
Targeted Recruiting Strategies: The company might consider more targeted, proactive recruiting efforts, such as attending career fairs, collaborating with universities, or offering internships to cultivate a pipeline of skilled candidates.
Refine the Recruiting Process: The company can partner with recruitment agencies that specialize in the insurance sector or data entry roles to improve the screening and candidate selection process.

Impact:

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Better-Qualified Candidates: In-house training and more focused recruiting efforts would ensure better-skilled candidates and reduce reliance on soft skills alone.
Higher Retention Rates: By improving the training and career development options for employees, the company may experience lower turnover, higher employee satisfaction, and a more efficient workforce.
Competitive Advantage: Attracting and retaining highly qualified employees would help the company outcompete its rivals in the long term, potentially improving customer service and overall performance.

6. Mr. Jayshree recently completed her Post Graduate Diploma in Human Resource Managemet. A few months from now a large steel manufacturing company appointed her as its human resource manager. As of now, the company employs 800 persons and has an expansion plan in hand which may require another 200 persons for various types of additional requirements. Ms. Jayshree has been given complete charge of the company’s Human Resource Department.

Questions

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Point out, what functions is she supposed to perform?
What problems do you forsee in her job?
What steps is she going to take to perform her job efficiently?
How significant is her role in the organization?
Functions Ms. Jayshree is supposed to perform:

As the Human Resource Manager, Ms. Jayshree will be responsible for various HR functions, including but not limited to:

Recruitment and Staffing: Overseeing the hiring process to fulfill the company’s expansion needs, ensuring the recruitment of 200 new employees for various positions.
Training and Development: Ensuring employees are trained for their roles and developing programs for career growth and skill development.
Compensation and Benefits: Managing the company’s compensation structure, ensuring competitive salaries and benefits that attract and retain talent.
Employee Relations: Addressing any issues or conflicts between employees, ensuring a positive and productive work environment.
Performance Management: Implementing performance appraisal systems to assess employee performance, provide feedback, and identify areas for improvement.
Compliance: Ensuring the company follows all relevant labor laws, regulations, and standards.
Health and Safety: Managing health and safety protocols to maintain a safe workplace environment.
Strategic HR Planning: Aligning HR strategies with the overall business goals, especially considering the expansion plans.

b. Potential Problems Ms. Jayshree may face:

Recruitment Challenges: With the company expanding, sourcing and hiring qualified candidates for 200 positions might be time-consuming and challenging.
Cultural Integration: Integrating new employees into the company culture and ensuring they align with the company’s values and mission.
Training Needs: Identifying and fulfilling the diverse training requirements for employees, especially when introducing new roles or departments.
Retention of Talent: Maintaining employee motivation and job satisfaction, preventing high turnover rates in the midst of expansion.
Legal Compliance: Navigating changes in labor laws, especially with a larger workforce, and ensuring the company stays compliant.
Workforce Diversity: Managing a more diverse workforce and ensuring inclusivity while maintaining harmony.
Communication: Managing communication across a larger, possibly geographically dispersed team, ensuring that all employees are aligned with company goals and expectations.

c. Steps Ms. Jayshree can take to perform her job efficiently:

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Develop a Structured Recruitment Plan: Creating clear job descriptions, sourcing from multiple channels, and setting up efficient selection processes to manage the 200 new hires.
Implement Onboarding Programs: Establishing comprehensive onboarding programs to integrate new employees smoothly into the company and its culture.
Focus on Employee Development: Investing in training and development programs to enhance the skills of the current workforce and prepare them for future challenges.
Create a Performance Management System: Implementing clear KPIs and regular performance reviews to ensure employee productivity aligns with company goals.
Ensure Employee Engagement: Launching initiatives such as employee surveys, wellness programs, and team-building activities to improve morale and engagement.
Ensure Legal and Ethical Compliance: Keeping up-to-date with labor laws and ensuring policies are implemented to prevent any legal issues.
Foster a Collaborative Work Environment: Encouraging open communication and transparency to ensure all employees feel valued and connected to the company’s mission.

d. Significance of her role in the organization:

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Ms. Jayshree’s role is highly significant because the Human Resource Manager is central to the overall success of the company. As the organization expands, the success of recruitment, employee development, and retention will directly impact the company’s ability to meet its goals. By managing talent, fostering a positive workplace culture, and ensuring legal compliance, Ms. Jayshree will have a major influence on the company’s productivity, morale, and long-term success. She will also play a critical role in aligning the human capital strategy with the company’s business objectives during a period of growth.

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