Staffing Class 12 Business Studies Notes and Questions

Notes Class 12 Revision Notes

Please refer to Staffing Class 12 Business Studies notes and questions with solutions below. These revision notes and important examination questions have been prepared based on the latest Business Studies books for Class 12. You can go through the questions and solutions below which will help you to get better marks in your examinations.

Class 12 Business Studies Staffing Notes and Questions

Q. 1. “Our assets walk out of the door each evening, we have to make sure that they come back the next morning.” This statement relates to which function of management. Explain the importance of this function.
Ans. Staffing. [For importance of function refer on page no. 156.]

Q. 2. In a company all recruiting, screening and training process for data entry, etc. are done by one officer only. Their competitor was attracting most qualified employees. As a result this company had to choose from candidates who have soft skills and less qualifications.
On the basis of above case answer the following questions:
(i) What problem do you see company is facing?
(ii) How can this problem m be solved?
1. This company has failed to recognize the human resource approach. This approach considers human resources as most important factor. They are dependent on personnel office for all the activities whereas they have failed to recognize the importance of human resource management.
2. This problem can be solved by setting up a human resource management department which performs following function:
[Explain activities of human resource management]

Q. 3. Zenith Ltd. is a highly reputed company and many people wanted to join this company.
The employees of this organization are very happy and they discussed how they came in contact with this organization.
Aman said that he was introduced by the present Sales manager, Mr. John.
Benu said that he had applied through the newspaper and was appointed as H.R. John.
Vaibhav said that he was neither related to any of the employee of the organization nor there was any advertisement in the newspaper even then he was directly called from HM Ahmedabad from where he was about to complete his MBA.
1. The above discussion is indicating an important function of management. Name the function of management.
2. The management function identified in part (a) follows a particular process. Explain the step of this process which is being discussed in the above para.
Ans. (a) Staffing.
(b) Recruitment – It is defined as the process of researching for prospective employees and stimulating them to apply for jobs in the organization.

Q. 4. Blue Heavens Ltd. purchased a new hi-tech machine from Germany for manufacturing high quality auto components in a cost effective manner. But during the production process, the manager observed that the quality of production was not as per standard. On investigation it was found that there was lack of knowledge amongst the employees of suing these hi-tech machines. So, frequent visit of engineers was required form Germany. This resulted in high overhead charges.
Suggest what can be done to develop the skills and abilities of employees for producing high quality products by using these hi-tech machines. Also state how the employees or the organization will benefit from your suggestion.
Ans. Training of employees
Benefits to the organization or employees:
1. Avoid wastage of effort & money
2. Enhances employee productivity
3. Equips future managers
4. Increases employee morals & reduces absenteeism
5. Obtaining effective response to fact changing environment
6. Improved skills and knowledge of the individual
7. Increased performance by the individual

Q. 5. Ms. Neeta recently completed her Post-Graduate Diploma in Human Resource Management. A few months from now a large steel manufacturing company appointed her as its Human Resource Manager. As of 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. Neeta has been given complete charge of the company’s Human Resource Department.
(a) State any two functions she must be performing.
(b) What problems do you foresee in her job? What steps is she going to take to perform her job efficiently?
1. Ms. Neeta is must be performing these functions as a HR manager:
1. Analysing jobs and collecting information about jobs to prepare job descriptions.
2. Developing compensation and incentive plans
1. Since the company has an expansion plan requiring 200 more persons for various types of additional requirements, Ms. Neeta will have to recruit and select those persons from outside the organization. For this she will have to invite candidates to apply for the jobs through external sources of recruitment such s advertisements,
placement agencies, recommendations of employees, etc.
Then, Ms. Neeta will have to arrange for various types of training (e.g. apprenticeship training, vestibule training, etc.) of the employees to make them efficient.
She will have to handle workers’ grievances and complaints and maintain labour relations.
She will have to provide for social security and welfare of employees.

Q. 6. Name the methods of recruitment in the following cases:
1. A company gets applications on and off even without declaring any vacancy.
However, as and when the vacancy arises, the company makes use of such applications.
2. Casual vacancies of unskilled or semi-skilled jobs when there is a rush of order or when some permanent workers are absent.
3. Recruitment by which most of the senior positions of the industry as well as
commerce are filled. (3 marks
1. Casual callers
2. Direct recruitment
3. Advertisement

Q. 7. Anuroop runs a law firm in Hyderabad. His firm offers valuable financial and legal consultancy services to the clients. Whenever the firm hires any new employees, on the first day of their joining, they are welcomed to the organization and are given details about hours of work, holiday requests, sickness procedure, dress code, lunch arrangements,
introduced to the daily operations and key people in the workplace, etc. They are also familiarized with the organistion’s policies and procedures, including complaints and dispute resolution, sexual harassment, emergency exits and evacuation procedure.
In the context of the above case:
1. Name the type of training which is being referred to in the above lines.
2. Identify and explain the human needs of the new employees that the being fulfilled by Anuroop through this training.
1. Introduction training is being referred to in the above lines.
2. The various types of human needs of the new employees that are being fulfilled by Anuroop through induction training are stated below:
1. Basic Physiological Needs:
2. Safety / Security Needs:
3. Affiliation / Belonging Needs:

Q. 8. Srija runs an NGO under the name ‘Sarthak’ in Delhi. The organization is engaged in offering waste paper recycling services to all kinds of institutions in the Delhi NCR region. It also manufactures custom made paper stationery out of recycled paper on order for the interested institutions at a very competitive price. The website of ‘Sarthak’ provides a link to a Careers site where in the people desirous of joining the NGO can use simple Job Search to find the right opportunity for themselves. The NGO also keeps a database of unsolicited applicants in its office so that job seekers may be notified of future opportunities when they arise.
In context of the above case:
1. Identify the two sources of external recruitment being used by the NGO ‘Sarthak’ by quoting lines from the paragraph.
2. List any two values that Srija wants to communicate to the Society.
1. The two sources of external recruitment being used by the NGO ‘Sarthak’ are as follows:
1. Web Publishing:
2. Casual Callers:
1. The two values that Srija wants to communicate to the society are:
1. Environment sustainability
2. Responsibility.

Q. 9. Prateek has started an advertising agency in Gurgoan. One of the page on his company’s website contains the following information, “Welcome to all the visitors of this page who are looking for an opportunity to make a career in the field of advertising. The openings are available in the company at various levels, so don’t miss the chance.” This page includes a link to provide further details about the vacancies available in terms of the desired qualifications, experience, personality characteristics and so on. Through a continuous assessment of the number and types of human resources necessary for the performance of various jobs and accomplishment of organizational objectives and in relation to the number and type available, he gets the information on this page updated.
In context of the above case:
1. Identify and explainthe steps in the staffing process being carried out byy Prateek by quoting lines from the paragraph.
2. Name the concept that relates to the details about the vacancies available in terms of the desired qualifications, experience, personality characteristics and so on.
1. The two steps in the staffing process being carried out by Prateek are as follows:
1. Estimating the Manpower Requirements:
2. Recruitment:
1. Job descriptions the concept tht relates to the details about the vacancies available in terms of the desired qualifications, experience, personality characteristics and so on.

Q. 10. Aakanksha, Nikita and Parishma are the owners of a handicraft unit in the urban area of Dibrugarh in Assam, which is involved in the manufacturing and marketing of Sital Pati, traditional mats and Jappi (the traditional headgear).
They decided to shift this manufacturing unit to a rural area with an objective of reducing the cost and providing job opportunities to the locals.
They followed the functional structure in this organization with a view to increasing managerial and operational efficiency.
They assessed and analysed the type and number of employees required, keeping in mind that they had to encourage the women, and the people with special needs belonging to the rural area.
State the next three steps that they will have to undertake, for obtaining a satisfied workforce for their handicraft unit.
Ans. The next three steps in the process of staffing are stated below:
1. Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organization.
2. Selection is the process of choosing from among the pool of the prospective job candidatye4s developed at the stage of recruitment.
3. Placement and orientation refers to the employee occupying the position or post for which the person has been selected and introducing the selected employee to other employees and familiarizing him with the rules and policies of the organisation.

Q. 11. A company x Ltd. is setting up a new plant in India for manufacturing auto components. India has highly competitive and cost-effective production base in this sector. X Ltd. is planning to capture about 40% of the market share in India and also export to the tune of at least $5 million in about 2 years of its planned operations. To achieve these targets, it requires a highly trained and motivated workforce. You have been retained by the company to advise it in this matter.
(i) which sources of recruitment the company should rely upon?
(ii) Which methods of training should company initiate?
1. The company should rely upon the following external sources of recruitment because it is setting up a new plant and requiring large number of employees with latest technology. So, it needs to recruit technical, professional and managerial personnel.
● Advertisement
● Management consultants
● Campus recruitment.
1. The company should initiate following methods of training
● Apprenticeship training
● Vestibule training
● Internship.

Q. 12. The quality of production is not as per standard. On investigation it was observed that most of the workers were not fully aware of proper operation of the machinery. What could be the way to improve the accuracy? 
Ans. Workers are needed to be given appropriate training to make them learn use of machinery and most suitable method in this case is apprenticeship training . It is on-the-job
method of training. The workers seeking to enter skilled traits, e.g., to become plumbers, electricians or iron workers are required to undergo apprenticeship training for a prescribed
time period (which may vary from 2 to 5 years). Apprenticeship training puts the apprentices (trainees) under the guidance of a master worker or an experienced guide or trainer.

Q. 13. The employers of ‘Food Darbar,’ a restaurant, are trained through a structured programme that provides training in each area within the restaurant. The trainees learn the skills necessary for running each of the 12 workstations in the restaurant, from taking orders to the cooking area. This enables the employees to gain a broader understanding of all parts of the business and how the restaurant functions as a whole. The trainee gets fully involved in the department’s operations and also gets a chance to test her won aptitude and ability. When employees are trained by this method, the organization finds it easier at the time of promotions, replacements or transfers.
In context of the above case:
1. Name the type of training which ‘Food Darbar’ provides to its employees.
2. Distinguish between training and development on the basis of meaning, purpose and scope.
1. Job rotation is the type of training which ‘Food Darbar’ provided to its employees. It is a method of on-the-job training.
2. The difference between Training and Development is given below:

Q. 14. Deeksha is the general manager of a firm offering Telemarketing services. Telemarketing is a method of direct marketing in which a representative of the company solicits prospective customers to buy products or services, either over the phone or through a subsequent face to face, or Web conferencing appointment scheduled during the call.
Deeksha ensures that all the call centre representatives are well versed with the local languages to that they can interact effectively with the prospective buyers. Moreover, the employees are provided training to improve upon their troubleshooting skill so that they do not spend too much time with every customer. By acquiring these skills the callers are able to add value to their message and also shorten the call durations, leading to increased customer satisfaction and profitability of the business. As a part of the firm’s policy, Deeksha encourages women, persons from backward communities and persons with special abilities to assume responsible positions in the organization.
In context of the above case:
1. Identify the type of communication barriers that Deeksha is able to overcome by ensuring that all the call centre representatives are well versed with the local languages.
2. What are benefits of training employees to an organization?
3. List any two values that the firm wants to communicate to the society.
1. Deeksha is able to overcome the semantic barriers by ensuring that all the call centre
representatives are well versed with the local languages.
2. The benefits of training to an organization are as follows:
3. The two values that the firm wants to communicate to the society are:
1. Women empowerment
2. Humanity.

Q. 15. Bhuvan Ltd. is highly reputed company. The employees of this organization discussed how they came in contact with this organization. Reena said she was introduced by the Purchase manager (Mr. John. Neetu said she applied through newspaper and was appointed as Finance manager).
Indu said she was directly called by the company from her IIM institute after completing MBA.
1. Identify the different sources of recruitment.
2. Name the function of management discussed in above para.
Ans. (i) (a) Reena’s source of recruitment recommendation from existing staff.
(b) Neetu’s source: Media advertising
(c) Indu’s source: Campus recruitment
(ii) Function discussed in above para is staffing.

Q. 16. Mr. Anil Garg is working as Managing Director of “CLS Packaging Limited”. He is not in favour of selling waste material in the marked. Instead he is planning to make himself new products of this material. For this purpose, a new unit will have to be set up.
Accordingly, he decided to establish this unit in an area where large number of persons are unemployed and so labour is available at cheap rate.
In order to attract workers to this new unit, a special Remuneration Scheme was introduced.
As per this scheme, workers will get their remuneration on the basis of their work. There will be two rates of wages: higher wage rate and lower wage rate. A worker who will work up to a given standardized unit or beyond will be paid his/her remuneration at a higher rate. On the other hand, a worker who will work less than the given standardized units will be paid his/her remuneration at a lower rate.
In order to operate this new unit, Mr. Garg established a separate ‘Waste Material Division’.
It consisted of four departments, such as, Purchase, sales, Production and Accounts.
Company required four managers to run these departments, of these, two managers were appointed from the existing business, by way of promotion; while the other two were selected out of the waiting list maintained by the company.
1. Which form of organization structure is being adopted by the company?
2. Identify and given the meaning of wage payment scheme adopted by the company to motivate the workers.
3. What methods of recruitment have been adopted by the company?
4. Identify these two values that Mr. Garg has been dedicating to the society by establishing this new unit.
1. Divisional Organization Structure.
2. Differential Wage System
3. Promotion
● Casual callers
1. Development of backward area
● Rise in employment opportunities

Q. 17. Sahil the director of garments company, is planning to manufacture bags for the utilization of waste material of one of his garments unit. He decided that his manufacturing unit will be get up in a rural area of Orissa where people have very less job opportunities and labour is available at very low rate. He also thought of giving equal opportunities to men and women. For this he selected S. Chatterjee, Indrajeet Kaur, Aslam and Sarabjeet as heads of Sales, Accounts, Purchase and Production departments.
1. Identify and state the next two steps that Sahil has to follow in the staffing process after selecting the above heads.
2. Also identify two values which Sahil wants to communicate to the society by setting up this manufacturing unit.
1. The next two steps that Sahil has to follow in the staffing process are:
1. Placement and Orientation
2. Training and development
1. Values which Sahil wants to communicate to the society are:
1. Development of backward areas
2. Providing job opportunities in rural areas
3. Equality
4. Optimum utilization of resources
5. Secularism.

Q. 18. The workers of ‘Gargya Ltd.’ are unable to work on new computerized machines imported by the company to fulfil the increased demand. Therefore, the workers are seeking extra guidance from the supervisor and the supervisor iis overburdened with the frequent calls of workers.
Suggest how the supervisor, by increasing the skills and knowledge of workers, can make
them handle their work independently.
Also state any three benefits that the workers will derive by the decision of the supervisor.
Ans. Training of employees / Vestibule training / On the job training.

Q. 19. Anushka is doing a course in fashion designing form an institute of repute. As a part of the course, she has been asked to take on-the-job training in an export house for a fortnight in order to gain an insight about various practical aspects related to designing.
Anushka, through the references from her senior, joins an export house owned by an upcoming designer, Nandita.
In context of the above case:
1. Name and explain the type of training which Anushka has been asked to undertake.
2. Explain briefly any one method for providing off-the-job training.
1. Internship Training
2. Vestibule training.

Q. 20. Which source of external recruitment is deal for a manufacturing organization? Why?
Ans. Advertisement, because it has wide choice to recruit and select most of the senior position of industry and commerce. More information about the organization and job can be
given in the advertisement.

Q. 21. Name the methods of training:
1. The trainee learns under the guidance of a master worker.
2. Trainees learn on the equipments they will be using, but training is conducted away from the actual work floor.
3. Trainees work in some factory or office to acquire practical knowledge and skills along with regular studies. 
1. Apprenticeship training
2. Vestibule training
3. Internship training

Q. 22. 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 per day.
1. Name the source of recruitment of labour the company needs to fulfill its order.
2. Explain any two merits of this method.
1. Direct recruitment of casual or ‘Badli’ workers (external source of recruitment).
2. Merits:
1. Wider choice: A notice can be placed on the notice board of the enterprise specifying the details of the jobs available. A large number of job-seekers assemble outside the
premises of the organization. Selection is done on the spot.
2. Competitive spirit: The existing workers will have to compete with the outsiders.

Q. 23. Your school has some vacancies of teachers. The eligible staff has been promoted to half of the posts. Suggest any three ways through which right type of people may be invited to fill up rest of the vacancies. 
Ans. The following external sources of recruitment will suit the purpose:
1. Advertisements
2. Employment Exchange
3. Recommendations of existing staff.

Q. 24. What kind of tests will primarily be used while selecting these people in an organization? Give reason.
1. An interior decorator
2. A computer operator
3. A public dealing officer
4. A school teacher
Ans. The type of tests primarily to be used for selection are the following:
1. Interest tests as these tests are used to know the pattern of interest or involvement of a person.
2. Trade tests as these tests measure the existing skills of the individuals.
3. Personality tests as these provide clues to a person’s emotions, reactions, maturity and value system, etc.
4. Intelligence tests as these tests are indicators of a person’s learning ability or ability to make decisions and judgements.

Q. 25. Ramesh is working under the guidance of Harsh, a carpenter for the last three years to learn the different skills of this job. Name the method of training Ramesh is undergoing.
Ans. Apprenticeship training

Q. 26. 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.
Suggest the method of training that should be given to the employees. Explain. 
Ans. Workers are needed to be given appropriate training to learn the use of hi-tech and sophisticated machines. The suitable method of training in the case is vestibule training . it
is an off-the-job method of training in which 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 re created in a classroom and employees use the same materials, files and equipment.

Q. 27. Identify and explain the following:
1. It is a managerial decision-making process as to predict which job applicants will be successful if hired.
2. It is the process of differentiating between applicants in order to identify and hire those with a greater likelihood of success in job.
3. It is the process of choosing from among the candidates from within the organization on from the outside, the most suitable person for the current position or for the future position. 
Ans. Selection is the process being referred to in all the three statements.
It is the process of identifying and choosing the best person out of a number of prospective candidates for the job. Selection process serves two important purposes:
1. It ensures that the organization gets the best among the available.
It it enhances the self-esteem and prestige of those selected.

Important Notes for NCERT Class 12 Business Studies Chapter Staffing

Staffing means putting people to jobs. It begins with human resource planning and includes different other functions like recruitment, selection training, development, promotion and performance appraisal of work force.

Need and Importance of Staffing :-
1. Obtaining Competent personal : Proper staffing helps in discovering and obtaining competent personal for various jobs.
2. Higher performance : Proper staffing ensures higher performance by putting right person on the right job.
3. Continuous growth : Proper staffing ensures continuous survival and growth of the enterprise.
4. Optimum utilisation of human resources :- it prevents under – utilisation of personnel and high labour cost.
5. Improves job satisfaction : It improves job satisfaction and morale of employee.
Process of staffing :

Case Study Class 12 Business Studies Chapter 6 Staffing

Components of Staffing

(A) Recruitment (B) Selection (C) Training. Thus, Recruitment + Selection + Training = Staffing.
(A) Recruitment : Recruitment may be defined as the process of searching for prospective employee and stimulating them to apply for job in the Organisation.
Sources of Recruitment :- (A) Internal Source (B) External Sources
Internal Sources of Recruitment :- Internal sources refer to inviting candidates from within the Organisation. Following are important sources of internal recruitment.
1. Transfer :- It involves the shifting of an employee from one job of another, from one department to another or from one shift to another shift.
2. Promotions : It refers to shifting an employee to a higher position carrying higher responsibilities, prestige, facilities and pay. 3. Laid off employee : To recall the temporary worker for work is called Lay-off as internal sources of recruitment.

External Sources of Recruitment :-
1. Direct Recruitment :- Under the direct Recruitment a notice is placed on the notice board of the enterprise specifying the details of the job available.
2. Casual callers : Many reputed business org. keep a data base of unsolicited applicants in their office. These list can be use for Recruitment.
3. Advertisement : – Advertisement in newspaper is generally used when a wider choice is required.
4. Employment Exchange : Employment exchange is regarded as a good source of Recruitment.
5. Compus recruitment and labour contractors can be used for the purpose. 

(B) Selection : Selection is the process of choosing from among the candidates from within the org. or from the outside, the most suitable person from the current position or for the future position. (C) Training: Training is the act of increasing the knowledge and technical skills of an employee for doing a particular job efficiently.

Case Study Class 12 Business Studies Chapter 6 Staffing

Benefits to the Organisation: –
1. It enhances employee productivity and quality.
2. Training increases employee moral.
3. Employee got new Tech. knowledge.
4. Efficient uses of machine.

Benefits to the Employee: –
1. Improved skills and knowledge of employee
2. Increased performance by the individual help him to earn more.
3. Less accidents.
4. Training increases the satisfaction and morale of employee.

Training Method
(A) On the Job Method: – It refers to the method that are applied to the work place, while the employee is actually working. It means learning while doing.
1. Apprenticeship Programme Training: – A master worker or a trainer is appointed who guides the worker regarding the skill of job.
2. Coaching : In this method, the superior guides and instructs the trainee as a coach.
3. Job Rotation : In this method employee is transfer to other department or other shift.

(B) Off the Job Method : These methods are used away from the work place. It means learning before doing.
1. Class room lectures : The lecture approach is well adapted to convey specific information. The use of audio-visuals can often make a formal classroom.
2. Films : They can provide information to the employee.
3. Case study : Trainee study the cases to determine problems & analyses causes.
4. Computer modelling – Training provide to the employee by the help of computer

Staffing Class 12 Business Studies

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