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Published on: 25/10/2025
Download CBSE Class 12th Standard CBSE Business Studies question papers, sample papers, important questions, and previous year solved papers in PDF format. Get free study materials, NCERT solutions, and exam preparation resources for Class 12th Standard CBSE Business Studies
Questions + Answers key
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1.
Explain the process of selection of employees.
2.
Explain the process of staffing.
3.
What are the advantages of training to the individual and to the organisation?
4.
How are candidates short-listed through preliminary and selection interviews?
5.
Briefly, describe the steps taken in the selection of personnel.
6.
What are the internal sources of recruitment? State any four advantages and four limitations of internal sources of recruitment.
7.
Define the staffing process and the various steps involved in it.
8.
What is meant by recruitment? How is it different from selection?
9.
Explain the need and importance of staffing function.
1.
Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job.
A well-organised selection process of personnel involves the following steps.
(i) Preliminary screening It helps the manager to eliminate unqualified or unfit job seekers, based on the information supplied in the application forms.
(ii) 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 attitudes, such as manual dexterity, to intelligence, to personality, etc.
(iii) Employment interview Interview is a formal, in-depth conversation, conducted to evaluate the applicant's suitability for the job, Through an interview, an interviewer seeks to obtain maximum information about the interviewee and the interviewee seeks information about the job and the company.
(iv) Reference and background checks Many employers request names, addresses and telephone numbers of references for the purpose of verifying information and gaining additional information of an applicant.
(v) Selection decision The final decision has to be made from among the candidates, who pass the tests, interviews and reference checks.
(vi) Medical examination After the selection decision and before the job offer, the candidate is required to undergo a medical fitness test.The job offers is given to the candidate, who is physically and mentally fit for the job.
(vii) Job offer The next step in the selection process is issuing job offer to those applicants, who have passed all the previous hurdles.It is made through a letter of appointment to confirm his acceptance and communicating to him the reporting date and time.
(viii) Contract of employment When a candidate accepts the job offer, the contract of employment is made, which is in a written form and includes job title, duties, responsibilities, date when continuous employment starts and the basis for calculating service, rates of pay, allowances, hours of work, leave rules, sickness, grievance procedure, etc.
2.
Staffing is the managerial function of filling and keeping filled positions in the organisation structure.This process needs crucial analysis of manpower.
Process of staffing
1. Estimating the Manpower Requirements
It involves forecasting and determining the number and kind of manpower required by the organisation in future.It involves workload analysis and workforce analysis.Workload analysis helps a manager to assess the number and type of human resources necessary to perform various jobs in the organisation, whereas, workforce analysis helps him to know the number and type already available.
A comparison of the two helps to know the actual requirement of manpower.It also helps to reveal whether the organisation is understaffed or overstaffed.Further, job description is done by specifying the desired qualification, experience, training and personal characteristics required for various job positions.
2. Recruitment
It may be defined as the process of searching for prospective employees and stimulating them to apply for jobs in the organisation.The objective of recruitment is to create a pool of prospective candidates, from which the best candidate can be selected.There are many sources of recruitment such as advertisement, casual callers, direct recruitment, etc.
While internal sources can be used economically, external sources can bring in fresh talent and wider choice.
3. Selection
In this step, right candidate is chosen for the right job from the pool of candidates obtained through recruitment.
This process ensures that the organisation gets best among available and it enhances the self-esteem and prestige of those who are selected.It involves a series of tests, interviews, and negotiations, in order to generate the contract of employment containing the terms and conditions of employment in the organisation.
4. Placement and Orientation
Placement means occupying the post or position for which the person has been selected.Orientation/Induction implies introducing the selected employee to other employees and familiarisng him with rules and policies of the organisation, by giving him a brief presentation about the company, his superiors, subordinates, and colleagues.
5. Training and Development
These involve improving job knowledge, skills and attitudes of employees on a regular basis so that they may perform their jobs efficiently. Apart from this, training helps in career building and increasing motivation of employees.It may be done, while doing work, i.e. on-the-job or before doing work, i.e. off-the-job.
6. Performance Appraisal
It means evaluating an employee's current or past performance against the pre-determined standards.In this step, the capability of the employee is judged, which helps them to know the standards, provide feedback and helps the manager to decide their future career prospects.
7. Promotion and Career Planning
It becomes necessary for all organisations to address career-related issues and promotional avenues for their employees.This will prove to be beneficial for both an employee and the organisation, as it will result in increased employee satisfaction and productivity, which would serve long-term interests of the organisation.
8. Compensation
It means all forms of pay or rewards offered to employees. It may be in the form of direct financial payments like wages, salaries, incentives, commissions, etc, or indirect payments such as insurance, free housing, vacations, etc.It is the most important and basic incentive used to motivate employees.
3.
Importance of Training and Development
Training and development help both the organisation and the individual in the following ways:
Benefits to the Organisation
The benefits of training and development to an organisation are as follows:
(i) Training is a systematic learning, always better than hit and trial methods, which lead to wastage of efforts and money.
(ii) It enhances employee productivity both in terms of quantity and quality and leading to higher profits.
(iii) Training equips the future manager, who can take over in case of emergency.
(iv) Training increases employee morale reduces absenteeism and employee turnover.
(v) It helps in obtaining effective response to fast changing environment.
Benefits to the Employee
The benefits of training and development activity to the employees are as follows:
(i) Improved skills and knowledge due to training lead to better career of the individual.
(ii) Increased performance by the individual helps him to earn more.
(iii) Training makes the employee more efficient to handle machines, thus, less prone to accidents.
(iv) Training increases the satisfaction and morale of employees.
4.
Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job.
A well-organised selection process of personnel involves the following steps.
(i) Preliminary screening It helps the manager to eliminate unqualified or unfit job seekers, based on the information supplied in the application forms.
(ii) 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 attitudes, such as manual dexterity, to intelligence, to personality, etc.
(iii) Employment interview Interview is a formal, in-depth conversation, conducted to evaluate the applicant's suitability for the job, Through an interview, an interviewer seeks to obtain maximum information about the interviewee and the interviewee seeks information about the job and the company.
(iv) Reference and background checks Many employers request names, addresses and telephone numbers of references for the purpose of verifying information and gaining additional information of an applicant.
(v) Selection decision The final decision has to be made from among the candidates, who pass the tests, interviews and reference checks.
(vi) Medical examination After the selection decision and before the job offer, the candidate is required to undergo a medical fitness test.The job offers is given to the candidate, who is physically and mentally fit for the job.
(vii) Job offer The next step in the selection process is issuing job offer to those applicants, who have passed all the previous hurdles.It is made through a letter of appointment to confirm his acceptance and communicating to him the reporting date and time.
(viii) Contract of employment When a candidate accepts the job offer, the contract of employment is made, which is in a written form and includes job title, duties, responsibilities, date when continuous employment starts and the basis for calculating service, rates of pay, allowances, hours of work, leave rules, sickness, grievance procedure, etc.
5.
Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job.
A well-organised selection process of personnel involves the following steps.
(i) Preliminary screening It helps the manager to eliminate unqualified or unfit job seekers, based on the information supplied in the application forms.
(ii) 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 attitudes, such as manual dexterity, to intelligence, to personality, etc.
(iii) Employment interview Interview is a formal, in-depth conversation, conducted to evaluate the applicant's suitability for the job, Through an interview, an interviewer seeks to obtain maximum information about the interviewee and the interviewee seeks information about the job and the company.
(iv) Reference and background checks Many employers request names, addresses and telephone numbers of references for the purpose of verifying information and gaining additional information of an applicant.
(v) Selection decision The final decision has to be made from among the candidates, who pass the tests, interviews and reference checks.
(vi) Medical examination After the selection decision and before the job offer, the candidate is required to undergo a medical fitness test.The job offers is given to the candidate, who is physically and mentally fit for the job.
(vii) Job offer The next step in the selection process is issuing job offer to those applicants, who have passed all the previous hurdles.It is made through a letter of appointment to confirm his acceptance and communicating to him the reporting date and time.
(viii) Contract of employment When a candidate accepts the job offer, the contract of employment is made, which is in a written form and includes job title, duties, responsibilities, date when continuous employment starts and the basis for calculating service, rates of pay, allowances, hours of work, leave rules, sickness, grievance procedure, etc.
6.
Internal sources refer to recruitment from within the organisation.Sources of internal recruitment are:
(i) Promotions
(ii) Transfers
Internal sources of recruitment suffer from the following advantages:
(i) Employee motivation Promotion to a higher level motivates the employee for better performance and leads to satisfaction of employees.
(ii) Simple process The process of selection and placement becomes simpler, as the background of the candidate is already known.
(iii) Facilitate training Transfer from one job to another facilitates training of employees.
(iv) No induction training Employees selected from within the organisation do not need induction training.
(v) Filling deficiencies It helps to fulfill the deficiency of one department with the surplus of another.
(vi) Inexpensive Recruitment from internal sources does not require much time, money and effort.
Limitations of Internal Sources
Internal sources of recruitment suffer from the following limitations.
(i) No fresh talent Recruitment from internal sources does not bring fresh talent into the organisation.
(ii) Lethargic employees When employees are sure of time-bound promotions, they become lethargic.
(iii) No competitive spirit Competitive spirit among the employees may get hampered.
(iv) Reduce productivity When employees are transformed frequently to different jobs, it results in reduced productivity.
(v) Not available to new enterprises A new enterprise cannot avail the benefit of this source.
7.
Staffing is the managerial function of filling and keeping filled positions in the organisation structure.This process needs crucial analysis of manpower.
Process of staffing
1. Estimating the Manpower Requirements
It involves forecasting and determining the number and kind of manpower required by the organisation in future.It involves workload analysis and workforce analysis.Workload analysis helps a manager to assess the number and type of human resources necessary to perform various jobs in the organisation, whereas, workforce analysis helps him to know the number and type already available.
A comparison of the two helps to know the actual requirement of manpower.It also helps to reveal whether the organisation is understaffed or overstaffed.Further, job description is done by specifying the desired qualification, experience, training and personal characteristics required for various job positions.
2. Recruitment
It may be defined as the process of searching for prospective employees and stimulating them to apply for jobs in the organisation.The objective of recruitment is to create a pool of prospective candidates, from which the best candidate can be selected.There are many sources of recruitment such as advertisement, casual callers, direct recruitment, etc.
While internal sources can be used economically, external sources can bring in fresh talent and wider choice.
3. Selection
In this step, right candidate is chosen for the right job from the pool of candidates obtained through recruitment.
This process ensures that the organisation gets best among available and it enhances the self-esteem and prestige of those who are selected.It involves a series of tests, interviews, and negotiations, in order to generate the contract of employment containing the terms and conditions of employment in the organisation.
4. Placement and Orientation
Placement means occupying the post or position for which the person has been selected.Orientation/Induction implies introducing the selected employee to other employees and familiarisng him with rules and policies of the organisation, by giving him a brief presentation about the company, his superiors, subordinates, and colleagues.
5. Training and Development
These involve improving job knowledge, skills and attitudes of employees on a regular basis so that they may perform their jobs efficiently. Apart from this, training helps in career building and increasing motivation of employees.It may be done, while doing work, i.e. on-the-job or before doing work, i.e. off-the-job.
6. Performance Appraisal
It means evaluating an employee's current or past performance against the pre-determined standards.In this step, the capability of the employee is judged, which helps them to know the standards, provide feedback and helps the manager to decide their future career prospects.
7. Promotion and Career Planning
It becomes necessary for all organisations to address career-related issues and promotional avenues for their employees.This will prove to be beneficial for both an employee and the organisation, as it will result in increased employee satisfaction and productivity, which would serve long-term interests of the organisation.
8. Compensation
It means all forms of pay or rewards offered to employees. It may be in the form of direct financial payments like wages, salaries, incentives, commissions, etc, or indirect payments such as insurance, free housing, vacations, etc.It is the most important and basic incentive used to motivate employees.
8.
Recruitment is the process of identifying the sources of prospective candidates and stimulating them to apply for the jobs in organisation. Recruitment is different from selection in the following ways:
(a) Recruitment aims at increasing the number of prospective candidates for a job whereas Selection process reduces the number of candidates with each step.
(b) Recruitment is followed by the selection process.
9.
Staffing helps in obtaining right people and putting them on the right place/jobs.
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