Staffing

Learning Outcome:

After completing this module the students will be able to:

1. Know the meaning and importance of staffing.

2. Know the nature of staffing
3. Know the process of staffing

Introduction:

Staffing is the third function of management. Staffing includes recruitment,

selection, training, developing, promotion and compensation of personnel.
It is the process of hiring and developing the required personnel to fill vari
ous positions in the organization. It involves estimating the number and type of
personnel required, recruiting and developing them, maintaining and improving their
competence and performance.

Staffing may also be defined as the process of identifying, assessing, placing,

developing and evaluating individuals at work.

Definitions of staffing as given by various management thinkers are as follows:

Koontz and O’Donnell defines staffing as “The managerial function of staffing

involves manuring the organizational structure through proper and effective
selection, appraisal and development of personnel to fill the roles designed into the
structure.”

Theo Haimann defines staffing as “Staffing pertains to recruitment, selection,

development and compensation of subordinate.

According to Mc Farland, “ Staffing is the function by which managers build an

organization through the recruitment , selection, and development of individuals as
capable employees”.

Human resources are the most important resource of any organization. They supply
talent, skills, knowledge, and experience to achieve the organization’s objectives.
Other resources of production remain useless without manpower. The result
provided by other resources depend on the ability of humans to use them . So, human
resource is very important. If an organization have enough manpower or right man
on right job then achieving targets of organization becomes easy.

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Nature of Staffing

Staffing is an integral part of human resource management. It helps in procuring and

placement of right persons on the right jobs. The nature of staffing has been
discussed below:

1. Staffing relates to people: Staffing is people centric i.e. it relates to people.

Manpower is required in all types of organisations. It is concerned with all categories
of personnel from top to bottom. Whether it is upper level or lower level human
resource is necessary. Broadly an organisation requires blue collared employees i.e.
those working on the machines , white collared workers i.e., clerical employees,
Blue collar workers (i.e ) Managerial and non-managerial personnel and
Professionals such as Chartered Accountant, Company Secretary, Lawyer, etc.

2. Staffing is a pervasive: Staffing is a basic function of management and is

responsibility of every manager. Every manager is continuously engaged in
performing the staffing function of recruiting, selecting, training and appraisal of his
subordinates. These activities are performed by the chief executive, departmental
managers and foremen in relation to their subordinates. Thus, staffing is a pervasive
function of management and is performed by the managers at all levels. Staffing is
such an important function that in many enterprises, Personnel Department is created
to perform these activities. But still managers at different levels are not relieved of
the responsibility concerned with staffing. The Personnel Department provides
assistance to the managers in performing their staffing function. Thus, every
manager has to share the responsibility of staffing.

3. Human Skills: Staffing relates to human resources. Every manager should use
humanistic approach in providing guidance and training to the subordinates. Human
relations skills are also required in performance appraisal, transfer and promotion of
subordinates. If the staffing function is performed properly, the human relations in
the organisation will always be cordial.

4. Continuous Function: Staffing is a continuous function. It is equally important

in the established organisations and the new organisations. In a new organisation,
managers are engaged in recruitment, selection and training etc. of personnel. In a
running organisation, every manager guides and trains the workers, evaluating their
performance, filling vacancies, promotions etc. on a continuous basis.

Importance of Staffing

Human resources are the most important resources of any organisation. It is

imperative for organisation that right kind of people are employed at right positions.
They should be given adequate training and motivated continuously so that
productivity gets increased and wastage is minimum. Effective performance of the
staffing function is necessary to realize the following benefits:

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1. Efficient Performance of Managerial Functions:

Staffing is the key to the efficient performance of other functions of management. If

people are not competent, functions such as planning, organisation, directing and
controlling can’t be performed effectively.

2. Effective Use of Technology and Other Resources:

Men and material remain useless in absence of human resources. It is the human
factor that make use of these resources. They are instrumental in the effective
utilisation of latest technology, capital, material, etc.

3 Development of Human Capital:

The management is required to determine the manpower requirements well in

advance. Once employed they also need to be imparted training for their
development and career advancement and also to meet the requirements of the
company in future.

4. Motivation of Human Resources:

The behaviour of individuals is shaped by many factors such as education level,

needs, socio-cultural factors, etc. that is why, the human aspect of organisation has
become very important. The workers can be motivated through financial and non-
financial incentives.

5. Building Higher Morale:

Right type of climate should be created for the workers to contribute to the
achievement of the organisational objectives. By performing the staffing function
effectively, management can show the significance it attaches to the personnel
working in the enterprise. This will increase the morale of the employees.

Process of staffing:

We, briefly, discuss below these steps in process of staffing.

Figure 1:Process of staffing

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1. Manpower Planning:

Manpower planning is finding out the number and quality of people required to fill
various positions in the enterprise. It also involves evaluating the manpower already
in the organization and to develop the requisite talents among those selected for
promotion advancement.

2. Recruitment:

Recruitment is a positive process. It aims at attracting prospective employees to

apply for various job positions in the organization. When more people apply for a
position, organization gets a wider choice from which an appropriate candidate
could be selected. Recruitment brings together the job providers and the job seekers.

Characteristics of Recruitment: – Recruitment has the following characteristics-

• Recruitment is the first step of staffing

• It involves attracting and motivating job seekers to apply for the job positions
in an organization.

• It is a continuous process.

• It is a positive process.

• It fulfills both present and future needs.

• It helps organization maintain the database of job applicants who can be

approached later when required.

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 Sources of Recruitment: – The sources of recruitment can be divided into two
categories: –

3. Selection

The next step in staffing is selection. According to Dale Yoder, “Selection is the
process in which candidates by employment are divided into two classes those who
are to be offered employment and those who are not.” Selection means selecting the
candidates by various acts from the application forms invited through recruitment.

Selection Procedure :

Selection of workers is regarded as a policy matter. Every enterprise has its own
policy for selection The following procedure is adopted generally:

a) Receiving and screening the applications: After receiving applications, they are
screened. Those applicants who fulfill the minimum criteria are shortlisted. Other
applications of are rejected.

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b) Preliminary Interview: After this, applicants are called for a preliminary
interview. By this interview the appearance, attitudes, behavior of the candidate can
be known easily and the interviewer can decide whether the applicant is fit for job
or not on a preliminary basis. Preliminary interviews are often called a courtesy
interview as well.

c) Selection Tests: Candidates who qualify the preliminary interviews are called for
tests. Tests are conducted for testing the knowledge, personal behavior, efficiency
of work and interest. There are various types of tests conducted depending upon the
jobs and the company. Generally, following types of tests are conducted.

i. Aptitude test

ii. Interest Test

iii. Intelligence Test

iv. Graphology test

v. Psychometric Tests

vi. Personality Tests

vii. Ability Tests etc.

d) Employment Interview: Those who qualify the selection tests are called for
employment interview. This interview is formal and in-depth interview. It provides
quiet deep knowledge about the candidate’s suitability and helps in finding out the
physical appearance and mental alertness of the candidate. They are considered to
be an excellent selection device. Interviews may be of various kinds these are:

1) One-to-One Interview

2) Panel Interview

3) Sequential Interviews

4) Structured Interview

5) Unstructured interviews

6) Stress interview

7) Behavioural Interviews etc.

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e) Checking References on Investigation of Previous History: Applicants are
generally asked to give names of at least two persons to whom the firm may make a
reference to verify the information provided by the candidates. Reference checks can
be made through formal letters or telephonic conversations.

f) Selection Decision: After obtaining all the information, the most critical step is
the selection decision. The final decision has to be made out of applicants who have
passed preliminary interviews, tests, final interviews and reference checks. The
views of line managers are considered generally because it is the line manager who
is responsible for the performance of the new employee.

g) Physical Examination: After the selection decision is made, the candidate is

required to undergo a physical fitness test. A job offer depends upon the candidate
passing the physical examination test.

h) Job Offer: Job offer is made to those applicants who have crossed all the previous
hurdles. The offer is made by sending the appointment letter which specifies the
post, salary and terms of employment.

i) Placement : This the final selection process. The candidate who accepts the job
offer is placed on the job.

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4. Orientation

Orientation means to introduce the employee to the co-workers and the work
environment. He is given information such as working hours, place of work, names
of the immediate and other officers etc. so that the new employee become familiar
to the working environment. The employee and manager also discuss and reinforce
the performance expectations that were initially discussed during the interview
process. Generally the information given during the orientation programme include-

• Organizational & Departmental goals

• Organizational structure

• Organizational and Employee’s layout

• General rules and regulations etc.

The main aim of conducting Orientation is to build up confidence, morale and trust
of the employee in the new organization.

5. Training and development

Training is an instrument of developing the employees. Technical and managerial

skills are needed by the employees for performing the jobs assigned and training
improves these skills. Training is required to be given to new employees as well as
existing employees. Training methods and the duration for which training is to be
given is decided by the management according to the objectives of the training, the
number of persons to be trained, budget available and level of trainees in
organizational hierarchy. Training leads to overall personal development. The major
outcome of training is learning. According to Flippo: “Training is an act of
increasing the knowledge and skill of an employee for doing a particular job.”

Importance of training and development:

1. Reduction in learning time

2. Better performance

3. Reduced supervision

4. Increases Morale of the employees

5. Facilitates organizational stability and flexibility

6. Develops employees’ skills, talent & competency

7. Decreased working accidents

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8. Better use of organizational resources by reducing wastages

9. Increase in production and productivity

Techniques of training can be categorized as:

On-the-job training: It is a technique of teaching skills while the person performs the
job. Training is imparted in the real work environment . It is less expensive method
of training and production is not hindered under on the job training. It is suitable
when the trainees are limited in number. On the job training is usually imparted by
experienced workers and first line supervisors at the workplace.

Off-the-job training: Off the job training involves imparting training outside the real
work. These training methods are quite expensive as they need a totally different set-
up and also do not add anything to production during training. Any numbers of
employees can be trained at a time under this method Training here is imparted in
an artificial set-up and outside experts are hired for the purpose.

Regardless of the type, training should be realistic. Training should be designed

with the trainee in mind and should allow one-on-one contacts between trainee and
trainer.

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Development

Development is opportunities created to help employees grow. It is futuristic in

nature as it aims at imparting skills for taking higher responsibilities in the future.
Development is not related to imparting primary skills but it provides the knowledge
and attitudes, which will be helpful to employees in fulfilling their future
obligations. Development of an employee depends a lot on his willingness and
motivation since no one can be forced to learn anything.

Training and development are components of the same system. The major difference
between training and development is that while training focuses on the current
employee needs but development is concerned with preparing employees for future
responsibilities. Generally off the job methods are used for development of
employees. Development is a planned systematic process of learning and is designed
to induce behavioral change in individuals by enhancing their mental abilities and
qualities inherent in them.

Performance appraisal

Performance appraisal means judging an employee’s performance in a job. It is also

called as merit rating. Performance appraisal is one of the oldest and most accepted
universal principles of management. It refers to all the procedures used to evaluate
the personalities, contributions and potential of employees. It also serves as a guide
by formulating a suitable training and development program to improve the quality
of performance. The immediate superior appraises the performance of the
individuals with respect to his job performance and his potential for development.

Objectives of performance appraisal:

1. To help a manager to decide the increase in pay on ground of merits.

2. To find out the training needs.

3. To nominate employees for training programs.

4. To motivate the employees to do better in his or her present job.

5. To contribute to the growth and development of an employee.

6. To identify employees for deputation to other organizations

7. To help in creating a desirable work culture in the organization.

Appraisal Methods : Performance appraisal systems may be subjective or

objective:

In a subjective performance appraisal system, there is no specific criteria defined for

appraisal and the appraiser appraises the employee on the basis of his or her

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observations only. Under objective performance appraisal system, both the criteria
for evaluation and the method of measurement are specific.

Broadly all methods of appraisals can be divided into two categories.

• Past Oriented Methods

• Future Oriented Methods

Past Oriented Methods

1. Rating Scales: Under this method scales are developed ranging from excellent to
poor for job related performance criterions such as dependability, initiative, output,
attendance, attitude etc. The total numerical scores of each employee is computed
and conclusions are derived.

2. Checklist: Under this method, checklist of questions on traits of employee is

prepared. The answer has to be given in yes or no only. Based on responses of these
statements, evaluation is done.

3. Forced Choice Method: Under this method, the rater is forced to make a choice
out of the set of two or three statements. There are many such set of questions. He
indicates which statement is true or false. Assessment is done by HR department

4. Behaviourally Anchored Rating Scales: Here, several statements of effective

and ineffective behaviours are established.. They are said to be behaviourally
anchored. The rater tells, which behaviour describes the employee performance. And
thus employees get evaluated on the basis of points scored.

5. Field Review Method: under this, appraisal is done by someone from a

department different from that of the employees own department usually from HR
department. However, under this method, the major drawback is that outsider is
generally not familiar with employees work environment and thus, Observation of
actual behavior is not possible.

Other methods are :

• Forced Distribution Method

• Critical Incidents Method

• Performance Tests & Observations

• Essay Method

• Comparative Evaluation Method (Ranking & Paired Comparisons

Ranking)

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Future Oriented Methods

1. Management By Objectives: Under this method, the performance is rated against

the achievement of objectives stated by the management. Process of MBO is as
follows:

• Establish desired outcomes for each subordinate

• Setting the standard of performance

• Comparison of actual goals with those attained by the employee

• Establish new goals and new strategies for goals not achieved previously.

2. Psychological Appraisals: These appraisals assess employees potential for future

performance rather than the past one. It is based on characteristics affecting his
performance such as emotions, intellect, and motivation. An employee may be
evaluated by in-depth interviews, psychological tests, and discussion with
supervisors and by reviewing other evaluations. However quality of this appraisal
method depend upon the skills of appraiser.

3. Assessment Centres: Assessment centre is a central location where managers

may come together and participate in job related exercises which are evaluated by
trained appraisers. It is more focused on observation of behaviors. Assesses are
required to participate in activities which require same traits as those required for
successful performance of actual job such as work groups, computer simulations,
role playing etc. The characteristics assessed in assessment centre can be
assertiveness, persuasive ability, communicating ability, planning and
organizational ability, self confidence, resistance to stress, energy level, decision
making, sensitivity, administrative ability, creativity and alertness etc.

4. 360-Degree Feedback: Under this technique, appraisal is done on the basis of

performance data taken from almost all stakeholders like immediate supervisors,
team members, customers, peers and self. It provides feedback of employee from
multiple sources. 360-degree appraisals are useful to measure inter-personal skills,
customer satisfaction and team building skills. However when feedback is taken
from multiple sources , it can be frightening for an employee . It may make them do
what others want not what he is supposed to do. Multiple raters also may not provide
balanced and objective feedback.

Summary

Staffing may be defined as the process of hiring and developing the required
personnel to fill in the various positions in the organization. It involves estimating
the number and type of personnel required, recruiting, selecting, training and
developing them, and appraising their performance. Recruiting involves attracting

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candidate to fill the positions in the organization structure. Before recruiting, the
requirement of positions must be cleared identified.

Selection is the process of choosing the most suitable person for the job positions in
the organization. The selected employee is placed on the job and made familiar with
the work environment. After that employees need to be trained and developed to
enhance their skills and for taking higher responsibilities in the future. Training is
required to be given to new employees as well as existing employees. After that, the
performance of the employees is evaluated. Performance appraisal is the judgment
of an employee’s performance on a job. It is also called as merit rating. subordinates
performance is evaluated by his immediate superior. Staffing provides human
resources to the organization which are the most important resources of any
organisation. Men and material remain useless in absence of human resources. It is
imperative that organisation that right kind of people are employed at right positions
.If people are not competent, functions such as planning, organisation, directing and
controlling cant be performed effectively and an organisation will not be able to
achieve its goals.

References

• Principles & Practices of Management : L. M. Prasad

• Principles of Management : P. C. Tripathy & P.N. Readdy

• Principles of Management : Koontz & O’Donnell

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