File - Icse Commercial Studies

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Recruitment, Selection and Training
Long Answer Questions
1. What is recruitment of staff? Explain the external sources of recruitment.
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Recruitment is the process of finding and attracting suitable
applicants for employment.
It means identifying the sources of required staff and contacting the
sources to attract sufficient number of candidates from which choice
can be made.
External Sources of Recruitment:
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It refers to recruitment of employees from outside the organisation.
External recruitment provides wide choice and brings new blood in
the organisation.
It also provides people with new ideas and specialized skills to require
to cope with new challenges and to ensure growth of the organisation.
The commonly used external sources of recruitment are:
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Advertisements
Employment Exchanges
Placement Agencies
Campus Interviews
Recommendations
Direct Recruitment
Casual Callers
Some of the above sources of recruitment are discussed as below:
Advertisements:

Whenever an organisation wants to fill job vacancies, it may issue
advertisements giving details of the job to be filled in.
 It provides a large pool of candidates from all parts of the country.
Therefore, the organisation has sufficient choice in selection.
Campus Interviews:
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Colleges and institutes of management and technology have become a
popular source of recruitment for technical, professional and
managerial jobs.
Many big organisations maintain a close liaison with the universities,
vocational schools and management institutes to recruit qualified
personnel for various jobs. This is referred to as campus recruitment.
2. Compare merits and demerits of internal and external sources of
recruitment.
INTERNAL SOURCES
EXTERNAL SOURCES
Merits
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Improve Morale of Employee
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Better assessment of abilities
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Reduces cost
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Motivator for good performance
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Causes a succession of
Merits
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Attract qualified and trained people
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Wider choice while selecting the
people for employment
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Brings new blood in the
organisation
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Competitive Spirit: the existing staff
will have to compete with the
outsiders
promotions
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Reduces Labour Turnover
Demerits
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Inbreeding
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Possible morale problems of those
not promoted
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Demerits
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Dissatisfaction and frustration
among existing employees
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Lengthy process

Costly process
“Political” infighting for
promotions
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Restricted Choice
Employees become lethargic if they
are sure of time-bound promotions.
3. An organisation has decided to follow a three tier selection process of
appointing Executive Trainees: Aptitude Test(A.T.) Group Discussion (G.D.)
and Final Interview(F.I.). Outline the details of this process stating clearly
the tasks involved in each stage.
The steps used in selection of Executive Trainees are as follows:
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Aptitude Test:
Such tests seek to measure a candidate’s capacity to learn particular skills
and his potential abilities.
(a) Personality Tests:
Personality tests provide clues to a person’s emotions, her reactions,
maturity and value system etc. These tests probe the overall personality.
Hence, these are difficult to design and implement.
(b) Interest Tests:
Every individual has fascination for some job than the other. Interest tests
are used to know the pattern of interests or involvement of a person.
(c) Intelligence Tests:
This is one of the important psychological tests used to measure 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.
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Group Discussion:
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Group discussion is a useful means of judging the leadership ability
and social traits of candidates.
In a group discussion, some members may initiate and lead the
discussion on the problem given to discuss while others may
participate very little.
The observer guides the discussion and also records how many times
and in what way each member addresses/reacts to other members
and put forth his views on the problem.
The leadership qualities, behaviour and judgement of every member
can be judged on the basis of observation made.
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Final Interview:
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It involves a face-to-face conversation between the employer and the
candidate.
The employers ask job related and general questions.
The candidates who are found suitable after the selection tests and
group discussion are formally appointed by issuing appointment
letters to them.
They are asked to join duty by the specified date.
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4. What is training? How does it differ from education and development?
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Training is the process of increasing the job knowledge and skills of
employees.
It is undertaken for the improvement of employee's performance in
terms of his attitude, skills, knowledge and behaviour.
Training and Development
Training
Development
It is a process of increasing
knowledge and skills.
It is a process of learning and growth.
It is to enable the employee to do the
job better.
It is to enable the overall growth of
the employee.
It is a job oriented process.
It is a career oriented process.
Training and Education
Training
Education
It is a process of increasing knowledge
and skills.
It is a process of increasing general
knowledge and understanding of
employees
The purpose of training is specific.
The purpose of education is general.
It is practical in nature.
It is theoretical in nature.
5. Explain the benefits of training staff.
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Training enables the employee to obtain job security, higher earnings
and promotion.
Following are the advantages of training program to the employee:
i. Career Growth
Training programs provide the latest information, develops talent and due to
this the employee is in a position to get better jobs in the same company or
other companies.
ii. High rewards
Effective training programs result in improved performance. When
performance appraisal is done excellent performance from the employee is
rewarded by giving him incentives and bonus.
iii. Higher Morale
Employees who have been trained are generally more confident as compared
to others. Since their efforts will be rewarded in future they are very much
interested in improving their performance. Therefore we can say that their
motivation levels are very high.
iv. Group efforts
Training programs are not only technical programs but are also conducted
in areas like conflict management, group dynamics (formal and informal
groups), behavioral skills, stress management etc. This enables employees to
put in group effort without facing problems that groups normally face. In
other words training teaches people to work in a group.
v. Promotion
People who attend training programs learn from them and improve
themselves are generally considered for promotion. Thus training increases
chances of promotion.
6. (a) What is the significance of staff training?
(b) Examine the different types of training towards the development of
human resources in an office.
(a) Significance of staff training
1. Higher Productivity
Training programs can help workers to increase their efficiency levels,
improve quality and thereby increase sales for the company.
2. Reduced supervision
When workers have been formally trained they need not be supervised
constantly. This reduces the work load on the supervisor and allows him to
concentrate on other activities in the factory.
3. Better Safety
Human error or negligence is the major cause of accidents in industries.
Employees who lack knowledge and skill regarding their job often commit
mistakes. Training makes proficient and reduces accidents.
4. Higher Morale
Employees who have been trained are generally more confident as compared
to others. Since their efforts will be rewarded in future they are very much
interested in improving their performance. Therefore we can say that their
motivation levels are very high.
5. Career Growth
Training programs provide the latest information, develops talent and due to
this the employee is in a position to get better jobs in the same company or
other companies.
(b) The types of training for the development of human resources in an office
are as follows:
1. Induction or Orientation Training
Induction = Orientation
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Induction can be defined as a process of introducing the employee
who is newly appointed to the organization so that they may adjust
quickly and easily in their new environment.
Induction implies introducing employees to the organisation’s
 Company’s history and products policies, procedures and rules
 Company’s organizational structure
 Company’s policies, procedures, rules and regulations
 Terms and conditions of employment
A systematic orientation programme helps to reduce the initial
nervousness of the employee.
The main objectives of these programmes are:
 To build up new employee’s confidence in himself
 To develop a feeling of belonging and loyalty to the organisation
 To give necessary information about the location of work rooms,
leave rules, canteen, rest period, etc.
2. Job Training
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When persons without any training and job experience are selected,
then they require some training to perform their job.
Such training is called job training.
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It is given to make employees knowledgeable and skilled in
performing their job.
3. Remedial Training
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This type of training is designed to correct the mistakes and
shortcomings in the job performance of employees.
Remedial training is provided to remove these defects and to teach the
right methods of doing the job.
4. Safety Training
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The purpose of this training is to create safety consciousness.
To teach the use of safety devices so as to prevent and minimize
accidents and injuries.
5. Promotional Training
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When persons working at lower level are promoted they need training
in the performance of higher jobs.
This training involves preparing employees for higher positions.
Promotional training facilitates career development.
6. Refresher Training
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When existing work methods and techniques become obsolete,
employees have to be trained in the use of new methods and
techniques.
Refresher training is provided to update the knowledge and skills of
employees.
8. What is ‘induction training’? Is it same as on-the-job training?
 Induction can be defined as a process of introducing the employee
who is newly appointed to the organization so that they may adjust
quickly and easily in their new environment.
Induction training can be differentiated from on-the- job training as:
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On-the-job method refers to training given to personnel inside the
company whereas, Induction is a process of introducing the new
employee to the organization.
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On-the-job is a training where the trainee is placed on a regular job
and teaches the skills required to perform the job whereas, induction
training implies of giving new employee introduction on company’s
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history, organizational structure, policies, procedures, rules and
regulations, etc.
In on-the-job training, a superior or trainer guides the trainee and
trainee learns by observing and handling the job. It provides firsthand job knowledge. In induction training, senior managers of the
company arrange lectures to acquaint the new employees with the
history, activities, policies, etc.
10. Discuss the main methods used in staff training. Point out the merits
and demerits of each method.
There are different methods of giving training to the employees which can be
divided into two broad categories.
(1) On-the-Job methods, and
(2) Off-the-Job methods.
(1) On-the-Job Training (OJT)
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On the job method refers to training given to personnel inside the
company.
In this method, the trainee is placed on a regular job and taught the
skills required to perform the job.
A superior or trainer guides the trainee and trainee learns by
observing and handling the job.
Advantages of On-the-Job Training
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It is convenient and inexpensive.
It provides first-hand job knowledge.
It gives experience under actual working conditions.
Disadvantages of On-the-Job Training
The noise of the workplace may distract the attention of trainees and find it
difficult to concentrate on learning.
Some major techniques used for On-the-Job Training
1. Job Instruction Training
2. Job Rotation
3. Apprenticeship Training
(2) Off-the-Job Training
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Off the job training refers to method of training given outside the
company.
Under off-the-job training, the trainee is separated from the job
situation and learns the skills related to the job
Advantages of Off-the-Job Training
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The trainee can fully concentrate on learning because workplace noise
does not disturb or distract the attention.
Disadvantages of Off-the-Job Training
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It does not provide first-hand job knowledge and experience under
actual working conditions.
Some of the methods employed for off-the-job training are given below:
1. Classroom Training
2. Simulation Exercises
3. Vestibule Training
15. State briefly the advantages and disadvantages of internal sources of
recruitment.
Internal recruitment offers the following advantages:
1. Motivational:
Filling vacancies for higher jobs by promoting employees from within
the organisation helps to motivate and improve morale of the
employees. This induces loyalty among them.
2. Minimizes labour turnover:
Internal recruitment helps to minimise labour turnover and
absenteeism. People wait for promotion and the work-force is more
satisfied.
3. Economical:
It is a cheaper source of recruitment. Full information about the
candidates is already available. Time and money need not to be spent
on advertising of vacancies, tests and interviews, checking references,
etc.
4. Familiarity:
Candidates working in the organisation do not require induction
training. They are already familiar with the organisation and with the
people working in it.
5. Reliable:
Since the candidates are already known to the organisation, it is more
reliable way of recruitment. The candidates that are already working
in the enterprise can be evaluated more accurately and economically.
Internal recruitment suffers from the following disadvantages:
1. Inbreeding:
When vacancies are filled through internal promotions, the scope for
induction of fresh talent is reduced. Internal candidates may not give
new outlook and fresh ideas to the business. Hence, complete reliance
on internal recruitment involves danger of ‘inbreeding’ by stopping
‘infusion of new blood’ into the organization.
2. Restricted choice:
Unsuitable candidates may be promoted to positions of higher
responsibility because the choice is limited.
3. Lack of competition:
The spirit of competition among the employees may be hampered.
4. Lethargic:
The employees may become lethargic if they are sure of time-bound
promotions. There may be infighting among those who aspire for
promotion within the organisation.
5. Incomplete method:
Internal recruitment cannot be a complete method in itself. The
enterprise has to resort to external recruitment at some stage because
all vacancies cannot be filled from within the organisation.
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