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Class 12 Business Studies Staffing Extra Questions

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Class 12 Business Studies Staffing Extra Questions. myCBSEguide has just released Chapter Wise Question Answers for class 12 Business Studies. There chapter wise Practice Questions with complete solutions are available for download in myCBSEguide website and mobile app. These test papers with solution are prepared by our team of expert teachers who are teaching grade in CBSE schools for years. There are around 4-5 set of solved Business Studies Test Papers from each and every chapter. The students will not miss any concept in these Chapter wise question that are specially designed to tackle Exam. We have taken care of every single concept given in CBSE Class 12 Business Studies syllabus and questions are framed as per the latest marking scheme and blue print issued by CBSE for class 12.

CBSE Class 12 Business Studies Ch – 6 

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Practice Questions for Class 12 Chapter 6 Business Studies

Chapter – 6 Staffing 

  1. Estimating Manpower Requirements include _________________ (1)

    1. Financial Expenses
    2. Training Expenses
    3. Selection Expenses
    4. Number and types of persons required
  2. Main aim of Recruitment is _____________ (1)

    1. To attract less candidates
    2. To attract more and more candidates
    3. To call selected candidates
    4. None of these
  3. Staffing is ___________ function (1)

    1. Managerial Function
    2. Planning
    3. Budget
    4. Top Level Function
  4. Which test is helpful in assessing the individuals? capacity for learning new skills? (1)

    1. Aptitude Test
    2. Personality Test
    3. Trade Test
    4. Intelligence Test
  5. What is meant by selection of employees? (1)

  6. State the method of training in the below statement.
    Trainee is put under the guidance of a master worker to acquire a higher level of skill. For example to become plumber, electrician, etc. (1)

  7. How does staffing improve job satisfaction and morale of employees? State. (1)

  8. State how staffing ensures ‘continuous survival and growth of enterprise’. (1)

  9. “There is no need of human resource planning as so many people are available in the market these days.” Do you agree with this statement? Give reasons. (3)

  10. Atul-The Assistant Manager, Vikas-the Marketing Head and Leena-The Human Resource Manager of ‘Montac Enterprises Ltd.’ decided to leave the company.
    The Chief Executive Officer of the company called the Human Resource Manager, Leena and requested her to fill up the vacancies before leaving the organisation. Leena suggested that her subordinate Miss Rama Wadhwa is very competent and trustworthy, if she could be moved up in the hierarchy, she would do the needful. The Chief Executive Officer agreed for the same. Miss Rama Wadhwa contacted ‘Smith Recruiters’ who advertised for the post of marketing head for ‘Montac Enterprises Ltd’. They were able to recruit a suitable candidate for the company. Atul’s vacancy was filled up by screening the database of unsolicited applications lying in the office.

    1. Name the internal/external sources of recruitment used by ‘Montac Enterprises Ltd.’ to fill up the above-stated vacancies.
    2. Also state anyone merit of each of the above-identified source of recruitment. (3)
  11. Explain briefly ‘transfers’ and ‘promotions’ as internal sources of recruitment. (4)

  12. Provide any four limitations of using internal sources of recruitment. (4)

  13. Explain in brief the various steps involved in the process of staffing. (5)

  14. A newly appointed Personnel Manager is of the view that there is no need for training the workers. Do you agree with this statement? Give reasons in support of your answer. (5)

  15. Explain any four external sources of recruitment. Which of these sources is ideal for a manufacturing organisation? (6)

Chapter – 6 Staffing 


    1. Number and types of persons required
      Estimating manpower requirement means finding out number and type of employees. Type here means qualification and educational background of people to be recruited.
    1. To attract more and more candidates
      Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in an organisation.
      The main objective of recruitment is to provide sufficiently large group of qualified candidates.
    1. Managerial Function
      Staffing function is the most important mangerial act along with planning, organizing, directing and controlling. The operations of these four functions depend upon the manpower which is available through staffing function
    1. Aptitude Test
      This test is conducted to find out how quickly the canditate can learn new skills and new methods
  1. Selection is the process of identifying and choosing the best person out of a number of prospective candidates for a job by means of various tests and interviews. Its objective is to measure the ability and skill of the applicants.
  2. “Apprenticeship Programme is the method.
  3. Staffing helps in improving job satisfaction and morale of the employees by employing right people at the right job, train them and developing their abilities, evaluating their performance and promoting them.The effort is made to provide them with all the desired facilities. Special care is taken for, that in no way the pay package of employees is reduced. Thus, they get total job satisfaction and their morale is boosted.
  4. Proper staffing ensures continuous survival and growth of an enterprise through succession planning for managers. It includes training and development, performance appraisal, promotion and career planning, compensation etc.
  5. No, I don’t agree with this statement. There is a great need of manpower planning due to the following reasons.
    1. Human resource manager has to find out the number of employees required by the organisation and make provision for their recruitment.
    2. Developing compensation and incentive plans from time to time with the aim of improving the policies concerning personnel.
    3. Manpower planning helps companies in handling grievances and complaints. It establishes cordial relations between the employees and the employer.
    1. The internal/external sources of recruitment used by ‘Montac Enterprises Ltd’ to fill up the above-stated vacancies are.
      1. Promotion: It is an internal source of recruitment in which an employee is shifted to a higher post. Leena’s vacancy was filled by using this source.
      2. Placement Agencies and Management Consultants: It is an external source of recruitment. These agencies provide nationwide service in matching personnel demand and supply. Vikas’s vacancy was filled by using this source.
      3. Casual Callers: It is again an external source of recruitment through which the organisation keeps a database of unsolicited applicants in their files. Atul’s vacancy was filled by using this source.

    Merits :

    1. Promotion: It helps to increase the motivation and satisfaction of employees as their status and salary are enhanced.
    2. Placement Agencies and Management Consultants: They help organisations to recruit technical, professional and managerial personnel easily. They establish a balance between the demand and supply of the employees.
    3. Casual Callers: It is an inexpensive method of recruitment. The casual callers, also called as unsolicited applications are the job seekers who come to the well-renowned organizations casually and either mail or drop in their job applications seeking the job opportunity.
  6. Transfer: It means shifting of employees from one job position to other at the same level of authority. Only the working place is changed. Therefore, it refers to a horizontal movement of the workers. This procedure is usually followed when some employees are surplus in one department and there is shortage of similar type of employees in another department.
    Promotion: It refers to shifting of employees from one job position to the other with a higher level of authority. Here, employees move in an upward direction within an organisational structure. There is also an increase in compensation or salary, e.g. promotion of a clerk to the post of an accountant. A post can be filled by sending an insufficient employees at some lower-position. It is known as recruitment by demotion.
  7. Limitations of using internal sources of recruitment are:
    1. Stops entry of new (young) blood: The main drawback of this source is that young, intelligent and technically sound candidates from outside do not get chance to enter the company. So, existing employee run the organisation with their outdated ideas.
    2. Employees become lethargic: Internal employees may lose the drive for proving their worth since they may feel automatic promotion by seniority and sure prospect. This feeling makes them lethargic and it affects their performance.
    3. Not suitable for a new enterprise: A new enterprise cannot use internal sources of recruitment. No organisation can fill all its vacancies from internal sources.
    4. Spirit of cooperation: Internal employees do not have to face the outside competition. Therefore, they do not put in the desired efforts for updating their knowledge, which is necessary for new jobs.
  8. Various steps in the process of staffing are as follows
    1. Estimating manpower requirements- It refers to finding out the number of persons or employees and type of employees needed in the organisation in near future. At the time of determining the number of persons required, the possibilities regarding internal promotions, retirements, resignations and dismissals,etc.
      1. Work load analysis- Finding the number and type of employees required to perform various jobs.
      2. Work force analysis- Analysing existing work force already occupying the job positions.
      3. Comparison-The manager compares the two and find out the excess of work load over work force indicating under staffing, and thus fulfills the gap.
    2. Recruitment- It refers to the process of inducing the people to apply for the job in the organisation. After assessing the number and type of required employees, the manager tries to get a greater number of applicants for the job, so that the organisation can select better candidates.
    3. Selection- It refers to the choosing of most suitable candidate to fill the vacant job position. Selection is done through a process, which involves tests, interviews, etc. It is important to keep in mind that the ability of the applicant and the nature of work must match.
    4. Placement and orientation-Placement refers to join the post for which a person has been selected. After this, a brief presentation about the company is given and employee is introduced to his superiors, subordinates and colleagues and it refers to orientation.
    5. Training and development- In this step, training is imparted to the selected candidate, by which he/she can enhance his/her skills, knowledge, which increases their efficiency and effectiveness.
    6. Performance appraisal- It refers to evaluating the performance of employees against some standards which are known to employees in advance. To judge his capability his actual work performance is compared with the work assigned to them.
    7. Promotion and career planning- Promotions are an integral part of people’s career. It means people placed in positions of increased responsibility on the basis of their capability and it usually means more pay, responsibility and job satisfaction.
    8. Compensation- It refers to fixing the compensation of an employee for his contribution to the organisation. It includes pay, rewards and other incentives given to all the employees. It includes direct as well as indirect payments. It may be of two types:
      a) Direct Financial Payments- It includes wages, salaries, incentives, commissions and bonuse
      b) Indirect payments-It includes insurance, medical,vacations etc
  9. No, I do not agree with this statement. Proper training is required to the workers because of following reasons:
    1. Addressing Weaknesses: Most employees have some weaknesses in their workplace skills. A training program allows you to strengthen those skills that each employee needs to improve
    2. Systematic learning: Training is a systematic learning which improves knowledge and skills of employees. It helps in reducing the wastage of efforts and money.
    3. Higher profits: Training helps in increasing the efficiency and productivity of the workers which lead to high quality products and higher profits.
    4. More efficient: Training makes the employee more efficient and more technical. They can handle any machine easily. Thus, less prone to accidents.
    5. Increases Morale of employees: Training increases the satisfaction and morale of employees.
    6. Increased job satisfaction and morale among employees.
    7. Increases capacity to adopt new technologies and methods.
    8. Increases innovation in strategies and products.
  10. Recruitment means inducing or attracting more and more candidates to apply for vacant job positions in the organisation. In other words, recruitment means making available persons to fill different vacant posts in the organisation. Efforts are made in this process to ensure that more and more people submit applications so that selection becomes easy. External sources of recruitment mean to invite applications for filling up the vacancies from candidates outside the organisation.
    Different external sources of recruitment are

    1. Casual callers: It is generally followed by the factories of manufacturing organisations to fill up vacancies at the labour level. In such cases, the organisation keeps the record of casual callers and present them at the time of requirement.
    2. Advertising: The most common and popular method of external recruitment is advertising, e.g. for the job of an accountant, the advertisement can be given in CA journal, for the lower rank it can be given in local newspapers and for the higher rank, it can be given in national level reputed newspapers. The advertisement may also be done through television.
    3. Placement agencies and management consultant: These agencies provide nation-wide service of matching demand and supply of workforce and invite the bio-data and record from various job seekers and send them to suitable clients. These agencies charge fees for providing such service.
    4. Labour contractors: They keep a close contact with labourers, and they supply manpower to the factory or manufacturing concerns. Through these contractors, workers are appointed in factories at very short notice. They act as a link between labourers and managers. Labour contractors is the ideal source for a manufacturing organisation. It is very much popular in road construction, building construction, and plantation industry. They keep close contact with labourers and supply manpower to manufacturing industries.

Chapter Wise Extra Questions for Class 12 Business Studies

Part -I and Part – II

  1. Nature and Significance of Management
  2. Principles of Management
  3. Business Environment
  4. Planning
  5. Organising
  6. Staffing
  7. Directing
  8. Controlling
  9. Financial Management
  10. Financial Markets
  11. Marketing Management
  12. Consumer Protection
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