Merits of external sources of recruitment :
(i) Qualified personnel An organisation can attract highly qualified personnel through external sources.
(ii) Wider choice External sources create a large pool of candidates to choose from, for the organisation.
(iii) Fresh talent External sources helps to bring fresh talent or new blood into the organisation.
(iv) Competitive spirit New entrants and qualified freshers creates competitive spirit and helps to improve performance.

Demerits of external sources of recruitment :
(i) Dissatisfaction among existing staff Recruitment from external sources may create dissatisfaction among the existing staff as their chances of promotion are reduced.
(ii) Lengthy process Recruitfnent from external sources involves a lot of time and efforts of the manager.
(iii) Costly process Recruitment from external sources involves a lot of expenditure on advertising, selection and other processes.

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Social objective

Formal Communication:

1. ‘Formal Communication’ is the transmission of infor­mation in formal organizational structure and in specific direction.

2. The purposes of formal communication are to give orders, convey instructions and fulfill the objectives of the organisation through some pre-determined rules and regulations.

3. Letters, reports, memos, speeches, e-mail, internet, website, etc. are used in the case of formal communi­cation.

4. In the case of formal communication feedback requires some time due to completion of formal procedure.

5. Formal communication is time-consuming and costly.

6. It is official and formal in nature.

Informal Communication:

1. ‘Informal Communication’ is the communication on the basis of informal relations and understanding among the people at the same or different levels.

2. The purposes of informal communication are to build up informal relationship through personal contacts, sharing of information, etc.

3. Usually verbal channels (e.g., face-to-face conversations, telephone calls, gossip, etc.) are used in the case of informal communication.

4 . In informal communication feedback is immediate.

5. Informal communication being verbal is less costly and immediate. Of course, gossip may consume productive working hours.

6. It is unofficial and informal in nature.

(i) It Initiates Action: The employees are appointed up to the first three functions of management (planning, organising and staffing). But they cannot commence their job until they are not informed about what to do and how to do. This job manager performs through direction. Thus, it is evident that it is direction which initiates action in an organisation.

(ii) It Integrates Employees’ Efforts: Many employees work in an organisation. If any one of employees in the employees’-chain does not perform up to the mark, it adversely affects the performance of remaining employees. Thus, it is essential to establish coordination among all the activities. Manager establishes this coordination by supervising, providing good leadership, motivating and exchanging ideas with his subordinates.

(iii) It is the Means of Motivation: The objectives of an organisation can only be achieved by motivated employees. Motivated employees work with full dedication and with a feel of belongingness. Now the question is how can the employees be motivated? The work of motivating employees can be accomplished through the Directing function of management.

(iv) It Facilitates of Implementation Changes: Oftenly, employees show resistance to change in their organisational structure. But with the changing demand of time, it needs to be implemented/enforced. Managers through the medium of Direction shape the mindset of the employees in a manner that they willfully accept changes.

Human Resource Department is an integral part of any organization. Also, the Human Resource Manager (HRM) is a member of the management. Four basic functions of Human Resource Management are Planning, Directing, Controlling and Organizing. Human resource management is a central pillar of many organizations. ... In short, human resource activities fall under the following five core functions: staffing, development, compensation, safety and health, and employee and labor relations. Within each of these core functions, HR conducts a wide variety of activities.

Premises refers to the assumptions regarding the future conditions which may affect the attainment of plans. Premises provides important forecasts relating to the future which may affect the business. So the business must make strong assumptions.

For example: IBM made forecast of the 3rd generation computer system which stood as a bench mark.

1) Coordination

2) Features of coordination

It integrates group efforts

It ensures unit of action

According to Maslow, an individual has many needs and their order can be determined. The moment an individual's first need, is satisfied, he gets worried about his next need. After the satisfaction of the second need, comes the third and this order continues till all his needs are satisfied. It is, therefore, clear that needs can be motivators. In order to satisfy needs an individual himself wants to work with vigour and full capacity.

Maslow has divided different human needs on the basis of priority into five parts which are shown in the following diagram:

Pyramid Representing Maslow’s Hierarchy of Needs

(i) Physiological Needs: In this category, those needs are included which need to be satisfied to keep a man alive. These needs include food, shelter, clothing and sleep, etc.

(ii) Safety or Security Needs: After physiological needs are satisfied, a man thinks about his safety. Safety needs include physical and economic needs. Physical safety refers to defence against accidents, attacks, diseases and other unexpected problems. Economic Safety means safety of livelihood and arrangement for old age.

(iii) Affiliation or Social Needs: Man is a social animal and wants to live in society honourably. It is, therefore, necessary that he should have friends and relatives with whom he can share his joys and sorrows.

(iv) Esteem and Status Needs: These needs are called ego needs. This means every human being wants to attain a higher status so that his power increases and he gets authority.

(v) Self-actualisation Needs: Self-actualisation needs refer to the desire to maximise whatever potential an individual possesses. For example, a musician wants to be proficient in music. Similarly, a poet wants to be a specialist in his field.

Estimating manpower requirement: Staffing process begins with the estimation of manpower requirement which means finding out number and type of employees needed by the organisation in near future

Advantages of external sources of recruitment :
(i) Qualified personnel An organisation can attract highly qualified personnel through external sources.
(ii) Wider choice External sources create a large pool of candidates to choose from, for the organisation.
(iii) Fresh talent External sources helps to bring fresh talent or new blood into the organisation.
(iv) Competitive spirit New entrants and qualified freshers creates competitive spirit and helps to improve performance.

Span of control

Characteristics of Management

(i) Management is a Goal Oriented Process Organisation’S existence is based on objectives and management is the process which unites the efforts of
every individuals to achieve the goal.

(ii) Management is All Pervasive The use of management is not restricted, it is applicable in all organisations big or small, profit or non-profit making.

(iii) Management is Multidimensional it does not contain one activity. it is a complex activity including three main activities

(a) Management of house
(b) Management of people
(c) Management of operations

(iv) Management is a Continuous Process It is a never ending process. It consists of series of interrelated functions which performs continuously.

(v) Management is a Group Activity Organisation is a collection of many individuals, every individual contributes towards achieving the goal.

(vi) Management is an Intangible Force It cannot be seen or touched only it can be felt in the way the organisation functions.

A rule is an explicit statement that tells an employee what he or she can and cannot do. Rules are “do” and “don't” statements put into place to promote the safety of employees and the uniform treatment and behavior of employees. For example, rules about tardiness and absenteeism permit supervisors to make discipline decisions rapidly and with a high degree of fairness. Hence this plan is least flexible.

Planning is a continuous process because: (a) A plan is prepared for a particular period. Hence, there is need for a new plan after the expiry of that period. (b) In case of any discrepancy plans are to be revised. (c) In case of rapid changes in the business environment plans are to be revised. Continuous planning is an approach to planning where static annual or bi-annual plans are replaced with a continually updated plan, which is revised every time an internal or external event (such as a shift in priorities, an unexpected delay in a given program or a change in the business environment) occurs.

Planning is the function of management which is being discussed in the above lines.
Planning is deciding in advance what to do, how to do, when to do and who has to do it. Thus, it involves setting objectives and developing an appropriate course of action to achieve these objectives.

Informal Barriers or Distortions - Informal barriers are varied in form but generally impact on trade indirectly. They include technical and health regulations, government procurement and distribution policies, various government subsidies and financial aids, and transportation policies. There are four types of trade barriers that can be implemented by countries. They are Voluntary Export Restraints, Regulatory Barriers, Anti-Dumping Duties, and Subsidies.

Controlling involves comparison of actual performance with the planned performance. If there is any difference or deviation, then finding the reasons for such difference and taking corrective measures or action to stop those reasons so that they don‘t re-occur in future and that organizational objectives are fulfilled efficiently.