LESSON CONCEPT AND NATURE OF STAFFING

MANAGEMENT

OBJECTIVES:
K: Identify the nature of staffing
S: Determine the concept of staffing function in
business organizations;
A: Appreciate the importance of staffing in the
business organization.

LEARNING COMPETENCIES:

Discuss the concept and nature of staffing.

I. WHAT HAPPENED
Activity:

Directions: What do you think is the right word that best

describe the four pictures? What do the pictures suggest? Write
your analysis in 2-3 sentences. Accomplish this on your notebook.

Source: slideshare.net
PRE-TEST:
Direction: Read and analyze the statements below. Determine whether the
statement is TRUE or FALSE. Write TRUE if the statement is correct and write FALSE
if otherwise. Write your answers on your notebook.

1. Employees can be considered both an Asset and a Liability.

2. Contingent workers are employees who have full time employment.
3. Staffing includes human resource management.
4. Staffing is not a basic function of management.
5. The performance of staffing is affected by the internal and external
environment of the enterprise.
6. Once the organizational goals are set, the plans are prepared and
organization is appropriately structured to pave the path for
achievement of the set goals.
7. Staffing has its roots in social sciences.
8. Managers must encourage employees to grow and realize their full
potential.
9. The long-term manpower planning should be concerned with the
estimation of staff members required in future.
10. Staffing is a continuous and never-ending process.

II. WHAT YOU NEED TO KNOW

Managers often consider human resources as their organization’s most

important resources. Very few administrators would argue with the fact
that human resources are very important for the efficient and effective
operation of a company. To emphasize their importance, human
resources are also called human capital, intellectual assets, or
management or company talents. These terms imply that human
resources are the drivers off the organization’s
performance; hence, staffing is a crucial function of managers.

DISCUSSION

Concept and Nature of Staffing

Staffing – Introduction
In a new enterprise, the staffing function follows the planning and
organizing function. In the case of running an enterprise, staffing is a continuous
process. So, the manager should perform this function at all times.
It is obvious that the management must ensure a constant availability of
sufficient number of efficient executives in an enterprise for the efficient
functioning of the enterprise. The selected personnel should be physically,
mentally and temperamentally fit for the job.
Staffing is a basic function of management. Every manager is
continuously engaged in performing the staffing function. He is actively
associated with recruitment, selection, 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.
Meaning of Staffing:
The term ‘Staffing’ relates to the recruitment, selection, development,
training and compensation of the managerial personnel. Staffing, like all other
managerial functions, is the duty which the apex management performs at all
times. In a newly created enterprise, the staffing would come as a. third step—
next to planning and organizing—but in a going enterprise the staffing process
is continuous.
In order to define and clarify the group of employees included in the
staffing concept, it must be stated that the staffing function is concerned with
the placement, growth and development of all of those members of the
organization whose function it is to get things done through one effort of other
individuals.
This definition includes all levels of management because those who will
occupy positions in the top two or three levels of management fifteen or
twenty years from now are likely to be found in the lower levels today.
“The managerial function of staffing involves manning the organizational
structure through effective and proper selection, appraisal, and development
of personnel to fill the roles designed into the structure.” — Koontz and
O’Donnell https://www.yourarticlelibrary.com/business-
management/staffing-its-
meaning-nature-and-importance-business-management/27912
Staffing is related to performing a set of activities which aim at inviting,
selecting, placing and retaining individuals at various jobs to achieve the
organizational goals. It involves determining the need for people at various
organizational posts, appointing and retaining them at those posts by training
and developing their abilities and skills. This is done by performing a number of
functions like manpower planning, recruitment, selection, training and
development, performance appraisal, compensation and maintenance.
https://www.businessmanagementideas.com/notes/management-
notes/staffing-management-notes/notes-on-staffing-nature-need-
andimportance-organisation/5017

Staffing, according to Dyck and Neubert (2012), is the Human Resource

function of identifying, attracting, hiring, and retaining people with the
necessary qualifications to fill the responsibilities of current and future jobs in
the organization. The number of managerial personnel or non-managerial
human resources needed by an organization depends upon the size and
complexity of its operations, its plans for branching out or increasing products,
and turnover rates of both types of human resources, among others. Besides
considering their number, the qualifications for the individual positions must be
identified, so that the best-suited individuals for the job positions may be
selected for hiring.

Staffing – Concept
Once the organizational goals are set, the plans are prepared and
organization is appropriately structured to pave the path for achievement of
the set goals. The next step is to provide appropriate personnel to fill in the
various positions created by the organizational structure. The process putting
people to jobs is termed as staffing. Staffing, the management function
involves appointing appropriate personnel, developing them to meet
organizational needs and ensuring that they are a satisfied and happy
workforce.
Staffing is defined as a managerial function of filling and keeping filled
the positions in the organizational structure. The personnel appointed are a
combination of permanent employees, daily workers, consultants, contract
employees etc.
Staffing includes:

1. Identifying the requirement of workforce and its planning.

2. Recruitment and selection of appropriate personnel for new jobs or for
positions which may arise as a result of existing employees leaving the
organization.
3. Planning adequate training for development and growth of workforce.
4. Deciding on compensation, promotion and performance appraisals for the
workforce.
The following are the basic nature of staffing:
I. People-oriented – Staffing deals with efficient utilization of human
resources in an organization. It promotes and stimulates every employee
to make his full contribution for achieving desired objective of the
organization.

II. Development-oriented – It is concerned with developing

potentialities of personnel in the organization. It develops their
personality, interests, and skills. It enables employees to get maximum
satisfaction from their work. It assists employees to realize their full
potential. It provides opportunities to employees for their advancement
through training, job education, etc.

III. Pervasive function – Staffing is required in every organization. It is

a major sub-system in the total management system that can be
applied to both profit making and non-profit making organizations. It is
required at all levels of organization for all types of employees.

IV. Continuous function – Staffing is a continuous and never-ending

process. It requires constant alertness and awareness of human relations
and their importance in every operation.

V. Human objectives – It develops potentialities of employees so that

they can derive maximum satisfaction from their work. It creates an
atmosphere where employees willingly cooperate for the attainment of
desired organizational goals.

VI. Individuals as well as group-oriented – Staffing is concerned with

employees both as individuals and as group in attaining goals. It
establishes proper organizational structure to satisfy individual needs
and group efforts. It integrates individual and group goals in such a
manner that the employees feel a sense of involvement towards the
organization.

VII. Developing cordial working environment – It develops a cordial

environment in the enterprise where each employee contributes his best
for the achievement of organizational goals. It provides a very
comfortable physical and psychological working environment.

VIII. Interdisciplinary nature – Staffing has its roots in social sciences. It

uses concepts drawn from various disciplines such as psychology,
sociology, anthropology, and management. It has also borrowed
principles from behavioral sciences. It is a science of human
engineering.
 IX. Integral part of general management – Staffing is an integral part
of the general management. It is very much a part of every line
manager’s responsibility. Every member of the management group
(from top to bottom) must be an effective personnel administrator. It
renders service to other functional areas of management.

X. Science as well as art – Staffing is a science of human engineering.

It is an organized body of knowledge consisting of principles and
techniques. It is also an art as it involves skills to deal with people. It is one
of the creative arts as it handles employees and solves their problems
systematically. It is a philosophy of management as it believes in the
dignity and worth of human beings.
https://www.economicsdiscussion.net/organisation/staffing/31866

Characteristics of Staffing as a Function of Management

The following facts clearly bring out the characteristics of staffing as a
function of management:
1. Related to Human Beings
The first important characteristic of staffing is its relationship with human
beings. It means that unlike planning and organizing it is not mere paper work
but involves the appointment of competent persons on various posts. Planning
lays down what, when, how and by whom work is to be done. Similarly, an
organizational structure chart is prepared under organizing.
On the contrary, under staffing, competent individuals are selected and
given training keeping in view the importance of the post and not only doing
paper work alone. All the activities done to accomplish this work are
connected with human beings-they may be recruitment, selection, training,
promotion, etc.
2. Separate Managerial Function
The second important characteristic of staffing is that it is a separate
managerial function. Separate managerial function means that far from being
a major part of some function, it is in itself a major function. Staffing is included
in the other categories of managerial functions like planning, organizing,
leading, and controlling. A little earlier, some management experts considered
it a part of organizing. But these days, on the basis of various researches, it is
accepted as an important separate managerial function.
3. Essential at All Managerial Levels
Staffing is essential at all managerial levels. The Board of Directors
performs the function of staffing by appointing General Manager. The General
Manager does so by appointing departmental managers, while the
departmental managers perform this function by appointing their
subordinates. It must be clarified here that the establishment of a separate
personnel department does not free the concerned managers from this
allimportant function.
The aim of establishing this department is to assist the managers at every
level in the performance of their function of staffing. It is important to note that
the final responsibility regarding staffing lies with the managers concerned.
4. Related to Social Responsibility
Staffing deals with human beings and man is a social animal. Since it is
connected with human beings, the social responsibility of this function is born.
In order to discharge this responsibility, the managers should take care and be
impartial while going through the allied functions of recruitment, selection,
promotion, etc.
5. Effect of Internal and External Environment
The performance of staffing is affected by the internal and external
environment of the enterprise. The internal environment of the enterprise
includes policies connected with the employees — like the promotion policy,
demotion policy, transfer policy, etc. If as a matter of policy the vacant posts
are to be filled up by promotion, the employees already working in the
enterprise will have the opportunity to reach higher posts, and the people from
outside will be appointed only on lower posts.
In this way the internal policy of the organization does affect the function
of staffing. The external environment affecting the enterprise includes
government policies and educational environment. It can be the policy of the
government that in a particular enterprise employees should be recruited only
through employment exchange. Educational institutions can help in the
development of the employees by organizing special training camps. In this
way, external environment also affects the function of staffing.

7 Important Functions of Staffing

1. Manpower Planning
Manpower may be planned for short-term and long-term. The short-term
manpower planning may achieve the objectives of the company at present
conditions. The long-term manpower planning should be concerned with the
estimation of staff members required in future.
2. Development
Development is concerned with the development of staff members
through adequate and appropriate training programs. The training is given
only to the needy persons.

3. Fixing the Employment Standards

It involves the job specification and job description. These enable the
management to select the personnel and train them scientifically. Job
description is a systematic and organized written statement of the duties and
responsibilities in a specific job. Job specification is a statement of personal
qualities that an individual must possess if he is to successfully perform the job.

4. Sources
It is concerned with the method by which the staff members are
selected. The sources may be internal and external sources. Internal source
means that a vacancy is filled up by the company out of the staff members
available within the company. The external source means that a vacancy is
filled up by the company from outside the company. The person selected may
be unemployed or working in any other company.

5. Selection and Placement

It includes the process of selection of the staff members. The placement
includes giving a job to a person on the basis of his ability, education,
experience and the like.

6. Training
The training may be arranged by the company itself. In certain cases,
the staff members may be sent out by the company to get the training. The
expense is borne by the company. The training may be required not only by
the new staff members but also by the existing staff members.

7 Step Process of Staffing

Staffing starts with the estimation of manpower requirements and
proceeds towards searching for talented personnel to fill the various positions
in
an organization. Staffing, therefore, should follow a logical step by step
process.
Following are the important steps involved in the process of staffing:
Step # 1. Estimating Manpower Requirements/Manpower Planning:
 The process of manpower planning can be divided into two parts. One
is an analysis for determining the quantitative needs of the organization, i.e.,
how many people will be needed in the future. The other part is the qualitative
analysis to determine what qualities and characteristics are required for
performing a job.
The former is called the quantitative aspect of manpower planning in
which we try to ensure a fair number or personnel in each department and at
each level. It should neither be too high nor too low leading to overstaffing or
under-staffing respectively. The second aspect is known as qualitative aspect
of manpower planning wherein we try to get a proper fit between the job
requirement and the requirement on the part of personnel in terms of
qualification, experience and personality orientation.

Step # 2. Recruitment and Selection:

The second step after manpower planning is recruitment and selection.
These are two separate functions, which usually go together. Recruitment aims
at stimulating and attracting job applicants for positions in the organization.
Selection consists of making choice among applicants. To choose those which
are most suited to the job requirement keeping in view the job analysis
information.
Selection processes must begin by precisely identifying the task to be
performed and also drawing a line between successful and unsuccessful
performance. Thereafter, the process of selection tries to find out how far a job
applicant fulfils those characteristics or traits needed to successfully perform
the job.

Step # 3. Placement and Orientation:

Placement refers to place the right person on the right job. Once the job
offer has been accepted by the selected candidate, he is placed on his new
job. Proper placement of an employee reduces absenteeism, employee’s
turnover and accident rates. Orientation/Induction is concerned with the
process of introduction or orienting a new employee to the organization.
The new employee is introduced to fellow employees, given a tour of the
department and informed about such details as hours of work, overtime, lunch
period, rest rooms, etc. They are mostly informed about the company, the job
and work environment. They are encouraged to approach their supervisors
with questions and problems.

Step # 4. Training and Development:

It is more accurately considered as a process of skill formation and
behavioral change. It is a continuous process of the staffing function. Training
is more effectively conducted when the actual content of jobs for which
people are being trained and developed is known.
 Training programs should be devised to impart knowledge, develop skills
and stimulate motives needed to perform the job. Development involves
growth of an employee in all respects. It is a wider concept. It seeks to develop
competence and skills for future performance. Thus, it has a long-term
perspective.

Step # 5. Performance Appraisal:

It means evaluating a performance employee’s current and past
performance as against certain predetermined standards. This process
includes defining the job, appraising performance and providing feedback.

Step # 6. Promotion and Career Planning:

Managers must encourage employees to grow and realize their full
potential. Promotions are an integral p art of people’s career. They usually
mean more pay, responsibility and job satisfaction.

Step # 7. Compensation:
It refers to all forms of pay or rewards paid to employees by the
employer/firm. It may be in the form of direct financial payments (Time based
or Performance based) like salaries and indirect payments like paid leaves.
https://www.economicsdiscussion.net/organisation/staffing/31866

Activity 1.
Case study: role and job analysis
Job Description at Red Lobster (Phillip – Gully 2009)

Red Lobster operates over 670 casual-dining seafood restaurants in the

US and Canada, employing more than 63,000 people. When Red Lobster
developed a new business strategy to focus on value and improve its image,
it established a new vision, mission, and goals for the company. The restaurant
chain simplified its menu with the highest-quality seafood it could offer at
midrange prices, traded its restaurants’ tropical themes for a crisp, clean look
with white-shirt-and-black-pants uniforms for its employees, and added
Northeastern coastal imagery to its menu and Web-site. Executing the new
mission and differentiation strategy required hiring fun, hospitality-minded
people who shared its values.
Although Red Lobster had not had any problem with hiring restaurant
managers, the company felt that the managers it hired did not always reflect
Red Lobster’s strategy, vision and values. The company also realized that their
old job descriptions did not reflect the passion its new strategy needed from its
employees.
Required: Red Lobster ask your opinion of what it should do in writing its job
descriptions to improve the fit between its new management hires and its new
business strategy. Write your answer on your notebook.
http://oktato.econ.unideb.hu/kunandras/BAINMBA/SlidesHRM/HRM%20Case
%20study_Red_Lobster.doc

III. WHAT HAVE I LEARNED

POST TEST:
Direction: Write the letter of the correct answer in your notebook.
A. Nature of Staffing
B. Characteristics of Staffing
C. Important Functions of Staffing
D. Steps involved in the process of staffing

1. Selection and Placement

2. Related to Human Beings
3. Promotion and Career Planning
4. Interdisciplinary nature
5. Fixing the Employment Standards
6. Effect of Internal and External Environment
7. Development-oriented
8. Development
9. Continuous function
10. Compensation

REFERENCES

Cabrera,H., et al, 2017, Organization and Management, Vival Group, Inc.,

Quezon City, Philippines

Nature, Need and Importance of Staffing Retrieved

from www.businessmanagementideas.com

Staffing: Its meaning, nature and importance Retrieved

from www.yourarticlelibrary.com

What is Staffing? Retrieved from www.economicsdiscussion.nets