Important Questions Class 12 Business Studies Chapter 6 Staffing 2026–27

Staffing is the management function of putting the right people in the right jobs and keeping organisational positions filled.
In CBSE Class 12 Business Studies, Chapter 6 Staffing covers recruitment, selection, placement, training, development and Human Resource Management.

Staffing deals with filling and keeping filled the positions in an organisation structure. It begins with estimating manpower requirements and includes recruitment, selection, placement, orientation, training, development, performance appraisal, promotion and compensation. Chapter 6 Staffing in CBSE Class 12 Business Studies shows why human resources are treated as the most important asset of an organisation.

Use these Important Questions Class 12 Business Studies Chapter 6 to practise NCERT-based answers for CBSE 2026–27. Start with staffing meaning and process, then revise recruitment vs selection, internal and external sources of recruitment, training methods, HRM links and case-based questions for CBSE board exams.

Key Takeaways

• Staffing: Staffing means putting people to jobs and keeping organisational positions filled.
• Workforce: Staffing is concerned with obtaining, utilising and maintaining a satisfactory and satisfied workforce.
• Recruitment and selection: Recruitment creates a pool of candidates, while selection chooses the most suitable candidate.
• Training: Training improves employee performance and prepares employees for higher responsibilities.

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CBSE Class 12 Business Studies Chapter 6 Staffing Exam Pattern

The CBSE Class 12 Business Studies theory paper is for 3 hours and carries 80 marks. The remaining 20 marks are for project work and viva at school level.

Multiple Choice Questions Class 12 Business Studies Chapter 6 Staffing

MCQs from Staffing usually test exact textbook terms such as workforce planning, recruitment, selection, placement, orientation, transfers, promotions and training methods. These questions help revise the objective side of Staffing Class 12 Extra Questions and Answers.

Q1. Staffing means:

1. Planning future goals
   b. Putting people to jobs
   c. Dividing work into departments
   d. Setting performance standards

Answer: b. Putting people to jobs.

Staffing means filling and keeping filled positions in the organisation structure. It includes recruitment, selection, training, development, promotion, compensation and performance appraisal.

Q2. Which function follows planning and organising in a new enterprise?

1. Staffing
   b. Controlling
   c. Coordination
   d. Delegation

Answer: a. Staffing.

After planning and organising, management knows the human resource requirements of the enterprise. Then it starts recruiting, selecting and training people.

Q3. Staffing is a continuous process because:

1. Organisations never plan work
   b. New jobs may be created and employees may leave
   c. Selection tests are repeated every day
   d. Employees do not need training

Answer: b. New jobs may be created and employees may leave.

In an existing enterprise, staffing continues because employees may quit, retire, get transferred, get promoted or be removed from the job.

Q4. Recruitment is the process of:

1. Choosing the best candidate
   b. Searching for prospective employees and stimulating them to apply
   c. Giving salary to employees
   d. Measuring employee performance

Answer: b. Searching for prospective employees and stimulating them to apply.

Recruitment creates a pool of prospective job candidates. Selection is done from this pool.

Q5. Selection means:

1. Creating a pool of candidates
   b. Choosing from the pool of prospective job candidates
   c. Training workers after joining
   d. Shifting employees between departments

Answer: b. Choosing from the pool of prospective job candidates.

Selection identifies the most suitable person from available applicants. It uses screening, tests, interviews and other checks.

Q6. Placement refers to:

1. Introducing an employee to rules
   b. Occupying the position for which the person has been selected
   c. Advertising a vacancy
   d. Preparing a compensation plan

Answer: b. Occupying the position for which the person has been selected.

Placement gives the selected employee the post or job for which the person was chosen.

Q7. Orientation means:

1. Introducing the selected employee to employees, rules and policies
   b. Rejecting unsuitable candidates
   c. Giving higher pay
   d. Conducting aptitude tests

Answer: a. Introducing the selected employee to employees, rules and policies.

Orientation familiarises the employee with the organisation, workplace, rules and policies.

Q8. The two important internal sources of recruitment are:

1. Advertisement and campus recruitment
   b. Transfers and promotions
   c. Labour contractors and employment exchange
   d. Web publishing and direct recruitment

Answer: b. Transfers and promotions.

Internal recruitment means filling vacancies from within the organisation. Transfers and promotions are the main internal sources.

Q9. Transfer is a:

1. Vertical movement
   b. Horizontal movement
   c. Selection test
   d. Salary plan

Answer: b. Horizontal movement.

Transfer shifts an employee from one job, department or shift to another without major change in status or responsibility.

Q10. Promotion is a:

1. Downward movement
   b. Temporary movement
   c. Vertical movement
   d. Training method

Answer: c. Vertical movement.

Promotion shifts an employee to a higher position with higher responsibility, status, facilities and pay.

Q11. Which external source is suitable for casual vacancies of unskilled or semi-skilled workers?

1. Direct recruitment
   b. Promotion
   c. Transfer
   d. Job rotation

Answer: a. Direct recruitment.

In direct recruitment, a notice is placed on the notice board and job seekers assemble outside the premises on a specified date.

Q12. Which source uses colleges and institutes for hiring?

1. Employment exchange
   b. Campus recruitment
   c. Labour contractor
   d. Casual callers

Answer: b. Campus recruitment.

Campus recruitment is used for technical, professional and managerial jobs through colleges, universities and management institutes.

Q13. Which method is an on-the-job training method?

1. Vestibule training
   b. Case study
   c. Apprenticeship programme
   d. Classroom lecture

Answer: c. Apprenticeship programme.

On-the-job training takes place at the workplace. Apprenticeship, coaching, internship training and job rotation are on-the-job methods.

Q14. Vestibule training is an example of:

1. On-the-job training
   b. Off-the-job training
   c. Internal recruitment
   d. Performance appraisal

Answer: b. Off-the-job training.

Vestibule training takes place away from the actual workplace. Employees train on equipment similar to what they use at work.

Q15. Employment interview is used to:

1. Fix salary only
   b. Evaluate the applicant’s suitability for the job
   c. Prepare the organisation structure
   d. Shift employees between departments

Answer: b. Evaluate the applicant’s suitability for the job.

An employment interview is a formal and in-depth conversation. It helps the interviewer judge whether the candidate fits the job.

Q16. Compensation refers to:

1. All forms of pay or rewards going to employees
   b. Only classroom lectures
   c. Only selection tests
   d. Only promotion decisions

Answer: a. All forms of pay or rewards going to employees.

Compensation may include wages, salaries, incentives, commissions, bonuses, insurance and vacations.

Very Short Answer Questions Class 12 Business Studies Chapter 6 Staffing

The 2-mark questions from Staffing mostly ask for direct meanings of staffing, recruitment, selection, placement and orientation. Use exact textbook terms because CBSE Class 12 Business Studies Chapter 6 is concept-heavy.

Q1. What is staffing?

Answer: Staffing is the managerial function of putting people to jobs.

It is concerned with obtaining, utilising and maintaining a satisfactory and satisfied workforce. It includes recruitment, selection, training, development, promotion, compensation and performance appraisal.

Q2. Why is staffing a continuous process?

Answer: Staffing is continuous because new jobs may be created and existing employees may leave the organisation.

Employees may quit, retire, get transferred, get promoted or be removed from the job. Each situation creates new manpower requirements.

Q3. What is recruitment?

Answer: Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organisation.

It creates a pool of candidates for vacant posts. Selection is done from this pool.

Q4. What is selection?

Answer: Selection is the process of choosing from the pool of prospective job candidates developed at the recruitment stage.

It uses screening, tests, interviews and other checks. Its purpose is to choose the most suitable candidate.

Q5. What is placement?

Answer: Placement means the employee occupies the position or post for which the person has been selected.

It connects the selected employee with the actual job. Placement starts the employee’s work role in the organisation.

Q6. What is orientation?

Answer: Orientation means introducing the selected employee to other employees and familiarising him with rules and policies.

It helps the employee understand the workplace. It can affect the employee’s decision to stay and his job performance.

Short Answer Questions Class 12 Business Studies Chapter 6 Staffing

The 3-mark questions from Staffing usually test benefits, internal sources, training and comparison-based points. Write three clear points with textbook terms such as succession planning, workforce analysis, transfers, promotions and training.

Q1. Explain any three benefits of staffing.

Answer: Staffing helps an organisation get the right people for the right jobs.

1. Competent personnel: Staffing helps in discovering and obtaining competent personnel for various jobs.
2. Higher performance: It improves performance by putting the right person on the right job.
3. Growth and survival: It ensures continuous survival and growth through succession planning for managers.

It also supports optimum utilisation of human resources and improves job satisfaction.

Q2. Explain transfers and promotions as internal sources of recruitment.

Answer: Transfers and promotions are internal sources because vacancies are filled from within the organisation.

1. Transfers: Transfer means shifting an employee from one job, department or shift to another. It is a horizontal movement and usually does not change responsibility or status.
2. Promotions: Promotion means shifting an employee to a higher position. It gives higher responsibility, status, facilities and pay.
3. Use: Transfers fill shortages from overstaffed departments, while promotions motivate employees to improve performance.

Both sources reduce the need to hire from outside.

Q3. Give any three merits of internal sources of recruitment.

Answer: Internal sources are useful because the organisation already knows the employees.

1. Motivation: Promotions motivate employees to improve performance through learning and practice.
2. Simple selection: Existing employees can be evaluated more accurately and economically.
3. Training benefit: Transfers can train employees by exposing them to different jobs.

Internal recruitment is also cheaper than external recruitment.

Q4. Give any three limitations of internal sources of recruitment.

Answer: Internal sources cannot fill every vacancy in an organisation.

1. Less fresh talent: Complete reliance on internal recruitment reduces the induction of fresh talent.
2. Lethargy: Employees may become lethargic if promotions are time-bound.
3. Not suitable for new enterprises: A new enterprise cannot use internal sources because it has no existing workforce.

Frequent transfers may also reduce productivity.

Q5. Explain the importance of training.

Answer: Training improves the aptitude, skills and abilities of employees to perform specific jobs.

1. Higher productivity: Training improves job knowledge, skills and performance.
2. Less supervision: Trained employees work with more discipline and need less supervision.
3. Better safety: Training helps employees handle machines efficiently and reduces accidents.

The benefits of employee training also include better morale and preparation for higher responsibilities.

Q6. What is on-the-job training? State three methods.

Answer: On-the-job training means training employees at the workplace while they are actually working.

Three methods are:

1. Apprenticeship programme: The trainee works under the guidance of a master worker.
2. Coaching: A senior guides the trainee and helps him learn job skills.
3. Internship training: Educational institutions and business firms jointly provide practical training.

Job rotation is also an on-the-job training method.

Long Answer Questions Class 12 Business Studies Chapter 6 Staffing

The 5-mark questions from Staffing often ask for process, importance, HRM link and recruitment vs selection. Keep answers stepwise because the steps in the staffing process are frequently tested in CBSE board exams.

Q1. Explain the importance of staffing in the present business environment.

Answer: Staffing is important because human resources are the foundation of any business.

The staffing function has become more important because of rapid advancement of technology, increasing size of organisations and complicated behaviour of human beings. The ability of an organisation to achieve its goals depends on the quality of its human resources.

Importance of staffing:

1. Competent personnel: Staffing helps in discovering and obtaining competent personnel for various jobs.
2. Higher performance: It puts the right person on the right job and improves performance.
3. Survival and growth: It ensures continuous survival and growth through succession planning for managers.
4. Optimum utilisation: It avoids overmanning and prevents under-utilisation of personnel.
5. Job satisfaction: It improves job satisfaction and morale through objective assessment and fair reward.

Staffing helps ensure that the right kind of people are available in the right number at the right time.

Q2. Explain the steps in the staffing process.

Answer: The staffing process starts with understanding manpower requirements and ends with compensation and employee development.

The steps in the staffing process are:

1. Estimating manpower requirements: Management assesses the number and type of human resources needed. Workload analysis shows human resource needs, while workforce analysis shows available human resources.
2. Recruitment: Recruitment means searching for prospective employees and stimulating them to apply for jobs.
3. Selection: Selection means choosing the most suitable candidate from the pool created through recruitment.
4. Placement and orientation: Placement gives the selected employee the job. Orientation introduces the employee to other employees, rules and policies.
5. Training and development: Training improves job-related skills. Development helps employees grow and prepare for higher responsibilities.
6. Performance appraisal: Performance is evaluated against predetermined standards and feedback is provided.
7. Promotion and career planning: Employees get opportunities for higher responsibility and career growth.
8. Compensation: Compensation means all forms of pay and rewards given to employees.

For a 5-mark answer, write the steps in order and explain each step briefly.

Q3. Explain staffing as a part of Human Resource Management.

Answer: Staffing is an inherent part of Human Resource Management because it deals with the human element of management.

Staffing is performed by all managers. In large organisations, a separate Human Resources Department handles specialised employee-related activities such as recruitment, job analysis, compensation, training, labour relations, grievance handling, social security and welfare.

Staffing is linked with HRM in these ways:

1. It finds and evaluates people for organisational work.
2. It establishes a working relationship between people and the organisation.
3. It develops employees through training and career planning.
4. It keeps positions filled with qualified people.
5. It supports employee motivation, performance and retention.

Staffing is both a function of management and a distinct functional area of management.

Q4. Distinguish between recruitment and selection.

Answer: Recruitment creates a pool of candidates, while selection chooses the most suitable candidate from that pool.

This recruitment vs selection difference is one of the most common conceptual traps in Staffing important questions.

Q5. Explain internal and external sources of recruitment.

Answer: Internal and external sources of recruitment help an organisation find suitable candidates for vacant posts.

Internal sources mean filling vacancies from within the organisation. The two important internal sources are:

1. Transfers: Transfer shifts an employee from one job, department or shift to another. It is a horizontal movement and helps fill shortages from overstaffed departments.
2. Promotions: Promotion shifts an employee to a higher position with higher responsibility, status and pay. It motivates employees to improve performance.

External sources mean hiring people from outside the organisation. Important external sources are:

1. Direct recruitment: A notice is placed on the notice board for casual vacancies.
2. Casual callers: Unsolicited applicants already recorded by the organisation are screened.
3. Advertisement: Vacancies are advertised in newspapers or professional journals.
4. Employment exchange: Government employment exchanges link job seekers and employers.
5. Placement agencies and management consultants: These agencies recommend suitable candidates.
6. Campus recruitment: Colleges and institutes provide candidates for technical, professional and managerial jobs.
7. Recommendations of employees: Existing employees recommend suitable candidates.
8. Labour contractors: Contractors supply unskilled workers at short notice.
9. Advertising on television: Vacant posts are telecast with job details.
10. Web publishing: Job websites provide information about job seekers and job openings.

Internal sources are economical and motivational, while external sources provide wider choice and fresh talent.

Case Study Questions Class 12 Business Studies Chapter 6 Staffing

Case-based questions in Staffing usually test manpower shortage, overstaffing, training method choice, recruitment source choice and placement problems. HOTS questions from this chapter often ask students to identify the correct staffing concept from a business situation.

Q1. Workers in a plant are unable to work on new machines and repeatedly call their supervisor for help. The supervisor is overburdened. Identify and explain the suitable training method.

Answer: The suitable training method is vestibule training.

In vestibule training, employees are trained on the same type of equipment that they will use at the workplace. The training takes place away from the actual work area.

This method is suitable when workers need to operate complex machinery. It reduces repeated dependence on the supervisor and improves work efficiency.

Q2. A company finds that one department has extra employees while another department has a shortage. Identify the staffing action that can solve this problem.

Answer: The company can use transfer.

Transfer means shifting an employee from one job, department or shift to another without major change in responsibility or status. It helps shift workforce from surplus departments to departments where there is shortage of staff.

This action helps avoid overstaffing in one department and understaffing in another department.

Important Topics from Staffing Class 12 Business Studies Chapter 6

The most expected topics from Staffing are the ones that connect definitions with application. Focus on staffing process, recruitment vs selection, internal and external sources of recruitment, and training methods.

Common Mistakes Students Make in Staffing Questions

Staffing answers lose marks when recruitment, selection, placement and training are mixed without sequence. Use exact NCERT terms such as workforce analysis, workload analysis, orientation, compensation and performance appraisal.

• Confusing recruitment with selection. Recruitment invites applicants, while selection chooses the best candidate.
• Writing only recruitment, selection and training while ignoring placement and orientation in the staffing process.
• Missing the difference between transfers and promotions. Transfer is horizontal, while promotion is vertical.
• Writing generic training benefits instead of organisation and employee benefits.
• Leaving out workforce analysis and workload analysis in manpower requirement answers.
• Treating internal sources as always better, without mentioning reduced fresh talent and lower competition.
• Treating external sources as only costly, without mentioning wider choice and fresh talent.

Useful Links for Important Questions Class 12 Business Studies Chapter 6