Amrita completed her Master’s Degree in Fashion Technology from Paris. After coming back to India, she observed a shift towards formal wear in the fashion industry. To grab this opportunity, she opened a boutique in a posh area of Delhi.
She used environmental friendly method of production. To make the store run efficiently, she divided the work into small tasks so that her employees are well trained and the wastage can be reduced. Similar activities were grouped together and departments were formed.
She assigned responsibility to her sales staff in the form of clear cut targets and gave them authority to close the deal by offering a discount of 5% but the decision to give any further discount rests with her. The departments were headed by the specialists who were appointed through placement agencies and management consultants. Levels were created in the organization and helped in establishing reporting relationship.
In the earlier period of her venture, she asked her employees to put in extra hours of work. In return, she promised to give them special incentive within one year. Her business was doing well and she honours her commitment by giving them bonus.
Amrita was a good leader. She develops plans and makes decisions in consultation with her subordinates. However, she was biased with her female employees when it comes to solving conflicts among her staff.
Specialists were appointed through placement agencies and management consultants. This is one aspect of staffing. Identify it.
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Recruitment
Option (1) Recruitment — Correct. Appointing people through placement agencies and management consultants is an external source of recruitment. These agencies find suitable candidates and recommend them to the client.
Option (2) Selection — Incorrect. Selection is choosing the best candidate from the applicants, after tests and interviews. The agencies only supply the candidates.
Option (3) Training — Incorrect. Training is giving the skills needed to do a job after the person has been appointed.
Option (4) Development — Incorrect. Development is about the all-round growth of an employee, which helps in future roles. It is not about finding people.
Note: The case study is taken from the chapter ‘Principles of Management’, but this question is based on the chapter ‘Staffing’. However, since it is a case-study based question, all the questions on this case study are tagged to the chapter the case study is taken from. NCERT (2026-27 Edition): “(v) Placement Agencies and Management Consultants: In technical and professional areas, private agencies and professional bodies appear to be doing substantive work. Placement agencies provide a nationwide service in matching personnel demand and supply. These agencies compile bio-data of a large number of candidates and recommend suitable names to their clients. …” “Management consultancy firms help the organisations to recruit technical, professional and managerial personnel. They specialise in middle level and top level executive placements. …” |