Principles of Management Module V

STAFFING AND RELATED HRD FUNCTIONS

5.1 EMPOWERMENT
Empowerment means that employees, managers or teams at all levels in the
organization are given the power to make decisions without asking their superiors for
permission. The notion underlying empowerment is that those closest to the task are best
able to make the decision- provided that they have the required competencies. It is
historically based on suggestion schemes, job enrichment and worker participation. Both
delegation and Empowerment are a matter of degree. They also require that employees
and teams accept responsibility for their actions and tasks.
 Power should be equal to responsibility
 If power is greater than responsibility, then this could result in autocratic behavior of
the superior
 If responsibility is greater than power this could result in frustration.
 Empowerment of subordinates means that superior have to share their authority and
power with their subordinates.
Effective management requires that Empowerment be sincere, based on mutual trust,
accompanied by relevant information for the employees to carry out their tasks and given
to competent people.
5.2 LINE/ STAFF CONCEPTS
Line authority is that relationship in which superior exercises direct supervision over a
subordinate-authority relationship in a direct line or steps.
The nature of staff relationship is advisory. The function of people in a pure staff
capacity is to investigate research and give advice to line managers.
5.3 CONCEPT OF AUTHORITY
Authority is a legal power which is possessed by a person from his superior officers
and with the help of which he succeeds in getting the things done by his sub-ordinates.
Authority is the key to managerial functions. If the managers do not possess required
authority, they will not be able to perform their duties properly. A manager is in a
position to influence his subordinates only by the use of his authority. It is the authority
which enables him to discharge the important functions of planning, coordination,
motivation and controlling etc. in an enterprise. If proper authority is not vested in him,
he cannot perform these functions in the required manner and he cannot be held
responsible for all these functions in the absence of proper authorities. It is only the
authority by virtue of which he dominates his sub-ordinates and gets work done by them.
Definitions
 "Authority is the right to give order and the power to exact obedience". – Henri Fayol
 "Authority is the power to command, to act or not to act in a manner deemed by the
possessor of the authority to further enterprise or departmental performance". –
Koontz and O'Donnell
5.4 CONCEPT OF POWER
Power is a method of operating in order to influence the behaviour of others. It is the
power politics within the organization that gives rise to power centres in the organization.

Department of Mechanical Engineering,MESCE Page 1

Principles of Management Module V

The power-centres need not necessarily be located at the position of higher authority.
Nobody wants to lose power because power can be used in desirable or undesirable ways.
Power may be defined as "the ability to exert influence. If a person has power it
means that he is able to change the attitude of other individuals". In any organization for
sound organizational stability, power and right to do things must be equated. When power
and authority for a given person or position are roughly equated, we may call the
situations as "Legitimate Power".
5.5 DELEGATION OF AUTHORITY AND ITS METHODS
Delegation means devolution of authority on subordinates to make them to perform
the assigned duties or tasks. It is that part of the process of organization by which
managers make it possible for others to share the work of accomplishing organizational
objectives. Delegation consists of granting authority or the right to decision-making in
certain defined areas and charging the sub-ordinate with responsibility for carrying
through the assigned tasks.
Delegation refers to the assignment of work to others and confer them the requisite
authority to accomplish the job assigned.
5.5.1 METHODS OF DELEGATION
In a big manufacturing concern the following may be the methods of delegation of
authority to ensure better result, unified direction and command and effective
delegation :
a) Administrative Delegation: When a few of the administrative functions are
delegated to sub-ordinate staff it is called administrative delegation. These
functions are generally of routine nature, e.g. to maintain discipline, to supervise
the work, to recommend for the reward or punishment etc.
b) Geographical Delegation: When the work of enterprise is located at different
distant places it is not possible for an executive to mange the whole affairs single
handed. He then proceeds to delegate his authority to those who are posted at the
places where physically he cannot be present round the year. This is known as
geographical method of delegating the authority.
c) Functional Delegation: When the enterprise is organized on the basis of
functional organization, the delegation of authority is also done on the functional
basis. All the heads are given to manage their departments according to their skill,
knowledge and experience of course; they are accountable to the chief executives.
d) Technical Delegation: This method of delegation of authority is based on
technical knowledge and skill. Here the authority is delegated in order to get the
advantages of expert and experienced hands and their technical skill.
5.5.2 ELEMENTS OF DELEGATION AND ITS TYPES
The elements of delegation of authority involve three steps:
a) Authority: The superior grants authority to the subordinate to carry out the
assigned task or duty. This may include right to use resources, spend money,
engage people, etc.
b) Responsibility: The superior entrusts some responsibility or duty to a
subordinate. One’s obligation to perform the function assigned to the best of one’s
ability in accordance with directions received.

Department of Mechanical Engineering,MESCE Page 2

Principles of Management Module V

 Delegation should improve organization working

 No two employees should be assigned the same responsibility
 The boundaries of the responsibility should be fixed.
 Organization cannot afford gap in the delegation chain.
c) Accountability: An employee’s answerability on using the authority in
discharging a responsibility is termed as accountability. It indicate the managers’
liability for the proper discharge of the duties by his subordinates
5.5.3 TYPES OF DELEGATION
The important kinds of delegation of authority are as follows:
1. General and Specific Delegation:
i) General Delegation: It is that delegation in which the authority is given to perform
general managerial functions, like planning, organizing, directing etc. The sub-
ordinate managers perform these functions and enjoy the authority required to carry
out these responsibilities. The Chief Executive exercises over all control and guides
the subordinates from time-to-time.
(ii) The Specific Delegation: Specific Delegation relates to a particular function or an
assigned task. The authority delegated to the production manager for carrying out this
function will be a specific delegation. Various departmental managers get specific
authority to undertake their department duties.
2. Formal or Informal Delegation:
(i) Formal Delegation: Formal delegation has been considered as a part of
organizational structure. Whenever a task is assigned to a person, the required
authority is also given to him. This delegation is a part of the normal functioning of
the organization. Every person is automatically given authority as per his duties.
When production manager gets powers to increase production then it is formal
delegation of authority.
(ii) Informal Delegation: This delegation does not arise due to position but it arises
according to the circumstances of the case. A person may undertake a particular task
not because he has been assigned it but because it is necessary to do his normal work.
3. Written or Unwritten Delegation:
(i) Written Delegation: Written delegation is normally given through letters,
instructions, circulars etc. Whatever has been delegated it must be in writing.
(ii) Unwritten Delegation: Unwritten delegation is given to the person concerned not
in any particular way but through conventions, customs and usages the other party has
to do work accordingly.
4. Downward or Upward Delegation
(i) Downwards Delegation: Downwards delegation is a common type of delegation
and is used in every type of the working concern. This delegation has been considered
as a superior's delegation of authority to his immediate subordinate.
(ii) Upward Delegation : This type of delegation takes place when a subordinate
assigns some of his tasks to his superiors. This is an uncommon type of delegation
and its instances are very rare.

Department of Mechanical Engineering,MESCE Page 3

Principles of Management Module V

5.5.4 VARIOUS STEPS IN THE PROCESS OF DELEGATION

The following steps are essential and they must be kept in mind while delegating :
1. The delegation should define the result expected from his subordinates.
2. Duties should be assigned according to the qualifications, experience and
aptitude of the subordinates.
3. Adequate authority must be given to sub-ordinates – The authority to be
delegated to each particular sub-ordinate is determined in advance.
4. The subordinate must produce expected results from the task assigned to him –
It is obligatory on the part of the subordinate that he must give satisfactory
performance from the tasks assigned
5. Proper Evaluation of the Performance must be made – In the end, information
and control system must be established to check and evaluate the performance
of the subordinates to whom authority has been delegated.
5.5.5 MERITS OF DELEGATION
(i) It avoids wastage of time : Present-day management is a complicated process. A
manager has to perform various functions as a matter of routine work. It is not
possible for him to give proper attention to all matters coming to him. Delegation
helps him in transferring the less important subject to his juniors and attends to more
important works.
(ii) It helps in training the new incumbents : The lower units that use the delegated
power, get a spontaneous feel of their future responsibility. They become aware of the
works at the higher level to which they may be promoted. Delegation also helps in
developing the managerial personnel within the organization.
(iii) It avoids over-work : Delegation shifts some portions of the responsibility and
work from the shoulders of the manager. To quote Beach : "The over worked manager
who learns the art of delegation, is at one and the same time able to relieve himself of
some of his burden, increase the competence of his men, and raise the level of
accomplishment of his unit.
(iv) It develops increased sense of responsibility: Delegation generates an increased
sense of responsibility in the subordinate personnel. It also increases their working
capacity and helps in enhancing their unspotted caliber which could be helpful for
management. Delegation also helps in avoiding any kind of act at a higher level which
may, otherwise undermine the powers vested in the lower level units.
(v) It avoids delay: Delegation helps in taking timely and accurate decisions. The
personnel at lower level, being delegated, act quickly which serves the organization
with due economy, efficiency and rapidly.
5.5.5 DIFFICULTIES IN DELEGATION
There is a fear aspect in delegation which plays a dominant role in a decision
as to "what to delegate" and "to whom to delegate"
There are three types of fears which discourage delegation and thus create
difficulties in delegation. They are:
1. Fear of loosing the grip and control over the operations;
2. Fear of not a better performance by the sub-ordinate to whom the authority may
be delegated; and

Department of Mechanical Engineering,MESCE Page 4

Principles of Management Module V

3. Fear of better performance by the subordinate to whom the authority may be

delegated
5.6 DECENTRALISATION
Decentralization is a philosophy of the organization and management, one that
implies both selectively determining what authority to push down into the organization;
developing standing plans (such as policies) to guide subordinates who have this authority
delegated to them; and implementing selective but adequate controls for monitoring
performance. Thus, decentralization is a philosophy of organization and management
which involves both selective delegation of authority as well as concentration of authority
through the imposition of policies and selective but adequate controls.
The essential characteristics of decentralization are :
 Decentralization not the same thing as delegation – It is something more than
delegation.
 Delegation means demi-transfer of responsibility and authority from one individual to
another. But decentralization means scattering of authority throughout the
organization.
 Decentralization is distinct from dispersion – Decentralizing is often confused with
the separation of physical facilities which is not correct. Dispersion occurs when
plants and offices are located at different places with physical distance between them.
Performance of work in dispersed plants and offices does not necessarily lead to
decentralization.
 Decentralization can proceed without separation of facilities and facilities can be
separated without decentralization
 Decentralization is not a type of organization
5.6.1 ADVANTAGES OF DECENTRALIZATION
1. It leads to a competitive climate in the organization.
2. It relieves the management of much workload;
3. It makes jobs at the lower levels of the organization more attractive and
interesting. As a result, the level of motivation of the employee increases;
4. It encourages initiative at lower levels where the employees are allowed to
participate in the decision-making process;
5. Decision made closer to the actual situations is likely to be more realistic.
Effective decisions are possible because of the speed and first-hand knowledge
that decentralization provides
5.6.2 DISADVANTAGES OF DECENTRALIZATION
1. It increases the administrative cost due to duplication of specialized services and
the appointment of capable executives at lower levels;
2. It becomes difficult for top management to exercise control over what people at
lower levels are doing or even to know what decisions they are taking;
3. Emergency situations cannot be tackled properly in decentralized structure.
Adjustment to changing conditions may be difficult; and
4. It hampers uniformity in decision making and consistency of procedures.

Department of Mechanical Engineering,MESCE Page 5

Principles of Management Module V

5.6.3 DECENTRALISATION VS. DELEGATION

DELEGATION DECENTRALISATION
It creates authority-responsibility relationship creation of semi-autonomous decision-
between a superior and his subordinates, making units
It may be confined to relieve the excessive It has a deeper meaning bordering on a new
burden of key managerial personnel philosophy of organization and
management
It may consist of certain tasks alone It involves spreading out the total decision-
making power throughout the organization.
Delegation of authority could take place There can be no decentralization without
without decentralization delegation of authority
Directive responsibility in relation to his Direction is to a large extent substituted by
subordinates control by the top management
Delegation could be a routine administrative Decentralization is a conscious and
activity deliberate organizational action

5.7 CENTRALISATION OF AUTHORITY

Centralization is the systematic and consistent reservation of authority at central
points in an organization Centralization represents certain attitudes and approaches which
the management follows. The major implication of centralization is the reservation of
decision-making power in regard to planning, organizing, directing and control at the top
level.
In case of centralization, most of the decisions are taken not at a point where work is
being done, but at a point higher in the organization. They may involve considerable cost
and delay in making the decisions. Centralization of authority increases the burden on the
top managers and hampers the growth of low level managers.
5.7.1 CENTRALISATION VS. DECENTRALISATION
CENTRALISATION DECENTRALISATION
Centralization brings uniformity of Decentralization tends to effect faster
policy and action decision-making and action
It utilizes the skills of centralized and Decentralization has the effect of motivating
specialized staff and enables closer the subordinates
control over operating units

5.8 ORGANIZATIONAL CULTURE

Organizational culture is the set of assumptions, beliefs, values and norms that are
shared by the members of an organization. It may be consciously created by its key
members, or it may have simply evolved over time. It represents a key element of the
work environment in which employees perform their jobs. A culture may exist across an
entire organization, or it may refer to the environment within a single division, branch,
plant, or department. The idea of organizational culture is somewhat intangible, for we
cannot see it or touch it, but it is present and pervasive. Like the air in a room, it
surrounds and affects everything that happens in an organization. Because it is a dynamic

Department of Mechanical Engineering,MESCE Page 6

Principles of Management Module V

systems concept, culture is also affected by almost everything that occurs within an
organization. They give an organizational identity to employees – a defining vision of
what the organization represents. They are also an important source of stability and
continuity to the organization which provides a sense of security to its members.
5.8.1 Characteristics Of Cultures
Each organization has its own history, patterns of communication, systems and
procedures, mission statements and visions, stories and myths which, in their totality,
constitute its distinctive culture. Cultures are also relatively stable in nature. Most
organizational cultures have historically been rather implicit rather than explicit. A
defining characteristic of most culture is that they are see as symbolic representations of
underlying beliefs and values.
5.8.2 Measuring Organizational Culture
Systematic measurement and comparison of cultures is difficult. Most of the early
attempts by researchers relied on examination of stories, symbols, rituals, and ceremonies
to obtain clues. Others have used interviews and open ended questionnaires in an attempt
to assess employee values and beliefs. In some cases, examination of corporate
philosophy statements has provided insights into the espoused cultures (the beliefs and
values that the organizations state publicly). Another approach is to survey employees
directly and seek their perceptions of the organization’s culture. Another interesting
method is to become a member of the organization and engage in participant observation.
5.8.3 Characteristics of organizational cultures
 Distinctive
 Stable
 Implicit
 Symbolic
 Integrated
 Accepted
 A reflection of top management
5.8.4 Communicating Culture
If organizations are to consciously create and manage their cultures, they must be
able to communicate them to employees, especially the newly hired ones. Individuals are
generally more willing to adapt when they want to please others, gain approval, and learn
about their new work environment. These cultural communication acts may be lumped
under the umbrella of organizational socialization, which is the continuous process of
transmitting key elements of an organization’s culture to its employees. Individualization
occurs when employees successfully exert influence on the social system around them at
work by challenging the culture or deviating from it.
5.9 THE RESPONSIVE ORGANIZATION
The Responsive Organization is built to learn and respond rapidly by optimizing
for the open flow of information; encouraging experimentation and learning on rapid
cycles; and organizing as a network of employees, customers, and partners motivated by
shared purpose. Responsive organizations are well documented and have led some
organizational anthropologists to predict that those first to respond to customer needs hold
the highest probability of survival.

Department of Mechanical Engineering,MESCE Page 7

Principles of Management Module V

A number of fundamental shifts in corporate structures and information systems

are required to take advantage of the increased speed of information.
 From Efficiency to Responsiveness
 From Heirarchies to Networks
 From Controlling to Empowering
 From Extrinsic Rewards to Intrinsic Motivation
 From Office & Office Hours to Anywhere & Anytime
 From Customers & Partners to Community
A culturally responsive organization is one that is designed to effectively meet the
needs of individuals from diverse cultural backgrounds and experiences.
5.10 ENTREPRENEURIAL ORGANIZING
The entrepreneurial organizing is a simple organizing process that typically includes
one large operational unit, with one or a few individuals in top management. This has
made organization a more flexible organization. The entrepreneurial organization is
generally unstructured.
A small business startup under an owner-manager is an example of an entrepreneurial
organization. Here, the owner-manager generally maintains strict control over business
operations. This includes directing the enterprise's core management functions; according
to Mintzberg, these include the interpersonal roles, informational roles and decision-
making roles. The smaller the organization, the more concentrated these roles are in the
hands of the owner-manager.
5.10.1 Entrepreneur's Roles
In the interpersonal role, the owner-operator provides leadership and represents the
company to outsiders. In his informational role, the owner-operator in an entrepreneurial
organization also monitors and disseminates the flow of information, as well as serves as
the company's spokesman. The decision-making role is, perhaps, the heart of the
entrepreneurial function because it involves planning and developing business strategies,
initiating internal change, allocating the organization's resources and negotiating and
handling non-routine events.
5.10.2 Limitations
The entrepreneurial organization might also face a key man problem. In this situation,
the key man in the organization -- say, the owner-operator -- is typically the power base
and decision-maker in the company. As a result, when the key man moves into another
venture, sells the company or retires, the work staff is faced with significant changes or
the potential close of the business enterprise.
5.11 STAFFING
Staffing involves filling the positions needed in the organization structure by
appointing competent and qualified persons for the job. The staffing process encompasses
man power planning, recruitment, selection, and training.
5.11.1 The systems approach to Human Resource Management
Staffing affects leading and controlling. For instance, well trained managers create an
environment in which people working together in groups can achieve enterprise
objectives and at the same time accomplish personal goals.

Department of Mechanical Engineering,MESCE Page 8

Principles of Management Module V

Staffing relates to the total management system. On the basis of this external and
internal sources are utilized in the processes of recruitment, selection placement,
promotion and separation. Staffing requires an open system approach. It is carried out
within the enterprise, which in turn is linked to the external environment. Therefore
internal factors of the firm such as personnel policies, the organizational climate and the
reward system must be taken into account.
5.11.2 Factors Affecting The Number And Kinds Of Mangers Required
The number of managers needed in an enterprise depends not only on its size but also
on the complexity of the organization structure, the plans for expansion and turnover rate
of managerial personnel.
5.12 DETERMINATION OF AVAILABLE MANAGERIAL RESOURCES:
THE MANAGEMENT INVENTORY CHART
Keeping abreast of the management potential within a firm can be done by the use of
an inventory chart also called management replacement chart which is simply an
organization chart of a unit with managerial positions indicated and keyed as to help each
responsibility.
5.12.1 Analysis Of The Need For Managers
The need for managers is determined by enterprise and organization plans and more
specifically by an analysis of the number of managers required and the number of
managers available as identified through the management inventory.The need for and the
availability of personnel give rise to four demand and supply situations; each requiring a
different emphasis in personnel actions.
5.12.2 Other Important Aspects In The Systems Approach To Staffing
The staffing model shows that managers have to be recruited, selected, placed and
promoted.
5.12.3 Situational Factors Affecting Staffing
Effective staffing requires recognition of many external and internal situational
factors, but the focus here is on those that have a particular relevance to staffing.
5.12.4 The External Environment
It includes the level of education, prevailing attitudes in society, the many laws and
regulations that directly affect the staffing, economic conditions and the supply of and
demand for managers outside the enterprise.
5.12.5 The Internal Factors
They include Organizational goals, tasks, technology, organization structure, kind of
people employed by the enterprise, the demand for and the supply of the managers within
the enterprise, the reward system and various types of policies.
5.13 SELECTION: MATCHING THE PERSON WITH THE JOB
Selection is the process of choosing from among candidates from within the
organization or from the outside, the most suitable person for the current position or for
future positions
5.14 SYSTEMS APPROACH TO SELECTION
Since qualified managers are critical to the success of an enterprise, a systematic
approach is essential to manager selection and to the assessment of present and future
needs for managerial personnel. The managerial requirements plan is based on the firm’s

Department of Mechanical Engineering,MESCE Page 9

Principles of Management Module V

objectives, forecasts, plans and strategies. This plan is translated into position
requirements, job design which are matched such individual characteristics as
intelligence, knowledge, skills, attitudes and experience.
To meet organizational requirements, managers recruit, select, place and promote
people. This must be done with due consideration for the internal environment and the
external environment.
5.14.1 POSITION REQUIREMENTS
Selecting a manager effectively requires a clear understanding of the nature and
purpose of the position that is to be filled. An objective analysis of position requirements
must be made. The job must be designed to meet the organizational and individual needs.
Steps for finding position requirements are;
 Identifying job requirements
 Find the appropriate scope of the job
 Meeting the managerial skills required by job design.
5.15 JOB DESIGN
It is important to design job so that individuals feel good about their work. This
requires an appropriate job structure in terms of content, function and relationships.
Job enrichment can be done by
 Grouping the tasks into natural work units
 Combine several tasks into one job
 Establish relationships with the customer or clients.
 Prompt and specific feedbacks should be built into the system
 Vertical job loading which means increase individuals responsibility for planning,
doing and controlling their job
Similar arguments can be made for improving the design of jobs.
Factors effecting job design are
 Requirements of the enterprise
 Individual differences
 The technology involved
 The costs associated with restructuring the jobs,
 The organization structure and the internal climate.
5.16 SKILLS AND PERSONAL CHARACTERISTICS NEEDED IN
MANAGERS
To be effective, Managers need various skills: technical, human, and conceptual
and design. In addition, analytical problem solving abilities and certain personal
characteristics are sought in managers. Personal characteristics are
 Desire to manage
 Communication skill and empathy
 Integrity and honesty
 Experience as manager
5.16.1 Matching Qualifications With Position Requirements
After the positions are identified , managers are obtained through recruitment,
selection, placement and promotion. There are two sources of managerial personnel

Department of Mechanical Engineering,MESCE Page 10

Principles of Management Module V

1. Promotion or transfer of people from within the enterprise

2. Hiring from the outside
5.17 RECRUITMENT OF MANAGERS
Recruiting involves attracting candidates to fill the positions in the organization
structure. In simple terms Recruitment is understood as a process for searching and
obtaining applicants for jobs, from among the available recruits.
5.17.1Recruitment Process
1. Planning
Planning involves the translation of likely job vacancies and information about the
nature of these jobs into a set of objectives is targets that specify the number and
type of applicants to be planned.
2. Strategy Development
Processes involved in strategic Development are
 Make or Buy Employees
 Technological Sophistication of Recruitment and Selection Devices
 Geographic distribution of labour markets comprising job seekers
 Find Sources Of Recruitment
3. Searching
Source Activation: Source Activation takes place when a job vacancy exists in the
organization. If the organization has planned and well and done a good job of
developing its source and search methods, activation soon results in a flood of
application.
Selling: In selling the, both the Message and Media deserve attention in the
organization. Message refers to the employment advertisements. Media refers to the
source of any recruiting message. For example, Employment Exchanges, Advertises
in Business magazines
4. Screening
The purpose of screening is to remove from the recruitment process at an early stage,
those applicants who are visibly unqualified for the job. Effective screening can save
a great deal of time and money. Care must be exercised to assure that potentially good
employees are not lost.
5. Evaluation and Control
It is necessary as considerable costs are incurred in the recruitment process.
Statistical information should be gathered and evaluated to know the suitability of the
recruitment process
5.17.2 SELECTION, PLACEMENT AND PROMOTION
Selecting a manager is choosing from among the candidates the one who best
meets the position requirements.
Placement is choosing individual to a suitable position by evaluating their
strength and weaknesses.
Promotion is a move more within the organization to higher positions that
have greater responsibilities and require more advanced skills
5.17.3 The Peter Principle

Department of Mechanical Engineering,MESCE Page 11

Principles of Management Module V

According to Peter, managers tend to be promoted to the level of their

incompetence. If a manager may lead to promotion to a higher position, often one
requiring skills that the person does not possess. Such promotion may involve work
that is over the manager’s head.
5.18 SELECTION PROCESS: TECHNIQUES AND INSTRUMENTS
For good selection, the information about the applicant should be valid and reliable.
Validity: the degree to which the data predict the candidate’s success as a manager
Reliability: the accuracy and consistency of the measurement.
1. Preliminary Interview
2. Selection Tests
3. Employment Interview
4. Reference and Background Checks
5. Selection Decision:
6. Physical Examinations
7. Job Offer
8. Contract Of Employment
9. Evaluation of Selection program
1. Preliminary Interview:
The purpose of this interview is to scrutinize the applicants, i.e. elimination of
unqualified applications.
2. Selection Tests:
Different types of selection tests may be administrated, depending on the job
and the company. Generally tests are used to determine the applicant’s ability,
aptitude, and personality.
3. Employment Interview:
The next step in the selection process is employment interview, an interview is
conducted at the beginning, and at the selection process of the employment interview
can be one- to-one interview or panel interview.
4. Reference and Background Checks:
Many employers request names, address, telephone numbers or references for
the purpose to verify information and gaining additional background information of
an applicant.
5. Selection Decision:
Selection decision is the most critical of all steps in selection process. The
final decision has to be made from the pool of individuals who pass the tests,
interviews and references checks.
6. Physical Examinations:
After selection decision and before the job offer is made, the candidate is
required to undergo a physical fitness test. A job offer is often; contingent upon the
candidate being declared fit after the physical examinations.
7. Job Offer:
The next step in selection process is job offer. Job offer is made through a
letter of appointment. Such a letter generally contains a date by which the appointee
must report on duty

Department of Mechanical Engineering,MESCE Page 12

Principles of Management Module V

8. Contract Of Employment:
Basic information is written in Contract of employment that varies according
to the levels of job. After the offer and acceptance of the job certain document is the
attestation form.
9 Evaluation of Selection program:
The broad test of effectiveness of the selection process is a systematic
evaluation. A periodic audit is conducted in the HR department that outlines and
highlights the areas which need to be evaluated in the selection process
5.18.1Limitations of selection Process
 Selection techniques and instruments are not sure way to predict what people will do,
even though they may have the ability to do it.
 The complex issues are not easily solved, yet they cannot be ignored when an
enterprise is selecting managers.
 When recruiting cost are recognized, it becomes evident that turnover can be very
expensive to an enterprise.

Department of Mechanical Engineering,MESCE Page 13