Staffing is basically a dynamic process and it
is affected by various external and internal
There are various external factors that affect
the staffing process and organization has no
control over these factors.
Nature of competition for Human Resources: -
In India there is a cut throat competition among
organization for hiring managerial talents both
fresh and experienced, computer professionals
etc. Companies are making campus recruitments
and students from reputed institutes like IIMs
are being placed on very high packages.
Companies are amending changes to retain their
good employees and offering a good working
environment and salaries.
Legal factors: -
There are various legal provisions which affect
the staffing policies of an organization.
Various acts which provide restrictions to free
recruitment are Child Labour Act 1986,
Employment Exchange (compulsory notification of
vacancies) Act 1959and Mines Act 1952. Also some
provisions regarding compulsory employment of
certain categories like OBC, SC/ST affects the
staffing policies of an organization.
Socio-culture Factors: -
Various socio-culture factors affect the
staffing process due to which certain jobs are
to be given to certain categories of people like
our culture prevent the women to be employed on
in manufacturing operations involving physical
There are various other elements which exert
pressure on organization like political pressure
to employ local people or pressure from business
Internal Factors: -
Size of Organization: -
Small organization cannot have same staffing
practices which a large organization may have;
it may not be able to attract highly talented
staff. Even if it tries to do so it may increase
the staffing cost.
Organizational Business Plan: -
Organizational business plan directly affect the
staffing function because it determines the type
of personal that may be required in future. On
the basis of business plan growing organization
may need more staff in the future and declining
organization will have to shunt out its staff
and stagnating organization will work for
retaining its staff. Staffing strategies may be
different for these organizations.
Organizational Image: -
organization image also affects the staffing
practices. Organizational image depends upon
facilities to staff for training and development
promotional policies, working conditions and
compensation incentives etc. if all these
factors are positive then organization will
attract more candidates.