D21MBA11764

ASSIGNMENT COVER PAGE

(Theory)
Assignment No:2
Programme Name :MBA Semester: I Credit: 4
Course Title : Leadership and Organizational Course Code:21ODMBT613
Submitted Date: 21 Jan 2022 Last date of Submission: 30 Jan 2022

Max. Marks: 30 Weightage: 15 Marks (50%)

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QuestionNo Sec.A 1 –10 Sec.B-1 Sec.B-2 Sec.B-3 Sec.B-4 Sec.B-5 Sec.B-6 Sec.B-7
2-5 5-7 7-9 9-12 12-14 14-18
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Assignment No. 2

Programme Name :MBA Semester: I Credit: 4

Course Title :Leadership and Organizational Course Code:21ODMBT613

behavior
Submitted Date: 21 Jan 2022 Last date of Submission:30 Jan 2022

Max. Marks: 30 Weightage: 15 Marks

Instructions:
 Sec-A is compulsory which consists of Ten Short Answer Questions (1 mark per question).
Answer length should be approximately 100 words.
 Attempt any Five questions from Sec-B out of Seven questions (4 marks per question). Answer
length should be approximately 800 words.

Section –A(10 Marks)

Q1. Define Leadership

Answer- Leadership is the ability of an individual or a group of individuals to influence and guide
followers or other members of an organization.
- Leadership involves making sound and sometimes difficult decisions, creating and articulating a
clear vision, establishing achievable goals and providing followers with the knowledge and tools
necessary to achieve those goals.
- Leaders are found and required in most aspects of society, from business to politics to region to
community-based organizations.
- An effective leader possess the following characteristics: self-confidence, strong communication
and management skills, creative and innovative thinking, perseverance in the face of failure,
willingness to take risks, openness to change, and levelheadedness and reactiveness in times
of crisis.
- In business, individuals who exhibit these leadership qualities can ascend to executive
management or C-level positions, such as CEO, CIO or president. Noteworthy individuals who
have exhibited strong leadership in the technology industry include Apple founder Steve Jobs,
Microsoft founder Bill Gates and Amazon CEO Jeff Bezos.

Q2. Discuss about autocratic leadership

Answer- Autocratic leadership is a management style wherein one person controls all the decisions and
takes very little inputs from other group members.
- Autocratic leadership, also known as authoritarian leadership, is a leadership style characterized
by individual control over all decisions and little input from group members. Autocratic leaders
typically make choices based on their ideas and judgments and rarely accept advice from
followers. Autocratic leadership involves absolute, authoritarian control over a group.
- Some of the primary characteristics of autocratic leadership include:
- Allows little or no input from group members
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- Requires leaders to make almost all of the decisions
- Provides leaders with the ability to dictate work methods and processes
- Leaves group feeling like they aren't trusted with decisions or important tasks
- Tends to create highly structured and very rigid environments
- Discourages creativity and out-of-the box thinking
- Establishes rules and tends to be clearly outlined and communicated

Q3. Explain four distinct leadership styles under Hersey-Blanchard model.

Answer- The Hersey-Blanchard Model is a leadership model that focuses on the ability and willingness
of individual employees. Developed by Paul Hersey and Kenneth Blanchard, the model is also referred
to as the Situational Leadership Model.
- The model outlines four leadership styles, each corresponding with a specific level of employee
development.
- Hersey and Blanchard developed four types of leadership styles based on the task and
relationships that leaders experience in the workplace
-  According to the model, the following are styles of leadership managers can use:
- Delegating style: A low-task, low-relationship style wherein the leader allows the group to take
responsibility for task decisions. This is best used with high maturity followers.
- Participating style: A low-task, high-relationship style that emphasizes shared ideas and
decisions. Managers can use this style with moderate followers who are experienced but may
lack the confidence to do the tasks assigned.
- Selling style: A high-task, high-relationship style in which the leader attempts to sell their ideas
to the group by explaining task directions in a persuasive manner. This, too, is used with
moderate followers. Unlike the previous style, these followers have the ability but are unwilling
to do the job.
- Telling style: A high-task, low-relationship style wherein the leader gives explicit directions and
supervises work closely. This style is geared toward low maturity followers.

Q4. What is meant by group behavior?

Answer-  Group behavior in organizations tends to follow the organizational norms and rules wherein
the employees are expected to be disciplined, follow orders, and work to the requirements of the
organization rather than their own whims and fancies. Indeed, the extreme form of groups conforming to
the common codes of behavior is the armed forces wherein all members at whatever level they are in are
expected to follow the orders of their superiors. On the other hand, organizations such as Google and
Facebook are less hierarchical and less structured with employees being allowed to work on their pet
projects for a certain period every week. The difference here is that in the armed forces and many
organizations, the boss is always right whereas in the startups and the new economy or the knowledge
sector, the rules tend to be less rigid. Most organizations fall between these two extremes wherein the
employees are encouraged, persuaded, and even ordered to conform to the norms of the group with
some latitude and freedom being allowed for them to exercise their independence.

Q5. Discuss the characteristics of delegation.

Answer- The characteristics of delegation are-
1. Delegation takes place when a manager grants some of his powers to subordinates.
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2. Delegation occurs only when the person delegating the authority himself has that authority i.e. a
manager must possess what he wants to delegate.
3. Only a part of authority is delegated to subordinates.
4. A manager delegating authority can reduce, enhance or take it back. He exercises full control over the
activities of the subordinates even after delegation.
5. It is only the authority which is delegated and not the responsibility. A manager cannot abdicate
responsibility by delegating authority to subordinates.

Q6. Explain the importance of group dynamics

Answer- The term ‘group dynamics’ means the study of forces within a group. Since human beings have an
innate desire for belonging to a group, group dynamism is bound to occur. In an organization or in a society,
we can see groups, small or large, working for the well-being.
Importance of group dynamics-

1. Firstly, a group can influence the way the members think. The members are always
influenced by the interactions of other members in the group. A group with a good leader
performs better as compared to a group with a weak leader.

2. The group can give the effect of synergy, that is, if the group consists of positive thinkers
then its output is more than double every time.

3. Group dynamism can furthermore give job satisfaction to the members.

4. The group can also infuse the team spirit among the members.

5. Even the attitude, insights & ideas of members depend on group dynamism. For example,
negative thinkers convert to positive thinkers with the help of the facilitator.

6. Also, if the group works as a cohesive group, the cooperation and convergence can result in
maximization of productivity

7. Furthermore, group dynamism can reduce labor unrest. Lastly, it reduces labor turnover due
to emotional attachment among the group members
Q7. Define Staffing
Answer- Staffing is the process of finding the right worker with appropriate qualifications or experience
and recruiting them to fill a job position or role. Through this process, organizations acquire, deploy,
and retain a workforce of sufficient quantity and quality to create positive impacts on the organization’s
effectiveness. In management, staffing is an operation of recruiting the employees by evaluating their
skills and knowledge before offering them specific job roles accordingly.
A staffing model is a data set that measures work activities, how many labour hours are needed, and
how employee time is spent.

Q8. Distinguish stability vs change

Answer- Stability is defined as the personality trait which is present in infancy and it remains the same
throughout the lifespan.
Whereas, change is defined by the theorists which can be modified by the interactions with family,
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experience at school and acculturation.
The existence of personality traits addressing stabilization and change have been seen among people
throughout the life cycle.It has been believed that personality changes through family interaction, school
experience, and adaptation to culture.Researches on children often show long-term stability of
development, such as affection for the parents and personality.
There is also evidence of the opposite view that change is possible under appropriate
conditions.Sigmund Freud emphasized the important nature of our early development. Psychologists
believed that the character traits of the first five years of development can predict the character of
adults.Developmental psychologists studies which features are more stable and consistent and which
features are more flexible and changeable.Certain aspects of temperament seem to be stable although
social attitude changes with time. For example, outgoing and talkative babies may in later life do not
stay extroverted at all
Q9. Define Management by Objectives
Answer- Management by objectives is a strategic management model that aims to improve the
performance of an organization by clearly defining objectives that are agreed to by both management
and employees. According to the theory, having a say in goal setting and action plans encourages
participation and commitment among employees, as well as aligning objectives across the organization.

This process allows managers to take work that needs to be done one step at a time to allow for a calm,
yet productive work environment. In this system of management, individual goals are synchronized with
the goals of the organization. An important part of MBO is the measurement and comparison of
an employee's actual performance with the standards set.

Q10. What is meant by Organizing?

Answer- Organization or organising is the establishment of effective authority relationships among
selected work, persons and work places in order for the group to work together efficiently. Or the
process of dividing work into sections and departments.
- Helps to achieve organizational goal. Organization is employed to achieve the overall objectives
of business firms. Organization focuses attention of individual’s objectives towards overall
objectives.
- To perform managerial function. Planning, organizing, staffing, directing and controlling cannot
be implemented without proper organization.
- To perform managerial function. Planning, organizing, staffing, directing and controlling cannot
be implemented without proper organization.
- Humane treatment of employees. Organization has to operate for the betterment of employees
and must not encourage monotony of work due to higher degree of specialization. Now,
organization has adapted the modern concept of systems approach based on human relations and
it discards the traditional productivity and specialization approach.

Section –B(20 Marks)

Q1. Differentiate Leaders Vs Managers.

Answer- A leader is one who influences the behaviour and work of others in group efforts towards
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achievement of specified goals in a given situation. On the other hand, manager can be a true manager
only if he has got traits of leader in him. Manager at all levels are expected to be the leaders of work
groups so that subordinates willingly carry instructions and accept their guidance. A person can be a
leader by virtue of all qualities in him.
Leaders and Managers can be compared on the following basis:
Basis Manager Leader
A person becomes a manager by virtue of
A person becomes a leader on basis of his
Origin his position.
personal qualities.

Manager has got formal rights in an

Formal Rights Rights are not available to a leader.
organization because of his status.
The subordinates are the followers of The group of employees whom the leaders
Followers
managers. leads are his followers.
A manager performs all five functions of Leader influences people to work willingly
Functions
management. for group objectives.
A leader is required to create cordial relation
Necessity A manager is very essential to a concern. between person working in and for
organization.
Stability It is more stable. Leadership is temporary.
Mutual
All managers are leaders. All leaders are not managers.
Relationship
Manager is accountable for self and
Accountability Leaders have no well defined accountability.
subordinates behaviour and performance.
A manager’s concern is organizational A leader’s concern is group goals and
Concern
goals. member’s satisfaction.
People follow manager by virtue of job
Followers People follow them on voluntary basis.
description.
A manager can continue in office till he
Role A leader can maintain his position only
performs his duties satisfactorily in
continuation through day to day wishes of followers.
congruence with organizational goals.
A leader has command over different
Manager has command over allocation
Sanctions sanctions and related task records. These
and distribution of sanctions.
sanctions are essentially of informal nature.

- Leaders paint a picture of what they see as possible and inspire and engage their people in turning that
vision into reality. On the other handManagers focus on setting, measuring and achieving goals. They
control situations to reach or exceed their objectives.

- Leaders are proud disrupters. Innovation is their mantra. They embrace change and know that even if
things are working, there could be a better way forward. On the other hand Managers stick with what
works, refining systems, structures and processes to make them better

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- Leaders are willing to be themselves. They are self-aware and work actively to build their unique and
differentiated personal brand On the other hand Managers mimic the competencies and behaviors they
learn from others and adopt their leadership style rather than defining it.

- Leaders are willing to try new things even if they may fail miserably. They know that failure is often a
step on the path to success. On the other hand Managers work to minimize risk. They seek to avoid or
control problems rather than embracing them.

- Leaders have intentionality. They do what they say they are going to do and stay motivated toward a
big, often very distant goal. They remain motivated without receiving regular rewards. On the other
hand Managers work on shorter-term goals, seeking more regular acknowledgment or accolades.

- Leaders know if they aren’t learning something new every day, they aren’t standing still, they’re
falling behind. They remain  curious and seek to remain relevant in an ever-changing world of work.
They seek out people and information that will expand their thinking. On the other hand Managers often
double down on what made them successful, perfecting existing skills and adopting proven behaviors.

- Leaders focus on people – all the stakeholders they need to influence in order to realize their
vision. On the other hand Managers focus on the structures necessary to set and achieve goals. They
focus on the analytical and ensure systems are in place to attain desired outcomes.

-Leaders know that people who work for them have the answers or are able to find them. They see their
people as competent and are optimistic about their potential. On the other hand Managers assign tasks
and provide guidance on how to accomplish them.

- Both are important but naturally, leadership is ahead of management. A well-balanced organization has
leadership at its base.

Q2. Discuss the strategies of change management

Answer- A change management strategy is a plan for how to make something different. 
In business, a change management strategy describes specific ways in which an organization will
address such things as changes in the supply chain, inventory requirements, scheduling or project scope.
The goal of establishing a formal strategy is to ensure that any negative effects of change will be
minimized. To effectively institute a change management strategy, stakeholders must create a plan for
how to recognize when a change is need, how to approve changes, how to implement changes and how
to monitor changes to ensure they have brought about the desired effect. 
1. Plan Carefully
Before you bring proposed change to your team, make sure you have a clear plan in place that covers, at
a minimum, when, how, and why the change is taking place. Ideally, you'll have documented the tasks
needed to get you to where you want to be, outlined new or changing responsibilities for anyone
affected, crafted a fully-developed timeline, and come up with responses to address potential concerns.
2. Beas Transparent as Possible
One of the tricky parts about organizational change is that it will often arrive in phases, or will involve a
level of confidentiality on the part of the management team or certain individuals. However, especially
when the change will be a major one, it's helpful to be as transparent as possible with your employees -
even if you can't give them all of the details, being upfront about the pieces you can share (and clearly
explaining their impact) will go a long way towards helping your staff feel more comfortable. In today's

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fast-paced, dynamic business environments, perhaps the only constant professionals can rely on is
change. Organizations must be nimble and willing to make decisions quickly, and those that are able to
do this will generally face a lot of change in short periods of time. This change could be organization-
wide or team-based, and might stem from any number of factors, from technology to internal operating
needs to finances to politics.
While change can often be a good thing, it's something that many individuals are uncomfortable with, or
even fear. To many employees, hearing of coming changes implies negative outcomes: the loss of a job;
a new manager; a restructured team; company-wide layoffs; reduced pay or benefits. As a leader, it's
your responsibility to set the tone for your team and prepare yourself for managing organizational
change as effectively as possible, helping your reports to understand and navigate this change as best
you can. This is no easy task, especially when you might not have all the necessary information or have
mixed feelings about the changes the organization is facing yourself!
That being said, learning how to manage organizational change is a key component of leadership. If
you're facing changes within your business and want to learn more about the change management
process, here are some of the key organizational change management strategies you can employ.
 
While there are many ways leaders can manage change, some of the best change management strategies
include planning, transparency and honesty, communication, and employee participation. We go into
more detail on these, along with some other key change management strategies, below.
Managing Change in Organizations
1. Plan Carefully
Before you bring proposed change to your team, make sure you have a clear plan in place that covers, at
a minimum, when, how, and why the change is taking place. Ideally, you'll have documented the tasks
needed to get you to where you want to be, outlined new or changing responsibilities for anyone
affected, crafted a fully-developed timeline, and come up with responses to address potential concerns.
2. Be as Transparent as Possible
One of the tricky parts about organizational change is that it will often arrive in phases, or will involve a
level of confidentiality on the part of the management team or certain individuals. However, especially
when the change will be a major one, it's helpful to be as transparent as possible with your employees -
even if you can't give them all of the details, being upfront about the pieces you can share (and clearly
explaining their impact) will go a long way towards helping your staff feel more comfortable.
3. Tell the Truth
This is an easy rule to follow when the change in question is positive; when the change is in response to
challenging circumstances or will result in short-term negative outcomes, this becomes trickier.
However, being honest with your staff to the extent that you're able to is usually the best route: sugar-
coating, presenting things in an overly optimistic way, and promising unrealistic outcomes will just
make your staff suspicious and distrustful of your motives. While it's important, as a manager, to present
an optimistic front to your team, do so in a way that acknowledges potential challenges and drawbacks.
4. Communicate
Keep the lines of communication open between you and your employees. Take the time to explain why
the change is happening, and what it will look like in practice. Make yourself open to questions,
hold team meetings, and invite your reports to come see you and talk through their concerns or thoughts
in a neutral atmosphere.
5. Create a Roadmap
Help your employees understand where the organization is, where it's been, and where it's going. How
does the change play into the business's history, and how is it going to shape its future? Laying this out
clearly will demonstrate the thought and strategy behind the change, and will help staff see how it fits
into, or is evolving from, the business model they've become accustomed to.

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6. Provide Training
When the change involves shifts in technologies or processes, provide adequate training for your
employees to help them master the new way of doing things. And make sure that you convey that this
training will be available when the change is announced, so as to avoid employees feeling like they'll be
left behind due to lack of skill or experience.
7. Invite Participation
Although this won't always be possible, giving employees the opportunity to participate in, or give
feedback on, decisions can be a really positive strategy. Employees will be grateful for the chance to
make their voices heard, and it can also be a great way to get different perspectives and understand
impacts you might not have thought of otherwise
8. Don't Expect to Implement Change Overnight
A longer, more strategic rollout is almost always the best option, rather than a hasty shift in direction.
Not only will you give your employees a chance to adjust to the change, you'll be able to answer
questions and address any issues well in advance of the change going into place. Additionally, people
are generally slow to adopt new habits, so this will give your staff a chance to familiarize themselves
with the new way of doing things and gradually phase out old practices in a more natural way.
9. Monitor and Measure
Once the change process is in motion, it's important to maintain consistent oversight over
implementation and rollout to ensure that things go smoothly and that you'll ultimately be successful.
Keep a close eye on potential problems, and address any issues in a timely manner. Define metrics to
measure success, and continually monitor them to make sure that you're staying on track. And
continually touch base with key stakeholders to gauge their perceptions and get any relevant feedback.
10. Demonstrate Strong Leadership
Above all else, remember to go back to basics and focus on maintaining and exemplifying the qualities
of a great leader. Inspire your team; demonstrate strategic thinking; be open-minded and flexible; and
show your team that they can depend on you to have their best interests at heart. A strong leader can
help their team weather the storms of change with confidence and clear-sightedness, no matter how
challenging they might be.
Q3. Explain the process of decision making
Answer- Decision making is a daily activity for any human being. There is no exception about that.
When it comes to business organizations. Effective and successful decisions make profit to the company
and unsuccessful ones make losses. Therefore, corporate decision making process is the most critical
process in any organization. Usually, decision making is hard. Majority of corporate decisions involve
some level of dissatisfaction or conflict with another party.

Steps of Decision Making Process-

Following are the important steps of the decision making process. Each step may be supported by
different tools and techniques.

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Step 1: Identification of the purpose of the decision

In this step, the problem is thoroughly analysed. There are a couple of questions one should ask when it
comes to identifying the purpose of the decision.
 What exactly is the problem?
 Why the problem should be solved?
 Who are the affected parties of the problem?
 Does the problem have a deadline or a specific time-line?
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Step 2: Information gathering
A problem of an organization will have many stakeholders. In addition, there can be dozens of factors
involved and affected by the problem.
In the process of solving the problem, you will have to gather as much as information related to the
factors and stakeholders involved in the problem. For the process of information gathering, tools such
as 'Check Sheets' can be effectively used.
Step 3: Principles for judging the alternatives
In this step, the baseline criteria for judging the alternatives should be set up. When it comes to
defining the criteria, organizational goals as well as the corporate culture should be taken into
consideration.
As an example, profit is one of the main concerns in every decision making process. Companies
usually do not make decisions that reduce profits, unless it is an exceptional case. Likewise, baseline
principles should be identified related to the problem in hand.
Step 4: Brainstorm and analyse the different choices
For this step, brainstorming to list down all the ideas is the best option. Before the idea generation step,
it is vital to understand the causes of the problem and prioritization of causes.
For this, you can make use of Cause-and-Effect diagrams and Pareto Chart tool. Cause-and-Effect
diagram helps you to identify all possible causes of the problem and Pareto chart helps you to prioritize
and identify the causes with highest effect.
Then, you can move on generating all possible solutions (alternatives) for the problem in hand.
Step 5: Evaluation of alternatives
Use your judgement principles and decision-making criteria to evaluate each alternative. In this step,
experience and effectiveness of the judgement principles come into play. You need to compare each
alternative for their positives and negatives.
Step 6: Select the best alternative
Once you go through from Step 1 to Step 5, this step is easy. In addition, the selection of the best
alternative is an informed decision since you have already followed a methodology to derive and select
the best alternative.
Step 7: Execute the decision
Convert your decision into a plan or a sequence of activities. Execute your plan by yourself or with the
help of subordinates.
Step 8: Evaluate the results
Evaluate the outcome of your decision. See whether there is anything you should learn and then correct
in future decision making. This is one of the best practices that will improve your decision-making
skills.

Conclusion

When it comes to making decisions, one should always weigh the positive and negative business
consequences and should favor the positive outcomes.
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This avoids the possible losses to the organization and keeps the company running with a sustained
growth. Sometimes, avoiding decision making seems easier; especially, when you get into a lot of
confrontation after making the tough decision.
But, making the decisions and accepting its consequences is the only way to stay in control of your
corporate life and time.
Q4. Discuss in brief the nature of Management.
Answer- Management is the act of getting people together to accomplish desired goals and objectives
using available resources efficiently and effectively. Since organizations can be viewed as systems,
management can also be defined as human action, including design, to facilitate the production of useful
- Management functions include: Planning, organizing, staffing, leading or directing, and controlling an
organization (a group of one or more people or entities) or effort for the purpose of accomplishing a
goal.

-The nature Of management

Management is a set of activities (including planning and decision making, organizing, leading, and
controlling) directed at an organization's resources (human, financial, physical, and information) with
the aim of achieving organizational goals in an efficient and effective manner.
Efficient means using resources wisely and without unnecessary waste.
Effective means doing the right things successfully.
A manager is someone whose primary responsibility is to carry out the management process. In
particular. a manager is someone who plans and makes decisions, organizes, leads, and controls human,
financial, physical, and information resources.

This process is illustrated on the following figure-

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-The management process

Planning and decision making: determining courses of action

Planning means setting an organization's goals and deciding how best to achieve them.

Decisionmaking, a part of the planning process, involves selecting a course of action

from a set of alternatives.

Organizing: Coordinating activities and resources

Organizing is grouping activities and resources in a logical fashion.

Leading: Managing people

Leading is the set of processes used to get people to work together to advance the
interests of the organization.

Controlling: Monitoring and evaluating activities

Controlling is monitoring the progress of the organization as it works toward its goals to
ensure that it is effectively and efficiently achieving these goals.

- 1) Multi-Disciplinary.
Management is basically multi-disciplined. This implies
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that management has developed from different disciplines like physiology, sociology, etc.
Management integrates Knowledge, idea & concepts from above discipline & present a newer
concept which can be put in practice for managing the operation
- 2) Dynamic Nature Of Principle.
Management has certain principles that are based on Practical evidence however these principles
are flexible in nature & change according to the changes in the environment
- 3) Relative not absolute principle.
Management principle is relative but not outdated means these are applied according to the need of an
organisation . Each organization may be different from others in a variety of aspects like the age of
organization, place, society, cultural factors.
- 4) Management Science & art.
 Still, there are controversies whether management is science or art, however,  management is
both science & art.
- 5) Management as a Profession.
  Management has been regarded as an of a profession while many have suggested that it  has  not
achieved the status of the profession
- 6) The Universality Of Management.
Management is a universal phenomenon. However, the management principle is not universally
applicable but is to be modified according to the needs of the situation

Q7. Discuss the sources of Recruitment

Answer- Definition: Sources of Recruitment can be viewed as various means of connecting the job
seekers to the organisation which have suitable job openings. In simple words, it serves as a medium for
communicating or advertising the vacant positions in the organisation to get a response from the
prospective candidates.
-The recruiters have to be very careful while selecting any particular source of recruitment.
-The selection of a specific source of recruitment depends upon the number of personnel to be recruited,
the cost involved in each source, accessibility of the applicants, education level of employees to be
hired, company’s policy, etc.
-The various sources of recruitment can be broadly divided into two types, which are explained in detail

below:

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Content: Sources of Recruitment
Internal Sources
External Sources
Alternatives to Recruitment
Conclusion
Internal Sources of Recruitment
Internal sources of recruitment refer to seeking the employees from within the organization to fill up the
vacant position. Many companies consider internal recruitment as a great option since it is cost-
effective, and they tend to hire employees who have a better know how the organization and its policies.
Internal recruitment can be done through the following means:
Previous Applicants: To fill up the immediate openings, calling up or emailing the candidates who
have previously applied to the organization is the cheapest and quickest source of recruitment.
Present Employees: The recruiter can exercise promotion (to a higher position) or transfer (inter-
department or inter-branch transfer) of the current employees instead of recruiting the new employees.
Employee Referrals: Sometimes, the organization hires the candidates referred by the existing
employees assuming that such candidates are more trustworthy and reliable.
Former Employees: Some organizations provide for an option of re-joining to its ex-employees. They
even consider the retired employees who are willing to give their full time or part-time services to the
organization.

Merits and Demerits of Internal Sources of Recruitment

:
Merits of Internal Sources of Recruitment
Internal recruitment motivates employees to perform better and get promoted.
Employees tend to have a long-term association and develop loyalty towards the organisation.
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These sources do not involve much cost and are based on internal advertisement and mouth to mouth
publicity.
It does not require much expertise and is a more straightforward process.
Demerits of Internal Sources of Recruitment
Although there are some drawbacks to internal recruitment too. These are discussed below:
Internal recruitment makes it challenging to introduce new resources who think differently, to the
organisation.
Employees sometimes witness biasedness and partiality in promotion or transfer, which leads to
dissatisfaction.
It is not suitable for all types of job openings.
It leads to conflicts when one employee is promoted, and the other is not.
External Sources of Recruitment
External sources of recruitment signify the hiring of those employees who have never been associated
with the organisation before.
External Recruitment
The organisation needs to include new and fresh talent to become successful and to survive in the
competition. Large organisations mostly depend on external sources of recruitment.
Following are the various external sources through which the organisation acquire new resources:
Advertisements: The organisation advertises the job openings in the newspaper, media, company’s
bulletin, social networking sites (Facebook, LinkedIn, Twitter), job portals, etc.
Campus Recruitment: The organisation collaborates with the educational institutes and colleges to hire
their students for the available job vacancies, by conducting the recruitment process in the respective
college campus.
E-Recruitment: The organisation uses the web-based software as a source of recruitment involving
electronic screening of candidates, online skill test, online profile checks and interviews on video-
conferencing.
Employment Exchange: The organisation gets itself registered with the employment exchange, i.e. a
government-affiliated agency who have a database of many prospective candidates. These candidates
register with such employment exchanges in search of better job opportunities.
Outsourcing Consultancies: Some private consultancies are professionally working to recruit
employees on behalf of the organisation. The organisation hires such consultants on a commission basis
to acquire the desired human resource.
Walk-ins and Write-ins: The organisations without any effort, get random applications when the job
seekers submit their CV. Either by visiting the organisation, posting the letter with CV or mailing the
CV on the company’s mail id.
Contractors: The organisation hires a contractor who provides casual workers temporarily, especially
for a particular project, and such workers have no existence in the company’s records.
Acquisition and Mergers: At the time of the company’s merger or acquisition of another company; it
has to lay off some of its employees as well as recruit new talents. The company structure changes
drastically.
Professional Associations: Professional associations facilitates the organisation to fill in the vacant
position by advertising it in their journal or magazines. It also offers job opportunities to the highly
educated, skilled or experienced resources who are experts in their fields and hold a membership with
such associations.
Merits and Demerits of External Sources of Recruitment
External recruitment is the best means of recruitment for the medium or large organisations, diversified
into many lines of business and carrying out the bulk-hiring of employees.
Various merits and demerits of selecting external sources of recruitment have been discussed further.

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Merits of External Sources of Recruitment

To understand the need for external recruitment, let us go through its benefits:
External recruitment gives a fair chance to the applicants to compete and secure their position in the
organisation.
It is not a confidential process and ensures transparency.
Recruiting externally promotes and encourages the intake of new and fresh talent in the organisation.
It is widely applicable to vacancies in all type of departments for different business processes.
The employees recruited will come up with new and innovative ideas as well as will know new
technology and skills. All this initiates organisational success.
Demerits of External Sources of Recruitment
-External sources though provide the organisation with a pool of applications, it has certain drawbacks
too. To know more, read below:
-The existing employees may feel less valued and defeated and may even quit their jobs.
External recruitment is a lengthy process right from identifying the human resources requirement, to
scrutinizing of applications.
-It involves enormous cost incurred on the advertisements, employment exchange, consultancies, etc.
-The employees who are already working in the organisation feel dissatisfied and demotivated if a
senior post is filled up by an outsider.
-The existing employees fear the loss of the job or their replacement on not fulfilling the performance
standards.
-Recruitment has some disadvantages; for instance, it is a lengthy process and less cost-effective.
Therefore, many companies opt for other options instead of hiring, to get the work done, though some of
these alternatives are a temporary solution.
Conclusion
In today’s world, everyone wants to be employed irrespective of their gender or caste. Technological
advancement has simplified the job search even more.
The emergence of the digital era has facilitated the candidates to find new jobs, anytime and anywhere
easily. Even the companies have access to better talent acquisition and a broader scope of searching for
new talent from around the world.
The organizations have to wisely select a source of recruitment to make the recruitment process
effective.

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