Question 1:

Overstaffing is wasteful and expensive, if sustained, and it is costly to eliminate because of modern legislation in respect of redundancy payments, consultation, minimum periods of notice, etc. Very importantly, overstaffing reduces the competitive efficiency of the business.

Use an example of your choice to explain the underlined statement.

Question 2:

Planning staff levels requires that an assessment of present and future needs of the organization be compared with present resources and future predicted resources.

(a) Explian carefully how the exercise of planning can be implemented by management.

(b) Show the factors which can affect the planning process.