In order to examine whether a business has the appropriate staff to meet its needs, the business needs to:

  • Identify the skills and number of employees required in the future.
  • Analyse its existing workforce to identify skills, training and special interests.
  • Compare the expected future needs of the business with the existing supply of staff.

Identifying Staffing Needs

  • May involve training existing staff.
  • May highlight that a specific job created and/or filled.


  • The process of locating and attracting the right quantity and quality of staff to apply for employment vacancies at the right cost.
  • The business can fill a vacancy by recruiting applicants either internally from their existing staff, based on merit, expertise and ability. This provides an incentive for staff to improve their performance for a promotion.
  • The business can also fill a vacancy externally, and can look in places such as:
    • Outsourced to private employment agencies
    • Students or graduates
    • Online career sites
    • Newspapers
    • Centrelink
    • Headhunting from competitors


  • The screening process in staff acquisition. The information gathered about job applicants is reviewed and the most appropriate applicant is chosen. This may involve:
    • Applicant forms
    • Interviews
    • Assessment centres
    • Written tests
    • Computer tests
  • Candidates can be eliminated from the selection process as it continues.
  • Once the business has decided on the successful applicant, the chosen candidate is formally offered the position. There is then a process of negotiation over pay and entitlements.

Staff development and training

  • Staff must ensure it continues to develop the skills and capabilities of its staff. An induction procedure introduces the new employee to the business allowing them to become familiar with the firm
  • Training includes any activities aimed at improving an employee’s present and future performance in the workforce. It results in upgrading skills; knowledge and competency levels in order to better meet the needs of the business. This can include on the job and off the job training.

Extract from Business Studies Stage 6 Syllabus. © 2010 Board of Studies NSW.