Step 1: Understanding the Concept:
Staffing is a continuous process that includes estimating manpower requirements, recruitment, selection, placement, training, and evaluating performance.
Step 2: Detailed Explanation:
Evaluating an employee's performance against "pre-determined standards" is the definition of Performance Appraisal. It helps the management decide on salary increments, promotions, or the need for further training.
Step 3: Final Answer:
The correct step is (b) Performance appraisal.