Exam 3: Moodle Quizzes

example of unavoidable dysfunctional turnover

A good employee leaves because she received a better offer and the company cannot compete financially. A good employee leaves because his spouse relocates.

1. This form of ADR is non-binding: ______________________ 2. This form of ADR is binding: ____________________

1. This form of ADR is non-binding: Mediation 2. This form of ADR is binding: Arbitration

Global organization

A global organization locates each facility based on the ability to effectively, efficiently, and flexibly produce a product or service, using cultural differences as an advantage. It may have multiple headquarters spread across the globe, so decisions are more decentralized. Needs HRM practices that encourage flexibility and are based on an in-depth knowledge of differences among countries. Global organizations must be able to recruit, develop, retain, and use managers who can get results across national boundaries.

What three selection tools have the highest levels of validity and reliability?

Cognitive ability test Structured interview questions Job performance tests

Common job characteristics that an organization is willing to pay for, such as skill, effort, responsibility, and working conditions are termed:

Compensable Factors

A person leaves a company because the safety conditions are very poor. This is known as C__________ D___________

Constructive Discharge

Lisa notices that her employee Katie recently seems very stressed and Katie's performance is not as good as usual. Lisa talks to Katie and finds that Katie is going through a divorce. Lisa suggests that Katie contact this free confidential service provided by the employer

EAP (Employee Assistance Program)

One of the Gravity Payments employees left because she felt her pay was too close to those who were less experienced and hadn't worked at the company as long. What theory, both mentioned in your text and discussed in class, pertains to this situation?

Equity Theory = We compare our effort and rewards to others (referent others). Over-rewarded, under-rewarded

According to equity theory, people measure outcomes such as pay in terms of their outputs. Select one: True False

FALSE. According to equity theory, people measure outcomes such as pay in terms of their inputs.

Organizations that want employees to focus on efficiency may adopt a _______________ incentive program.

Gainsharing

These are sets of jobs having similar worth or content, grouped together to establish rates of pay.

Pay Grades

Paying a salary does not necessarily mean a job is exempt. Select one: True False

TRUE Most workers paid on an hourly basis are nonexempt and therefore subject to the laws governing overtime pay. However, paying a salary does not necessarily mean a job is exempt.

Job design aimed at empowerment is likely to be difficult in cultures with high power distance. Select one: True False

TRUE Power distance concerns the way the culture deals with unequal distribution of power and defines the amount of inequality that is normal. In countries with large power distances, the culture defines it as normal to maintain large differences in power. Job design aimed at employee empowerment can be problematic in cultures with high "power distance."

Compensable factors are job characteristics that an organization values and chooses to pay for. Select one: True False

TRUE To conduct a job evaluation, the committee identifies each job's compensable factors, meaning the characteristics of a job that the organization values and chooses to pay for.

Jobs that are motivating have these five characteristics: Task identity Autonomy __________ __________ ___________

Task identity Autonomy Skill variety Feedback Significance

pay compression

When the difference in pay between newly hired employees and more experienced employees is small.

The federal government tracks trends in the nation's cost of living with a measure known as the: Select one: a. Consumer Price Index. b. Living-Wage Index. c. Gross National Product Index. d. Exchange Rate Index. e. Employment Cost Index.

a. Consumer Price Index.

Which of the following is a characteristic of delayering? Select one: a. It increases an organizations' flexibility. b. It increases the opportunities for promoting employees. c. It sets pay according to the employees' level of knowledge. d. It encourages a climate of learning. e. It helps employees use their knowledge and ideas more productively.

a. It increases an organizations' flexibility. Some organizations have found greater flexibility through delayering , or reducing the number of levels in the organization's job structure.

Which of the following is a reason for big pay differences between jobs? Select one: a. Shortage of talent in local labor markets b. Government rules regarding minimum wages for different jobs c. Low rates of employee turnover in certain jobs d. Low power distance e. High uncertainty avoidance

a. Shortage of talent in local labor markets Market pay structures can differ substantially across countries in terms of both pay level and the relative worth of jobs. One reason for big pay differences is a shortage of talent in local labor markets.

In which country would one experience the greatest latitude in reducing one's company's workforce in response to a forecasted oversupply of workers? Select one: a. The United States b. Germany c. The United Kingdom d. France e. Sweden

a. The United States Human resource planning includes decisions to hire and lay off workers to prepare for the organization's expected needs. Compared with other countries, the United States allows employers wide latitude in reducing their workforce, giving U.S. employers the option of hiring for peak needs, then laying off employees if needs decline. Other governments place more emphasis on protecting workers' jobs. European countries, and France in particular, tend to be very strict in this regard.

Which of the following is a disadvantage of using incentive plans? Select one: a. The goals of an incentive plan may interfere with other management goals. b. The goals of incentive plans cannot be linked to particular outcomes or behaviors. c. Incentive plans cannot be used to promote group and organizational performance. d. Incentive plans cause dissatisfaction among the non-performing employees in the organization. e. Incentive plans are not very effective for jobs other than sales and service.

a. The goals of an incentive plan may interfere with other management goals. An incentive pay designed support to a management goal may interfere with other management goals. The employees may provide more importance to those goals that are supported by the incentive plan.

Which of the following statements is true about employee dismissal on the grounds of employment-at-will agreements? Select one: a. They are likely to raise principles of justice issues. b. Most employers stopped using these agreements during the 1990s. c. The courts have declared these agreements as illegal. d. Most employees see the agreements as equitable. e. Employment-at-will agreements empower managers to discharge employees at their personal discretion.

a. They are likely to raise principles of justice issues. Policies that can lead to employee separation should be based on principles of justice and law, and they should allow for various ways to intervene.

Peer review is an example of _____. Select one: a. alternative dispute resolution b. employee assistance programs c. outplacement counseling d. fair representation e. employee carve-out

a. alternative dispute resolution

Based on the expectation that two people in conflict should first try to arrive at a settlement together, organizations have a policy of making managers available to hear complaints. Typically, the first "open door" is that of the employee's: Select one: a. immediate supervisor. b. choice of a neutral party. c. peers. d. immediate subordinates. e. personal counselor.

a. immediate supervisor. Open-door policy is based on the expectation that two people in conflict should first try to arrive at a settlement together, the organization has a policy of making managers available to hear complaints. Typically, the first "open door" is that of the employee's immediate supervisor, and if the employee does not get a resolution from that person, the employee may appeal to managers at higher levels.

The compa-ratio: Select one: a. measures the degree to which actual pay is consistent with the pay policy. b. is defined as average pay for the grade divided by the minimum pay for the grade. c. can range from 0 to 100 percent. d. uses data from market-pay surveys. e. measures the degree to which new skills learnt are consistent with the increases in pay.

a. measures the degree to which actual pay is consistent with the pay policy. As part of its management responsibility, the HR department should compare actual pay to the pay structure, making sure that policies and practices match. A common way to do this is to measure a compa-ratio, the ratio of average pay to the midpoint of the pay range.

Martin owns and manages a small auto-parts shop. He determines the time required to complete each task in his shop. When an employee completes the repair in less time, he/she receives an amount of pay equal to the rate determined by Martin for . Martin is using a: Select one: a. standard hour plan. b. differential piecework plan. c. merit pay plan. d. straight piecework plan. e. Scanlon plan.

a. standard hour plan. An incentive plan that pays workers extra for work done in less than a preset "standard time" is referred to as a standard hour plan.

Which of the following is true about the Consumer Price Index (CPI)? Select one: a. It helps product markets place an upper limit on the pay an organization will offer. b. Following and studying changes in the CPI helps employers prepare for changes in the demands of the labor market. c. It helps organizations lure top-quality employees. d. The CPI helps control labor market's demand for pay increases. e. It helps organizations to compete with companies in other industries that hire similar employees.

b. Following and studying changes in the CPI helps employers prepare for changes in the demands of the labor market. The federal government tracks trends in the nation's cost of living with a measure called the Consumer Price Index (CPI). Following and studying changes in the CPI can help employers prepare for changes in the demands of the labor market.

Which of the following statements is true of international labor relations? Select one: a. In comparison with U.S. organizations, European organizations exert more centralized control over labor relations in the various countries where they operate. b. The day-to-day decisions about labor relations are usually handled by each foreign subsidiary. c. Governments never get involved to protect workers who immigrate to other countries. d. Most U.S. organizations, in contrast to European organizations, bargain with a union representing an entire industry's employees, rather than with the local union. e. Companies that operate across national boundaries mostly work only with unions in the home-country.

b. The day-to-day decisions about labor relations are usually handled by each foreign subsidiary. Companies that operate across national boundaries often need to work with unions in more than one country. The day-to-day decisions about labor relations are usually handled by each foreign subsidiary. The reason is that labor relations on an international scale involve differences in laws, attitudes, and economic systems, as well as differences in negotiation styles. At least in comparison with European organizations, U.S. organizations exert more centralized control over labor relations in the various countries where they operate.

Which one of the following statements is true of transnational HRM systems? Select one: a. To ensure fairness, they make decisions that are uniform and rigid. b. The participants from various countries and cultures contribute ideas from a position of equality. c. They emphasize the use of managers from the parent country. d. They feature decision making from a parent-country perspective. e. The host-country culture dominates the decision making process.

b. The participants from various countries and cultures contribute ideas from a position of equality. A global organization needs a transnational HRM system that features decision making from a global perspective. Decisions that are the outcome of a transnational HRM system balance uniformity with flexibility. The participants from various countries and cultures contribute ideas from a position of equality, rather than the parent country's culture dominating.

Values such as success, achievement, assertiveness, and competition are associated with: Select one: a. short-term oriented cultures. b. masculine cultures. c. high-power-distance cultures. d. low uncertainty avoidance cultures. e. collectivist cultures.

b. masculine cultures. Hofstede's cultural dimension of masculinity/femininity refers to the emphasis a culture places on practices or qualities that have traditionally been considered masculine or feminine. A "masculine" culture is a culture that values achievement, money making, assertiveness, and competition.

The Fair Labor Standards Act (FLSA) includes provisions for: Select one: a. personal finance. b. minimum wage. c. wage discrimination. d. environmental hazards. e. retirement plans.

b. minimum wage.

An organization that builds facilities in a number of different countries in an effort to minimize production and distribution costs is a: Select one: a. international organization. b. multinational company. c. foreign subsidiary. d. global organization. e. outsourcing partner.

b. multinational company. While international companies build one or a few facilities in another country, multinational companies go overseas on a broader scale. They build facilities in a number of different countries as a way to keep production and distribution costs to a minimum.

Although the rate of inflation is only 2 percent, Jessie receives a 6 percent increase in salary. She is nonetheless dissatisfied with her salary increase due to Norvin's, whose job designation is similar to Jessie's, 9 percent increase. Jessie is likely to contend that there is a lack of: Select one: a. employment-at-will. b. outcome fairness. c. procedural justice. d. interactional justice. e. fair representation.

b. outcome fairness. People's perception of outcome fairness depends on their judgment that the consequences of a decision to employees are just.

Overlapping _____ give the organization more flexibility in transferring employees among jobs, because transfers need not always involve a change in pay. Select one: a. pay rates b. pay ranges c. pay policies d. pay differentials e. pay ranks

b. pay ranges

An intervention designed to increase the communication and understanding of the various sets of role expectations that exist for specific employees is called: Select one: a. role playing. b. role analysis technique. c. role carve-out. d. role enrichment. e. role overload.

b. role analysis technique.

Open-door policy, and mediation are generally steps within: Select one: a. the strategy decision-making process. b. the alternative dispute resolution system. c. the collective bargaining system. d. the fair representation policy. e. the performance appraisal program.

b. the alternative dispute resolution system. Open-door policy, peer review, mediation, and arbitration are the four stages of the alternative dispute resolution system.

The hot-stove rule differs from a progressive discipline process in that with the hot-stove rule: Select one: a. the punishment meted is always inconsistent. b. the consequences for breaking the rule is immediate. c. the rule breaker will be warned multiple times before termination. d. the consequences follow a gradual increase in seriousness e. the ideology is to prevent misbehavior rather than to merely punish it.

b. the consequences for breaking the rule is immediate. The hot-stove rule is a principle of discipline that says discipline should be like a hot stove, giving clear warning and following up with consistent, objective, immediate consequences. The progressive discipline process fulfills the purpose of discipline by teaching employees what is expected of them and creating a situation in which employees must try to do what is expected. It seeks to prevent misbehavior (by publishing rules) and to correct, rather than merely punish, misbehavior.

To prevent job withdrawal, organizations therefore need to promote job satisfaction, a pleasant feeling resulting from the perception that one's job fulfills or allows for the fulfillment of one's important job values. This definition has three components: Select one: a. compensation, working conditions, and peer support. b. values, perceptions, and ideas of what is important. c. job involvement, organizational commitment, and job withdrawal. d. physical environment, social environment, and the person. e. emotional, physical, and financial well-being.

b. values, perceptions, and ideas of what is important.

____ is a referral service that employees can use to seek professional treatment for emotional problems or substance abuse. Select one: a. Alternative dispute resolution b. Outplacement counseling c. Employee assistance program d. Progressive discipline program e. Request for proposal

c. Employee assistance program (EAP)

How does a collectivist culture influence the HRM decisions related to job design? Select one: a. It gives more importance to skills, resources, and personality to succeed on the job. b. It encourages employees to make their own decisions. c. It gives emphasis to person—organization fit. d. It focuses on long-term rewards. e. It relies heavily on person—job fit.

c. It gives emphasis to person—organization fit. In an interesting study comparing call center workers in India (a collectivist culture) and the United States (an individualistic culture), researchers found that in the United States, employee turnover depended more on person—job fit than on person—organization fit.

In the context of the effect of culture on training, a culture with long-term orientation has trainees who: Select one: a. expect trainers to be authoritarian and controlling of session. b. value relationships with fellow trainees. c. are likely to accept development plans and assignments. d. have less tolerance for impromptu style. e. expect formal instructional environments.

c. are likely to accept development plans and assignments.

The positive or negative bottom-line opinions that individuals have of themselves are known as: Select one: a. negative affectivities. b. factor comparisons. c. core self-evaluations. d. fair representations. e. behavioral models.

c. core self-evaluations.

Historically, if the organization and employee do not have a specific employment contract, the employer or employee may end the employment relationship at any time. This is referred to as the _____ doctrine. Select one: a. force majeure b. laissez faire c. employment-at-will d. due process e. implied in fact

c. employment-at-will This doctrine has eroded significantly, however. Some judges have considered that employment at will is limited where managers make statements that amount to an implied contract; a discharge also can be found illegal if it violates a law or public policy.

The usual way that a company begins to enter foreign markets is by: Select one: a. importing. b. offshoring. c. exporting. d. outsourcing. e. relocating.

c. exporting. As organizations grow, they often begin to meet demand from customers in other countries. The usual way that a company begins to enter foreign markets is by exporting, or shipping domestically produced items to other countries to be sold there.

According to Hofstede's dimensions of culture, _____ defines the amount of inequality that is normal. Select one: a. individualism b. uncertainty avoidance c. power distance d. collectivism e. masculinity

c. power distance Power distance concerns the way the culture deals with unequal distribution of power and defines the amount of inequality that is normal.

4 factors that strongly influences HRM in international markets.

culture education economic systems political legal

The comparable-worth policy: Select one: a. advocates remedies for any undervaluation of jobs based on market-pay data. b. is designed to reduce the wage gap between women and minority groups. c. has been consistently upheld in court rulings. d. uses job evaluation of an organization's jobs in terms of such criteria as their difficulty. e. is the only non-controversial pay policy.

d. uses job evaluation of an organization's jobs in terms of such criteria as their difficulty. The comparable-worth policy uses job evaluation to establish the worth of an organization's jobs in terms of such criteria as their difficulty and their importance to the organization.

Which of the following is true of the performance management process across national boundaries? Select one: a. The specific methods of performance management work the same way in almost every country. b. U.S. employees are much more used to indirect feedback than are employees in other countries. c. Which behaviors are rated, how and the extent to which performance is measured, who performs the rating, and how feedback is provided are usually uniform across countries. d. While the measures used may vary from country to country, the legal requirements remain the same as those in the United States. e. In rapidly changing regions, the organization may have to update its performance plans more often than once a year.

e. In rapidly changing regions, the organization may have to update its performance plans more often than once a year. The general principles of performance management may apply in most countries, but the specific methods that work in one country may fail in another. The extent to which managers measure performance may also vary from one country to another. In rapidly changing regions, such as Southeast Asia, the organization may have to update its performance plans more often than once a year.

Which of the following is a disadvantage of a merit pay system? Select one: a. It does not relate the rewards to economic conditions. b. It cannot be used effectively in performance appraisals. c. Comparative pay is not considered in its evaluation. d. It is not consistent with performance management's dimensions. e. It can quickly become expensive for the company.

e. It can quickly become expensive for the company. A drawback of merit pay, from the employer's standpoint, is that it can quickly become expensive. Managers at a majority of organizations rate most employees' performance in the top two categories (out of four or five). Therefore, the majority of employees are eligible for the biggest merit increases, and their pay rises rapidly.

Which one of the following is true of global organizations? Select one: a. All of their managers come from the host country. b. They increasingly emphasize standardization of products across market segments. c. They tend to have centralized, parent-country decision-making structures. d. HRM practices at such companies tend to be uniform across cultures. e. Managers at such companies must be able to get results across national boundaries.

e. Managers at such companies must be able to get results across national boundaries. Global organizations compete by offering top products tailored to segments of the market while keeping costs as low as possible. They may have multiple headquarters spread across the globe, so decisions are more decentralized. This type of an organization needs HRM practices that encourage flexibility and are based on an in-depth knowledge of differences among countries. Global organizations must be able to recruit, develop, retain, and use managers who can get results across national boundaries.

Foreign assignments can be highly disruptive to family members, and the resulting role _____ is the top reason that people quit overseas assignments. Select one: a. autonomy b. overload c. underload d. ambiguity e. conflict

e. conflict Role conflict is an employee's recognition that demands of the job are incompatible or contradictory; a person cannot meet all the demands.

An effective incentive pay plan should: Select one: a. have performance measures based on employees' requirements. b. not be provided as a direct percentage of employees' performance. c. encourage group performance and dispirit individual achievements. d. be the same for all types of employees in the organization. e. have performance measures linked to the organization's goals.

e. have performance measures linked to the organization's goals.

When conducting a workplace search, without probable cause, employers can act fairly and minimize the likelihood of a lawsuit by: Select one: a. hushing the company's search policies prior to the search. b. searching employees' workplace without their knowledge. c. using non-company personnel to conduct the search. d. conducting random searches with or without a probable cause. e. justifying that the organization has work rules that provide for searches.

e. justifying that the organization has work rules that provide for searches. In general, random searches of areas such as desks, lockers, toolboxes, and communications such as e-mails are permissible, so long as the employer can justify that there is probable cause for the search and the organization has work rules that provide for searches. Employers can act fairly and minimize the likelihood of a lawsuit by publicizing the search policy, applying it consistently, asking for the employee's consent before the search begins, and conducting the search discreetly.

Maria Celio, who was born in Spain, works at the headquarters of a Spanish company. She is a: Select one: a. host-country national. b. expatriate. c. governing-country national. d. third-country national. e. parent-country national.

e. parent-country national. The parent country of a company is the country in which the organization's headquarters is located. An employee of a company who is a native of the parent country and also works in a facility located in the same country is referred to as a parent-country national.

When employees initiate a turnover, when the organization would prefer to keep them, it is called _____ turnover. Select one: a. dysfunctional b. involuntary c. retentive d. external e. voluntary

e. voluntary

When employees cannot work with management to make changes, they may engage in ____, taking their charges to the media in the hope that if the public learns about the situation, the organization will be forced to change. Select one: a. scapegoating b. progressive discipline c. class actions d. media manipulation e. whistle-blowing

e. whistle-blowing

first stage in cultural adjustment (or the culture shock process)

honeymoon culture shock recovery adjustment

A point factor job evaluation is concerned with the ________relative worth of the job. a. internal b. external

internal