HRIR Final Exam

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.

A culture with a long-term orientation will have trainees who are likely to accept development plans and assignments. The correct answer is: are likely to accept development plans and assignments.

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.

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. The correct answer is: It can quickly become expensive for the company.

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.

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. The correct answer is: The participants from various countries and cultures contribute ideas from a position of equality.

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

According to equity theory, people measure outcomes such as pay in terms of their inputs. The correct answer is 'False'.

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.

An effective incentive pay plan should have performance measures that are linked to the organization's goals. The correct answer is: have performance measures linked to the organization's goals

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.

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. The correct answer is: The goals of an incentive plan may interfere with other management goals.

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.

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. The correct answer is: standard hour plan

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.

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. The correct answer is: exporting.

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.

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. The correct answer is: measures the degree to which actual pay is consistent with the pay policy.

When designing incentives, managers should make sure that: Select one: a. all the employees are paid equal amounts. b. even the lowest performing employees get some rewards. c. employees focus only completing the task quickly. d. employees think that the pay plan is fair. e. they focus on hiring employees for whom earning money is the only reason to do a good job.

Attitudes that influence the success of incentive pay include whether employees value the rewards and think the pay plan is fair. The correct answer is: employees think that the pay plan is fair.

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.

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. The correct answer is: The day-to-day decisions about labor relations are usually handled by each foreign subsidiary.

Canada, Mexico, and the United States have encouraged trade among themselves with the: Select one: a. CSN. b. NAFTA. c. PICTA. d. APEC. e. TAFTA.

Global activities are simplified and encouraged by trade agreements among nations. Canada, Mexico, and the United States have encouraged trade among themselves with the North American Free Trade Agreement (NAFTA). The correct answer is: NAFTA.

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.

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. The correct answer is: Managers at such companies must be able to get results across national boundaries.

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.

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 correct answer is: masculine cultures.

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

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. The correct answer is: The United States

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.

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. The correct answer is: It gives emphasis to person—organization fit.

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

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. The correct answer is: Shortage of talent in local labor markets

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

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. The correct answer is 'True'.

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

Overlapping pay ranges gives the organization more flexibility in transferring employees among jobs, because transfers need not always involve a change in pay. The correct answer is: pay ranges

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

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

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

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." The correct answer is 'True'.

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.

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

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.

The Fair Labor Standards Act (FLSA) includes provisions for minimum wage, overtime pay, and child labor. The correct answer is: minimum wage

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.

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. The correct answer is: uses job evaluation of an organization's jobs in terms of such criteria as their difficulty

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.

The federal government tracks trends in the nation's cost of living with a measure called the Consumer Price Index (CPI). The correct answer is: Consumer Price Index.

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.

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. The correct answer is: Following and studying changes in the CPI helps employers prepare for changes in the demands of the labor market.

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.

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. The correct answer is: In rapidly changing regions, the organization may have to update its performance plans more often than once a year.

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

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. The correct answer is: parent-country national.

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

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. The correct answer is 'True'.

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

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. The correct answer is: multinational company.

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.

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 (ADR)

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.`

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.

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.

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.

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

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

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

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.

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