Introduction to Business: Chapter 9

The _________________ is concerned with dealings between business firms and labor unions. A. Fair Labor Standards Act B. Equal Pay Act C. National Labor Relations Act D. Civil Rights Act

C. National Labor Relations Act

_______________ refers to the differences among people in a workforce owing to race, ethnicity, and gender. A. Employee differences B. Workforce diversity C. Inclusion D Cultural diversity

D Cultural diversity

A compensation system is a firm's ___________________ that determine employee compensation. A. benefits packages and financial resources B. analysis of the value of work performed C. financial resources D. policies and strategies

D. policies and strategies

The purpose of job analysis is to help a manager ____________________ A. understand the level of proficiency required for an activity B. determine the number of individuals required to perform a particular activity C. instruct human resources about the job description to be provided for a particular job D. understand the nature of a job

D. understand the nature of a job

what is a flexible benefit plan

compensation plan whereby an employee receives a predetermines amount of benefit dollars to spend on a package of benefits he or she has selected to meet individual need (pg 258)

What did the Occupational Safety and Health Act do?

concerned with the employees health and safety; regulates the degree to which employees can be exposed to hazardous substances, and specifies the safety equipment the employer must provide (pg 265)

who is responsible for HRM

line managers and staff HRM specialists (pg 244)

what are objective methods

methods for appraisal that use some measurable quantity (pg 261)

what happens in a tell-and-listen feedback interview

supervisor tells the employee what the employee has done right and wrong and then given them a chance to respond. (pg 262)

what is a lump sum salary increase

a entire pay raise taken in one lump sum (pg 256)

what is a structured interview

a interview in which the interviewer asks only a prepared set of questions (pg 253-254)

what is an incentive payment

a payment in addition to wages, salary, or commissions (pg 256)

what is a commission

a payment that is a percentage of sales revenue (pg 256)

what is an employee benefit

a reward in addition to to regular compensation that is provided indirectly to an employee (pg 257)

what are 7 benefits of creative management of cultural diversity

-cost -resource acquisition -marketing edge -flexibility -creativity -problem solving -bilingual skills (pg 247)

what 3 activities are included in the maintaining phase of HRM

-employee relations -compensation -benefits (pg 244)

what are the selection techniques

-employment application -employment tests -interviews -references -assessment centers (pg 251-254)

what 5 activities are included in the acquisition phase of HRM

-human resources planning -job analysis -recruiting -selection -orientation (pg 244)

what are some ways to reduce the workforce size

-layoff -early retirement -buyouts -firing (pg 246)

what are 6 methods available for employee training and management development

-on the job methods -simulations -classroom teaching and lecture -conferences and seminar -role-playing -e-learning (pg 259-260)

what are 2 useful techniques for forecasting human resources supply

-replacement chart -skills inventory (pg 246)

what are the 3 major approaches to performance feedback interviews

-tell and sell -tell and listen -problem solving (pg 262)

what are the 2 purposes that data from applications is used for

-to identify applicants who are worthy for further scrutiny -to familiarize interviewers with applicant backgrounds (pg 252)

what 2 activities are included in the development phase of HRM

-training and development -performance appraisal (pg 244)

QUESTIONS FROM QUIZZES `

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what 3 management decisions are required for designing an effective compensation system

1- wage level 2-wage structure 3-individual wage (pg 255)

what 4 things must an effective employee reward system do

1-enable employees to satisfy 2-provide rewards comparable with those offered by other firms 3-be distributed fairly within the organization 4- recognize that different people have different needs (pg 254)

Supply and demand are important in human resources planning because the planners must_________________________ then determine if they are available A. forecast future demand for human resources B. plan the business activities then determine the need for human resources C. review the production capacity of the current workforce then plan for human resources D. strategize means to acquire the best workers for the financial output

A. forecast future demand for human resources

The goal of a diversity training program is_________________________ A. to improve workplace attitudes and behaviors B. to hire a more diverse workforce C. to demonstrate a strong sustained commitment from top leadership D. to capitalize on a variety of cultures, viewpoints, and attitudes

A. to improve workplace attitudes and behaviors

what are the advantages and disadvantages of of external recruiting

A: -bring people into a firm who have new perspectives and varied business backgrounds -younger talent tends to be more technologically savvy D: -often expensive -may provoke resentment among present employees who wished to advance within the company (pg 250)

_______________ is the process of teaching operations and technical employees how to do their present jobs more effectively and efficiently A. Management development B. Employee training C. Employee mentoring D. Employee development

B. Employee training

The purpose of job analysis is to systematically study positions to determine _____________________ A. their function and purpose B. elements and requirements C. the elements that make up a particular job D. the qualifications required to perform a particular job

B. elements and requirements

what is a wage survey

a collection of data on prevailing wage rates within an industry or a geographic area (pg 255)

what is a skills inventory

a computerized data bank containing information on the skills and experience of all present employees (pg 246)

what is comparable worth

a concept that seeks equal compensation for jobs requiring about the same level of education, training, and skills (pg 255)

what is a replacement chart

a list of key personnel and their possible replacements within a firm (pg 246)

what is a job description

a list of the elements that make up a particular job (pg 248)

what are job specifications

a list of the qualifications required to perform a particular job

what is a resume

a one or two page description of the candidates background and qualifications (pg 252)

What is affirmative action?

a policy that (1) actively encourages job applications from members of minority groups and (2) hire qualified employees from minority groups who are not fully represented in their organization (pg 265)

what is a salary

a specific amount of money paid for an employees work during a set calendar period, regardless of the number of hours worked (pg 256)

what is an hourly wage

a specific amount of money paid for each hour of work (pg 256)

what is a job analysis

a systematic procedure for studying jobs to determine their various elements and requirements (pg 248)

Which of the following is NOT a type of compensation? a. Comparable worth b. Commissions c. Monthly salary d. Profit-sharing e. Hourly wage

a. Comparable worth

Which federal legislation prohibits discrimination in employment practices based on sex, race, color, religion, or national origin? a. Title VII of the Civil Rights Act (1964) b. Americans with Disabilities Act (1990) c. Worker Adjustment and Retraining Notification (WARN) Act (1988) d. Occupational Safety and Health Act (1970) e. Equal Pay Act (1963)

a. Title VII of the Civil Rights Act (1964)

what are the 3 phases of HRM

acquiring, maintaining, developing (pg 244)

what is human resources management (HRM)

all the activities involved in acquiring, maintaining, and developing, an organizations human resources (pg 243)

what happens in a 360-degree interview

anonymous reviews are collected from peers, subordinate, supervisors, and are compiled into a feedback report (pg 262)

Firms use many techniques for determining the wage structure for positions within the firm. Which of the following is not normally used by firms to determine their wage structures? a. Job evaluation b. International standards c. Comparable worth d. Wage surveys

b. International standards (?)

Which of the following is a negative aspect of hiring from within for a company? a. It is relatively more expensive than outside hires. b. It leaves another job vacancy to fill. c. The cost of advertising is often more than for external hires. d. Hiring from within the company helps the firm retain qualified employees. e. It typically decreases employee morale.

b. It leaves another job vacancy to fill.

For recruiters, what does it mean to have a goal of attracting the "right number" of applicants? a. It means to attract an average of five candidates for every open position. b. It means to attract enough to allow a good match between applicants and open positions but not so many that matching requires a lot of time and effort. c. It means to attract the same amount of internal candidates as external candidates for each open position. d. It means to attract the amount of candidates that management has specified for each open position.

b. It means to attract enough to allow a good match between applicants and open positions but not so many that matching requires a lot of time and effort.

Which of the following involves the trainee learning by doing while under the supervision of an experienced employee? a. Classroom teaching and lectures b. On-the-job methods c. Simulations d. Conference and seminars e. Role-playing

b. On-the-job methods

what is external recruiting

attracting job applicants from outside the organization (pg 250)

Why are many companies hiring employees representing a diverse background? a. Labor unions require it. b. Employees with diverse backgrounds better serve their diverse customers. c. Diverse employees can be paid less. d. The law requires it. e. They are hired because there is a decrease in the size of the hiring pool.

b. Employees with diverse backgrounds better serve their diverse customers.

One of the first steps in hiring new employees is to prepare a job forecast to anticipate the company's employment needs. Which of the following is not part of the hiring process? a. Drafting a job description b. Evaluating current employees c. Doing a job analysis d. Preparing job specifications

b. Evaluating current employees

Which of the following federal legislation established a minimum wage and an overtime pay rate for employees working more than 40 hours per week? a. Equal Pay Act (1963) b. Fair Labor Standards Act (1938) c. Worker Adjustment and Retraining Notification (WARN) Act (1988) d. National Labor Relations Act (1935) e. Labor-Management Relations Act (1947)

b. Fair Labor Standards Act (1938)

Which of the following is not a purpose for management undertaking performance appraisals of employees? a. To provide an effective basis for distributing rewards b. To let other employees see that there are rewards for good performance c. To let workers know how well they are doing and how they can improve d. To help the organization monitor its employee selection, training, and development

b. To let other employees see that there are rewards for good performance

What is the order in which the three separate management decisions should be completed for HRM managers that design effective compensation systems? a. Individual wages, wage level, and wage structure b. Wage level, wage structure, and individual wages c. Individual wages, wage structure, and wage level d. Wage structure, wage level, and individual wages e. Wage structure, individual wages, and wage level

b. Wage level, wage structure, and individual wages

The duties to be performed, the working conditions, the responsibilities, and the tools and equipment that must be used on the job are reflected in the list known as the: a. job specification. b. job description. c. performance appraisal. d. job analysis. e. orientation schedule.

b. job description.

Which federal legislation prohibits discrimination against qualified individuals with disabilities in all employment practices? a. Labor-Management Relations Act (1947) b. Occupational Safety and Health Act (1970) c. Americans with Disabilities Act (1990) d. Title VII of the Civil Rights Act (1964) e. Worker Adjustment and Retraining Notification (WARN) Act (1988)

c. Americans with Disabilities Act (1990)

Some benefits are required by law; which of the following benefits is required by law for an employer to provide for his/her employee? a. Life insurance b. Holiday pay c. Workers' compensation insurance d. Tuition-reimbursement e. Child-care services

c. Workers' compensation insurance

A list of key personnel and their possible replacements within a firm is known as a(n): a. orientation. b. skills inventory. c. replacement chart. d. attrition table. e. job analysis.

c. replacement chart.

what is internal recruiting

considering present employees as applicants for available positions (pg 250)

The Age Discrimination in Employment Act was passed in 1967 and amended in 1986. It prohibits discrimination against employees who have reached a certain age in companies with 20 or more employees and prohibits mandatory retirement based on the retiree's age. What is the age referenced in the act at which it is illegal for a company to discriminate based on age? a. 60 years or older b. 50 years or older c. 70 years or older d. 40 years or older

d. 40 years or older

There are many reasons for encouraging cultural diversity within the workplace, which of the following is not a good reason to engage in hiring for cultural diversity? a. Employees from diverse backgrounds and cultures bring new perspectives to the workplace. b. Cultural diversity strengthens the organization. c. Companies that are culturally diverse develop a good reputation as favoring women and minorities. d. It reduces payroll expenses.

d. It reduces payroll expenses.

When a human resource department is considering available talent within the company, which of the following will it use to determine successors for key personnel? a. Human resource forecast b. Skills inventory c. Demand inventory d. Replacement chart

d. Replacement chart

Employers engage in recruiting to find qualified applicants for open positions within the firm. Recruiting can be external—seeking candidates outside the business, or internal—seeking applicants from within the firm. Which of the following is not part of internal recruitment? a. Posting the job on internal job boards b. Transferring employees from one position to another at the same level c. Promoting employees to a higher-level position within the firm d. Selecting the candidate with the most qualifications for the position

d. Selecting the candidate with the most qualifications for the position

Firms use a wide variety of methods for training employees—both for initial job skill training and for continual job performance improvement. Which of the following is not important for an effective training and development program? a. Gauging program effectiveness b. Setting benchmarks c. Developing measurable objectives d. Surveying potential participants

d. Surveying potential participants

Which of the following is NOT necessary for a company to have a successful employee reward system? a. Fair distribution throughout the organization b. Comparability to rewards offered by other firms c. Satisfaction of employee needs d. Tailoring to individual recipients

d. Tailoring to individual recipients

The gradual reduction of the size of a workforce by not replacing personnel lost due to resignation is known as: a. laid off. b. deselected. c. early retirement. d. attrition. e. fired.

d. attrition.

Performance appraisals are used for all of the following purposes, except: a. to let an employee know how they can improve in the future. b. to let an employee know how well they are doing. c. to provide an effective basis for distributing rewards. d. for the final selection process of new employees. e. to help an organization monitor its employee selection, training, and development activities.

d. for the final selection process of new employees.

A study of what employees do in a particular job is called a(n): a. performance appraisal. b. job specification. c. job description. d. job analysis. e. orientation.

d. job analysis.

A performance appraisal based on the number of cars sold or percentage of defects on an assembly line is an example of a(n) _____ since it is quantifiable. a. subjective method b. mathematical method c. judgmental method d. objective method e. philosophical method

d. objective method

what is cultural (or workplace) diversity

differences among people in a workforce owing to race, ethnicity, and gender (pg 247)

As a firm grows in size how do the responsibilities of HRM change? a. Line managers are responsible for more HRM activities. b. HRM activities become more generalized. c. Top executives are responsible for more HRM activities. d. HRM activities are unaffected by firm growth. e. HRM activities become more specialized.

e. HRM activities become more specialized.

Which federal legislation regulates the degree to which employees can be exposed to hazardous substances and specifies the safety equipment that the employer must provide? a. Labor-Management Relations Act (1947) b. Worker Adjustment and Retraining Notification (WARN) Act (1988) c. Americans with Disabilities Act (1990) d. Title VII of the Civil Rights Act (1964) e. Occupational Safety and Health Act (1970)

e. Occupational Safety and Health Act (1970)

_____ is the process of collecting information about applicants and using that information to make hiring decisions. a. Recruiting b. Interviewing c. Assessment centers d. Job analysis e. Selection

e. Selection

What is/are the main difference(s) between employee training and management development? a. The only difference is the type of employees being taught. b. There is no difference. c. The main differences are whether the training is conducted on-site or conducted off-site. d. The only difference is the purpose of the training. e. The main differences are the type of employee being taught and the purpose of the instruction.

e. The main differences are the type of employee being taught and the purpose of the instruction.

In this type of compensation plan, an employee receives a predetermined amount of benefit dollars to spend on a package of benefits that he or she has selected to meet individual needs. This type of benefit is known as a(n): a. static benefits plan. b. pension and retirement plan. c. incentive payments package. d. lump-sum benefits package. e. flexible benefit plan.

e. flexible benefit plan.

It is now being recommended that companies list personality characteristics needed within this list of qualifications required to perform a particular job. These personality characteristics are contained within the list known as the: a. recruiting requirements. b. job analysis. c. job description. d. selection requirements. e. job specification.

e. job specification.

what did the age discrimination in employment act do

eliminate discrimination based on age (pg 264)

what happens in a problem solving feedback interview

employees evaluate their own performance and set their own goals for the future

what did the civil rights act do

forbade organizations of 15 people or more to discriminate in employee selection and retention on the basis of sex, race, color, religion, or national orgin (pg 264)

what makes a diversity program successful

only if it is systematic, ongoing, and has a strong sustained commitment from top leadership (pg 248)`

what did the fair labor standards act do

passed in 1938 and established minimum wages and overtime pay rates (pg 264)

what did the americans with disabilities act do

prohibits discrimination against individuals with disabilities

what did the employee retirement income security act do

protects retirement benefits of employees (pg 265)

what did the equal pay act do

specified that men and women who are doing equal jobs must be paid the same wage (pg 264)

what is attrition

the normal reduction in the workforce that occurs when employees leave a firm due to retirement or finding a new job (pg 246)

what is compensation

the payment employees receive in return for their labor (pg 254)

what is a compensation system

the policies and strategies that determine employee compensation (pg 254)

what is orientation

the process of acquainting new employees with the organization (pg 254)

what is recruiting

the process of attracting qualified job applicants (pg 250)

what is a job evaluation

the process of determining the relative worth of various jobs within a firm (pg 255)

what is management development

the process of preparing managers and other professionals to assume increased responsibility in both present and future positions (pg 259)

what is employee training

the process of teaching operations and technical employees how to do their present jobs more effectively and efficiently (pg 259)

what is the other approach that has become popular

360-degree evaluation (pg 262)

what is selection

The process of gathering information about applicants and then using that information to choose the most appropriate applicant (pg 250)

what happens in a tell and sell feedback interview

superior tells the employee how good/bad their performance has been and attempts to persuade them to accept the evaluation (pg 262)

what is human resources planning

the development of strategies to meet a firms future human resources needs (pg 245)

what is profit sharing

the distribution of a percentage of a firm's profit among its employees (pg 257)

what is a performance appraisal

the evaluation of employees current and potential levels of performance to allow managers to make objective human resources decisions (pg 260)