Organization - Multiple Choice
The sales forecast for the coming year is $9 million, & labor productivity is forecasted at $26,000. Assuming no turnover, how many employees will be needed? A) 346 B) 351 C) 378 D) 404
A) 346 If management assumes that labor productivity will increase to $26,000 & sales are predicted to decrease to $9 million in the coming year, the calculation is as follows: $9,000,000 / $26,000 = 346 employees
An organization's new strategy focuses on adding an enterprise that will require a large # of highly knowledgeable & skilled workers. HR has noted, however, that the time required to fill open positions has increased cuz of the poor quality of applicants sourced internally & externally. How should HR advise the organization's management? A) Budgets must include expanded training programs. B) Wage costs will be higher because of the longer hiring time. C) Funds should be budgeted to outsource hiring to professional recruiting agencies. D) The start of the new enterprise should be delayed.
A) Budgets must include expanded training programs. The best advice would be that the organization should plan for having to train the necessary workers. The organization may not be able to delay its plan for many external reasons. The longer hiring time will not raise wage costs, although it will affect the organization's productivity. Professional recruiters will probably not be able to improve the level of applicant competency.
While completing a job analysis of management positions, HR finds evidence of confusion among the roles regarding responsibilities. Which intervention should HR identify as a way to optimize the strategic performance of the organization? A) Departmentalization B) Cultural transformation C) Team formation D) Stakeholder involvement
A) Departmentalization Structural interventions are designed to increase strategic performance through changes, possibly in multiple areas, at an organizational level. Departmentalization refers to the way an organization groups its jobs & aligns effort. It can help clarify roles & responsibilities.
Which is a common mistake made during succession planning? A) Developing succession planning during the annual evaluation period for current management employees B) Using a variety of techniques to develop future leaders C) Identifying efficient & effective methods to develop future leaders D) Selecting current management & non-management individuals with development potential
A) Developing succession planning during the annual evaluation period for current management employees A successful succession plan includes all individuals who have development potential, including current management & non-management employees. Additionally, there are many ongoing development activities that should be included in the development process throughout the year.
A food products company has chosen a growth strategy that entails buying existing brands in different countries. The markets in each country & the products are different and will benefit from a local approach. Which structure should the HR director recommend the organization take to group its jobs & align its efforts? A) Geographic B) Product C) Matrix D) Functional
A) Geographic A geographic structure will allow the strategy for each region to be aligned with its market's needs. A functional structure might be used to departmentalize each geographical division. Product & matrix structures would be more appropriate for a globally integrated strategy.
An organization that began as a small family business has experienced steady growth over the past 2 decades. As the organization grew, the owners decided to transition the organization from a privately held company to a publicly traded & owned company. Which impact on HR processes will this transition most likely create? A) HR will have to develop & implement new performance standards. B) HR leadership will need to become more visionary. C) Compensation structures for sales professionals will need to change. D) HR will have to meet more strict compliance obligations.
A) HR will have to develop & implement new performance standards. As the company changes to being publicly traded & owned, the company is likely to face demands to be more efficient in its use of stockholder investments. This will entail changes in strategy, structure, & processes. HR will likely need to develop & implement new performance standards to meet new efficiency goals. The change will not necessarily change how sales professionals are compensated or force leadership to take a different approach to leading. HR's compliance obligations under the law are unlikely to change as a result of the ownership change.
Which is the best way to create a supportive knowledge management culture? A) Implement systems that encourage information sharing at all levels throughout the organization. B) Provide formal training & development opportunities for managers. C) Develop strong partnerships with outside industry sources to gather information. D) Discourage informal knowledge management networks, which are an obstacle to documentation.
A) Implement systems that encourage information sharing at all levels throughout the organization. Effective knowledge management programs may be formal or informal, but they all focus on information sharing across the organization & at all levels of the hierarchy. Employees must be trained in the culture & processes of knowledge management. The focus in identifying knowledge sources & needs should be internal.
Which is an example of an action aimed at preventing the need for discipline? A) Instituting an open-door policy B) Using oral warnings C) Broadening the list of summary offenses D) Including additional steps in the disciplinary process
A) Instituting an open-door policy Situations requiring discipline can often be prevented by improving communication. With an open-door policy, employees can bring issues to supervisors & managers before they become disciplinary problems. For example, challenges with transportation to work that may cause tardiness can be discussed & resolved before they become an issue. Increasing the # of summary offenses will not decrease problems & will increase terminations & possible litigation. Additional steps in the disciplinary process will not prevent or discourage the behavior but simply prolong it. Oral warnings are not a good idea since they offer no documentation of events.
The VP of HR has determined that the policy on the use of overtime for nonexempt employees must be updated to bring it into compliance with the labor code. Which approach is the best way to implement this policy change? A) Involve management in the process and provide training on policy changes. B) Create departmental procedures for documenting the need for overtime use. C) Have the company's employment attorney send out a notice to management. D) Distribute video presentations on the policy changes to the entire workforce.
A) Involve management in the process and provide training on policy changes. Policies are developed to communicate expected behaviors to employees. It is essential that managers & supervisors are aligned with management practices & policy. Involving them & training them on the policy changes builds strength in consistent application across the enterprise.
An HR director is analyzing reports from the past & the present to understand future staffing. Which model is being used by the HR director? A) Judgmental forecasts B) Turnover analysis C) Simple linear regression D) Multiple linear regression
A) Judgmental forecasts Judgmental forecasts work 2 ways: from the top down or the bottom up. The success of this method is entirely dependent upon the quality of the information used in making the estimates.
An organization struggling in a commodity-driven market adopts a strategy that will shift from transactional sales to development of technologically integrated, strategic relationships with customers. Which impact on human capital should HR report to management? A) New hiring profile for sales staff B) Hiring of additional sales personnel C) No net change in human capital costs D) Increased recruiting costs
A) New hiring profile for sales staff The major changes that this strategy will entail are extensive training & reinforcement of the strategic shift & a redefinition of recruitment criteria to be used in hiring sales personnel in the future. The strategy will have a strong impact on human capital needs, although it will not necessarily mean additional jobs. Recruiting will need to change but will not necessarily be more costly.
Which approach will provide qualitative understanding of current skills after the organization has installed new technologies? A) Productivity reports B) Manager interviews C) SWOT analysis D) Turnover data
B) Manager interviews Forecasting approaches include a variety of quantitative & qualitative analyses. A logical starting place is to consult with line managers & identify how many hours of each type of skilled work are needed to meet current needs. A SWOT analysis is an instrument that can be used in a variety of ways in the workplace. It may provide an understanding of workforce skills but would typically take time to gather employees for input. Productivity reports will provide quantitative analysis. Turnover data will provide an understanding of people leaving the organization.
A small organization is using a legacy system to run their HR functions. The HR VP is preparing a proposal for moving to a newer system to present to the CEO. What would be 1 of the prime factors the HR VP should use in the proposal? A) Overall cost savings & efficiencies a new system will provide B) Downsizing that could occur as the result of this project C) Ability to bring paper-based processes online D) Change management that will be necessary for the project
A) Overall cost savings & efficiencies a new system will provide Including the high-level cost savings & efficiencies of a new system in a business case would appeal most to the CEO of a company. Bringing paper-based processes online could definitely be a feature, but the goal is to reimagine processes & not necessarily take old processes & simply move them online. The downsizing that could occur as a result of the project is 1 aspect that could be factored in later, & the change management initiative is also another aspect that will be dealt with at a later stage of the project.
What is a reasonable approach to a company-wide social media policy? A) Restrict use of social media on company time & with company devices. B) Prohibit any mention of the employer & the employer's policies online. C) Avoid any restrictions to preserve employee engagement. D) Use policies from comparable organizations as a primary resource.
A) Restrict use of social media on company time & with company devices. An effective policy is clear about expectations & restrictions. There may need to be some restrictions to support the employer's values—for example, restrictions against bullying behavior or revelation of proprietary information. At the same time, it is probably illegal to restrict employee speech, & it may not be effective to do so. Employers can learn about employee attitudes from social media posts & respond to them. The primary resources should be the employer's own risks & culture & existing policies.
What is a measure of the business impact of an organizational effectiveness & development (OED) initiative? A) Retention rate for high-value employees B) Mentoring time expended to build pipeline C) Cost of delivery of a mentoring program D) Time invested by an OED team in identifying causes & solutions
A) Retention rate for high-value employees Changes in the retention rate of high-value employees point to the strategic effects of an OED initiative. The other choices are requirements rather than outputs.
What advice should HR offer management to prevent an industrial action? A) Seek the input of employees during the creation of a layoff policy. B) Dismiss all open grievances that have been filed against the organization. C) Agree to an across-the-board wage increase for the workforce. D) Question workers on the possibility of a strike at a subsidiary.
A) Seek the input of employees during the creation of a layoff policy. Seeking the input of employees helps foster understanding & buy-in & helps prevent the union from opposing the way workers are identified for downsizing. Dismissing all open grievances does not resolve the issues that gave rise to the grievances. Agreeing to a wage increase may not address the reason for the industrial action & may cause other issues if the organization cannot support the wage increase. Questioning workers on union activity is an unfair labor practice.
The HR function in a global operation implement an employee self-service system that can provide 24/7 access. The system was purchased cuz its interface seemed simple & self-evident. The new process was rolled out with social media & a video presentation on the organization's intranet. Soon after the launch, HR headquarters staff find that they are spending their money returning voice mails emails from employees reporting errors in their data profiles. The experience is eroding HR's image as a service provider. What should the head of HR do now? A) Suspend the organization-wide launch & conduct a beta test in the home office. B) Give the employees time to adjust to the changed process. C) Limit online availability of the system to home office hours so calls can be handled directly. D) Scrap the existing system & search for an alternative that would produce fewer errors.
A) Suspend the organization-wide launch & conduct a beta test in the home office. Even the most self-evident, intuitive information system requires some training and will produce some challenges. A small-scale test of the product would help identify likely user issues and these could be addressed in training. The same problem could occur with another product if user needs are not considered. "Giving the issue more time" may further erode HR's reputation. Limiting the online availability of the service would negate one of its key benefits.
An HR function with multiple locations is considering centralizing its project management expertise in 1 center. The various HR departments can seek guidance on their projects from HR managers at this center. Which potential risk should management be warned about? A) The center will be underused & its benefits unrealized. B) HR staff embedded in business units will feel more isolated. C) Headquarters will become more isolated from HR realities. D) Costs will increase due to duplication & inefficiencies.
A) The center will be underused & its benefits unrealized. Unless the HR function plans to communicate the center's existence & purpose & promote its use, there is a risk that dispersed HR staff will not access this expertise. Once they have lost access to local expertise (which was moved to the center), & if they are not using the centralized expertise, performance may actually suffer. The isolation of headquarters & embedded functions is a matter of communication. A center will not affect costs but should reduce inefficiency in the form of wasted institutional knowledge.
How does an ethnocentric approach to policy implementation impact global employees? A) The policies may not be fair for all employees. B) HR implements policies when deemed necessary. C) Local values are incorporated into the policies. D) Legal compliance with local laws is achieved.
A) The policies may not be fair for all employees. Ethnocentric means that the headquarters organization applies its perception of norms to its operations in other countries. This may not be fair, cuz this approach does not take differences in culture, local practices, & local laws into consideration. An ethnocentric policy is not guaranteed to achieve compliance with local laws or values. Policies should be implemented consistently in all locations.
An organization's vision is to enhance interrelationships between functions. Which objective would be the best addition to HR's business plan? A) Establish high-level contacts with all departments. B) Assign specific HR staff as a resource to each function. C) Assess other functions' perceptions & understanding of HR. D) Train HR managers in teamwork principles.
B) Assign specific HR staff as a resource to each function. Since the organization is committed to enhanced collaboration among functions, the best objective is to implement a project in which HR staff can integrate with other functions, providing HR perspective & support &, at the same time, learning from the other functions. Assessing attitudes will not accomplish integration. Knowledge of teamwork without knowledge of other functions' processes & challenges will not be effective either. Establishing connections at higher levels may facilitate integration initiatives but will not be sufficient to bring about organizational change.
As HR's role becomes more strategic, how must HR executives transform their skill sets? A) By managing transactional activities & responsibilities that continue to be central to the HR function B) By deepening their understanding of the organization's business, internal partners, & external business factors C) By formulating the goals of internal business partners & aligning them with the organization's strategic objectives D) By creating the organization's overall business strategy & aligning it with the HR function's capabilities
B) By deepening their understanding of the organization's business, internal partners, & external business factors An HR executive must understand what lies behind an organization's business strategy—for example, the details of financial performance that drives certain strategic objectives or new technologies or competitors that may affect workforce skills. HR's role is to support, rather than create, the organization's or other function's strategies. Managing transactional activities & responsibilities is an HR administrative role.
The vice president of HR is participating in a strategy-setting session with senior management & functional leaders across the organization. What is the most useful role HR can play in this situation? A) Being aware of the strengths & weaknesses of other business functions' business processes B) Identifying & communicating potential challenges & opportunities related to human capital C) Providing financial & performance data about the organization's workforce D) Providing detailed information to the group on HR's structure & capabilities
B) Identifying & communicating potential challenges & opportunities related to human capital HR can contribute its knowledge of the workforce & environmental factors to the strategy discussion, pointing out opportunities that current workforce capacity & competencies create & workforce limitations that would have to be addressed to ensure the success of a strategy.
Which is a valid method to retain organizational knowledge when employees leave the organization? A) Severance agreement B) Knowledge management system C) Succession planning D) Non-disclosure agreement
B) Knowledge management system Experienced workers have a great deal of institutional knowledge that may leave when they leave the organization. A knowledge management system enables organizational knowledge to continue to be accessible to the organization.
How can HR transform operational activities by aligning them with the organization's strategic objectives? A) By focusing on tasks that are low in strategic value & are not considered core HR functions that can be outsourced to allow HR to focus on strategic activities B) By discerning the implications of the organization's strategy for talent management & of its structure & culture for helping the organization attain its strategic goals C) By leveraging technology to allow HR to capture & analyze data, identify issues & developing trends, & begin planning to better support managers D) By supporting other functions in their strategic roles through identifying new skills requirements, acquiring & retaining talent, & assisting with development projects
B) By discerning the implications of the organization's strategy for talent management & of its structure & culture for helping the organization attain its strategic goals HR professionals must deepen their understanding of the organization & what lies behind the organization's strategy & of their internal partners' business & the external factors that may affect them. Technology facilitates the integration of HR in strategic management by providing information that can drive HR's role as a consultant to the organization's leaders. HR data can be integrated into an enterprise management tool that enables more timely access to shared data throughout the organization, but the lack of business knowledge will not make the information valuable or help to support managers. Supporting other functions in their strategic roles is part of HR's strategic role, but that understanding is still required. 3rd-party vendors can provide less strategic support tasks. HR must develop skills & knowledge such as negotiating & performing due diligence & monitoring & correcting vendor performance.
What HR action would align with the International Labour Organization's strategic objectives & core labor standards? A) Paying school-aged children above the local prevailing wage for hazardous work B) Clearly articulating a talent development strategy that encourages individual employee growth C) Requiring employers to have prior authorization for organization efforts D) Offering special health benefits for female employees who reenter the workforce
B) Clearly articulating a talent development strategy that encourages individual employee growth Articulating a talent development strategy that encourages employee growth reflects the ILO strategic objective to strengthen dialogue on work-related issues. Offering special health benefits for female employees would not promote equality of opportunity. Paying school-aged children for hazardous work—even above the standard wage—is incorrect cuz children under 18 are not to be hired for hazardous work. Requiring prior authorization for labor organizing is incorrect cuz employers cannot interfere with such organization efforts.
Which best describes the primary action HR should take if the organization adopts a strategy of preventing industrial actions? A) Favoring employees who are members of a union B) Educating managers on what is an unfair labor practice C) Hiring replacement employees for a contingent workforce D) Refusing to provide information material to negotiations
B) Educating managers on what is an unfair labor practice Educating managers on what is an unfair labor practice will help avoid such practices. Hiring replacement employees for a contingent workforce is done only after the industrial action takes place & only if it is legal. Refusing to provide information needed for contract negotiations & discriminating against employees based on union membership or non-membership are considered unfair labor practices & may lead to industrial actions.
Which is an example of a tactical HR task being automated & replaced by a new HR system? A) Incorporating electronic signatures B) Employee self-service C) Software as a service (SaaS) D) Department wiki page supporting project collaboration
B) Employee self-service Employee self-service replaces the administrative task of transcribing employee-provided data. Project collaboration is a more strategic task; here technology plays a supportive, enhancing role. Incorporating electronic signatures, while automated, would not directly reduce HR staff work. SaaS may perform both administrative & operational tasks.
Which approach should HR recommend in order to assist a dysfunctional team with productivity issues? A) Restructuring the way decisions are made in the organization B) Enhancing communication skills & processes C) Determining which knowledge & skills employees will need in the future D) Focusing on skills employees need to advance in their careers
B) Enhancing communication skills & processes A team intervention focuses on behaviors that are making a team or unit less productive. These behaviors may be related to interactions, individual behaviors, & processes. As HR focuses on interpersonal relationships, communication skills & processes are common team interventions.
As part of a new CHRO's onboarding activities, a workforce analysis was conducted. As a team building exercise, she is facilitating the HR team in the development of a staffing plan that will be presented to leadership. What guides the goals for the plan? A) Lower attrition rates B) Gap analysis data C) Increase in qualified candidates D) Organization's employment brand
B) Gap analysis data The process of reconciling the differences between supply & demand establishes the goals & objectives for the staffing plan. Other considerations that may impact the success of the staffing plan include lower attrition rates, increase in qualified candidates, & the employment brand.
Why is HR well positioned to serve as a cross-functional bridge? A) HR gathers, stores, & controls access to all employee data. B) HR can affect the ability of each function to produce value. C) HR is expert in laws & regulations in all its areas of operation. D) HR is located in all business units & understands the global business.
B) HR can affect the ability of each function to produce value. Organizations today realize that the most effective strategies are not driven by a single function, such as marketing/sales or operations, but are produced by cross-functional collaboration. Cuz HR participates in the strategic planning process for the organization, HR also understands the specific challenges each function faces. Possession of employee & performance data is part of the picture; the more important parts of the picture are the business understanding & HR expertise that can analyze and use that data. Not all HR functions are located in business units; some may be headquarter-based. While HR is familiar with local laws and regulations, it is not expert; this is the role of legal experts.
A multinational organization allows its labor relationship to be managed entirely by the local subsidiary. What type of strategy is this? A) Standardized B) Hands-off C) Laissez-faire D) Centralized
B) Hands-off A hands-off approach is a locally responsive strategy. The industrial relationship is entirely locally managed.
Which process best assists management & union negotiators to keep bargaining discussions moving toward resolution? A) Confirmation B) Mediation C) Intercession D) Adjudication
B) Mediation Mediation (also known as conciliation) is a method of nonbinding dispute resolution involving a 3rd party who tries to help the disputing parties reach a mutually agreeable decision. It is aimed at keeping labor & management negotiators talking so they can voluntarily reach a settlement.
An organization decides not to replace employees who leave. This organizational strategy initially proves effective. However, the strategy fails to reap long-term benefits. What type of organizational effectiveness initiative might have prevented this? A) Remedial intervention aimed at correcting inefficient work processes B) Proactive intervention aimed at assessing organizational strength in various positions C) Remedial intervention aiming at improving HR staff's expertise in conducting workforce reduction D) Proactive intervention to provide more attractive rewards & incentives
B) Proactive intervention aimed at assessing organizational strength in various positions Although organizations may reap short-term benefits like cost savings with this operating style, long-term problems like diminished capacity, capability, & agility may outweigh cost savings. Not being properly staffed can reduce an organization's ability to compete effectively. A proactive intervention, taken before the initiative is implemented, could have identified the capabilities & levels of staff for each capability & prevented the organization from losing the capacity it needed to compete.
Marketing & IT are collaborating on a new system that will allow customer service representatives to access & change customer accounts directly (for example, to create sales credits). What would be HR's most valuable contribution to this effort? A) Creation of project charter B) Process training for users C) Identification of points at which users need account access D) Quality control testing before release
B) Process training for users HR's strategic role is to support other functions in achieving their own strategic goals. The most logical contribution for HR is to provide appropriate training in the use of the new system. HR could also advise on data privacy issues. Technical issues, such as testing or design, are best left to those who are most familiar with the process. The project charter should be created by the project leader, who, in this case, will probably be from IT or marketing.
The HR manager decides to purchase a new HRIS system and has created the RFP. What is the next step in the process? A) Analyze needs & define goals. B) Send RFP to chosen contractors. C) Define preliminary budget. D) Secure top management support.
B) Send RFP to chosen contractors. After defining the organization's needs for the HRIS in the RFP, the HR manager will begin the process of identifying qualified providers & sending them the RFP.
What is the role of an informal knowledge management system in an organization? A) Ensuring that best practices are captured B) Sharing critical information & experiences from individuals' networks C) Cataloging tangible assets for the organization D) Providing specific communication & training on using the system
B) Sharing critical information & experiences from individuals' networks Knowledge management systems can be formal or informal. Informal systems capture critical information & experiences. They are very influential in organizations but are based more on personal networks.
An organization receives reports of poor performance that do not appear to be related to gaps in individual employees' qualifications. There are also reports of frequent conflicts in meetings, offices, & even hallways. Which intervention should HR use to identify & better these problems? A) Departmentalization B) Team Building C) Restructuring D) Outsourcing
B) Team Building The decrease in productivity—especially when it is not associated with competence—& the increase in conflict level point to issues with team cohesion. Team building involves activities designed to help team members examine how they function currently & how they could function better in the future. Restructuring is the act of reorganizing the structure of the organizations. Departmentalization is a process of grouping jobs to coordinate work. Outsourcing involves contracts with a 3rd party.
Two organizations are considering new technology. 1 is a small but growing organization with solely domestic operations. The other is a large but mature global enterprise with many business units & sites. What would be true about their technology needs? A) The larger organization is more likely to use a customized portal. B) The smaller organization may need more scalable technology. C) The larger organization is more likely to prefer best-of-breed solutions. D) Proprietary solutions will appeal to both organizations.
B) The smaller organization may need more scalable technology. The smaller organization, cuz it is growing, may be interested in options that offer better scalability, such as SaaS. It is doubtful that a proprietary HR solution will be cost-effective in the smaller organization. A larger organization with many business units would benefit from standardization in their HR technology rather than a proliferation of best-of-breed solutions. There is no reason that the smaller organization could not obtain & benefit from a customizable portal for its users.
In an effort to sustain change, how can HR ensure a positive relationship between strategy & organizational culture? A) Allow conflict to occur within the organizational culture to prevent stagnation. B) Recommend that the organization resist the development of subcultures. C) Align culture & strategy for maximum effectiveness. D) Use culture to impact only employee engagement, not strategy creation.
C) Align culture & strategy for maximum effectiveness. Organizational culture is a lever that can increase or decrease strategic effectiveness, depending on whether culture & strategy are aligned. HR provides leadership with a structural diagnosis, identifies gaps & conflicts, & develops change initiatives. Conflict does not always produce innovation. There may be multiple subcultures, even in the most effective organizations.
What is a key responsibility of the operations function in an organization? A) Deciding which features & benefits will appeal to customers B) Ensuring that the product is priced profitably C) Determining the ability of the company to meet product demand D) Communicating the benefits of the product to customers
C) Determining the ability of the company to meet product demand Operations departments are concerned with their ability to produce top-quality product that meets the demands of the marketplace. The operations department sets detailed time estimates that allow it to determine its capacity (ability to produce product). Based on forecasts, the operations department develops a schedule that allows it to operate at capacity.
After completing a balanced scorecard for the HR function, a leader aims at increasing performance in the learning & growth area by revising the performance management system to require evidence of completed certifications &/or training every year. How can the HR leader improve this initiative? A) Obtain staff assessments of their certification/training experiences. B) Provide paid time off for staff to complete their growth activities. C) Align eligible growth activities with HR & organizational strategies. D) Encourage staff to select their own paths for development.
C) Align eligible growth activities with HR & organizational strategies. It is important that HR talent development is aligned with the projected needs of the organization & the HR function based on their respective strategies. 1 way to do this is to require that development activities demonstrate a connection to the function's goals. Participant assessment of activities is not necessarily relevant to strategic goals. Allowing staff to choose their own paths may not build the talent the organization needs. Compensating employees for development activities is a possibility, but the HR function should ensure that the activities benefit the organization as well as the employees.
An organization experiences unprecedented turnover. What action should HR recommend the organization take to eliminate the high levels of turnover? A) Conduct a benefit analysis to determine if this is the reason for the turnover. B) Develop a plan for succession to reduce vulnerability to additional turnover. C) Analyze the current workforce to ensure that the right talent meets future needs. D) Identify individuals who can replace current managers and supervisors during vacancies.
C) Analyze the current workforce to ensure that the right talent meets future needs. When an organization experiences unprecedented turnover, it is important to evaluate if the right people are in the right jobs. A supply analysis is the 1st step in workforce planning & will include a review of the level of turnover & the reasons for it. Demand analysis should show future talent needs. Succession planning & replacement planning are actions taken after the reasons for the turnover are fully understood. A benefit analysis narrowly focuses on only 1 potential cause for the turnover.
A small organization with high revenue per employee is located in an urban setting with high real estate costs. The HR function has highly distinctive needs compared to those of other similarly sized organizations. Management is willing to pay a bit more for HR software. Customer trust & confidence are critical factors in its business decisions. What type of technology arrangement would best meet this organization's needs? A) Software as a service via public cloud B) Integrated, proprietary, on-site system C) Best-of-breed solution, hosted off-site D) Software as a service via private cloud
C) Best-of-breed solution, hosted off-site A best-of-breed solution that would meet specific needs & that is hosted at a secure site off premises (a private cloud) would be the best solution. An integrated solution might sacrifice some functionality, a proprietary & on-site solution might be prohibitively expensive, & a public cloud solution might not offer sufficient assurance of security.
How can multicultural organizations meet the challenges of successful knowledge management systems? A) By outsourcing the entire system to a 3rd-party vendor B) By providing separate knowledge management systems for each region C) By addressing the presence of multiple languages D) By offering the knowledge management system to employees at the headquarters location only
C) By addressing the presence of multiple languages Removing barriers such as language helps to ensure that everyone in the organization, regardless of location, can access & understand the information.
How can a balanced scorecard assessment help an organization with a clear strategic plan to meet its objectives? A) By using it as a road map for a new organizational strategic plan B) By benchmarking performance against that of comparable organizations C) By identifying key performance areas where the strategy may be ineffective D) By providing a detailed & complex picture of organizational performance
C) By identifying key performance areas where the strategy may be ineffective Balanced scorecards provide a concise, overall picture of an organization's performance focused on key performance indicators.
A team has been organized to look at an organizational restructure, under the leadership of the HR director. Following some early struggles, the team is now showing high levels of productivity. Many members demonstrate self-direction & initiative. What should the HR director do to encourage continued high performance? A) Provide vision & describe expectations. B) Increase levels of engagement & provide coaching. C) Celebrate accomplishments & evaluate & foster improvement. D) Facilitate communication & group decision making.
C) Celebrate accomplishments & evaluate & foster improvement. The team has entered the performing stage of Tuckman's ladder of team development. In this stage, the leader should be monitoring, evaluating, & fostering improvement, & motivating the team by celebrating accomplishments. The other options may be actions the leader should take during the other stages of team development.
The HR function is assessing a new HR information system (HRIS). Leaders are particularly concerned about the visibility & accessibility that the system will provide to mobile workers & external business partners (e.g., recruiters). What component of the HRIS options should they examine closely? A) Logic tier B) Data tier C) Communication tier D) Presentation tier
C) Communication tier The communication tier is the part of the information system that allows devices to communicate over internal & external networks. The data tier stores & manages gathered data. The presentation tier controls how users "see" & interact with the IS. The logic tier contains the applications that use the data.
An HR director in a globally dispersed organization wants to strengthen teamwork but cannot afford to bring staff together at headquarters. What would be the best solution? A) Videotape headquarters staff meetings & distribute the videos to the field. B) Use a wiki site to distribute information & allow staff to provide feedback on project updates. C) Conduct regular staff webconferences, varying the time for each meeting. D) Travel into the field to attend occasional staff meetings at remote sites in person on a rotating basis.
C) Conduct regular staff webconferences, varying the time for each meeting. Webconferencing will enable 2-way discussion & sharing of documents. Varying the meeting time will address the issue of equity in an organization that spans multiple time zones. Videotapes will not support 2-way communication & are not equitable in terms of favoring headquarters over remote staff. Attending meetings will be expensive & time-consuming, but more importantly it will not build a global team. A wiki site might be a good supportive tool for collaboration but does not replace 2-way team meetings.
A new HR director has introduced processes aimed at measuring and reporting the HR function's performance. The staff, challenged to accomplish current tasks, are a bit resistant. What is the best way for the HR director to influence the staff's attitudes toward this change? A) Make the measurement tasks part of the staff's performance appraisals. B) Ask the staff to give the measurement tasks a trial & then reassess. C) Explain the impact of the metrics on the perception of HR by other functions. D) Postpone the new processes until the HR director's relationship with the staff is stronger.
C) Explain the impact of the metrics on the perception of HR by other functions. 1 of the primary benefits of measuring HR performance is to demonstrate what HR is contributing to the organization & its internal partners. In addition, explaining the benefits of a change helps people accept a change more readily. Making the tasks part of the staff's performance appraisals may increase staff resistance to the change & decrease engagement. Gathering metrics is important, & delaying it or giving it a trial status would not show leadership.
Senior management is concerned that the lack of technical skills in-house will make building a human resource information system (HRIS) impossible. What is the best option to procure a robust & functional HRIS? A) Create a business case for a do-it-yourself system. B) Develop a system that will meet basic needs first. C) Explore outsourcing to a third party. D) Purchase a customizable off-the-shelf system.
C) Explore outsourcing to a third party. When technical skills are not available in-house, outsourcing to an external vendor can be a cost-effective solution. Building and customizing off-the-shelf systems both require in-house expertise. To do it yourself would require developing the necessary expertise. Since expertise takes time to develop, outsourcing will be faster, more effective, & less costly.
What effect does a guide and advise strategy have on HR decisions that are related to personal leaves? A) Headquarters makes its interests & concerns known about local decisions. B) There is no deviation from the policies & practices created at headquarters. C) Headquarters devises policies, but application is determined at the local level. D) Local management & headquarters are involved in making decisions jointly.
C) Headquarters devises policies, but application is determined at the local level. The guide & advise strategy allows local operations to adapt headquarters policies to local norms, practices, & laws. Headquarters makes suggestions & offers support, but local HR adds the details needed for local implementation.
Which aspect of Skinner's behaviorist theory is exemplified by constructive discipline when a demotion is issued? A) Positive punishment B) Positive reinforcement C) Negative punishment D) Negative reinforcement
C) Negative punishment Negative punishment is the removal of a valued stimulus (in this case, 1's current position with its rights & rewards) in response to an undesired behavior. Positive punishment adds a requirement in response to an undesired behavior (e.g., counseling). Negative reinforcement (also called extinction) does not reward non-conforming behavior. Positive reinforcement gives a reward whenever the desired behavior is offfered.
Based on the organization's new strategic plan, the HR business plan calls for implementing a new team-building course. The HR function, however, is unable to use internal instructional designers due to prior project commitments. What should the HR manager do? A) Revise the business plan. B) Rearrange project commitments. C) Outsource the project. D) Add permanent HR staff.
C) Outsource the project. Outsourcing the project would be appropriate in this case, cuz it will not decrease the function's expertise, nor will it involve outsourcing a key strategic task. The business plan should support the organization's strategy, & rearranging or delaying other commitments is not necessary since outsourcing is a legitimate option. Adding permanent staff for a temporary situation is not appropriate.
Which states the purpose of an organizational effectiveness intervention? A) Determining present & future workforce training needs B) Analyzing enterprise-wide operational efficiencies C) Removing design, structural, or cultural obstacles to success D) Identifying gaps between job requirements & job performance
C) Removing design, structural, or cultural obstacles to success Organizational effectiveness interventions are implemented to interrupt the status quo and to improve organizational performance. They may involve multiple actions & can be targeted at the organizational design, the structure, or even the culture of the organization.
Which is an effective talent management strategy to find candidates who are ready to assume a position immediately? A) Tactical planning B) Succession planning C) Replacement planning D) Workforce planning
C) Replacement planning Replacement planning is focused on a single functional area & on finding backup candidates who are ready to assume a position within the short term, usually 12 months.
The IT function is concerned about improper technology use & wants to implement an organization-wide technology policy. Senior leaders are hesitant about supporting another policy. Which recommendation should HR make to encourage support of a technology use policy? A) The policy should address only the use of organization-owned equipment. B) Monitoring technology use would no longer be needed. C) Reputation risk will be reduced while productivity will increase. D) Implementing the policy will eliminate technology concerns.
C) Reputation risk will be reduced while productivity will increase. HR, along with other members of the organization, has a responsibility to do what it can within its area of authority & expertise to help the organization manage potential risks. A technology use policy could help decrease the organization's legal liability in the event of misuse of e-mail communication, with its attendant economic and noneconomic costs (e.g., tarnished image, damaged relations with external groups). A comprehensive policy will also address the use of organization-owned & personal equipment to access information.
Which provides a strong legal basis on which to dismiss an employee in most countries? A) Drug dependence B) Any circumstances C) Serious misconduct D) Whistle-blowing activities
C) Serious misconduct Employer rights are not as clearly defined in international agreements as employee rights, but, in general throughout the world, employers have the right to dismiss employees cuz of serious misconduct or poor performance.
Which codetermination system in works councils allows employee representatives on the board of directors as voting members? A) Mixed B) Dual C) Single-tier D) Hybrid
C) Single-tier In a single-tier codetermination system, there is only 1 board of directors, & employee representatives are included on it as voting members. A dual system has a supervisory board & a management board; employees may serve on the supervisory board & exert influence on management decisions. In a mixed system, employee representatives are included in the board of directors, but as non-voting advisers. There is not a hybrid type of codetermination.
A division implemented a new structure 1 year ago. In general, things seem to be going well. Productivity has already reached pre-change levels. Employee satisfaction metrics have met expectations. HR has been asked if further action is needed. What would you advise? A) Schedule an organization-wide meeting to share business results. B) Implement regular team meetings to discuss issues. C) Take no further action. D) Repeat the employee satisfaction survey in 6 months.
C) Take no further action. An organizational effectiveness & development intervention is not an ongoing process; it is a finite project aimed at improving organizational performance & is assessed against defined objectives. In this case, the effectiveness of the initiative was measured, and it met its objectives. Further meetings & surveys are unnecessary to meet these objectives & waste organizational resources.
An employee is observed by his manager violating company policy by working without required personal protective equipment (PPE). Records show that the employee has completed training on the proper use of PPE. Which is the best approach for the manager to take? A) The manager meets with the employee as soon as possible & verbally advises the employee to wear PPE. B) The manager sends an e-mail to the employee advising the employee to wear PPE as required. C) The manager prepares a performance correction incident report & meets with the employee as soon as possible. D) The manager calls the employee & asks why the employee has not been wearing the required PPE.
C) The manager prepares a performance correction incident report & meets with the employee as soon as possible. Since the infraction involves safety, an immediate response is required. In the meeting, employee due process must be followed by allowing for comment.
Which conflict management approach is being used when an organization decides to use peer review to advise on disciplinary cases? A) Neutral workforce B) Informal hearing C) Third-party resolution D) Problem-solving committee
C) Third-party resolution Third-party resolution (or alternative dispute resolution [ADR]) uses an intermediary to create solutions and dispel conflict. Peer review establishes a panel of employees (or employees and managers) trained to work together to hear & resolve employee complaints & conflicts.
Why do HR departments conduct annual compliance audits? A) To ensure compliance with the organization's values & strategic plans B) To document awareness of federal & local laws & regulations C) To ensure that HR activities are aligned with current & new legal requirements D) To streamline the paperwork process involved in reporting compliance
C) To ensure that HR activities are aligned with current & new legal requirements An HR compliance audit helps an organization manage the risk that HR activities are not fulfilling the requirements of existing laws & regulations & any new requirements that have been implemented in the previous year. Awareness of requirements is not sufficient; the audit requires evidence of compliant behavior. The focus of the audit is not strategic focus or efficiency, although some audits may be designed for those purposes.
Which is an example of how managers can best leverage the social sharing of knowledge? A) Engaging a consulting firm to create a common database to share information B) Requiring employees to use a formal technology-based tool when using social networks C) Using coaching & mentoring programs to transfer knowledge throughout the organization D) Holding monthly meetings where all employees have to share knowledge with colleagues
C) Using coaching & mentoring programs to transfer knowledge throughout the organization Personal networks & social capital are part of the informal knowledge management system in which employee share knowledge. This does not depend on a computer application, like the formal system does, but rather on personal networks & associations that have been nurtured over time. Coaching & mentoring are methods to leverage and share information.
Employees report to work & produce work, but output decreases sharply. What type of industrial action is this? A) Secondary strike B) Sit-down strike C) Work-to-rule D) Sympathy strike
C) Work-to-rule In a work-to-rule action, workers report & follow guidelines so stringently that the result is decreased output.
A floundering global company headquartered in the U.S. brings in a new president from Japan with fresh perspectives & approaches. The new president wants to establish works councils to increase efficiency, promote harmony, & address grievances. How should HR respond? A) Works councils are involved in contract negotiations. B) Work councils are perceived by unions as competitors. C) Works councils violate the National Labor Relations Act. D) Works councils are permitted only in certain states.
C) Works councils violate the National Labor Relations Act. There are no works councils in the U.S. because they are seen as violations of Section 8(a)(2) of the National Labor Relations Act, which prohibits company-dominated unions.
Which situation illustrates an employee unfair labor practice? A) An employee discusses union activities with a friend over lunch in the employee cafeteria. B) A union collects dues from its members that are used to support union services, such as bargaining. C) A high-level union official meets regularly with a high-level manager from the employer. D) A group of employees ostracize a coworker who did not participate in a recent work action.
D) A group of employees ostracize a coworker who did not participate in a recent work action. The union & its members are not allowed to violate the freedom of speech of any employee. Discussing union activities is protected by freedom of speech. Meetings of managers & union representatives are the norm. Unions are not prohibited from collecting dues, but employees are not required to pay dues to unions in many jurisdictions.
An employee is 30 minutes late to work. The supervisor 1st engages the employee in casual conversation, & then raises the tardiness issue. The employee shares a new problematic child-care situation, & they discuss possible solutions. How can the manager improve these sessions in the future? A) Wait until a tardiness occurrence policy infraction happens before acting. B) Avoid discussion of the cause & just engage in problem solving. C) Send an e-mail to the employee stating that he or she must not be late in the future. D) Address the performance issue, allowing for explanation & resolution.
D) Address the performance issue, allowing for explanation & resolution. The supervisor was right to address the infraction promptly to avoid future problems but should have gotten quickly to the point. Laying out the disciplinary system now would be excessive & create unnecessary stress for both. While the employee should be given a chance to speak, the focus should be on solutions.
HR is charged with remediating customer service delays in an organization where cumbersome & redundant service tickets require multiple approvals by different divisions. Which structural characteristic will the team probably examine? A) Layers of authority B) Span of control C) Decision-making authority D) Chain of command
D) Chain of command Chain of command refers to the line of authority in an organization. Though traditionally a subordinate reported to only 1 superior, today the chain of command is growing less distinct in many organizations. It can, in some cases, become matrixed, and, as ad hoc or permanent work teams become more common, the line of authority can appear lateral or web-like. This can affect the speed with which decisions are made. The solution is often to revise decision-making authority.
What is one of HR's primary roles in managing technology? A) Integrating HR & organizational data B) Ensuring data security C) Selecting IT vendors D) Collecting new data
D) Collecting new data The introduction of technology into HR calls for HR professionals to become better at identifying & capturing data & using it to make better decisions. Selecting vendors is occasionally an HR role but not a primary one. HR often works with IT & possibly finance or purchasing in vendor selection. Ensuring data security is a complex role, usually assumed by IT functions or expert consultants. The same is true of integration. In this case, the outside experts are often vendors providing software applications that need to be integrated into existing HR &/or organizational systems.
Which type of HR audit reviews whether employees who are required to take meal breaks have been doing so & whether all overtime is being calculated & paid properly? A) Functional B) Best practice C) Policy D) Compliance
D) Compliance Compliance audits focus on how well the organization is complying with current employment laws & regulations.
HR is directed to review the company's talent management plan in order to recommend possible improvements. Which is the critical 1st step HR should take? A) Review & make substantive changes to the company's succession plan. B) Review all job descriptions to determine if they are still relevant to the roles. C) Evaluate the organizational structure to see if changes need to be made to it. D) Conduct a thorough review of the organization's strategic plan & goals.
D) Conduct a thorough review of the organization's strategic plan & goals. Key to talent development is to 1st conduct a thorough review of the organization's strategic plans & annual goals in order to develop a deep understanding of all critical abilities needed to achieve those goals & to then evaluate whether the competencies to achieve these goals are clearly defined.
As 3rd-party contracting is now an acceptable norm in the organization, the HR team is more open to the idea. However, they are hesitant to relinquish managerial control to a 3rd party. Which type of relationship will serve them better? A) Subcontracting B) Consulting C) Outsourcing D) Cosourcing
D) Cosourcing Cosourcing can be more expensive than outsourcing, but there is more managerial control over the contractor. Outsourcing can provide cost savings for an organization, but there is a loss of managerial control. Subcontracting involves self-employed individuals hired on a contract basis for specialized services in which the organization does not have any control over their work. Consulting can be done by an individual or firm on a contractual basis to provide services or advice to the organization; therefore, no managerial control is gained in this arrangement.
A team leader uses social media to express frustration to team members about recent cuts in a project budget. Which step should HR take to address the issue with the team leader and prevent it from happening with other employees? A) Take the team leader aside & discuss the budget cuts. B) Suggest that the team leader be disciplined for his inappropriate post. C) Schedule a meeting with the team leader & senior management. D) Create a company policy that provides guidelines & usage rules.
D) Create a company policy that provides guidelines & usage rules. Spontaneous, unedited comments are impossible to retract, & they can be forwarded to a growing circle of employees who do not understand the context. It can damage employee attitudes quickly. Meeting with the employee or discussing the issue is not a way to decrease this behavior in the future.
An organization risked release of customer data when an employee had a personal digital device stolen from a locked car. What should HR recommend be included in a policy update to reduce the risk of this occurring in the future? A) Customer data must not be removed from the work premises. B) All customer data must be stored on a removable flash drive. C) All personal digital devices must be secured with a unique password. D) Customer data must be stored in an encrypted format.
D) Customer data must be stored in an encrypted format. Customer data should be securely encrypted whenever it is stored on a device that leaves the premises. It is unreasonable and probably unproductive to prohibit use of data off premises. Passwords can be circumvented, & small flash drives can easily be lost.
Which HR structure is being used by a soft drink company that has bottling plants in Europe, Asia, & North America where HR controls its issues within each area but policy & strategy decisions are made at headquarters? A) Localized B) Dedicated C) Functional D) Decentralized
D) Decentralized In a decentralized HR structure, each part of the organization controls its own issues under headquarters-created policy & strategy. The functional structure allows for some customization & adaptation of policy; the dedicated structure provides each location with its own strategy & policy. The localized organization is not an HR structural alternative.
The HR director has been assisting a plant manager with developing a high-potential team of employees in their facility by setting goals, priorities, roles, responsibilities, & processes. Which activity remains? A) Identifying competency gaps B) Creating a succession plan C) Choosing performance metrics D) Developing interpersonal relationships
D) Developing interpersonal relationships The 4th activity in a team-building intervention is to develop interpersonal relationships within the team, such as building trust, communicating more effectively, resolving conflict, negotiating, & cultural awareness.
Which is the best statement for a VP of HR to use when revising the current corporate policy on employer rights? A) Employer rights are limited by the extent to which governments & labor groups contest them. B) Employers have the right to seek legal action for violation of workplace rules & policies. C) Employers may develop & enforce workplace rules according to their business needs. D) Employers are entitled to protect their assets & to benefit from employees' paid work.
D) Employers are entitled to protect their assets & to benefit from employees' paid work. In general, an employer can protect the organization's assets from damage and can benefit from work performed by employees unless contracts define other arrangements.
What is the primary role of HR during the merger & acquisition process? A) Coaching managers on communication skills regarding their teams B) Providing training on new jobs & processes C) Providing feedback to senior leaders on employee morale D) Focusing on the "people" aspect during the due diligence & integration processes
D) Focusing on the "people" aspect during the due diligence & integration processes HR needs to keep the "people" element at the forefront. The other choices are specific methods to keep the "people" focus.
3 months ago, a firm reorganized its customer service agents into a team structure & introduced a new team-based compensation plan. Since then, employee morale has declined. Which stage of team formation does the customer service group represent? A) Storming B) Norming C) Performing D) Forming
D) Forming In Tuckman's ladder of team development, forming identifies when individuals come together around a common activity & shared goals. Members are polite, but there is little sense of trust, shared experience, or common values.
What situation illustrates an employer unfair labor practice? A) A high-level manager meets regularly with high-level union management. B) An employer advises employees of the traditional costs of unionization for employers. C) Workers walk off the factory floor without union approval. D) Management repeatedly delays providing the union with contract-related information.
D) Management repeatedly delays providing the union with contract-related information. Most labor laws require that both employer & union participate in contract negotiations, which involves providing information that the other side needs to develop & assess bargaining positions. Employers are allowed to discuss their positions on unionization with employees & to meet with union management. A wildcat strike, unauthorized by the union, may violate a contract; it may or may not violate a labor law.
What is the advantage of an information system that is integrated? A) Greater security B) Support of mobile users C) More intuitive interface design D) Reduced work & errors
D) Reduced work & errors Integrated systems allow users to access data across the organization's or function's systems. While the major advantage is improved analysis & decision making, integration also means less work retrieving & transcribing data & fewer mistakes in the process. Integration may actually increase risk if a security breach occurs. Intuitive interface design & mobile use occur with or without integration.
Which concern would be closely examined during a merger & acquisition (M&A) if the organization wanted to avoid redundancy in staff resources? A) Technology B) Indebtedness C) Legal compliance D) Structure
D) Structure One of HR's roles in M&As is to identify workforce issues that may affect the success of the action. Structural issues include duplication of work processes & personnel or redundancy.
Which outcome is most likely if a German company with robust policies & work rules acquires a U.K. company that has few rules & corporate policies & whose strength is a quick response to market opportunities? A) The acquired U.K. workforce will easily adopt & adapt to the rules and procedures of the German company. B) The merged organization will adopt the U.K. company approach, ensuring quick response to market opportunities. C) The merged company will experience operational problems & employee dissatisfaction post-merger. D) The differing organizational approaches of the companies will be a source of workforce challenge & discord.
D) The differing organizational approaches of the companies will be a source of workforce challenge & discord. Post-acquisition strategies generally result in streamlining the workforce and business operations. As a result, workforce challenges and discord are likely to emerge and will need to be addressed. Operational problems are not likely since each entity currently operates successfully & easy adoption of divergent approaches by workforces is very unlikely.
While developing the HR function's business plan, an HR manager is informed that budget constraints have led to an organization-wide hiring freeze. The manager has been told to plan for at least 1 round of workforce reductions. What would be a reasonable objective for the coming year's business plan? A) Contract out development of a planned supervisory training program. B) Postpone a planned health-care project until the next year. C) Conduct a search to outsource the termination process. D) Train all HR personnel in the termination process.
D) Train all HR personnel in the termination process. Ensuring that all personnel are prepared to assist in layoffs will use function resources prudently & flexibly. If there are budget constraints, outsourcing represents additional costs & may not be feasible. Similarly, the training program should probably be postponed if it cannot be conducted in-house & without impeding preparations for the layoffs. The health-care contract probably cannot be delayed & may be a way to help the organization save $.
Faced with declining sales for an older product line, management decides to eliminate 1 sales group & shift responsibilities to another sales group. How will this affect costs related to human capital? A) Labor costs will increase. B) Labor costs will decrease. C) Incentives will increase. D) Training costs will increase.
D) Training costs will increase. As the sales workforce shrinks, labor costs will decrease & will stay that way unless the sales force is increased. However, this decrease in labor costs will be offset temporarily by increased training costs & HR budget needs, cuz the existing sales force will have to be trained on the old product line. Incentive levels are controlled by a separate decision: whether to manage sales levels by adjusting incentives.