SPHR Full Practice Test
Which of the following would not be an effective strategy for encouraging healthy debate among team members? • a) asking them to paraphrase each other's ideas • b) inviting feedback focused on the facts supporting each argument • c) encouraging team members to openly share any personal conflicts that might inhibit productive discussion • d) dividing speaking time equally among all team members
The correct answer is C. Allowing a debate to stray into matters of personal conflict, rather than staying focused on the issues at hand, will usually impede constructive debate.
In ________, a neutral third party is invited into deadlocked negotiations to make decisions which both negotiating parties agree to abide by. • a) mediation • b) moderation • c) arbitration • d) constructive confrontation
The correct answer is C. Arbitration is the use of a neutral third party, an arbitrator, invited into negotiations by both contending parties to resolve an impasse.
Which of the following is a major barrier for change initiatives? • a) technology issues • b) employees' fear of automation • c) employees' resistance to change • d) employers' lack of enthusiasm
The correct answer is C. A major barrier to change initiatives is employees' reluctance to adopt new ways and methods.
At the request of the board of directors, the HR department of Megacorp has set goals and timetables that the company's manufacturing division will need to meet in order to achieve its affirmative action goals. What role is the HR department exercising? • a) advisory role • b) service role • c) control role • d) counseling role
The correct answer is C. When HR is tasked to implement policies and procedures and monitor compliance with them, it is exercising the control role.
Which of the following is an example of a bad question to ask a focus group? • a) Do you like the organization's new flexible hours policy? • b) What is the most positive aspect of the new benefits plan? • c) How do you think the merger will affect your department? • d) What are the two most important changes in the company's new healthcare plan?
The correct answer is A. ?s that can be answered with a simple yes or no should be avoided.
Which of the following statements regarding hot-cargo agreements is true? • a) They are unlawful and regarded as unfair labor practices. • b) They may only be undertaken in specific circumstances. • c) They specify benefits to be paid to workers handling hazardous materials. • d) They are commonly used in the shipping industry.
The correct answer is A. A hot-cargo agreement, also called a hot-cargo clause, is an agreement between a union and an employer that requires the employer to stop doing business with another organization. Such agreements are illegal.
Which of the following is a provision of the Patient Protection and Affordable Care Act of 2010? • a) Employers with more than 50 full-time employees are required to provide affordable coverage. • b) All employees who have two years of service must be eligible to participate in an organization's pension plan. • c) An employee who has worked for a covered employer for at least 12 months may apply for health benefit subsidies or receive tax credits. • d) Individuals who are self-employed will be allowed to take up to 80 percent of their health-care expenses as a deduction for tax purposes.
The correct answer is A. A key provision of the PPACA, commonly known as "Obamacare," is that employers with more than 50 full-time employees are required to provide affordable coverage to their employees.
What is the major disadvantage of functional departmentalization? • a) It reduces communication between departments. • b) It only works well in very large companies. • c) If is more costly than product departmentalization. • d) It is the least efficient way for small companies to organize themselves.
The correct answer is A. A system of functional departmentalization effectively reduces communication between departments, resulting in a silo effect that promotes parochialism and suboptimizing.
Which of the following budget accounts is not a liability? • a) Accounts Receivable • b) Accounts Payable • c) Accrued Expenses • d) Mortgage Expense
The correct answer is A. Accounts receivable is money owed to the business by customers, and is classified as an asset. Accounts payable, accrued expenses, and mortgage expenses are all monies that the company will have to pay out at some time in the future, and are therefore classified as liabilities.
In which case did the Supreme Court rule that the employer must provide back pay for employees who suffered monetary loss due to racial discrimination? • a) Albemarle Paper Co. v. Moody (1975) • b) McDonnell Douglas Corp. v. Green (1973) • c) Griggs v. Duke Power (1971) • d) Automobile Workers v. Johnson Controls (1977)
The correct answer is A. Albemarle Paper Co. v. Moody established the principle that criteria for employment tests must be tied directly to job requirements, and must not be based solely on supervisor rankings. It also ruled that employers must provide back pay for employees who suffered monetary loss due to racial discrimination.
Which of the following is an advantage of external hiring? • a) can help support diversity and achieve EEO goals • b) provides greater motivation for good performance • c) provides better opportunity to focus on and assess present employees' abilities • d) allows the employee to make changes based on constituent groups' demands
The correct answer is A. An advantage of external hiring is that it provides greater diversity and can help the organization achieve its EEO goals.
Hasan is a Graphic Design Artist for a marketing firm. He recently submitted the third design that failed to impress his superiors for a new ad campaign. After this latest rejection, he meets with his Manager, Niko, who tells him that the team just doesn't like the designs. Hasan asks Niko for guidance on what the company is trying to convey with the ad campaign, but Niko only tells him not to do what he's already done. Which communications principle needs to be adjusted most in this situation? • a) vision • b) fairness • c) honesty • d) sensitivity
The correct answer is A. At the end of the discussion, both the manager and employee should have a clear, shared plan for what should happen in the future. Neither Hasan nor Niko seem to have a clear vision for the future in terms of what management wants for the ad campaign, which makes it hard to provide effective feedback. Both Hasan and Niko should have a clear understanding of what should be done differently.
What is the principal downside of using surveys to gather data about employee attitudes? • a) Employee surveys provide only limited information. • b) Employee surveys can be very expensive. • c) Employee surveys often yield unreliable data. • d) Employee surveys cannot be used to track data.
The correct answer is A. Because they contain a finite number of questions and employ forced-choice responses; surveys provide only limited information and cannot easily get at the fundamental attitudes and beliefs that underlie employee attitudes.
If you are a private employer, your workers are eligible for leave under the Family and Medical Leave Act under what circumstances? • a) If the employee has been employed for 12 months, and she works at a facility where the company employees at least 50 people within 75 miles of the facility • b) If the employee has been employed for 24 months, and she works at a facility where the company employees at least 50 people within 75 miles of the facility • c) If the employee has been employed for 12 months, and she works at a facility where the company employees at least 75 people within 50 miles of the facility • d) If the employee has been employed for 24 months, and she works at a facility where the company employees at least 75 people within 50 miles of the facility
The correct answer is A. FMLA applies to private-sector employees who have worked for their employer for 12 months (and a minimum of 1,250 hours), and who work at a facility where the company employs at least 50 people within 75 miles of that facility. It is important to note that a single facility itself does not have to employ 50 people; if the company has multiple facilities within a 75-mile radius of each other, FMLA applies when total employment at those facilities equals or exceeds 50.
Which of the following statements describes how HR best contributes to the success of a firm's business strategy? • a) Sound HR practices increase the firm's organizational capabilities, creating a competitive advantage. • b) Sound HR practices enable a firm to minimize payroll, creating a cost advantage. • c) Sound HR practices enable a firm to introduce automation at a faster rate, creating a cost advantage. • d) Sound HR practices improve the firm's outbound logistics, creating a competitive advantage.
The correct answer is A. HR's principal goal should be to increase the firm's organizational capabilities; superior workers are an enduring source of competitive advantage because workers cannot be as easily replaced or imitated as products or technology can be. Firms that seek to minimize payroll as a primary goal will find themselves in a "race to the bottom" against factories in low-wage regions or nations. HR does not necessarily have a direct impact either on automation or outbound logistics.
A company's sales department has struggled to retain new employees. Employees who have gone through the company's training program tend to praise the program itself, but criticize its leadership. The Director of HR decides to conduct an experiment to assess the performance of the head trainer. She asks two recently hired salespeople to go through the training with the head trainer, whom she labels as the independent variable. What is the flaw in the design of this experiment? • a) It did not establish a control group. • b) It did not establish an experimental group. • c) The salespeople should be the independent variable and the head trainer the dependent variable. • d) The head trainer should be the dependent variable and the program itself the independent variable.
The correct answer is A. If the company labels the HR leader the independent variable, then one of the new sales hires should partake in training with the HR leader and the other receive training from someone else. As designed, the experiment has no control group.
In a value-chain analysis, HR management is most closely related to which of the following firm activities? • a) procurement • b) inbound logistics • c) operations • d) outbound logisrics
The correct answer is A. In a value-chain analysis, HR management and procurement are both considered to be support activities. Inbound logistics, outbound logistics, and operations are all considered to be primary activities.
What is the principal constraint in refining your company's computer model to produce the most accurate HR forecasts possible? • a) cost • b) time • c) availability of data • d) privacy risks
The correct answer is A. In seeking to improve computer models for probabilistic forecasting, HR must balance the benefit of greater accuracy against the increased cost of introducing multiple new variables into the simulation.
________ is the process of choosing from a pool of candidates for a job with an eye toward hiring the most qualified applicant; ________ is the process of seeking and attracting candidates for given vacancies in an organization. • a) Selection; recruitment • b) Recruitment; selection • c) Operational planning; selection • d) Strategic planning; operational planning
The correct answer is A. Recruitment is the process of seeking and attracting candidates for given vacancies in an organization, while selection is the process of choosing from the pool of candidates for a job with an eye toward hiring the most qualified applicant.
Which of the following perspectives is not part of the balanced scorecard? • a) Productivity Perspective • b) Financial Perspective • c) Customer Perspective • d) Internal Business Process Perspective
The correct answer is A. The fourth perspective in the balanced scorecard is the Learning and Growth Perspective, not the Productivity Perspective.
What is a primary security risk for buildings located in highly trafficked areas? • a) Employees might not recognize someone who shouldn't be there. • b) Thieves are more likely to target the building for break-ins. • c) Heavy traffic may keep law enforcement personnel from accessing the building. • d) Heavy traffic may impede employees' escape from the building in the event of an emergency.
The correct answer is A. The presence of heavy traffic around the building may allow intruders to blend in with the crowd, and prevent employees from recognizing them due to the regular presence of unfamiliar faces.
Andrew and Maria are part of an interview team tasked with finding a new Chief Financial Officer after the current one announced her intention to retire. Andrew and Maria decide they will each create their own list of questions to ask candidates. They also decide that Andrew will ask most of the initial questions and Maria will ask follow-up questions. Which type of interview will Andrew and Maria most likely conduct? • a) panel interview • b) directive interview • c) patterned interview • d) hypothetical interview
The correct answer is A. When several interviewers observe a candidate at once, this is called a panel or board interview. These may involve questions being asked by all interviewers on the panel or there may be a particular interviewer who takes the lead and does most of the question asking. In some cases, it is best to have multiple interviewers when trying to fill executive level positions such as CFO.
What is the difference between a code of ethics and a code of conduct? • a) A code of ethics describes the ideal standards the company tries to uphold in its business practices; a code of conduct describes the behavior it expects from employees. • b) A code of ethics describes the behavior the company expects from its employees; a code of conduct describes the ideal standards that it tries to uphold in its business practices. • c) A code of ethics applies to the board and senior management; a code of conduct applies to rank-and-file employees. • d) There is no difference; the two terms are synonymous.
The correct answer is A. While the two terms are sometimes used interchangeably, they serve different purposes. A code of ethics describes the way the company seeks to behave in its business dealings; a code of conduct spells out the types of employee behavior are considered acceptable and unacceptable.
Luisa, a Manager at Delcom Mobile, has 12 direct reports. What is her span of control? • a) 6 • b) 12 • c) 24 • d) it depends
The correct answer is B. A manager's span of control is defined as the number of workers who report to her.
A profit-sharing program is an example of what type of compensation? • a) Sales bonus option • b) Group incentive • c) Deferred compensation • d) Gainsharing strategy
The correct answer is B. A profit-sharing program is an example of a group incentive - an incentive that rewards individuals for their collective accomplishments. Gainsharing is also a type of group incentive, though it is based on gains in productivity rather than profits. Deferred compensation is a strategy that relates to retirement plans, while a sales bonus option is a form of commission.
Which of the following methods of employee involvement allows employees to make recommendations anonymously? • a) committees • b) suggestion boxes • c) work teams • d) task forces
The correct answer is B. A suggestion box allows employees to anonymously submit recommendations for the organization. This can be helpful for employees who may be anxious about speaking up personally.
The sales department at Megacorp Consolidated forecasts that sales will increase by 18 percent in the coming year. The HR department, which knows that rising sales have historically been linked to increased hiring, develops a budget that assumes a commensurate increase in payroll costs for the following year. This is an example of ________. • a) unit demand • b) trend projection • c) workload analysis • d) ratio analysis
The correct answer is B. A trend projection is a prediction of future employment needs, based on an understanding of how other factors (e.g., sales, production, etc.) affect employment. In this case, HR understands that there is a close relationship between rising sales and increased employment; once the sales department projects a significant increase in sales, HR begins planning to increase employment to accommodate this trend.
Which of the following is not one of Michael Porter's Three Grand Strategies? • a) Cost Leadership • b) Innovation • c) Differentiation • d) Focus
The correct answer is B. According to Michael Porter, the Three Grand Strategies are Cost Leadership, Differentiation, and Focus. Innovation is an essential element of Differentiation, but it is not one of Porter's Grand Strategies.
Tim is a Sales Manager; he begins his weekly team meeting by announcing that the sales rep who secures the most letters of agreement by the end of winter will get three extra paid vacation days. While the younger team members look excited, the older team members look at each other and shrug. Which theory best describes this reaction to Tim's plan? • a) McGregor's X or Y Theory • b) Vroom's Expectancy Theory • c) Maslow's Hierarchy of Needs • d) Herzberg's Two Factor Theory
The correct answer is B. According to Vroom, after assessing a situation to determine whether an employee is capable of handling it, they will then determine whether the anticipated reward justifies taking on the task. While some of the younger members of the team may find more vacation time very appealing, older team members may not find the anticipated reward worth the hustle.
The CEO announces that the company is moving to a new building in the next town over. The announcement frustrates Aubrey, a member of the IT staff, because the new location will add 30 minutes each way to his already long commute. Visibly distressed, Aubrey confronts Evelyn, his manager, and harangues her about his displeasure. Evelyn takes a moment, then asks if telecommuting on Tuesdays and Thursdays would make Aubrey's situation easier. Aubrey says yes, agrees to this new work schedule, and thanks Evelyn. Which of the following components of emotional intelligence should Aubrey work on for the future? • a) self awareness • b) self management • c) social awareness • d) relationship management
The correct answer is B. Aubrey is understandably upset with the move. However, change is inevitable for any organization, and it would benefit Aubrey to practice self-control of his emotions when confronting change at work.
Which of the following has most likely occurred if we believe Ronnie, a Systems Analyst who has accused his former Manager, Linda, of constructive discharge? • a) Ronnie was fired because he is African-American. • b) Linda has repeatedly harassed Ronnie. • c) Ronnie has yet to receive HR assistance in finding another job. • d) Linda issued a suspension before a verbal or written warning for insubordination.
The correct answer is B. Constructive discharge occurs when an employer has made working conditions so intolerable, through harassment or other means, that an employee feels forced to quit.
During what phase of the ADDIE process do the training designers identify the target audience? • a) Analysis • b) Design • c) Development • d) Evaluation
The correct answer is B. During the Design phase, the designers identify the target audience, develop training objectives, and develop content.
Due to the potential time savings of a new software, an organization decides to switch to it and utilizes Lewin's change process theory to do so. However, the organization becomes stuck in the unfreezing stage. Which of the following best explains why the organization cannot progress to the next stage? • a) Employees are still getting used to the new software. • b) Employees are skeptical that the change is necessary. • c) Employees aren't actually saving time by using the new software. • d) Employees aren't actively trying to learn how to use the new software.
The correct answer is B. During the unfreezing stage, leadership must convince members of the organization that change is essential and must begin immediately.
An agency shop clause does which of the following? • a) prohibit non-union employees from working at a union organization • b) require all employees of a union organization to pay union dues, whether they are union members or not • c) prevent the reopening of negotiations once a contract is in place • d) prohibit both employees and management from initiating a work stoppage, such as a strike or lockout
The correct answer is B. Employees of an organization operating with an agency shop clause (an agency shop) must pay union dues even if they are not part of the union. Such clauses are intended to encourage all employees to join the union.
The process of forecasting possible risks to an organization and taking steps to mitigate their impact on operations is known as ________. • a) compliance • b) ERM • c) an HR audit • d) continuity planning
The correct answer is B. Enterprise risk management, or ERM, is the process of forecasting possible risks to an organization and taking steps to mitigate their impact on operations.
Due to an ongoing recession, ABC Company must reduce its workforce. The CEO is confident, however, that the organization will be in a better financial position in six months, at which time they will be able to support a full workforce again. They decide the best approach is to reduce the number of hours of 20 employees by 25 percent. If the company is confident that they will be able to compensate a full workforce in six months, which of the following alternative practices will they execute in the meantime? • a) attrition • b) furlough • c) demotions • d) rolling layoffs
The correct answer is B. Furloughs amount to part-time employment, either by reducing the number of hours or the number of days worked. They can occur when an organization believes that an economic slowdown is temporary and they don't want to lose their workforce.
Gerry's Jeans compensates its sales employees through a combination of a base salary plus three percent of the employee's sales for the year. Which type of payment system does Gerry's Jeans utilize? • a) merit pay • b) commission • c) profit sharing • d) group incentive pay
The correct answer is B. Gerry's Jeans pays its employees through a commission system.
The combined present values of every individual in a company's workforce, based on their expected future services, and the likelihood that they will remain with the company for a set period of time, is known as ________. • a) replacement cost • b) human resource value • c) outlay cost • d) human resource ROI
The correct answer is B. Human resource value is equal to the net present value of each employee, based on that employee's expected future services, and the likelihood that she will remain with the company for a set period of time. Human Capital ROI, by contrast, calculates the financial value added by all employees against the money spent on them in terms of salaries and other benefits.
Which of the following members of a business would not have a fiduciary duty? • a) member of the board of directors • b) silent partner • c) CEO • d) managing partner
The correct answer is B. In general, fiduciary duties or responsibilities apply to those who have a role in managing the business, either on a day-to-day basis or through a governance role. Thus, a member of the board would have fiduciary duties, as would the CEO or a managing partner. But a silent partner—that is, one whose role is limited to providing capital to the business, with no management responsibilities—would not have a fiduciary duty.
Ramzy is in charge of hiring a new Senior Sales Analyst. He thinks two employees, Tonya and Justin, might already have the experience necessary for the position. He sends an email to everyone in the company outlining the available position and the requirements. Which of the following has most likely occurred? • a) nepotism • b) internal recruitment • c) external recruitment • d) employee requisition
The correct answer is B. Internal recruitment occurs when existing employees have the necessary skills and experience to fill the new job position. Ramzy is utilizing internal recruitment to see if an existing employee could fill the new job position.
Henry is about to conduct a semi-structured interview with a job candidate. Which of the following questions would be inappropriate for Henry to ask the candidate? • a) Will you be able to work evenings if required to do so? • b) Which, if any, religious holidays do you observe throughout the year? • c) Can you provide documents that prove you are authorized to work in the United States? • d) Will you be able to perform the necessary job functions if we accommodate your deafness?
The correct answer is B. Interviewers cannot ask candidates if they have religious affiliations, nor can they ask candidates whether or not they will work Sundays.
Which of the following can protect a company against a privacy misconduct lawsuit? • a) the Stored Communications Act • b) EPLI • c) Professional Liability Insurance • d) Errors and Omissions Insurance
The correct answer is B. Many companies purchase employment practices liability insurance (EPLI), which defrays some of the legal costs associated with defending a civil lawsuit brought by an employee. The Stored Communications Act is a federal statute that protects the storage of emails and other electronic communications. Professional Liability Insurance, also known as Errors and Omissions Insurance, protects a business against claims of negligence or inadequate work.
The process of contracting an internal business function to an outside organization that specializes in that specific function is known as ________. • a) offshoring • b) outsourcing • c) privatization • d) divestiture
The correct answer is B. Outsourcing is the process of contracting an internal business function, such as payroll or janitorial services, to an outside organization that specializes in that specific function.
Which of the following performance appraisal methods would be effective in reducing the effect of biases from a manager who tends to be too harsh or too lenient in their performance appraisals? • a) critical incident review • b) forced distribution • c) essay review • d) field review
The correct answer is B. Requiring a manager to evaluate employees using a forced distribution system should minimize the effects of their biases, by requiring them to place a certain number of employees in both the exemplary and unsatisfactory categories, based on their performance relative to their peers.
Scoping would take place during which stage of the RFP process? • a) evaluation • b) needs assessment • c) vendor selection • d) contract negotiation
The correct answer is B. Scoping is the process by which the organization that is preparing an RFP meets informally with potential vendors, to get a better sense of what the project will entail and how best to describe the desired products and services. This process is part of the needs assessment.
Which workforce forecasting technique solicits the input of professionals who never actually meet? • a) nominal group technique • b) Delphi technique • c) trend projection • d) job bidding
The correct answer is B. The Delphi technique is a way to forecast future job needs by combining the input and expertise of many professionals who never meet, but who come to a consensus over time.
The ________ Act regulates the storage and retention of electronic communications like emails. • a) Sarbanes Oxley • b) Stored Communications • c) Computer Fraud and Abuse • d) Employee Privacy Policy
The correct answer is B. The Stored Communications Act, passed in 1986, protects the storage of electronic communications. In general, employers are not prohibited from accessing communications stored on their wire or electronic communications services (such as employer-provided email service). However, companies should announce this policy.
Which of the following is not one of the four key organizational characteristics of a business? • a) structure • b) personnel • c) culture • d) processes
The correct answer is B. The four key organizational characteristics of any business are structure; systems; culture; and processes. Personnel are an essential element of any business, but they are not an organizational characteristic.
Gloria, an Administrative Assistant at XYZ Corporation, overhears the head of the auditing department tell her assistant that the company will be reporting a record quarterly profit next week. She tells her brother Chip the news, and Chip buys 1,000 shares of XYZ stock, which soars in value after the record profit is announced; he gives Gloria 100 shares to thank her for giving him the information. Who in this scenario is not guilty of insider trading? • a) Gloria, because she does not have a management role at XYZ Corporation • b) the head of the auditing department, because she did not seek to profit from the information • c) Chip, because he is not an employee of XYZ Corporation • d) both Chip and Gloria, because they are by definition not "insiders"
The correct answer is B. The head of the auditing department did not try to profit from the inside information about XYZ record profit, though she should probably have been more discreet about discussing that information in a place where she could be overheard. Both Chip and Gloria are guilty of insider trading. It does not matter that Gloria is not in management or that Chip is not an employee; both profited in a stock transaction by acting on information that was not available to the general public.
What is the primary advantage of using global virtual teams? • a) By using team members from lower-wage countries, global virtual teams can lower costs. • b) By drawing on a larger pool of workers, global virtual teams can leverage higher-level skills and competencies. • c) By drawing on a larger pool of workers, global virtual teams can increase diversity. • d) By operating in a virtual environment, global virtual teams can reduce overhead by eliminating the need for office facilities and business travel.
The correct answer is B. The primary advantage of using a global virtual team is that it can draw upon a wide range of members with higher-level skills and competencies. Diversity, by itself, is not a central business goal. And any cost savings that might result from the use of global virtual teams is an ancillary benefit, not a primary advantage.
During which phase of project management is the timetable established? • a) Initiating • b) Planning • c) Executing • d) Closing
The correct answer is B. The timetable is established during the Planning phase.
Which of the following types of leadership theories is still in general use? • a) Great Man • b) situational • c) trait-based • d) behavior-based
The correct answer is B. While the Great Man theory of leadership has been largely discredited, and trait-based and behavior-based theories have given way to more advanced constructs, situational leadership theories remain the basis for much current thinking on the issue of leadership.
You have been tasked with conducting a culture audit of your organization, as the first step in a campaign to change the overall organizational culture. What is the best way to gather information for this project? • a) employee survey • b) conference with top management • c) in-person interviews with employees • d) focus groups with customers
The correct answer is C. A culture audit focuses on the attitudes, beliefs, and customs of the organization's employees; as such, it does not take into account the views of customers. The audit should be extensive and organization-wide, not limited to the views of top management. Extensive in-person interviews, which allow for follow-up questions and detailed answers, will produce more and better information than a survey of employees.
In some foreign countries, bribery and kickbacks are widely viewed as a culturally accepted way of facilitating business agreements. Which of the following should control a U.S. company's decision about whether to engage in bribery as a foreign business practice? • a) the laws of the foreign country involved • b) the United Nations Charter • c) U.S. law • d) all of the above
The correct answer is C. Bribery of foreign nationals is explicitly illegal under the U.S. Foreign Corrupt Practices Act of 1977. Bribery most likely also violates the laws of the country involved, but this would not be a controlling factor in a country where bribery is an accepted business practice. And, though the General Assembly adopted the United Nations Convention against Corruption in 2003, the UN Charter itself makes no mention of bribery, kickbacks, or corruption.
Which of the following statements is true? • a) Organizational climate is enduring, while organizational culture is changeable. • b) Organizational climate is unrelated to organizational culture. • c) Organizational culture is enduring, while organizational climate is changeable. • d) Organizational culture is the product of organizational climate.
The correct answer is C. Climate and culture are closely related: culture is the enduring set of beliefs that guide the behavior of an organization and its members, while climate is the more short-term set of attitudes that members hold about the organization at any point in time.
Computer hacking is a direct threat to which of the following? • a) human assets • b) financial assets • c) information assets • d) communication assets
The correct answer is C. Computer hacking is a prominent threat to information assets.
David McClelland is most closely identified with which of the following theories? • a) Expectancy Theory • b) Two-Factor Theory • c) Theory of Acquired Needs • d) Hierarchy of Needs Theory
The correct answer is C. David McClelland developed the Theory of Acquired Needs, also known as the Three Needs Theory, in the 1960s.
A good or service developed for the client during a project is known as a ________. • a) scope • b) executable • c) deliverable • d) closing
The correct answer is C. Deliverables are the goods or services developed during a project, which are to be delivered to the client.
Which of the following situations best describes a manager whose leadership style is Democratic? • a) Satoe offers her employees bonuses when they meet objectives. • b) Satoe assigns a project to her team and waits for them to finish it. • c) Satoe allows her team to make some decisions that will affect the outcome of a project. • d) Satoe keeps her desk organized and encourages team members to collaborate on projects.
The correct answer is C. Democratic approaches to leadership are most appropriate when employees are highly skilled and can take an active role in decision-making processes. If Satoe is completely hands off, as in the second option, she most likely utilizes a Laissez-Faire style of leadership. A Democratic approach lets employees in on the big picture and allows them to be active in the decision-making process.
Gabriele is the COO at Gwynplaine Media, a video production company. She got into video production twenty five years ago because she loves telling stories on the silver screen. She quickly rose through the ranks at Gwynplaine and has been there for 15 years. Lately, however, she's been disinterested in her work. The CEO suggests that she mentor Adam, a competent Development Executive who is ready for more responsibility. What stage in the career lifecycle is Gabriele most likely at? • a) exploration • b) establishment • c) maintenance • d) disengagement
The correct answer is C. During the maintenance stage, an individual's performance may stagnate because they have reached a plateau in their career. One way to get the individual to become reinvested in their career is to serve as a mentor.
The stage of a SWOT analysis in which the company assesses its business environment to identify opportunities and threats is known as ________. • a) environmental analysis • b) environmental testing • c) environmental scanning • d) environmental assessment
The correct answer is C. Environmental scanning is the second step of a SWOT analysis.
Which of the following refers to the probability that effort will lead to performance? • a) equity • b) valence • c) expectancy • d) instrumentality
The correct answer is C. Expectancy refers to the probability that effort will lead to performance.
Which of the following is an example of a lagging indicator? • a) time to fill key staff vacancies • b) turnover rate • c) gross margin • d) average cost per hire
The correct answer is C. Gross margin is a lagging indicator—that is, an output-oriented metric that measures the results of a process or change. In this case, gross margin provides one measure of the company's profitability.
What type of Congressional committee is used to reconcile the differences when the House and Senate each pass different versions of a bill? • a) standing committee • b) select committee • c) conference committee • d) steering committee
The correct answer is C. If the House and Senate pass different versions of the same bill, and neither house will agree to accept the other's version, a conference committee is used to resolve the differences. The leaders of each house appoint conferees (usually senior members of the legislative committees that originally handled the bill in each chamber), who then meet in committee to negotiate a compromise bill that each house can accept.
Randall, an HR Manager at Johnson Chemicals, is considering options to increase the diversity of the company's middle managers. Which of the following initiatives would be least effective in pursuing that goal? • a) target recruiting efforts at underrepresented communities • b) focus less on candidates' academic credentials, in favor of specific skills • c) intensify the company's promote-from-within policy • d) partner with professional groups that represent diverse communities
The correct answer is C. If the company already has a problem with diversity in its middle-management ranks, doubling down on internal promotions will make the problem worse, not better.
Within the SMART model, the letters stand for Specific. ________, Action-Oriented, Relevant, and Time-bound. What does the "M" stand for? • a) Mature • b) Metric • c) Measurable • d) Metadata
The correct answer is C. In the SMART model, the "M" stands for Measurable. The other options (Mature, Metric, and Metadata) do not fit into the SMART model, which is used to help a company define its long-term strategic goals.
The CEO of Hurlatron Plastics is concerned that employee salaries are outstripping employee productivity. Adele Metzler, director of HR at Hurlatron, assembles data that show total compensation as a percentage of net income before taxes over the last five years, and finds that this figure has not increased over time. This is an example of: • a) needs assessment • b) tactical analytics • c) internal benchmarking • d) external benchmarking
The correct answer is C. Internal benchmarking involves making comparisons to other periods in a company's history, or between outlets or divisions within the same company. External benchmarking involves making comparisons between an organization and similar organizations. Needs assessment is an effort to make predictions about an organization's future needs and productivity, and tactical analytics involves the use of data to address real-time HR issues.
Which of the following is most likely the result of intentional turnover? • a) A COO in her late 30s leaves after 10 years with the company. • b) A manager in her late 50s leaves after six years with the company. • c) A coordinator in his early 30s leaves after two years with the company. • d) A sales representative in his early 40s leaves after five years with the company.
The correct answer is C. Many experts believe that if an employee leaves the company within one to three years, then most likely the company is going through intentional turnover or has onboarding issues.
Which of the following is a benefit funded by the Social Security Administration? • a) paid sick time • b) retirement plans • c) Medicare • d) life insurance
The correct answer is C. Medicare is funded by the Social Security Administration.
Which federal agency is responsible for enforcing the whistle-blower protections of the Sarbanes Oxley Act? • a) Department of Justice • b) SEC • c) OSHA • d) IRS
The correct answer is C. OSHA, a division of the Department of Labor, is charged with enforcing the whistle-blower protections of the Sarbanes Oxley Act.
Jenna is a Sales Representative and receives her healthcare through her employer, which has a contract with JRB, a health insurance company. It is a group health plan that allows Jenna to go to any physician in her network without a referral, but if she goes outside her network she must pay a higher rate. Which of the following types of healthcare plan does Jenna most likely have? • a) fee for service • b) point of service • c) preferred provider organization • d) health maintenance organization
The correct answer is C. Preferred provider organizations are contractual arrangements between healthcare providers and an employer or health insurance company, which allow subscribed members wide latitude to visit any physicians within the organization's network of providers. Out-of-network care is available, but at a higher price.
What is the major advantage of product departmentalization? • a) It is the most efficient way for small companies to organize themselves. • b) It promotes greater skill specialization. • c) It promotes greater cooperation between parts of the company. • d) It eliminates the duplication of equipment and effort.
The correct answer is C. Product departmentalization promotes greater cooperation between different parts of the company as they focus on the production of a superior product, resulting in a company that is more customer-focused.
Eve is involved with short-range planning. Which of the following do her decisions most likely affect? • a) forecasting • b) attrition rate • c) day-to-day activities • d) meeting organizational objectives
The correct answer is C. Short-range plans will typically have a lot of influence on day-to-day activities.
Yesterday's high temperature was 64.5 degrees Fahrenheit. This measure is an example of ________. • a) nominal data • b) ordinal data • c) interval data • d) ratio data
The correct answer is C. Temperature is an example of interval data: the difference between each degree on the Fahrenheit scale is equal and meaningful, zero degrees Fahrenheit is an arbitrary rather than natural value, and it does not signify the absence of heat.
Terrence, an HR manager, was just told that the company is hiring Allen, a new Sales Representative who has HIV-AIDS. Allen is the first known employee to have HIV-AIDS and knowledge of his condition will be made aware to all employees with Allen's consent so that he may receive reasonable accommodations. What should Terrence do in the near future? • a) set up an employee assistance program • b) ask Allen to take regularly scheduled medical exams • c) educate all employees about how AIDS is transmitted • d) train the Sales Manager to evaluate whether Allen can perform essential job functions
The correct answer is C. The company must educate all employees on how AIDS is and is not transmitted.
Marcus, an IT employee who has worked at the same firm for two years, is unfamiliar with a new program that the company is adopting. Which of the following will highlight the gaps in Marcus's knowledge base? • a) development • b) implementation • c) needs assessment • d) change management
The correct answer is C. The needs assessment should surface whatever gaps exist between Marcus's knowledge base and what is required for the new program.
At Oswald's Umbrellas, employees are compensated based on the company's overall performance. How much an employee is paid depends on their level of responsibility, seniority, and what their base pay is. Which type of payment system does Oswald's Umbrellas utilize? • a) merit pay • b) commission • c) profit sharing • d) group incentive pay
The correct answer is C. This company utilizes profit sharing. How the profits are divided is determined by an allocation formula, which usually takes into consideration how much responsibility an employee has, their seniority, and base pay.
The midpoint for a particular pay grade at Walsh Technologies is $60,000, What would you expect to be the upper and lower limits for this pay grade? • a) upper limit of $80,000 and lower limit of $40,000 • b) upper limit of $63,000 and lower limit of $57,000 • c) upper limit of $69,000 and lower limit of $51,000 • d) upper limit of $90,000 and lower limit of $30,000
The correct answer is C. Typically pay grades have upper and lower limits that are 10 to 20 percent above and below the midpoint. Choice C falls into that range, with upper and lower limits that are 15 percent above and below the midpoint. All of the other choices are either too narrow or too broad.
Which of the following legal principles is a major factor in determining the validity of workplace searches? • a) Fruit of the poisoned tree • b) Unreasonable search and seizure • c) Reasonable expectation of privacy • d) Exclusionary rule
The correct answer is C. Whether a workplace search is found to be lawful depends in large part on whether the court finds that the worker did or did not have a reasonable expectation of privacy on the job. Businesses that have a clearly stated and widely circulated privacy policy can effectively determine what the worker may reasonably expect, in terms of his right to privacy in the workplace. Choice B, unreasonable search and seizure, refers only to searches or seizures conducted by the government, which are prohibited by the Fourth Amendment. Choices A and D (fruit of the poisoned tree and exclusionary) are legal concepts related to the admissibility of evidence obtained in violation of the Fourth Amendment.
The best ethics codes are ________. • a) as comprehensive and specific as possible • b) consistent and unchanging over time • c) written in the same formal style as typical business communications • d) as simple and concise as possible
The correct answer is D. An ethics code is less useful if it is confusing, overly complex, or hard to remember fully. Codes written in complex detail can also be open to misinterpretation. The most effective ethics codes keep their language simple, concise, and clear.
The sense of satisfaction that comes from doing your job well done is an example of what? • a) creative benefit • b) psychic income • c) extrinsic reward • d) intrinsic reward
The correct answer is D. An intrinsic reward is one in which a person's esteem is generated within herself; satisfaction in a job well done is a classic example of an intrinsic reward. Extrinsic rewards come from others (e.g., praise from a supervisor or a raise in salary). Psychic income is a non-financial benefit, but it can be either intrinsic or extrinsic; similarly, a creative benefit is a non-traditional benefit or perk, which can be either intrinsic or extrinsic.
Which of the following is not a tool used in turnover forecasting? • a) focus group • b) exit interview • c) post-exit survey • d) organizational audit
The correct answer is D. Focus groups, exit interviews, and post-exit surveys are all frequently used in turnover forecasting, but an organization audit is a tool used in strategic planning.
Which of the following conditions is not necessary for an employee to claim age discrimination? • a) The employee was fired or demoted. • b) The employee is at least 40 years old. • c) The employee has been performing the job well. • d) The employee has been the victim of age harassment.
The correct answer is D. Having experienced age harassment is not a necessary condition to claim age discrimination.
A present obligation of the organization, arising from past events, is known as ________. • a) equity • b) an asset • c) income • d) a liability
The correct answer is D. Liabilities are financial obligations that the organization has already incurred.
Joan is interviewing candidates for an open position in the Accounting department. She is impressed by several of the candidates, but she has a strong negative reaction to one of them. This candidate has an impressive resume and solid recommendations, but Joan is put off by his habit of frequently cracking his knuckles. Joan finds this behavior annoying and eliminates the candidate from consideration. Which of the following interview biases is Joan demonstrating? • a) first impression • b) cultural noise • c) gut feeling • d) nonverbal bias
The correct answer is D. Nonverbal bias takes place when an interviewer is influenced by body language, behavior, or appearance.
In the middle of the day, a relatively minor earthquake with a magnitude of 3.0 occurs. Which of the following asset types is most likely to be harmed by the earthquake? • a) financial assets • b) information assets • c) human assets • d) physical assets
The correct answer is D. Physical assets include any equipment or property owned by an organization; such assets are the most likely to be harmed by an earthquake.
The process of coordinating all the operating functions of a business in support of the business's overall strategy is called ________. • a) strategic planning • b) strategic development • c) strategic deployment • d) strategic alignment
The correct answer is D. Strategic alignment is the process of coordinating all the operating functions of a business, including human resources, in support of the business's overall strategy. Effective alignment needs to take place at all levels of the organization; the strategies of individual business units need to align with the overall corporate strategy, but also with the strategies and tactics of smaller functional sub-units.
Supervision, motivation, leadership, and communications are elements of which management function? • a) Planning • b) Organizing • c) Controlling • d) Directing
The correct answer is D. Supervision, motivation, leadership, and communications are all elements of the Directing function.
Risk is defined as ________. • a) Probability x Occurrence • b) Prevention x Avoidance • c) Prevention x Occurrence • d) Probability x Consequences
The correct answer is D. The classic definition of Risk is Probability x Consequences.
Which of the following is not usually a major factor in employer branding? • a) unique perks and benefits • b) company culture • c) employer Value Proposition (EVP) • d) product line
The correct answer is D. Your employer brand is the way your company is perceived by employees and potential job applicants. It is your company's reputation in the job market, and it is the product of many factors, including the perks and benefits it offers, its culture, and the Employer Value Proposition that it defines as part of its branding efforts. But your company's product line is mainly relevant to your customers and your competition; unless it is extraordinarily good or extraordinarily bad, it is unlikely to have a major impact on your employer brand.
