Chapter 1 HRM

7) Being completely familiar with employment legislation, HR policies and procedures, collective agreements, and the outcome of recent arbitration hearings and court decisions is most closely related with which of the following HR activities? A) serving as a consultant B) formulating policies and procedures C) offering advice D) providing services E) serving as a change agent

C. OFFERING ADVICE

50) In the early 1900s, personnel administration, as it was then called: A) was closely tied to union-management relations. B) focussed on trying to improve the human element in organizations. C) played a very subservient role in organizations. D) was highly influenced by laws and regulations. E) served a key advisory role in organizations.

C. PLAYED A VERY SUBSERVIENT ROLE IN ORGANIZATIONS

66) HR professionals are increasingly expected by their employers to be change agents who lead the organization and its employees through change

TRUE

68) Recent research indicates that there is a strong positive relationship between employee engagement and organizational performance.

TRUE

70) HRM has evolved over the last few decades due to economic forces such as globalization, technological changes, and intense competition, all of which make human capital more important.

TRUE

67) The growing emphasis on education and human capital reflects several social and economic factors, such as the increase in primary-sector employment.

FALSE

24) The single most important factor governing the size and composition of the labour force is: A) the birth rate. B) population growth. C) diversity. D) immigration patterns. E) the death rate.

B. POPULATION GROWTH

52) If you were an HR professional in the 1940s or 1950s you would likely have had the following activities added onto your portfolio of existing responsibilities: A) focusing on proactive management. B) administering benefits. C) running the payroll department. D) handling orientation and performance appraisals. E) hiring and firing.

D. HANDLING ORIENTATION AND PERFORMANCE APPRAISALS

10) Rita is the HR Director of a manufacturing company. She recently undertook research to identify competitor compensation and incentive plans, information about pending legislative changes and availability of talent in the labour market for the upcoming strategic planning meeting. Rita was conducting: A) environmental scanning. B) an external market survey. C) an employee engagement survey. D) an envrionmental study. E) an external opportunities/threats study.

A. ENVIRONMENTAL SCANNING

31) Canadians who are functionally illiterate are: A) exacting a toll on organizationsʹ productivity levels. B) involved in academic upgrading through their place of employment. C) older Canadians who did not have the opportunity to attend school. D) able to perform routine technical tasks without assistance. E) no longer in the work force.

A. EXACTING A TOLL ON ORGANIZATIONS' PRODUCTIVITY LEVELS

33) Which of the following statements is true? A) Most visible and ethnic minority Canadians are professionals. B) Ethnic diversity is increasing. Currently, more than 200 different ethnic groups are represented among Canadian residents. C) The majority of Canadians are of French or British origin. D) Ethnic diversity is starting to level off in Canada. E) The proportion of visible and ethnic minorities entering the Canadian labour market peaked in the mid-1990s and is gradually decreasing.

B. ETHNIC DIVERSITY IS INCREASING. CURRENTLY, MORE THAN 200 DIFFERENT ETHNIC GROUPS ARE REPRESENTED AMONG CANADIAN RESIDENTS

13) As the HR consultant of a newly formed company, Arun has planned a presentation for the line managers on organizational culture and the purpose it serves. Which of the following points would Arun have included in his presentation? A) increasing training levels B) fostering employee loyalty and commitment and providing employees with a sense of direction C) fostering employee loyalty and commitment D) succession planning E) creating a worldlier atmosphere

B. FOSTERING EMPLOYEE LOYALTY AND COMMITMENT AND PROVIDING EMPLOYEES WITH A SENSE OF DIRECTION

42) The process of analyzing manufacturing processes, reducing production costs, and compensating employees based on their performance levels is found in: A) the human relations movement. B) scientific management. C) the human resources movement. D) the scientific movement. E) none of the above.

B. SCIENTIFIC MANAGEMENT

61) Taking a stand on anti-animal testing, human rights protection, and environmental conservation is an example of a firmʹs: A) ethics policy. B) sense of social responsibility. C) mission statement. D) desire for legal compliance. E) code of ethics.

B. SENSE OF SOCIAL RESPONSIBILITY

43) Which of the following was given emphasis in Frederick Taylorʹs theory on HRM? A) cross-functional cooperation B) compensation tied to performance C) work conditions D) job rotation E) empowerment of employees

B. COMPENSATION TIED TO PERFORMANCE

25) Any attribute that humans are likely to use to tell them, ʺthat person is different from me,ʺ and thus includes such factors such as race, gender, age, values and cultural norms, is known as A) differences. B) characteristics. C) minorities. D) diversity. E) perceptions.

D. DIVERSITY

2) The knowledge, education, training, skills, and expertise of a firmʹs workers is known as: A) physical capital. B) managementʹs philosophy. C) production capital. D) human capital. E) cultural diversity.

D. HUMAN CAPITAL

59) Payoffs associated with properly implemented ethics programs include: A) increased stakeholder confidence. B) greater client/customer and employee loyalty. C) increased profits. D) decreased vulnerability to legal liability issues. E) all of the above.

E. ALL OF THE ABOVE

54) The third phase of personnel management was concerned largely with: A) health and safety legislation compliance. B) payroll. C) corporate contribution and proactive management. D) corporate contribution. E) benefits administration.

C. CORPORATE CONTRIBUTION AND PROACTIVE MANAGEMENT

23) The characteristics of the work force are known as: A) unionization. B) population trends. C) demographics. D) diversity. E) organizational climate.

C. DEMOGRAPHICS

39) Which of the following apply to employers and employees across Canada? A) Employment equity legislation B) Employment Insurance and employment legislation C) Employment Insurance and Canada/Quebec Pension Plan D) Employment Insurance and human rights legislation E) the Canada Labour Code

C. EMPLOYMENT INSURANCE AND CANADA/QUEBEC PENSION PLAN

65) Management can lose its authority and power by empowering its employees.

FALSE

35) Which of the following jobs are likely to increase in the market as a result of technological advances? A) assembly line work B) professional jobs and managerial positions C) blue-collar jobs D) professional jobs E) no types of jobs will increase

B. PROFESSIONAL JOBS AND MANAGERIAL POSITIONS

57) The broad objectives of HR associations across the country include: A) assisting in the provision of training in the field of HR. B) providing opportunities for information exchange. C) serving as a voice for HR practitioners. D) skills updating. E) all of the above.

E. ALL OF THE ABOVE

49) Which of the following activities was part of the the traditional role of personnel management in the early 1900s? A) coaching and mentoring B) handling union-management relations C) being part of the strategy planning discussions D) environmental scanning E) hiring and firing employees

E. HIRING AND FIRING EMPLOYEES

41) The globalization of markets and manufacturing has vastly increased: A) employee turnover. B) the quality of products and services. C) the prices of products and services. D) standardization practices. E) international competition.

E. INTERNATIONAL COMPETITION

3) Human resources practices that support strategy include: A) performance management. B) rewards practices. C) staffing practices. D) policies and procedures. E) production scheduling.

E. PRODUCTION SCHEDULING

32) Approximately ________ percent of the Canadian population could be members of visible minorities by 2017. A) 20 B) 50 C) 30 D) 40 E) none of the above

A. 20

45) Mary Parker Follett was a: A) believer in self-management. B) believer in the motivational power of money. C) supporter of the view that workers are a factor of production. D) strong advocate of authoritarian management. E) strong advocate of scientific management.

A. BELIEVER IN SELF-MANAGEMENT

36) Questions concerning ________ are at the core of a growing controversy brought about by the new information technologies. A) data control, accuracy, right to privacy and ethics B) privacy and social responsibility C) speed, accuracy, and efficiency D) employee stress levels E) job satisfaction

A. DATA CONTROL, ACCURACY, RIGHT TO PRIVACY AND ETHICS

47) The Hawthorne Studies are closely linked with: A) the human resources movement. B) the human relations movement. C) scientific management. D) Mary Parker Follett. E) Frederick Taylor.

B. THE HUMAN RELATIONS MOVEMENT

8) The practice of contracting with outside vendors to handle specified functions on a permanent basis is known as A) contract administration. B) payroll and benefits administration. C) hiring temporary employees. D) outsourcing. E) labour-management relations.

D. OUTSOURCING

38) You are the HR generalist of a national railway. Which employment legislation would you refer to when it comes to employee relations issues within the organization? A) federal B) provincial C) territorial D) provincial/territorial E) none of the above

A. FEDERAL

46) The management philosophy based on the belief that attitudes and feelings of workers are important and deserve more attention is known as: A) the human relations movement. B) psychology. C) socialism. D) the human resources movement. E) scientific management.

A. THE HUMAN RELATIONS MOVEMENT

21) When unemployment rates fall: A) training and retention strategies increase in importance. B) there is always a greater demand for services. C) retention strategies increase in importance. D) there is always a greater demand for services and training strategies increase. E) unions are more likely to organize workers.

A. TRAINING AND RETENTION STRATEGIES INCREASE IN IMPORTANCE

15) Revlex Inc. has decided to allow its front line workers to make decisions regarding the ordering of certain supplies that were formerly made by managers. This initiative is an example of: A) job restructuring. B) employee empowerment. C) management development. D) a change in organizational climate. E) workplace incentives.

B. EMPLOYEE EMPOWERMENT

40) The tendency of firms to extend their sales or manufacturing to new markets abroad is known as: A) domestication. B) globalization. C) cultural diversity. D) international marketing. E) product diversification.

B. GLOBALIZATION

27) Characteristics of Generation X employees include: A) mastering of technology. B) eagerness to make a contribution. C) a desire for work/life balance. D) sense of security linked to corporate loyalty. E) action-orientedness.

C. A DESIRE FOR WORK/LIFE BALANCE

55) The fourth phase of HRM is ongoing. Current management thinking holds that: A) employees are quite similar in terms of the rewards they seek. B) the goals and aims of management must be achieved at all costs. C) social influences are no longer important to most employees. D) employees are often the firmʹs best competitive advantage. E) employees are motivated primarily by compensation and benefits.

D. EMPLOYEES ARE OFTEN THE FIRM'S BEST COMPETITIVE ADVANTAGE

9) The companyʹs plan for how it will balance its internal strengths and weaknesses with external opportunities and threats in order to maintain competitive advantage is known as A) environmental scanning. B) HR strategy. C) policies and procedures. D) strategy. E) none of the above.

D. STRATEGY

53) The third major phase in personnel management was a direct result of: A) government intervention following the depression. B) a desire for professionalism. C) the impact of the human relations movement. D) an increase in unionizing activities. E) the increasing amount of government legislation.

E. THE INCREASING AMOUNT OF GOVERNMENT LEGISLATION

1) Human resources management refers to: A) all managerial activities. B) concepts and techniques used in leading people at work. C) concepts and techniques for organizing work activities. D) management techniques for controlling people at work. E) the management of people in organizations.

E. THE MANAGEMENT OF PEOPLE IN ORGANIZATIONS

62) The goal of HRM is to align people practices to organizational strategy to produce behaviours required to achieve organizational goals.

TRUE

63) HR responsibilities have shifted from operational to strategic responsibilities which involve formulating and executing organizational strategy.

TRUE

16) Joe Brown was hired by a manufacturing firm as a supervisor. During his first few weeks as a supervisor he realised that employees who report to him expect a lot of direction from him and expect all of the decision making to be done by him. Joe Brown decided to train his employees to take on additional responsibilities and make decisions within a specific scope. Joe Brown is: A) empowering his staff. B) embracing his staff. C) outsourcing his staff. D) reducing his staff. E) none of the above.

A. EMPOWERING HIS STAFF

19) External environmental influences having a direct or indirect influence on HRM include which of the following: A) labour market conditions. B) increasing empowerment. C) organizational climate. D) decreasing work force diversity. E) organizational culture.

A. LABOUR MARKET CONDITIONS

51) The second phase of personnel management arrived in the 1930s with: A) minimum wage legislation. B) health and safety legislation. C) a decrease in unionizing activities. D) a decrease in unionizing activities and minimum wage legislation. E) the decreasing momentum of the scientific management movement.

A. MINIMUM WAGE LEGISLATION

14) The prevailing atmosphere or ʹʹinternal weatherʺ that exists in an organization and its impact on employees is A) organizational climate. B) the need for performance appraisals. C) the need for a corporate culture. D) a myth about organizations. E) the importance of having a mission statement.

A. ORGANIZATIONAL CLIMATE

20) The ratio of an organizationʹs outputs such as goods and its inputs such as capital is which of the following: A) productivity. B) outsourcing. C) an internal environmental influence. D) workforce diversity. E) the labour market.

A. PRODUCTIVITY

48) Which of the following statements is true of the Hawthorne Studies? A) Worker morale was greatly influenced by such factors as the supervisorʹs leadership style. B) Researchers were not interested in the factors influencing worker morale and productivity. C) Economic incentives were found to be the most closely linked to productivity. D) The conclusions had little impact on management practices. E) Treating workers with dignity and respect was found to have a weak correlation to productivity.

A. WORKER MORALE WAS GREATLY INFLUENCED BY SUCH FACTORS AS THE SUPERVISOR'S LEADERSHIP STYLE

58) The Canadian national body through which all provincial and specialist HR associations are affiliated is called the: A) International Personnel Management Association-Canada. B) Canadian Council of Human Resources Associations. C) Human Resources Professionals Association of Ontario. D) Society for Human Resource Management. E) Canadian Management Association.

B. CANADIAN COUNCIL OF HUMAN RESOURCES ASSOCIATIONS

5) You have been tasked with building employee engagement at the firm you work for. Strategic human resources initiatives you would consider implementing include: A) employee recognition programs. B) employee recognition programs and management development programs. C) job design indicators. D) diversity programs. E) employee relations activity.

B. EMPLOYEE RECOGNITION PROGRAMS AND MANAGEMENT DEVELOPMENT PROGRAMS

12) The core values, beliefs, and assumptions that are widely shared by members of an organization are known as: A) organizational climate. B) organizational culture. C) the pervading atmosphere. D) the mission statement. E) the strategic plan.

B. ORGANIZATIONAL CULTURE

22) Mortgage Financial needs to recruit 10 employees for a period of three months to assist its team of underwriters during the busy season. The company does not want to provide these 10 employees regular full-time or part-time status. As the HR manager, what would you suggest the company do in this situation? A) increase the workload of staff B) use contingent employees C) outsource the underwriting function D) do nothing about the situation E) develop a retention plan

B. USE CONTINGENT EMPLOYEES

6) HR department staff members are traditionally involved in key operational responsibilities. Which of the following is an operational responsibility? A) setting goals and objectives B) interpreting human right laws C) collecting metrics D) analyzing metrics E) interpreting health and safety legislation

C. COLLECTING METRICS

34) Technological advances in manufacturing have: A) decreased the importance of white-collar jobs. B) resulted in a decline in the impact of workforce diversity. C) eliminated many blue-collar jobs. D) had little impact on service-sector firms. E) led to significant increases in the employment of persons with disabilities.

C. ELIMINATED MANY BLUE-COLLAR JOBS

29) If you were the HR advisor of a company where the majority of the workforce consisted of employees born after 1980, what initiatives would you recommend providing to keep the group challenged? A) job security B) continuous skill development C) empowerment and challenging work D) flexible work arrangements E) eldercare benefits

C. EMPOWERMENT AND CHALLENGING WORK

11) The HR manager of Smith & Yu company was heavily involved in a downsizing exercise of the companyʹs sales force due to an economic downturn. He was also involved in arranging for outplacement services and employee retention programs as well as restructuring of the business following the downsizing. This is an example of HRʹs role in: A) environmental scanning and executing strategy. B) environmental scanning. C) executing strategy. D) operational activities. E) formulating strategy.

C. EXECUTING STRATEGY

28) The Sandwich Generation refers to: A) Generation Y. B) employees with older and younger coworkers. C) individuals with responsibilities for young dependents and elderly relatives. D) individuals who are caught in the generation gap. E) employees who have to bring their lunch to work because they canʹt afford to eat out.

C. INDIVIDUALS WITH RESPONSIBILITIES FOR YOUNG DEPENDENTS AND ELDERLY RELATIVES

56) Characteristics of a profession include: A) certification of members. B) the existence of a common body of knowledge and certification of members. C) many diverse points of view. D) government regulation. E) competing codes of ethics.

C. MANY DIVERSE POINTS OF VIEW

18) The ratio of an organizationʹs outputs to its inputs is known as: A) the labour market. B) the equity ratio. C) productivity. D) the supply and demand equation. E) competitive ability.

C. PRODUCTIVITY

60) The implied, enforced, or felt obligation of managers, acting in their official capacities, to serve or protect the interests of groups other than themselves, is known as: A) valuing diversity. B) legal compliance. C) social responsibility. D) professionalism. E) a code of ethics.

C. SOCIAL RESPONSIBILITY

37) You are the Director of Human Resources at a real estate development company based in Toronto. To attract and retain employees born after 1981 which of the following would be the most strategic to implement? A) more opportunity to work independently B) greater job security C) a comprehensive pension plan D) an environmental stewardship program E) eldercare

D. AN ENVIRONMENTAL STEWARDSHIP PROGRAM

17) Economic downturns are generally associated with: A) high turnover. B) lower unemployment rates. C) more competition for qualified employees. D) an overwhelming number of job applicants for vacancies. E) skills shortages.

D. AN OVERWHELMING NUMBER OF JOB APPLICANTS FOR VACANCIES

4) A company utilizes a system to measure the impact of Human Resources which balances measures relating to financial results, customers, internal business processes and human capital management. This system is knows as the: A) HRIS. B) Human Capital Index. C) balanced strategy. D) balanced scorecard. E) none of the above.

D. BALANCED SCORECARD

30) If you were the HR advisor of a company where the majority of the workforce consisted of employees born before 1965 what initiatives would you recommend providing to keep the group challenged? A) flexible work arrangements B) job security C) independent work D) eldercare and pension benefits E) onsite gym facilities

D. ELDERCARE AND PENSION BENEFITS

26) Baby boomers: A) have had very high fertility rates. B) will be increasing rapidly in numbers over the next few decades. C) resulted in a focus on recruitment and selection in organizations in the past. D) are currently causing a great deal of competition for advancement. E) were born between 1946 and 1965.

E. WERE BORN BETWEEN 1946 AND 1965

69) Technological advances will continue to shift employment from some occupations to others, while contributing to a decline in productivity.

FALSE

64) An HR professional can build employee engagement by coaching line managers to build trusting relationships with their employees, establishing recognition programs and providing management development programs.

TRUE

71) As an HR professional in todayʹs organizations, you need to be concerned with ethical issues such as security of information, employee and client privacy, governance and conflicts of interest.

TRUE

44) Management practices in the late 1800s and early 1900s emphasized: A) workplace harmony. B) higher wages. C) empowerment. D) task simplification and performance-based pay. E) self-management.

D. TASK SIMPLIFICATION AND PERFORMANCE-BASED PAY