Alicia Midterm Chapter 1

A company manufactures cell phone cases. The company's daily average level of output is 10,000 cases, and its total daily cost of workers (on average) is $50,000. What is the company's unit labor cost? a. $5.00 b. $1.00 c. $50.00 d. $10.00

a. $5.00 Unit labor cost is computed by dividing the average cost of workers by their average levels of outputs. In this case, the company spends approximately $50,000 per day on labor for a group of employees that produces 10,000 cases. Thus, $50,000 divided by 10,000 is $5.00 per case. See 1-2

______________________________________is a measure of the quantity and quality of work done, considering the cost of the resources used. a. Productivity b. Feasibility c. Agility d. Rigidity

a. Productivity Productivity is a measure of the quantity and quality of work done, considering the cost of the resources used. A useful way to measure the productivity of human resources is to consider unit labor cost, which is computed by dividing the average cost of workers by their average levels of output. Feasibility, agility, and rigidity are incorrect options because they do not measure the quantity of work done. See 1-2

Which of the following is a common challenge all companies face when they have a global presence? a. Retaining employee talent b. Reducing the company's reliance on technology c. Creating a monocultural work environment d. Encouraging ethnocentrism in the workplace

a. Retaining employee talent Retaining employee talent is a common challenge all companies face when they have a global presence. See 1-5

FabYarn Inc., a chain of high-end department stores, is renowned for providing exceptional customer service to shoppers. Its customer service is one of the major reasons for its long-term relationships with its customers. In this scenario, FabYarn's customer service is most likely one of its _____. a. human resource strategies b. core competencies c. key outcome indicators d. capital assets

b. core competencies In this scenario, FabYarn's customer service is most likely one of its core competencies. A core competency is a unique capability that creates high value for a company. Both customer service and quality efforts can significantly affect organizational effectiveness, making them key areas that HR can emphasize when developing employees as core competencies. See 1-2 OTHER CONCEPTS: Human resource expertise. Applies knowledge of HR functions Relationship management. Builds networks that support the firm Consultation. Provides advice and direction Leadership and navigation. Guides the organization and its employees Communication. Fosters positive flow of information among different parties Global and cultural effectiveness. Understands diverse global issues Ethical practice. Builds organizational ethical values and compliance Critical evaluation. Functions as a judge of information Business acumen. Provides input that supports business strategy

Which of the following actions is most likely to encourage ethical behavior in a company? a. Communicating the company's code of ethics and standards of conduct in writing b. Establishing a strict policy that discourages the emergence of whistle-blowers c. Showing faith in the employees' ethical values by not offering training on ethical behavior d. Telling employees to resolve ethical conflicts by themselves and not ask their managers to get involved

a. Communicating the company's code of ethics and standards of conduct in writing An ethics program that contains a written code of ethics and standards of conduct is likely to encourage ethical behavior. Writers on business ethics consistently stress that one of the primary determinants of ethical behavior is a positive organizational culture, which involves the shared values and beliefs that are embedded within an organization. See 1-6

Which of the following is an example of an intellectual property asset? a. Operating processes b. Stocks c. Equipment d. Skilled employees

a. Operating processes Intellectual property assets include specialized research capabilities, patents, information systems, operating processes, copyrights, and so on. See 1-2 INCORRECT: physical assets: Buildings, land, furniture, computers, vehicles, equipment, and so on Financial assets: Cash, financial resources, stocks, bonds or debt, and so on Human assets: Individuals with their talents, capabilities, experience, professional expertise, relationships, and so on

Ruby, Gary, Sam, and Anna work in a software development firm. Who among them is responsible for the talent management function of the firm's HR department? a. Sam, who develops career planning programs for the firm's employees b. Anna, who creates employee selection tools such as skills assessment tests c. Gary, who ensures the availability of qualified individuals to fill vacant job positions in the firm d. Ruby, who develops job descriptions and job specifications for vacant job positions

a. Sam, who develops career planning programs for the firm's employees Sam is responsible for the talent management function of the firm's HR department. Beginning with the orientation of new employees, talent management includes HR development and succession planning, career planning, and performance management. See 1-3

Aligning HR activities means: a. making HR efforts consistent with organizational efforts to improve productivity. b. redistributing work among HR personnel in accordance with their areas of expertise. c. reducing dependence on human assets by replacing them with more efficient technology wherever possible. d. conducting cost-benefit analyses to examine the impact of outsourcing.

a. making HR efforts consistent with organizational efforts to improve productivity. Aligning HR activities means ensuring that HR efforts and practices are consistent with organizational efforts to improve productivity and satisfy strategic goals. See 1-2

Marcus is the owner of four Pizza Pizzazz restaurants in Santa Fe. Although the employee selection and training aspects of his business are carried out within the company, the payroll function is carried out by another local company. In this scenario, Marcus is _____ the payroll function of his business. a. outsourcing b. nearshoring c. backsourcing d. offshoring

a. outsourcing In this scenario, Marcus is outsourcing the payroll function of his business. Some organizations, particularly smaller organizations such as Marcus's Pizza Pizzazz restaurants, are increasingly outsourcing some HR administrative functions such as payroll to outside vendors. The primary reasons HR functions are outsourced are to save money on HR staffing and to take advantage of specialized vendor expertise and technology. See 1-4 INCORRECT: Offshoring A company's relocation of a business process or operation from one country to another

Rodrick, an HR professional, works at Alicia Soft, a software development company. His company is planning to acquire a mobile app development company. Rodrick has been given information about three mobile app companies and needs to prepare a feasibility report to ascertain the most profitable of the three. Which of the following HR competencies should Rodrick have to be able to judge the information and provide his recommendations to the management? a. Leadership and navigation and relationship management b. Ethical practice and consultation c. Critical evaluation and consultation d. Global and cultural effectiveness and relationship management

c. Critical evaluation and consultation Rodrick should have competencies in critical evaluation and consultation to be able to judge the information and provide his recommendations to the management. Competency in critical evaluation is required to judge information accurately. Competency in consultation is required to provide advice and direction to the company. See 1-7

Sheila has recently been promoted to a senior position in the HR department of a multinational company. According to her new job description, she will be responsible for building networks across countries to provide local support for the company's operations in various countries. Which of the following HR competency groups is most likely to enable Sheila to fulfill her job responsibilities effectively? a. Human resource expertise and consultation b. Critical evaluation and consultation c. Global and cultural effectiveness and relationship management d. Leadership and navigation and relationship management

c. Global and cultural effectiveness and relationship management Competencies in global and cultural effectiveness and relationship management are likely to enable Sheila to fulfil her job responsibilities effectively. Competency in global and cultural effectiveness is required to understand diverse global issues. Competency in relationship management is required to build networks that support the company. See 1-7

Steffie works for a small but growing company that provides interior decorating services to individuals and businesses. Currently, she is a _____ because she performs all the HR functions of the company. However, if the company continues to grow, the management will likely add additional HR employees, with each employee focusing on different areas of HR. a. Certified Benefits Professional b. HR specialist c. Work-Life Certified Professional d. HR generalist

d. HR generalist Steffie is an HR generalist because she performs all the HR functions of the company. An HR generalist is a person who has responsibility for performing a variety of HR activities. As companies expand further, they tend to add HR specialists, or people who have in-depth knowledge and expertise in specific areas of HR. See 1-7

The administrative role of the HR department of a firm involves: a. evaluating mergers and acquisitions for organizational compatibility. b. transferring operations to international locations on the basis of workforce needs. c. identifying strategies and operations that advocate employee issues and concerns. d. processing information and recordkeeping.

d. processing information and recordkeeping. The administrative role of the HR department of a firm involves processing information and recordkeeping. It involves focusing on clerical administration and recordkeeping, including essential legal paperwork and policy implementation. See 1-4