Chapter 1

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Woodmere Production Company employees over 2,000 hourly workers. The HR department is debating the introduction of web-based technology to handle employment applications, employee benefit enrollments and other related functions. The move to this technology will most affect the HR department's ____ role.

administrative

The ____ role of HR management has been increasingly outsourced, while the _________ role of HR management is sometimes being give to senior executives without HR experience.

administrative, strategic

The HR management role that is most influential in reducing the number of employee lawsuits against the company is the ____ role.

advocate

Gloria recently earned her bachelor's in HR. She has just started her first exempt-level HR job. What is the earliest time that Gloria can be certified as a PHR (assuming she has passed the PHR exam)?

after two years of exempt-level experience

A tweet would be most appropriate to send out

an alert about a policy change needing immediate implementation.

Which of the following HR activities is MOST likely to be outsourced successfully?

401k administration

The customer service department of the cell phone company serving a 10-state region in the Southwest, has a reputation of being unhelpful to customers and sometimes customer service representatives are considered surly and rude to customers, especially to technologically- challenged callers. The cause of this behavior by the customer-relations is most likely to be

a lack of focus on the customer by managers and employees.

Taking a "green" approach with HR policies can result in all of the following, EXCEPT

a reduction in the need for safety and health professionals in the organization.

Matt has recently joined his family's wholesale landscape nursery business as vice president of operations. The firm employs 25 full time employees, plus about 20 seasonal employees. In the past, Matt's father personally handled all HR issues. Matt plans to bring the company in line with typical HR staffing levels. Matt will most probably

add a clerical employee to help with HR tasks

Charlotte is describing her new HR position to a friend. She says that she handles most of the clerical duties involved in running the HR department, including such tasks as maintaining employee files and submitting governmental reports. Charlotte's job would fall into the ____ HR role.

administrative

Ensuring fair and equitable treatment for employees regardless of their personal background or circumstances is associated with the ____ role of HR.

employee advocate

The extent to which employees feel linked to organizational success and how the organization performs positively is termed

employee engagement.

Arnold is the HR manager for a mid-sized engineering consulting firm. The types of ethical misconduct he is most likely to encounter in his daily work as an HR manager include all of the following EXCEPT

employees sexually harassing co-workers.

A major trend regarding diversity is that, with the retirement of baby boomers,

employers will experience a "brain drain."

Top executives of an organization truly view the top HR executive as contributing to the strategic success of the firm when they request the HR manager to

evaluate potential merger candidates for organizational compatibility

In addition to administrative efficiency, the major reason for compiling data in HR management systems is to

facilitate information-based HR decision making

Between now and 2016 the largest number of new jobs in the U.S. will be in

food-service.

Emil is the assistant HR manager at a commercial construction company. Emil handles almost every aspect of human resources at the company, from employee questions about benefits to holding exit interviews. Emil is an HR

generalist

The main pressure behind U.S. firms resulting in facility closings, international outsourcing, and decreasing their labor costs is from

global competition.

Eclipse Executive Services offers ransom insurance policies for companies up to $10 million per kidnapping. This is an example of a business opportunity generated by which one of the following HR management challenges?

globalization of business

Other than information technology occupations, between now and 2016 the highest percentage job growth will be in

health care.

Compensation and benefits managers in almost all organizations face a major and growing concern regarding the cost

health-care benefits.

The fastest-growing occupations, such as veterinary technologists, are related to information technology and health care.

True

Eric belongs to an informal group of HR compensation executives from various industries who share information and programs through a wiki. Eric and his colleagues are engaging in

collaboration

When HR professionals from different organizations work together to solve shared business problems they are engaging in

collaborative HR

Temporary workers, independent contractors, part-timers and leased employees are collectively referred to as

contingent workers.

When the human resources function creates a unique capability in a firm that creates high value and differentiates the organization from its competition, human resources is a/an___ _ for the firm.

core competency

Which of the following would NOT be identified as a typical HR operational activity?

partnering with top executives

Which of the following is NOT a major HR concern of small businesses?

potential unionization efforts

Unit labor cost is a measure of

productivity.

Due to an urgent need to cut costs, Rotary Dial, Inc., has decided to eliminate its quarterly off-site training conference for managers at all four of its locations with video conferencing. This reduces travel costs significantly and allows the company to lay off two training staff. This is an example of

re-designing work.

Claude is the HR manager for a pharmaceuticals firm. His top sales representative, Agatha, has twin boys under age 2. Despite the fact that Agatha has a full-time nanny, it is obvious that she is stressed by the demands of her work and her personal life. Claude's main concern in this case is probably,

retaining Agatha as an employee.

Flexible hours, job-sharing, child-care referral services, and flexible leave programs are all examples of

retention programs based on work/family concerns

The U.S. economy can be characterized as a/an ____ economy

service

About 50% of the private sector employees in the U.S. economy are employed by

small businesses

Pauline is an employee of a large city. She is the lead negotiator for contracts between the city government and the police and firefighters' unions. Pauline is an HR

specialist

Through the ____ function, HR management provides the organization with a sufficient supply of qualified individuals to fill the jobs in the organization

staffing

The explicit aspects of organizational culture include all of the following EXCEPT

sustainability.

As Director of HR, you are designing an ethics program for your organization. You plan to develop a written code of ethics, training for all organizational members, and means for organizational members to obtain advice on ethical situations. What critical element is missing from your plan?

systems for confidential reporting of misconduct.

The position of vice-president of HR is open in a large paper-products manufacturing company. Two individuals are being considered, both from the internal HR function at the firm. The selection committee wants the new vice-president to be a strategic contributor to the firm. All of the following competencies are highly desirable EXCEPT

that the candidate be a highly detail-oriented person

The largest professional organization for HR generalists is

the Society for Human Resource Management (SHRM)

In the HR context, "sustainability" is defined as

the ability to continue to operate, survive and adjust to significant change.

An organization's initial use of an HRMS can be characterized as making HR ____ functions more efficient.

Administrative

According to the Sarbanes-Oxley Act,, publicly traded companies are required to establish codes of ethics.

True

An organization's reputation as "green" can assist in attracting, retaining and motivating employees.

True

You are the director of HR for a medium-sized firm. You are looking to hire a benefits specialist. You would prefer the individual to be certified in this field. Consequently, you will check applicant resumés for these initials

CEBS

identifies paths and activities for individual employees as they develop within the organization.

Career planning

Roger's company is planning to open a branch of its manufacturing firm in Vietnam. The company has little knowledge of Vietnamese culture, laws and business practices. Roger would be well-advised to hire a host-country national to manage the new Vietnam branch.

True

A rumor has been circulating at the largest law firm in the city that the partners are considering outsourcing much of the work of the paralegals in the firm to a company in India. If you were a paralegal at this firm, what would be your most appropriate attitude or action?

Consider your options. The firm can generate huge labor cost savings by outsourcing your job.

In organizations, in order to decide whether certain behavior is ethical or not, a person must answer all the following questions EXCEPT

Does this behavior conform to typical behavior by employees of competing organizations?

Ernest, the vice president of HR for the Legendary Repose motel chain, has been on the HR side of the hotel/motel industry for over 30 years. Ernest has become a prized partner with the top executives of the LR corporation, and his advice is valued by the executives. Ernest prides himself on making decisions based on his "gut" and his intuition which he has honed over his career. Which of the following statements is most likely to be TRUE?

Ernest appreciates the efficiency aspect of HRMS more than the decision-making aspect of HRMS.

As a recruiter for DeeLish Candies, Inc., Joyce has noticed a number of applicants for positions at DeeLish Candies who were laid off from one of its main competitors. This competitor recently completed a major restructuring of the organization. Although Joyce has no direct information about this competitor, she surmises that the restructuring was due to cost pressures. Joyce is probably correct in her guess.

True

A manufacturer of heavy construction equipment is replacing a number of its assembly line employees with a robotic assembly process. This would be termed organizational restructuring.

False

African-Americans are the largest minority in the overall U.S. workforce.

False

Despite all the media attention about major corporate ethical scandals, research has shown that fewer than one-quarter of employees have seen an episode of misconduct in the last year.

False

Employee organizational commitment is the extent to which individuals feel linked to organizational success and how the organization performs positively.

False

HR management is exclusively concerned with activities and forces within the firm.

False

HR staff members are protected by whistle-blower statutes, so typically HR employees have no fears of reporting ethical violations they observe.

False

It is illegal for a firm to be hiring employees for some positions while simultaneously laying off employees from other positions.

False

The value of human capital is intangible and its contribution to the organization is not measurable, even though it is of critical importance to the organization's success.

False

The country that has the highest hourly compensation for manufacturing production workers is

Germany.

The reason that cooperation between operating managers and HR staff is necessary for HR efforts to succeed is that

HR designs processes that the operating managers must help implement

The Sarbanes-Oxley Act has had all of the following effects on HR EXCEPT

HR exempt-level professionals must have professional certification.

Tyrone Toys is intensely focused on reducing labor costs. During a meeting of the executive committee, a member suggests closing its unionized plant in Ohio and opening a non-union plant in Mississippi. The executive vice president (EVP) of HR, who is a member of this committee, suggests that the committee get legal advice in case Tyrone Toys would be subject to lawsuits by the union. This interaction suggests that

HR is a strategic partner in the firm because the EVP of HR is a permanent member of the executive committee

Which of the following statements is TRUE?

HR management is the voice of organizational ethics.

When HR is viewed negatively in an organization, the complaints are typically expressed as

HR managers being excessively focused on their gatekeeping roles

Henry, the production manager for a chemical plant, resents what he feels are unwarranted intrusions into his territory by HR managers. Henry feels that his relationships with his employees are strong and supportive, and that HR initiatives generally cause unnecessary trouble and complications.

Henry would be surprised to learn that every manager, including him, is an HR manager

The ____ sponsors the most well-known certification program for HR generalists.

Human Resource Certification Institute

By not providing contingent employees with health benefits, the employer can save 20-40% in labor costs compared with regular employees.

True

Contingent workers have less legal protection regarding selection, discrimination, benefits, discipline and termination than do regular employees.

True

Even though business is conducted globally by multi-national organizations, there are still significant differences among nations in the laws governing business.

True

Which of the following statements about organizational culture is FALSE?

Organizational cultures are static, and tend to remain almost identical to the culture established by the founder.

Which of the following activities would NOT fall into the risk management function of HR?

Requiring employees to purchase a minimal level of life insurance when they are deployed overseas.

If an organization has a culture that allows or even encourages unethical behavior, it is likely that the top leadership of the organization is at least partly responsible for the culture.

True

If the U.S. educational system does not improve, U.S. employers will be forced to expand international outsourcing of employees with degrees in computers, engineering, and health sciences..

True

Intellectual capital is the thinking, knowledge, creativity, and decision-making that people in organizations contribute.

True

A large Japanese semiconductor manufacturer is building a manufacturing plant in rural Texas. The Japanese firm has developed a highly-effective system of motivating employees which results in high productivity and high worker satisfaction. As an HR consultant to the Japanese firm, what should your advice be?

The Japanese firm should study the local Texas culture and redesign its motivation system for the U.S. plant.

Which of the following is TRUE about the U.S. educational system?

The U.S. education system is not generating the types of qualified workers needed in the economy..

International firms that move manufacturing operations to low-wage countries overseas are sometimes criticized for being "sweatshop employers." Which of the following is NOT a defense for an international firm that is taking advantage of the wage disparity between the U.S. and less-developed countries?

The host country employees receive specialized training that will enable them to emigrate to the U.S. for a better life.

You are the recruiter for an ophthalmologic products company. Your firm needs a scientist with a highly-specialized background. You have been unable to lure any scientist with the needed qualifications to your firm, even though you have offered a very high salary. After intensive searching, you have found a Canadian-educated, Peruvian scientist with impeccable credentials who is interested in moving to the U.S. Which problem are you most likely to encounter?

Tight immigration quotas for highly skilled workers.

A survey of HR professionals indicated that common ethical misconduct in HR activities included favoritism in hiring and promotion as well as personal bias in performance appraisal and pay increases.

True

Considering the trends in HR, current HR departments compared to departments of twenty years ago would

be more tightly linked with vendors of HR specialty services

The most common area for HR specialization is

benefits

Beverly, a child care supervisor at a children's hospital in a large urban area, communicates on a daily basis with other employees and community contacts through tweets, texts and blogs. She sends positive news and updates about the activities of the hospital. This social networking is not part of her formal job responsibilities. We can say that Beverly is probably

highly engaged with the organization.

The collective value of the capabilities, knowledge, skills, life experiences and motivation of an organizational workforce is called

human capital.

An integrated system providing information used by HR managers in decision making is a,

human resource management system

From an HR perspective, the most compelling reason given below for an organization to have a reputation for social responsibility is to

increase the ability to attract and retain employees.

Cisco Systems HR department instituted ethics training based on the TV show American Idol. All of the following are advantages of this training technique EXCEPT

it facilitates face-to-face interaction of trainers and trainee-employees.

Talent management includes which of the following activities?

job-skill training

Which is not one of the major challenges currently facing HR managers?

motivating employees without pay raises and promotions

HR professionals value their professional certification because

of the credibility certification gives them with peers and senior managers

Recruiting and selecting employees for current openings are typical ____ HR activities.

operational

The shared values and beliefs of an organization is its

organizational culture.

Human resource management is

the designing of organizational systems to ensure that human talent is used effectively and efficiently to accomplish organizational goal

Whether employees and managers of an organization behave ethically is fundamentally a function of

the organization's culture.

As the vice-president of HR for Woodmere Production, Inc., you are presenting a proposal to Woodmere's top management for outsourcing many of your department's administrative HR functions to vendors. You argue that HR vendors have greater expertise than your in-house staff and that outsourcing will allow you to spend more time on the strategic aspects of HR. But, another key selling-point to top management will be

the reduction in labor costs in the HR department

The roles played by HR management in the firm are being affected by all of the following EXCEPT

the shift from a service economy to a manufacturing economy.

Benjamin is an American engineer who is a consultant with a German engineering consulting firm. Currently, Benjamin is assigned to a project in South Korea where he will live for the next year. Benjamin is a/an

third-country national

Which of the following is NOT a major reason why businesses use contingent workers?

to accommodate employee desire for flexible work schedules.

Organizational productivity for the local Meals on Wheels charity ultimately affects the organization's

total costs.


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