BUS205 CH. 3 Human Resource Management Strategy & Analysis
All of the following are commonly addressed in an HR audit EXCEPT ________.
Accounting expenses
High-performance work organizations are most likely characterized by all of the following EXCEPT ________.
Commitment to high production rates
A course of action that a firm can pursue to achieve its strategic aims is known as a ________.
Strategy
According to the text, approximately what percentage of the U.S. workforce feels engaged?
30%
________ is a strategic planning tool that shows how each department performance contributes to achieve the company's overall strategic goal.
A strategy map
Which of the following is NOT one of the steps KIA UK used in their employee engagement HR strategy?
Focused on bonus-based compensation
The specific human resource policies and practices used to support a firm's strategic goals are known as human resource strategies.
T
A ________ presents a manager with desktop graphs and charts that illustrate where the company stands on metrics from the HR scorecard process.
Digital dashboard
John is a manager is looking at HR scorecard data through a ________, which presents the manager with desktop graphs and charts, showing a computerized picture of how the company is doing on all the metrics from the HR scorecard process.
Digital dashboard
Harley-Davidson sells a line of boots, helmets, and leather jackets indicating that the firm is pursuing which of the following strategies?
Diversification
Companies like Ferrari are known as ________ because they carve out a market niche and compete by providing a product that customers can attain in no other way.
Focusers
Lauren is identifying what each department in her company must do to help the business accomplish its strategic goals. These are known as ________ strategies.
Functional
Which of the following strategies identifies the broad activities that each department will pursue in order to help a business attain its competitive goals?
Functional
Which of the following refers to an analysis by which an organization measures where it currently stands and determines what it has to accomplish to improve its HR functions?
HR audit
The ________ is a process for assigning financial and nonfinancial goals or metrics to the human resource management-related strategy-map chain of activities required for achieving the company's strategic aims .
HR scorecard
The concise measurement system used by companies to show the quantitative standards the firm uses to measure HR activities, employee behaviors resulting from the activities, and the strategically relevant organizational outcomes of those employee behaviors is called a(n) ________.
HR scorecard
Which of the following is used to manage employee performance and to align all employees with the key objectives a firm needs to achieve its strategic goals?
HR scorecard
Which of the following refers to a process for assigning financial and nonfinancial goals to the HR management-related chain of activities required for achieving the company's strategic aims and for monitoring results?
HR scorecard
Reese Enterprises seeks to fill upper-level positions internally whenever possible and uses validated selection tests when considering external hires. This most likely suggests the company is developing a ________.
High-performance work system
All of the following practices are most likely implemented by companies with high-performance work systems EXCEPT ________.
providing pay increases based on service years
A firm's functional strategies identify the broad activities that each ________ will do in order to help the business accomplish its strategic goals.
Department
What is the first step in the strategic management process?
Asking, "Where are we now as a business?"
Which of the following terms refers to the process of comparing and analyzing the practices of one firm with those of a high-performing company?
Benchmarking
Which of the following is NOT part of the basic managerial planning?
Building corporate hierarchies
A company's ________ strategy identifies how to build and strengthen the business's long-term competitive position in the marketplace.
Competitive
Which of the following refers to any factors that allow a company to differentiate its product or service from those of its competitors to increase market share?
Competitive advantage
An HR manager conducting an HR audit on compensation would most likely search for ________.
Compliance with state and federal laws
What tool might be best used to assess recruitment effectiveness?
Computerized applicant tracking systems
The 2008 announcement by Starbucks that it would be closing approximately 600 of its stores suggests the firm was using a ________ strategy.
Consolidation
A company's ________ strategy identifies the portfolio of businesses that comprise a firm and the ways in which these businesses relate to each other.
Corporate-level
John wants his shoe store to adopt the strategy of having the lowest prices on shoes in town. John is adopting which competitive strategy?
Cost leadership
Executives at Hartford Clothing, a retail department store chain, want to find out what products their customers buy, when they purchase products, and what days of the week are most popular for shopping. Executives want to discover customer patterns and make predictions about their customers' buying habits. What would be the most effective tool for Hartford?
Data mining system
Which of the following is most likely a true statement about high-performance companies?
Employees receive extensive training
Critical human resource tasks during mergers and acquisitions include all the following EXCEPT:
Enforcing current rules
Strategic management is best defined as the process of identifying and executing the organization's strategic plan by matching the company's capabilities with its ________.
Environmental demands
Which of the following is a simple guide used to compile relevant inf ormation about a company's environment including economic, competitive, and political trends that may affect a firm?
Environmental scan worksheet
The use of human resource metrics is essential for ________.
Evidence-based management
A diversification corporate strategy implies that a firm will ________.
Expand by adding new product lines
A high-performance work system is a tool that quantifies the relationship between HR activities, employee behaviors, and firm performance.
F
A mission statement is a general statement of a company's intended direction that evokes emotional feelings in the organization's members.
F
A strategic audit would most likely NOT be used by an HR manager to assess a firm's procedures and practices in regards to employee benefits.
F
A vertical integration strategy means that a firm will expand by adding new product lines.
F
Although applicant tracking systems typically increase overall recruiting costs, the benefits of hiring high-performing employees are worth the investment for most firms.
F
Benchmarking indicates the extent to which a firm's HR practices are helping to accomplish long-term strategic goals.
F
Benchmarking involves analyzing the demographic make-up of an organization over a specific period to determine the overall diversity of the firm.
F
Consolidation keeps the company's strategy up to date by assessing progress toward strategic goals and taking corrective action as needed.
F
Cost leadership, differentiation, and focus strategies are types of corporate-level strategies.
F
Goals are initiated by the bottom level of an organization according to the hierarchy of goals approach to strategic planning.
F
HR scorecards present managers with desktop graphs and charts of how a firm's HR strategies compare to those of other firms in the same industry.
F
High-performance companies are less likely than low-performance companies to invest in costly employee training programs.
F
Research suggests a majority of workers in the United States are engaged at work.
F
MAX Computers manufactures affordable laptops, desktops, and tablets at its factory in Arizona. MAX has experienced a moderate amount of financial success, but upper management wants the firm to grow at a faster rate and become a bigger player in the highly competitive computer market. The firm's greatest problems relate to its employees. Employee turnover is high—most employees at MAX leave within two years or less of being hired. In addition, the rate of productivity among employees is not as high as executives would like. The vice president of human resources is considering moving MAX towards a high-performance work system. Which of the following questions is most relevant to MAX's decision to move toward a high-performance work system?
How would the implementation of self-managing work teams affect employee morale and work standards at MAX?
Which of the following terms refers to the quantitative measure of a human resource management yardstick such as employee turnover or qualified applicants per position?
Human resource metrics
Sweet Leaf Tea, a Texas- based maker of bottled iced tea, is a small but fast-growing firm that has gained a loyal following for its use of fresh, organic ingredients in its beverages. Although beverage industry experts recommended that Sweet Leaf replace the organic cane sugar and honey it uses with less costly high-fructose corn syrup, Sweet Leaf refused because of the company's mission to provide a high-quality, organic beverage to consumers. The 11-year old company has 50 employees, and its products are available in 30% of the U.S. market. Sweet Leaf Tea recently received multi-million dollar investments which will enable the business to expand its national presence. Which of the following, if true, best supports the idea that Sweet Leaf Tea has implemented a competitive strategy of differentiation?
Loyal customers of Sweet Leaf Tea seek products that are USDA certified organic despite the associated higher costs.
Sweet Leaf Tea, a Texas-based maker of bottled iced tea, is a small but fast-growing firm that has gained a loyal following for its use of fresh, organic ingredients in its beverages. Although beverage industry experts recommended that Sweet Leaf replace the organic cane sugar and honey it uses with less costly high-fructose corn syrup, Sweet Leaf refused because of the company's mission to provide a high-quality, organic beverage to consumers. The 11-year old company has 50 employees, and its products are available in 30% of the U.S. market. Sweet Leaf Tea recently received multi-million dollar investments which will enable the business to expand its national presence. Which of the following, if true, would best support the argument that Sweet Leaf Tea should implement a corporate-level strategy of concentration?
Market data suggest s that customers really only want the tea itself, not related products.
The ________ of the California Energy Commission indicates that the organization assesses and acts through public and private partnerships to improve energy systems that promote a strong economy and a healthy environment.
Mission statement
All of the following are steps involved in the strategic management process EXCEPT ________
Offshoring low-skill jobs
All of the following are services that human resource consulting companies provide during mergers and acquisitions EXCEPT ________.
Overseeing database recovery systems
What is the primary reason that mergers and acquisitions fail?
Personnel
Which term indicates the course of action for getting from where you are to where you want to go?
Plan
Human resource strategies are the ________ used to support a firm's strategic goals.
Policies and practices
Which of the following activities most likely indicates that a firm is implementing a vertical integration strategy?
Producing raw materials
John wants to perform external and internal audits as part of the strategic management process. What is a frequently used tool to organize relevant information on positive and negative aspects of the company and environment?
SWOT chart
What is the first step in the basic planning process?
Setting an objective
Formulating and executing human resource policies and practices that produce the employee competencies and behaviors a company needs to achieve its strategic aims is known as ________.
Strategic human resource management
Which of the following is a strategic planning tool that offers an overview of how each department's performance contributes to achieving the company's overall strategic goals?
Strategic map
What is a company's plan for how it will match its internal strengths and weaknesses with external opportunities and threats to maintain a competitive advantage?
Strategic plan
________ defines the nature of the company's business in terms of how it will match its internal strengths and weaknesses with its external opportunities and threats in order to maintain a competitive position.
Strategic planning
In order to generate the desired workforce skill, competencies, and behaviors that a firm needs to achieve its strategic goals, human resource management must first develop ________.
Strategic plans
Like the scientific method, evidence-based HR management should have all of the following characteristics EXCEPT ________.
Subjectivity
Sweet Leaf Tea, a Texas- based maker of bottled iced tea, is a small but fast-growing firm that has gained a loyal following for its use of fresh, organic ingredients in its beverages. Although beverage industry experts recommended that Sweet Leaf replace the organic cane sugar and honey it uses with less costly high-fructose corn syrup, Sweet Leaf refused because of the company's mission to provide a high-quality, organic beverage to consumers. The 11-year old company has 50 employees, and its products are available in 30% of the U.S. market. Sweet Leaf Tea recently received multi-million dollar investments which will enable the business to expand its national presence. Which of the following, if true, would most likely undermine the argument that Sweet Leaf Tea should implement a corporate-level strategy of vertical integration?
Sweet Leaf Tea lacks the facilities or knowledge to produce the raw ingredients for its beverages.
A business-level strategy is implemented by Pizza Hut, Domino's, Papa John's and Little Caesar's in their competition with each other for pizza customers.
T
A construction firm that wants to compare its own HR-related metric results with those of other construction firms can use a benchmarking service provided by SHRM.
T
A vision statement is broader and more future-oriented than a mission statement.
T
According to recent studies, high-performance work organizations recruit more job candidates, use more selection tests, and spend many more hours training employees
T
Companies with empowered, highly trained, flexible workforces have a competitive advantage.
T
HR audits typically review a firm's recruiting, testing, and training methods to ensure compliance with government and organization regulations.
T
Human resource audits and benchmarking are two critical tools used by managers who implement an evidence-based approach to human resource management
T
Human resource metrics are used to assess a firm's HR performance and to compare one firm's HR performance with that of another firm.
T
Human resource practices, such as hiring based on selection tests, pay raises based on work performance, and training provided to new and experienced employees, contribute to a company's ability to achieve high-performance levels.
T
Managers engage in three levels of strategic planning.
T
McDonald's addressed its lagging profitability by first closing stores operating below its guidelines. McDonald's used a consolidation strategy.
T
Steps in the basic management planning process include setting objectives, reviewing alternative courses of action, and evaluating which options are best.
T
Strategic human resource management means formulating and executing HR systems that produce the employee competencies and behaviors a firm needs to achieve its strategic aims.
T
Strategic management focuses more on translating a mission into goals than on the functions of organizing, staffing, and controlling.
T
Strategy is a course of action.
T
Strategy maps help managers link the company's strategic plan with departmental activities.
T
Which term refers to software applications used to analyze and draw conclusions from HR data?
Talent analytics
________ involves setting objectives, making forecasts, reviewing alternative courses of action, evaluating options and implementing the plan.
The management planning process
Which of the following is the final step in the strategic human resource management process?
The manager asks, "Specifically what recruitment, selection, training, and other HR policies and practices should we put in place so as to produce the required employee skills and behaviors?"
MAX Computers manufactures affordable laptops, desktops, and tablets at its factory in Arizona. MAX has experienced a moderate amount of financial success, but upper management wants the firm to grow at a faster rate and become a bigger player in the highly competitive computer market. The firm's greatest problems relate to its employees. Employee turnover is high—most employees at MAX leave within two years or less of being hired. In addition, the rate of productivity among employees is not as high as executives would like. The vice president of human resources is considering moving MAX towards a high-performance work system. Which of the following best supports the argument that MAX should move towards a high-performance work system?
Using advanced recruitment and hiring practices will allow MAX to improve employee productivity.
When Apple opened its own Apple stores, this was an example of ________.
Vertical integration
Winchester Rugs operates a Web site called www.buyrugsdirect.com, so Winchester Rugs is most likely using a strategy of ________.
Vertical integration
Which of the following provides a summary of a firm's intended direction and shows, in broad terms, "what we want to become"?
Vision statement
A company's business-level strategy identifies the ________.
Ways to strengthen a firm's long-term competitive position in the marketplace
Which of the following questions would LEAST likely be answered by the use of workforce analytics software?
What hiring policies are standard in the industry?
The sales director at WebMD is calculating annual sales revenue targets and the number of new medical-related content providers that the firm needs to maintain a competitive advantage. In which step of the strategic management process is the sales director involved?
choosing specific strategies or courses of action
The primary purpose of implementing high-performance practices such as recruiting, screening, and training is to ________
develop a trained, flexible, and self-motivated workforce
Which of the following terms refers to a set of human resource management policies and practices that promote organizational effectiveness?
high-performance work system
The primary purpose of strategic human resource management is to ________.
integrate a company's strategic plan with its human resource strategies