Chapter 1-Human Resource Management in Organizations


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Chapter 1—Human Resource Management in Organizations
MULTIPLE CHOICE
1. Which of the following statements is true of the functions of human resource management?

a.

It is a clerical operation in large companies concerned with payroll and employee records.

b.

It refers to a department which looks into the legal ramifications of policies and procedures that affect only the employees in an organization.

c.

It is a function concerned with costs, planning, and the implications of various strategies for organizations.

d.

It refers to a design of formal systems in an organization to manage human talent for accomplishing organizational goals.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-01

NAT: BUSPROG: Analytic TOP: What is Human Resource Management?

KEY: Bloom's: Comprehension
2. A useful way to measure the productivity of a workforce is:

a.

to determine the total cost of people required for each unit of output.

b.

to determine the total cost of people required for an output of 100 units.

c.

to determine the total cost of people required to complete a day’s worth of work.

d.

to determine the total cost of people required to complete a year’s worth of work.


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
3. How is unit labor cost computed?

a.

By dividing the total cost of workers by the total level of output

b.

By dividing the total level of output by the total cost of workers

c.

By dividing the average level of output by the average cost of workers

d.

By dividing the average cost of workers by their average levels of output


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
4. _____, a method to increase employee productivity, involves eliminating layers of management and changing reporting relationships, as well as cutting staff through downsizing, layoffs, and early retirement buyout programs.

a.

Organizational restructuring

b.

Redesigning work

c.

Aligning human resource activity

d.

Outsourcing


ANS: A PTS: 1 DIF: Easy OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Knowledge
5. _____, a method to increase employee productivity, involves having fewer employees who perform multiple job tasks.

a.

Organizational restructuring

b.

Aligning HR activity

c.

Outsourcing

d.

Redesigning work


ANS: D PTS: 1 DIF: Easy OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Knowledge
6. _____, a method to increase employee productivity, includes ensuring that staffing, training and development, performance management, and compensation are not working to offset productivity.

a.

Outsourcing

b.

Redesigning work

c.

Aligning human resource activity

d.

Organizational restructuring


ANS: C PTS: 1 DIF: Easy OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Knowledge
7. Which of the following is a part of the process of restructuring an organization?

a.

Aiding in mergers and acquisitions

b.

Reshaping jobs because of technology changes

c.

Attracting and retaining employees

d.

Using domestic vendors instead of employees


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
8. Which of the following is a part of the process of redesigning work?

a.

Reshaping jobs because of technology changes

b.

Revising organizational structures

c.

Training, developing, and evaluating employees

d.

Outsourcing operations internationally


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
9. Which of the following is a part of the process of aligning human resource activities?

a.

Changing workloads and combining jobs

b.

Revising organizational structure

c.

Using domestic vendors instead of employees

d.

Training, developing, and evaluating employees


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
10. Which of the following is a part of the process of outsourcing analyses?

a.

Revising organizational structure

b.

Using domestic vendors instead of employees

c.

Changing workloads and combining jobs

d.

Attracting and retaining employees


ANS: B PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
11. Which of the following is true of organizational culture?

a.

It increases the diversity of an organization.

b.

It decreases the diversity of an organization.

c.

It tells people how to behave in an organization.

d.

It does not take a very long time to evolve.


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-02

NAT: BUSPROG: Analytic TOP: Where Employees Can Be a Core Competency

KEY: Bloom's: Comprehension
12. Which of the following is a part of the human resource function of employee and labor relations?

a.

Human resource policies

b.

Health and wellness

c.

Human resource effectiveness

d.

Affirmative action


ANS: A PTS: 1 DIF: Easy OBJ: LO: 01-03

NAT: BUSPROG: Analytic TOP: HR Management Functions

KEY: Bloom's: Knowledge
13. Which of the following is a part of the strategy and planning function of human resource management?

a.

Diversity

b.

Human resource retention

c.

Job analysis

d.

Compensation


ANS: B PTS: 1 DIF: Easy OBJ: LO: 01-03

NAT: BUSPROG: Analytic TOP: HR Management Functions

KEY: Bloom's: Knowledge
14. Which of the following is a part of the staffing function of human resource management?

a.

Recruiting

b.

Training

c.

Orientation

d.

Career planning


ANS: A PTS: 1 DIF: Easy OBJ: LO: 01-03

NAT: BUSPROG: Analytic TOP: HR Management Functions

KEY: Bloom's: Knowledge
15. Which of the following is true of the administrative role of human resource departments?

a.

It involves managing most human resource activities in keeping with strategies and operations that have been identified by management.

b.

It involves helping to define the strategy relative to human capital and its contribution to organizational results.

c.

It involves identifying possible strategies to attract and retain talent with a focus on organizational growth.

d.

It focuses on record keeping, including essential legal paperwork and policy implementation.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Analytic TOP: Roles for Human Resource Departments

KEY: Bloom's: Comprehension
16. Which of the following is true of the operational role of human resource departments?

a.

It involves focusing on clerical administration and recordkeeping, including essential legal paperwork and policy implementation.

b.

It involves identifying possible strategies to attract and retain talent with a focus on organizational growth.

c.

It involves managing most human resource activities in keeping with the strategies that have been identified by management.

d.

It involves helping to define the strategy relative to human capital and its contribution to organizational results.


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Analytic TOP: Roles for Human Resource Departments

KEY: Bloom's: Comprehension
17. Which of the following has traditionally been the dominant role for human resources?

a.

Operational role

b.

Employee advocate role

c.

Administrative role

d.

Strategic role


ANS: C PTS: 1 DIF: Easy OBJ: LO: 01-03

NAT: BUSPROG: Analytic TOP: Roles for Human Resource Departments

KEY: Bloom's: Knowledge
18. Sara, a human resource manager at Comp Inc., is moving from an administrative role in the human resource department to an operational role. Which of the following is best describes Sara’s change of role?

a.

Moving from processing legal paperwork to serving as a “champion” of employee concerns

b.

Moving from processing legal paperwork to helping define the strategy to manage human capital

c.

Moving from helping define the strategy to manage human capital to serving as a “champion” of employee concerns

d.

Moving from helping define the strategy to manage human capital to processing legal paperwork


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Reflective Thinking TOP: Roles for Human Resource Departments

KEY: Bloom's: Application
19. Bob, a human resources executive at Axis Inc., is moving from an operational role in the human resources department to a strategic role. Which of the following best describes Bob’s change of role?

a.

Moving from serving as a “champion” of employee concerns to helping define the strategy to manage human capital

b.

Moving from helping define the strategy to manage human capital to processing legal paperwork

c.

Moving from processing legal paperwork to serving as a “champion” of employee concerns

d.

Moving from processing legal paperwork to helping define the strategy to manage human capital


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Reflective Thinking TOP: Roles for Human Resource Departments

KEY: Bloom's: Application
20. David, a human resources manager at RedWall Inc., is moving from an administrative role in the human resource department to a strategic role. Which of the following best describes David’s change of role?

a.

Moving from serving as a “champion” of employee concerns to processing legal paperwork

b.

Moving from helping define the strategy to manage human capital to serving as a “champion” of employee concerns

c.

Moving from processing legal paperwork to helping define the strategy to manage human capital

d.

Moving from helping define the strategy to manage human capital to processing legal paperwork


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Reflective Thinking TOP: Roles for Human Resource Departments

KEY: Bloom's: Application
21. Mike, a human resources executive at Oyster Studios, is moving from an operational role in the human resources department to an administrative role. Which of the following best describes Mike’s change of role?

a.

Moving from processing legal paperwork to serving as a “champion” of employee concerns

b.

Moving from serving as a “champion” of employee concerns to helping define the strategy to manage human capital

c.

Moving from processing legal paperwork to helping define the strategy to manage human capital

d.

Moving from serving as a “champion” of employee concerns to processing legal paperwork


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Reflective Thinking TOP: Roles for Human Resource Departments

KEY: Bloom's: Application
22. Donna, a human resources manager at Loch Inc., is moving from a strategic role in the human resources department to an operational role. Which of the following best describes Donna’s change of role?

a.

Moving from helping define the strategy to manage human capital to serving as a “champion” of employee concerns

b.

Moving from helping define the strategy to manage human capital to processing legal paperwork

c.

Moving from processing legal paperwork to helping define the strategy to manage human capital

d.

Moving from serving as a “champion” of employee concerns to processing legal paperwork


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Reflective Thinking TOP: Roles for Human Resource Departments

KEY: Bloom's: Application
23. Sunny, a human resources executive at FlyHi Inc., is moving from a strategic role in the human resources department to an administrative role. Which of the following best describes Sunny’s change of role?

a.

Moving from processing legal paperwork to serving as a “champion” of employee concerns

b.

Moving from serving as a “champion” of employee concerns to helping define the strategy to manage human capital

c.

Moving from helping define the strategy to manage human capital to serving as a “champion” of employee concerns

d.

Moving from helping define the strategy to manage human capital to processing legal paperwork


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-03

NAT: BUSPROG: Reflective Thinking TOP: Roles for Human Resource Departments

KEY: Bloom's: Application
24. A(n) _____ is a citizen of one country working in a second country and employed by an organization headquartered in the first country.

a.

host-country national

b.

expatriate

c.

third-country national

d.

independent contractor


ANS: B PTS: 1 DIF: Easy OBJ: LO: 01-04

NAT: BUSPROG: Analytic TOP: Human Resources Management Challenges

KEY: Bloom's: Knowledge
25. A(n) _____ is a citizen of one country who is working in that country and employed by an organization headquartered in a second country.

a.

expatriate

b.

independent contractor

c.

host-country national

d.

third-country national


ANS: C PTS: 1 DIF: Easy OBJ: LO: 01-04

NAT: BUSPROG: Analytic TOP: Human Resources Management Challenges

KEY: Bloom's: Knowledge
26. A(n) _____ is a citizen of one country who is working in a second country and employed by an organization headquartered in a third country.

a.

expatriate

b.

second-country national

c.

host-country national

d.

third-country national


ANS: D PTS: 1 DIF: Easy OBJ: LO: 01-04

NAT: BUSPROG: Analytic TOP: Human Resources Management Challenges

KEY: Bloom's: Knowledge
27. Raul, a U.S. citizen, works in Mexico for an organization headquartered in the United States. Which of the following statements is true of Raul?

a.

He is a host-country national.

b.

He is an independent contractor.

c.

He is a third-country national.

d.

He is an expatriate.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Reflective Thinking TOP: Human Resources Management Challenges

KEY: Bloom's: Application
28. Jane, a citizen of the country of Aria, works in the country of Polia for an organization headquartered in Aria. Which of the following best describes Jane?

a.

She is a host-country national.

b.

She is a third-country national.

c.

She is an independent contractor.

d.

She is an expatriate.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Reflective Thinking TOP: Human Resources Management Challenges

KEY: Bloom's: Application
29. Peter, a U.S. citizen, works in the United States for an organization headquartered in Mexico. Which of the following best describes Peter?

a.

He is an independent contractor.

b.

He is a third-country national.

c.

He is a host-country national.

d.

He is an expatriate.


ANS: C PTS: 1 DIF: Moderate OBJ: LO:01-04

NAT: BUSPROG: Reflective Thinking TOP: Human Resources Management Challenges

KEY: Bloom's: Application
30. Smith, a U.S. citizen, works in his country for an organization headquartered in a different country. Which of the following best describes Smith?

a.

He is a third-country national.

b.

He is a host-country national.

c.

He is a third-country national.

d.

He is an independent contractor.


ANS: B PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Reflective Thinking TOP: Human Resources Management Challenges

KEY: Bloom's: Application
31. Joe, a U.S. citizen, works in Mexico for an organization headquartered in the United Kingdom. Which of the following best describes Joe?

a.

He is an expatriate.

b.

He is a host-country national.

c.

He is an inpatriate.

d.

He is a third-country national.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Reflective Thinking TOP: Human Resources Management Challenges

KEY: Bloom's: Application
32. Which of the following is true of the common challenges for global human resource?

a.

Companies feel that it is easier to be locally flexible as they expand.

b.

Executives always feel that their companies are good at transferring lessons from one country to another.

c.

Sharing the cost of distant centers decreases the expense of local operations.

d.

Emerging market opportunities expose companies to unfamiliar risks that may be difficult to analyze.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Analytic TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
33. Which of the following is a disadvantage of an aging workforce in economically developed countries?

a.

Having to provide retirement benefits

b.

Having to decrease the span of control

c.

Having to provide flexible work arrangements

d.

Having to replace experience and talent


ANS: D PTS: 1 DIF: Easy OBJ: LO: 01-04

NAT: BUSPROG: Analytic TOP: Human Resources Management Challenges

KEY: Bloom's: Knowledge
34. Which of the following is an advantage of using a contingent workforce?

a.

Committed employees

b.

No training needed

c.

Lower cost

d.

Wider span of control


ANS: C PTS: 1 DIF: Easy OBJ: LO: 01-04

NAT: BUSPROG: Analytic TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
35. Which of the following is true about a Human Resource Information System?

a.

It is a software that allowed human resources to run its own reports and make changes without help from IT.

b.

It is a software that runs in a vendor’s data center or on the Cloud and it allows self-service.

c.

It is a software that runs only on the Cloud and allows self-service.

d.

It is a software that did payroll, kept track of employees, and ran reports for human resource managers with support from IT.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Technology TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
36. Which of the following is true of PeopleSoft?

a.

It is a software that runs in a vendor’s data center or on the Cloud and it allows self-service.

b.

It is a software that allowed human resources to run its own support and make changes without help from IT.

c.

It is a software that runs only on the Cloud and allows self-service.

d.

It is a software that kept track of employees for human resource managers with support from IT.


ANS: B PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Technology TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
37. Which of the following is true of Software-as-a-Service?

a.

It is a software that runs in a vendor’s data center or on the Cloud and it allows self-service.

b.

It is a software that allowed the human resource unit to run its own support and make changes with help from IT.

c.

It is a software that runs only on the Cloud and allows self-service.

d.

It is a software that kept track of employees and ran reports for human resource managers with support from IT.


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Technology TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
38. Which of the following is a difference between a Human Resource Information System (HRIS) and PeopleSoft?

a.

PeopleSoft used the Cloud while an HRIS used a vendor’s data center.

b.

PeopleSoft did not allow human resource units to run its own reports whereas an HRIS allowed it.

c.

An HRIS was run on support from IT people while PeopleSoft did not require any support from IT.

d.

An HRIS used the Cloud while PeopleSoft used a vendor’s data center.


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Technology TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
39. Which of the following is the difference between a Human Resource Information Systems (HRIS) and Software-as-a-Service (SaaS)?

a.

An HRIS uses a vendor’s data center, while SaaS uses the Cloud.

b.

An HRIS uses the Cloud, while SaaS uses a vendor’s data center.

c.

SaaS requires support from IT, while an HRIS allows self-service.

d.

SaaS allows self-service, while an HRIS requires support from IT.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-04

NAT: BUSPROG: Technology TOP: Human Resources Management Challenges

KEY: Bloom's: Comprehension
40. In the context of social media, the disclosure of which of the following is most likely to be considered a risk by employers?

a.

Policy changes

b.

Customer lists

c.

Competitive service details

d.

Operational changes


ANS: B PTS: 1 DIF: Easy OBJ: LO: 01-04

NAT: BUSPROG: Technology TOP: Human Resources Management Challenges

KEY: Bloom's: Knowledge
41. Which of the following is a recommendation of the Organization for Economic Cooperation?

a.

It has recommended that global multinational firms give equal employment opportunities to all segments of the society.

b.

It has recommended that all countries should encourage and facilitate global trade and open their financial markets to globalization.

c.

It has recommended that global multinational firms establish and implement stricter ethical standards to aid business development.

d.

It has recommended and encouraged free trade policies like the North American Free Trade Agreement between Canada, Mexico, and the United States.


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-05

NAT: BUSPROG: Analytic

TOP: Organizational Ethics and Human Resource Management

KEY: Bloom's: Comprehension
42. Which of the following is true of the Sarbanes-Oxley Act?

a.

It was passed in 2000 by Congress to encourage free trade between Canada, Mexico, and the United States.

b.

It was passed in 2002 by Congress to make certain that publicly traded companies follow accounting controls that could reduce the likelihood of illegal behavior.

c.

It was passed in 2006 by Congress to ensure stricter adherence of guidelines in the hiring practices of immigrant workers in the American workforce.

d.

It was passed in 2004 by Congress to encourage foreign direct investments by providing tax subsidies to increase the rate of return for investments.


ANS: B PTS: 1 DIF: Moderate OBJ: LO: 01-05

NAT: BUSPROG: Analytic

TOP: Organizational Ethics and Human Resource Management

KEY: Bloom's: Comprehension
43. In the context of the Sarbanes-Oxley Act, the biggest concerns are linked to:

a.

immigrant workers.

b.

executive compensation.

c.

employee productivity.

d.

workplace safety.


ANS: B PTS: 1 DIF: Moderate OBJ: LO: 01-05

NAT: BUSPROG: Analytic

TOP: Organizational Ethics and Human Resource Management

KEY: Bloom's: Comprehension
44. Josh, a human resource executive, works with AmPro Inc. Recently, he moved from a generalized role in the HR department to a senior role. Which of the following skills does Josh have to build to succeed in his new role?

a.

Administrative capabilities

b.

Operational knowledge

c.

Ability to lead changes

d.

Legal capabilities


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-06

NAT: BUSPROG: Reflective Thinking

TOP: Human Resources Management Competencies and Careers

KEY: Bloom's: Application
45. A person who is responsible for performing a variety of human resource activities is known as a _____.

a.

human resource specialist

b.

human resource planner

c.

human resource strategist

d.

human resource generalist


ANS: D PTS: 1 DIF: Easy OBJ: LO: 01-06

NAT: BUSPROG: Analytic

TOP: Human Resource Management Competencies and Careers

KEY: Bloom's: Knowledge
46. Which of the following is a specialized human resource organization?

a.

WorldatWork Association

b.

Organization for Economic Cooperation

c.

Ethics Resource Center

d.

U.S. Small Business Association


ANS: A PTS: 1 DIF: Easy OBJ: LO: 01-06

NAT: BUSPROG: Analytic

TOP: Human Resources Management Competencies and Careers

KEY: Bloom's: Knowledge
47. Josh, a human resource manager, used to handle employee recruitment and compensation for his organization. After a promotion, he was responsible for handling employee recruitment, compensation, and benefits. Which of the following is true of Josh?

a.

Both the roles played by Josh are generalist roles.

b.

Both the roles played by Josh are specialist roles.

c.

Josh moved from a generalist role to a specialist role.

d.

Josh moved from a specialist role to a generalist role.


ANS: A PTS: 1 DIF: Moderate OBJ: LO: 01-06

NAT: BUSPROG: Reflective Thinking

TOP: Human Resources Management Competencies and Careers

KEY: Bloom's: Application
48. Suzie, a human resource executive, works with ZedNet Inc. She was responsible for employee recruitment and compensation. After a promotion, she was made responsible only for recruitment. Which of the following is true of Suzie?

a.

Both the roles that Suzie played were generalist roles.

b.

Both the roles that Suzie played were specialist roles.

c.

Suzie moved from a specialist role to a generalist role.

d.

Suzie moved from a generalist role to a specialist role.


ANS: D PTS: 1 DIF: Moderate OBJ: LO: 01-06

NAT: BUSPROG: Reflective Thinking

TOP: Human Resources Management Competencies and Careers

KEY: Bloom's: Application
49. Ramone, a human resource manager, works for TelVille Inc. Initially, he was responsible only for recruitment. After a promotion, he was made responsible exclusively for employee benefits. Which of the following is true of Ramone?

a.

Both the roles that Ramone played were generalist roles.

b.

Both the roles that Ramone played were specialist roles.

c.

Ramone moved from a specialist role to a generalist role.

d.

Ramone moved from a generalist role to a specialist role.


ANS: B PTS: 1 DIF: Moderate OBJ: LO: 01-06

NAT: BUSPROG: Reflective Thinking

TOP: Human Resources Management Competencies and Careers

KEY: Bloom's: Application
50. Max, a human resource executive, works at Axis Inc. Initially, he was responsible only for recruitment but after his promotion was responsible for recruitment, compensation, and benefits. Which of the following best describes Max?

a.

Both the roles played by Max were generalist roles.

b.

Both the roles played by Max were specialist roles.

c.

Max moved from a specialist role to a generalist role.

d.

Max moved from a generalist role to a specialist role.


ANS: C PTS: 1 DIF: Moderate OBJ: LO: 01-06

NAT: BUSPROG: Reflective Thinking

TOP: Human Resources Management Competencies and Careers

KEY: Bloom's: Application
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