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144 Cards in this Set

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  • Back
The steps involved with passing new laws begin with:
a. Placing a bill on a committee agenda
b. Referring the bill to subcommittee
c. Examining the bill for likelihood of passing
d. Debating the merits of the bill on the House or Senate floor
a. Placing a bill on a committee agenda
If the President received a bill for his approval does nothing with it:
a. It automatically becomes a law
b. The legislation dies
c. Depends on whether the House or Senate are in session
d. It is a “pocket veto”
c. Depends on whether the House or Senate are in session
What is the best way to gain attention on HR issues with Congress?
a. Participate in Grass Roots efforts
b. Lobby in Washington with other HR professionals
c. Write your Senator’s staff concerning recommendations
d. Attend meetings to become more aware of issues facing Congress
a. Participate in Grass Roots efforts
The typical functions of management in a small business include all of the following
except:
a. Accounting
b. Marketing
c. Information Technology
d. Strategic Planning
d. Strategic Planning
The three historic HR roles are:
a. Basic, confidential and strategic
b. Advisory, service and control
c. Advisory, control and strategic
d. Record keeping, staffing and training
b. Advisory, service and control
Human Resource branding is most often used for:
a. Demonstrating “best practices” in the organization
b. Recruiting high caliber candidates to the organization
c. Creating a culture inside the organization
d. Being more involved in marketing
b. Recruiting high caliber candidates to the organization
In __________ budgeting, the prior budget is used as the basis for new funding.
a. Zero-based
b. Incremental
c. Formula
d. Gross profit
b. Incremental
In which type of organizational structure would it be more difficult to replace the Vice
President of Information Technology with a generally trained director from the same
firm?
a. Divisional
b. Matrix
c. Functional
d. Customer
c. Functional
The following are some of the basic functions all managers perform, except:
a. Planning
b. Controlling
c. Motivating
d. Organizing
c. Motivating
A company that want to create new, innovative, products each year would have a
__________ strategy.
a. Cost-Leadership
b. Differentiation
c. Decentralized
d. Flexible
b. Differentiation
The unique capability an organization has that creates value and differentiates it from
competitors is its:

b. Brand recognition
c. Organizational culture
d. Experienced staff
a. Core competency
Pick the best answer: A “SWOT” analysis is used to determine:
a. The internal opportunities and external threats to an organization
b. Workforce availability in the area
c. The philosophy and culture of the organization
d. The competitive challenges the organization may face
d. The competitive challenges the organization may face
The consumer price index is the:
a. Percentage change in the cost of good and services
b. Value of goods and services produced
c. Change in the interest rate
d. Value of the gross domestic product
a. Percentage change in the cost of good and services
When scanning the environment relative to generational factors, employers want to
identify technology driven employees may need to attract persons in:
a. The sandwich generation
b. The baby boomer generation
c. Generation Y
d. Anyone who has an IT degree
c. Generation Y
The balanced scorecard is a management tool designed for organizational
development, providing a picture of the overall organization in all of the following areas,
except:
a. Financial goals
b. Customer perspective
c. Learning and innovation
d. Sales processes
d. Sales processes
The best role HR can play in the strategic planning process is to:
a. Do what you’re told to do, when you’re told to do it
b. Ask to be part of a sub-committee, where you can participate
c. Become a consultant to the strategic planning process
d. Forge relationships so others come to you for counsel
c. Become a consultant to the strategic planning process
HR is acting as a strategic partner when it:
a. Works with the corporate lawyer to answer an EEO claim
b. Determines the availability of qualified applicants in a city where the organization is considering opening a facility
c. Trains managers to identify potential sexual harassment incidents
d. Fills open positions in less time than anticipated
b. Determines the availability of qualified applicants in a city where the organization is considering opening a facility
Through __________ , HR attempts to anticipate the need for and availability of
qualified workers so the organization can meet its future goals and objectives.
a. Staffing
b. HR audits
c. HR development
d. HR planning
d. HR planning
Interviews, surveys and questionnaires are all examples of __________ research.
a. Primary
b. Experimental
c. Secondary
d. Employee morale
a. Primary
The correct order of the steps involved in planning a merger or acquisition are:
a. Pre-deal, integration planning, implementation and due-diligence
b. Pre-deal, due-diligence, integration planning and implementation
c. Due-diligence, integration planning, implementation and evaluation
d. Pre-deal, due-diligence, integration planning and evaluation
b. Pre-deal, due-diligence, integration planning and implementation
When evaluating the progress of the acquisition team for meeting projected goals
during the acquisition cycle, the most common method for measuring is:
a. Benchmarking
b. Gantt charts
c. MBO’s
d. TQM
b. Gantt charts
Kurt Lewin’s Theory of Change involves:
a. Unfreezing, melting and refreezing
b. Melting, moving and freezing
c. Melting, drying and refreezing
d. Unfreezing, moving and refreezing
d. Unfreezing, moving and refreezing
According to the Department of Labor, all of the following are important
characteristic of a profession except:
a. Advanced degrees
b. Research
c. Code of ethics
d. Credentials
a. Advanced degrees
As the HR leader, you are putting together some handouts for your training program.
What is not considered a violation of copyright law?
a. Using Internet information and citing the URL
b. Copying a magazine article and listing the source
c. Copying a “Dear Abby” column from the newspaper
d. Copying reference material from a textbook
a. Using Internet information and citing the URL
Strategic organizational social responsibility includes all of the following except:
a. Developing philanthropies
b. Supporting welfare-to-work programs
c. Strategically aligning with organizations in “need”
d. Donating to the local food bank
d. Donating to the local food bank
Once retention intervention efforts have been implemented, it is important that they be ______________.
A. discussed
B. evaluated
C. shared with employees
D. dismissed
B. evaluated
The three factors that affect how a given individual performs include:
A. ability
B. effort
C. support
D. all of the above
D. all of the above
What is "environmental scanning"?
A. A measurement of how safe the company property is.
B. A type of activity that allows one to understand the company culture.
C. Studying the atmosphere around the organization to pinpoint opportunities and threats.
D. An activity required by the Environmental Protection Agency (EPA).
C. Studying the atmosphere around the organization to pinpoint opportunities and threats.
In HR planning, both that unit and managers should work together to best strategize for future goal attainment. What may be some of the functions of HR personnel?
A. To tell managers the best way to increase productivity.
B. To suggest to managers which employees they should hire for their departments.
C. To keep abreast of changes in the industy through a continual environmental scan.
D. None of the above.
C. To keep abreast of changes in the industy through a continual environmental scan.
Which theory of motivation focuses on an individual's perception of their inputs to outcomes?
A. Maslow's Hierarchy of Needs

C. Expectancy Theory
D. Herzberg's Theory of Motivation/Hygiene Theory
B. Equity Theory
Factors to consider when discussing psychological contracts include:
A. changing nature of contracts, economic changes, and generational differences
B. changing nature of contracts, co-worker relationships, and economic changes
C. co-worker relationships, economic changes, and generational differences
D. co-worker relationships, generational differences, and changing nature of contracts
A. changing nature of contracts, economic changes, and generational differences
____________Is the design of formal systems in an organization to ensure effective and efficient use of human talent to accomplish organizational goals
A. Customer Relations Management (CRM)
B. Organizational Development (OD)
C. Human Resource (HR) Management
D. Training & Development (T&D)
C. Human Resource (HR) Management
Illness, death, and other absences that are unavoidable are known as __________.
A. excusable
B. inexcusable
C. voluntary
D. involuntary
D. involuntary
During the recruiting process, the job should be outlined and a ___________ should be presented.
A. compensation package
B. job description
C. company newsletter
D. realistic job preview
D. realistic job preview
A reason for voluntary turnover does NOT include which of the following?
A. career opportunities
B. pay
C. supervision
D. work rule violation
D. work rule violation
Absenteeism costs an estimated _____ per employee per year
A. $300
B. $600
C. $900
D. $1200
B. $600
When developing the HR plan, these considerations should be investigated...
A. long-term organizational plans.
B. expansions, reductions, and technological changes likely to impact the future of the company.
C. plans to shift, retrain and increase employees in certain areas.
D. all of the above
D. all of the above
_____________ are used to diagnose specific problem areas, identify employee needs or preferences, and reveal areas in which HR activities are received or viewed negatively.
A. performance appraisals
B. staff meetings
C. suggestion boxes
D. attitude surveys
D. attitude surveys
What are the two top reasons why employees voluntarily leave an organization?
A. relocating spouse/partner & poor management
B. poor relationships with co-workers & child care issues
C. career opportunities elsewhere & better compensation/benefits package
D. returning to school & job security fairs
C. career opportunities elsewhere & better compensation/benefits package
An example (or examples) of a measureable Return on Investment (ROI) would be...
A. the decrease in worker's compensation costs after safety training was provided to all employees.
B. how much total profit the company gained within a fiscal year.
C. how well you retain employees.
D. Both A & C
D. Both A & C
A core competency is...
A. knowing what to do and when to do it.
B. part of the mission statement.
C. a unique capability that creates high value for a company. It is based on strengths of the organization.
D. how much your employees know.
C. a unique capability that creates high value for a company. It is based on strengths of the organization.
Many individuals expect their rewards to be differentiated from others based on _________.
A. performance
B. tenure
C. knowledge
D. experience
A. performance
One common organizational strategy is "cost leadership". It focuses on everything EXCEPT...
A. stability
B. cost control
C. promotion from within
D. innovation
D. innovation
An example of an 'employee advocacy' activity HR professionals would engage in would be:
A. Interpreting HR Policies And Procedures
B. Representing Employee Concerns
C. Planning Compensation Strategies
D. Engaging In Community Workforce Development Planning
B. Representing Employee Concerns
Seventy-six percent of managers and 80% of employees report that organizational _______ impact retention positively.
A. resources
B. environment
C. flexible working relationships
D. benefits
C. flexible working relationships
The three components of the retention management process include measurement and assessment, retention interventions, and ____________________.
A. performance appraisals and feedback
B. evaluation and follow-up
C. selection procedures and follow-up tactics
D. perks and benefits
C. selection procedures and follow-up tactics
The four costs of turnover include hiring, training, separation, and ___________________.
A. materials
B. productivity
C. technology
D. turnover
B. productivity
The #1 reason for absenteeism, personal illness, accounts for ____% of employees' absences.
A. 20
B. 40
C. 60
D. 80
B. 40
In this stage of "employee effects of organizational change," where the employee refuses to accept the change
A. Depression
B. Denial
C. Anger
D. Acceptance
B. Denial
A recent survey of Chief Executive Officers found that they believe the greatest contribution to organizational success over the next five years will be
A. to have psychometrically sound selection tests
B. to offer bigger and better compensation packages
C. to get and retain employee talent
D. to create new job areas of employment
C. to get and retain employee talent
Through_________________, managers attempt to anticipate forces that will influence the future supply of and demand for employees.
A. HR Management
B. HR Planning
C. HR effectiveness
D. Human Resource Information Systems (HRIS)
B. HR Planning
The aim of _____________ is to provide an adequate supply of qualified individuals to fill the jobs in an organization
A. EEO
B. HR Planning
C. Staffing
D. HR development
C. Staffing
__________________Is the foundation for the staffing function.
A. Job Description
B. Job Analysis
C. Job Evaluation
D. Job Specification
B. Job Analysis
_________ is the process of identifying organizational objectives and the actions needed to achieve those objectives.

A-Workforce measures
B-Statistical Validation
C-Workforce Estimation
D-Strategic Planning
D-Strategic Planning
The life cycle stages of an organization include all of the following except:

A-Growth
B-Decline
C-Recession
D-Maturity
E-Introduction
C-Recession
Attracting the best technical or professional talent would fall under what stage of the organization life cycle?

A-Introduction
B-Growth
C-Maturity
D-Decline
A-Introduction
Controlling labor costs and maintaining labor peace, along with improving productivity would fall under what stage of the organization life cycle?

A-Introduction
B-Growth
C-Maturity
D-Decline
C-Maturity
___________ is a pattern of shared values and beliefs giving members of an organization meaning and providing them with rules for behavior.

A- Organizational Dogma
B- Company Values
C- Organizational Culture
D-Organizational rhetoric.
C- Organizational Culture
_________________ is the process of studying an organization’s environment to pinpoint opportunities and threats.

A-HR Planning
B-Environmental Scanning
C-Environmental Metrics
D-HR Implementation
B-Environmental Scanning
The following are all typical HR planning responsibilities, except for:

A- Participating in strategic planning processes
B-Identifying HR strategies
C-Designs HR planning data systems
D-Monitor HR plans to identify changes needed.
D-Monitor HR plans to identify changes needed.
The Human Resources ___________ consists of analyzing and identifying the need for and availability of human resources required for an organization to meet its objectives.

A-Planning Process
B-Environmental Scanning
C-Business Evaluation
D-Metrics
A-Planning Process
Workforce composition, government influences, geographic conditions, and economic conditions are all types of:

A-External environmental factors affecting labor supply
B-Internal environmental factors affecting supply
C-Intrinsic environmental factors affecting labor supply.
A-External environmental factors affecting labor supply
Types of government influences include the following, except:

A- The EEOC
B-Government Trade policies, like NAFTA.
C-Local Legislation
D-All of the above
D-All of the above
Types of __________ concerns influencing labor supply include net migration into the area, other employers in the area, and impact of international competition in the area.

A-Global
B-Geographic
C-Geothermic
D-Direct
B-Geographic
A(n) ________________ is a compilation of data on the skills and characteristics of employees.

A-Needs analysis
B-Employee Skills Inventory
C-Aggregate Profile
D-Competency Count
B-Employee Skills Inventory
The information gathered from external environmental scanning & assessment of internal strengths and weaknesses is used to __________ HR supply and demand.

A-Account
B-Divine
C-Forecast
D-Deliver
C-Forecast
Forecasting uses information from the past and present to identify _________________

A-Expected future conditions
B-Estimated supply and demand
C-Employee availability.
A-Expected future conditions
Using the Delphi Technique for HR Forecasting would require:

A-Using input from a group of experts completing rounds of questionnaires until experts reach consensus
B-Reliance on general guidelines
C-Statistical comparison o f past relationships among various factors
D-Representations of real numbers in abstract form.
A-Using input from a group of experts completing rounds of questionnaires until experts reach consensus
Techniques for managing HR Surpluses include all of the following except:

A-Downsizing
B-Attrition
C-Hiring Freezes
D-Transfers
D-Transfers
________ Is the total labor cost per unit of output (calculated by average wage of workers divided by their levels of productivity.)

A-Unit Labor Costs
B-Item Analysis
C-Production Metric
A-Unit Labor Costs
An individual’s productivity depends upon all of the following except:

A-A person’s innate ability to do the job
B-The level of effort he or she is willing to exert,
C-The amount of intangible benefits offered
D-Support given to the person
C-The amount of intangible benefits offered
______________ are small groups of employees who monitor productivity and quality, and suggest solutions to problems.

A-Workforce Teams
B-Productivity Committees
C-Quality Circles
C-Quality Circles
______________ is a comprehensive management process focusing on continuous improvement of organizational activities.

A-Total Quality Management (TQM)
B-Six Sigma
C-ISO-9000
A-Total Quality Management (TQM)
Loyalty is defined as the following:

A-Complete adherence to company culture
B-Commitment & Allegiance to an organization
C-Willingness to remain with a company for a set length of time.
B-Commitment & Allegiance to an organization
The PRIMARY role of HR in the organization is:

A-Institute radical changes in the organization.
B-Monitor and ensure compliance with change.
C-Influence and affect management views on change.
D-Deal with resistance to organization change.
C-Influence and affect management views on change.
A field HR unit that reports directly to corporate headquarters is referred to as what type of structure?

A-Departmental
B-Functional
C-Matrix
D-Divisional
B-Functional
A company’s departments are arranged by function, such as HR, Finance, Manufacturing, and Management. This demonstrates:

A-Divisional departments
B-Functional departments
C-Centralization
D-Job Simplification
B-Functional departments
The most difficult problem in forecasting demand for employees is:

A-Forecasting internal supply
B-Estimating turnover patterns
C-Determining the supply of human resources
D-Determining the relationship between personnel demand and the firm’s output.
In a matrix organizational structure:

A- Employees have three or more supervisors
B-Two organizational structures exist at the same time.
C-Productivity is enhanced because of strict functional accountability
D-Line authority is strengthened.
B-Two organizational structures exist at the same time.
A Human Resources audit is:

A- an attempt to quantify the value of its human resources to the organization
B- Aggregate skills inventory of the organization’s HR
C- A formal research effort to evaluate the current state of HRM within the organization
D- A part of the HR accounting system.
C- A formal research effort to evaluate the current state of HRM within the organization
The HR Activity most frequently outsourced is:

A-Recruiting
B-Benefit administration
C-EAP/Wellness
D-Training
C-EAP/Wellness
Career planning and HR development efforts are expanded during which stage of the organization’s life cycle?

A-Embryonic
B-Growth
C-Shakeout
D-Maturity
E-Decline
B-Growth
HR Management is an integral part of organizational policy and planning. Which of the below best describes the functions of staff personnel in an organization?

A-Problem solver, advisory and service
B-Advisory, service, and control
C-Service, implementer, and control
B-Advisory, service, and control
Leadership research has identified two major behaviors; one of which focuses on people and internal relationships. What is the focus of the other?

A-Power and authority
B-Task accomplishment
C-Organization cultured
D-Profitability and financial accountability
B-Task accomplishment
Which judgmental forecast uses experts in the industry?

A- Delphi
B- Managerial
C- Nominal
A- Delphi
Which phase of the organizational cycle emphasizes training?

A- Introduction
B- Growth
C- Maturity
C- Maturity
Which management scholar felt leaders were born?

A- Drucker
B- Covey
C- Kotter
A- Drucker
Which well-known guru in the TQM consulting business emphasized a “step by step” or “project by project” program?

A- Deming
B- Juran
C- Crosby
B- Juran
Which approach to international staffing favors ability over nationality

A- Ethnocentric
B- Polycentric
C-Geocentric
D-Regiocentric
C-Geocentric
Third-country nationals are people who:

A- are from third-world, less-developed countries
B- are in the process of changing their citizenship
C- have dual citizenship in host and home countries
D- are not citizens of either host or home country
D- are not citizens of either host or home country
The two primary dimensions of behavioral theories of leadership are:

A- Intelligence and task-relevant knowledge
B- Consideration and self-confidence
C- Consideration and initiating structure
D- Initiating structure and intelligence
C- Consideration and initiating structure
Which agreement was designed to foster trade and investment between Mexico, Canada, and the United States?

A- General Agreement on Tariffs and Trade
B- North American Free Trade Agreement
C- Taft Hartley Act
D- Wagner Act
B- North American Free Trade Agreement
What type of chart graphically displays activities of a project in sequential order and plots them against time?

A- SWOT Analysis
B- Scatter Diagram
C- Gantt Chart
D- PERT Chart
D- PERT Chart
Choose which term best matches the definition of a firms’ net operating profit after the cost of capital is deducted?

A- Return on Investment
B- Utility Analysis
C- Efficiency
D- Economic Value Added
A statement that specifies what activities an organization intends to pursue and what course management has charted for the future can best be described as a :

A- Vision
B- Mission
C- Procedure
D- Policy
B- Mission
The four stages in the life cycle of a business are:

A- recruiting, hiring, promotion, and evaluation
B- Introduction, grown, maturity, and decline
C- Job analysis, job design, description, and evaluation
D- Planning, implementing, evaluating, and revision
B- Introduction, grown, maturity, and decline
Which of the following is not a mathematical method for forecasting HR demand?

A- Simulation models
B- Productivity ratios
C- Estimates
D- Statistical regression analysis
C- Estimates
In the strategic HR planning process, which of the following should be completed first?

A- Defining the organizational mission
B- Scanning the environment
C- Forecasting internal HR supply and demand
D- Completing a human resources inventory
A- Defining the organizational mission
What leads to a lean, flat organizational hierarchy?

A- Centralization
B- Differentiation
C- Decentralization
C- Decentralization
An American manufacturing company expands overseas to Japan. What is an example of environmental scanning?
A- Analyzing the number of skilled technicians in the area.
B- Deciding to change the company’s mission statement
C Internal training design changes for new international employees
A- Analyzing the number of skilled technicians in the area.
Which of the following describes the competitive strategies of an organization committed to differentiation?

A- Controlling costs, retaining key people, determining a compensation strategy, and cross-training employees
B- Exploiting all economies of scale and focusing on low-cost production to the exclusion of everything else
C- Positioning unique product characteristics that customers will value and be willing to pay a premium price for
D- Formalizing policies, procedures and rules, and communicating them to employees
C- Positioning unique product characteristics that customers will value and be willing to pay a premium price for
A forecasting method that uses probabilities regarding turnover and transfer based on employment from a previous period is called:

A- Turnover predictions
B- Markov analysis
C- Plovick transfers estimating
D- Pavlov probability analysis
B- Markov analysis
HR’s vital functions, which have broadened over the years, can be listed as:

A- Strategic, operational, and administrative
B- Record-keeping, disciplinary, and strategic
C-Advisory, service, and control
D- None of the above
A- Strategic, operational, and administrative
All of the following are true about an employee attitude survey except:

A- The survey focuses on employees’ feelings and beliefs about their jobs and organizations
B- Only surveys that are valid and reliable can measure attitudes accurately
C- Employees expect no action to be taken on concerns identified
D- More accurate information can be obtained if employees can provide their output anonymously.
C- Employees expect no action to be taken on concerns identified
Which of the following actions BEST illustrates HR's strategic role in the organization?
A. Institute radical changes in the organization.
B. Monitor and ensure compliance with change.
C. Influence and affect management's view on organizational change.
D. Deal with resist:mce to organizational change.
C. Influence and affect management's view on organizational change.

The correct answer is C. In its strategic role, HR influences management's view on organizational change, helping management identify and deal with organizational change issues before any action is taken. Once senior management institutes the changes, however, HR plays a secondary role in dealing with possible resistance and monitoring compliance.
An organization decides to develop a corporate citizenship program that gives employees time off to volunteer at a homeless shelter. A company task force creates a list of goals that the program hopes to accomplish. In which management function is the task force engaged?
A. Planning
B. Organizing
C. Coordinating
D. Controlling
A. Planning

The cornect answer is A. The planning function involves activities such as setting goals. forecasting, and determining possible actions. The other management functions take place after the planning has been completed. The organizing function involves creating structures and processes to help meet the goals, while the coordinating function involves integrating all activities necessary to meet the goals. Finally. the controlling function involves monitoring the program to measure how well it is meeting the company's goals.
An organization puts together a project team whose goal is to improve communication with
employees, suppliers, and customers. The senior vice president of HR reports to senior management on the progress of the project. In this capacity, the senior vice president assumes the role of
A. project champion. .
B. project sponsor.
C. project manager.
D. project team member.
B. project sponsor.

The correct answer is B. The sponsor is typically an individual from senior management whose goal is to keep all senior managers apprised of the project's status and guarantee their continued support. While the vice president can assume addiitional roles on the project, he is assuming the role of the sponsor here.
A project manager would be more inclined to use a PERT chart rather than a Gantt chart when the manager needs to
A. assign particular tasks to team members.
B. monitor the exact lime that each step of the project takes.
C. plan the details of the project.
D. show the critical path of a project.
D. show the critical path of a project.

The correct answer is D. The PERT chart is best used to illustrate the length of a project, which is determined by adding up the time required on the critical path. The Gantt chart lists all activities and the start and stop date for each. Team members can easily see the start and end dates for each activity they are assigned and can track their time on task.
The change process goes more smoothly when
A. senior management announces changes to the employees.
B. employees have input into change alternatives.
C. HR is responsible for the change initiative.
D. change is critic:al to the organization's survival.
B. employees have input into change alternatives.

The correct answer is B. If possible, employees should be given the opportunity to discuss change options. This makes it more likely that they will accept whatever decision is made. At the very least, it helps change agents in the organization understand employee issues and reactions and plan for ways to deal with them.
Which of the following is the first step in the outsourcing process?
A. Defme the budget.
B. Outline the implementation process.
C. Create a request for proposal.
D. Conduct a needs analysis.
D. Conduct a needs analysis.

The correct answer is D. A needs analysis is always the beginning point when outsourcing a product or service. All potential users of the product or service should have input into defining the goals, expectations, and scope of the product or service. Once this is done, a realistic budget can be established.
Which of the following is likely to be a result of continued advances in technology?
A. Training will be available only to those with high-speed Internet access and voice activated computers.
B. Privacy issues will be eliminated by security advances such as iris and fmgerprint scans.
C. In-house software will become increasingly desirable as application service providers
become less flexible.
D. Electronic signatures will expand the type of transactions that can be done on the Web.
D. Electronic signatures will expand the type of transactions that can be done on the Web.

The correct answer is D. The Electronic Signature in Global and National Commerce Act mandates that an electronic signature carries the same weight as a pen-and-ink signature. This has opened the door to a variety of new types of actions that can be done online. Although training will be increasingly delivered online, it will not necessarily require the most sophisticated system in order to participate. Privacy issues will increase rather than decrease as companies try to determine what employees' rights are and whether sophisticated tracking and security procedures violate these rights. Finally, application service providers (ASPs) will be used more frequently for routine tasks such as time and attendance tracking and other administrative tasks that can be done more cost-effectively on a subscription basis.
Strategic planning starts with an organization's
A. mission statement
B. It environmental scan.
C. human resources inventory.
D. needs assessment..
A. mission statement

The correct answer is A. Strategic planning begins with a mission statement that articulates who the organization is, what the organization does, and where the company is headed. The mission sets the direction for all other activities. Without this direction, other activities such as needs assessments, inventories, and environmental scans have no direction. Therefore, the fIrst step is to have the board or owners articulate an organization's vision.
Which of the following takes both an internal and external snapshot ofthe organization?
A. SWOT analysis
B. Environmental scan
C. Human resource~s inventory
D. Human resource~ audit
A. SWOT analysis

The correct answer is A. The SWOT analysis looks at the organization's internal strengths and weaknesses and external opportunities and threats. The environmental scan looks only at external conditions, while the human resources inventory and the audit are internally focused.
Which of the following is true of short-term objectives?
A. They create direl;:tion and synergy for the organization.
B. They establish priorities fo: allocating resources.
C. They must be cn::ated before unit strategies can be developed.
D. They take the place of action plans.
B. They establish priorities fo: allocating resources.

The correct answer is B. Short-term objectives specify the milestones that must be reached before long-term goals can be met. The short-term objectives are focused and specific, and at this point the organization can allocate the resources to meet them. It is important to note that short-term objectives do not take the place of action plans, which are a direct outgrowth of short-term objectives.
Which of the following is typically part of an environmental scan?
A. Analysis of the organization's labor contract
B. Analysis of minority employees within the organization
C. Review-of internal salary survey data
D. Analysis of unemployment rates
D. Analysis of unemployment rates

The correct answer is D. Environmental scans focus on external exchanges and attempt to identify and interpret strategic issues that affect the company. D is the only choice with an external focus. The other choices listed all deal with internal activities.
Which ofthe following is true of a balance sheet?
A. It includes transactions without a definite monetary value.
B. It indicates the net income of the company.
C. It summarizes an organization's assets, liabilities, and equity.
D. It measures the difference between the cost to produce a product and the price for which
it is sold.
C. It summarizes an organization's assets, liabilities, and equity.

The correct answer is C. A balance sheet summarizes the financial position of a company at a given time. It lists the assets and liabilities of the organization and includes only transactions measurable in
money.
Of the four elements associated with marketing, which includes supply chain management?
A. Product
B. Place
C. Price
D. Promotion
B. Place

The correct answer is B. In the marketing world, place refers to distribution. Placing a product requires marketers to think about how the product gets from the manufacturer to the customer. This process is known as supply chain management.
Which of the following is a key responsibility of the operations function within an organization?
A. Ensuring that the product is priced profitably
B. Communicating the benefits of the product to customers
C. Deciding which features and benefits will appeal to customers
D. Determining the ability ofthe company to meet product demand
D. Determining the ability ofthe company to meet product demand

The correct answer is D. Operations departments are concerned with their ability to produce top quality product that meets the demands of the marketplace. The operations department sets detailed time estimates that allow them to determine their capacity (ability to produce product). Based on forecasts, they develop a schedule that allows them to operate at capacity.
Which of the following is a primary advantage of the balanced scorecard?
A. It separates busine:ss strategy from day-to-day activities.
B. It relates the performance of business functions to the organization's mission.
C. It focuses on fmancial measurements and hard data results.
D. It tracks progress against goals without raising accountability issues.
B. It relates the performance of business functions to the organization's mission.

The correct answer is B. The balance scorecard links business strategies with day-to-day activities and aligns business function measurements with organizational strategies. As a result, an organization can track progress, reinforce accountability, and prioritize improvement opportunities. It includes four related perspectives (finance, customers, internal processes, and learning and growth) rather than just a financial perspective.
Which of the following is typically part of an environmental scan?
A. Analysis of the organization's labor contract
B. Analysis of minority employees within the organization
C. Review-of internal salary survey data
D. Analysis of unemployment rates
D. Analysis of unemployment rates

The correct answer is D. Environmental scans focus on external exchanges and attempt to identify and interpret strategic issues that affect the company. D is the only choice with an external focus. The other choices listed all deal with internal activities.
Which ofthe following is true of a balance sheet?
A. It includes transactions without a definite monetary value.
B. It indicates the net income of the company.
C. It summarizes an organization's assets, liabilities, and equity.
D. It measures the difference between the cost to produce a product and the price for which
it is sold.
C. It summarizes an organization's assets, liabilities, and equity.

The correct answer is C. A balance sheet summarizes the financial position of a company at a given time. It lists the assets and liabilities of the organization and includes only transactions measurable in
money.
Of the four elements associated with marketing, which includes supply chain management?
A. Product
B. Place
C. Price
D. Promotion
B. Place

The correct answer is B. In the marketing world, place refers to distribution. Placing a product requires marketers to think about how the product gets from the manufacturer to the customer. This process is known as supply chain management.
Which of the following is a key responsibility of the operations function within an organization?
A. Ensuring that the product is priced profitably
B. Communicating the benefits of the product to customers
C. Deciding which features and benefits will appeal to customers
D. Determining the ability ofthe company to meet product demand
D. Determining the ability ofthe company to meet product demand

The correct answer is D. Operations departments are concerned with their ability to produce top quality product that meets the demands of the marketplace. The operations department sets detailed time estimates that allow them to determine their capacity (ability to produce product). Based on forecasts, they develop a schedule that allows them to operate at capacity.
Which of the following is a primary advantage of the balanced scorecard?
A. It separates busine:ss strategy from day-to-day activities.
B. It relates the performance of business functions to the organization's mission.
C. It focuses on financial measurements and hard data results.
D. It tracks progress against goals without raising accountability issues.
B. It relates the performance of business functions to the organization's mission.

The correct answer is B. The balance scorecard links business strategies with day-to-day activities and aligns business function measurements with organizational strategies. As a result, an organization can track progress, reinforce accountability, and prioritize improvement opportunities. It includes four related perspectives (finance, customers, internal processes, and learning and growth) rather than just a financial perspective.
An organization that hires experienced personnel and is willing to exceed the standard pay range to quickly build its workforce is in what phase of the organizational life cycle?
A. Maturity
B. Growth
C. Introduction
D. Decline
C. Introduction

The correct answer is C. The organization is in the introduction phase and needs to do whatever is necessary to get its product or service off the ground. Therefore, the organization is willing to pay more to recruit a talented, already trained workforce. An organization at maturity will focus on controlling labor costs, while an organization that is in a growth stage will add new positions but will not exceed the standard pay range to do so. An organization in decline is likely to be downsizing or shrinking the workforce through attrition.
An organization that places more emphasis on training and formalizes policies and procedures is in what phase of the organizational life cycle?
A. Maturity
B. Growth
C. Introduction
D. Decline
A. Maturity

The correct answer is A. An organization that has time to formalize policies and procedures and uses training to maintain the flexibility and skills of its workers is in the maturity phase of the organizational life cycle.
An organization that becomes entrenched in rules and policies and is resistant to change is in what phase of the organizational life cycle?
A. Maturity
B. Growth
C. Introduction
D. Decline
D. Decline

The correct answer is D. An organization is in the decline phase when it becomes resistant to change and entrenched in the status quo.
Which ofthe following situations illustrates a corporate strategy of product differentiation?
A. A company orders large quantities of parts to get the greatest discount.
B. The fmished product is sold at a lower price than that of the competition.
C. A company develops a product that is uniquely easy-to use and charges a premium price.
D. A company sells in volume and offers discounts to its best customers.
C. A company develops a product that is uniquely easy-to use and charges a premium price.

The correct answer is C. Product differentiation focuses on setting the product apart by giving it unique characteristics that consumers value and for which they will pay a premium. The other options deal with ways to create a cost advantage, not a unique product advantage.
Centralization of authority works best in organizations where
A. economies of scale are important.
B. operating units need to collaborate.
C. employee turnover is high.
D. decision-making ability is expected of all employees.
A. economies of scale are important.

The correct answer is A. Centralization is the degree to which decision-making authority is restricted to higher levels of management. When economies of scale are important, a single decision-making authority can best guarantee the consistency of results.
Decentrailization works best in organizations where
A. a uniform policy is important.
B. contracts are negotiated with outside agents.
C. a quick response to problems is desired.
D. employees do not want additional responsibility.
C. a quick response to problems is desired.

The correct answer is C. Decentralization is the degree to which decision-making authority is given to lower levels in an organization's hierarchy. Pushing a decision down to its lowest authority level in an organization produces a quick response to problems.
A field HR unit that reports directly to corporate headquarters is referred to as what type of structure?
A. Departmental
B. Functional
C. Matrix
D. Divisional
B. Functional

The correct answer is B. A functional organization is more centralized and its departments are arranged by function (HR, finance, marketing, etc.), with each department reporting to a regional or corporate headquarters.
A field HR unit that reports to the general manager of the unit and has "dotted line" accountability to corporate HR is referred to as what type of structure?
A. Departmental
B. Functional
C. Matrix
D. Divisional
D. Divisional

The correct answer is D. In the divisional structure, divisions are separated on the basis of product, market, or region. All the resources necessary to manufacture, sell, or supply the product are put under the control of the division. There is usually a "dotted line" accountability to corporate HR. but the field unit actually reports to the general manager of the division. The matrix relationship creates a dual reporting structure, and the functional structure has a single reporting relationship directly with a manager in a like functional area.
A narrow span of control is typically used when
A. there is a shortage of managers.
B. a team effort is not required.
C. subordinates are experienced.
D. tasks are complex.
D. tasks are complex.

The correct answer is D. "Span of control" refers to the number of individuals who report to a supervisor. Narrower spans of control are typically used when tasks are complex, subordinates are poorly trained or inexperienced,or a team effort is required.
The PRIMARY purpose of an HR audit is to
A. complete a cost-benefit analysis of an HRlS.
B. evaluate the effectiveness of the HR function.
C. determine HR staffing requirements.
D. determine which HR functions will be outsourced.
C. determine HR staffing requirements.

The correct answer is B. The primary purpose of the HR audit is to evaluate the effectiveness of the HR function. The end result is not a cost-benefit analysis, a staffing plan, an outsourcing plan, or a proposal for a new HRIS, although these activities may be secondary results of the audit.
The ability of an instrument to measure what it is intended to measure is referred to as

A. validity.
B. internal consistency.
C. reliability.
D. parallelism.
A. validity.

The correct answer is A. Validity answers the question "What does the instrument measure?"
Which of the following is true of experimental designs?
A. Subjects are not assigned randomly to a group.
B. Only the experimental group receives the treatment.
C. It is the least rigorous type of design.
D. A control group is not needed.
B. Only the experimental group receives the treatment.

The correct answer is B. Experimental designs are the most rigorous types of designs. True experiments utilize a control group, and an experimental group and subjects are randomly assigned to the two groups.
Which of the following questionnaire approaches elicits the broadest range of answers?
A. Rating scales
B. Yes/no answers
C. Essay questions
D. Multiple-choice questions
C. Essay questions

The correct answer is C. Essay questions are open-ended and allow respondents to provide as much input as they would like.
Which of the following measures of central tendency refers to the value that occurs most frequently in a distribution?
A. Mode
B. Median
C. Mean
D. Range
A. Mode

The correct answer is A. The mode occurs most frequently in the distribution. The median is the point at which the number of values below is equal to the number above: the mean reflects the average and the range refers to the difference between the highest and lowest values.
Which of the following measures of association measures the relationship between two variables?
A. Range
B. Regression
C. Correlation
D. Deviation
C. Correlation

The correct answer is C. Correlation measures the relationship between two variables. Regression involves the relationship between two or more variables and defines the ability to predict a variable based on knowledge about another variable.
HR can BEST assist in creating all ethical organization by
A. handling all ethical issues that arise.
B. training leaders on. ethical practices.
C. referring all ethical issues to legal counsel.
D.. initiating a "<tip line" for reporting ethical violations.
B. training leaders on. ethical practices.

The correct answer is B. To create an ethical organization, leaders and managers need to know how to recognize ethical dilemmas and how to deal with them. Leaders need to know what the organization values and what its expectations are for its leaders and employees.
An employee works in the engineering department of a manufacturing company and has a consulting contract with one of the company's clients. Which ethical problem might exist?
A. Insider trading
B. Conflict of interest
C. Kickbacks
D. Copyright violation
B. Conflict of interest

The correct answer is B. It is a conflict of interest for an employee to have a consulting contract with one of the company's clients or competitors. In this case, the employee may be taking business away from the company or suggesting strategies that may not be in the best interest of the company.
A clothing company gives its employees time off to work at a shelter for homeless women and children. It also donates clothing and shoes to the shelter. What phase of involvement does the
company exhibit?
A. Reactive philanthropy
B. Strategic contributions
C. Mainstream involvement
D. Corporate accountability
C. Mainstream involvement

The correct answer is C. The company's community involvement is linked to operational business concerns. Involvement consists of more than just giving money; it also involves the donations of goods and services.
A bill originates in a House committee and is forwarded to a subcommittee for further review. The subcommittee conducts hearings on the bill and amends it. At this stage. the bill is sent to the
A. full House for a final vote.
B. Senate for floor debate.
C. President for his or her signature.
D. House committee for a vote.
D. House committee for a vote.

The correct answer is D. The House committee receives the bill back from the subcommittee and can
conduct further hearings and vote on whether to recommend the bill to the House. This procedure is called "ordering a bill reported."
The Presiident vetoes a bill and sends it to the 435-member House of Representatives. When the
House attempts to override the veto. 360 Representatives are in attendance. How many
Representatives must vote for the bill?
A. 180
B. 218
C. 235
D. 240
D. 240

The correct answer is D. Two-thirds of the members who are present (in sufficient numbers for a quorum) must vote to override the veto.