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MGMT 365 Chapter 1 Connect Test Questions
Terms in this set (100)
Companies have historically looked at HRM as a means to contribute to profitability and quality.
Orientation and skills training are responsibilities of HR personnel involved in analysis and design of work.
The three product lines of HR as a business are administrative services and transactions, business partner services, and strategic partner roles.
The amount of time that the HRM function devotes to administrative tasks is decreasing, and its role as a strategic business partner is increasing.
Advances in technology have decreased HRM's role in providing self-service to employees.
HR functions related to benefits administration such as health plan eligibility status, relocation, and payroll are usually not outsourced.
When a firm shifts to evidence-based HRM, it should stop using workforce analytics.
Evidence-based HR refers to the demonstration that human resource practices have no impact on the company's bottom line or key stakeholders.
Intangible assets are equally as or more valuable than financial and physical assets, but they are difficult to duplicate or imitate.
In a learning organization, improvements in product or service quality do not stop when formal training is completed.
In exchange for working longer hours without job security, employees want companies to provide flexible work schedules and comfortable working conditions.
From a company perspective, it is harder to add part-time employees than it is to add full-time employees.
To be effective, balanced scorecards must be customized by companies to fit different market situations, products, and competitive environments.
The balanced scorecard should not be used to link a company's human resource management activities to the company's business strategy.
A company that adopts total quality management (TQM) trains only selected employees in quality.
Big data used in evidence-based HR gathers information from many different sources.
Projections to the demographics of the U.S. workforce predict that the average age of the workforce will decrease.
Workers with disabilities can be a source of competitive advantage.
When it comes to problem solving, cultural diversity can provide companies with a competitive advantage.
The Sarbanes-Oxley Act of 2002 imposes criminal penalties for corporate governing and accounting lapses.
Lean thinking emphasizes only learning new skills to improve and does not encourage the use of old skills in new ways.
Social networking tools can help prevent the loss of expert knowledge that occurs due to retirement.
High-performance work systems minimize the fit between a company's social system (employees) and its technical system.
An HR dashboard is a series of indicators that are accessible to both managers and employees.
Measuring employees' performance is a part of the compensation function of HR.
_____ refers to the policies, practices, and systems that influence employees' behavior, attitudes, and performance.
human resource management
The training and development function of an HR department includes _____.
Among the functions performed by an HR department, feedback and coaching are categorized under the _____ function.
Among the functions performed by an HR department, vacation, retirement plans, and profit sharing are categorized under the _____ function.
The employee data and information systems function of an HR department focuses on responsibilities such as _____.
record keeping and workforce analytics
Which of the following is true about the product line administrative services and transactions?
it deals with functions such as compensation, hiring, and staffing
Giving employees online access to information about HR issues such as training, benefits, and compensation is called _____.
The practice of companies having other companies provide services is known as
Traditionally, the HRM department was primarily a(n) _____.
Which of the following is true of workforce analytics?
it can show that HR practices influence an organization's profits
Which of the following HR competencies focuses on the ability to apply the principles of HR management to contribute to the success of a business?
HR technical expertise
Which of the following HR competencies focuses on the ability to manage interactions with and between others with the specific goal of providing service and organizational success?
When an HR professional is evaluated on how well she embraces inclusion and how effectively she works with diverse populations, she is being evaluated on her competency in _____.
global and cultural effectiveness
When an HR professional is evaluated on how well he understands organizational metrics and their relationship to business success, he is being evaluated on his competency in _____.
Which competency is an HR professional said to have if he is able to act personally and professionally with integrity and accountability?
Organizations that pursue a _____ strategy pursue the "triple bottom line" of economic, social, and environmental benefits.
A company competing through sustainability is likely to _____.
provide high-quality products and services
When a corporate organization competes through globalization, as opposed to technology, it is likely to put most of its efforts into _____.
expansion into foreign markets
Sustainability is the ability of a company to
meet its needs without sacrificing the ability of future generations to meet theirs
Over the next decade, which of the following people will have the most difficulty attracting talented employees due to a skills deficit?
Yelena, the director of a mobile advertising company
Mentoring relationships are an example of _____ capital.
Distribution channels are an example of _____ capital.
Trade secrets are an example of _____ capital.
Jake, the CEO of a company, appraises his managers based on how well they empower their employees. Which of the following managers is Jake likely to rate the highest in this regard?
Zara, who assigns responsibility to her subordinates and intervenes only when there is a need
According to emerging changes in the employment relationship, which of the following benefits do employees typically not expect to be provided by employers?
A company whose employees have high engagement is likely to have _____ compared to a company with low employee engagement.
_____ is a systematic, planned strategic effort by a company to attract, retain, develop, and motivate highly skilled employees and managers.
Which of the following is true of a balanced scorecard?
it depicts a company from the perspective of internal and external customers
When considering a balanced scorecard that depicts a company from a(n) _____ perspective, the critical HR indicators are employee satisfaction with HR department services and employee perceptions of the company as an employer.
When companies are trying to meet the shareholders' and general public's demands to act more ethically and environmentally responsibly, they are recognizing the importance of _____.
_____ is a companywide effort to continuously improve the ways people, machines, and systems accomplish work.
total quality management
A company competes for the Malcolm Baldrige National Quality Award. If it is evaluated based on how senior executives create and sustain vision, values, and mission, it is likely that the company is being judged on the criterion of _____.
Which of the following is true about the Six Sigma process?
it aims to create a total business focus on serving the customer
Which of following is true of lean thinking?
it aims to do more with less effort, time, space, and equipment
Which of the following people would be categorized as part of the external labor market with regard to Phoenix Inc.?
Karla, who works for Jupiter Inc. and is seeking employment elsewhere
Which of the following statements is true about the composition of the U.S. labor force in the next decade?
the median age of the labor force will increase to the highest number ever
Which of the following statements is true about Generation X?
its members value skepticism and informality
Which of the following is a characteristic of people of the Baby Boomer Generation?
they are considered to be workaholics
Which of the following is a characteristic of Millennials?
they are eager to learn, work, and please
Which of the following is true of how different generations view each other?
traditionalists may believe that Millennials don't have a strong work ethic
Which of the following arguments states that companies with the best reputations for managing diversity will win the competition for talent?
Employee attraction and retention argument
Which of the following arguments emphasizes that reactions should be faster and cost less?
system flexibility argument
Which of the following arguments states that diversity of perspectives and less emphasis on conformity to norms of the past should improve the level of resourcefulness?
Which of the following arguments states that heterogeneity in decisions potentially produces better decisions through a wider range of perspectives and critical analysis?
Which of the following arguments states that companies develop reputations on favorability as prospective employers for women and ethnic minorities?
employee attraction argument
Which of the following is a prediction about legal issues regarding employment in the United States?
there will be more focus on criminal background screening
Which of the following is a prediction about legal issues in the workplace in the United States?
security of intellectual property will receive more attention
Which of the following is one of the four characteristics of an ethical, successful company?
the company emphasizes mutual benefits in its relationship with customers, clients, and vendors
Which of the following acts sets strict rules for businesses, especially for accounting practices that require more open and consistent disclosure of financial data and CEOs' assurance that the data is completely accurate?
Which of the following statements is true about the Sarbanes-Oxley Act of 2002?
organizations spend millions of dollars each year to comply with regulations under the Sarbanes-Oxley Act
Which of the following is a core value of TQM?
the company promotes cooperation with vendors and customers to hold down costs
Exporting jobs from developed to less developed countries is known as _____.
Which of the following, if true, would support reshoring as a strategy for a U.S. firm?
improving health and safety requirements overseas
Which of the following is a concern caused by Gen-Y generation employees using social networking tools?
Which of the following is true of virtual teams?
they combine top talent to solve tough challenges
How does employees' use of mobile devices offer an advantage to companies?
employees have access to work information at any time or location
In high-performance work systems,
line employees interact frequently with quality experts and engineers
An HR dashboard is a series of indicators that
enables workforce analytics and evidence-based HR
Which of the following HRM practices involves helping employees understand how their jobs contribute to the finished product?
Which of the following HRM practices involves employees receiving feedback?
Which of the following HRM practices involves employees participating in peer interviews?
Which of the following HRM practices involves rewarding employees based on their team's performance?
Which of the following major dimensions of HRM practices involves training employees to have the skills needed to perform their jobs?
acquiring and preparing human resources
Which of the following dimensions of HRM practices involves ensuring that HRM practices comply with federal, state, and local laws?
managing the human resource environment
Which of the following activities is part of the assessment and development of the human resources dimension of HRM practices?
creating an employment relationship and a work environment that benefit the company
What are the two challenges that HR managers face? Discuss how the shared service model and the self-service model help them overcome the two challenges.
The amount of time that the HRM function devotes to administrative tasks is decreasing, and its roles as a strategic business partner, a change agent, and an employee advocate are increasing. HR managers face two important challenges: shifting their focus from current operations to strategies for the future and preparing non-HR managers to develop and implement human resource practices. To ensure that human resources contributes to a company's competitive advantage, many HR departments are organized based on a shared service model. The shared service model can help control costs and improve the business relevance and timeliness of HR practices. A shared service model is a way to organize the HR function that includes centers of expertise or excellence, service centers, and business partners. Centers of expertise or excellence include HR specialists in areas such as staffing or training who provide their services companywide. Service centers are a central place for administrative and transactional tasks such as enrolling in training programs or changing benefits that employees and managers can access online.
The availability of the Internet has decreased the HRM role in maintaining records and providing self-service to employees. Self-service refers to giving employees online access to information about HR issues such as training, benefits, compensation, and contracts; online enrollment in programs and services; and completion of online attitude surveys.
Discuss the competencies, according to the Society for Human Resource Management, that HR professionals require to be successful.
Following are the nine competencies HR professionals need to have:
Human resource technical expertise and practice: It is the ability to apply the principles of human resource management to contribute to the success of a business.
Relationship management: It is the ability to manage interactions with and between others with the specific goal of providing service and organizational success.
Consultation: It is providing guidance to stakeholders such as employees and leaders seeking expert advice on a variety of circumstances and situations.
Organizational leadership and navigation: It is the ability to direct initiatives and processes within an organization and gain buy-in from stakeholders.
Communications: It is the ability to effectively exchange and create a free flow of information with and among various stakeholders at all levels of an organization to produce meaningful outcomes.
Global and cultural effectiveness: It is the ability to manage human resources both within and across boundaries.
Ethical practice: It includes integration of core values, integrity, and accountability throughout all organizational and business practices.
Critical evaluation: It involves the skills required to interpret information to determine return on investment and organizational impact in making recommendations and business decisions.
Business acumen: It is the ability to understand business functions and metrics within an organization and industry.
What is meant by empowering, and what type of training must be conducted to make it effective?
Empowering means giving employees responsibility and authority to make decisions regarding all aspects of product development or customer service. Employees are then held accountable for products and services; in return, they share the resulting rewards and losses of the results. For empowerment to be successful, managers must be trained to link employees to resources within and outside the company, help employees interact with their fellow employees and managers throughout the company, and ensure that employees are updated on important issues and cooperate with each other. Employees must also be trained to use the Web, e-mail, and other tools for communicating, collecting, and sharing information.
Discuss the balanced scorecard approach of measuring stakeholder performance.
The balanced scorecard gives managers an indication of the performance of a company based on the degree to which stakeholder needs are satisfied; it depicts the company from the perspective of internal and external customers, employees, and shareholders. The balanced scorecard is important because it brings together most of the features that a company needs to focus on to be competitive. The balanced scorecard should be used to (1) link human resource management activities to the company's business strategy and (2) evaluate the extent to which the HRM function is helping the company meet its strategic objectives. Communicating the scorecard to employees gives them a framework that helps them see the goals and strategies of the company, how these goals and strategies are measured, and how they influence the critical indicators.
What is the purpose of the Malcolm Baldrige Award? Describe the application and evaluation process, and list the seven characteristics that companies are scored for in the examination.
The Baldrige Award, created by public law, is the highest level of national recognition for quality that a U.S. company can receive. It was established to promote quality awareness, to recognize quality achievements of U.S. companies, and to publicize successful quality strategies. To become eligible for the Baldrige, a company must complete a detailed application with basic information about the firm, as well as an in-depth presentation of how it addresses specific criteria related to quality improvement. Applications are reviewed by an independent board of about 400 examiners, who come primarily from the private sector. One of the major benefits of applying for the Baldrige Award is the feedback report from the examining team noting the company's strengths and areas for improvement. The categories that are evaluated for scoring are leadership; measurement, analysis, and knowledge management; strategic planning; workforce focus; operations focus; results; and customer focus.
Discuss how managing cultural diversity can provide a competitive advantage to a firm.
Following are the ways in which managing cultural diversity can provide a competitive advantage:
1. Cost argument: As organizations become more diverse, the cost of a poor job in integrating workers will increase. Those who handle this well will thus create cost advantages over those who do not.
2. Employee attraction and retention argument: Companies will develop reputations as prospective employers for women and ethnic minorities. Those with the best reputations for managing diversity will win the competition for talent. This will be especially important as the labor pool shrinks and changes composition.
3. Marketing argument: The insight and cultural sensitivity that diverse employees bring to the marketing effort help a company enter new markets and develop products and services for diverse populations.
4. Creativity argument: Diversity of perspectives and less emphasis on conformity to norms of the past improve the level of creativity.
5. Problem-solving argument: Heterogeneity in decisions and problem-solving groups potentially produces better decisions through a wider range of perspectives and a more thorough critical analysis of issues.
6. System flexibility argument: Diversity brings greater flexibility when reacting to changes in customer preferences and tastes.
Discuss what companies should do to compete in the global marketplace.
Companies are finding that to survive they must compete in international markets as well as fend off foreign corporations' attempts to gain ground in the United States.
To meet these challenges, U.S. businesses must develop global markets, use their practices to improve global competitiveness, and better prepare employees for global assignments. Every business must be prepared to deal with the global economy. Global business expansion has been made easier by technology. The Internet allows data and information to be instantly accessible and sent around the world. The Internet, e-mail, social networking, and videoconferencing enable business deals to be completed between companies thousands of miles apart. Globalization is not limited to any particular sector of the economy, product market, or company size. Businesses around the world are attempting to increase their competitiveness and value by increasing their global presence, often through mergers and acquisitions.
What is a human resource information system (HRIS)? Explain the benefits of using an HRIS.
Companies continue to use human resource information systems to store large quantities of employee data, including personal information, training records, skills, compensation rates, absence records, and benefits usages and costs. A human resource information system (HRIS) is a computer system used to acquire, store, retrieve, and distribute information related to a company's human resources. An HRIS can support strategic decision-making, help a company avoid lawsuits, provide data for evaluating policies and programs, and support day-to-day HR decisions. Managers use the system to track employees' vacation and sick days and to make changes in staffing and pay. Using the HRIS, managers can request the HRIS system to automatically prepare a personnel report; they no longer have to contact the HR department to request one.
What is an HR dashboard? Explain a few ways in which it supports managers and employees.
One of the most important uses of Internet technology is the development of HR dashboards. An HR dashboard is a series of indicators or metrics that managers and employees have access to on their company's intranet or human resource information system. The HR dashboard provides access to important HR metrics for conducting workforce analytics. HR dashboards are important for determining the value of HR practices and how they contribute to business goals. As a result, the use of dashboards is critical for evidence-based HR management. For example, a company may view building talent as a priority, so it adds to its dashboard of people measures a metric to track how many people move and the reasons. This allows the form to identify divisions that are developing new talent. Sophisticated systems such as the HR dashboard can extend management applications to decision-making in areas such as compensation and performance management. Managers can schedule job interviews or performance appraisals guided by the system to provide the necessary information and follow every step called for by the procedure.
Outline the four dimensions of human resource management practices.
1. Managing the human resource environment: Managing internal and external environmental factors allows employees to make the greatest possible contribution to company productivity and competitiveness.
2. Acquiring and preparing human resources: It involves determining the number and type of employees needed, a value that is influenced by customer needs, terminations, promotions, and retirements. Managers also need to identify current or potential employees to fill those needs.
3. Assessment and development of human resources: Managers must ensure that employees have the necessary skills to perform current and future jobs. Work may be redesigned to be performed by teams. Companies need to create a supportive work environment.
4. Compensating human resources: Pay and benefits are important incentives to offer employees in exchange for contributing to productivity, quality, and customer service. They are also used to reward employees' membership and to attract new employees.
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