Managing Human Resources Fundamentals of HR.docx

Managing Human Resources   True / False Questions   1. Managers and economists traditionally have seen human resource management as a source of value to their organizations.  True    False   2. The concept of "human resource management" implies that employees are interchangeable, easily replaced assets that must be managed like any other physical asset.  True    False   3. Human resources cannot be imitated.  True    False   4. No two human resource departments will have precisely the same roles and responsibilities.  True    False   5. Today, greater concern for innovation and quality has shifted the trend in job design to an increased use of narrowly defined jobs.  True    False   6. An organization makes selection decisions in order to add employees to its workforce, as well as to transfer existing employees to new positions.  True    False   7. In the context of performance management, when the person evaluating performance is not familiar with the details of the job, outcomes tend to be easier to evaluate than specific behaviors.  True    False   8. The pay and benefits that employees earn play an important role in motivating them, except when rewards such as bonuses are linked to the individual's or group's achievements.  True    False   9. Maintaining positive employee relations includes preparing and distributing employee handbooks that detail company policies and, in large organizations, company publications such as a monthly newsletter or a Web site on the organization's intranet.  True    False   10. Establishing and administering personnel policies allows the company to handle problematic situations more fairly and objectively than if it addressed such incidents on a case-by-case basis.  True    False   11. Currently, no federal laws outline how to use employee databases in order to protect employees' privacy while also meeting employers' and society's concerns for security.  True    False   12. Human resource management is increasingly becoming a purely administrative function.  True    False   13. Evidence-based HR refers to the practice of initiating disciplinary action against employees only in the presence of clear and demonstrable proof of undesirable behavior.  True    False   14. Corporate social responsibility describes a company's commitment to meeting the needs of its stakeholders.  True    False   15. To carry out the functions of talent manager/organizational designer effectively, an HR manager must possess knowledge of how the organization is structured and how that structure might be adjusted to help it meet its goals for developing and using employees' talents.  True    False   16. All HR skills require some ability as operational executor.  True    False   17. In contrast to those in smaller organizations, supervisors in larger firms need not be familiar with the basics of HRM.  True    False   18. Recent surveys indicate that managers have largely positive perceptions of the ethical conduct of U.S. businesses.  True    False   19. According to the right of privacy, employers can conceal the nature of the job before hiring an employee.  True    False   20. Mimi feels that her being denied promotion has more to do with her being a woman than with her performance. However, her supervisors and the HR department are refusing to hear her case. This indicates that Mimi has been denied her right to due process.  True    False   21. In ethical, successful companies, the owners, not the employees, assume responsibility for the actions of the company.  True    False   22. For human resource practices to be considered ethical, they must result in the greatest good for the largest number of people.  True    False   23. The role of HR generalist is mostly limited to recruitment and selection.  True    False   24. The vast majority of HRM professionals have a college degree.  True    False   25. Some HRM professionals are members of professional associations, but many more have a professional certification in HRM.  True    False     Multiple Choice Questions   26. The policies, practices, and systems that influence employees' behavior, attitudes, and performance constitute:  A. supply chain management. B. materials management. C. human resource management. D. labor laws. E. equal employment opportunity.   27. Managers and economists traditionally have seen human resource management as:  A. a source of value to their organization. B. a necessary expense. C. an asset. D. an essential component of a high-performance work system. E. a waste of money.   28. The concept of "human resource management" implies that employees:  A. are interchangeable. B. are easily replaceable. C. are a necessary expense. D. can add economic value to the organization. E. are not crucial to the company's success or failure.   29. As a type of resource, human capital refers to:  A. the wages, benefits, and other costs incurred in support of HR functions in an organization. B. executive talent within an organization. C. the tax-deferred value of an employee's 401(k) plan. D. employee characteristics that add economic value to the organization. E. the total budget allocated to the HR department in an organization.   30. Human capital includes all of the following EXCEPT:  A. training. B. profitability. C. relationships. D. intelligence. E. insight.   31. When an organization is better than competitors at something and can hold that advantage over an extended period of time, it is said to have a(n):  A. differentiated focus. B. sustainable competitive advantage. C. core competency. D. low-cost competitive advantage. E. optimum efficiency frontier.   32. The text implies that human resources that are valuable, rare, inimitable, and hard to replace contribute to an organization achieving:  A. only short-term success. B. low employee turnover. C. low client retention rates. D. low recruitment costs. E. a sustainable competitive advantage.   33. Human resources provide an organization with a sustainable competitive advantage because:  A. highly skilled and knowledgeable employees are commonly available. B. the organization can easily duplicate the success of competitors' human resources. C. after financial resources, human resources are the most committed to an organization. D. high-quality employees provide a needed service as they perform many critical functions. E. employees can be easily trained, motivated, and developed to care about customers.   34. Which of the following terms describes an organization in which technology, organizational structure, people, and processes all work together to give an organization an advantage in the competitive environment?  A. Low-involvement work system B. Optimal production system C. Balanced score-card system D. Environmental work system E. High-performance work system   35. On average, an organization has one HR staff person for every _____ employees served by the department.  A. 15 B. 27 C. 54 D. 93 E. 145   36. According to the text, administrative services and transactions, business partner services, and strategic partner, all constitute:  A. activities usually outsourced by large organizations. B. the responsibilities of HR departments. C. tasks carried out by supervisors in most companies. D. functions of the top management in large companies. E. HR activities usually carried out by line managers in large companies.   37. If one were to think of HR as a business, which of the following "product lines" involves developing effective HR systems that help the organization meet its goals for attracting, keeping, and developing people with the skills it needs?  A. Administrative services B. Business partner services C. Strategic partner D. Product quality audit E. Administrative transactions   38. Which one of the following responsibilities is specifically associated with the HR function of employee relations?  A. Conducting attitude surveys B. Work analysis C. HR information systems D. Human resource planning and forecasting E. Job design   39. Which of the following responsibilities is specifically associated with the HR function of support for strategy?  A. Discipline B. Human resource planning and forecasting C. Wage and salary administration D. Developing employee handbooks and company publications E. Developing an HR information system   40. Which of the following refers to the process of getting detailed information about jobs?  A. Job design B. Workflow analysis C. Job analysis D. Work study E. Job review   41. Job design is the process of:  A. defining the way work will be performed and the tasks that a given job requires. B. the process of getting detailed information about jobs. C. the process by which the organization attempts to identify suitable candidates for jobs. D. enabling employees to learn job-related knowledge, skills, and behavior. E. presenting candidates with positive and negative information about a job.   42. At Smartech, a company dealing in software products, employees often complain about lack of clarity regarding the tasks they are required to perform. Specifically which HR function, it would appear from this information, has been performed inefficiently at Smartech?  A. Compliance with laws B. Analysis and design of work C. Compensation and benefits D. Maintaining employee relations E. Recruitment and selection   43. Why has the job trend shifted to broadly defined jobs?  A. Emphasis on innovation and quality B. Increased demand for low skilled workers C. Increased focus on simplifying jobs D. Lack of competition E. Increased need for efficiency   44. Which of the following refers to the process through which an organization seeks applicants for potential employment?  A. Orientation B. Selection C. Recruitment D. Work analysis E. Job design   45. The process by which the organization attempts to identify applicants with the necessary knowledge, skills, abilities, and other characteristics that will help the organization achieve its goals is referred to as:  A. orientation. B. selection. C. recruitment. D. work analysis. E. performance management.   46. According to a study quoted in the text, which of the following is one of the top qualities that employers say they are looking for in employees?  A. Physical skills B. Wide experience C. Computer skills D. Multilingual skills E. Interpersonal skills   47. According to a study quoted in the text, which one of the following is NOT among the top qualities employers look for in employees?  A. Computer skills B. Work ethic C. Initiative/flexibility D. Honesty/loyalty E. Interpersonal skills   48. _____ is a planned effort to enable employees to learn job-related knowledge, skills, and behavior.  A. Selection B. Employee relations C. Training D. Coordinating E. Recruitment   49. The HR function of _____ involves acquiring knowledge, skills, and behavior that improve employees' ability to meet the challenges of a variety of new or existing jobs, including the client and customer demands of those jobs.  A. recruitment B. personnel policy C. development D. employee relations E. selection   50. If a company, as part of its job redesign program, plans to set up teams to manufacture products, which of the following programs might it offer to help employees learn the ins and outs of effective teamwork?  A. Development B. Recruitment C. Orientation D. Selection E. Performance management   51. The process of ensuring that employees' activities and outputs match the organization's goals is called:  A. job analysis. B. strategic management. C. employee development. D. performance management. E. career planning.   52. Which of the following is an example of an outcome that can be used to evaluate performance?  A. The manner in which a customer complaint is addressed B. The method used to assemble a product C. The order in which a series of tasks is performed D. The number of customer complaints E. The tone used in speaking to subordinates   53. Which one of the following is NOT true of the performance management process?  A. Performance measures may emphasize either observable behaviors or outcomes, or both. B. The evaluation may focus on the short term or long term. C. When the person evaluating performance is not familiar with the details of the job, specific behaviors tend to be easier to evaluate than outcomes. D. In some organizations, employees evaluate their own performance, and often, peers and subordinates participate, too. E. The evaluation may focus on individual employees or groups.   54. Typically, the evaluation in performance management is completed by:  A. HR specialists. B. external job analysts. C. the incumbent employee. D. peers and subordinates. E. the employee's supervisor.   55. The employees at Edifice Financials complain that they are not provided feedback on their performance. They do not get proper information as to how they have performed and where they need to improve. The performance goals are vague and not measurable. Which HR function does Edifice Financials need to improve upon?  A. Recruitment and selection B. Employee relations C. Training and development D. Performance management E. Planning and administering pay and benefits   56. This HR function includes preparing and distributing employee handbooks that detail company policies and, in large organizations, company publications such as a monthly newsletter or a Web site on the organization's intranet.  A. Recruitment and selection B. Maintaining positive employee relations C. Ensuring compliance with labor laws D. Performance management E. Planning and administering pay and benefits   57. When employees of an organization feel they have been discriminated against, see safety hazards, or have other problems and are dissatisfied with their supervisor's response, they may turn to the HR department for help. Addressing such problems suitably is part of the HR function of:  A. recruitment and selection. B. maintaining positive employee relations. C. training and developing employees. D. performance management. E. planning and administering pay and benefits.   58. The HR function of maintaining positive employee relations includes:  A. maintaining performance measures on outcomes. B. offering training programs on effective teamwork. C. selecting only those applicants that are referred by employees. D. maintaining communication with union representatives. E. planning employee pay and benefits.   59. How does establishing and administering policies help organizations?  A. It allows companies to handle situations fairly and objectively. B. It allows companies to address issues on a case-by-case basis. C. It eliminates documentation and record-keeping. D. Employees are not told of the consequences of violating the policies. E. It leaves a lot of room for subjective decision-making.   60. Labor laws:  A. guarantee lifetime employment. B. prohibit employment at will. C. prohibit layoffs. D. prohibit age discrimination. E. do not govern pay and benefits.   61. Under the principle of "employment at will", the employer may terminate employment:  A. after two weeks' notice. B. at any time without notice. C. immediately after written notice. D. only if the employee voluntarily resigns. E. only if he can show just cause.   62. Evidence-based HR refers to:  A. the exclusive use of statistical models for planning, forecasting, and other related HR activities. B. the establishment of measurable performance goals and desired outcomes during performance management. C. demonstrating that human resource practices have a positive influence on the company's profits or key stakeholders. D. the process of ensuring that employees' activities and outputs match the organization's goals. E. an organization-wide planned effort to enable employees to learn job-related knowledge, skills, and behavior.   63. The process of identifying the numbers and types of employees the organization will require in order to meet its objectives is known as:  A. supply chain management. B. performance management. C. human resource planning. D. work analysis. E. performance planning.   64. This process helps the human resource department to forecast the organization's needs for hiring, training, and reassigning employees, and also includes handling or avoiding layoffs.  A. Supply chain management B. Job development C. Human resource planning D. Evidence-based HR E. Corporate social responsibility   65. Which of the following describes a company's commitment to meeting the needs of its stakeholders?  A. Corporate governance B. Public relations C. Social media optimization D. Public governance E. Corporate social responsibility   66. The parties with an interest in the company's success—typically, shareholders, the community, customers, and employees—constitute the _____ of a company.  A. market B. stakeholders C. management D. personnel E. strategic partners   67. Ensuring a fair return on investors' capital, safe and reliable products for customers, fair compensation and safe working conditions for employees, and clean air and water for communities, are all ways in which a company can exercise:  A. public relations. B. social networking. C. corporate social responsibility. D. social media optimization. E. corporate governance.   68. An HR manager becomes a(n) _____ when she is so well respected in the organization that she can influence the positions taken by managers. This involves delivering results with integrity, sharing information, building trusting relationships, influencing others, providing candid observation, and taking appropriate risks.  A. credible activist B. cultural steward C. strategic architect D. operational executor E. business ally   69. In the role of a cultural steward, an HR manager:  A. administers day-to-day work of managing people. B. helps employees find meaning in their work and manage work/life balance. C. develops people strategies that contribute to the business strategy. D. understands how the business makes money. E. recognizes business trends and their impact on the business.   70. As ___, the HR manager knows the ways that people join the organization and move to different positions within it.  A. strategy architect B. cultural steward C. talent manager/organizational designer D. business ally E. credible activist   71. For an HR manager, being a(n) _____ requires awareness of business trends and an understanding of how they might affect the business, as well as opportunities and threats they might present.  A. strategy architect B. cultural steward C. talent manager/organizational designer D. operational executor E. credible activist   72. As ___, HR managers know how the business makes money, who its customers are, and why customers buy what the company sells.  A. business allies B. cultural stewards C. talent managers/organizational designers D. operational executors E. credible activists   73. At the most basic level, HR managers fulfilling the role of ___, carry out particular HR functions such as handling the selection, training, or compensation of employees.  A. business allies B. cultural stewards C. talent managers/organizational designers D. operational executors E. credible activists   74. Which of the following statements is true about HR responsibilities of supervisors?  A. HR activities are invariably limited to the specialists in the HR department. B. In small organizations, all HR activities are carried out by HR specialists. C. Non-HR managers do not need be familiar with the basics of HRM. D. Job analysis and design are usually outside the purview of supervisors. E. Supervisors typically have responsibilities related to all the HR functions.   75. At a start-up company, the first supervisors are:  A. the HR staff. B. the company's founders. C. the shop-floor workers. D. external auditors. E. contract workers.   76. Ethics are:  A. one's religious values and beliefs. B. what is required by law. C. what is acceptable to the company. D. the fundamental principles of right and wrong. E. the economic principles guiding business.   77. Which of the following is true of ethics in human resource management?  A. Evidence shows that HRM practices invariably ethical. B. The general public has a positive perception of the ethical conduct of U.S. businesses. C. Many ethical issues in the workplace involve human resource management. D. Most managers have a positive perception of the ethical conduct of U.S. businesses. E. Most people believe that individuals apply values they hold in their personal lives to their professional activities.   78. Which of the following views on employment reflects ethical principles embodied in the U.S. Constitution and Bill of Rights?  A. HR managers must view employees as having basic rights. B. Employees have the right to lifetime employment. C. HR managers have the right to hire whoever they deem best suited for a job. D. HR managers must view employees as a necessary expense. E. HR managers must set aside quotas for minorities.   79. A widely adopted understanding of human rights, quoted in the text, assumes that in a moral universe, every person has certain basic rights—right of free consent, right of privacy, right of freedom of conscience, right of freedom of speech, and right to due process. This concept is based partly on the work of the philosopher:  A. Plato. B. Max Weber. C. William James. D. Immanuel Kant. E. Aristotle.   80. The right of employees to know the nature of the job they are being hired to do and the obligation of a company not to deceive them in this respect is reflective of the basic Kantian right of ___.  A. privacy B. free consent C. freedom of speech D. freedom of conscience E. due process   81. Which one of the following is NOT among Immanuel Kant's basic human rights?  A. Right of privacy B. Right to lifetime employment C. Right to due process D. Right of freedom of conscience E. Right of free consent   82. Which one of Kant's basic human rights is violated when a supervisor requires an employee to do something that is unsafe or environmentally damaging, in spite of the employee clearly objecting to the order?  A. Right of freedom of speech B. Right of equal opportunity employment C. Right to due process D. Right of freedom of conscience E. Right of privacy   83. People's right of privacy is the right to:  A. know the nature of the job they are being hired for. B. autonomy in how they carry out their work. C. control what they reveal about their private life. D. right to a fair and impartial hearing. E. right to decline to reveal business details to regulatory agencies.   84. By keeping employees' personal records confidential, an employer respects their right of:  A. autonomy. B. freedom of conscience. C. due-process. D. freedom of speech. E. privacy.   85. People's right to freedom of speech is the right to:  A. criticize an organization's ethics if they do so in good conscience. B. refuse to do something that is environmentally unsafe. C. do as they wish in their private life. D. to be treated only as they knowingly and willingly consent to be treated. E. prohibit criticism of theorganization.   86. If people believe their rights are being violated, they have the right to a fair and impartial hearing. This reflects the basic human right to:  A. lifetime employment. B. privacy. C. due process. D. free consent. E. freedom of conscience.   87. Which one of the following does NOT represent an ethical principle of a successful company?  A. Its employees assume responsibility for the actions of the company. B. It has a sense of purpose or vision that employees value and use in their work. C. It emphasizes mutual benefits in its customer, client, and vendor relationships. D. It emphasizes fairness; that is, another person's interests count as much as their own. E. It emphasizes profit-maximization as the sole mission of the company.   88. Which of the following is a standard that human resource managers must satisfy for HRM practices to be ethical?  A. Managers must treat employees as family. B. Human resource practices must result in the greatest good for the largest number of people. C. Employment practices must respect employees' right of lifetime employment. D. Managers must always maintain that customers are right. E. Employment practices must respect the principle of employment-at-will.   89. Which one of the following statements about the HR profession is true?  A. A degree in law is the main qualification for those who wish to choose HRM as a career. B. The vast majority of HRM professionals have a postgraduate degree. C. Professional certification in HRM continues to be less common than membership in professional associations. D. Usually, HR generalists get paid substantially more than HR specialists. E. HR generalists usually perform the full range of HRM activities.   90. The primary professional organization for HRM is the:  A. AMA. B. ACA. C. SHRM. D. HRMA. E. AHRM.     Essay Questions   91. What are the qualities associated with human resources that help an organization gain a sustainable competitive advantage?          92. Name five important responsibilities of HR, briefly describing the specific activities associated with each.          93. Distinguish between training and development of employees.          94. Discuss the responsibility of HR with regard to planning and administering pay and benefits. Also analyze the impact of this function on the organization.          95. Describe the terms human resource planning and evidence-based HR. How do these concepts help HR in supporting the organization's strategy?          96. Briefly describe six competencies required for the HR profession.          97. Discuss the HR responsibilities of supervisors.          98. List and discuss the basic human rights suggested by the work of Immanuel Kant, as well as the tradition of the Enlightenment.          99. What are the four principles followed by ethical successful companies?          100. How would you describe a career in human resource management? Cite the type of positions available, degree requirements, the nature of the work, and salary levels.          Chapter 01 Managing Human Resources Answer Key     True / False Questions   1. Managers and economists traditionally have seen human resource management as a source of value to their organizations.  FALSE Managers and economists traditionally have seen human resource management as a necessary expense, rather than as a source of value to their organizations.   2. The concept of "human resource management" implies that employees are interchangeable, easily replaced assets that must be managed like any other physical asset.  FALSE The concept of "human resource management" implies that employees are resources of the employer. This view means employees in today's organizations are not interchangeable, easily replaced parts of a system but the source of the company's success or failure.   3. Human resources cannot be imitated.  TRUE Human resources cannot be imitated. To imitate human resources at a high-performing competitor, you would have to figure out which employees are providing the advantage and how. Then you would have to recruit people who can do precisely the same thing and set up the systems that enable those people to imitate your competitor.   4. No two human resource departments will have precisely the same roles and responsibilities.  TRUE No two human resource departments have precisely the same roles because of differences in organization sizes and characteristics of the workforce, the industry, and management's values. Many HR tasks may be performed by supervisors or others inside or outside the organization.   5. Today, greater concern for innovation and quality has shifted the trend in job design to an increased use of narrowly defined jobs.  FALSE In general, jobs can vary from having a narrow range of simple tasks to having a broad array of complex tasks requiring multiple skills. In the past, many companies have emphasized the use of narrowly defined jobs to increase efficiency. However, greater concern for innovation and quality has shifted the trend to more use of broadly defined jobs.   6. An organization makes selection decisions in order to add employees to its workforce, as well as to transfer existing employees to new positions.  TRUE Selection refers to the process by which the organization attempts to identify applicants with the necessary knowledge, skills, abilities, and other characteristics that will help the organization achieve its goals. An organization makes selection decisions in order to add employees to its workforce, as well as to transfer existing employees to new positions.   7. In the context of performance management, when the person evaluating performance is not familiar with the details of the job, outcomes tend to be easier to evaluate than specific behaviors.  TRUE Performance measures may emphasize observable behaviors, outcomes, or both. When the person evaluating performance is not familiar with the details of the job, outcomes tend to be easier to evaluate than specific behaviors.   8. The pay and benefits that employees earn play an important role in motivating them, except when rewards such as bonuses are linked to the individual's or group's achievements.  FALSE The pay and benefits that employees earn play an important role in motivating them. This is especially true when rewards such as bonuses are linked to the individual's or group's achievements.   9. Maintaining positive employee relations includes preparing and distributing employee handbooks that detail company policies and, in large organizations, company publications such as a monthly newsletter or a Web site on the organization's intranet.  TRUE Maintaining positive employee relations includes preparing and distributing employee handbooks that detail company policies and, in large organizations, company publications such as a monthly newsletter or a Web site on the organization's intranet. Preparing these communications may be a regular task for the human resource department.   10. Establishing and administering personnel policies allows the company to handle problematic situations more fairly and objectively than if it addressed such incidents on a case-by-case basis.  TRUE Organizations depend on their HR department to help establish policies related to hiring, discipline, promotions, and benefits. Establishing and administering personnel policies allows the company to handle problematic situations more fairly and objectively than if it addressed such incidents on a case-by-case basis.   11. Currently, no federal laws outline how to use employee databases in order to protect employees' privacy while also meeting employers' and society's concerns for security.  TRUE The increased use of and access to electronic databases by employees and employers suggest that in the near future legislation will be needed to protect employee privacy rights. Currently, no federal laws outline how to use employee databases in such a way as to protect employees' privacy while also meeting employers' and society's concern for security.   12. Human resource management is increasingly becoming a purely administrative function.  FALSE At one time, human resource management was primarily an administrative function. As more organizations have come to appreciate the significance of highly skilled human resources, however, many HR departments have taken on a more active role in supporting the organization's strategy.   13. Evidence-based HR refers to the practice of initiating disciplinary action against employees only in the presence of clear and demonstrable proof of undesirable behavior.  FALSE Evidence-based HR refers to demonstrating that human resource practices have a positive influence on the company's profits or key stakeholders (employees, customers, community, shareholders).   14. Corporate social responsibility describes a company's commitment to meeting the needs of its stakeholders.  TRUE Corporate social responsibility describes a company's commitment to meeting the needs of its stakeholders, or the parties that have an interest in the company's success, including shareholders, the community, customers, and employees.   15. To carry out the functions of talent manager/organizational designer effectively, an HR manager must possess knowledge of how the organization is structured and how that structure might be adjusted to help it meet its goals for developing and using employees' talents.  TRUE As talent manager/organizational designer, an HR manager knows the ways that people join the organization and move to different positions within it. To do this effectively requires knowledge of how the organization is structured and how that structure might be adjusted to help it meet its goals for developing and using employees' talents.   16. All HR skills require some ability as operational executor.  TRUE At the most basic level, HR managers as operational executors carry out particular HR functions such as handling the selection, training, or compensation of employees. All of the other HR skills require some ability as operational executor, because this is the level at which policies and transactions deliver results by legally, ethically, and efficiently acquiring, developing, motivating, and deploying human resources.   17. In contrast to those in smaller organizations, supervisors in larger firms need not be familiar with the basics of HRM.  FALSE In large organizations, HR departments advise and support the activities of the other departments. In small organizations, there may be an HR specialist, but many HR activities are carried out by line supervisors. Either way, non-HR managers need to be familiar with the basics of HRM and their role with regard to managing human resources.   18. Recent surveys indicate that managers have largely positive perceptions of the ethical conduct of U.S. businesses.  FALSE Business decisions, including HRM decisions, should be ethical, but the evidence suggests that is not always what happens. Recent surveys indicate that the general public and managers do not have positive perceptions of the ethical conduct of U.S. businesses.   19. According to the right of privacy, employers can conceal the nature of the job before hiring an employee.  FALSE Right of privacy states that people have the right to do as they wish in their private lives, and they have the right to control what they reveal about private activities. Concealing the nature of a job prior to hiring an employee would violate the human right of free consent which states that people have the right to be treated only as they knowingly and willingly consent to be treated.   20. Mimi feels that her being denied promotion has more to do with her being a woman than with her performance. However, her supervisors and the HR department are refusing to hear her case. This indicates that Mimi has been denied her right to due process.  TRUE The right to due process states that if people believe their rights are being violated, they have the right to a fair and impartial hearing.   21. In ethical, successful companies, the owners, not the employees, assume responsibility for the actions of the company.  FALSE In ethical successful companies, employees assume responsibility for the actions of the company.   22. For human resource practices to be considered ethical, they must result in the greatest good for the largest number of people.  TRUE For human resource practices to be considered ethical, they must result in the greatest good for the largest number of people.   23. The role of HR generalist is mostly limited to recruitment and selection.  FALSE HR generalists usually perform the full range of HRM activities, including recruiting, training, compensation, and employee relations.   24. The vast majority of HRM professionals have a college degree.  TRUE The vast majority of HRM professionals have a college degree, and many also have completed postgraduate work.   25. Some HRM professionals are members of professional associations, but many more have a professional certification in HRM.  FALSE Some HRM professionals have a professional certification in HRM, but many more are members of professional associations. The primary professional organization for HRM is the Society for Human Resource Management (SHRM).     Multiple Choice Questions   26. The policies, practices, and systems that influence employees' behavior, attitudes, and performance constitute:  A. supply chain management. B. materials management. C. human resource management. D. labor laws. E. equal employment opportunity. Human resource management (HRM) comprises the policies, practices, and systems that influence employees' behavior, attitudes, and performance. Many companies refer to HRM as involving "people practices."   27. Managers and economists traditionally have seen human resource management as:  A. a source of value to their organization. B. a necessary expense. C. an asset. D. an essential component of a high-performance work system. E. a waste of money. Managers and economists traditionally have seen human resource management as a necessary expense, rather than as a source of value to their organizations. Economic value is usually associated with capital — cash, equipment, technology, and facilities.   28. The concept of "human resource management" implies that employees:  A. are interchangeable. B. are easily replaceable. C. are a necessary expense. D. can add economic value to the organization. E. are not crucial to the company's success or failure. The concept of "human resource management" implies that employees are resources of the employer. As a type of resource, human capital means the employee characteristics that can add economic value to the organization. This view means employees in today's organizations are not interchangeable, easily replaced parts of a system but the source of the company's success or failure.   29. As a type of resource, human capital refers to:  A. the wages, benefits, and other costs incurred in support of HR functions in an organization. B. executive talent within an organization. C. the tax-deferred value of an employee's 401(k) plan. D. employee characteristics that add economic value to the organization. E. the total budget allocated to the HR department in an organization. As a type of resource, human capital means the organization's employees, described in terms of their training, experience, judgment, intelligence, relationships, and insight—the employee characteristics that can add economic value to the organization.   30. Human capital includes all of the following EXCEPT:  A. training. B. profitability. C. relationships. D. intelligence. E. insight. As a type of resource, human capital means the organization's employees, described in terms of their training, experience, judgment, intelligence, relationships, and insight—the employee characteristics that can add economic value to the organization.   31. When an organization is better than competitors at something and can hold that advantage over an extended period of time, it is said to have a(n):  A. differentiated focus. B. sustainable competitive advantage. C. core competency. D. low-cost competitive advantage. E. optimum efficiency frontier. In terms of business strategy, an organization can succeed if it has a sustainable competitive advantage (is better than competitors at something and can hold that advantage over a sustained period of time). Therefore, organizations need the kind of resources that will give them such an advantage.   32. The text implies that human resources that are valuable, rare, inimitable, and hard to replace contribute to an organization achieving:  A. only short-term success. B. low employee turnover. C. low client retention rates. D. low recruitment costs. E. a sustainable competitive advantage. In terms of business strategy, an organization can succeed if it has a sustainable competitive advantage (is better than competitors at something and can hold that advantage over a sustained period of time). Human resources that are valuable, rare inimitable, and hard to replace will give them such an advantage.   33. Human resources provide an organization with a sustainable competitive advantage because:  A. highly skilled and knowledgeable employees are commonly available. B. the organization can easily duplicate the success of competitors' human resources. C. after financial resources, human resources are the most committed to an organization. D. high-quality employees provide a needed service as they perform many critical functions. E. employees can be easily trained, motivated, and developed to care about customers. Human resources provide companies with a sustainable competitive advantage because they are valuable, rare, inimitable, and irreplaceable. High-quality employees provide a needed service as they perform many critical functions.   34. Which of the following terms describes an organization in which technology, organizational structure, people, and processes all work together to give an organization an advantage in the competitive environment?  A. Low-involvement work system B. Optimal production system C. Balanced score-card system D. Environmental work system E. High-performance work system A high-performance work system is an organization in which technology, organizational structure, people, and processes all work together to give an organization an advantage in the competitive environment.   35. On average, an organization has one HR staff person for every _____ employees served by the department.  A. 15 B. 27 C. 54 D. 93 E. 145 In all but the smallest organizations, a human resource department is responsible for the functions of human resource management. On average, an organization has one HR staff person for every 93 employees served by the department.   36. According to the text, administrative services and transactions, business partner services, and strategic partner, all constitute:  A. activities usually outsourced by large organizations. B. the responsibilities of HR departments. C. tasks carried out by supervisors in most companies. D. functions of the top management in large companies. E. HR activities usually carried out by line managers in large companies. One way to define the responsibilities of HR departments is to think of HR as a business within the company with three product lines—administrative services and transactions, business partner services, and strategic partner.   37. If one were to think of HR as a business, which of the following "product lines" involves developing effective HR systems that help the organization meet its goals for attracting, keeping, and developing people with the skills it needs?  A. Administrative services B. Business partner services C. Strategic partner D. Product quality audit E. Administrative transactions One way to define the responsibilities of HR departments is to think of HR as a business within the company with three product lines. The "product line" of business partner services entails developing effective HR systems that help the organization meet its goals for attracting, keeping, and developing people with the skills it needs. For the systems to be effective, HR people must understand the business so it can understand what the business needs.   38. Which one of the following responsibilities is specifically associated with the HR function of employee relations?  A. Conducting attitude surveys B. Work analysis C. HR information systems D. Human resource planning and forecasting E. Job design The HR function of employee relations involves taking attitude surveys, managing labor relations, developing employee handbooks and company publications, ensuring labor law compliance, and relocation and outplacement services.   39. Which of the following responsibilities is specifically associated with the HR function of support for strategy?  A. Discipline B. Human resource planning and forecasting C. Wage and salary administration D. Developing employee handbooks and company publications E. Developing an HR information system Human resource planning and forecasting and change management help organization provide support for an organization's strategy.   40. Which of the following refers to the process of getting detailed information about jobs?  A. Job design B. Workflow analysis C. Job analysis D. Work study E. Job review Job analysis is the process of getting detailed information about jobs.   41. Job design is the process of:  A. defining the way work will be performed and the tasks that a given job requires. B. the process of getting detailed information about jobs. C. the process by which the organization attempts to identify suitable candidates for jobs. D. enabling employees to learn job-related knowledge, skills, and behavior. E. presenting candidates with positive and negative information about a job. Job design is the process of defining the way work will be performed and the tasks that a given job requires.   42. At Smartech, a company dealing in software products, employees often complain about lack of clarity regarding the tasks they are required to perform. Specifically which HR function, it would appear from this information, has been performed inefficiently at Smartech?  A. Compliance with laws B. Analysis and design of work C. Compensation and benefits D. Maintaining employee relations E. Recruitment and selection Job analysis is the process of getting detailed information about jobs. Job design is the process of defining the way work will be performed and the tasks that a given job requires. These processes help to group tasks in ways that help the organization to operate efficiently and to obtain people with the right qualifications to do the jobs well.   43. Why has the job trend shifted to broadly defined jobs?  A. Emphasis on innovation and quality B. Increased demand for low skilled workers C. Increased focus on simplifying jobs D. Lack of competition E. Increased need for efficiency With many simple jobs, a company can easily find workers who can quickly be trained to perform the jobs at relatively low pay. However, greater concern for innovation and quality has shifted the trend to more use of broadly defined jobs.   44. Which of the following refers to the process through which an organization seeks applicants for potential employment?  A. Orientation B. Selection C. Recruitment D. Work analysis E. Job design Recruitment is the process through which the organization seeks applicants for potential employment.   45. The process by which the organization attempts to identify applicants with the necessary knowledge, skills, abilities, and other characteristics that will help the organization achieve its goals is referred to as:  A. orientation. B. selection. C. recruitment. D. work analysis. E. performance management. Selection refers to the process by which the organization attempts to identify applicants with the necessary knowledge, skills, abilities, and other characteristics that will help the organization achieve its goals. An organization makes selection decisions in order to add employees to its workforce, as well as to transfer existing employees to new positions.   46. According to a study quoted in the text, which of the following is one of the top qualities that employers say they are looking for in employees?  A. Physical skills B. Wide experience C. Computer skills D. Multilingual skills E. Interpersonal skills Interpersonal skills, work ethic, initiative/flexibility, honesty/loyalty, and strong communication skills (verbal and written), are the top five qualities employers look for in employees.   47. According to a study quoted in the text, which one of the following is NOT among the top qualities employers look for in employees?  A. Computer skills B. Work ethic C. Initiative/flexibility D. Honesty/loyalty E. Interpersonal skills Interpersonal skills, work ethic, initiative/flexibility, honesty/loyalty, and strong communication skills (verbal and written), are the top five qualities employers look for in employees.   48. _____ is a planned effort to enable employees to learn job-related knowledge, skills, and behavior.  A. Selection B. Employee relations C. Training D. Coordinating E. Recruitment Training is a planned effort to enable employees to learn job-related knowledge, skills, and behavior.   49. The HR function of _____ involves acquiring knowledge, skills, and behavior that improve employees' ability to meet the challenges of a variety of new or existing jobs, including the client and customer demands of those jobs.  A. recruitment B. personnel policy C. development D. employee relations E. selection Development involves acquiring knowledge, skills, and behavior that improve employees' ability to meet the challenges of a variety of new or existing jobs, including the client and customer demands of those jobs. Development programs often focus on preparing employees for management responsibility.   50. If a company, as part of its job redesign program, plans to set up teams to manufacture products, which of the following programs might it offer to help employees learn the ins and outs of effective teamwork?  A. Development B. Recruitment C. Orientation D. Selection E. Performance management Development involves acquiring knowledge, skills, and behavior that improve employees' ability to meet the challenges of a variety of new or existing jobs, including the client and customer demands of those jobs. Development programs often focus on preparing employees for management responsibility. Likewise, if a company plans to set up teams to manufacture products, it might offer a development program to help employees learn the ins and outs of effective teamwork.   51. The process of ensuring that employees' activities and outputs match the organization's goals is called:  A. job analysis. B. strategic management. C. employee development. D. performance management. E. career planning. The process of ensuring that employees' activities and outputs match the organization's goals is called performance management. The activities of performance management include specifying the tasks and outcomes of a job that contribute to the organization's success. Then various measures are used to compare the employee's performance over some time period with the desired performance.   52. Which of the following is an example of an outcome that can be used to evaluate performance?  A. The manner in which a customer complaint is addressed B. The method used to assemble a product C. The order in which a series of tasks is performed D. The number of customer complaints E. The tone used in speaking to subordinates The performance measures used during the process of performance management may emphasize observable behaviors (for example, answering the phone by the second ring), outcomes (number of customer complaints and compliments), or both.   53. Which one of the following is NOT true of the performance management process?  A. Performance measures may emphasize either observable behaviors or outcomes, or both. B. The evaluation may focus on the short term or long term. C. When the person evaluating performance is not familiar with the details of the job, specific behaviors tend to be easier to evaluate than outcomes. D. In some organizations, employees evaluate their own performance, and often, peers and subordinates participate, too. E. The evaluation may focus on individual employees or groups. The performance measures may emphasize observable behaviors (for example, answering the phone by the second ring), outcomes (number of customer complaints and compliments), or both. When the person evaluating performance is not familiar with the details of the job, outcomes tend to be easier to evaluate than specific behaviors.   54. Typically, the evaluation in performance management is completed by:  A. HR specialists. B. external job analysts. C. the incumbent employee. D. peers and subordinates. E. the employee's supervisor. Typically, the person who completes the evaluation is the employee's supervisor. Often employees also evaluate their own performance, and in some organizations, peers and subordinates participate, too.   55. The employees at Edifice Financials complain that they are not provided feedback on their performance. They do not get proper information as to how they have performed and where they need to improve. The performance goals are vague and not measurable. Which HR function does Edifice Financials need to improve upon?  A. Recruitment and selection B. Employee relations C. Training and development D. Performance management E. Planning and administering pay and benefits The process of ensuring that employees' activities and outputs match the organization's goals is called performance management. The activities of performance management include specifying the tasks and outcomes of a job that contribute to the organization's success. Then various measures are used to compare the employee's performance over some time period with the desired performance.   56. This HR function includes preparing and distributing employee handbooks that detail company policies and, in large organizations, company publications such as a monthly newsletter or a Web site on the organization's intranet.  A. Recruitment and selection B. Maintaining positive employee relations C. Ensuring compliance with labor laws D. Performance management E. Planning and administering pay and benefits Organizations often depend on human resource professionals to help them maintain positive relations with employees. This function includes preparing and distributing employee handbooks that detail company policies and, in large organizations, company publications such as a monthly newsletter or a Web site on the organization's intranet.   57. When employees of an organization feel they have been discriminated against, see safety hazards, or have other problems and are dissatisfied with their supervisor's response, they may turn to the HR department for help. Addressing such problems suitably is part of the HR function of:  A. recruitment and selection. B. maintaining positive employee relations. C. training and developing employees. D. performance management. E. planning and administering pay and benefits. Organizations often depend on human resource professionals to help them maintain positive relations with employees. Employees turn to the HR department for answers to questions about benefits and company policy and for communicating grievances. Members of the department should be prepared to address such problems.   58. The HR function of maintaining positive employee relations includes:  A. maintaining performance measures on outcomes. B. offering training programs on effective teamwork. C. selecting only those applicants that are referred by employees. D. maintaining communication with union representatives. E. planning employee pay and benefits. In organizations where employees belong to a union, employee relations entail additional responsibilities. The organization periodically conducts collective bargaining to negotiate an employment contract with union members. The HR department maintains communication with union representatives to ensure that problems are resolved as they arise.   59. How does establishing and administering policies help organizations?  A. It allows companies to handle situations fairly and objectively. B. It allows companies to address issues on a case-by-case basis. C. It eliminates documentation and record-keeping. D. Employees are not told of the consequences of violating the policies. E. It leaves a lot of room for subjective decision-making. With a policy in place the company can handle situations more fairly and objectively than if it addressed such incidents on a case-by-case basis.   60. Labor laws:  A. guarantee lifetime employment. B. prohibit employment at will. C. prohibit layoffs. D. prohibit age discrimination. E. do not govern pay and benefits. The government has many laws and regulations concerning the treatment of employees. These laws govern such matters as equal employment opportunity, employee safety and health, employee pay and benefits, employee privacy, and job security.   61. Under the principle of "employment at will", the employer may terminate employment:  A. after two weeks' notice. B. at any time without notice. C. immediately after written notice. D. only if the employee voluntarily resigns. E. only if he can show just cause. "Employment at will" is the principle that an employer may terminate employment at any time without notice.   62. Evidence-based HR refers to:  A. the exclusive use of statistical models for planning, forecasting, and other related HR activities. B. the establishment of measurable performance goals and desired outcomes during performance management. C. demonstrating that human resource practices have a positive influence on the company's profits or key stakeholders. D. the process of ensuring that employees' activities and outputs match the organization's goals. E. an organization-wide planned effort to enable employees to learn job-related knowledge, skills, and behavior. Evidence-based HR refers to demonstrating that human resource practices have a positive influence on the company's profits or key stakeholders (employees, customers, community, shareholders). This practice helps show that the money invested in HR programs is justified and that HRM is contributing to the company's goals and objectives.   63. The process of identifying the numbers and types of employees the organization will require in order to meet its objectives is known as:  A. supply chain management. B. performance management. C. human resource planning. D. work analysis. E. performance planning. Human resource planning involves identifying the numbers and types of employees the organization will require in order to meet its objectives. Using these estimates, the human resource department helps the organization forecast its needs for hiring, training, and reassigning employees.   64. This process helps the human resource department to forecast the organization's needs for hiring, training, and reassigning employees, and also includes handling or avoiding layoffs.  A. Supply chain management B. Job development C. Human resource planning D. Evidence-based HR E. Corporate social responsibility Human resource planning involves identifying the numbers and types of employees the organization will require in order to meet its objectives. Using these estimates, the human resource department helps the organization forecast its needs for hiring, training, and reassigning employees.   65. Which of the following describes a company's commitment to meeting the needs of its stakeholders?  A. Corporate governance B. Public relations C. Social media optimization D. Public governance E. Corporate social responsibility A strategic challenge tackled by a growing number of companies is how to be both profitable and socially responsible. Corporate social responsibility describes a company's commitment to meeting the needs of its stakeholders, that is, the parties that have an interest in the company's success.   66. The parties with an interest in the company's success—typically, shareholders, the community, customers, and employees—constitute the _____ of a company.  A. market B. stakeholders C. management D. personnel E. strategic partners Stakeholders of a company are the parties that have an interest in the company's success; typically, they include shareholders, the community, customers, and employees.   67. Ensuring a fair return on investors' capital, safe and reliable products for customers, fair compensation and safe working conditions for employees, and clean air and water for communities, are all ways in which a company can exercise:  A. public relations. B. social networking. C. corporate social responsibility. D. social media optimization. E. corporate governance. Corporate social responsibility describes a company's commitment to meeting the needs of its stakeholders. Ways to exercise social responsibility include minimizing environmental impact, providing high-quality products and services, and measuring how well the company is meeting stakeholders' needs.   68. An HR manager becomes a(n) _____ when she is so well respected in the organization that she can influence the positions taken by managers. This involves delivering results with integrity, sharing information, building trusting relationships, influencing others, providing candid observation, and taking appropriate risks.  A. credible activist B. cultural steward C. strategic architect D. operational executor E. business ally HR managers become cultural stewards when they are so well respected in the organization that they can influence the positions taken by managers. This involves delivering results with integrity, sharing information, building trusting relationships, influencing others, providing candid observation, and taking appropriate risks.   69. In the role of a cultural steward, an HR manager:  A. administers day-to-day work of managing people. B. helps employees find meaning in their work and manage work/life balance. C. develops people strategies that contribute to the business strategy. D. understands how the business makes money. E. recognizes business trends and their impact on the business. For an HR manager, being a cultural steward involves understanding the organization's culture and helping to build and strengthen or change that culture by identifying and expressing its values through words and actions. In this role, he or she facilitates change, develops and values the culture, and helps employees navigate the culture by helping them to find meaning in their work, manage work/life balance, encouraging innovation, and so on.   70. As ___, the HR manager knows the ways that people join the organization and move to different positions within it.  A. strategy architect B. cultural steward C. talent manager/organizational designer D. business ally E. credible activist In the role of talent manager/organizational designer, the HR manager knows the ways that people join the organization and move to different positions within it. To do this effectively requires knowledge of how the organization is structured and how that structure might be adjusted to help it meet its goals for developing and using employees' talents.   71. For an HR manager, being a(n) _____ requires awareness of business trends and an understanding of how they might affect the business, as well as opportunities and threats they might present.  A. strategy architect B. cultural steward C. talent manager/organizational designer D. operational executor E. credible activist An HR manager serving as a strategy architect requires awareness of business trends and an understanding of how they might affect the business, as well as opportunities and threats they might present. A person with this capability spots ways effective management of human resources can help the company seize opportunities and confront threats to the business.   72. As ___, HR managers know how the business makes money, who its customers are, and why customers buy what the company sells.  A. business allies B. cultural stewards C. talent managers/organizational designers D. operational executors E. credible activists An HR manager filling the role of business ally knows how the business makes money, who its customers are, and why customers buy what the company sells.   73. At the most basic level, HR managers fulfilling the role of ___, carry out particular HR functions such as handling the selection, training, or compensation of employees.  A. business allies B. cultural stewards C. talent managers/organizational designers D. operational executors E. credible activists At the most basic level, HR managers fulfilling the role of operational executors, carry out particular HR functions such as handling the selection, training, or compensation of employees. All of the other HR skills require some ability as operational executor, because this is the level at which policies and transactions deliver results by legally, ethically, and efficiently acquiring, developing, motivating, and deploying human resources.   74. Which of the following statements is true about HR responsibilities of supervisors?  A. HR activities are invariably limited to the specialists in the HR department. B. In small organizations, all HR activities are carried out by HR specialists. C. Non-HR managers do not need be familiar with the basics of HRM. D. Job analysis and design are usually outside the purview of supervisors. E. Supervisors typically have responsibilities related to all the HR functions. Supervisors typically have responsibilities related to all the HR functions. Job analysis and design; HR planning; interviewing job candidates and participating in hiring decisions; training employees; conducting performance appraisals and recommending pay increases; and playing a key role in employee relations; are all some ways in which supervisors participate in HR functions.   75. At a start-up company, the first supervisors are:  A. the HR staff. B. the company's founders. C. the shop-floor workers. D. external auditors. E. contract workers. At a start-up company, the first supervisors are the company's founders. Not all founders recognize their HR responsibilities, but those who do have a powerful advantage.   76. Ethics are:  A. one's religious values and beliefs. B. what is required by law. C. what is acceptable to the company. D. the fundamental principles of right and wrong. E. the economic principles guiding business. Ethics refers to fundamental principles of right and wrong; ethical behavior is behavior that is consistent with those principles.   77. Which of the following is true of ethics in human resource management?  A. Evidence shows that HRM practices invariably ethical. B. The general public has a positive perception of the ethical conduct of U.S. businesses. C. Many ethical issues in the workplace involve human resource management. D. Most managers have a positive perception of the ethical conduct of U.S. businesses. E. Most people believe that individuals apply values they hold in their personal lives to their professional activities. Ethics refers to fundamental principles of right and wrong; ethical behavior is behavior that is consistent with those principles. Business decisions, including HRM decisions, should be ethical, but the evidence suggests that is not always what happens. Many ethical issues in the workplace involve human resource management.   78. Which of the following views on employment reflects ethical principles embodied in the U.S. Constitution and Bill of Rights?  A. HR managers must view employees as having basic rights. B. Employees have the right to lifetime employment. C. HR managers have the right to hire whoever they deem best suited for a job. D. HR managers must view employees as a necessary expense. E. HR managers must set aside quotas for minorities. In the context of ethical human resource management, HR managers must view employees as having basic rights. Such a view reflects ethical principles embodied in the U.S. Constitution and Bill of Rights.   79. A widely adopted understanding of human rights, quoted in the text, assumes that in a moral universe, every person has certain basic rights—right of free consent, right of privacy, right of freedom of conscience, right of freedom of speech, and right to due process. This concept is based partly on the work of the philosopher:  A. Plato. B. Max Weber. C. William James. D. Immanuel Kant. E. Aristotle. A widely adopted understanding of human rights, based on the work of the philosopher Immanuel Kant, as well as the tradition of the Enlightenment, assumes that in a moral universe, every person has certain basic rights: right of free consent, right of privacy, right of freedom of conscience, right of freedom of speech, and right to due process.   80. The right of employees to know the nature of the job they are being hired to do and the obligation of a company not to deceive them in this respect is reflective of the basic Kantian right of ___.  A. privacy B. free consent C. freedom of speech D. freedom of conscience E. due process The right of free consent states that people have the right to be treated only as they knowingly and willingly consent to be treated.   81. Which one of the following is NOT among Immanuel Kant's basic human rights?  A. Right of privacy B. Right to lifetime employment C. Right to due process D. Right of freedom of conscience E. Right of free consent A widely adopted understanding of human rights, based on the work of the philosopher Immanuel Kant, as well as the tradition of the Enlightenment, assumes that in a moral universe, every person has certain basic rights: right of free consent, right of privacy, right of freedom of conscience, right of freedom of speech, and right to due process.   82. Which one of Kant's basic human rights is violated when a supervisor requires an employee to do something that is unsafe or environmentally damaging, in spite of the employee clearly objecting to the order?  A. Right of freedom of speech B. Right of equal opportunity employment C. Right to due process D. Right of freedom of conscience E. Right of privacy Right of freedom of conscience implies that people have the right to refuse to do what violates their moral beliefs, as long as these beliefs reflect commonly accepted norms.   83. People's right of privacy is the right to:  A. know the nature of the job they are being hired for. B. autonomy in how they carry out their work. C. control what they reveal about their private life. D. right to a fair and impartial hearing. E. right to decline to reveal business details to regulatory agencies. The right of privacy holds that people have the right to do as they wish in their private lives, and they have the right to control what they reveal about private activities.   84. By keeping employees' personal records confidential, an employer respects their right of:  A. autonomy. B. freedom of conscience. C. due-process. D. freedom of speech. E. privacy. The right of privacy holds that people have the right to do as they wish in their private lives, and they have the right to control what they reveal about private activities.   85. People's right to freedom of speech is the right to:  A. criticize an organization's ethics if they do so in good conscience. B. refuse to do something that is environmentally unsafe. C. do as they wish in their private life. D. to be treated only as they knowingly and willingly consent to be treated. E. prohibit criticism of theorganization. The right of freedom of speech states that people have the right to criticize an organization's ethics, if they do so in good conscience and their criticism does not violate the rights of individuals in the organization.   86. If people believe their rights are being violated, they have the right to a fair and impartial hearing. This reflects the basic human right to:  A. lifetime employment. B. privacy. C. due process. D. free consent. E. freedom of conscience. The right to due process maintains that if people believe their rights are being violated, they have the right to a fair and impartial hearing.   87. Which one of the following does NOT represent an ethical principle of a successful company?  A. Its employees assume responsibility for the actions of the company. B. It has a sense of purpose or vision that employees value and use in their work. C. It emphasizes mutual benefits in its customer, client, and vendor relationships. D. It emphasizes fairness; that is, another person's interests count as much as their own. E. It emphasizes profit-maximization as the sole mission of the company. Ethical, successful companies act according to four principles. First, in their relationships with customers, vendors, and clients, ethical and successful companies emphasize mutual benefits. Second, employees assume responsibility for the actions of the company. Third, such companies have a sense of purpose or vision that employees value and use in their day-to-day work. Finally, they emphasize fairness, that is, another person's interests count as much as their own.   88. Which of the following is a standard that human resource managers must satisfy for HRM practices to be ethical?  A. Managers must treat employees as family. B. Human resource practices must result in the greatest good for the largest number of people. C. Employment practices must respect employees' right of lifetime employment. D. Managers must always maintain that customers are right. E. Employment practices must respect the principle of employment-at-will. For human resource practices to be considered ethical, they must satisfy three basic standards. First, HRM practices must result in the greatest good for the largest number of people. Second, employment practices must respect basic human rights of privacy, due process, consent, and free speech. Third, managers must treat employees and customers equitably and fairly.   89. Which one of the following statements about the HR profession is true?  A. A degree in law is the main qualification for those who wish to choose HRM as a career. B. The vast majority of HRM professionals have a postgraduate degree. C. Professional certification in HRM continues to be less common than membership in professional associations. D. Usually, HR generalists get paid substantially more than HR specialists. E. HR generalists usually perform the full range of HRM activities. HR Generalists usually perform the full range of HRM activities, including recruiting, training, compensation, and employee relations. The vast majority of HRM professionals have a college degree, and many also have completed postgraduate work. The typical field of study for HR professionals is business.   90. The primary professional organization for HRM is the:  A. AMA. B. ACA. C. SHRM. D. HRMA. E. AHRM. The primary professional organization for HRM is the Society for Human Resource Management (SHRM). SHRM is the world's largest human resource management association, with more than 250,000 professional and student members throughout the world.     Essay Questions   91. What are the qualities associated with human resources that help an organization gain a sustainable competitive advantage?  Human resources have the following four necessary qualities that help an organization gain a sustainable competitive advantage: 1) Human resources are valuable. High-quality employees provide a needed service as they perform many critical functions. 2) Human resources are rare. A person with high levels of the needed skills and knowledge is not common. 3) Human resources cannot be imitated. To imitate human resources at a high-performing competitor requires one to first figure out which employees are providing the advantage and how, then recruit people who can do precisely the same thing, and set up the systems that enable those people to imitate the competitor. 4) Human resources have no good substitutes. When people are well trained and highly motivated, they learn, develop their abilities, and care about customers. Few, if any, other resources can match committed and talented employees.   92. Name five important responsibilities of HR, briefly describing the specific activities associated with each.  Important HR responsibilities include: 1) Analysis and design of work: Work analysis, job design, and job descriptions. 2) Recruitment and selection: Recruiting, job postings, interviewing, testing, and coordinating use of temporary labor. 3) Training and development: Orientation, skills training, and career development programs. 4) Performance management: Performance measures, preparation and administration of performance appraisals, and discipline. 5) Compensation and benefits: Wage and salary administration, incentive pay, insurance, vacation leave administration, retirement plans, profit sharing, and stock plans. 6) Employee relations: Attitude surveys, labor relations, employee handbooks, company publications, labor law compliance, and relocation and outplacement services. 7) Personnel policies: Policy creation, policy communication, record keeping, and HR information systems. 8) Compliance with laws: Policies to ensure lawful behavior, reporting, posting information, safety inspections, and accessibility accommodations. 9) Support for strategy: Human resource planning and forecasting, and change management.   93. Distinguish between training and development of employees.  Training is a planned effort to enable employees to learn job-related knowledge, skills, and behavior. For example, many organizations offer safety training to teach employees safe work habits. Development involves acquiring knowledge, skills, and behavior that improve employees' ability to meet the challenges of a variety of new or existing jobs, including the client and customer demands of those jobs. Development programs often focus on preparing employees for management responsibility. Likewise, if a company plans to set up teams to manufacture products, it might offer a development program to help employees learn the ins and outs of effective teamwork.   94. Discuss the responsibility of HR with regard to planning and administering pay and benefits. Also analyze the impact of this function on the organization.  The pay and benefits that employees earn play an important role in motivating them. This is especially true when rewards such as bonuses are linked to the individual's or group's achievements. Decisions about pay and benefits can also support other aspects of an organization's strategy; for example, the decision regarding whether to pay employees above market rates or to pursue a low-cost strategy. Planning pay and benefits involves many decisions, often complex and based on knowledge of a multitude of legal requirements. An important decision is how much to offer in salary or wages, as opposed to bonuses, commissions, and other performance-related pay. Other decisions involve which benefits to offer, from retirement plans to various kinds of insurance to time off with pay. These pay decisions may also be linked to other decisions and policies aimed at motivating and engaging workers. All such decisions have implications for the organization's bottom line, as well as for employee motivation. Administering pay and benefits is another big responsibility. Organizations need systems for keeping track of each employee's earnings and benefits. Employees need information about their health plan, retirement plan, and other benefits. Keeping track of this involves extensive record keeping and reporting to management, employees, the government, and others.   95. Describe the terms human resource planning and evidence-based HR. How do these concepts help HR in supporting the organization's strategy?  Human resource planning involves identifying the numbers and types of employees the organization will require in order to meet its objectives. Using these estimates, the human resource department helps the organization forecast its needs for hiring, training, and reassigning employees. Planning also may show that the organization will need fewer employees to meet anticipated needs. In that situation, human resource planning includes how to handle or avoid layoffs. Evidence-based HR refers to demonstrating that human resource practices have a positive influence on the company's profits or key stakeholders (employees, customers, community, shareholders). This practice helps show that the money invested in HR programs is justified and that HRM is contributing to the company's goals and objectives. As part of its strategic role, one of the key contributions HR can make is to engage in evidence-based HR.   96. Briefly describe six competencies required for the HR profession.  Members of the HR department need to be: 1) Credible activists: This means being so well respected in the organization that one can influence the positions taken by managers. 2) Cultural steward: This involves understanding the organization's culture and helping to build and strengthen or change that culture by identifying and expressing its values through words and actions. 3) Talent manager/organizational designer: The HR manager must know the ways that people join the organization and move to different positions within it. To do this effectively requires knowledge of how the organization is structured and how that structure might be adjusted to help it meet its goals for developing and using employees' talents. 4) Strategy architect: This requires awareness of business trends and an understanding of how they might affect the business, as well as opportunities and threats they might present. 5) Business allies: HR managers must know how the business makes money, who its customers are, and why customers buy what the company sells. 6) Operational executors: At the most basic level, they carry out particular HR functions such as handling the selection, training, or compensation of employees. All of the other HR skills require some ability as operational executor, because this is the level at which policies and transactions deliver results by legally, ethically, and efficiently acquiring, developing, motivating, and deploying human resources.   97. Discuss the HR responsibilities of supervisors.  Although many organizations have human resource departments, HR activities are by no means limited to HR specialists. In large organizations, HR departments advise and support the activities of the other departments. In small organizations, there may be an HR specialist, but many HR activities are carried out by line supervisors. Either way, non-HR managers need to be familiar with the basics of HRM and their role with regard to managing human resources. Supervisors typically have responsibilities related to all the HR functions. Organizations depend on supervisors to help them determine what kinds of work need to be done (job analysis and design) and in what quantities (HR planning). Supervisors typically interview job candidates and participate in the decisions about which candidates to hire. Many organizations expect supervisors to train employees in some or all aspects of the employees' jobs. Supervisors conduct performance appraisals and may recommend pay increases. Also, supervisors play a key role in employee relations, because they are most often the voice of management for their employees, representing the company on a day-to-day basis. In all these activities, supervisors can participate in HRM by taking into consideration the ways that decisions and policies will affect their employees. Understanding the principles of communication, motivation, and other elements of human behavior can help supervisors inspire the best from the organization's human resources.   98. List and discuss the basic human rights suggested by the work of Immanuel Kant, as well as the tradition of the Enlightenment.  A widely adopted understanding of human rights, based on the work of the philosopher Immanuel Kant, as well as the tradition of the Enlightenment, assumes that in a moral universe, every person has certain basic rights: 1) Right of free consent: People have the right to be treated only as they knowingly and willingly consent to be treated. 2) Right of privacy: People have the right to do as they want in their private lives, and they have the right to control what they reveal about their private activities. 3) Right of freedom of conscience: People have the right to refuse to do what violates their moral beliefs, as long as these beliefs reflect commonly accepted norms. 4) Right of freedom of speech: People have the right to criticize an organization's ethics, if they do so in good conscience and their criticism does not violate the rights of individuals in the organization. 5) Right to due process: If people believe their rights are being violated, they have the right to a fair and impartial hearing. One way to think about ethics in business is that the morally correct action is the one that minimizes encroachments on and avoids violations of these rights.   99. What are the four principles followed by ethical successful companies?  Ethical, successful companies act according to four principles. First, in their relationships with customers, vendors, and clients, ethical and successful companies emphasize mutual benefits. Second, employees assume responsibility for the actions of the company. Third, such companies have a sense of purpose or vision that employees value and use in their day-to-day work. Finally, they emphasize fairness; that is, another person's interests count as much as their own.   100. How would you describe a career in human resource management? Cite the type of positions available, degree requirements, the nature of the work, and salary levels.  There are many different types of jobs in the HRM profession. Some HRM positions are employee training specialist, human resource information system supervisor, HR generalist, employment and recruiting manager, compensation manager, division/subsidiary HR executive, and top HR management executive. The salaries vary depending on education and experience, as well as the type of industry in which the person works. Some positions involve work in specialized areas of HRM such as recruiting, training, or labor and industrial relations. A top HR executive could make over $150,000. Usually, HR generalists make between $50,000 and $80,000, depending on their experience and education level. Generalists usually perform the full range of HRM activities, including recruiting, training, compensation, and employee relations. The vast majority of HRM professionals have a college degree, and many also have completed postgraduate work. The typical field of study is business (especially human resources or industrial relations), but some HRM professionals have degrees in the social sciences (economics or psychology), the humanities, and law programs. Those who have completed graduate work have master's degrees in HR management, business management, or a similar field. A well-rounded educational background will serve a person well in an HRM position. Some HRM professionals have a professional certification in HRM, but many more are members of professional associations such as the Society for Human Resource Management (SHRM).