Deck 1: Human Resource Management and Competitive Advantage

Question 1

A selection process need not be technically sound to be effective.

Answer 1

False
If a selection process is not technically sound, it will not be accurate and may lead to unnecessary litigation.

Question 2

Firms can gain a competitive advantage over competitors by effectively managing their human resources.

Answer 2

True
Various HRM practices help a firm gain such an advantage.

Question 3

Research indicates that investment in human resources can help a firm develop a competitive advantage.

Answer 3

True
A growing body of research-based evidence indicates that a firm's HRM practices can have a rather strong impact on competitive advantage.

Question 4

Employees who are committed to their organization tend to be very loyal towards them.

Question 5

Productivity improvement programs are designed to tie job behaviors to rewards.

Question 6

The objective of compensation practices is to help the organization establish and maintain a competent and loyal workforce at any cost.

Question 7

Performance appraisal systems that are too subjective and not documented tend to promote feelings of unfairness.

Question 8

An expanding cultural diversity at the workplace has no influence on HRM practices.

Question 9

Product differentiation will create a competitive advantage if the firm's customers are willing to pay enough to cover extra production costs.

Question 10

Part of the human resource professional's role is to monitor and evaluate an organization's human resource management practices.

Question 11

The enactment of federal, state, and local laws that regulate workplace behavior have not radically changed most human resource management practices during the last 40 years.

Question 12

Advising and assisting line managers on human resource management matters is often considered the most important role played by HR professionals.

Question 13

In smaller companies, line managers assume a larger role in effective human resource management practices.

Question 14

Managers that make employment selection decisions in an arbitrary fashion are decreasing their firm's exposure to discrimination-related lawsuits.

Question 15

The development of human resource management procedures and methods usually does not require inputs from line managers.

Question 16

Development is a planned learning experience that only focuses on teaching workers how to perform their current jobs more effectively.

Question 17

Human resource demand and supply forecasting facilitates an organization's efforts to fill positions in high demand.

Question 18

Demand and supply forecasting is a process that helps human resource planners estimate the number and type of employees needed to carry out an organization's strategic plan.

Question 19

A firm pursuing a product differentiation strategy is attempting to promote the same services or products as competitors, but at a lower cost.

Question 20

The aim of an organization's recruitment practices is to identify a suitable pool of applicants quickly, cost effectively, and legally.

Question 21

Good organization citizens tend to go out of their way to help co-workers with job-related activities.

Question 22

The practices designed to maximize the performance and satisfaction levels of a firm's employees are developed in the _____ phase of the employment cycle.

A) selection
B) preselection
C) postselection
D) HR Planning

Question 23

The ability to minimize turnover rates does not enhance cost leadership strategy.

Question 24

Employees who are satisfied and committed to their jobs are less likely to spread the word that their company is a good place to work.

Question 25

Which of the following phases of the employment cycle involves planning practices?

A) Preselection
B) Selection
C) Postselection
D) Compensation

Question 26

An organization's competitive advantage achieved through human resource management practices is likely to be more sustainable than one achieved by other means.

Question 27

The occurrence of employee-centered outcomes can increase the likelihood of human resource management-related lawsuits.

Question 28

How many phases are there in the employment cycle?

A) Two
B) Three
C) Four
D) Five

Question 29

Which of the following specifies what each worker does, the work conditions, and the worker qualifications necessary to perform the job successfully?

A) Job analysis
B) Performance analysis
C) Employee analysis
D) Production analysis

Question 30

Recent research has confirmed an insignificant relationship between customer retention and employee turnover.

Question 31

Through _____, managers attempt to anticipate and meet the changing needs relating to the acquisition, development, and utilization of their employees.

A) human resource planning
B) job analysis
C) performance appraisal
D) recruitment

Question 32

Recent studies have shown little connection between workers' job satisfaction and their intentions to stay with their organization.

Question 33

Job analysis includes all of the following EXCEPT:

A) choosing the most appropriate selection techniques.
B) developing training programs.
C) assessing and choosing job candidates.
D) helping to determine pay rates.

Question 34

A study conducted by Sears indicated a strong relationship between improved human resource management practices, employee satisfaction, and customer satisfaction.

Question 35

The text defines _____ as practices that help the organization deal effectively with its people during various phases of the employment cycle: preselection, selection, and postselection.

A) human capital
B) human resource management
C) personnel administration
D) strategic planning

Question 36

One of the most common ways of cutting human resource management costs is to employ technology to replace some of the more expensive HR professional-delivered services.

Question 37

Which process involves locating and attracting job applicants for particular positions?

A) Recruitment
B) Selection
C) Preselection
D) Orientation

Question 38

_____ is a systematic procedure for gathering, analyzing, and documenting information about particular jobs.

A) Strategic planning
B) Job analysis
C) Performance appraisal
D) Job evaluation

Question 39

Which process helps an organization estimate the number and types of employees needed to carry out its overall plan successfully?

A) Performance appraisal
B) Job evaluation
C) Demand and supply forecasting
D) Job analysis

Question 40

In organizations where supervisors play favorites, the employees are more likely to initiate human resource management-related lawsuits.

Question 41

Which of the following is not a human resource management practice regulated by union contracts?

A) Management bonuses
B) Promotions
C) Overtime allocations
D) Discipline

Question 42

The aim of _____ is to help the organization establish and maintain a competent and loyal workforce at an affordable cost.

A) productivity improvement practices
B) incorporation practices
C) employee monitoring practices
D) compensation practices

Question 43

Planned learning experiences designed to teach workers how to perform their current or future jobs more effectively are referred to as:

A) planning and control.
B) training and development.
C) training and control.
D) planning and development.

Question 44

Line managers carry out many procedures and methods devised by HR professionals. Which of the following is not an example of such procedures and methods?

A) Human resource budgeting
B) Disciplinary procedures
C) Performance appraisals
D) Interviewing job applicants

Question 45

The text identifies two strategies associated with organizational efforts to gain a competitive advantage. Identify these among the following.

A) Capital and human resources
B) Cash cow and segmentation
C) Cost leadership and product differentiation
D) Demand and supply forecasting

Question 46

_____ is a postselection process that aims to motivate employees to continue appropriate behaviors and correct inappropriate ones.

A) Compensation administration
B) Performance appraisal
C) Training and development
D) Strategic planning

Question 47

Which of the following is a line manager's responsibility?

A) Establish HRM procedures
B) Develop and choose HRM methods
C) Monitor and evaluate HR practices
D) Implement HRM practices

Question 48

Which of the following does not come under an HR professional's area of responsibility?

A) Establish HRM procedures
B) Advise and assist managers on HRM related matters
C) Monitor and evaluate HR practices
D) Implement HRM practices

Question 49

What is per unit cost?

A) The cost of producing one unit of product
B) The cost of marketing one unit of product
C) The selling cost of one unit of product
D) Number of units produced + Total cost of production

Question 50

Which of the following events have not influenced human resource management practices in recent years?

A) Political instability
B) Rapid advances in technology
C) Expanding cultural diversity at the workplace
D) The growing use of part-time workers

Question 51

_____ provides a signal to employees indicating long-term commitment by the organization to the work force.

A) High wage
B) Selective recruiting
C) Employment security
D) Information sharing

Question 52

Which of the following HRM practices tend to attract better-qualified applicants, make turnover less likely, and send a message that the firm values its employees?

A) Employment security
B) High wages
C) Incentive pay
D) Information sharing

Question 53

Which of the following does not lead to product differentiation?

A) Increasing productivity
B) Creating a better quality product or service
C) Providing innovative products or services
D) Promoting and packaging a product to create the perception of higher quality

Question 54

Who among the following identified the 16 HRM practices that can enhance a firm's competitive advantage?

A) Chris Ryan
B) Jeffrey Pfeffer
C) Shari Caudron
D) Rosemary Batt

Question 55

_____ addresses the issue of employee rights.

A) Workplace justice
B) Unionization
C) Employee monitoring practice
D) Job analysis

Question 56

_____ is an HRM practice in which companies assess and choose from among job candidates.

A) Recruitment
B) Selection
C) Training
D) Placement

Question 57

Which of the following is not an event that strongly influences HRM practices?

A) An increased emphasis on quality and teamwork
B) An increased emphasis on outsourcing
C) Rapid advances in technology
D) The occurrence of mergers and takeovers

Question 58

Which of the following is used to measure the adequacy of employees' job performances and communicate these evaluations to them?

A) Personnel evaluation
B) Performance evaluation
C) Performance appraisal
D) Employee monitoring

Question 59

What strategy is a firm said to follow if it achieves a competitive advantage by offering services not offered by its competitors?

A) Cost differentiation
B) Cost leadership
C) Product differentiation
D) Innovative marketing

Question 60

What denotes a firm's superior marketplace position relative to its competition?

A) Marketing advantage
B) Competitive advantage
C) Monopolistic competition
D) Cost leadership

Question 61

Good organizational citizens tend to engage in all the following EXCEPT:

A) willing to work overtime.
B) questioning all orders.
C) tolerating temporary impositions without fussing.
D) providing assistance with job-related activities.

Question 62

_____ refers to the process of reducing the size of pay differences among employees.

A) Wage depression
B) Wage compression
C) Incentive pay
D) Employee ownership

Question 63

Employees working harder and longer to link rewards to the quality and quantity of output is an example of HRM practices leading to _____.

A) quality-centered outcomes
B) competitive advantages
C) employee-centered outcomes
D) organization-centered outcomes

Question 64

Favorable organization-centered outcomes lead to _____.

A) employee-centered outcomes
B) job satisfaction
C) organizational citizenship
D) competitive advantage

Question 65

_____ is defined as the extent to which employees are satisfied with their jobs, committed to their organizations, and act as good organizational citizens.

A) Competence
B) Motivation
C) Work-related attitude
D) Conscientiousness

Question 66

_____ is defined as the extent to which employees are willing to exert the necessary effort to perform their jobs well.

A) Competence
B) Motivation
C) Work-related attitude
D) Conscientiousness

Question 67

Which of the following organization-centered outcomes refers to the quantity, quality, and innovativeness of the product or service offered by a firm?

A) Image
B) Brand identity
C) Output
D) Reputation

Question 68

Which of the following involves filling job vacancies by promoting employees from jobs at a lower organizational level?

A) Overarching philosophy
B) Promotion from within
C) Cross-utilization
D) Job redesign

Question 69

By following which HRM practice can an organization let applicants know that they are joining an elite organization that has high expectations regarding employee performance?

A) Overarching philosophy
B) Cross-utilization and cross-training
C) Selectivity in recruiting
D) Employee ownership

Question 70

Which of the following is not a behavior associated with organizational citizenship?

A) Giving help to others.
B) Participating in the political life of the organization.
C) Treating others with respect.
D) Performing tasks upto the minimum required level.

Question 71

An experienced employee helping less experienced ones solve work-related problems, thus leading to an improvement in the quality/quantity of the recipient's performance is an example of _____.

A) organizational competence
B) organizational motivation
C) organizational citizenship behavior
D) organizational commitment behavior

Question 72

The invention of a new product resulting from an organization encouraging its work teams to be innovative, take risks, and assume a long-term perspective is an example of HRM practices leading to _____.

A) employee-centered outcomes
B) organization-centered outcomes
C) cost leadership
D) product differentiation

Question 73

Which of the following is not one of the sixteen HRM practices that enhance competitive advantage?

A) Employer ownership
B) Employment security
C) Participation and empowerment
D) Cross-utilization and cross-training

Question 74

_____ refers to the willingness of employees to engage in behaviors that help the organization achieve its goals.

A) Organizational commitment
B) Organizational citizenship
C) Organizational turnover
D) Organizational compliance

Question 75

An employee refusing a job offer from a competitor because of the commitment to the current employer is an example of HRM practices leading to _____.

A) employee-centered outcomes
B) organization-centered outcomes
C) employer-centered outcomes
D) competitive advantages

Question 76

_____ refers to efforts by organizations to reduce the number of social categories to diminish the "us" versus "them" thinking.

A) Wage compression
B) Cross-utilization
C) Symbolic egalitarianism
D) Overarching philosophy

Question 77

Which of the following has not been found to effect employee retention?

A) Career growth and development opportunities
B) Fair pay
C) Employee empowerment
D) Hierarchy

Question 78

Organization-centered outcomes associated with effective human resource management practices include all of the following EXCEPT:

A) employee retention.
B) legal compliance.
C) positive company image.
D) customer reputation.

Question 79

_____ can be achieved when the ratio of the number of units produced divided by the total cost of production is increased.

A) Cost leadership
B) Increased productivity
C) Product differentiation
D) Market segmentation

Question 80

Which HRM practice involves encouraging the decentralization of decision making?

A) Participation and empowerment
B) Symbolic egalitarianism
C) Cross-utilization and cross-training
D) Overarching philosophy