Exam (elaborations) TEST BANK Commerce 2BC3

TEST BANK with Complete Questions and Solutions. To clarify, this is the TEST BANK, not the textbook. You get immediate access to download your test bank. You will receive a complete test bank; in other words, all chapters will be there. Test banks come in PDF format; therefore, you do not need specialized software to open them. Exam (elaborations) TEST BANK Commerce 2BC3 Chapter 1—Changing Nature of Human Resources Management MULTIPLE CHOICE 1. Which of the following best defines human resources management? a. the use and coordination of human skills to ensure the profitability and survival of the organization b. the design of the organization and its systems in order to achieve the goals of the organization c. the supervision, monitoring, controlling, and disciplining of employees in order to achieve organizational goals d. the policies, practices, and systems that influence how employees behave, feel, and perform to attain organizational goals ANS: D PTS: 1 DIF: Moderate REF: 3 OBJ: 01-1 TOP: Definitional 2. Which of the following is human resources (HR) management primarily a function of? a. non-governmental organizations b. organizations with any number of employees c. for-profit organizations with more than 100 employees d. businesses holding federal contracts over $50 000 ANS: B PTS: 1 DIF: Easy REF: 3 OBJ: 01-1 TOP: Conceptual 3. Which form of management provides a system of policies and practices designed to influence employee behaviour and functioning to support the goals of the company? a. personnel administration b. human resources management c. human capital management d. strategic management ANS: B PTS: 1 DIF: Easy REF: 3 OBJ: 01-1 TOP: Definitional 4. How do global forces affect HR management? a. affected primarily in the international outsourcing of jobs b. affected in almost all of its functions c. unaffected by global forces d. affected primarily when the organization expands into foreign markets ANS: B PTS: 1 DIF: Moderate REF: 3 OBJ: 01-1 TOP: Conceptual 5. Who is directly responsible for anticipating and responding to HR changes in the organization? a. specialists in HR strategic management b. HR development professionals c. HR management information systems professionals d. the CEO and board of directors of the organization ANS: A PTS: 1 DIF: Easy REF: 3 OBJ: 01-1 TOP: Definitional hzzled 6. HR management is responsible for providing enough qualified individuals to fill the jobs in the organization. Through which of the following means does it do so? a. employment equity b. staffing c. performance management d. strategic HR management ANS: B PTS: 1 DIF: Easy REF: 5 OBJ: 01-1 TOP: Definitional 7. Diversity and employment equity are both tied to a larger aspect of human resources management. Which of the following are they functions of? a. the position of the company as a forward-thinking employer b. the values of unionized workplaces as opposed to non-unionized workplaces c. HR management information systems d. compliance with equal employment opportunity laws and regulations ANS: D PTS: 1 DIF: Easy REF: 5 OBJ: 01-1 TOP: Definitional 8. Which aspect of HR management focuses on ensuring that the organization can fill jobs with appropriately qualified individuals ? a. staffing b. strategic planning and analysis c. development d. diversity assessment and training ANS: A PTS: 1 DIF: Easy REF: 5 OBJ: 01-1 TOP: Definitional 9. Which of the following HR components identifies paths and activities for individual employees within the organization? a. staffing b. career planning c. HR development d. performance management ANS: B PTS: 1 DIF: Easy REF: 5 OBJ: 01-1 TOP: Definitional 10. Which of the following activities are part of HR development? a. diversity assessment and analysis b. performance management c. environmental scanning d. wage and salary administration ANS: B PTS: 1 DIF: Easy REF: 5 OBJ: 01-1 TOP: Definitional 11. Which of the following costs poses a major and growing concern to HR managers in almost all organizations? a. equalization of pay between men and women b. benefits c. early retirement packages d. incentive pay hzzled ANS: B PTS: 1 DIF: Easy REF: 5 OBJ: 01-1 TOP: Conceptual 12. For which of the following are employee assistance programs typically used? a. providing concierge service for employees b. outplacing laid-off employees c. advising employees in selection of benefit options d. helping employees with substance abuse problems ANS: D PTS: 1 DIF: Moderate REF: 5 OBJ: 01-1 TOP: Definitional 13. The HR director of Tyrone Plastics is concerned about the increasing incidence of workplace violence nationwide. Which of the following types of programs might she initiate in the company to address her concern? a. employee rights b. employee assistance c. monitoring d. security ANS: D PTS: 1 DIF: Moderate REF: 5 OBJ: 01-1 TOP: Application 14. In which workplace settings must employee rights be specifically addressed? a. in union-free workplaces b. in all organizations c. in unionized organizations d. in government rather than private-sector workplaces ANS: B PTS: 1 DIF: Moderate REF: 6 OBJ: 01-1 TOP: Conceptual 15. Henry, the production manager for a chemical plant, resents what he feels are unwarranted intrusions into his territory by HR managers. He believes that relationships with his employees are strong and supportive, and that HR initiatives generally cause unnecessary trouble. What is off in Henry’s relationship with the HR managers? a. Henry would be surprised to learn that every manager, including him, is an HR manager. b. Henry is probably committing major violations of company policy and wants to keep this secret from HR management. c. The HR function is a support function, and as Henry believes, it should not intrude on day-to-day management functions. d. HR managers have the sole responsibility for properly implementing company policy regarding employees—Henry has failed to recognize this. ANS: A PTS: 1 DIF: Moderate REF: 6 OBJ: 01-1 TOP: Application 16. Which of the following is NOT a major HR concern of small businesses? a. potential unionization efforts b. increasing wage costs c. increasing benefits costs d. shortages of qualified workers ANS: A PTS: 1 DIF: Easy REF: 6 OBJ: 01-1 TOP: Conceptual hzzled 17. Matt has recently joined his family’s wholesale landscape nursery business as vice president of operations. The firm employs 25 full-time employees and about 20 seasonal employees. In the past, Matt’s father handled all HR issues. Matt plans to bring the company in line with typical HR staffing levels. Which of the following options best reflects that? a. taking on all HR duties himself as VP of operations b. adding a clerical employee to help with HR tasks c. hiring a full-time HR professional d. delegating all HR tasks and issues to supervisors ANS: B PTS: 1 DIF: Challenging REF: 6 OBJ: 01-1 TOP: Application 18. Which are the four key types of assets in an organization? a. physical, financial, tangible, and human b. physical, financial, intangible, and human c. physical, tangible, technological, and human d. tangible, technological, human, and knowledge ANS: B PTS: 1 DIF: Easy REF: 7 OBJ: 01-2 TOP: Definitional 19. Which of the following assets allow all the other assets of a university to be used to offer educational services to its students? a. administrators, professors, and other employees b. libraries, laboratories, and technological learning facilities c. financial endowment and income d. unique operating processes, specialized research capabilities, and other intangible assets ANS: A PTS: 1 DIF: Moderate REF: 7 OBJ: 01-2 TOP: Application 20. Which of the following terms best encompasses the value of all the capabilities, knowledge, skills, life experiences, and motivation that people contribute to a workforce? a. total human resources b. human assets c. organizational talent inventory d. human capital ANS: D PTS: 1 DIF: Moderate REF: 7 OBJ: 01-2 TOP: Definitional 21. Human resources and workforce-related expenditures can be viewed as a percentage of total company expenditures. Which of the following statements outlines the trend in this regard in the last decade? a. Costs have remained stable. b. Costs have been declining rapidly. c. Costs have shown wide swings. d. Costs have been rising steeply. ANS: D PTS: 1 DIF: Moderate REF: 8 OBJ: 01-2 TOP: Conceptual 22. The chief financial officer of McGill Tubing wants to know the contribution of McGill’s workforce toward creating value for shareholders. Which calculation-based analysis would provide this information? hzzled a. the human capital revenue stream b. profit per employee c. return on human capital investments d. marginal revenue generated per employee ANS: C PTS: 1 DIF: Challenging REF: 8 OBJ: 01-2 TOP: Application 23. What is human resources to a firm when the human resources function develops a unique capability that creates high value and differentiates the organization from its competition? a. emerging asset b. critical capability c. tangible asset d. core competency ANS: D PTS: 1 DIF: Easy REF: 8 OBJ: 01-2 TOP: Definitional 24. A rumour at the largest law firm in the city is that the partners may outsource much of the work done by paralegals in the firm to a company in India. If you were a paralegal at this firm, what would be the most appropriate way to respond and why? a. Relax. Work of this level of professionalism cannot be outsourced to a foreign firm. b. Consider your options. Only occupations that are dying are considered for outsourcing. c. Consider your options. The firm can generate huge labour cost savings by outsourcing your job. d. Relax. Work that requires intimate knowledge of the Canadian legal system cannot be outsourced. ANS: C PTS: 1 DIF: Moderate REF: 9 OBJ: 01-3 TOP: Application 25. Prestige Executive Services offers companies ransom insurance policies for up to $10 million. Which of the following HR management challenges has generated this business opportunity? a. organizational cost pressures and restructuring b. economic and technological changes c. workforce demographics and diversity d. globalization of business ANS: D PTS: 1 DIF: Moderate REF: 9 OBJ: 01-3 TOP: Application 26. Which of the following occupational areas is a defining characteristic of the Canadian economy? a. industrial b. technological c. manufacturing d. service ANS: D PTS: 1 DIF: Easy REF: 10 OBJ: 01-3 TOP: Conceptual 27. In which occupational area can be found most of the new jobs held by individuals? a. health care b. professions c. information technology d. services hzzled ANS: D PTS: 1 DIF: Moderate REF: 10 OBJ: 01-3 TOP: Conceptual 28. Which of the following fields is fastest growing in occupations? a. health care b. human resources c. manufacturing d. the public sector ANS: A PTS: 1 DIF: Moderate REF: 10-11 OBJ: 01-3 TOP: Conceptual 29. The Conference Board of Canada would define all but one of the following as soft skills needed in a knowledge economy. Which is the exception? a. computer skills b. communication skills c. flexibility d. problem-solving skills ANS: A PTS: 1 DIF: Moderate REF: 11 OBJ: 01-3 TOP: Definitional 30. Which of the following statements makes an accurate link between the Canadian education system and the demands of the workplace? a. Too many people with manufacturing skills are seeking jobs, making wages low in that sector. b. Canadian schools are graduating more engineers than can be used in the economy. c. Canadian students outperform students in other, directly competitive nations in math and science. d. Canadian firms are concerned about the specific skills of new graduates. ANS: D PTS: 1 DIF: Moderate REF: 11 OBJ: 01-3 TOP: Conceptual 31. Which of these terms encompasses temporary workers, independent contractors, and leased employees? a. contingent workers b. part-time workers c. virtual employees d. extra-organizational employees ANS: A PTS: 1 DIF: Easy REF: 12 OBJ: 01-3 TOP: Definitional 32. Some businesses use contingent workers; some do not. Which of the following is NOT a reason for using contingent workers? a. to stabilize the core workforce b. to encourage employee loyalty c. to reduce compensation and benefit costs d. to potentially avoid legal liability for workers ANS: A PTS: 1 DIF: Challenging REF: 12 OBJ: 01-3 TOP: Conceptual hzzled 33. A government policy seeks to ensure that all citizens can keep their identities, take pride in their backgrounds, and feel a sense of belonging. Which of the following names the policy? a. cultural management b. cultural diversity c. employment equality d. multiculturalism ANS: D PTS: 1 DIF: Easy REF: 13 OBJ: 01-3 TOP: Definitional 34. To which of the following conditions has the improvement in communication technology led? a. a reduction of stress for workers b. better work–life balance for employees in professional occupations c. ease of managing temporary employees d. an increase in the number of hours worked per employee ANS: D PTS: 1 DIF: Challenging REF: 13 OBJ: 01-3 TOP: Conceptual 35. Which of the following HR management practices has NOT become Web based? a. recruiting b. performance improvement counselling c. performance appraisal documentation d. benefits enrollment ANS: B PTS: 1 DIF: Moderate REF: 14 OBJ: 01-3 TOP: Conceptual 36. Which of the following statements presents an accurate picture of the age factor in the workforce? a. Despite the many layoffs occurring in the last decade, the average age of the workforce is older. b. Because of the many early retirement programs instituted in the last decade, the average age of the workforce is younger. c. As the workforce ages, the need for diversity management is decreasing—the workforce has psychological maturity. d. Variation of ages in the workplace is not considered diversity in the same sense that variation by race and gender is considered diversity. ANS: A PTS: 1 DIF: Challenging REF: 15 OBJ: 01-3 TOP: Conceptual 37. What are flexible hours, job-sharing, child-care referral services, and flexible leave all examples of? a. programs mandated by the Employment Equity Act b. executive perks c. anti-unionization measures d. retention programs based on work–family concerns ANS: D PTS: 1 DIF: Easy REF: 15 OBJ: 01-3 TOP: Conceptual 38. Claude is the HR manager for a pharmaceuticals firm. One of his top salespersons, Agatha, has twin boys under age two. Despite the fact that Agatha has a full-time nanny, she is clearly overwhelmed by the demands of her work and her personal life. Which of the following should probably be Claude’s main concern in this case? a. retaining Agatha as an employee hzzled b. getting Agatha to refocus on her career through motivational training c. assessing whether Agatha will file lawsuit d. persuading Agatha to resign without violating the Canadian Human Rights Act ANS: A PTS: 1 DIF: Moderate REF: 15 OBJ: 01-3 TOP: Application 39. Which of the following activities is NOT usually associated with organizational “rightsizing”? a. closing facilities b. merging with other organizations c. displacing workers d. increasing layers of management ANS: D PTS: 1 DIF: Easy REF: 16 OBJ: 01-3 TOP: Conceptual 40. Which of the following has been the main pressure behind restructuring, rightsizing, and mergers and acquisitions? a. the desire to increase profits b. obsolescence of plant and equipment c. the need to reduce costs d. intense domestic competition ANS: C PTS: 1 DIF: Moderate REF: 15 OBJ: 01-3 TOP: Conceptual 41. As HR manager of a mid-sized auto parts manufacturing plant, you have been asked to predict the impact on the employees of a 20 percent layoff of hourly workers. Which of the following predictions are you LEAST likely to include in your memo to the CEO? a. increased turnover of survivors b. productivity surge by survivors c. potential loss of employee loyalty d. increased workload on survivors ANS: B PTS: 1 DIF: Moderate REF: 16 OBJ: 01-3 TOP: Application 42. Charlotte is describing her new HR position to a friend. She says that she handles most of the clerical duties involved in running the HR department, including such tasks as maintaining employee files and submitting governmental reports. Into which HR role would Charlotte’s job fall? a. administrative b. employee advocate c. secretarial d. operational ANS: A PTS: 1 DIF: Easy REF: 16 OBJ: 01-4 TOP: Application 43. Which situation is NOT affecting the roles played by HR management within the firm? a. increasing need for high-technology workers b. business restructuring c. cost reduction pressures d. globalization of business ANS: A PTS: 1 DIF: Moderate REF: 16 OBJ: 01-4 TOP: Conceptual hzzled 44. Which of the following HR roles typically involve recruiting and selecting for current openings? a. employee advocacy b. operational c. strategic d. administrative ANS: B PTS: 1 DIF: Moderate REF: 18 OBJ: 01-4 TOP: Conceptual 45. Woodland Production Company employees more than 2000 hourly workers. The HR department is debating the introduction of Web-based technology to handle employment applications, employee benefit enrollments, and other related functions. Which HR department role will be most affected by the move to this technology? a. administrative b. operational c. strategic d. employee advocate ANS: A PTS: 1 DIF: Easy REF: 16 OBJ: 01-4 TOP: Application 46. While one HR management role has been declining in emphasis, another has been increasing in importance. Which are the former and latter roles? a. strategic, operational and advocate b. administrative, strategic c. operational, administrative and advocate d. advocate, operational and administrative ANS: B PTS: 1 DIF: Moderate REF: 17| Figure 1-4 OBJ: 01-4 TOP: Conceptual 47. Which of the following HR activities is most likely to be outsourced? a. performance management b. benefits administration c. strategic planning d. risk management ANS: B PTS: 1 DIF: Moderate REF: 17 OBJ: 01-4 TOP: Conceptual 48. What is the main reason why HR functions are outsourced? a. to eliminate internal tension b. to provide consistent service despite staff turnover c. to be able to focus on more strategic product development d. to save money on staffing ANS: A PTS: 1 DIF: Easy REF: 17 OBJ: 01-4 TOP: Conceptual 49. Which of the following HR roles is associated with ensuring ensure fair and equitable treatment for employees no matter what their background or circumstances are? a. strategic b. operational c. administrative hzzled d. employee advocate ANS: D PTS: 1 DIF: Easy REF: 18 OBJ: 01-4 TOP: Definitional 50. As the vice president of HR for Woodland Production, you are presenting a proposal to top management for outsourcing many of your department’s administrative HR functions to vendors. You argue that HR vendors have greater expertise than your in-house staff and that outsourcing will allow you to spend more time on the strategic aspects of HR. Which of the following should be your key selling point to top management? a. the ability to have closer contact with HR’s clients, the employees b. the prestige of retaining a world-class vendor c. the improvement in morale of HR staff d. the reduction in HR administrative staff ANS: D PTS: 1 DIF: Moderate REF: 18 OBJ: 01-4 TOP: Application 51. Which of the following activities is categorized as an advocacy aspect of HR management? a. engaging in community workforce development planning b. resolving employee complaints about unfair treatment c. conducting new employee orientations d. engaging in labour/management negotiations ANS: B PTS: 1 DIF: Easy REF: 18 OBJ: 01-4 TOP: Definitional 52. HR management can reduce the number of employee lawsuits against the company. Which of the following roles is most influential in achieving this reduction? a. administrative b. strategic c. operational d. advocate ANS: D PTS: 1 DIF: Moderate REF: 18 OBJ: 01-4 TOP: Conceptual 53. Which of the following is NOT a typical HR operational activity? a. monitoring safety programs b. partnering with top executives c. supervising compensation d. ensuring government compliance ANS: B PTS: 1 DIF: Moderate REF: 19 OBJ: 01-4 TOP: Conceptual 54. Which is a key difference between operational HR management and strategic HR management? a. planning oriented versus implementation oriented b. employee focused versus organization focused c. profit focused versus cost focused d. pro-active versus reactive ANS: B PTS: 1 DIF: Moderate REF: 19| Figure 1-5 OBJ: 01-4 TOP: Conceptual hzzled 55. In the professional and academic communities, it is a truism that HR management must be a strategic partner in organizations. Which of the following statements is supported by research? a. Dramatic growth of the strategic HR function has occurred. b. HR spends less than one-quarter of its time on its strategic role. c. Strategic HR has been largely eliminated from the organization and lodged in the position of the chief operating officer. d. Over 70 percent of HR managers report that they function as full strategic business partners. ANS: B PTS: 1 DIF: Moderate REF: 20 OBJ: 01-4 TOP: Conceptual 56. The top executives of an organization may truly view the top HR manager as contributing to the strategic success of the firm. Which of these requests from top management best exemplifies that perception? a. Improve the implementation of performance appraisals for supervisors. b. Streamline the employee selection process. c. Select a vendor for outsourcing benefits administration. d. Evaluate potential merger candidates for organizational compatibility. ANS: D PTS: 1 DIF: Challenging REF: 20 OBJ: 01-4 TOP: Conceptual 57. Which type of HR is it when professionals from different organizations work together to solve business problems they have in common? a. professional b. collusive c. operational d. collaborative ANS: D PTS: 1 DIF: Easy REF: 20 OBJ: 01-4 TOP: Definitional 58. Eric belongs to an informal group of HR compensation executives from various industries who meet once a month at a local restaurant to discuss problems that they all face, for example, the challenge of designing true merit pay systems. Which of these practices are Eric and his colleagues engaging in? a. cronyism b. collaboration c. collusion d. competition ANS: B PTS: 1 DIF: Moderate REF: 20 OBJ: 01-4 TOP: Application 59. Which of the following terms refers to an integrated system that provides information used in HR decision making? a. human resources information system. b. human resources management system c. human resources administrative system. d. human resources operational system. ANS: B PTS: 1 DIF: Easy REF: 21 OBJ: 01-5 TOP: Definitional 60. Which of the following is the primary reason for compiling data in HR management systems? hzzled a. to develop complete records about each employee b. to facilitate HR decision making c. to ensure that the organization’s HR management system is stronger than its competitors’ systems d. to allow the HR department to retain the management system function in-house rather than outsourcing it to vendors ANS: B PTS: 1 DIF: Easy REF: 21 OBJ: 01-5 TOP: Conceptual 61. Ernest, the vice president of HR for the Blue Moon motel chain, has been on the HR side of the hotel/motel industry for more than 30 years. He has become a prized partner with the top executives of the corporation, and his advice is valued by the executives. Ernest prides himself on making decisions based on his “gut” and his intuition honed over his career. Which of the following statements most likely provides an accurate description of Ernest’s relationship with a human resources management system (HRMS) at Blue Moon? a. Due to Ernest’s efforts, Blue Moon possesses a state-of-the-art HR management system. b. Ernest will now be pressed by Blue Moon’s top executives to support his intuitive arguments with hard data. c. Ernest will be easily impressed and influenced by strategic arguments based on analysis of extensive HR data. d. Ernest would appreciate the efficiency aspect of an HRMS more than its effectiveness aspect. ANS: D PTS: 1 DIF: Challenging REF: 21 OBJ: 01-5 TOP: Application 62. You are a consultant for an HRMS vendor, which offers a complete HRMS. You are calling on the head of HR at a potential client firm, which is still using a manual HR system, even though it has 1800 employees. To interest the potential client, your sales pitch will likely stress two things. One is your software’s ability to help with automating payroll and benefits. Which of the following is the software’s other ability? a. to track employment equity activity b. to allow employees to handle changes in their personnel files themselves c. to provide advanced data analysis d. to allow the employer and your firm to be electronically linked ANS: A PTS: 1 DIF: Challenging REF: 21 OBJ: 01-5 TOP: Application 63. Which is the most basic application of an HRMS? a. enabling employees to check their work schedules for the following month b. automating payroll and benefits c. allowing employees to enrol for health benefits online d. permitting employees to notify HR when children need to be added to health insurance ANS: B PTS: 1 DIF: Moderate REF: 21 OBJ: 01-5 TOP: Conceptual 64. Which of the following aspects of HR can an organization’s initial use of an HRMS make more efficient? a. strategic b. legal c. advocacy d. administrative hzzled ANS: D PTS: 1 DIF: Challenging REF: 22-23 OBJ: 01-5 TOP: Conceptual 65. Which of the following is NOT an organizational use of Web-based systems? a. extended linkages b. HR metrics c. bulletin boards d. data access ANS: B PTS: 1 DIF: Moderate REF: 23| Figure 1-6 OBJ: 01-5 TOP: Conceptual 66. Employees may be allowed to enter the organization’s HR database to change their personnel records, enrol in benefit plans, and apply for posted jobs. Which of the following is a critical concern when providing self-service options? a. overcoming internal HR management resistance to technology b. monitoring excessive employee use of the system c. training non-computer literate employees to use the system d. maintaining security of the system ANS: D PTS: 1 DIF: Moderate REF: 23| Figure 1-6 OBJ: 01-5 TOP: Conceptual 67. From an HR perspective, there is a compelling practical reason for an organization to maintain high ethical standards. Which of the following phrases presents that reason? a. the ability to succeed in bids for government contracts b. the reputation of the organization’s HR department in the profession c. the ability to attract and retain employees d. higher salaries for HR managers ANS: C PTS: 1 DIF: Moderate REF: 23 OBJ: 01-6 TOP: Conceptual 68. What does the Corruption of Foreign Public Officials Act prohibit? a. Canadian firms from engaging in bribery in foreign countries b. Canadian firms from engaging in practices that are corrupt under the laws of the countries in which they are operating c. Canadian firms from doing business with foreign firms that engage in corrupt practices d. foreign firms from engaging in corrupt practices in Canada ANS: A PTS: 1 DIF: Moderate REF: 24 OBJ: 01-6 TOP: Definitional 69. A not-for-profit scientific organization wishes to build a fisheries research station in a remote part of a developing nation. In order to receive a construction permit from the local government, the scientific organization also had to agree to build an elementary school. How should this situation be characterized? a. an instance of the corrupting influence of Canadian organizations on developing countries b. an unambiguously ethical and legal act c. a clear example of a violation of the Corruption of Foreign Public Officials Act d. an example of an ethical dilemma in deciding whether this action would be bribery or a benevolent act ANS: D PTS: 1 DIF: Challenging REF: 24 OBJ: 01-6