CAIB 4 Chapter 4 Questions and Answers
with Complete Solutions
Human resources management is the process of identifying and selecting the employees
j j j j j j j j j j j
best qualifies to achieve the strategic plan. Identify the seven activities associated with
j j j j j j j j j j j j j
Human resources management. - ANS-1. Planning
j j j j j j
2. Selecting
j
3. Orienting
j
4. Training
j
5. Developing & Rewarding
j j j
6. Managing employee performance
j j j
7. Termination
j
In human resources planning, the brokerage must evaluate its existing ability to generate
j j j j j j j j j j j j
sales and premium growth, and determine whether the exiting human resources are
j j j j j j j j j j j j
capable of producing the levels anticipated in the strategic plan. Identify two reasons why
j j j j j j j j j j j j j j
this is true. - ANS-1. If they are not, a plan must be established to obtain the necessary
j j j j j j j j j j j j j j j j j j
human resources
j j
2. To revise the organizational structure to accommodate the anticipated growth.
j j j j j j j j j j
It is important to estimate human resources needs as early in the planning process as
j j j j j j j j j j j j j j
possible, to permit time for a professional approach to selecting new employees and to
j j j j j j j j j j j j j j
avoid the pitfalls of a crash hiring process. Identify four items that the human resources plan
j j j j j j j j j j j j j j j j
should contain. - ANS-1. An evaluation of the skills the new employees need to have
j j j j j j j j j j j j j j j
2. The hiring timetable
j j j
3. A contingency plan in the event candidates with the required skills cannot be found in a
j j j j j j j j j j j j j j j j
timely manner.
j j j
4. Job descriptions
j j
Mid-course corrections should be considered because... - ANS-Should the reality of the j j j j j j j j j j j
business conditions diverge from the plan.
j j j j j j
Selecting employees is one of the most difficult and time-consuming tasks of the
j j j j j j j j j j j j
management process. Identify three areas in the selection process. - ANS-1. Recruitment
j j j j j j j j j j j j
2. Screening and interviewing
j j j
3. Hiring
j
Recruitment is the process of building awareness that there is a position available, j j j j j j j j j j j j
searching for the applications and attracting qualifies people to apply for the position.
j j j j j j j j j j j j j
, Briefly explain five advantages of recruiting from within the organization before actively
j j j j j j j j j j j j
searching the open market. - ANS-1. It is less expensive, as there are no external recruiting
j j j j j j j j j j j j j j j j
costs, and training and orientation costs are minimized.
j j j j j j j j
2. The length of vacancy should be shorter, thereby minimizing the period during which
j j j j j j j j j j j j j
client service could erode.
j j j j
3. It takes the guesswork out of hiring, as the existing employee is a known quantity.
j j j j j j j j j j j j j j j j
4. It improves morale by demonstrating the brokerage's commitment to the improvement
j j j j j j j j j j j
and development of its employees.
j j j j j j
5. It also reduces turnover, as employees will see the possibility of advancement within the
j j j j j j j j j j j j j j
brokerage, rather than having to look outside.
j j j j j j j
Screening and interviewing involve deciding which candidates are best qualified and who
j j j j j j j j j j j
should be offered the position. The hiring process must be fair to all applicants and in
j j j j j j j j j j j j j j j j
accordance with Federal and Provincial legislation. Identify 10 areas that would constitute
j j j j j j j j j j j j
discrimination under the Canadian Human Rights Act. - ANS-1. National or ethic origin
j j j j j j j j j j j j j
2. Age
j
3. Religion
j
4. Sex
j
5. Sex orientation
j j
6. Marital status
j j
7. Disability
j j
8. Family status
j j
9. Colour
j
10. Conviction for which a pardon has been granted
j j j j j j j j
Identify five screening procedures that are used by many brokerages and must comply with
j j j j j j j j j j j j j
Privacy Legislation. - ANS-1. Application Form
j j j j j j
2. Resume
j
3. Employment Interview
j j
4. Testing
j
5. Reference checks
j j
Application forms should contain only information that is directly related to the position.
j j j j j j j j j j j j
True or False - ANS-True
j j j j j
Identify two things that a brokerage should learn from an applicant's resume. - ANS-1.
j j j j j j j j j j j j j
Describe the employment history
j j j j
2. Give an indication of how the candidate performed while in the former position
j j j j j j j j j j j j j
Traditionally, the employment interview has been viewed as the most important part of the j j j j j j j j j j j j j
selection process. As the field is narrowed, further interviews may be undertaken. Identify
j j j j j j j j j j j j j
four persons who might be involved in additional interviews with the applicant. - ANS-1.
j j j j j j j j j j j j j j
Prospective employee's supervisor
j j j
2. Manager
j
3. Co-workers
j
4. Subordinates
j
with Complete Solutions
Human resources management is the process of identifying and selecting the employees
j j j j j j j j j j j
best qualifies to achieve the strategic plan. Identify the seven activities associated with
j j j j j j j j j j j j j
Human resources management. - ANS-1. Planning
j j j j j j
2. Selecting
j
3. Orienting
j
4. Training
j
5. Developing & Rewarding
j j j
6. Managing employee performance
j j j
7. Termination
j
In human resources planning, the brokerage must evaluate its existing ability to generate
j j j j j j j j j j j j
sales and premium growth, and determine whether the exiting human resources are
j j j j j j j j j j j j
capable of producing the levels anticipated in the strategic plan. Identify two reasons why
j j j j j j j j j j j j j j
this is true. - ANS-1. If they are not, a plan must be established to obtain the necessary
j j j j j j j j j j j j j j j j j j
human resources
j j
2. To revise the organizational structure to accommodate the anticipated growth.
j j j j j j j j j j
It is important to estimate human resources needs as early in the planning process as
j j j j j j j j j j j j j j
possible, to permit time for a professional approach to selecting new employees and to
j j j j j j j j j j j j j j
avoid the pitfalls of a crash hiring process. Identify four items that the human resources plan
j j j j j j j j j j j j j j j j
should contain. - ANS-1. An evaluation of the skills the new employees need to have
j j j j j j j j j j j j j j j
2. The hiring timetable
j j j
3. A contingency plan in the event candidates with the required skills cannot be found in a
j j j j j j j j j j j j j j j j
timely manner.
j j j
4. Job descriptions
j j
Mid-course corrections should be considered because... - ANS-Should the reality of the j j j j j j j j j j j
business conditions diverge from the plan.
j j j j j j
Selecting employees is one of the most difficult and time-consuming tasks of the
j j j j j j j j j j j j
management process. Identify three areas in the selection process. - ANS-1. Recruitment
j j j j j j j j j j j j
2. Screening and interviewing
j j j
3. Hiring
j
Recruitment is the process of building awareness that there is a position available, j j j j j j j j j j j j
searching for the applications and attracting qualifies people to apply for the position.
j j j j j j j j j j j j j
, Briefly explain five advantages of recruiting from within the organization before actively
j j j j j j j j j j j j
searching the open market. - ANS-1. It is less expensive, as there are no external recruiting
j j j j j j j j j j j j j j j j
costs, and training and orientation costs are minimized.
j j j j j j j j
2. The length of vacancy should be shorter, thereby minimizing the period during which
j j j j j j j j j j j j j
client service could erode.
j j j j
3. It takes the guesswork out of hiring, as the existing employee is a known quantity.
j j j j j j j j j j j j j j j j
4. It improves morale by demonstrating the brokerage's commitment to the improvement
j j j j j j j j j j j
and development of its employees.
j j j j j j
5. It also reduces turnover, as employees will see the possibility of advancement within the
j j j j j j j j j j j j j j
brokerage, rather than having to look outside.
j j j j j j j
Screening and interviewing involve deciding which candidates are best qualified and who
j j j j j j j j j j j
should be offered the position. The hiring process must be fair to all applicants and in
j j j j j j j j j j j j j j j j
accordance with Federal and Provincial legislation. Identify 10 areas that would constitute
j j j j j j j j j j j j
discrimination under the Canadian Human Rights Act. - ANS-1. National or ethic origin
j j j j j j j j j j j j j
2. Age
j
3. Religion
j
4. Sex
j
5. Sex orientation
j j
6. Marital status
j j
7. Disability
j j
8. Family status
j j
9. Colour
j
10. Conviction for which a pardon has been granted
j j j j j j j j
Identify five screening procedures that are used by many brokerages and must comply with
j j j j j j j j j j j j j
Privacy Legislation. - ANS-1. Application Form
j j j j j j
2. Resume
j
3. Employment Interview
j j
4. Testing
j
5. Reference checks
j j
Application forms should contain only information that is directly related to the position.
j j j j j j j j j j j j
True or False - ANS-True
j j j j j
Identify two things that a brokerage should learn from an applicant's resume. - ANS-1.
j j j j j j j j j j j j j
Describe the employment history
j j j j
2. Give an indication of how the candidate performed while in the former position
j j j j j j j j j j j j j
Traditionally, the employment interview has been viewed as the most important part of the j j j j j j j j j j j j j
selection process. As the field is narrowed, further interviews may be undertaken. Identify
j j j j j j j j j j j j j
four persons who might be involved in additional interviews with the applicant. - ANS-1.
j j j j j j j j j j j j j j
Prospective employee's supervisor
j j j
2. Manager
j
3. Co-workers
j
4. Subordinates
j
