HRMT 386 UPDATED ACTUAL Exam
Questions and CORRECT Answers
Why do organizations and individuals enter into employment relationships? - CORRECT
ANSWER - - Economic Relationship
o Employers hire workers to accomplish tasks.
o There is an exchange of value between the worker & employer.
o Exchange time & skills (labour) for remuneration (wages & benefits)
o Workers enter into the relationship because they must exchange their labour with someone to
acquire money by which they purchase the necessities of life.
o Duties & obligations are asymmetrical: the employer issues orders & the employee obeys
o Employers must profit or fail - so pressures to decrease labour cost.
o Maximize profits while workers try to increase wages and control work conditions.
- Social Relationship
o By accepting employment, the workers are accepting managerial authority and agreeing to
comply with the rules & direction.
o Employment entails cooperation between workers and employers (labour & capital)
o Both parties benefit from a profitable business.
o Diverging interests create conflict (profit vs. wages, determining how & how quickly work will
be done)
What does the word resource in the term human resource management suggest about the nature
of the employment relationship? - CORRECT ANSWER - - People are valuable.
- People provide a competitive advantage to the organizations
- Their characteristics: training, experience, judgement, intelligence, relationship & insight can
add economic value to the organization.
- High quality employees provide a needed service as they perform many critical functions
- Good people are rare, there's a high-level of the needed skills and knowledge is not common
- May spend months looking for a talented and experienced person.
- People can't be imitated by a competitor.
,- No good substitutes for people.
- When people are well trained and highly motivated, they learn and develop their abilities and
care about customers.
In what ways are women typically disadvantaged in employment relationships? What factor
explains this disadvantage? - CORRECT ANSWER - - Care Responsibilities & Time Use
o More house & care responsibility & have a important fixed costs to working in the market.
o Fixed schedules & minimum hour requirements make it difficult to balance home & work load.
o Social norms around a woman's role in the house & society influence these trade-offs.
o Women are more likely to value flexible work arrangements & fewer hours - putting them at
risk for being channeled into lower quality jobs.
- Loan & Credit
o Female farmers & entrepreneurs historically had less access to land & credit than males.
o Not having these productive inputs puts woman at a disadvantage for market access, including
discrimination & different pricing in land & credit markets & institutional counterstains,
including land rights & financial rules & regulations.
o They may favour men in the allocation of productive resources because of discriminatory
preferences.
o These differences affect scale of production, productivity & investment & growth capacity.
- Market & Institutional Failures
o Women's limited presence in certain markets may create a barrier to knowledge & learning
about women's performance.
o This means a lack of access in these markets.
o The design function of institutions may be biased against women & therefore inequalities
persist.
What is the labour market? - CORRECT ANSWER - - Where work is bought & sold
- Relationship between supply & demand
- Employers buy and workers sell the workers capacity to work.
,- Once hired, the employer must utilize the workers capacity to work.
- Labour is a commodity with unique properties.
- Workers are variable in skills, knowledge, attitudes and aptitudes that may not be visible at the
time of hiring.
- Employer has only purchased the capacity to work & need to turn that into actual productive
work.
- The conversion is known as the labour process.
What is the wage-effort bargain? - CORRECT ANSWER - - How hard the employees are
going to work.
- Comprises of norms of what is accepted in the workplace.
- Informal resistance (slowdowns, sabotage, absenteeism, quitting( can be costly to the employer
in the short term.
- Reflects the conflicting interest of the parties.
- Employers want to max output and min costs max profit.
- Employees want to max wages and min workload.
How can human resource management contribute to a company's success? - CORRECT
ANSWER - How can human resource management contribute to a company's success?
Why do organizations outsource HRM functions? - CORRECT ANSWER - - Access to in
depth expertise and often more economical.
- Traditionally, human resource management practices were developed and administered by the
company's human resource department.
- Increasingly, organizations seek flexibility in staffing through non-standard work arrangements.
- They may use outsourcing as well as temporary and contract workers.
- The use of such workers can affect job design, as well as the motivation of the organization's
permanent employees.
, How does outsourcing affect the role of human resource professionals? - CORRECT
ANSWER - - HR departments help with the transition to outsourcing but the HR functions
are also being outsourced.
How does engaging in evidence-based HR change the role of the human resources department
within an organization? - CORRECT ANSWER - - Evidence based HR is collecting &
using data to show that HR practices have a positive influence on the company's bottom line or
key stakeholders.
- It helps show that the money invested in HR programs is justified and that HR is contributing to
the company's goals & objectives.
- For example, data collected on the relationship between HR practices & productivity, turnover,
workplace injuries, & employee attitude that may show HR functions are as important to the
business as finance, accounting & marketing.
What skills are important for success in human resource management? - CORRECT
ANSWER - - Credible Activist
o Well respected
o Influential
o Must be credible by mastering all other areas.
- Cultural Steward
o understand organizations culture & help to build and strengthen
o or change that culture by identifying & expressing its value through words & actions.
- Talent manager/organizational designer
o knows the ways people join the org. & move within it.
o Need to know org structure and how it can be adjusted to meet goals for developing & using its
employees.
- Strategy architect
o awareness of business trends & how they may affect the biz, & opportunities & threats.
o Seize opportunities & confront threats.
- Business allies
o know how biz achieves success, who customers are and why they support what that company
sells.
Questions and CORRECT Answers
Why do organizations and individuals enter into employment relationships? - CORRECT
ANSWER - - Economic Relationship
o Employers hire workers to accomplish tasks.
o There is an exchange of value between the worker & employer.
o Exchange time & skills (labour) for remuneration (wages & benefits)
o Workers enter into the relationship because they must exchange their labour with someone to
acquire money by which they purchase the necessities of life.
o Duties & obligations are asymmetrical: the employer issues orders & the employee obeys
o Employers must profit or fail - so pressures to decrease labour cost.
o Maximize profits while workers try to increase wages and control work conditions.
- Social Relationship
o By accepting employment, the workers are accepting managerial authority and agreeing to
comply with the rules & direction.
o Employment entails cooperation between workers and employers (labour & capital)
o Both parties benefit from a profitable business.
o Diverging interests create conflict (profit vs. wages, determining how & how quickly work will
be done)
What does the word resource in the term human resource management suggest about the nature
of the employment relationship? - CORRECT ANSWER - - People are valuable.
- People provide a competitive advantage to the organizations
- Their characteristics: training, experience, judgement, intelligence, relationship & insight can
add economic value to the organization.
- High quality employees provide a needed service as they perform many critical functions
- Good people are rare, there's a high-level of the needed skills and knowledge is not common
- May spend months looking for a talented and experienced person.
- People can't be imitated by a competitor.
,- No good substitutes for people.
- When people are well trained and highly motivated, they learn and develop their abilities and
care about customers.
In what ways are women typically disadvantaged in employment relationships? What factor
explains this disadvantage? - CORRECT ANSWER - - Care Responsibilities & Time Use
o More house & care responsibility & have a important fixed costs to working in the market.
o Fixed schedules & minimum hour requirements make it difficult to balance home & work load.
o Social norms around a woman's role in the house & society influence these trade-offs.
o Women are more likely to value flexible work arrangements & fewer hours - putting them at
risk for being channeled into lower quality jobs.
- Loan & Credit
o Female farmers & entrepreneurs historically had less access to land & credit than males.
o Not having these productive inputs puts woman at a disadvantage for market access, including
discrimination & different pricing in land & credit markets & institutional counterstains,
including land rights & financial rules & regulations.
o They may favour men in the allocation of productive resources because of discriminatory
preferences.
o These differences affect scale of production, productivity & investment & growth capacity.
- Market & Institutional Failures
o Women's limited presence in certain markets may create a barrier to knowledge & learning
about women's performance.
o This means a lack of access in these markets.
o The design function of institutions may be biased against women & therefore inequalities
persist.
What is the labour market? - CORRECT ANSWER - - Where work is bought & sold
- Relationship between supply & demand
- Employers buy and workers sell the workers capacity to work.
,- Once hired, the employer must utilize the workers capacity to work.
- Labour is a commodity with unique properties.
- Workers are variable in skills, knowledge, attitudes and aptitudes that may not be visible at the
time of hiring.
- Employer has only purchased the capacity to work & need to turn that into actual productive
work.
- The conversion is known as the labour process.
What is the wage-effort bargain? - CORRECT ANSWER - - How hard the employees are
going to work.
- Comprises of norms of what is accepted in the workplace.
- Informal resistance (slowdowns, sabotage, absenteeism, quitting( can be costly to the employer
in the short term.
- Reflects the conflicting interest of the parties.
- Employers want to max output and min costs max profit.
- Employees want to max wages and min workload.
How can human resource management contribute to a company's success? - CORRECT
ANSWER - How can human resource management contribute to a company's success?
Why do organizations outsource HRM functions? - CORRECT ANSWER - - Access to in
depth expertise and often more economical.
- Traditionally, human resource management practices were developed and administered by the
company's human resource department.
- Increasingly, organizations seek flexibility in staffing through non-standard work arrangements.
- They may use outsourcing as well as temporary and contract workers.
- The use of such workers can affect job design, as well as the motivation of the organization's
permanent employees.
, How does outsourcing affect the role of human resource professionals? - CORRECT
ANSWER - - HR departments help with the transition to outsourcing but the HR functions
are also being outsourced.
How does engaging in evidence-based HR change the role of the human resources department
within an organization? - CORRECT ANSWER - - Evidence based HR is collecting &
using data to show that HR practices have a positive influence on the company's bottom line or
key stakeholders.
- It helps show that the money invested in HR programs is justified and that HR is contributing to
the company's goals & objectives.
- For example, data collected on the relationship between HR practices & productivity, turnover,
workplace injuries, & employee attitude that may show HR functions are as important to the
business as finance, accounting & marketing.
What skills are important for success in human resource management? - CORRECT
ANSWER - - Credible Activist
o Well respected
o Influential
o Must be credible by mastering all other areas.
- Cultural Steward
o understand organizations culture & help to build and strengthen
o or change that culture by identifying & expressing its value through words & actions.
- Talent manager/organizational designer
o knows the ways people join the org. & move within it.
o Need to know org structure and how it can be adjusted to meet goals for developing & using its
employees.
- Strategy architect
o awareness of business trends & how they may affect the biz, & opportunities & threats.
o Seize opportunities & confront threats.
- Business allies
o know how biz achieves success, who customers are and why they support what that company
sells.
