HCAD 710 EXAM 200ACTUAL QUESTIONS AND CORRECT
ANSWER WITH RATIONALE LATEST 2026 ASSURED PASS
The HCAD 710 Healthcare Human Resource Management exam evaluates
advanced understanding of healthcare workforce management, HR
principles, and employment laws. It covers key topics including management
philosophies (authoritarian, legalistic, humanistic), HR functions
(recruitment, compensation, labor relations), behavioral interviewing (STAR
method), succession planning, and change management (Kotter's 8-step
model). The exam also tests knowledge of major federal legislation including
the Civil Rights Act, ADA, FMLA, HIPAA, and wage-hour laws. Students
must demonstrate competency in strategic workforce planning, employee
relations, compliance, and legal frameworks. Success requires mastery of both
theoretical concepts and practical HR applications in healthcare settings.
1. What are the three philosophies of the history of management styles?
A) Authoritarian, democratic, laissez-faire
B) Authoritarian, legalistic, humanistic
C) Legalistic, humanistic, consultative
D) Autocratic, bureaucratic, scientific
Answer: B
Rationale: Exam materials identify authoritarian, legalistic, and humanistic as the
three philosophies of management styles in employee relations. Authoritarian
management was the first school, focusing on work and minimizing the importance
of people.
2. In the authoritarian management system, what is the motivating force for
productivity?
A) Recognition and rewards
B) Fear
C) Job satisfaction
D) Team collaboration
Answer: B
Rationale: Under authoritarian management, fear is the primary motivating force
for productivity. Autocratic managers are unquestionably "in charge" and use a
coercive style of leadership.
,3. What was the original function of the employment office, which later evolved
into Human Resources?
A) To manage employee benefits
B) To free up managers' responsibility of hiring employees and time
C) To handle union relations
D) To provide employee training
Answer: B
Rationale: Human Resources started as an employment office to free up managers
from the responsibility and time associated with hiring employees. Initially, a part -
time clerk was hired to help with paperwork.
4. Under authoritarian management, what are the two options available to
employees?
A) Request a transfer or ask for a raise
B) Do as they are told or leave
C) File a grievance or go on strike
D) Request a promotion or accept their position
Answer: B
Rationale: In the authoritarian management style, employees have only two
options: they can do as they are told, or they can leave the organization. This
reflects the coercive and power-based nature of this management philosophy.
5. Which management philosophy gained momentum with the passage of wage-
and-hour laws and the Civil Rights Act of 1964?
A) Authoritarian
B) Humanistic
C) Legalistic
D) Scientific
Answer: C
Rationale: The legalistic movement began in the 1930s with wage-and-hour laws
and labor legislation, and blossomed with the Civil Rights Act of 1964. Legalistic
managers interact with employees out of a strict regard for employee rights.
6. What is a primary characteristic of legalistic management?
A) A focus on efficiency and production
B) A reactive process to laws protecting worker rights
C) A belief in the importance of people over production
D) A focus on collaboration and team-building
Answer: B
,Rationale: Legalistic management was a reactive process to many laws that
protected workers' rights. Managers became more concerned with following
regulations and avoiding legal issues rather than proactively managing employee
relations.
7. What is the goal of scientific management, which arose in the early 1900s?
A) Improving employee morale
B) Increasing efficiency by measuring the time required to perform tasks
C) Reducing workplace accidents
D) Encouraging employee innovation
Answer: B
Rationale: The goal of scientific management was efficiency, defined largely by
the amount of time required to perform any given task. Key innovators included
Frederick W. Taylor and Frank and Lillian Gilbreth.
8. Which of the following is NOT a typical HR function?
A) Employment and recruitment
B) Compensation and benefits administration
C) Clinical diagnosis and patient care
D) Employee relations and labor relations
Answer: C
Rationale: Clinical diagnosis and patient care are clinical functions, not HR
functions. Typical HR functions include employment/recruitment, compensation
and benefits administration, employee relations, and labor relations.
9. Which of the following is considered a frequent HR function?
A) Executive compensation administration
B) Organizational development and succession planning
C) Employee health and safety, and training and development
D) Outplacement services and EAP
Answer: C
Rationale: Frequent HR functions include employee health/safety,
training/development, security, child care, awareness/recognition, and EEO/AA.
These are commonly handled by HR departments on a regular basis.
10. Which of the following is considered an infrequent HR function?
A) Employee relations
B) EEO/AA compliance
C) Risk management and executive compensation administration
D) Recruitment and staffing
, Answer: C
Rationale: Infrequent HR functions include risk management, executive
compensation administration, organizational development (succession planning),
EAP, outplacement, and payroll. These are specialized tasks that may not be
performed daily.
11. What is the primary purpose of an Employee Assistance Program (EAP)?
A) To provide legal advice to employees
B) To assist employees in addressing personal problems that can affect work
performance
C) To offer financial planning services
D) To manage employee payroll
Answer: B
Rationale: An Employee Assistance Program (EAP) is designed to assist
employees in addressing particular personal problems that can affect their work
performance. It is a referral program that commonly addresses alcohol/drug abuse,
family/marital difficulties, and legal/financial problems.
12. What practice is brought on by reengineering and involves having services
performed by outside parties?
A) Outsourcing
B) Centralization
C) Bumping
D) Career planning
Answer: A
Rationale: Outsourcing is the practice of having services once performed by
employees supplied by outside parties. This practice is often brought on by
reengineering and organizational restructuring.
13. Which of the following is an example of a function that is commonly
outsourced?
A) Employee recruitment
B) Performance appraisals
C) Payroll and pension plan administration
D) Employee training
Answer: C
Rationale: Examples of outsourced functions include payroll, pension plan
administration, workers' comp, disability programs, and legal services. These are
often handled by external specialists.
ANSWER WITH RATIONALE LATEST 2026 ASSURED PASS
The HCAD 710 Healthcare Human Resource Management exam evaluates
advanced understanding of healthcare workforce management, HR
principles, and employment laws. It covers key topics including management
philosophies (authoritarian, legalistic, humanistic), HR functions
(recruitment, compensation, labor relations), behavioral interviewing (STAR
method), succession planning, and change management (Kotter's 8-step
model). The exam also tests knowledge of major federal legislation including
the Civil Rights Act, ADA, FMLA, HIPAA, and wage-hour laws. Students
must demonstrate competency in strategic workforce planning, employee
relations, compliance, and legal frameworks. Success requires mastery of both
theoretical concepts and practical HR applications in healthcare settings.
1. What are the three philosophies of the history of management styles?
A) Authoritarian, democratic, laissez-faire
B) Authoritarian, legalistic, humanistic
C) Legalistic, humanistic, consultative
D) Autocratic, bureaucratic, scientific
Answer: B
Rationale: Exam materials identify authoritarian, legalistic, and humanistic as the
three philosophies of management styles in employee relations. Authoritarian
management was the first school, focusing on work and minimizing the importance
of people.
2. In the authoritarian management system, what is the motivating force for
productivity?
A) Recognition and rewards
B) Fear
C) Job satisfaction
D) Team collaboration
Answer: B
Rationale: Under authoritarian management, fear is the primary motivating force
for productivity. Autocratic managers are unquestionably "in charge" and use a
coercive style of leadership.
,3. What was the original function of the employment office, which later evolved
into Human Resources?
A) To manage employee benefits
B) To free up managers' responsibility of hiring employees and time
C) To handle union relations
D) To provide employee training
Answer: B
Rationale: Human Resources started as an employment office to free up managers
from the responsibility and time associated with hiring employees. Initially, a part -
time clerk was hired to help with paperwork.
4. Under authoritarian management, what are the two options available to
employees?
A) Request a transfer or ask for a raise
B) Do as they are told or leave
C) File a grievance or go on strike
D) Request a promotion or accept their position
Answer: B
Rationale: In the authoritarian management style, employees have only two
options: they can do as they are told, or they can leave the organization. This
reflects the coercive and power-based nature of this management philosophy.
5. Which management philosophy gained momentum with the passage of wage-
and-hour laws and the Civil Rights Act of 1964?
A) Authoritarian
B) Humanistic
C) Legalistic
D) Scientific
Answer: C
Rationale: The legalistic movement began in the 1930s with wage-and-hour laws
and labor legislation, and blossomed with the Civil Rights Act of 1964. Legalistic
managers interact with employees out of a strict regard for employee rights.
6. What is a primary characteristic of legalistic management?
A) A focus on efficiency and production
B) A reactive process to laws protecting worker rights
C) A belief in the importance of people over production
D) A focus on collaboration and team-building
Answer: B
,Rationale: Legalistic management was a reactive process to many laws that
protected workers' rights. Managers became more concerned with following
regulations and avoiding legal issues rather than proactively managing employee
relations.
7. What is the goal of scientific management, which arose in the early 1900s?
A) Improving employee morale
B) Increasing efficiency by measuring the time required to perform tasks
C) Reducing workplace accidents
D) Encouraging employee innovation
Answer: B
Rationale: The goal of scientific management was efficiency, defined largely by
the amount of time required to perform any given task. Key innovators included
Frederick W. Taylor and Frank and Lillian Gilbreth.
8. Which of the following is NOT a typical HR function?
A) Employment and recruitment
B) Compensation and benefits administration
C) Clinical diagnosis and patient care
D) Employee relations and labor relations
Answer: C
Rationale: Clinical diagnosis and patient care are clinical functions, not HR
functions. Typical HR functions include employment/recruitment, compensation
and benefits administration, employee relations, and labor relations.
9. Which of the following is considered a frequent HR function?
A) Executive compensation administration
B) Organizational development and succession planning
C) Employee health and safety, and training and development
D) Outplacement services and EAP
Answer: C
Rationale: Frequent HR functions include employee health/safety,
training/development, security, child care, awareness/recognition, and EEO/AA.
These are commonly handled by HR departments on a regular basis.
10. Which of the following is considered an infrequent HR function?
A) Employee relations
B) EEO/AA compliance
C) Risk management and executive compensation administration
D) Recruitment and staffing
, Answer: C
Rationale: Infrequent HR functions include risk management, executive
compensation administration, organizational development (succession planning),
EAP, outplacement, and payroll. These are specialized tasks that may not be
performed daily.
11. What is the primary purpose of an Employee Assistance Program (EAP)?
A) To provide legal advice to employees
B) To assist employees in addressing personal problems that can affect work
performance
C) To offer financial planning services
D) To manage employee payroll
Answer: B
Rationale: An Employee Assistance Program (EAP) is designed to assist
employees in addressing particular personal problems that can affect their work
performance. It is a referral program that commonly addresses alcohol/drug abuse,
family/marital difficulties, and legal/financial problems.
12. What practice is brought on by reengineering and involves having services
performed by outside parties?
A) Outsourcing
B) Centralization
C) Bumping
D) Career planning
Answer: A
Rationale: Outsourcing is the practice of having services once performed by
employees supplied by outside parties. This practice is often brought on by
reengineering and organizational restructuring.
13. Which of the following is an example of a function that is commonly
outsourced?
A) Employee recruitment
B) Performance appraisals
C) Payroll and pension plan administration
D) Employee training
Answer: C
Rationale: Examples of outsourced functions include payroll, pension plan
administration, workers' comp, disability programs, and legal services. These are
often handled by external specialists.
