PHR Certification Study Guide 2023/2024

Accounts Payable - Correct Answer-Money an organization owes its vendors and suppliers. Accounts Receivable - Correct Answer-Money an organization's customers owe the organization. Action Plans - Correct Answer-Detailed steps a unit, department, or team will take in order to achieve short-term objectives. Amendment - Correct Answer-Modification or the Constitution or a law; modification may be either formal (written) or informal (unwritten). Assets - Correct Answer-Financial, physical, and sometiems intangible properties an organization owns. Balance Sheet - Correct Answer-Statement of a firm's financial position at a particular time. Balanced scorecard - Correct Answer-Measurement approach that provides an overall picture of an organization's performance as measured against goals in finance, customers, internal business processes, and learning and growth. Bill - Correct Answer-Proposal presented to a legislative body for possible enactment as a law. Break-even analysis - Correct Answer-Analysis that shows point in time at which total revenue associated with a program is equal to the total cost of the program. Business Case - Correct Answer-Description of an organizational challenge and possible alternative solutions, arguing for specific solution. Capacity - Correct Answer-To an operations department, the ability to yield output. Cash flow statement - Correct Answer-Record of how much cash is flowing into and out of an organization, including its sources or destinations. Centralization - Correct Answer-Degree to which decision-making authority is restricted to higher levels of management in an organization. Code of ethics - Correct Answer-Principles of conduct within an organization that guide decision making and behavior. Consumer price index - Correct Answer-Measure of the average change over time in the prices paid by consumers for goods and services. Control - Correct Answer-To an operations department, an after-the-fact evaluation of a company's ability to meet its own specifications and its customers' needs. Correlation - Correct Answer-Measure that indicates the relationship between two variables. Cost-benefit analysis - Correct Answer-Ratio of value created to cost of creating that value; allows management to determine the financial impact particular activities and programs have on an organization's profitability. Decentralization - Correct Answer-Degree to which decision-making authority is given to lower levels in an organization's hierarchy. Departmentalization - Correct Answer-Way an organization groups jobs to coordinate work. Divestiture - Correct Answer-Sale by a company of an asset that is not performing well, that is not core to the company's business, or that is worth more as a separate entity