Test Bank for Human Resource Management 6CE |
245+ Verified Exam Questions & Answers | Latest
2025/2026 Complete HRM Study Resource for
College and University Students
1. What is the primary purpose of human resource management (HRM)?
(A) To manage employee benefits
(B) To maximize employee performance in service of an employer's strategic
objectives
(C) To ensure compliance with labor laws
(D) To manage payroll systems
Rationale: HRM focuses on maximizing employee performance and aligning
workforce capabilities with organizational goals.
2. Which of the following is a key function of HRM?
(A) Marketing
(B) Recruitment and selection
(C) Financial accounting
(D) Product development
Rationale: Recruitment and selection are fundamental HRM functions aimed at
sourcing and hiring suitable candidates for the organization.
3. What is the term used for a systematic process of determining the skills and
knowledge required to perform a job?
(A) Job analysis
(B) Job description
(C) Job specification
(D) Competency modeling
Rationale: Job analysis involves gathering information about job duties,
responsibilities, and requirements to create job descriptions and specifications.
4. Which of the following is not a component of the strategic human resource
management process?
(A) Integrating HRM with business strategy
(B) Managing payroll
(C) Developing HR policies
(D) Evaluating HR effectiveness
Rationale: Managing payroll is an operational function, whereas strategic HRM
focuses on aligning HR practices with overall business strategy.
,5. What is the term for the process of identifying and developing potential
leaders within an organization?
(A) Talent acquisition
(B) Succession planning
(C) Performance management
(D) Employee development
Rationale: Succession planning involves preparing for future leadership needs
by identifying and developing internal talent.
6. Which of the following is a disadvantage of internal recruitment?
(A) Limited pool of candidates
(B) Familiarity with company culture
(C) Shorter onboarding time
(D) Increased employee morale
Rationale: Internal recruitment may limit the diversity of candidates and
perspectives, potentially hindering innovation.
7. What is the primary goal of performance management?
(A) To allocate bonuses
(B) To enhance employee performance and align it with organizational goals
(C) To conduct annual reviews
(D) To determine training needs
Rationale: Performance management aims to improve employee performance
and ensure it is aligned with the organization's objectives.
8. Which of the following laws prohibits employment discrimination based on
race, color, religion, sex, or national origin?
(A) Americans with Disabilities Act
(B) Civil Rights Act of 1964
(C) Equal Pay Act
(D) Age Discrimination in Employment Act
Rationale: The Civil Rights Act of 1964 is a landmark legislation that prohibits
discrimination in various aspects of employment.
9. What is the primary focus of diversity training?
(A) Increasing awareness of cultural differences and promoting inclusivity
(B) Enhancing technical skills
(C) Legal compliance
(D) Improving productivity
, Rationale: Diversity training aims to foster an inclusive workplace by raising
awareness of cultural differences and the value of diverse perspectives.
10. Which of the following is an example of extrinsic motivation?
(A) Personal satisfaction
(B) Monetary rewards
(C) Sense of achievement
(D) Professional growth
Rationale: Extrinsic motivation involves external rewards, such as money or
recognition, that influence behavior.
11. What is the purpose of conducting a job evaluation?
(A) To determine training needs
(B) To establish the value of a job in relation to other jobs
(C) To assess employee performance
(D) To identify recruitment needs
Rationale: Job evaluation aims to assess the relative worth of jobs in the
organization to ensure equitable compensation.
12. Which of the following methods is commonly used for performance
appraisal?
(A) Self-assessment
(B) 360-degree feedback
(C) Peer review
(D) All of the above
Rationale: The 360-degree feedback method incorporates input from various
sources, including peers, subordinates, and supervisors, providing a
comprehensive view of performance.
13. What is the primary purpose of employee orientation?
(A) To finalize hiring paperwork
(B) To acclimate new employees to the organization
(C) To conduct performance reviews
(D) To assess training needs
Rationale: Employee orientation helps new hires understand the organization's
culture, policies, and procedures, facilitating smoother integration.
14. Which of the following is a key component of employee engagement?
(A) Job security
, (B) Emotional commitment to the organization
(C) Competitive salary
(D) Work-life balance
Rationale: Employee engagement is characterized by emotional commitment,
where employees feel invested in the organization's success.
15. What is the primary function of human resource planning?
(A) To conduct training sessions
(B) To forecast future HR needs
(C) To manage payroll
(D) To analyze performance appraisals
Rationale: Human resource planning involves forecasting the organization's
future HR needs to ensure it has the right talent in place.
16. What is the term for the compensation system that rewards employees
based on their performance?
(A) Base pay
(B) Merit pay
(C) Salary
(D) Commission
Rationale: Merit pay is a compensation system that rewards employees for their
individual performance, typically through bonuses or salary increases.
17. Which of the following is a legal requirement for employers regarding
workplace safety?
(A) To provide free meals
(B) To comply with OSHA regulations
(C) To offer flexible hours
(D) To provide health insurance
Rationale: Employers are required to comply with Occupational Safety and
Health Administration (OSHA) regulations to ensure a safe working environment.
18. What is the main purpose of an employee handbook?
(A) To outline job descriptions
(B) To communicate policies and procedures
(C) To provide training schedules
(D) To manage payroll
Rationale: An employee handbook serves as a resource for communicating the
organization's policies, procedures, and expectations to employees.
245+ Verified Exam Questions & Answers | Latest
2025/2026 Complete HRM Study Resource for
College and University Students
1. What is the primary purpose of human resource management (HRM)?
(A) To manage employee benefits
(B) To maximize employee performance in service of an employer's strategic
objectives
(C) To ensure compliance with labor laws
(D) To manage payroll systems
Rationale: HRM focuses on maximizing employee performance and aligning
workforce capabilities with organizational goals.
2. Which of the following is a key function of HRM?
(A) Marketing
(B) Recruitment and selection
(C) Financial accounting
(D) Product development
Rationale: Recruitment and selection are fundamental HRM functions aimed at
sourcing and hiring suitable candidates for the organization.
3. What is the term used for a systematic process of determining the skills and
knowledge required to perform a job?
(A) Job analysis
(B) Job description
(C) Job specification
(D) Competency modeling
Rationale: Job analysis involves gathering information about job duties,
responsibilities, and requirements to create job descriptions and specifications.
4. Which of the following is not a component of the strategic human resource
management process?
(A) Integrating HRM with business strategy
(B) Managing payroll
(C) Developing HR policies
(D) Evaluating HR effectiveness
Rationale: Managing payroll is an operational function, whereas strategic HRM
focuses on aligning HR practices with overall business strategy.
,5. What is the term for the process of identifying and developing potential
leaders within an organization?
(A) Talent acquisition
(B) Succession planning
(C) Performance management
(D) Employee development
Rationale: Succession planning involves preparing for future leadership needs
by identifying and developing internal talent.
6. Which of the following is a disadvantage of internal recruitment?
(A) Limited pool of candidates
(B) Familiarity with company culture
(C) Shorter onboarding time
(D) Increased employee morale
Rationale: Internal recruitment may limit the diversity of candidates and
perspectives, potentially hindering innovation.
7. What is the primary goal of performance management?
(A) To allocate bonuses
(B) To enhance employee performance and align it with organizational goals
(C) To conduct annual reviews
(D) To determine training needs
Rationale: Performance management aims to improve employee performance
and ensure it is aligned with the organization's objectives.
8. Which of the following laws prohibits employment discrimination based on
race, color, religion, sex, or national origin?
(A) Americans with Disabilities Act
(B) Civil Rights Act of 1964
(C) Equal Pay Act
(D) Age Discrimination in Employment Act
Rationale: The Civil Rights Act of 1964 is a landmark legislation that prohibits
discrimination in various aspects of employment.
9. What is the primary focus of diversity training?
(A) Increasing awareness of cultural differences and promoting inclusivity
(B) Enhancing technical skills
(C) Legal compliance
(D) Improving productivity
, Rationale: Diversity training aims to foster an inclusive workplace by raising
awareness of cultural differences and the value of diverse perspectives.
10. Which of the following is an example of extrinsic motivation?
(A) Personal satisfaction
(B) Monetary rewards
(C) Sense of achievement
(D) Professional growth
Rationale: Extrinsic motivation involves external rewards, such as money or
recognition, that influence behavior.
11. What is the purpose of conducting a job evaluation?
(A) To determine training needs
(B) To establish the value of a job in relation to other jobs
(C) To assess employee performance
(D) To identify recruitment needs
Rationale: Job evaluation aims to assess the relative worth of jobs in the
organization to ensure equitable compensation.
12. Which of the following methods is commonly used for performance
appraisal?
(A) Self-assessment
(B) 360-degree feedback
(C) Peer review
(D) All of the above
Rationale: The 360-degree feedback method incorporates input from various
sources, including peers, subordinates, and supervisors, providing a
comprehensive view of performance.
13. What is the primary purpose of employee orientation?
(A) To finalize hiring paperwork
(B) To acclimate new employees to the organization
(C) To conduct performance reviews
(D) To assess training needs
Rationale: Employee orientation helps new hires understand the organization's
culture, policies, and procedures, facilitating smoother integration.
14. Which of the following is a key component of employee engagement?
(A) Job security
, (B) Emotional commitment to the organization
(C) Competitive salary
(D) Work-life balance
Rationale: Employee engagement is characterized by emotional commitment,
where employees feel invested in the organization's success.
15. What is the primary function of human resource planning?
(A) To conduct training sessions
(B) To forecast future HR needs
(C) To manage payroll
(D) To analyze performance appraisals
Rationale: Human resource planning involves forecasting the organization's
future HR needs to ensure it has the right talent in place.
16. What is the term for the compensation system that rewards employees
based on their performance?
(A) Base pay
(B) Merit pay
(C) Salary
(D) Commission
Rationale: Merit pay is a compensation system that rewards employees for their
individual performance, typically through bonuses or salary increases.
17. Which of the following is a legal requirement for employers regarding
workplace safety?
(A) To provide free meals
(B) To comply with OSHA regulations
(C) To offer flexible hours
(D) To provide health insurance
Rationale: Employers are required to comply with Occupational Safety and
Health Administration (OSHA) regulations to ensure a safe working environment.
18. What is the main purpose of an employee handbook?
(A) To outline job descriptions
(B) To communicate policies and procedures
(C) To provide training schedules
(D) To manage payroll
Rationale: An employee handbook serves as a resource for communicating the
organization's policies, procedures, and expectations to employees.
