Practice Test- SHRM CP
Questions and Answers
Updated 2026
What is Human Capital Planning? - Answer Human Capital planning is a systematic process
for identifying the resource pool and its capabilities to meet organization goals and
developing the strategies to meet the requirements to fulfill those goals. A Human
Management Capital plan is forward thinking; the questions asked look at the present and
into the future.
What is an environmental scan and how does it pertain to strategic planning? - Answer An
environmental scan has to do with the gathering of information that will help to project
company growth and development. An environmental scan helps a company to review
historical data to begin the process of preparing for expected or planned growth in the
company.
Why do HR professionals need to understand the legal process? - Answer Legislation
influences the relationship between employers and employees, and the human resources
professional is responsible for understanding this relationship. The legislation that will affect
a business often will affect the business's relationship with its employees.
What is the first step that must be taken for an idea to be presented as a bill to congress? -
Answer When an idea for a bill originates from an individual or business outside of
Congress, the idea must first be submitted to a member of congress (or MOC). This MOC
may be either a senator or representative.
What is the Foreign Corrupt Practices Act of 1977? - Answer Establishes the rules for
preventing bribery and penalizing occurrences of it within corporations that exist in several
countries.
What are the steps in the strategic planning process? - Answer Environmental Scanning,
Formulating strategy, Implementing strategy, Making adjustments to strategy
,Democratic Leadership Style: - Answer a type of leadership style in which members of the
group take a more participative role in the decision-making process.
Coaching Leadership Style: - Answer Coaching leaders are very effective in settings where
performance or results need improvement. They help others to advance their skills; they
build bench strength, and provide a lot of guidance. The coaching leadership style is most
effective when followers are more responsible, experienced, and agreeable.
Transactional Leadership Style: - Answer a style of leadership that focuses on supervision,
organization, and performance; transactional leadership is a style of leadership in which
leaders promote compliance by followers through both rewards and punishments.
Transformational Leadership Style: - Answer a style of leadership where a leader works with
subordinates to identify needed change, creating a vision to guide the change through
inspiration, and executing the change in tandem with committed members of a group.
What standard budget responsibilities does HR have? - Answer Payroll taxes, travel
expenses, repairs and maintenance, & employee benefits.
The FLSA retains a certification of age for all employees for how long? - Answer Until their
employment is terminated.
When is a company required to pay their employee more than the federal minimum wage? -
Answer When state minimum wage is higher than the federal minimum wage, the company
is required to pay the state minimum wage over the federal .
What is adverse impact? - Answer The phrase adverse impact or unintentional
discrimination refers to the selection rate of the a protected class being less than 80% of the
selection rate of the highest group.
What's involved in the human resources professional's analysis of staffing needs? - Answer
Create a list of necessary KSAs that will encourage company growth, Develop a list of
, employees who might be ready for promotion, Consider various hiring options for any open
positions, as well as positions that will be open in the near future, and Review the results of
past hiring decisions to increase the potential success of future decisions.
Short-form Application - Answer Consists of a pre-made form designed to obtain general
information. Short-form applications are best used for positions that do not require a large
number of specialized skills or for individuals within the organization, attempting to change
positions.
Long-form Application - Answer Is a pre-made form designed to obtain a more in-depth idea
of an individual's skills or knowledge. A long form application is the most commonly used
general employment application.
General Employment Application - Answer Requests information related to employment
history, education, and overall background.
Job-Specific Employment Application - Answer Is used by organizations needing to fill a large
number of similar positions or hire individuals for similar positions on a regular basis.
Weighted Employment Application - Answer Are forms requesting Answers to questions or
information related to specific requirements necessary to perform the duties associated
with the position. Each requirement is then assigned a weight based on its importance to
the position.
What are the HR professional's primary role in assisting a department with conducting an
effective interview? - Answer To offer any requested advice on preparing for and setting up
interviews.
Contrast Bias - Answer Unconsciously contrasting other candidates with the first candidate
interviewed.
Cultural Noise Bias - Answer Occurs when the candidate responds with pointed Answers
that are aimed at making the interviewer happy rather than Answering in a natural way.
Questions and Answers
Updated 2026
What is Human Capital Planning? - Answer Human Capital planning is a systematic process
for identifying the resource pool and its capabilities to meet organization goals and
developing the strategies to meet the requirements to fulfill those goals. A Human
Management Capital plan is forward thinking; the questions asked look at the present and
into the future.
What is an environmental scan and how does it pertain to strategic planning? - Answer An
environmental scan has to do with the gathering of information that will help to project
company growth and development. An environmental scan helps a company to review
historical data to begin the process of preparing for expected or planned growth in the
company.
Why do HR professionals need to understand the legal process? - Answer Legislation
influences the relationship between employers and employees, and the human resources
professional is responsible for understanding this relationship. The legislation that will affect
a business often will affect the business's relationship with its employees.
What is the first step that must be taken for an idea to be presented as a bill to congress? -
Answer When an idea for a bill originates from an individual or business outside of
Congress, the idea must first be submitted to a member of congress (or MOC). This MOC
may be either a senator or representative.
What is the Foreign Corrupt Practices Act of 1977? - Answer Establishes the rules for
preventing bribery and penalizing occurrences of it within corporations that exist in several
countries.
What are the steps in the strategic planning process? - Answer Environmental Scanning,
Formulating strategy, Implementing strategy, Making adjustments to strategy
,Democratic Leadership Style: - Answer a type of leadership style in which members of the
group take a more participative role in the decision-making process.
Coaching Leadership Style: - Answer Coaching leaders are very effective in settings where
performance or results need improvement. They help others to advance their skills; they
build bench strength, and provide a lot of guidance. The coaching leadership style is most
effective when followers are more responsible, experienced, and agreeable.
Transactional Leadership Style: - Answer a style of leadership that focuses on supervision,
organization, and performance; transactional leadership is a style of leadership in which
leaders promote compliance by followers through both rewards and punishments.
Transformational Leadership Style: - Answer a style of leadership where a leader works with
subordinates to identify needed change, creating a vision to guide the change through
inspiration, and executing the change in tandem with committed members of a group.
What standard budget responsibilities does HR have? - Answer Payroll taxes, travel
expenses, repairs and maintenance, & employee benefits.
The FLSA retains a certification of age for all employees for how long? - Answer Until their
employment is terminated.
When is a company required to pay their employee more than the federal minimum wage? -
Answer When state minimum wage is higher than the federal minimum wage, the company
is required to pay the state minimum wage over the federal .
What is adverse impact? - Answer The phrase adverse impact or unintentional
discrimination refers to the selection rate of the a protected class being less than 80% of the
selection rate of the highest group.
What's involved in the human resources professional's analysis of staffing needs? - Answer
Create a list of necessary KSAs that will encourage company growth, Develop a list of
, employees who might be ready for promotion, Consider various hiring options for any open
positions, as well as positions that will be open in the near future, and Review the results of
past hiring decisions to increase the potential success of future decisions.
Short-form Application - Answer Consists of a pre-made form designed to obtain general
information. Short-form applications are best used for positions that do not require a large
number of specialized skills or for individuals within the organization, attempting to change
positions.
Long-form Application - Answer Is a pre-made form designed to obtain a more in-depth idea
of an individual's skills or knowledge. A long form application is the most commonly used
general employment application.
General Employment Application - Answer Requests information related to employment
history, education, and overall background.
Job-Specific Employment Application - Answer Is used by organizations needing to fill a large
number of similar positions or hire individuals for similar positions on a regular basis.
Weighted Employment Application - Answer Are forms requesting Answers to questions or
information related to specific requirements necessary to perform the duties associated
with the position. Each requirement is then assigned a weight based on its importance to
the position.
What are the HR professional's primary role in assisting a department with conducting an
effective interview? - Answer To offer any requested advice on preparing for and setting up
interviews.
Contrast Bias - Answer Unconsciously contrasting other candidates with the first candidate
interviewed.
Cultural Noise Bias - Answer Occurs when the candidate responds with pointed Answers
that are aimed at making the interviewer happy rather than Answering in a natural way.
