Chapter 01: The Strategic Role of Human Resources Management
1. Human resources management involves
A) management techniques for controlling people at work.
B) concepts and techniques used in leading people at work.
C) the management of people in organizations.
D) all managerial activities.
E) concepts and techniques for organizing work activities.
QuestionID: 01-01
Objective: 1.1—Define what human resources management [HRM] is and analyze how it relates to the
management process and non-HR managers.
Answer: C) the management of people in organizations.
2. The knowledge, education, training, skills, and expertise of a firm's workers are known as
A) management's philosophy.
B) human capital.
C) physical capital.
D) production capital.
E) cultural diversity.
QuestionID: 01-02
Objective: 1.1—Define what human resources management [HRM] is and analyze how it relates to the
management process and non-HR managers.
Answer: B) human capital.
3. HRM involves formulating and implementing HRM systems that are aligned with the organization's strategy
to ensure the workforce has competencies and behaviours required to achieve the organization's strategic
objectives.
a True
b False
QuestionID: 01-03
Objective: 1.1—Define what human resources management [HRM] is and analyze how it relates to the
management process and non-HR managers.
Answer: a. True
4. Define HRM (1 point) and briefly describe (3 points) three activities of a "human resources manager".
QuestionID: 01-04
Objective: 1.1—Define what human resources management [HRM] is and analyze how it relates to the
management process and non-HR managers.
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,Answer: Four points recommended: 1 point for a definition that is close to the textbook ("the management of
people in organizations to drive successful organizational performance and achievement of the organization's
strategic goals"), and 3 points for being able to identify three activities of a human resource manager, including
but not limited to:
- ensure that the organization attracts, retains, and engages the diverse talent required to meet operational and
performance commitments made to customers and shareholders
- ensure that the organization finds and hires the best individuals available, develops their talent
- create a productive work environment
- continually build and monitor the organization's workforce
- understanding of what practices help regulate employees (e.g., recruitment, compensation, performance
management, training, etc.)
- use these practices or systems impact employee, team, business unit, and company level attitudes, behaviours,
and outcomes
- explain why specific HR practices or systems are needed for each unique business setting
5. Which term reflects the course of action a company can take to pursue its goals?
A) Strategy
B) Human capital
C) Business model
D) Management
E) Authority
QuestionID: 01-05
Objective: 1.1—Define what human resources management [HRM] is and analyze how it relates to the
management process and non-HR managers.
Answer: A) Strategy
6. Which of the following helps the company navigate its internal and external strengths, weaknesses, threats,
and opportunities to help the company achieve its desired goals?
A) Business model
B) Strategic Plan
C) Authority
D) Obligation
E) Responsibility
QuestionID: 01-06
Objective: 1.1—Define what human resources management [HRM] is and analyze how it relates to the
management process and non-HR managers.
Answer: B) Strategic Plan
7. Most students graduating in the next few years either will work for small businesses or will create new small
businesses of their own, usually without a designated HR department. This means that entrepreneurs,
employees, HR managers, and all managers in small, medium, and large businesses should be educated on
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, human resources management.
a True
b False
QuestionID: 01-07
Objective: 1.2—Explain how HRM has changed over time to include a higher-level advisory role.
Answer: a. True
8. Human resources management is important to all managers so they can avoid making common mistakes
which may include evaluating and compensating employees unfairly or illegally.
a True
b False
QuestionID: 01-08
Objective: 1.2—Explain how HRM has changed over time to include a higher-level advisory role.
Answer: a. True
9. HR responsibilities are shifting from operational to strategic responsibilities, and now focus more on
formulating and executing organizational strategy.
a True
b False
QuestionID: 01-09
Objective: 1.2—Explain how HRM has changed over time to include a higher-level advisory role.
Answer: a. True
10. The practice of contracting with outside vendors to handle specified functions on a permanent basis is
known as
A) payroll and benefits administration.
B) outsourcing.
C) labour-management relations.
D) contract administration.
E) hiring temporary employees.
QuestionID: 01-10
Objective: 1.2—Explain how HRM has changed over time to include a higher-level advisory role.
Answer: B) outsourcing.
11. Which of the following activities dominated the traditional role of personnel administration in the early
1900s?
A) Hiring and firing employees
B) Environmental scanning
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