HRM 2 Test Questions and Answers Already Passed Latest Update 2025-2026
The goal of strategic management in an organization is to deploy and allocate resources in a
way that it provides the company with a competitive advantage. - Answers TRUE
To be maximally effective, the human resource management function of a company must be
isolated from the company's strategic management process. - Answers FALSE
Strategic planning groups decide on a strategic direction during the strategy implementation
phase. - Answers FALSE
In a two-way linkage, an organization is restricted from considering the human resource issues
while formulating their strategic plan. - Answers FALSE
External analysis attempts to identify an organization's strategic opportunities and threats. -
Answers TRUE
Strategic choice describes the way an organization attempts to fulfill its mission and achieve its
long-term goals. - Answers TRUE
Job design addresses what tasks should be grouped into a particular job. - Answers TRUE
Training refers to a planned effort to facilitate the learning of job-related knowledge, skills, and
behavior by employees. - Answers TRUE
Executives who have extensive knowledge of the behaviors that lead to effective performance
tend to focus on evaluating the objective performance results of their subordinate managers. -
Answers FALSE
Concentration strategies require that an organization bring radical change to the current skills
that exist in the organization. - Answers FALSE
Companies engaged in a cost strategy require employees to have reduced concern for quantity
and a short-term focus. - Answers FALSE
Employees in companies with a differentiation strategy need to have only a moderate concern
for quantity. - Answers TRUE
Strategies emphasizing market share or operating costs are called "external growth" strategies.
- Answers FALSE
Downsizing gives an organization the opportunity to change its culture. - Answers TRUE
A learning organization constantly monitors its environment, assimilates information, makes
decision, and flexibly restructures itself to compete in an ever-changing environment. - Answers
TRUE
, A(n) _____ typically charts how a firm will create value for customers and how it will do so
profitably. - Answers Business Model
Which of the following statements is true of variable costs incurred by firms? - Answers These
costs change directly with the units produced.
The _____ margin is calculated as the number of units sold times the contribution margin. -
Answers Gross
A _____ workforce describes the former workers to whom a firm still owes financial obligations.
- Answers Legacy
Jonathan retired from a large multinational automobile company last year. He receives health
care benefits as well as a pension from the company. At present, Jonathan falls under the
category of a _____. - Answers Legacy Workforce
_____ is a process that primarily addresses the competitive challenges an organization faces. -
Answers Strategic Management
When an organization develops integrated manufacturing systems such as advanced
manufacturing technology and just-in-time inventory control, it needs to assess the employee
skills required to run these systems and train them accordingly. These assessments and
training programs intended to enable an organization to achieve its goals fall under: - Answers
Strategic Human Resource Management
During _____, the strategic planning groups decide on a strategic direction by defining the
company's mission and goals, its external opportunities and threats, and its internal strengths
and weaknesses. - Answers Strategy Formulation
Saturn Inc. is a large manufacturer of footwear and accessories. It has always lagged behind its
closest competitor Hexagon Inc. It plans to overtake Hexagon by leveraging its strength in
women's footwear and entering markets in the Mid-West that it had traditionally ignored. Saturn
Inc. is in the _____ phase. - Answers Strategy Formulation
Which of the following statements is true of a strategic implementation stage of the strategic
management process? - Answers During this stage, an organization follows through on a
strategy chosen in the strategy formulation stage.
The strategic management decision-making process usually takes place at a firm's highest
levels, with a firm's strategic planning group, which includes: - Answers The Chief Executive
Officer & The President
Which of the following statements is true of the administrative linkage level between the human
resource management function and the strategic management function? - Answers In this level,
the Human Resource Management department is completely divorced from any component of
The goal of strategic management in an organization is to deploy and allocate resources in a
way that it provides the company with a competitive advantage. - Answers TRUE
To be maximally effective, the human resource management function of a company must be
isolated from the company's strategic management process. - Answers FALSE
Strategic planning groups decide on a strategic direction during the strategy implementation
phase. - Answers FALSE
In a two-way linkage, an organization is restricted from considering the human resource issues
while formulating their strategic plan. - Answers FALSE
External analysis attempts to identify an organization's strategic opportunities and threats. -
Answers TRUE
Strategic choice describes the way an organization attempts to fulfill its mission and achieve its
long-term goals. - Answers TRUE
Job design addresses what tasks should be grouped into a particular job. - Answers TRUE
Training refers to a planned effort to facilitate the learning of job-related knowledge, skills, and
behavior by employees. - Answers TRUE
Executives who have extensive knowledge of the behaviors that lead to effective performance
tend to focus on evaluating the objective performance results of their subordinate managers. -
Answers FALSE
Concentration strategies require that an organization bring radical change to the current skills
that exist in the organization. - Answers FALSE
Companies engaged in a cost strategy require employees to have reduced concern for quantity
and a short-term focus. - Answers FALSE
Employees in companies with a differentiation strategy need to have only a moderate concern
for quantity. - Answers TRUE
Strategies emphasizing market share or operating costs are called "external growth" strategies.
- Answers FALSE
Downsizing gives an organization the opportunity to change its culture. - Answers TRUE
A learning organization constantly monitors its environment, assimilates information, makes
decision, and flexibly restructures itself to compete in an ever-changing environment. - Answers
TRUE
, A(n) _____ typically charts how a firm will create value for customers and how it will do so
profitably. - Answers Business Model
Which of the following statements is true of variable costs incurred by firms? - Answers These
costs change directly with the units produced.
The _____ margin is calculated as the number of units sold times the contribution margin. -
Answers Gross
A _____ workforce describes the former workers to whom a firm still owes financial obligations.
- Answers Legacy
Jonathan retired from a large multinational automobile company last year. He receives health
care benefits as well as a pension from the company. At present, Jonathan falls under the
category of a _____. - Answers Legacy Workforce
_____ is a process that primarily addresses the competitive challenges an organization faces. -
Answers Strategic Management
When an organization develops integrated manufacturing systems such as advanced
manufacturing technology and just-in-time inventory control, it needs to assess the employee
skills required to run these systems and train them accordingly. These assessments and
training programs intended to enable an organization to achieve its goals fall under: - Answers
Strategic Human Resource Management
During _____, the strategic planning groups decide on a strategic direction by defining the
company's mission and goals, its external opportunities and threats, and its internal strengths
and weaknesses. - Answers Strategy Formulation
Saturn Inc. is a large manufacturer of footwear and accessories. It has always lagged behind its
closest competitor Hexagon Inc. It plans to overtake Hexagon by leveraging its strength in
women's footwear and entering markets in the Mid-West that it had traditionally ignored. Saturn
Inc. is in the _____ phase. - Answers Strategy Formulation
Which of the following statements is true of a strategic implementation stage of the strategic
management process? - Answers During this stage, an organization follows through on a
strategy chosen in the strategy formulation stage.
The strategic management decision-making process usually takes place at a firm's highest
levels, with a firm's strategic planning group, which includes: - Answers The Chief Executive
Officer & The President
Which of the following statements is true of the administrative linkage level between the human
resource management function and the strategic management function? - Answers In this level,
the Human Resource Management department is completely divorced from any component of
