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1.         A company's long-term plan for how it will balance its internal  strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage is known as:

              

A

business process re-engineering.

B

strategic planning.

C

job specification.

D

competitive outsourcing.

 

 

2 .        A major difference between line and staff management positions in an organization is that:         

               

A

line managers do not have subordinates.

B

staff managers report to line managers.

C

staff managers assist and advise line managers.

D

line managers assist and advise staff managers.

 

 3 .       Structural organizational change includes organizational redesign of  all of the following EXCEPT:

                

A

reporting relationships

B

span of control.

C

departmentalization and coordination.

D

organizational mission and values.

     

   

4 .        Psychologist Kurt Lewin's classic formula of "unfreezing, moving, and refreezing" is focused on which of the following aspects of  organizational change:

 

            

A

dealing with resistance to change

B

deciding which area of the organization should be changed first

C

determining who should be in charge of the organizational change process.

D

identifying which organizational areas can not be changed under any circumstances.

 

            .                  

5.         Six Sigma, TQM, Kaizen, and ISO 9000 are:

            

A

types of quality management programs.

B

various approaches to restructuring an organization

C

performance appraisal instruments used in global organizations

D

outdated approaches to employee training.

    

 

6 .        A procedure which determines the duties of various positions and the characteristics of the people who should be hired for those positions is:.     

   

A

job analysis.

B

job determination.

C

job specification.

D

job description.

 

             

7 .        A formula used to calculate the number of applicants that must be generated to hire the required number of new employees is:

                   

A

job specification.

B

the recruiting yield pyramid

C

360 degree recruiting

D

ISO 9000.

    

 8 .       Which of the following is most likely to be a major influence on human resource management in the United States over the next five years?

            

A

decreasing diversity if the workforce.

B

balancing the demands of workers' jobs and families.

C

fewer women in the workforce.

D

a large surplus of well-trained younger workers.

 

9 .        The fundamental job duties of an employment position, not including marginal functions of the position, are called:

 

A

reasonable accommodations

B

minimum wage requirements.

C

essential job functions.

D

job specifications

 

  

10 .      Which of the following is true with regard to the use of polygraph  ("lie-detector") testing in the hiring process?

            

A

all applicants should undergo polygraph testing to promote an honest workplace

B

current US laws severely restrict the use of polygraph testing in the hiring process.

C

polygraph testing is a paper-and-pencil test in which an individual answers written questions about current and past dishonest behavior.

D

polygraph testing may only be used if an applicant has a prior arrest record.

 

.              

11.       The primary purpose of new employee orientation is to:

 

A

provide new employees with the basic information they need to perform their jobs satisfactorily.

B

avoid lawsuits against the company.

C

comply with Equal Employment Opportunity requirements.

D

advance the organization's strategic mission and vision.

 

 

 

12.       Task analysis and performance analysis are useful tools to determine:

 

A

which employees should be hired from a given pool of applicants.

B

employee training needs.

C

performance appraisal ratings for individual employees.

D

the ratio between compensation and benefits.

 

 

 13.      With regard to evaluating employee training:

              

A

the most effective evaluation tool is an assessment of employee reaction to the training program, done at the conclusion of the training session.

B

calculating organizational return on investment (ROI) in training is a simple task that should be completed for all training activities.

C

there is a direct correlation between employees' enjoyment of the training experience and improved job performance.

D

the most effective way to evaluate training is to collect job performance data before and after the training, using two groups: employees who received training and those who did not.

 

              

14.       In performance appraisal, the problem that occurs when a supervisor's rating of a subordinate on one trait biases the rating of that person on other traits is:

 

                      

A

central tendency.

B

illegal discrimination

C

the halo effect

D

reverse discrimination

 

 

15        The process of collecting performance appraisal data on an employee from supervisors, subordinates, peers, and customers is called:.            

 

A

circular feedback

B

360 degree feedback.

C

rater multiplicity.

D

inter-rater reliability

 

              

16.       The primary U.S. law governing minimum wage, overtime, and child labor provisions is the:

 

A

Equal Pay Act.

B

Fair Labor Standards Act.

C

Davis-Bacon Act

D

Employee Retirement Income Security Act.

 

              

 

 

 

17 .      A salary inequity problem, generally caused by inflation, resulting in longer term employees in a position earning less than newly hired workers in that position is known as:

                       

A

salary compression.

B

job enrichment

C

expanded pay grade

D

job devaluation.

 

   

18.       A job that is used to anchor the employer's pay scale and around which other jobs are arranged in order of relative worth is a(n):                

         

A

entry level job.

B

benchmark job.

C

scalable wage job.

D

equity job

 

19.       In the process of establishing or reviewing pay grades, the simplest           method of job evaluation is the:

            

          

A

factor comparison method.

B

point method.

C

ranking method.

D

salary data method.

 

20.       The relationship between the value of a job and the average wage paid for that job is the:              

          

A

wage curve.

B

pay grade.

C

point curve.

D

wage rate.

 

 

21.       Which of the following was LEAST supportive of the union movement in the U.S.?

                         

A

The Norris-LaGuardia Act.

B

The National Labor Relations Act.

C

The Landrum-Griffin Act.

D

The Wagner Act.

 

 

 

 

 

 

22.       In order to petition for a union election in a workplace, what percentage of employees must sign authorization cards?

                       

A

10%

B

30%

C

50%

D

51%

 

 

23.       The process though which representatives of management and the union meet to negotiate a labor agreement is:

            

A

collective bargaining.

B

certification.

C

bargaining solicitation.

D

union organizing

 

 

24.       An unauthorized strike occurring during the term of the union contract is a(n):

            

A

economic strike.

B

wildcat strike.

C

yellow dog strike.

D

impasse.

 

25.       A court order compelling a party or parties either to resume or desist from a certain action is a(n):

            

A

lockout.

B

boycott.

C

injunction.

D

settlement.

 

26.       Under Occupational Safety and Health Administration regulations, all employers with_____ or more employees must maintain records of, and report, occupational injuries and occupational illnesses.

 

A

10

B

11

C

50

D

100

 

27.       When a workplace complaint indicates imminent danger to employees, OSHA will conduct an inspection within:

         

A

four hours.

B

24 hours.

C

three days

D

seven days.

 

 

  28.      Which of the following is TRUE with regard to OSHA?

                                 

A

Company management may not accompany an OSHA inspector during a workplace inspection.

B

 OSHA's website provides the public with details of a company's OSHA enforcement history.

C

If employees refuse to comply with OSHA safety standards, the                company is not liable for any penalties.

D

If an employee makes a complaint to OSHA, management has the right to know the employee's name.

 

 

   29.    The Drug-Free Workplace Act stipulates that, to be eligible for federal contracts or grants, employers must do all if the following  EXCEPT:

                       

A

publish a policy prohibiting the unlawful use of controlled substances in the workplace.

B

establish a drug-free awareness program that informs employees about the dangers of workplace drug abuse.

C

conduct monthly random drug testing of all employees

D

inform employees that they are required, as a condition of                employment, to report any criminal convictions for drug-related                activities in the workplace.

 

30        The law that specifically addresses employers' responsibilities to provide reasonable accommodations to workers with chronic illness is:.                    

          

A

the Occupational Safety and Health Act.

B

the Americans with Disabilities Act

C

the Civil Rights Act of 1964.

D

the Age Discrimination in Employment Act.

 

31.       A systematic comparison done to determine the worth of one job relative to another in the organization is:

 

A

job analysis

B

job evaluation.

C

a salary survey.

D

job classification.

 

32.       The simplest method of performing job evaluation is:                

                             

A

ranking.

B

factor comparison

C

the point method.

D

a histogram.

 

      

 

                        

                               

 33.      If organizational exit interviews indicate that employee turnover is due to dissatisfaction   with compensation, HR professionals would likely :                   

                                .

     

A

increase pay rates immediately.

B

conduct a salary survey

C

conduct management leadership training.

D

outsource the compensation and benefits function.

                         

         

                               

                                

 

    

34.       A collection of jobs grouped together by approximately equal difficulty levels is a:

 

         

A

pay grade.

B

pay for performance system.

C

compensation analysis factor.

D

responsibility level

 

                                                              

35.       A wage rate that is above the rate range for its grade is known as:

                              

                              

A

a "red circle" job.

B

a "green circle" job

C

inadequate compensation.

D

wage compression.

 

                               

 36.      Which of the following is an example of an executive compensation strategy that aims to increase the price of the company's stock:

 

A

an increase in base pay.

B

a company car.

C

stock options.

D

stock bonuses.

 

                               

37.       A major difference between skill-based pay and pay based on job evaluation is that ;

         

A

skill-based pay does not consider seniority

B

 there are fewer opportunities for  advancement with skill-based pay.

C

skill-based pay is based on the pay grade for the job.

D

skill-based pay tends to be lower than pay based on job evaluation.

 

 

38.       Broadbanding, as a compensation strategy, is valuable for all of the following reasons EXCEPT:                                 

                              .

   

A

it offers increased flexibility in compensation.

B

it supports the "boundaryless organization" concept.

C

it reduces compensation costs.         

D

it supports a flatter organizational hierarchy.

                           

                               

      39. An incentive pay plan for factory assembly workers would be most likely to use which of the following methods?

                             

A

Piecework.

B

Stock options.

C

Commission.

D

Perquisites.

 

                               

40.       Which of the following administrative positions would be considered an "exempt"

position under the FLSA?

               

           

A

entry-level bookkeeper

B

word processor

C

office manager

D

clerk.

                   

                               

41.       A variable pay plan in which a corporation annually contributes shares of stock which are then distributed to employees when they retire or leave the company is known as a(n):                                                     

                      

       

A

profit-sharing plan.

B

employee stock ownership plan.

C

individual stock option plan

D

flexible benefit plan.

                       

42.       All of the following are essential to the implementation of an effective incentive plan EXCEPT:                                        

                               

                 

A

 units of work output must be easily measured.

B

 employees must be able to exert control over the work output.

C

employees must determine the amount of the incentive per unit of work output.

D

employees must perceive a clear relationship between effort and reward.

             

                                       

 

                  

43.       A disadvantage of incentive plans such as profit-sharing, gain-sharing, and Scanlon plans is that:

                                                           

    

A

 the link between individual effort and organizational reward is not always clear.

B

such plans tend to minimize employee commitment to the organization.

C

the plans only benefit executive  management.

D

most employees are not eligible to participate until they are ready to retire.

                          

 

 

44.       A major compensation consideration for expatriate workers that is NOT generally a consideration for U.S. based employees is:

 

A

wage compression.

B

geographical pay differentials based on cost of living.

C

decreased compensation costs for international employees.

D

the use of incentive plans

 

      

45.       A "paid time off" policy that gives each employee a total figure for annual time off

including vacation, sick leave, and personal days to be used at the employee's discretion

will likely result in:                                                

 

A

sharply increased compensation costs

B

increased need for temporary and part-time employees.

C

increased costs to administer the policy.

D

decreased unscheduled absences.

                             

                                  .

46.      A benefit intended to augment unemployment insurance so that the employee may maintain his or her standard of living is called:

 

A

  a Scanlon plan.

B

supplemental unemployment benefits.

C

workers' compensation.

D

a cost of living allowance.

                               

                               

47.       The provisions of the Family and Medical Leave Act (FMLA) stipulate that:

                                    

A

workers in organizations of 250 or more employees are eligible for the leave.

B

employees may take up to four weeks leave  in a 12-month period.

C

the leave may be for employee illness, or the illness of an employee's spouse or child, but not an employee's parent.

D

the leave need not be paid by the employer.

 

 

 

48.       Methods of reducing workers' compensation costs would include all of the following EXCEPT:

 

A

eliminate accident-causing conditions in the workplace.

B

get employees back on the job as quickly as possible after an injury or illness.

C

discipline employees who file claims for workers' compensation.

D

conduct employee safety programs

                                                    

                               

    49.       With regard to employee health care benefits for workers over age 65:       

                            

A

employers do not have to provide benefits to workers over age 65 because such workers are eligible for Medicare.

B

employers must provide the same health care benefits to workers over 65 as they provides to younger workers.

C

 workers over age 65 are not eligible for employer health care benefits.

D

employers may include workers over age 65 in the company's health plan, but the older workers must pay the entire cost of the benefit.

 

                                

   50.    Employees who leave an organization are generally eligible to continue their employee health care, at their own expense, for a period of up to 18 months under the provisions of:                              

                                

A

COBRA.

B

ERISA.

C

FMLA.

D

FLSA.

                               

 

51.       As the workforce ages, more employees will  likely need of which of the following benefits?                                  

              

A

child care services.

B

long-term care benefits.

C

mental health benefits.

D

employer-sponsored cafeterias.

                

                               

52.       Employers generally favor defined contribution pension plans over defined

 benefit pension plans because:

                                               

A

they are easier to administer.

B

they offer retirees a guaranteed fixed sum at retirement.

C

the employees' retirement income benefits are predetermined by the employer.

D

defined benefit plans include costs for health insurance benefits.

 

 

 

 

  53.     An employee benefit that provides employees with counseling and/or treatment for problems such as stress or alcoholism is:

 

A

an employee wellness program.

B

an employee assistance program.

C

a Scanlon plan

D

a defined benefit program.

 

                                                      

54.       A perquisite that guarantees an executive's salary if the executive's position is eliminated in the event of a merger or acquisition is known as:                                 

                                  

A

golden parachute.

B

golden handcuffs.

C

a silver chain.

D

a platinum purse.

                        

 

55.       Flexible benefits plans are also known as:

             

A

employee assistance plans.

B

cafeteria plans.

C

defined benefits plans.

D

heath care spending accounts.

 

 

56.       With regard to employee leasing arrangements, all of the following apply                               EXCEPT:

                         

A

benefits costs are much higher with a leasing arrangement. 

B

the leasing firm is the legal employer of the leased workers.

C

the leasing firm handles employment related activities such as recruiting and hiring.

D

HR administrative costs are reduced in a leasing arrangement.

     

                             

57.       The most commonly used approach to  formulating an expatriate worker's pay is to equalize the employee's purchasing power across countries. This is known as:

                         

A

a cost-benefit analysis.

B

the balance sheet approach.

C

international profit and loss statements.

D

pay equity.