Question 1

A geocentric staffing strategy assumes that management candidates must be searched for domestically.

Accepted Answer

The answer is incorrect. A staffing strategy that emphasizes home country managers is an ethnocentric strategy

Question 2

The high level of interdependency between activities in a global value chain means that HRM within a global factory should always prioritize consistency.

Accepted Answer

Correct. In some cases, such as the use of expatriates, some consistency is desirable. But when value adding activities are separable, or are undertaken by independent parties, the emphasis may be on adaptation to local conditions at the cost of some consistency.

Question 3

Key to successful management of HR processes within a global factory is the ability to travel abroad.

Accepted Answer

Correct. More plausible is the ability to identify key skills and competencies required for working overseas

Question 4

A _______ is a cross-functional group that focuses on a problem or issue but members also retain their formal positions.&#10;A) self-managed team&#10;B) project team&#10;C) crisis response team&#10;D) permanent team

Accepted Answer

The correct response is b, as a project team draws upon particular sources of expertise, but the project is usually for a fixed period, after which staff return to their normal duties.

Question 5

For an international business that adds subsidiaries managed by locals, a polycentric staffing approach is appropriate.

Accepted Answer

The statement is true because it describes what a polycentric strategy is and when it is appropriate

Question 6

Often the reason why expatriate assignments fail is because of _______&#10;A) homesickness.&#10;B) jet lag.&#10;C) cultural dissimilarities.&#10;D) inadequate housing.

Accepted Answer

The most likely reason for failure is an inability to adjust to cultural differences between the home and host locations.

Question 7

The inpatriation model is based on the idea of developing successful overseas managers by exposing them to headquarters practices.

Accepted Answer

True. Inpatriation is increasingly part of a geocentric staffing strategy that ensures that overseas based managers have opportunities to interact with the company's HQ and most senior staff

Question 8

Trade unions have experienced difficulties gathering critical information on the operations of MNEs when mounting bargaining campaigns.

Accepted Answer

This has been the experience of trade unions, and they have complained about the level of aggregation of information provided, the selective nature of information released, its timing, and the reliability of such information.

Question 9

A home based or balance sheet approach to expatriate compensation seeks to neutralize cost differences between home and host locations.

Accepted Answer

The statement is true as this approach implements incentives to ensure the expatriate is no worse off.

Question 10

The idea of strategic IHRM is based on the idea that the competitive advantage of the organization can utilise _______&#10;A) social, cultural and human capital.&#10;B) financial and venture capital.&#10;C) equity capital.&#10;D) natural capital.

Accepted Answer

The correct response is a), since competitive advantage results primarily from social, cultural, or human capital. Capturing the benefits of diversity is key to such advantages, which are likely to be more sustainable than those based on financial capital.

Question 11

Within an international business, cultural differences will have no impact on a successful payment system.

Accepted Answer

The answer of Within an international business, cultural differences will...

Question 12

Human resource management within a global factory is complicated by the need to adapt HR policies and procedures to account for differences among the locations in which activities are located.

Accepted Answer

The answer of Human resource management within a global factory...

Question 13

Historically, relational and cross-cultural communication abilities of expatriates have been undervalued by MNEs.

Accepted Answer

The answer of Historically, relational and cross-cultural communication abilities of...

Question 14

Companies that operate internationally find that transplanting an existing performance appraisal system from head office is very effective.

Accepted Answer

The answer of Companies that operate internationally find that transplanting...

Question 15

Hourly compensation costs are more advantageous for companies selecting Switzerland as investment location instead of Sweden

Accepted Answer

The answer of Hourly compensation costs are more advantageous for...

Deck 15: Human Resources Management Strategies