Question 1

Using HR audit metrics to measure the effectiveness of one company's HR programs against other companies is called ______.

Accepted Answer

D

Question 2

Average employee contribution and employees variance in work outcomes are used for the determination of compensation levels.

Accepted Answer

Compensation levels are typically determined by factors such as market rates, job responsibilities, and company policies, rather than average employee contribution and variance in work outcomes.

Question 3

An HRIS can provide the primary infrastructure used to ______.

Accepted Answer

An HRIS can be used to deliver HR programs, ensure HR regulatory compliance, and produce metrics that evaluate HR programs. It provides a centralized platform for HR processes, data management, and analytics. Having an HRIS system can streamline HR operations and improve decision-making capabilities for HR professionals. Therefore, all of the options listed are valid uses for an HRIS system.

Question 4

The best approach to justify a new HRIS is to identify first what new software applications are included in the HRIS.

Accepted Answer

The best approach to justify a new HRIS is not simply to identify what new software applications are included, but to demonstrate how the implementation of the new HRIS will improve efficiency, reduce costs, and streamline HR processes. This involves conducting a needs assessment and cost-benefit analysis to determine the business case for the new HRIS.

Question 5

In terms of estimating costs and benefits for a new HRIS,the critical time period is ______.

Accepted Answer

The critical time period for estimating costs and benefits for a new Human Resource Information System (HRIS) is typically the first 5 years. This timeframe allows for the initial investment costs to be balanced against the operational savings and efficiency gains to accurately assess the system's value.

Question 6

A preliminary estimate of the CBA of an HRIS investment should

Accepted Answer

It is important to present the preliminary estimate of the CBA to senior management before beginning work on the project to ensure that the investment aligns with the organization's overall goals and to secure funding for the project. Waiting until actual implementation begins may result in unexpected costs and delays. The reputation of the HRIS vendor should also be considered, but it should not be the only factor in the CBA calculation.

Question 7

Packaging your CBA for decision makers should be done on a single page.

Accepted Answer

A Cost-Benefit Analysis (CBA) often requires detailed information, including assumptions, methodologies, and results, which usually cannot be adequately presented on a single page. Decision-makers need comprehensive data to make informed decisions, so a CBA is typically presented in a more detailed format, possibly supplemented by an executive summary.

Question 8

Indirect costs for implementing a new HRIS application in training would include lost productivity during conversion to new system.

Accepted Answer

Indirect costs for implementing a new HRIS application in training could include factors such as lost productivity during the conversion to the new system, as employees may need to undergo training and may not be able to perform their usual work tasks during this time. Other indirect costs could include the need for additional IT support, potential downtime during the transition period, and the cost of any necessary software licenses or hardware upgrades.

Question 9

Indirect benefits are difficult to quantify because

Accepted Answer

Indirect benefits are typically intangible and difficult to measure, which makes them less certain and challenging to quantify. It's often hard to determine their dollar value accurately, making it difficult to include them in ROI calculations.

Question 10

Which of the following guidelines should not be a guideline for a successful HRIS CBA?

Accepted Answer

The objective of a successful HRIS (Human Resource Information System) Cost-Benefit Analysis (CBA) should not be solely focused on improving the effectiveness of the HR department. Instead, it should aim at enhancing the overall organizational efficiency and effectiveness, including but not limited to the HR department. The other options (B, C, D) are indeed guidelines for a successful HRIS CBA, focusing on functionality over products, developing accurate estimates, and understanding the business context.

Question 11

Time saved by the implementation of an HRIS a direct cost reduction.

Accepted Answer

Time saved by implementing an HRIS (Human Resource Information System) is considered an indirect cost reduction because it primarily results in efficiency improvements and time savings rather than directly reducing expenses like materials or labor costs.

Question 12

HRIS functionality refers to

Accepted Answer

HRIS functionality refers to the number of HR programs and processes that are operational and supported within the HRIS system, enabling efficient management of HR tasks.

Question 13

Investment analyses for an HRIS are based the following information:

Accepted Answer

Investment analyses for an HRIS require an estimate of the cost and benefits, the time when the organization will incur these costs, and the sources of these costs and benefits. An estimate of the dollar value for each cost and benefit is also crucial to evaluating the investment. Thus, option D is the best choice. Options A and B are incomplete and do not provide enough information, while option C does not explicitly consider the timing of costs and benefits, which is an essential aspect of investment analysis.

Question 14

An HRIS CBA that includes an extensive analysis of costs matched with a single source of benefits (e.g.,an estimate of direct cost reductions)is a common problem in justifying the purchase of a new HRIS.

Accepted Answer

It is common for an HRIS CBA to focus on costs and benefits in order to justify the purchase of a new HRIS. However, it can be a challenge to accurately estimate the direct cost reductions that will result from implementing a new HRIS, as there are many factors that can impact these savings.

Question 15

Direct costs for implementing a new HRIS application in training would include reduced absenteeism.

Accepted Answer

Direct costs for implementing a new HRIS application in training would typically include the cost of the software, hardware, implementation, and training. Reduced absenteeism would be an indirect benefit or potential cost savings that may result from the implementation but cannot be classified as direct costs.

Question 16

The total cost of an HRIS implementation will be driven by number of employees in the organization.

Accepted Answer

The total cost of an HRIS (Human Resource Information System) implementation is influenced by several factors including the complexity of the system, the level of customization required, the vendor selected, and the scope of the implementation, in addition to the number of employees.

Question 17

To use an organizational enhancement approach for the justification of new HRIS,one must use ______.

Accepted Answer

To justify the implementation of a new HRIS using an organizational enhancement approach, a cost-benefit analysis is necessary. This approach evaluates the financial impact of the HRIS implementation on the organization, including the costs of implementation and expected savings or benefits. Thus, "a cost-benefit analysis" is the best choice. Benchmarking on HR audit metrics, employee information, and the savings from self-service employee portals could be helpful in the analysis, but they are not sufficient on their own. The savings from decreasing the number of HR employees needed to process the HRM could also be a factor, but it is not the major savings in an organizational enhancement approach.

Question 18

Basing the justification of a new HRIS system or upgrade on compliance with Equal Employment Opportunity (EEO)regulations is an example of ______.

Accepted Answer

The answer of Basing the justification of a new HRIS...

Question 19

A CBA is a comparison of the projected costs and benefits associated with an HRIS investment.

Accepted Answer

A CBA (Cost-Benefit Analysis) is a method used to compare the expected costs and benefits of an HRIS (Human Resource Information System) investment.

Question 20

Internal assessment for estimating indirect benefit magnitude provides the most precise estimates of the baseline costs and current performance of existing processes.

Accepted Answer

The internal assessment for estimating indirect benefit magnitude utilizes data from existing processes and provides a more accurate understanding of the baseline costs and current performance. This enables a more precise estimation of the indirect benefits that could be achieved through process improvements.

Quiz 7: Cost Justifying HRIS Investments