Deck 1: Strategic Human Resource Management

Question 1

Increasingly, successful organisations are recognising that:

A) human resource functions should be delegated to line managers.
B) human capital is their most important resource.
C) technology has overtaken human resources as their profit generator.
D) meeting employees' needs should be their main priority.

Answer 1

human capital is their most important resource.

Question 2

There is strong evidence that high-performance HRM policies and practices:

A) generate superior all-round organisational performance.
B) alienate shareholders, managers and employees.
C) place unsustainable financial pressure on organisations.
D) make organisations more internationally successful.

Answer 2

generate superior all-round organisational performance.

Question 3

This approach emphasises employee development, collaboration, participation, trust, and informed choice:

A) instrumental.
B) humanistic.
C) strategic.
D) adaptive.

Answer 3

humanistic.

Question 4

The instrumental approach to HRM:

A) has been largely replaced by the preferred humanistic approach to HRM.
B) has proved too costly and time consuming for organisations to implement.
C) stresses the rational, strategic and quantitative aspects of managing employees.
D) places emphasis on getting employees committed, trained and motivated.

Question 5

When it comes to the adoption of sophisticated HRM policies and practices, research suggests that Australian firms:

A) are leading the world.
B) lag behind overseas firms.
C) imitate overseas practices.
D) are hindered by government legislation.

Question 6

Which of the following HRM activities is concerned with seeking and attracting a pool of job applicants?

A) HR planning
B) Selection
C) Recruitment
D) Career planning and development

Question 7

Which HRM activity is considered a basic starting point for many other HRM activities?

A) HR planning
B) Performance management
C) Job analysis
D) Career planning and development

Question 8

The purpose of an organisation's strategy is to:

A) communicate the CEO's long-term plans to the organisation members.
B) provide shareholders with an understanding of how their investment is being used.
C) maintain a competitive advantage by capitalising on strengths and minimising the weaknesses of an organisation.
D) anticipate and react to the future actions of the organisation's competitors.

Question 9

Johnson & Johnson and 3M, for example, frequently change their business strategies and practices in response to changes in the business environment, but maintain stable:

A) codes of ethics.
B) mission statements.
C) goals and objectives.
D) core values.

Question 10

The process whereby managers establish an organisation's long-term direction, set specific performance objectives, develop strategies to achieve these objectives in the light of all the relevant internal and external circumstances, and undertake to execute the chosen action plans is known as:

A) performance management.
B) strategic management.
C) operations management.
D) service management.

Question 11

The design of an organisation's structure and control systems and evaluation of the selected strategy in achieving the key objectives is known as:

A) strategic management.
B) strategic intent.
C) strategic selection.
D) strategic implementation.

Question 12

An organisation's mission statement identifies:

A) why an organisation exists and what its focus is.
B) the strengths and weaknesses of that organisation.
C) what the organisation plans to achieve.
D) how its strategic plan will be implemented.

Question 13

The aim of conducting a SWOT analysis is to:

A) determine if the organisation is pursuing an appropriate set of objectives.
B) select the strategy that gives the best alignment or fit between the external and internal environments.
C) determine if established human resource policies and practices are in need of revision.
D) aid the managing directors in determining a course of action that most closely fits the articulated mission statement.

Question 14

The ability of management to help the organisation respond to changing circumstances through the development of its objectives and policies requires them to be:

A) proactive.
B) reactive.
C) selective.
D) adaptive.

Question 15

A strategy which involves an acquisition, merger or joint venture is also known as a(n):

A) diversification strategy.
B) competitive takeover.
C) growth strategy.
D) aggressive strategy.

Question 16

The strategy that seeks to improve performance by cost cutting, downsizing or re-engineering, and selling or shutting down business operations is known as:

A) retrenchment strategy.
B) stability strategy.
C) consolidation strategy.
D) financial strategy.

Question 17

HRM strategy aims to enable the organisation to achieve its objectives by:

A) conducting regular evaluations of the staffing levels and turnover in the organisation.
B) achieving a close match between corporate business objectives and the objectives of the human resource function.
C) maintaining the lowest cost workforce relative to the organisation's competitors.
D) decentralising most of the HR functions, including staffing levels to line managers.

Question 18

HRM strategic planning:

A) clarifies for the people in an organisation how HRM intends to contribute, what methods it will use, and what performance standards it is aiming for.
B) is concerned with ensuring that the people requirements of the organisation can be met from annual budgets.
C) establishes clear guidelines for the implementation of government legislation impacting on employees.
D) is the process used by an organisation to monitor employment patterns in close competitors.

Question 19

HRM objectives and activities should be:

A) easily understood and readily achievable in a short time-frame.
B) designed to reflect the views of both managers and employees.
C) measurable and have a predetermined timeframe.
D) designed to take into account the actions of competitors.

Question 20

One purpose of an HR policy is to:

A) provide detailed guidelines for conducting a regular SWOT analysis.
B) ensure that the HR department is consulted on all critical HR matters.
C) ensure that all levels of management are involved in the HR decision-making process.
D) give managers the confidence to make quick and consistent decisions.

Question 21

By focussing on occupational health and safety and opportunities for minorities, HRM is linking its strategies to the organisational objectives of:

A) cost containment.
B) social responsibility.
C) organisational effectiveness.
D) customer service.

Question 22

The specific steps to be followed when granting employees a pay increase would be an example of an organisational HRM:

A) agreement.
B) policy.
C) procedure.
D) strategy.

Question 23

Values, norms, language and ideologies all affect employee views on the role of HRM and are an example of which external influence?

A) Social
B) Demographic
C) Cultural
D) Political

Question 24

An HR manager considering the nature of the internal environment would analyse:

A) technology, job design, competition.
B) structure, culture and strategy.
C) organisation mission, technology, competition.
D) culture, demographics, political values.

Question 25

An organisation's culture:

A) is largely determined by the external forces in the environment and legislation.
B) is determined by management and maintained by a rigidly enforced list of rules and regulations.
C) is a system of values, beliefs and symbols that defines the way an organisation conducts its business.
D) changes regularly in line with changes in the strategic direction of the organisation

Question 26

In assessing job applicants, companies like P&G, Microsoft and IBM focus on:

A) ensuring the right mix of male and female employees in all appointments.
B) using external recruiting consultants to validate their preferred choices.
C) job-related skills more than how employees might fit the culture.
D) how employees might fit the culture more than job-related skills.

Question 27

Employees who lack the drive and engagement to work independently suffer from low levels of which type of motivation?

A) External
B) Extrinsic
C) Internal
D) Intrinsic

Question 28

The measurement of the emotional and intellectual connection employees have with the organisation and their job is known as:

A) employee commitment.
B) organisational commitment.
C) employee engagement.
D) organisational engagement.

Question 29

HR managers need to prove their worth by demonstrating the connection between what they do, employee wellbeing, and:

A) the external environment.
B) organisational performance.
C) strategic HRM.
D) the organisation's strategic business objectives.

Question 30

The human resources role in organisations is most accepted when:

A) the human resources manager is part of top management.
B) some of the key HRM functions have been outsourced.
C) there is high commitment and low turnover among employees.
D) it contributes to the bottom line performance of the organisation.

Question 31

When HRM is focussed on employee recreation and employee maintenance:

A) it is fulfilling the important roles for which it was created.
B) it will be primarily concerned with seeing that employment legislation is implemented.
C) it will ensure that employees are highly motivated and fairly rewarded.
D) it is regarded as a cost and largely irrelevant to the success of the business.

Question 32

Which of the following is NOT a critical factor in HR professionals successfully fulfilling the role of a strategic partner?

A) Demonstrating how HRM improves business performance and reduces costs
B) The ability to translate business strategy into action
C) Putting the needs and demands of management above those of the employees
D) Being part of the top management team in the organisation

Question 33

The dual role for an HR manager of being an employee champion and a strategic partner can create tensions because:

A) there will be competition for the resources necessary to fulfil both roles.
B) these roles may not be recognised by the senior managers in the organisation.
C) strategic decisions by the company may have undesirable impacts on employees.
D) the manager may not be not skilled in fulfilling both roles effectively.

Question 34

Gloet argues that one way for HRM to reinvent itself and become more important in organisations is to:

A) form strategic alliances with HR sections in other organisations.
B) appoint successful HR experts from overseas to manage HR operations.
C) develop and maintain learning environments where knowledge is shared.
D) only focus on several key HR areas and outsource the rest of the functions.

Question 35

An Australian company decides to award scholarships to the children of its largest customer in China. For HRM, this is an example of:

A) a potential ethical conflict.
B) benevolent HR policies.
C) differing cultural practices.
D) rewarding successful employees.

Question 36

Stakeholder management:

A) rarely involves tradeoffs and difficult choices.
B) does not always mean that a gain to one shareholder involves a loss to another.
C) results in giving priority to shareholders.
D) all of the options listed.

Question 37

A volunteer mindset will be achieved in organisations when:

A) employees are willing to serve on company committees without coercion.
B) employees are externally motivated by management to perform.
C) employees are internally motivated by management to perform.
D) employees no longer need to be represented by a trade union.

Question 38

A stability strategy is often pursued when:

A) there has been a shake-up in the top level management positions.
B) rumours persist about an imminent corporate takeover.
C) the HR function is about to be restructured and decentralised.
D) the organisation is performing well in a low-risk environment.

Question 39

According to Stone's diagnostic approach to human resource management, two HRM outcomes are:

A) acquisition and departure of human resources.
B) employee commitment and performance.
C) organisation structure and organisation culture.
D) job analysis and employee recruitment.

Question 40

Stone's diagnostic approach to HRM suggests that:

A) the external and internal environments need to be examined before any course of action is taken.
B) external HRM experts should be regularly employed to assess in determining whether the organisation is achieving its goals.
C) HRM is much more effective when the major functions are delegated to line managers.
D) HR managers must react immediately once change occurs in the environment of the organisation.

Question 41

Organisations that adopt HRM strategies and practices consistent with the demands of their internal and external environments should:

A) attract a group of employees who are satisfied with their jobs and committed to the organisation.
B) be aware of the intended moves of the competition before they take place.
C) outperform organisations that have less well-matched strategies and practices.
D) experience less internal conflict and indecision when solving major HR problems.

Question 42

Stone argues that HRM activities contribute to the development of an organisation's culture and provide it with a competitive edge by:

A) selecting only applicants with specialist skills to fill vacant positions.
B) restricting the organisation's strategic objectives to those that can be readily achieved with the existing human resources.
C) designing highly specialised jobs which allow employees to perform a narrow range of tasks more efficiently.
D) stimulating and reinforcing behaviours needed to achieve the organisation's strategic objectives.

Question 43

Organisations which are characterised by flexibility, adaptability, informality, entrepreneurial behaviour, and less specialised roles are described as having:

A) narrow spans of control.
B) laissez-faire management.
C) bureaucratic/autocratic managers.
D) wide spans of control.

Question 44

The extent to which HRM policies promote the achievement of employee goals and, at the same time, satisfy the organisation's strategic business objectives, is known as:

A) voluntary agreement.
B) congruence.
C) strategic fit.
D) strategic management.

Question 45

The extent to which HR policies foster employee and organisational readiness for change is known as:

A) commitment.
B) congruence.
C) compatibility.
D) adaptability.

Question 46

If HR policies enhance employee identification with, and attachment to their job, this is known as:

A) congruence.
B) commitment.
C) cost-effectiveness.
D) competence.

Question 47

One of the major perceptions of unfairness in employment is distributive justice, which refers to:

A) how managers interact with their employees.
B) how the HR process is administered.
C) whether equal employment legislation is being fairly administered.
D) whether scarce resources are perceived as being allocated fairly.

Question 48

If employees perceive that they are being treated in a cold and aloof manner by their managers, this is an example of inadequate:

A) natural justice.
B) interactional justice.
C) procedural justice.
D) distributive justice.

Question 49

An assessment of whether the company's selection process is fair or biased, refers to what kind of justice?

A) Natural justice
B) Interactional justice
C) Procedural justice
D) Distributive justice

Question 50

The extent to which HRM strategies and policies stimulate employees to achieve a designed goal, is known as:

A) motivation.
B) job satisfaction.
C) congruence.
D) commitment.

Question 51

Account for the growth of the human resource function in organisations.

Question 52

Critically discuss the importance of achieving congruence between an organisation's strategy, structure and HRM practices.

Question 53

Today's business environment is characterised by rapid and continual change. Critically discuss how an understanding of the various HRM functions (i.e. recruitment, selection, training, appraisal, etc.) can assist an organisation to achieve its objectives in such an environment.

Question 54

How can HRM strategies assist an organisation to achieve its objectives?

Question 55

What challenges face HR managers and specialists in today's rapidly changing work environment?

Question 56

Identify and discuss the outcomes that should be considered when evaluating HRM performance.