Deck 9: Human Resource Management

Question 1

What is the result of hiring inexperienced,low-wage employees?

A)Sales increase
B)Better customer loyalty
C)More extensive employee feedback
D)Higher labor expenses
E)High turnover

Answer 1

E
Explanation: Younger employees readily switch jobs if their expectations aren't met,making employee turnover high.

Question 2

______________ is expressed as a retailer's sales or profits divided by the number of employees.

A)human resource management
B)employee turnover
C)employee productivity
D)operations management
E)organizational management

Answer 2

C
Explanation: Employee productivity can improve by increasing sales and/or reducing the number of employees.

Question 3

Centralized organizational structures overall are more cost-efficient than decentralized organizational structures.

Answer 3

True
Explanation: Centralized organizations are considered to be more cost-efficient because they have fewer people with more expertise making decisions that are then filtered down to the rest of the organization.

Question 4

Buyers are responsible for procuring merchandise and building and maintaining relationships with vendors.

Question 5

The primary strategic objective of human resource management is to ______

A)align the capabilities and behaviors of employees with the goals of the retail firm.
B)decrease turnover.
C)introduce new services in order to obtain customer loyalty.
D)make sure the retailer abides by all state and federal laws.
E)supervise operations in all departments throughout the store.

Question 6

The merchandise management task of a retail firm includes buying merchandise,controlling inventory and pricing merchandise.

Question 7

Extreme specialization lowers overall labor costs.

Question 8

When a retailer responds to an economic downturn by putting a freeze on salaries,laying off sales associates,and hiring more part-time associates,the employees tend to respond with:

A)poor customer service
B)lower job turnover
C)higher levels of job satisfaction
D)increased motivation and effort
E)self imposed training

Question 9

One of the advantages of centralization is that the organizational structure can more easily adapt to local market conditions.

Question 10

The design of organizational structure needs to match the firm's strategy.Which of the following shows mismatch?

A)Costco with a competitive advantage of low cost tries to minimize the number of employees by assigning decisions to a few people at corporate headquarters
B)Walmart targeting price-sensitive customers centralizes organization structures
C)Retailers targeting high-fashion clothing customers have more managers
D)Best Buy built a competitive advantage based on low cost by allowing decision-making at the local store level
E)High-fashion clothing retailers tailor their merchandise and service to meet the needs of local markets

Question 11

Employee productivity is retail sales or profit multiplied by the number of employees.

Question 12

Rebecca works at a regional department store.Due to her artistic skills,she is responsible for creating floor and window displays.This is all she does at the store.This is an example of:

A)Decentralization
B)Centralization
C)Narrow span of tasks
D)Specialization
E)Unity of tasks

Question 13

What would the employee turnover be if the store had ten positions for management trainees and four left during the year?

A)60%
B)40%
C)140%
D)160%
E)There is not enough data to determine a correct percentage

Question 14

What identifies the activities to be performed by specific employees and determines the lines of authority and responsibility in the firm?

A)Organization culture
B)Reporting relationship
C)Organization structure
D)Position map
E)Authority chart

Question 15

Howard thought his expense control problems were resolved when he decided he would hire sales clerks from the local high school,and pay them minimum wage at his profession golf shop.Which of the following statements is most likely to be TRUE of Howard's decision?

A)He will probably have higher turnover,absenteeism and poor labor productivity.
B)Young energetic enthusiasm will help Howard's sales.
C)No one works for minimum wage.
D)Since high school students are inexperienced,it is justified to pay minimum wage.
E)It is a good move because of the decreasing workforce.

Question 16

An organizational culture is the set of values,traditions and customers in a firm that guides employee behavior.

Question 17

A protected class is a group of individuals who receive extra discounts on certain products.

Question 18

An entry barrier is a concealed hindrance that makes it difficult for minorities and women to be promoted beyond a certain level.

Question 19

Flextime is a job scheduling system that enables employees to choose the times they work.

Question 20

Which of the following does NOT describe the organization of a single-store retailer?

A)Each employee must perform a specific task
B)The owner-manager is responsible for all management tasks
C)Because the number of employees is limited,single-store retailers have little specialization
D)Coordinating and controlling employee activities is easier than in a large chain of stores

Question 21

Centralization results in _________.

A)increased overhead
B)a duplication of functions as many managers perform the same tasks individually
C)a lack of coordinated effort
D)an emphasis on efficiency
E)quicker reaction to local market needs

Question 22

What is the major DISADVANTAGE of centralization?

A)increased overhead expenses
B)different merchandise in each store
C)the need to have standardized operating policies
D)the inability to use national advertising media
E)the inability to quickly respond to changes in local environments

Question 23

Customer needs and preferences for consumer electronics are very similar across the U.S.What organization form would you suggest for a national consumer electronics retailer?

A)Mazur structure
B)Centralization
C)Decentralization
D)Organic
E)Hierarchical

Question 24

Which of the following operations can provide an opportunity to have the best people make decisions for an entire corporation?

A)CES - Central Efficiency Standards
B)Management information systems
C)Centralization
D)Decentralization
E)Central systems operations

Question 25

Which of the following could be a problem for a retail chain with a decentralized organizational structure?

A)high employee turnover at the local store level due to lack of sense of empowerment
B)the inability to respond quickly to a local competitor who is trying to gain a price advantage
C)missed sales because the merchandise mix does not appeal to the local tastes
D)inconsistency in assortments and prices from one store to another within the same company

Question 26

__________ is the degree to which the authority for making retailing decisions is delegated to corporate managers rather than to geographically dispersed regional and store managers.

A)Decentralization
B)Specialization
C)Centralization
D)Formalization
E)The span of control

Question 27

Which of the following statements about centralization is TRUE?

A)Centralization typically increases costs.
B)Retailer stores are required to hire more managers with centralization.
C)Centralization allows management to better tailor its offering to the needs of the local market.
D)Centralization provides the opportunity to have the best people with the greatest expertise make decisions for the entire corporation.

Question 28

By coordinating buying across geographically dispersed stores,centralized companies can:

A)decrease efficiency
B)foster relationships with national vendors
C)achieve lower prices from suppliers
D)develop progressive operating policies
E)dominate the competition of decentralized companies

Question 29

Which of the following activities is NOT typically performed in the merchandise division?

A)the control of inventory levels
B)the hiring and firing of sales associates
C)the determination of what merchandise will be procured from vendors
D)the planning of assortment and stock levels
E)the pricing of merchandise

Question 30

What does centralization mean for retailers?

A)All buying decisions are made regionally to best satisfy the customer.
B)The authority for decisions is delegated to corporate managers.
C)The location of corporate headquarters is located in the central part of the country.
D)The authority for decisions is made at the nearest central office.
E)Cash wraps are to be located centrally throughout the store.

Question 31

Candace works for a national department store chain.She tailors the assortment,and allocates women's shoes to specific stores.She learned,in recent years,to follow weather patterns and watch for the popularity of boots within the different regions.What position does Candace have in the organizational structure?

A)She is a sales associate.
B)She is a merchandise manager.
C)She is a department manager.
D)She is an operations manager.
E)She is a planner.

Question 32

Merchandising,planning,marketing and finance are positions for a national chain that are housed:

A)predominantly at the corporate headquarters
B)at the store level
C)at the back-of-the-house
D)at the regional distribution centers
E)at decentralized locations

Question 33

When decision-making is centralized in corporate management,retailers:

A)have reduced costs
B)have better committed employees
C)hire fewer sales associates
D)better meet the needs of customers in specific stores
E)involve department managers in the buying process

Question 34

Craig works for a retailer planning what merchandise will be in the assortments,setting prices,negotiating with vendors and planning advertising and marketing for intimate apparel.He attends fashion trade shows and travels to market in New York City nearly every month.What position in the organizational structure of a retailing firm does Craig have?

A)Merchandise planner
B)Divisional merchandise manager
C)Store manager
D)Buyer
E)Department manager

Question 35

A retailing chain in which local store managers make most of the retailing decisions instead of the corporate headquarters can be described as:

A)Formalized
B)Integrated
C)Generalized
D)Centralized
E)Decentralized

Question 36

Customer needs and preferences for grocery products differ considerably across the U.S.What would you suggest a national supermarket chain do to compete with decentralized grocers?

A)utilize information systems
B)use the Mazur structure
C)become decentralized
D)incorporate organic and natural foods
E)consider hierarchical stores for grocery planning

Question 37

A(n)________ is responsible for allocating merchandise to stores by geographic area.

A)planner
B)buyer
C)merchandise manager
D)category manager
E)administrative manager

Question 38

Which of the following could a centralized retailer carry out in order to combat the disadvantages associated with centralization?

A)They could allocate some of the decisions back to the stores.
B)They could hold more local for local meetings.
C)They could operate a one-way connection via satellite from buyers to stores.
D)They could offer better customer service creating customer loyalty.
E)They could rely more on their information systems to react to local market conditions.

Question 39

Which of the following is an advantage of decentralization?

A)Overhead costs
B)Lower prices from suppliers
C)Opportunity to have the most talented people with the best expertise make decisions for the company
D)Increased efficiency with standard operating policies for stores and merchandising
E)Ability to react quickly to specific local market shifts

Question 40

Extreme specialization increases:

A)Labor costs
B)Sales and profits
C)Customer loyalty
D)Job satisfaction
E)Customer satisfaction

Question 41

Which of the following is a drawback of incentives?

A)Most employees dislike incentives.
B)They cause employees to ignore customers.
C)They may cause employees to ignore other work tasks and obligations.
D)Incentives work when standard pay is low.
E)Most employees don't participate as they believe incentives are mere tokens from the management,and not really an appreciation of their performance.

Question 42

Organization cultures are developed and maintained through _________.

A)employee specialization
B)stories and symbols
C)extensive advertising campaigns
D)centralized organization structure
E)interaction with customers

Question 43

The most fundamental method of coordinating the work activities of retail employees is:

A)by not having close supervision to smother employee activities
B)by paying them
C)weak organization culture
D)through written policies that list specific expectations and ways that they are enforced
E)trade promotions

Question 44

Which of the following is additional compensation that is periodically awarded to employees on the basis of their performance?

A)bonus
B)commission
C)gratuity
D)benefit
E)prerequisite

Question 45

Large retail chains can coordinate their buying and selling activities by:

A)reducing turnover in sales associates
B)eliminating the information systems
C)assigning employees to coordinating roles
D)decentralizing the buying decisions
E)increasing loss prevention efforts

Question 46

What happens when retailers rely completely on written policies to obtain the coordination of employees?

A)compensation becomes an issue
B)managers must follow policies and set examples
C)communicating to employees about what they should do occurs more often
D)employee initiative and motivation decreases
E)it becomes easier to develop and maintain a corporate culture

Question 47

Lexus works in the handbags department of Nordstrom.She takes 3% on all purchases.She has become one of the top salespeople in her store,and brings home a hefty paycheck.This 3% is best referred to as her:

A)benefit
B)commission
C)gratuity
D)prerequisite
E)bonus

Question 48

Which of the following HR activities can build a competitive advantage for retailers?

A)compensation and work-life balance program
B)selective hiring and training
C)policies and compensation
D)compensation and incentives
E)incentives and benefit programs

Question 49

Val is concerned that the commissioned salespeople in her fur shop are not keeping the store clean and merchandise properly displayed.What should she do?

A)Increase the sales commissions for her salespeople.
B)Change the incentives from commissions to bonuses.
C)Stock less merchandise.
D)Fire the salespeople and hire new ones.
E)Change the compensation to strictly an hourly wage.

Question 50

Which of the following does NOT describe employment branding?

A)It is a marketing program that attracts the "best and brightest" potential employees.
B)The marketing department is in charge of developing a marketing program targeted toward employees.
C)It involves undertaking marketing research to understand what potential employees are seeking.
D)It involves developing a value proposition and an employment brand image.
E)It communicates the brand image to potential employees.

Question 51

As the manager of the home department at a large retail store,Madison looks forward to a periodic ___________,which she receives on the basis of her department's performance relative to its budgeted sales and profits.

A)bonus
B)commission
C)gratuity
D)fringe benefit
E)perquisite

Question 52

Tony's company puts a huge emphasis on taking care of the associates.The store manager knows all employees by name and takes the time to talk with them about their lives.The human resources policies allow for liberal time off.Department supervisors support all breaks and work to vary schedules to fit the associates' needs.This focus on keeping the associates happy and supported can be considered part of the ______________.

A)corporate procedure
B)corporate structure
C)organizational culture
D)decentralization
E)human resource planning

Question 53

Which of the following is an example of an incentive that retailers use?

A)sick days
B)salaries
C)bonuses
D)childcare
E)vacation time

Question 54

The Home Depot employees are supporters of Habitat for Humanity.Many associates go to the building sites on weekends;they voluntarily share their knowledge,expertise and muscle.Volunteering is not a requirement for store associates,yet many participate in the exercise.The spirit of volunteering is an example of The Home Depot's:

A)organizational development
B)organizational culture
C)corporate procedures
D)empowerment
E)procedural justice

Question 55

The day begins in each Walmart store with the manager leading the famous Walmart cheer.The cheer is a fun and energetic way to remind employees that the customer is always number one.For years,it has been the one way that the company has shared its enthusiasm and can be considered part of the __________.

A)organization structure
B)incentive compensation
C)organization culture
D)empowerment
E)sales promotion

Question 56

Kiran took a position as an assistant buyer in a regional department store.Delighted with the new life she has outside of college,she was thrilled to see the work environment filled with many young,progressive free-thinkers working together for a common goal.The overall working environment of youth,fast-paced and forward-moving lifestyle of this merchandising department can be considered part of the:

A)organizational development
B)organizational culture
C)corporate procedures
D)empowerment
E)procedural justice

Question 57

Digger's shoe department was a successful part of the store.Always busy,Digger encourages his commission based salespeople to satisfy the customers' needs and sell,sell,sell.As a result,the stockroom was a horrible mess by the end of the day.What should Digger do to get the commissioned employees to help with this mess?

A)increase their salary
B)increase their commission percentage
C)change employees from commission to hourly
D)change employees from commission to salary
E)combine a salary with a commission

Question 58

Build-A-Bear Workshops is a unique specialty store that teaches its customers how to build a cuddly stuffed animal by moving through a series of stations located in the store.Each "bear" is unique.The core of the business is light-hearted and kid-oriented.Even the CEO calls herself Chief Executive Bear.The focus on fun,creativity and humor can be considered a part of the ____________.

A)corporate procedures
B)corporate structure
C)organizational culture
D)decentralization
E)human resource planning

Question 59

Mason is concerned that the salespeople in his men's clothing store are not spending enough time selling merchandise to customers.What should he do?

A)Increase the sales commissions for his salespeople.
B)Stock less merchandise.
C)Change the incentives from commissions to straight salary.
D)Fire the salespeople and hire new ones.
E)Guarantee a minimum compensation.

Question 60

On payday,Jun received his weekly salary plus 2% of each sale he made during the pay period.This is an example of a:

A)benefit
B)401K
C)gratuity
D)prerequisite
E)commission

Question 61

A retailer can work to retain employees and build a mutual commitment best by:

A)empowering employees
B)reducing its fixed costs
C)treating employees all the same
D)promoting the company
E)improving supervision by retraining supervisors

Question 62

What is empowerment?

A)Empowerment is what allows district management to focus on a few stores.
B)Empowerment is when employees abuse their positions as associates.
C)It is the authority of the upper management.
D)Empowerment is when managers share the power and decision-making authority with employees.
E)It is a type of management that focuses on hiring powerful people.

Question 63

Mimi is a single parent working at a local hairdresser.Her children start school early and get out early from school,making the typical workday a difficult task for her.To assist,the owner offered her to begin her day at 7:30 am and leave at 4:00 making it easier for Mimi to work her job,as well as maintain a household.Mimi's new schedule is an example of:

A)time sharing
B)task empowerment
C)balanced tasking
D)job sharing
E)flextime

Question 64

When the CEO of The Home Depot visits stores,he wears an orange apron like all store associates.As he pushes carts from the parking lot,he chats with the high school students typically assigned to the task.By doing this,he is able to learn about the store and make the young associates feel important.This is The Home Depot's way of:

A)creating store evaluations
B)empowering young associates
C)encouraging young associates to consider The Home Depot for a career
D)reducing status differences
E)finding out about the store management

Question 65

What is the first step in building a committed workforce?

A)developing a job description
B)organizing the tasks in a position
C)recruiting the right people
D)training and development
E)motivating the employees

Question 66

At work,Meesha took part in a training seminar during which each participant was asked to be blindfolded for an hour in order to see what it was like to be a blind employee.Meesha was participating in a(n):

A)empowerment program
B)career track training program
C)mentoring program
D)program for management diversity
E)focus group

Question 67

_______ refers to the actions of a company or of its managers which result in members of a protected class being treated unfairly and differently from others.

A)Sexual harassment
B)Illegal discrimination
C)Employee privacy
D)Equal employment opportunity
E)Labor relations

Question 68

What can retailers do to help associates balance careers and family?

A)offer job sharing opportunities
B)offer higher hourly pay
C)offer commission based pay
D)foster partnering relationships between associate and supervisors
E)manage diversity

Question 69

What are the three reasons human resource management can be the basis of a competitive advantage?

Question 70

Marie is a single mother of two adolescent children.In order for her to be home when her children arrive from school,her supervisor allowed her to start her day an hour earlier.This is an example of:

A)flextime
B)job sharing
C)career balancing
D)job flexibility
E)shared time scheduling

Question 71

Nina's office was made up of a mostly all-male staff.All worked well together and no one really even noticed the skewed ratio until one day when one of the men downloaded a lewd screensaver for all to see when they arrived in the office.Nina was infuriated.This situation can be considered:

A)breech of employee privacy
B)political individualism
C)sexual harassment
D)unnecessary conduct
E)legal office play

Question 72

A company that carefully selects its recruits,develops employee skills through training,shares information about company shares,encourages employees to take additional classes on customer service is trying to:

A)develop a new mission statement
B)decrease its fixed costs
C)centralize its organization structure
D)maintain its current organization culture
E)reduce employee turnover

Question 73

Antonio was new to his position just out of college.He was assigned his tasks,knew his trainer,his supervisor,and his responsibilities.He was also assigned time to meet with Julio,an older gentleman who had grown 20 years with the company in another department.They meet every few weeks,talk about family,comfort with the job,goals with the company and problems with the position.Who is Julio to Antonio?

A)mentor
B)trainer
C)supervisor
D)director
E)co-worker

Question 74

Mrs.Herrin and Mrs.Otwell teach a second grade class.Both have young children at home and both have teaching careers.To help them balance this lifestyle,the principal suggested they both work part-time yet cover the responsibilities of the one teaching position.This would be an example of:

A)time sharing
B)task empowerment
C)balanced tasking
D)job sharing
E)flextime

Question 75

_________ is an invisible barrier that makes it difficult for minorities and women to be promoted beyond a certain level.

A)A glass ceiling
B)Outsourcing
C)Too much empowerment
D)An entry barrier
E)Economy of scale

Question 76

Managing diversity means:

A)simply obeying all equal employment opportunity laws
B)trying to get everyone to think and act alike to avoid problems
C)using the same approach to deal with each employee
D)treating each employee as a unique individual as long as it does not affect the treatment they get
E)accepting and valuing how employees differ from each other

Question 77

With _______,two employees are voluntarily responsible for a job that was previously held by one person.

A)flex job
B)job sharing
C)flextime
D)job rotation
E)cross job

Question 78

Alex works in the accessory department of a large regional chain of stores.Since his supervisor _____ him,he has been able to provide even better customer service because he doesn't have to get an okay on a personal check or get approval for an exchange on merchandise.

A)sanctioned
B)delegated
C)appointed
D)empowered
E)functionalized

Question 79

A retailer can reduce employee turnover by:

A)increasing its dollar sales
B)reducing its fixed costs
C)paying employees all the same
D)building an atmosphere of mutual commitment

Question 80

Why is managing diversity beneficial to a company?

A)It leads to a more homogenized workforce.
B)It is the law.
C)U.S.demographics reveal a more homogeneous population and companies should follow suit.
D)Retailers can better understand and respond to the needs of their customers.