Scenario 1.1
The management of a multinational corporation establishes an efficient, specialized human resource (HR) department to manage its human resources effectively.The newly established HR department decides to recommend to its top management the need for revising incentives and compensation in such a way so as to attract the best talents available in the market.It also recommends the setting up of fitness centers and career planning sessions to enhance overall progress of its employees.
-Refer to Scenario 1.1.The management decides to lighten the responsibilities of the HR department by hiring an external agency to manage the legal affairs of the company.Which of the following concepts does this decision illustrate?
A) Utility analysis
B) Corporate social responsibility
C) Job analysis
D) Scientific management
E) Outsourcing

Question

​Scenario 1.1
The management of a multinational corporation establishes an efficient, specialized human resource (HR) department to manage its human resources effectively.The newly established HR department decides to recommend to its top management the need for revising incentives and compensation in such a way so as to attract the best talents available in the market.It also recommends the setting up of fitness centers and career planning sessions to enhance overall progress of its employees.
-Refer to Scenario 1.1.The management decides to lighten the responsibilities of the HR department by hiring an external agency to manage the legal affairs of the company.Which of the following concepts does this decision illustrate?
A) Utility analysis
B) Corporate social responsibility
C) Job analysis
D) Scientific management
E) Outsourcing

Quizplus · Accepted Answer

This decision illustrates the concept of outsourcing, which refers to hiring an external agency to perform specific tasks or functions that were previously handled in-house. In this case, the company is outsourcing the management of its legal affairs to an external agency, freeing up the HR department to focus on other tasks such as revising incentives and compensation, and setting up fitness centers and career planning sessions.

​Scenario 1.1 The Management of a Multinational Corporation Establishes an Efficient, Specialized

Scenario 1.1 The Management of a Multinational Corporation Establishes an Efficient, Specialized