Question 1

The internal labor market is critical in predicting future promotions,turnover rates and demographics of the employee base.

Accepted Answer

The internal labor market (ILM) is an important tool for HR managers and provides valuable insights that can be used to predict future promotions, turnover rates, and demographics of the employee base. By conducting regular assessments of the ILM, HR managers can identify a workforce's strengths and weaknesses and plan for future developments or changes. Therefore, option A is correct.

Question 2

Which of the following is the first step in the typical workforce planning process?
A)identifying the firm's business strategy
B)articulating the firm's strategic staffing decisions
C)developing and implementing action plans
D)conducting a workforce analysis

Accepted Answer

The first step in workforce planning is identifying and understanding the firm's business strategy. This will allow for alignment between staffing decisions and overall business goals. From there, the other steps (such as conducting a workforce analysis and developing action plans) can be taken.

Question 3

Anna is the manager of human resources at Alcatec Inc.She is comparing the number of employees required over the next six months versus the capabilities of her existing workforce adjusted for attrition.She is trying to identify any gaps between the two.Which step of the workforce planning process is discussed here?
A)monitor and revise the forecasts and action plans
B)articulate the firm's strategic staffing decisions
C)develop and implement action plans
D)conduct a workforce analysis

Accepted Answer

The step being discussed here is conducting a workforce analysis, which involves comparing the number of employees required versus the capabilities of the existing workforce adjusted for attrition. This helps in identifying any gaps between the two and determining whether additional hiring or training is required.

Question 4

Forecasting is not an exact science,and it is rare for a forecast to be exactly right.Given this uncertainty,it is usually best to use the previous period's data and add/reduce some percentage value based on managerial intuition.

Accepted Answer

While using the previous period's data and adjusting based on intuition can be a method of forecasting, it is not usually the best approach. More sophisticated methods, such as statistical models, trend analysis, and machine learning algorithms, often provide more accurate and reliable forecasts by considering a wider range of variables and historical data patterns.

Question 5

Scatter plots show graphically how two different variables are related.

Accepted Answer

Scatter plots plot one variable on the x-axis and the other variable on the y-axis to show how they are related.

Question 6

A retail store forecasts a greater need for salespeople during Thanksgiving.This is an example of a seasonal forecast.

Accepted Answer

Seasonal forecasting involves predicting demand patterns that repeat over a given period, such as quarterly, monthly, or weekly. In this case, the store is anticipating a higher demand for salespeople during Thanksgiving, which is a seasonal occurrence.

Question 7

If the proportion of high-potential applicants increases,the total number of applicants needed to generate the right number of the right quality of new hires decreases.

Accepted Answer

If there are more high-potential applicants, then the proportion of qualified candidates is higher. Therefore, fewer applicants overall will need to be screened in order to find the right quality of hires.

Question 8

Early retirement programs are a common way of dealing with temporary employee surpluses.

Accepted Answer

The answer of Early retirement programs are a common way...

Question 9

A transition analysis can account for multiple moves.

Accepted Answer

The answer of A transition analysis can account for multiple...

Question 10

The employer health insurance mandate in the 2010 Patient Protection & Affordable Care Act,requires employers with at least 50 full-time employees to provide government-approved,affordable health insurance to at least 95 percent of their employees and dependents beginning in 2014.

Accepted Answer

The statement accurately describes the employer health insurance mandate in the 2010 Patient Protection & Affordable Care Act.

Question 11

A transition matrix can be used to model the flow internally of human resources.

Accepted Answer

A transition matrix can be used to model the movement of employees within a company, such as promotions, transfers, and dismissals. It can help human resources departments forecast future staffing needs and plan hiring and training strategies.

Question 12

Business process outsourcing is the relocation of an entire business function,such as production,manufacturing,or customer service,to an independent service provider in the same or a different country.

Accepted Answer

Business process outsourcing involves relocating an entire business function to an independent service provider, which can be located in the same or different country.

Question 13

Typically,when interest rates rise,
A)businesses are willing to borrow more money.
B)consumers are willing to borrow more.
C)businesses are less likely to expand.
D)businesses make bigger capital investments.

Accepted Answer

When interest rates rise, businesses are less likely to expand as borrowing becomes more expensive. Consumers may also be less willing to borrow due to higher interest rates, which can impact spending and economic growth. While higher interest rates may make saving more attractive, businesses may be more cautious in making capital investments due to increased borrowing costs.

Question 14

A ratio analysis assumes that the ratio between the number of employees needed and certain business metrics is highly variable.

Accepted Answer

Ratio analysis typically assumes a consistent relationship between the number of employees needed and certain business metrics, using historical data to predict future needs rather than assuming high variability.

Question 15

Bottom-up judgmental forecasting uses the input of lower-level managers to estimate the firm's total staffing requirements.

Accepted Answer

Bottom-up judgmental forecasting involves gathering input from lower-level managers to make predictions about the firm's staffing needs. This approach relies on the knowledge and experience of those closest to the day-to-day operations and can lead to more accurate forecasts.

Question 16

If new competitors enter an industry,customers will have greater product choices,which will tend to dilute the demand for any one company's products or services.

Accepted Answer

When new competitors enter an industry, customers will have more options to choose from which will decrease the demand for any one company's products or services. This is because customers will have alternatives to choose from which will spread the demand across various brands.

Question 17

Talent inventories are detailed records or databases that summarize each employee's skills,competencies,education,training,previous performance reviews,and future promotions.

Accepted Answer

Talent inventories are comprehensive records that capture various details related to an employee's skills, competencies, education, training, performance history, and potential for growth within an organization.

Question 18

If 4 out of 5 job offers are typically accepted,a company will have to make 120 offers so as to hire 80 employees.

Accepted Answer

The answer of If 4 out of 5 job offers...

Question 19

The most comprehensive source of free data on conditions in the U.S.labor market is the U.S.Bureau of Labor Statistics (BLS).

Accepted Answer

The U.S. Bureau of Labor Statistics (BLS) is the primary source of free data on labor market conditions in the United States.

Question 20

Forecasting labor demand in small- and medium-size organizations is significantly easier compared to large organizations because there is a stronger correlation between employee count and productivity.

Accepted Answer

Forecasting labor demand in small- and medium-size organizations is not necessarily easier than in large organizations. In fact, there are many factors that can affect productivity, such as industry trends, technology advancements, and employee experience, that may not necessarily correlate with employee count. Additionally, small businesses may be more vulnerable to fluctuations in demand and therefore require more frequent adjustments to their labor needs.

Quiz 5: Forecasting and Planning