Question 1

Generally,employees are most likely to stay with an organization if _____________.
A) the employer provides high salaries to technology professionals
B) the firm is in a high tech industry
C) the organization mission and values align with the employees mission and values
D) the mission and values of the organization change often

Accepted Answer

People who identify with and are more committed to the core mission and values of the organization are less likely to stray or bolt to the competition. Paying people more is seldom the most important factor in attracting and retaining human capital.

Question 2

The network of relationships that individuals have throughout the organization is known as _____.
A) human capital
B) intellectual capital
C) social capital
D) tacit knowledge

Accepted Answer

Social capital is the network of relationships that individuals have throughout the organization. Relationships are critical in sharing and leveraging knowledge and in acquiring resources. Social capital can extend beyond the organizational boundaries to include relationships between the firm and its suppliers, customers, and alliance partners.

Question 3

In order to take advantage of investment in human capital,a firm should ___________.
A) rotate workers through functions in the company as quickly as possible
B) refrain from training individual employees
C) establish practices that will enhance employee retention
D) keep employees in the same position forever

Accepted Answer

Since attracting and developing talent represent an investment to a firm, it is necessary to ensure the third step is also done to fully leverage the human capital. A firm must also retain the talent.

Question 4

Developing human capital is essential to maintaining a competitive advantage in the current knowledge economy.Efforts and initiatives to develop human capital should be directed ____.
A) at top managers
B) at human resource departments
C) throughout the firm at all levels
D) at the employees themselves

Accepted Answer

It is not enough to hire top-level talent and expect that the skills and capabilities of those employees remain current throughout the duration of their employment. Rather, training and development must take place at all levels of the organization, which is considered developing human capital.

Question 5

Today,the loyalty of a knowledge worker to his or her employing firm has __________ compared to his or her loyalty to his or her profession and colleagues.
A) increased
B) remained the same
C) decreased
D) no correlation when

Accepted Answer

The rise to prominence of knowledge workers as a vital source of competitive advantage is changing the balance of power in organizations today. Knowledge workers place professional development and personal enrichment (financial and otherwise) above company loyalty.

Question 6

ABC,Incorporated desires to have the most qualified people in every position throughout its organization.This is an example of a concern for _________.
A) decreasing labor intensive training
B) developing social networks
C) developing human capital
D) leveraging organizational structure

Accepted Answer

It is not enough to hire top-level talent and expect that the skills and capabilities of those employees remain current throughout the duration of their employment. Rather, training and development must take place at all levels of the organization, which is considered developing human capital.

Question 7

Many companies use referrals by current employees as a source for new hiring and even monetarily reward them because __________________.
A) it is less expensive than the fees paid to headhunters
B) current employees normally are careful in recommending someone due to their personal credibility
C) it is a good test of employee loyalty
D) current employees are careful in their recommendations and it is less expensive than the fees paid to headhunters

Accepted Answer

GE Medical Systems offers a monetary reward for referrals, but it is peanuts compared to the fees that it typically pays to headhunters for each person hired. When someone refers a former colleague or friend for a job, his or her credibility is on the line. Thus, employees will be careful in recommending people for employment, unless they are reasonably confident that these people are good candidates.

Question 8

Firms must compete for top talent.When attracting and selecting employees,firms must strive to select the best fit for both the employee and the firm.In an effort to reduce wasted time and effort in interviewing too many candidates while assuring a good candidate pool,a firm should ____.
A) run employment ads in the newspaper
B) only let lower level employees interview job candidates
C) use a pre-interview quiz
D) refrain from hiring by referrals from present employees

Accepted Answer

Alan Cooper, president of Cooper Software, Inc., cleverly uses technology to hone in on the problem-solving ability of his applicants and their attitudes before an interview even takes place. He has devised a Bozo Filter, an online test that can be applied to any industry. Before you spend time on whether job candidates will work out satisfactorily, find out how their minds work.

Question 9

Creativity and problem solving ability are considered to be part of ____________.
A) physical capital
B) human capital
C) social capital
D) emotional capital

Accepted Answer

Human capital is the individual capabilities, knowledge, skills, and experience of the company employees and managers. This knowledge is relevant to the task at hand, as well as the capacity to add to this reservoir of knowledge, skills, and experience through learning.

Question 10

Managing a knowledge intensive workforce is very challenging.The best way for a firm to manage its workforce is to __________.
A) retain knowledge workers
B) balance efforts in the attraction, selection, and retention of top talent
C) attract the brightest employees
D) ensure that it pays higher salaries than its rivals

Accepted Answer

Attracting, developing, and retaining human capital are highly interrelated activities, like a three-legged stool. If one leg is weak or broken, the stool collapses. To illustrate such interdependence, poor hiring impedes the effectiveness of development and retention processes. In a similar vein, ineffective retention efforts place additional burdens on hiring and development.

Question 11

Maintaining a competitive workforce is very challenging in the current economy.The role of evaluating human capital,in recent years,has _____.
A) remained the same
B) decreased
C) become less important
D) increased

Accepted Answer

In the current environment, collaboration and interdependence are vital to organizational success. Individuals must share their knowledge and work constructively to achieve collective, not just individual, goals. Traditional systems evaluate performance from a single perspective (i.e., top down) and generally do not address the softer dimensions of communications and social skills, values, beliefs, and attitudes.

Question 12

New knowledge involves the continual interaction between __________ and __________ knowledge.
A) intellectual; pragmatic
B) tacit; explicit
C) theoretical; practical
D) detailed; tacit

Accepted Answer

New knowledge is constantly created through the continual interaction of explicit and tacit knowledge. Consider two software engineers working together on a computer code. The computer code is the explicit knowledge.

Question 13

In a 360-degree evaluation and feedback system,which of these does not rate the skills and performance of an individual?
A) superiors
B) family
C) direct reports
D) colleagues

Accepted Answer

To address the limitations of the traditional approach, many organizations use 360-degree evaluation and feedback systems. Here, superiors, direct reports, colleagues, and even internal and external customers rate the performance of an employee.

Question 14

Attracting and retaining human capital is a challenge for many firms today.Firms experiencing high turnover should __________.
A) focus on increased recruiting
B) decrease money spent on human capital
C) adopt effective retention strategies
D) make their work environment less stimulating

Accepted Answer

Stepped-up recruiting is a poor substitute for weak retention. Leaders can either provide the work environment and incentives to keep productive employees and management from wanting to bail out, or they can use legal means such as employment contracts and noncompete clauses.

Question 15

Many successful firms use internal labor markets.The most important reason for doing this is _____.
A) they want to encourage job rotation
B) they want to keep highly mobile employees motivated and challenged
C) if employees remain in the same department for too long, they would become indispensable
D) an employee who moves too much can be identified as unreliable and then eliminated

Accepted Answer

One way firms keep highly mobile employees motivated and challenged is through opportunities that lower barriers to an employee's mobility within a company. For example, Shell Oil Company has created an open sourcing model for talent. Jobs are listed on the Shell intranet and with a two-month notice employees can go to work on anything that interests them.

Question 16

Human capital includes ________________.
A) the relationships between people
B) an individual's capabilities, knowledge, and skills
C) the output from assembly line employees
D) an improved product

Accepted Answer

Human capital is the individual capabilities, knowledge, skills, and experience of the company employees and managers. This knowledge is relevant to the task at hand, as well as the capacity to add to this reservoir of knowledge, skills, and experience through learning.

Question 17

Tacit knowledge __________________.
A) is the same as explicit knowledge
B) can be accessed only with the consent of the employees
C) is found mostly at the lower levels of the organization
D) can be codified but not reproduced

Accepted Answer

Tacit knowledge is in the minds of employees and is based on their experiences and backgrounds. It is shared only with the consent and participation of the individual.

Question 18

The text discusses three areas a firm must be concerned with in order to keep their best and brightest employees from leaving.These include all of the following EXCEPT:
A) hiring/selecting
B) developing
C) sorting/absorbing
D) retaining

Accepted Answer

Hiring is the first process in which all successful organizations must engage to build and leverage human capital. Firms must also develop employees to fulfill their full potential to maximize joint contributions, and provide the working environment and intrinsic and extrinsic rewards to retain their best and brightest.

Question 19

The least effective way to retain human capital is to _________.
A) encourage employee identification with organizational mission and goals
B) provide employees with a challenging and stimulating work environment
C) require employees to sign agreements that prevent them from working for competitors in the future
D) provide employees with financial and nonfinancial rewards and incentives

Accepted Answer

For retention of talent, greater efforts should be directed at a good work environment and incentives, although employment contracts and noncompete clauses may sometimes have their place.

Question 20

All of the following are the benefits of diversity in the workforce of a firm except:
A) creativity argument
B) problem-solving argument
C) similarity in perspectives argument
D) resource acquisition argument

Accepted Answer

Six areas where sound management of diverse workforces can improve the effectiveness and competitive advantages of an organization are: (1) cost, (2) resource acquisition, (3) marketing, (4) creativity, (5) problem-solving, and (6) organizational flexibility.

Quiz 4: Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangibleresources

Generally,employees are most likely to stay with an organization if _____________.

The network of relationships that individuals have throughout the organization is known as _____.

In order to take advantage of investment in human capital,a firm should ___________.

Developing human capital is essential to maintaining a competitive advantage in the current knowledge economy.Efforts and initiatives to develop human capital should be directed ____.

Today,the loyalty of a knowledge worker to his or her employing firm has __________ compared to his or her loyalty to his or her profession and colleagues.

ABC,Incorporated desires to have the most qualified people in every position throughout its organization.This is an example of a concern for _________.

Many companies use referrals by current employees as a source for new hiring and even monetarily reward them because __________________.

Firms must compete for top talent.When attracting and selecting employees,firms must strive to select the best fit for both the employee and the firm.In an effort to reduce wasted time and effort in interviewing too many candidates while assuring a good candidate pool,a firm should ____.

Creativity and problem solving ability are considered to be part of ____________.

Managing a knowledge intensive workforce is very challenging.The best way for a firm to manage its workforce is to __________.

Maintaining a competitive workforce is very challenging in the current economy.The role of evaluating human capital,in recent years,has _____.

New knowledge involves the continual interaction between and knowledge.

In a 360-degree evaluation and feedback system,which of these does not rate the skills and performance of an individual?

Attracting and retaining human capital is a challenge for many firms today.Firms experiencing high turnover should __________.

Many successful firms use internal labor markets.The most important reason for doing this is _____.

Human capital includes ________________.

Tacit knowledge __________________.

The text discusses three areas a firm must be concerned with in order to keep their best and brightest employees from leaving.These include all of the following EXCEPT:

The least effective way to retain human capital is to _________.

All of the following are the benefits of diversity in the workforce of a firm except: