Human Capital Management Study Guide
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Course Introduction
Human Capital Management explores the strategies and practices organizations use to attract, develop, motivate, and retain a talented workforce. The course examines the role of human capital in achieving organizational goals, covering topics such as talent acquisition, performance management, training and development, succession planning, compensation and benefits, and employee engagement. Students gain an understanding of how effective human capital management contributes to competitive advantage and organizational success, while also considering the ethical, legal, and cultural factors that influence workforce management in a global business environment.
Recommended Textbook
Managing Human Resources 9th Edition by Wayne Cascio
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Page 2
Chapter 1: Human Resources in a Globally Competitive
Business Environment
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Sample Questions
Q1) _____ are HR professionals who ensure today's and tomorrow's talent,shape the organization,foster communication,and design reward systems.
A)Cultural stewards
B)Credible activists
C)Strategy architects
D)Organizational designers
Answer: D
Q2) What is productivity?
Answer: Productivity is a measure of the output of goods and services relative to the input of labor,capital,and equipment.Improving productivity simply means getting more out of what is put in.It does not mean increasing production through the addition of resources,such as time,money,materials,or people.It is doing better with what you have is not working harder;it is working smarter.Today's world demands that we do more with less.
Q3) When productivity increases,businesses can pay higher wages without boosting inflation.
A)True
B)False
Answer: True
3
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Chapter 2: The Financial Impact of Human Resource
Management Activities
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Q1) The objective in costing human resources is not just to measure the relevant costs,but also to develop methods and programs to reduce the costs of human resources by managing the more controllable aspects of those costs.
A)True
B)False
Answer: True
Q2) What is the numerator used in the formula used to calculate turnover over any period?
A)Average workforce size for the period
B)Number of turnover incidents per period
C)Previous period's turnover
D)Percentage of new employees
Answer: B
Q3) Indirect measures are usually expressed in terms of:
A)replacement value
B)time,quantity,or quality
C)estimated value
D)standard value
Answer: B
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Chapter 3: The Legal Context of Employment Decisions
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Q1) In correcting any inequity under the Equal Pay Act,what must employers do?
Answer: Raise the rate of the lower-paid employees.
Q2) Contractors and subcontractors with more than $50,000 in government business and with 50 or more employees must prepare and implement written affirmative action plans.
A)True
B)False
Answer: True
Q3) List and describe the two forms of unfair discrimination in employment.
Answer: Unequal (disparate)treatment is based on an intention to discriminate,including the intention to retaliate against a person who opposes discrimination,has brought charges,or has participated in an investigation or a hearing. Adverse impact (unintentional)discrimination occurs when identical standards or procedures are applied to everyone,despite the fact that they lead to a substantial difference in employment outcomes (e.g. ,selection,promotion,layoffs)for the members of a particular group,and they are unrelated to success on a job.
Q4) What does the Thirteenth Amendment prohibit?
Answer: Slavery and involuntary servitude.
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Page 5
Chapter 4: Diversity at Work
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Q1) Virtually all growth in new jobs will come from the service industry.
A)True
B)False
Q2) GLBT employees,as a group,comprise,by some estimates,_____ percent of the population.
A)1
B)3
C)6
D)14
Q3) Firms have found that only through _____ can they execute newly adopted strategies stressing better quality,innovation,cost control,or speed.
A)affirmative action
B)strategic international alliances
C)globalization
D)work teams
Q4) Explain the five key forces that account for the changes for women in the workplace over recent years.
Q5) List at least three reasons why diversity has become a dominant activity in managing an organization's human resources.
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Chapter 5: Planning for People
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Q1) The formal process that connects business strategy to human resource strategy and practices,and ensures that a company has the right people in the right place at the right time and at the right cost is known as strategic workforce planning.
A)True
B)False
Q2) _____ answers the basic question,"How will we compete?" and typically considers the external environment,customer trends,competitive positioning,and internal strengths and weaknesses.
A)Strategy analysis
B)Strategy formulation
C)The mission statement
D)The vision statement
Q3) Accuracy in forecasting the demand for labor varies considerably by firm and by industry type,roughly from a _____ percent error factor.
A)1 to 3
B)2 to 10
C)5 to 35
D)10 to 40
Q4) What is a talent inventory and how is it useful in human resource planning?
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Chapter 6: Recruiting
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Q1) In an open internal labor market,every available job is advertised throughout the organization,and anyone can apply.
A)True
B)False
Q2) Unlike workers supplied from temporary agencies,_____ work directly for the hiring organization and may receive benefits,depending on the number of scheduled hours worked per week.
A)part-time employees
B)in-house temporaries
C)nonexempt employees
D)college interns
Q3) A labor market is a geographical area within which the forces of supply interact with the forces of demand,and thereby determine the price of:
A)goods and services.
B)labor.
C)recruitment.
D)headhunter fees.
Q4) Give at least one reason why companies retain executive search firms.
Q5) List and define four of the most popular external recruitment sources.
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Chapter 7: Staffing
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Q1) Absenteeism and voluntary turnover are the outcomes that drug testing forecasts most accurately.
A)True
B)False
Q2) _____ have been shown to make the prediction of job performance more accurate above and beyond job knowledge,cognitive ability,job experience,and conscientiousness,while showing less adverse impact based on ethnicity as compared with general cognitive ability tests.
A)LGDs
B)SJTs
C)Polygraph tests
D)In-basket tests
Q3) Drug screening is legal because an employer has a legal right to ensure that employees perform their jobs competently and that no employee endangers the safety of other workers.
A)True
B)False
Q4) What is an assessment center and what are its advantages?
Q5) Why is the context in which work sample tests are administered important?
Q6) Who first used the assessment center approach,when,and why?
Page 9
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Chapter 8: Workplace Training
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Q1) Which of the following is an example of an on-the-job training method?
A)Intelligent tutoring
B)Role playing
C)Understudy assignments
D)Case method
Q2) The three phases of the training process include all of the following EXCEPT:
A)evaluation phase.
B)assessment phase.
C)generalization phase.
D)training and development phase.
Q3) During the early stages of learning,the trainer should be available to oversee the trainee's practice directly.
A)True
B)False
Q4) What are the minimal conditions needed for effective learning to take place?
Q5) What are the four characteristics that distinguish companies with the most effective training practices?
Q6) What are the factors that determine effective training?
Q7) Write a short note on feedback.
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Q8) What are the drawbacks of using gaming approaches in orientation programs?
Chapter 9: Performance Management
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Q1) _____ errors occur when ratings are assigned on the basis of a global impression of a ratee.
A)Incidental
B)Contrast
C)Virtual
D)Halo
Q2) Of the many types of rater training programs available today,meta-analytic evidence has demonstrated reliably that 360-degree training is the most effective at improving the accuracy of performance appraisals.
A)True
B)False
Q3) Managers need as much encouragement and organizational support as possible if painless layoffs are going to take place.
A)True
B)False
Q4) Performance management is a kind of compass that indicates a person's actual direction as well as a person's desired direction.
A)True
B)False
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Chapter 10: Managing Careers
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Q1) Which of the following is NOT a reason employer-supported child care will continue to grow?
A)Many executives are starting families later in life and finding a personal need for convenient child care.
B)Dual-career couples now comprise a preponderance of the workforce.
C)More and more,career-oriented women are arranging their lives to include motherhood and professional goals.
D)There has been a significant rise in the number of single parents who use child care facilities.
Q2) List some of the advantages and purposes of mentor programs.
Q3) The keys to success in an early retirement program are to identify,before the incentives are offered,exactly which jobs are targeted for attrition and to understand the needs of the employees targeted to leave.
A)True
B)False
Q4) Among baby boomers,10 percent say they plan to do at least some work after they "retire."
A)True
B)False
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Chapter 11: Pay and Incentive Systems
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Q1) Which of the following is NOT another name for gain sharing?
A)The Scanlon plan
B)The Rucker plan
C)Control-based compensation
D)Improshare
Q2) Open pay systems tend to work best when:
A)there is a union to negotiate pay increases.
B)business strategy matches the organizational development stage.
C)job performance can be measured objectively.
D)effort and performance are related closely over a long time span.
Q3) Sarbanes-Oxley states that executives cannot retain bonuses or profits from selling company stock if they mislead the public about the financial security of the company.
A)True
B)False
Q4) What are some of the major changes that are occurring in terms of overall philosophy of compensation administration?
Q5) What is the biggest hurdle to overcome in pay-for-performance plans?
Q6) What are the three elements of the ARM concept?
Q7) Write a short note on the job-evaluation process.
Page 13
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Chapter 12: Indirect Compensation: Employee Benefit Plans
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Q1) Which act extended the 1.45% Medicare payroll tax to all wages and self-employment income?
A)Balanced Budget Act
B)Administrative Procedure Act
C)Omnibus Budget Reconciliation Act
D)National Health Planning and Resources Development Act
Q2) A recent MetLife survey showed that 73 percent of employees who were highly satisfied with their benefits are also satisfied with their ________?
A)Salaries
B)Jobs
C)Supervisors
D)Pensions
Q3) Social Security is a pay-as-you-go system.Payroll taxes earned by current workers are distributed to pay benefits for those who are already retired.
A)True
B)False
Q4) Write a short note on the Pension Benefit Guaranty Corporation.
Q5) Who are contributions to pension funds typically managed by?
Q6) What is the broad objective of the design of compensation programs?
14
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Chapter 13: Union Representation and Collective Bargaining
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Q1) Even under union bargaining pressures,wages are now far more responsive to customer feedback at the industry and firm levels than they traditionally have been.
A)True
B)False
Q2) Throughout the rest of the world,union membership is highest in Spain and France.
A)True
B)False
Q3) Which of the following is used widely by management and labor to settle disputes arising out of and during the term of a labor contract?
A)Lockouts
B)Grievance arbitration
C)Complaint mediation
D)Bargaining hearings
Q4) What strategy would American managers most likely use to negotiate conflict?
A)individualism
B)collectivism
C)explicit contracting
D)hierarchy
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Chapter 14: Procedural Justice and Ethics in Employee Relations
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Q1) From the company's perspective,it is important to recognize that employment agreements are governed by:
A)federal law.
B)no-compete agreements.
C)union contracts.
D)state law.
Q2) In _____,workers have been fired for refusing to quit smoking,for living with someone without being married,drinking a competitor's product,motorcycling,and other legal activities outside of work.
A)constructive discharge
B)defamation
C)invasion of privacy
D)lifestyle discrimination
Q3) A no-disclosure clause bars you from working for a competitor for six months up to five years.
A)True
B)False
Q4) What is an implied promise?
Page 16
Q5) Describe the five "core" characteristics of the most effective voice systems.
Q6) What are the basic requirements for workplace due process to work effectively?
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Page 17
Chapter 15: Safety, Health, and Employee Assistance Programs
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Q1) Which act protects rehabilitated alcohol and drug abusers from discrimination in employment?
A)The Occupational Safety and Health Act
B)The Rehabilitation Act
C)The Americans with Disabilities Act
D)The National Labor Relations Act
Q2) Malfunctioning machinery is the most common cause of workplace injury,followed by slips,strains,sprains,and falls.
A)True
B)False
Q3) Although feedback and incentives have a positive impact on the motivation of employees to improve productivity,they have little effect on improving safe behavior.
A)True
B)False
Q4) Which of the following would NOT be considered an indirect cost of an accident?
A)Cost of wages paid for time lost
B)Cost of workers' compensation
C)Cost of overtime work by others required by the accident
D)Cost of damage to material or equipment
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Chapter 16: International Dimensions of Human Resource Management
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Q1) Both the expatriation assignment and the repatriation move should be examined as parts of an integrated whole - not as unrelated events in an individual's career.
A)True
B)False
Q2) What is the disadvantage of ethnocentrism?
A)It requires a great deal of centralized control over managers.
B)It is inappropriate during the early phases of international expansion.
C)Cross-cultural adjustment problems of managers and their families.
D)Increased tendencies to impose the management style of the parent company.
Q3) Which of the following is NOT a broad classification that helps managers assess any culture and examine its people systematically?
A)Food and feeding habits
B)Values and norms
C)Local laws and regulations
D)Mental processes and learning
Q4) Discuss the applicability of U.S.employment laws to multinational employers.
Q5) Discuss localization and higher-of-home-or-host compensation plans.
Page 19
Q6) Suggest three different solutions for the problems of repatriation.
Q7) What is another term for an expatriate?
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