Strategic Human Resource Management
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Course Introduction
Strategic Human Resource Management explores the integration of human resource practices with organizational strategy to achieve long-term business objectives. The course examines how HR can be leveraged as a competitive advantage by aligning talent management, workforce planning, performance appraisal, and employee development with the overall goals of the organization. Students will analyze case studies, learn about best practices in recruitment, retention, diversity, and compensation, and assess the impact of HR decisions on organizational performance, culture, and change management. Ethical and global considerations in HR strategy are also discussed, preparing students to contribute to strategic decision-making in dynamic business environments.
Recommended Textbook
Compensation A Human Resource Management Approach
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Strategic
8th Edition by Joseph J. Martocchio
Chapter 1: Strategic Compensation: a Component of Human Resource Systems
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Q1) How did scientific management methods influence compensation practices?
Answer: Scientific management methods gave rise to the use of piecework plans.Under piecework plans,an employee's compensation depends on the number of units she or he produces over a given period.Specifically,these plans reward employees on the basis of their individual hourly production against an objective output standard,determined by the pace at which manufacturing equipment operates.For each hour,workers receive piecework incentives for every item produced over the designated production standard.
Q2) Strategic management involves distinguishing between ________ and ________ in attempting to achieve company goals,thus making strategic management an imprecise process.
Answer: threats,opportunities
Q3) A company's ability to sustain market share and profitability for several years running is referred to by what term?
A)differentiation
B)personnel administration
C)compensation practices
D)competitive advantage
Answer: D
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Chapter 2: Contextual Influences on Compensation Practice
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Q1) This type of bargaining occurs when unions shift from bargaining for large pay increases to simply bargaining for greater job security.
A)guarded
B)concessionary
C)heightened
D)compensationary
Answer: B
Q2) The ________ generation was born between roughly 1946 and 1964,and represents a big swell in the American population as the workforce gets progressively older.
Answer: baby boom
Q3) The ________ in Employment Act of 1967 was passed by Congress in order to protect workers 40 years of age and older from unlawful discrimination.
Answer: Age Discrimination
Q4) Congress creates and passes laws within the ________ branch of the American government.
Answer: legislative
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Chapter 3: Traditional Bases for Pay: Seniority and Merit
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Q1) ________ systems evaluate a given employee's performance against the performance of other employees.
Answer: Comparison
Q2) The concept that employee's knowledge and skills can be used to generate superior productivity is known as ________ theory.
Answer: human capital
Q3) There are 15 animal keepers working for the XYZ Company.Their supervisor is required to rate the performance of these workers based on the following criteria: 30% of the animal keepers will be rated as below-average,40% of the animal keepers will be rated as average,and 30% of the animal keepers will be rated as above average.What type of performance appraisal is used?
A)paired comparison
B)forced distribution
C)critical incident technique
D)behavioral observation scale
Answer: B
Q4) When supervisors rate all employees close to average,they commit errors of
Answer: central tendency
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Chapter 4: Incentive Pay
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Q1) The ________ effect refers to a worker's willingness to work diligently to produce more quality output rather than simply attending work without putting in the effort.
Q2) Another name for incentive pay is ________ pay.
Q3) This type of individual incentive plan rewards employees who recruit new customers or new employees.
A)behavior encouragement
B)referral
C)management incentive
D)piecework
Q4) Gunther Rohn was rewarded for making a suggestion that saved Ewe and Eye Electronics thousands of dollars.Which type of incentive compensation approach might have worked best?
A)group incentive programs
B)gain sharing plan
C)management incentive plans
D)employee stock ownership plan
Q5) The Improshare bonus is based on a ________ ratio formula.
Q6) Briefly describe the three categories of incentive pay plans and give an example of each.
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Chapter 5: Person-Focused Pay
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Q1) The level of specialization or expertise an employee brings to a job are what type of skills?
A)work-team
B)horizontal
C)breadth
D)depth
Q2) In this person-focused pay model,employees are rewarded for increasing their skills within a single job family,even if the skills do NOT build on each other.
A)stair-step
B)skill blocks
C)job-point accrual
D)cross-departmental
Q3) This term reflects an approach to job design that results in the development of more intrinsically motivating and interesting work.
A)job security
B)job enrichment
C)job variety
D)job identity
Q4) Describe the concept of competencies.
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Chapter 6: Building Internally Consistent Compensation Systems
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Q1) This section concisely summarizes the job with two to four descriptive statements.
A)job summary
B)job duties
C)job titles
D)job preview
Q2) According to the EEOC,________ refers to a present competence to perform an observable behavior.
Q3) What source is generally able to provide the most extensive and detailed information about how job duties are performed?
A)job analysts
B)supervisors
C)job incumbents
D)benchmark jobs
Q4) Which of the following two are considered job evaluation techniques?
A)market-based and appeals-based
B)compensable content and job-based
C)market-based and job content
D)compensable content and job content
Page 8
Q5) Summarize the five main activities of job analysis work.
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Chapter 7: Building Market-Competitive Compensation Systems
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Q1) ________ refers to a group of two or more jobs that are based on similar work characteristics,duties,and responsibilities.
Q2) Which of the following are the three measures of dispersion?
A)percentile standard,deviation,arithmetic mean
B)standard deviation,quartile,percentile
C)quartile,arithmetic mean,standard deviation
D)arithmetic mean,percentile,quartile
Q3) Which of the following are reference points against which jobs within the company are judged?
A)benchmark jobs
B)relevant labor markets
C)internal labor markets
D)human resource capabilities
Q4) The ________ is the middle value in an ordered sequence of numerical data.
Q5) The NCS provided incidence and extensive data on which two types of compensation benefits?
A)health insurance and retirement
B)retirement and stock options
C)health insurance and pay
D)pay and stock options
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Chapter 8: Building Pay Structures That Recognize
Individual Contributions
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Q1) With which type of sales commission plan does an employee earn a higher rate of commission for all sales made in a given period if the sales level exceeds a predetermined level?
A)commission-plus-draw plan
B)straight commission
C)multiple-tiered commission
D)graduated commission
Q2) When these spreads are used to develop pay grade widths,the grades are based on a set number of job evaluation points for each grade that increases as an employee moves up the pay structure.
A)pay rate spreads
B)percentage-based job evaluation point spreads
C)pay range spreads
D)absolute job evaluation points spreads
Q3) A ________ is the difference between the maximum and minimum pay rates of a given pay grade.
Q4) ________ is a form of compensation based upon a percentage of the selling price of a product or service.
Q5) What is broadbanding? What are its limitations?
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Chapter 9: Discretionary Benefits
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Q1) Which of the following is a strategic purpose fulfilled by discretionary benefits?
A)accommodating a diverse workforce
B)becoming similar to competing firms
C)encouraging employee entitlements
D)keeping a fixed workforce
Q2) Self-inflicted wounds and drug dependency are generally considered as what in most short-term disability insurance plans?
A)partial disability provisions
B)exclusion provisions
C)elimination provisions
D)preexisting conditions
Q3) In the 1940s and 1950s,companies began offering ________ as an alternative to pay hikes in order to motivate employees through greater work benefits.
Q4) Full or partial reimbursement of training costs is which type of benefit?
A)financial assistance
B)employee assistance
C)tuition reimbursement
D)sabbatical leave
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Chapter 10: Employer-Sponsored Retirement Plans and Health Insurance Programs
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Q1) IRS guidelines define ________ plans as "defined benefit plans that define benefits for each employee by reference to the amount of the employee's hypothetical account balance."
Q2) Which of the following is associated with 401(k)plans?
A)Employees pay taxes on their contribution.
B)Employees do not pay taxes on their contributions.
C)Investment gains are taxed.
D)Employees cannot deduct their contributions from taxable income.
Q3) These represent a series of payments for the life of the participant and beneficiary.
A)collateral payments
B)periodic payments
C)lump sum distributions
D)annuities
Q4) Which of the following is NOT a benefit covered by fee-for-service plans?
A)hospitalization benefits
B)dentist visits
C)physician visits
D)surgical benefits
Q5) Distinguish between qualified and nonqualified retirement plans.
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Chapter 11: Legally Required Benefits
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Q1) If Fred signs up for Medicare Part B,what percent of his medical services and supplies will be covered after he has paid his annual deductible?
A)25%
B)33%
C)60%
D)80%
Q2) This Medicare Plan was established with the passage of the Balanced Budget Act of 1997 as an alternative to the original program (parts A and
A)Medicare Select
B)Medicare Prescription Drug Program B.
C)Medicare Advantage
D)Medigap
Q3) Which Medicare plan offers enrollees lower premiums in exchange for limiting their choice of health care providers?
A)Medicare+Choice
B)Medigap
C)Medicare Select
D)Medicare Advantage
Q4) ________ specify insurance rates based on classifications of businesses.
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Chapter 12: Compensating Executives
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Questions
Q1) The recently appointed CEO of XYZ Inc.uses a luxury summerhouse owned by the company for rest and relaxation with his family as well as a place to invite important clients before a lucrative business deal.XYZ Inc.also provides a membership to an exclusive country club to its CEO.These kinds of benefits offered to CEOs are called
A)discretionary bonuses.
B)perquisites.
C)golden parachutes.
D)clawback provisions.
Q2) XYZ Co.took back performance-based compensation of $1.2 million from their CEO because of his decision of the buyout of another firm that eventually lowered the overall value of the XYZ Co.Which of the following compensation agreements allowed the board of directors to take back this $1.2 million?
A)platinum parachutes
B)clawback provisions
C)phantom stock
D)golden parachute
Q3) Who are the key players in setting executive compensation? Detail their different roles.How does SEC affect their roles?
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Chapter 13: Compensating the Flexible Work Force:
Contingent Employees and Flexible Work Schedules
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Q1) For part-time employees to be eligible to be in a company's retirement plan,which two qualifications must be met?
A)age 21 or older and worked 2000 hours in a year of service
B)age 21 or older and worked 1000 hours in a year of service
C)age 18 or older and worked 2000 hours in a year of service
D)age 18 or older and worked 1000 hours in a year of service
Q2) If a company wanted to hire contingent workers as a way to screen workers for possible full-time employment,which type of worker would the company likely employ?
A)consultants
B)temporary
C)freelance
D)leased
Q3) How many days will Jamal have to work to complete a "year of service"?
A)125
B)100
C)185
D)270
Q4) Explain the reasons why employers hire temporary workers.
Page 15
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Chapter 14: Compensation Expatriates
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Q1) Tuition reimbursement and day care assistance fall under which of the following categories?.
A)boosted enhancements
B)protection programs
C)paid time off
D)service practices
Q2) AT&T plans on sending R.J.to Peru to work for at least 3 years.They will probably use which method to set his base pay?
A)host-country-based
B)home-country-based
C)headquarters-based
D)third-country based
Q3) An ________ is the price at which one country's currency can be swapped for another.
Q4) ________ premiums reward employees for moving from one assignment to another.
Q5) What is the balance sheet approach? When is its use most appropriate?
Q6) Expatriates receive ________ allowances when the cost of living is higher in the country that they work in than it is in the U.S.
Q7) ________ is the increase in prices for consumer goods and services.
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Chapter 15: Pay and Benefits Outside the United States
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Q1) Brazil's workforce has over how many people?
A)92 million
B)107 million
C)115 million
D)127 million
Q2) Oliver works as a blue-collar worker in the metalworking industry in Baden-Wurttemberg in Germany.His pay is based on minimum wage.Which of the following is probably true regarding his minimum wage?
A)The Minimum Wage Council determines his hourly pay.
B)Germany does not have a minimum wage.
C)His wage is established through a collective bargaining process.
D)His wage is calculated based on the national minimum wage rate set by the government.
Q3) In Germany,an employee can request up to how many year(s)of child-rearing leave?
Q4) Canada has two state-run pension plans: one for ________ provincial residents only and one for the rest of Canada.
Page 17
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Chapter 16: Challenges Facing Compensation Professionals
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Q1) Which of the following is a typical benefit preferred by employees with children (male or female,coupled or uncoupled)?
A)life insurance
B)insurance with prescription drug benefits
C)generous vacation allowances
D)physical fitness programs
Q2) According to the Federal Reserve Bank,what is the percentage of industries that have cut back production since the beginning of the Great Recession?
A)82%
B)86%
C)90%
D)75%
Q3) ________ refers to a general slowdown in economic activity.
Q4) Discuss some of the ways in which the passage of the Patient Protection and Affordable Care Act (PPACA)will affect the way in which employers provide health care benefits to employees.
Q5) Briefly discuss the uncertainties brought by health care reform and changing workforce demographics.
Q6) ________ measures the purchasing power of a dollar.
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