business managment data bank
75. A firm’s differentiation business strategy refers to:
a) employee satisfaction.
b) the defender’s strategy.
c) cost effectiveness of production.
d) the creation of a unique product or service.
e) the emphasis of the focus strategy.
76. An HR strategy that fits a company’s differentiation strategy would be:
a) one emphasizing innovation and flexibility.
b) managerial control reliability.
c) HR employee selection.
d) standardized appraisals, internal recruiting.
e) detailed work planning and a narrow focus in performance appraisal.
77. HR strategies that fit a company’s focus strategy would be:
a) similar to those of a Miles and Snow defender strategy.
b) the same as those of a Miles and Snow prospector strategy.
c) identical to those of a company using a differentiation strategy.
d) identical to those of a company using a low-cost strategy.
e) between those of a differentiation and a low-cost strategy.
78. Firms that display a defender strategy generally:
a) encourage risk-taking behaviors.
b) rank very low in job security.
c) encourage reliability over innovation.
d) recruit externally.
e) do not provide much upward mobility for employees.
79. Firms that are high on uncertainty or that operate in volatile environments would
benefit most from HR strategies that involve:
a) variable pay and flexibility.
b) control emphasis and fixed pay.
c) centralized pay decisions and explicit job descriptions.
d) internal recruitment and a formal hiring process.
e) high dependency on superiors and uniform appraisal procedures.
80. Firms that are low on uncertainty and change and that operate in stable environments
would benefit most from HR strategies that involve:
a) variable pay and flexibility.
b) control emphasis and fixed pay.
c) loose work planning and flexibility.
d) external recruitment and an informal hiring process.
e) low dependency on superiors and tailored appraisal procedures.
81. A firm considering the volatility of its product market, the degree of change that
its product is experiencing over the passing of time, and the number of competitors
with which it is competing is probably examining its HR strategy’s:
a) fit with organizational characteristics.
b) fit with organizational capabilities.
c) customized appraisals within the market.
d) fit with the environment.
e) defender capabilities.
82. An organization’s “personality” consists of five characteristics, which include:
a) empowerment strategies.
b) its ability to outsource its work processes.
c) strategies for managing the work and family roles of its employees.
d) its response to legislation.
e) the firm’s market posture.
83. Thurmont’s steel mill is considering a new HR strategy. Which of the following could be considered an important element of the basic strategy?
a) Fostering moral commitment among the employees.
b) Discouraging informal socializing.
c) Implementing job-specific training.
d) Implementing generic job training.
e) Instituting more flexible HR strategies.
84. Stacey notes that her firm is risk averse, operates with a flexible, delegating
management style, and is outwardly focused. Stacey’s observations describe which
organizational characteristic of a company?
a) Its production process for converting inputs into outputs.
b) The firm’s market posture.
c) Its organizational structure.
d) The firm’s management philosophy.
e) The organization’s overall personality.
85. A firm that encourages an entrepreneurial climate may do which of the following:
a) display informal hiring strategies.
b) display a strong top-down managerial preference.
c) discourage innovation and risk taking.
d) ignore HR strategies.
e) rely on employees’ moral commitment to the firm.
86. Mona is interested in buying a new computer. She has heard that Shell processors are
on the low end of the cost spectrum and that the company offers an excellent warranty. Mona is focused on the firm’s:
a) fit with the market.
b) distinctive competencies.
c) consumer appreciation.
d) fit with organizational capabilities.
e) consumer enjoyment.
87. The role of HR is to:
a) alleviate the personnel management responsibility from managers.
b) develop technical expertise to win more management battles than it
c) mind its own business and leave the understanding and running of the business to
the line managers.
d) support and help managers perform their jobs.
e) all of the above
88. A company can take a number of steps to foster an effective relationship between
managers and HR, such as:
a) focusing on the technical side of productivity and teaching it to HR.
b) hiring outside consultants to assist HR in implementing its programs.
c) requiring some management experience as part of HR professionals’ training.
d) developing a tough minded, win/lose mentality among HR professionals.
e) mandating after-work socializing among HR professionals and line managers.
89. An HR department needs to develop several competencies in order to become a full
strategic partner, such as:
a) followership: the ability to do what line managers want and need.
b) a fully developed set of qualitative skills to offset the quantitative focus of line
c) the ability to think tactically.
d) content skills.
e) knowledge of the business.
90. Carson is gathering information for an HR audit. Which of the following areas
should he be concerned with?
a) HR strategies’ fit with the environment.
b) potential for brain drain and discontent among employees.
c) the technology available to the employees.
d) increasing employee interdependence.
e) the risk-taking tendencies of the managers.
91. The Society for Human Resource Management (SHRM) offers which of the following to the HR field?
a) An honorary doctorate in Human Resources to HR professionals who have been in
the business for over 30 years.
b) Special benefit packages to all members.
c) The opportunity for HR professionals to be certified at the Professional Human
Resources (PHR) or the Senior Professional Human Resources (SPHR) level.
d) Subsidized HR audits to members’ firms.
e) Specialized managerial training to Fortune 500 companies’ HR professionals.
Caplin Company is having a strategic planning session with the director of HR. They are discussing the fit between the company’s overall management philosophy, organizational structure, organizational culture, and their current HR strategies. During the meeting, the management team asks the HR Director to profile the current workforce. The HR Director reports that the workforce used to be 85% white, 50% male. Now it is 50% white, 50% minority with twice as many women as men, but supervisors still tend to be white males.
The management team begins to discuss how to control costs, improve quality, and create distinctive capabilities. Several ideas are raised, discussed, and either tabled or assigned to an individual for further exploration. Some managers noted that people tend to come in at start time and take 30 minutes to get down to work and that they begin to pack up for the day 30 minutes before quitting time. People don’t seem all that concerned about working hard and producing quality products.
As the team wraps up the day’s meeting, they briefly discuss their commitment to the surrounding community. As a cost-cutting measure, they had eliminated their support of an Adult Literacy program, in which volunteers used company facilities to conduct reading classes. The management team decides that they should reinstate the program and appoints the Director of HR to notify the local literacy council.
92. Refer to Case 1.1. The change in the workforce at Caplin is an example of the
environmental challenge of:
b) skill shortages.
d) workforce diversity.
e) rapid change.
93. Refer to Case 1.1. Caplin’s discussion of costs, quality, and capabilities shows that
they are trying to address:
a) the organizational challenge of competitive position.
b) the environmental challenge of rapid change.
c) the individual challenge of matching the individual and the organization/job.
d) the benefits of strategic HR planning.
e) their strategic HR choices.
94. Refer to Case 1.1. The discussion about people’s work habits represents the
organizational challenge for HR of:
a) the problems with empowerment.
c) organizational culture.
d) the use of technology.
e) the ethics and social responsibility of employers.
95. Refer to Case 1.1. The closing discussion about supporting the literacy program is
an example of a company grappling with:
a) the individual challenge of empowerment.
b) the organizational challenge of workforce diversity.
c) the environmental challenge of rapid change.
d) the individual challenge of social responsibility.
e) none of the above
As the manager of HR, you are leading the management team of an old established company in a strategic planning session. During the planning session, managers are being forced to think about the future, see the likely changes in the marketplace, and commit to plans to use company resources to enhance their competitive edge.
The company decides that as part of its business strategy, it wants to attract and retain the best possible employees. You suggest that the company pay a hiring bonus, use a pay scale about 10% above industry average, and provide an extra week of vacation after only one year instead of the standard three.
96. Refer to Case 1.2. One clear benefit of this strategic planning session is:
a) the explicit communication of company goals.
b) identification of HR constraints and capabilities.
c) an exploitation of the company’s distinctive capabilities.
d) identification of the gap between the current situation and a future vision.
e) the development of a reactive mindset.
97. Refer to Case 1.2. The HR strategies suggested are examples of one way to address the strategic HR planning challenge of:
a) creating a common bond among the management team.
b) coping with the environment.
c) avoiding excessive concentration on day-to-day problems.
d) combining intended and emergent strategies.
e) reinforcing overall business strategy.
98. Refer to Case 1.2. If this firm chooses to also address its employee relations, it
a) look at its policy on union avoidance or support.
b) develop policies to protect employee interests.
c) decentralize policy formation.
d) provide continuing support to employees who left the company involuntarily.
e) promote from within.
99. Refer to Case 1.2. The HR strategies suggested are examples of:
a) intended strategies.
b) emergent strategies.
c) business environment-oriented strategies.
d) quality of work life strategy.
e) business unit strategy.
100. Refer to Case 1.2. The HR strategies suggested are examples of the strategic HR
choice in the area of:
a) work flows.
d) employee relations.
e) performance appraisal.