Test bank solution of human resource management 15e by gary dessler

2017 chapter 01
Human Resource Management, 15e (Dessler)
Chapter 1 Introduction to Human Resource Management
1) The basic functions of the management process include all of the
following EXCEPT
________.
A) planning
B) organizing
C) outsourcing
D) leading
Answer: C
Explanation: C) The five basic functions of the management process
include planning,
organizing, staffing, leading, and controlling. Outsourcing jobs may be
an aspect of human
resources, but it is not one of the primary management functions.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
2) Which of the following is the person responsible for accomplishing an
organization's goals by
managing the efforts of the organization's people?
A) manager

B) entrepreneur
C) generalist
D) marketer
Answer: A
Explanation: A) The manager is the person responsible for accomplishing
an organization's
goals by planning, organizing, staffing, leading, and controlling the
efforts of the organization's
people. An entrepreneur may manage people or may hire a manager to do so
instead, but
entrepreneurs are defined as individuals who start their own businesses.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

1
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3) Which of the following includes five basic functions—planning,

organizing, staffing, leading,
and controlling?
A) a job analysis
B) strategic management
C) the management process
D) adaptability screening
Answer: C
Explanation: C) The management process includes five basic
functions—planning, organizing,
staffing, leading, and controlling. Strategic management refers to the
process of identifying and
executing the organization's mission by matching its capabilities with
the demands of its
environment.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
4) Which function of the management process requires a manager to
establish goals and
standards and to develop rules and procedures?
A) planning
B) organizing
C) staffing
D) leading
Answer: A
Explanation: A) Planning, organizing, staffing, leading, and controlling
are the five main
functions of management. The planning function involves establishing
goals and standards,
developing rules and procedures, and forecasting.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

2
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5) Claire spends most of her time at work establishing goals for her
staff of fifty employees and
developing procedures for various tasks. In which function of the
management process does
Claire spend most of her time?
A) leading
B) controlling
C) organizing
D) planning
Answer: D
Explanation: D) The planning function of the management process requires
managers to
establish goals and standards, develop rules and procedures, and develop
plans and forecast.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
6) Jolene, a manager, delegates the authority for a project to Lee, her
subordinate. Jolene is most
likely involved in which function of the management process?
A) staffing
B) organizing
C) motivating
D) leading
Answer: B
Explanation: B) The organizing function of the management process
includes delegating
authority to subordinates and establishing channels of communication.
The organizing function
also includes establishing departments and coordinating the work of
subordinates.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

3
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7) When managers use metrics to assess performance and then develop

strategies for corrective
action, they are performing the ________ function of the management process.
A) planning
B) leading
C) controlling
D) organizing
Answer: C
Explanation: C) The controlling function of the management process
requires managers to set
standards such as sales quotas, quality, standards, or production
levels. Managers then compare
actual performance with the standards, which often involves the use of
metrics. Corrective action
is then taken when necessary.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
8) Which function of the management process includes selecting
employees, setting performance
standards, and compensating employees?
A) organizing
B) planning
C) motivating
D) staffing
Answer: D
Explanation: D) The staffing function of the management process
determines what type of
people you should hire, recruiting prospective employees, selecting
employees, training and
developing employees, setting performance standards, evaluating
performance, counseling
employees, compensating employees.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

4
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9) Larry, a manager at a commercial real estate firm, has established a

monthly sales quota for
his sales team. Which basic function of management best describes
Larry's actions?
A) planning
B) organizing
C) controlling
D) staffing
Answer: C
Explanation: C) The controlling function involves setting standards such
as sales quotas, quality
standards or production levels; checking to see how actual performance
compares with these
standards; taking corrective action, as needed.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
10) ________ is the process of acquiring, training, appraising, and
compensating employees, and
attending to their labor relations, health and safety, and fairness
concerns.
A) Labor relations
B) Human resource management
C) Behavioral management
D) Organizational health and safety management
Answer: B
Explanation: B) Human resource management is the process of acquiring,
training, appraising,
and compensating employees, and of attending to their labor relations,
health and safety, and
fairness concerns. HRM falls under the staffing function of the
management process.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

5
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11) In the management process, which of the following is an activity
associated with the leading
function?
A) motivating subordinates
B) setting performance standards
C) training new employees
D) developing procedures
Answer: A
Explanation: A) The leading function of the management process requires
a manager to get
others to get the job done; maintaining morale, and motivating subordinates.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
12) Personnel activities associated with human resource management most
likely include all of
the following EXCEPT ________.
A) orienting and training new employees
B) appraising employee performance
C) building employee commitment
D) developing customer relationships
Answer: D
Explanation: D) Human resource management involves numerous
personnel-related activities,
and HR managers are less likely to interact with customers. Managing
compensation, orienting
new employees, appraising employee performance, and developing employee
commitment are
typical aspects of the HR manager's job.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

6
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13) Since human resources is important to all managers, which is NOT a

personnel mistake a
manager wants to avoid making while managing?
A) waste time with useless interviews
B) hire the wrong person
C) have your people not doing their best
D) experience low turnover
Answer: D
Explanation: D) Personnel mistakes a manager does not want to make while
managing are
hiring the wrong person for the job; experience high turnover; have your
people not doing their
best; waste time with useless interviews; have your company taken to
court because of your
discriminatory actions; have your company cited under federal
occupational safety laws for
unsafe practices; have some employees think their salaries are unfair
relative to others in the
organization; allow a lack of training to undermine your department's
effectiveness; commit any
unfair labor practices.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
14) Approximately what percentage of people in the United States work
for small firms?
A) 10%
B) 25%
C) 50%
D) 80%
Answer: C
Explanation: C) More than half the people working in the United States
work for small firms.
Small businesses as a group also account for most of the 600,000 or so
new businesses created
every year.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

7
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15) ________ is the right to make decisions, to direct the work of

others, and to give orders.
A) Leadership
B) Authority
C) Management
D) Responsibility
Answer: B
Explanation: B) The right to make decisions, to direct the work of
others, and to give orders is
known as authority.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
16) Which of the following best defines line authority?
A) management over a small staff in a public firm
B) management with flexible decision-making powers
C) a manager's right to advise other managers or employees
D) a manager's right to issue orders to other managers or employees
Answer: D
Explanation: D) Line authority is a manager's right to issue orders to
other managers or
employees, which creates a superior-subordinate relationship. Staff
authority refers to a
manager's right to advise other managers or employees, which creates an
advisory relationship.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
17) In most organizations, human resource managers are categorized as
________, who assist
and advise ________ in areas like recruiting, hiring, and compensation.
A) staff managers; line managers
B) line managers; middle managers
C) line managers; staff managers
D) functional managers; staff managers
Answer: A
Explanation: A) Human resource managers are usually staff managers. They
assist and advise
line managers in areas like recruiting, hiring, and compensation.
However, line managers still
have human resource duties.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
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18) Gerard is authorized to direct the work of subordinates and is

responsible for accomplishing
the organization's tasks. Gerard is most likely a ________.
A) training specialist
B) staff manager
C) line manager
D) recruiter
Answer: C
Explanation: C) A line manager is authorized to direct the work of
subordinates and is
responsible for accomplishing the organization's tasks. Unlike line
managers, staff managers lack
the authority to issue orders down the chain of command. Recruiters and
training specialists are
specialties within the HR department, and HR managers are usually staff
managers rather than
line managers.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
19) Which of the following is NOT considered one of the line
supervisor's responsibilities for
effective human resources management under the general headings outlined
by a major company
discussed in the textbook?
A) protecting employees' health and physical condition
B) changing employees' attitudes regarding work
C) developing the abilities of each person
D) interpreting the company policies and procedures
Answer: B
Explanation: B) The direct handling of people has always been part of
every line manager's
duties, from the president down to first-line supervisors. One major
company outlines its line
supervisor's responsibilities for effective human resource management
under these general
headings: placing the right person in the right job; starting new
employees in the organization
(orientation); training employees for jobs that are new to them;
improving the job performance of
each person; gaining cooperation, and developing smooth working
relationships; interpreting the
company's policies and procedures; controlling labor costs; developing
the abilities of each
person; creating and maintaining department morale; protecting
employees' health and physical
condition.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
9
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20) A line manager's human resource responsibilities most likely include

all of the following
EXCEPT ________.
A) maintaining department morale
B) controlling labor costs
C) protecting employees' health
D) marketing new products and services
Answer: D
Explanation: D) Human resource management most often involves creating
and maintaining
department morale, controlling labor costs, and protecting employees'
health and physical
condition. Handling personnel is an integral part of every line
manager's duties, but marketing
new products is not a personnel issue and would be handled by the
marketing department.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
21) Which of the following refers to the authority a manager has to
advise other managers or
employees?
A) staff authority
B) line authority
C) functional authority
D) corporate authority
Answer: C
Explanation: C) Staff authority refers to a manager's right to advise
other managers or
employees, which creates an advisory relationship.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
22) Which of the following is most likely a line function of the human
resource manager?
A) ensuring that line managers are implementing HR policies
B) advising top managers about how to implement EEO laws
C) representing the interests of employees to senior management
D) directing the activities of subordinates in the HR department
Answer: D
Explanation: D) Directing members of the HR staff is a line function.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
10
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23) One of the ________ functions of a human resource manager includes

directing the activities
of his or her subordinates in the HR department.
A) coordinative
B) corporate
C) staff
D) line
Answer: D
Explanation: D) Line functions and staff functions are the distinct
functions of HR managers.
Examples of line functions include a human resource manager directing
the activities of the
people in his or her own department.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
24) Will works at a position in his organization where he maintain
contacts within the local
community and travels to search for qualified job applicants. Will's
position is best described as:
A) recruiter
B) manager
C) labor relations specialist
D) job analyst
Answer: A
Explanation: A) The recruiter maintains contacts within the community
and perhaps travels
extensively to search for qualified job applicants.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
25) ________ functions involve assisting and advising line managers.
A) Staff
B) Advocacy
C) Line
D) Coordinative
Answer: A
Explanation: A) Staff functions involve assisting and advising line
managers.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
11
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26) All of the following are major areas in which an HR manager assists
and advises line
managers EXCEPT ________.
A) recruiting
B) hiring
C) strategic business planning
D) compensation
Answer: C
Explanation: C) Human resource managers are usually staff managers. They
assist and advise
line managers in areas like recruiting, hiring, and compensation.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
27) Human resource managers generally exert ________ within the human
resources department
and ________ outside the human resources department.
A) line authority; staff authority
B) staff authority; line authority
C) functional authority; line authority
D) staff authority; implied authority
Answer: A
Explanation: A) HR managers usually have line authority in the HR
department, which means
they have the right to direct the activities of the people in their own
department. However,
outside of the HR department, HR managers are likely to exert implied
authority because line
managers realize that the HR manager has top management's ear in areas
like testing and
affirmative action. Staff (assist and advise) function refers to a
manager's authority to advise
managers or employees outside of his or her department.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

12
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28) The HR staff member who has the job of advising management on all
aspects of unionmanagement aspects is the ________.
A) recruiter
B) line manager
C) compensation manager
D) labor relations specialist
Answer: D
Explanation: D) The labor relations specialist advises management on all
aspects of unionmanagement relations.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
29) All of the following are examples of human resource specialties
EXCEPT ________.
A) job analyst
B) financial advisor
C) compensation manager
D) labor relations specialist
Answer: B
Explanation: B) HR management specialties include recruiter, EEO
coordinator, job analyst,
compensation manager, training specialist, and labor relations
specialist. HR managers are less
likely to serve as financial advisors.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

13
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30) Ralph works in the HR department and is in charge of developing the

plans for how people
are paid and how the employee benefits program is run. Ralph is most
likely holding the position
of:
A) training specialist
B) recruiter
C) compensation manager
D) job analyst
Answer: C
Explanation: C) The compensation manager develops compensation plans and
handles the
employee benefits program.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
31) Which of the following human resource management specialties calls
for collecting data to
write job descriptions?
A) job analyst
B) job training specialist
C) compensation manager
D) EEO coordinator
Answer: A
Explanation: A) As a job analyst, a human resource manager collects and
examines information
about jobs to prepare job descriptions.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

14
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32) Which of the following focuses on using centralized call centers and
outside vendors as a
way to provide specialized support in day-to-day HR activities?
A) embedded HR units
B) corporate HR groups
C) HR centers of expertise
D) shared HR groups
Answer: D
Explanation: D) Transactional (or shared) HR groups focus on using
centralized call centers and
outsourcing arrangements with vendors, such as benefits advisors, to
provide specialized support
in day-to-day transactional HR activities to a firm's employees.
Activities may include changing
benefits plans and providing updated appraisal forms.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
33) An HR generalist at Wilson Manufacturing has been assigned to the
sales department to
provide HR management assistance as needed. Which of the following best
describes the
structure of the HR services provided at Wilson Manufacturing?
A) shared HR teams
B) embedded HR teams
C) centers of expertise
D) corporate HR teams
Answer: B
Explanation: B) In the embedded HR teams structure, a HR generalist is
assigned directly to a
department within an organization to provide localized human resource
management assistance
as needed.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

15
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34) Roberta Whitman has recently been hired by Jackson Pharmaceuticals

as the senior vice
president of human resources. Jackson Pharmaceuticals has a history of
problems within its HR
department including difficulties recruiting and retaining qualified
employees, EEO violations,
inadequate employee training programs, and confusion regarding health
benefit enrollment and
coverage. With years of experience transforming HR departments in other
firms, Whitman
believes she can correct the problems at Jackson Pharmaceuticals.
Which of the following best supports Whitman's idea to develop a shared
services arrangement
to handle benefits administration?
A) An embedded HR unit would assist top management with big picture
issues as well as
benefits administration.
B) Extensive training has been provided to line managers so that they
fully understand the
different insurance options available to employees.
C) Outside vendors specializing in all aspects of benefits
administration would provide improved
support to the firm's employees.
D) Lower insurance premiums would eliminate the need for outsourcing
services and improve
employee health coverage.
Answer: C
Explanation: C) The shared services (or transactional) HR teams focus on
using centralized call
centers and outsourcing arrangements with vendors (such as benefits
advisors) to provide
specialized support in day-to-day transactional HR activities (such as
changing benefits plans
and providing updated appraisal forms) to the company's employees. By
outsourcing benefits
administration, Jackson would allow HR managers to focus on other issues
and enable benefits
specialists to handle benefits enrollment and coverage issues.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

16
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35) Roberto Sanchez has recently been hired by Slate Pharmaceuticals as
the senior vice
president of human resources. Slate Pharmaceuticals has a history of a
variety of significant
problems within its HR department such as EEO violations, inadequate
employee training
programs, and employee confusion regarding health benefit enrollment and
coverage. With 20
years of experience transforming HR departments in other firms, Sanchez
believes he can correct
the major problems at Slate Pharmaceuticals.
Which of the following best supports the argument that Sanchez should
create embedded HR
units and assign relationship managers to each department within the
company?
A) Employees frequently complain about the inconsistent assistance they
receive from the HR
department due to its large size.
B) The global nature of the firm makes it difficult for the HR
department to effectively
communicate corporate messages to employees scattered around the world.
C) Centralized call centers would enable the HR department to provide
specialized support on
daily transactional activities.
D) Line managers want to implement additional screening and evaluations
to improve the quality
of their subordinates.
Answer: A
Explanation: A) The embedded HR teams assign HR generalists (also known
as "relationship
managers" or "HR business partners") directly to departments like sales
and production, to
provide the localized human resource management assistance the
departments need. If
employees are unable to receive the HR assistance they need on a regular
basis, then it would be
appropriate for the firm to assign HR generalists to each department as
a direct line to the HR
department.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
36) Which of the following areas is NOT a major area where human
resource managers assist
and advise line managers?
A) recruiting
B) hiring
C) compensation
D) performance management
Answer: D
Explanation: D) Human resource managers assist and advise line managers
in areas like
recruiting, hiring, and compensation.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
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37) Which organization of the human resource function involves dedicated

HR members that
assist top management in issues such as developing the personnel aspects
of the company's longterm strategic plan?
A) embedded HR teams
B) corporate HR teams
C) centers of expertise
D) shared services
Answer: B
Explanation: B) Corporate HR teams assist top management in top-level
issues such as
developing the personnel aspects of the company's long-term strategic plan.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
38) The vice president of marketing tells a marketing manager to prepare
a presentation by the
end of the week. The vice president is most likely exercising which of
the following?
A) staff authority
B) procedural authority
C) line authority
D) functional authority
Answer: C
Explanation: C) Line authority traditionally gives managers the right to
issue orders to other
managers or employees. Line authority therefore creates a superior
(order giver)–subordinate
(order receiver) relationship. Staff authority gives a manager the right
to advise other managers
or employees. It creates an advisory relationship.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

18
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39) Which HR specialty involves preparing job descriptions?

A) compensation manager
B) EEO coordinator
C) job analyst
D) recruiter
Answer: C
Explanation: C) Job analysts collect and examine information about jobs
to prepare job
descriptions. Compensation managers develop compensation plans and
handle the employee
benefits program.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
40) Which of the following would most likely provide assistance to
executives about long-term
strategic plans?
A) centers of expertise
B) embedded HR teams
C) corporate HR teams
D) professional employee organizations
Answer: C
Explanation: C) The corporate HR teams focus on assisting top management
in "top level" big
picture issues such as developing and explaining the personnel aspects
of the company's longterm strategic plan. The centers of expertise are
like specialized HR consulting firms within the
company—for instance, they provide specialized advice in areas such as
organizational change.
The embedded HR assigns HR generalists directly to departments like
sales and production.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

19
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41) Setting standards such as sales quotas, quality standards, or
production levels is part of the
leading function of human resource management.
Answer: FALSE
Explanation: Setting standards such as sales quotas, quality standards,
or production levels is
part of the controlling rather than the leading function of human
resource management. Leading
involves maintaining morale and motivating workers.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
42) The planning function of management includes establishing goals and
standards and
developing forecasts.
Answer: TRUE
Explanation: The planning function of management includes establishing
goals and standards,
developing rules and procedures, and developing plans and forecasting.
Planning, organizing,
staffing, leading, and controlling are the five functions of the
management process.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
43) Communicating is one of the five basic functions of the management
process.
Answer: FALSE
Explanation: Planning, organizing, staffing, leading, and controlling
are the five functions of the
management process. Although communicating with employees is part of
every step, it is not one
of the five basic functions.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

20
Copyright © 2017 Pearson Education, Inc.
44) Hiring the wrong person for the job, committing unfair labor
practices, and having your
people not doing their best are personnel mistakes that hinder firms
from achieving positive
results.
Answer: TRUE
Explanation: Common HRM mistakes include hiring the wrong people, having
your people not
doing their best and committing unfair labor practices. The primary goal
of HRM is to help the
firm achieve its goals, and such HRM mistakes hinder that process.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
45) Autonomy is the right to make decisions, direct the work of others,
and give orders.
Answer: FALSE
Explanation: Authority rather than autonomy is the right to make
decisions, direct the work of
others, and give orders. In management, authority is distinguished
between line authority and
staff authority.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
46) Staff managers are authorized to issue orders to subordinates and
are directly in charge of
accomplishing the organization's basic goals.
Answer: FALSE
Explanation: Line managers, not staff managers, are authorized to issue
orders down the chain
of command. Staff managers have the authority to advise other managers
or employees.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

21
Copyright © 2017 Pearson Education, Inc.
47) Human resource managers are generally staff managers.
Answer: TRUE
Explanation: Human resource managers are usually staff managers. They
assist and advise line
managers in areas like recruiting, hiring, and compensation. However,
line managers still have
human resource duties.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
48) Staff managers have staff authority which enables them to issue
orders down the chain of
command unlike line managers.
Answer: FALSE
Explanation: Line managers can issue orders down the chain of command,
while staff managers
are only able to advise other managers and employees.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
49) In small organizations, line managers frequently handle all
personnel duties without the
assistance of a human resource staff.
Answer: TRUE
Explanation: In small firms, line managers may carry out personnel tasks
unassisted. However,
large firms of over 100 employees require human resource specialists.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
50) Human resource managers assist line managers with recruiting,
hiring, and compensation.
Answer: TRUE
Explanation: Assisting and advising line managers is the heart of the
human resource manager's
job. HR assists in recruiting, hiring, and compensation.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
22
Copyright © 2017 Pearson Education, Inc.

51) Staff authority gives a manager the right to advise other managers
or employees.
Answer: TRUE
Explanation: Staff authority gives a manager the right to advise other
managers or employees. It
creates an advisory relationship.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
52) The role of labor relations specialists includes investigating EEO
grievances and collecting
data about jobs for the purpose of writing job descriptions.
Answer: FALSE
Explanation: Labor relations specialists advise management on all
aspects of union–
management relations. EEO coordinators investigate EEO grievances, and
job analysts collect
data for job descriptions.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
53) Shared service HR teams focus on assisting top management in big
picture issues such as
developing a firm's long-term strategic plan.
Answer: FALSE
Explanation: Corporate HR teams focus on assisting top management in big
picture issues such
as developing a firm's long-term strategic plan.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
54) Centralized HR units whose employees are shared by all the
companies' departments to
obtain advice are called shared service.
Answer: TRUE
Explanation: Shared service is centralized HR units whose employees are
shared by all the
companies' departments to obtain advice on matters such as discipline
problems.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
23
Copyright © 2017 Pearson Education, Inc.

55) Centers of expertise are specialized HR that act like consulting

firms within the company on
particular topics.
Answer: TRUE
Explanation: Centers of expertise are basically specialized HR
consulting firms within the
company. For example, a center might provide specialized advice in an
area like organizational
change to all the company's various units.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
56) A key concept of the textbook is that human resource management is
the sole responsibility
of human resource managers, so line managers and staff managers rely
heavily on HR specialists
to hire the best employees.
Answer: FALSE
Explanation: Human resource management is the responsibility of every
manager—not just
those in human resources. Throughout every page in the textbook, you'll
therefore find an
emphasis on practical material that you as a manager will need to
perform your day-to-day
management responsibilities.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
57) A key concept of the textbook is that effective human resource
management practices add
measurable value to an organization.
Answer: TRUE
Explanation: Employers need human resource management practices that add
value, and these
practices are an essential part of HR's function.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.

24
Copyright © 2017 Pearson Education, Inc.

58) What are the five basic functions of the management process? Explain
some of the specific
activities involved in each function. Which function is most closely
associated with human
resource management?
Answer: The five basic functions are planning, organizing, staffing,
leading, and controlling.
Planning activities include establishing goals and standards, developing
rules and procedures,
and developing plans and forecasting. Organizing activities include
giving specific task
assignments to subordinates, establishing departments, delegating
authority to subordinates, and
establishing channels of authority and communication. Staffing
activities include determining
what type of people should be hired, recruiting prospective employees,
and setting performance
standards. Leading activities include maintaining morale and motivating
subordinates.
Controlling activities include setting standards such as sales quotas
and quality standards and
taking corrective action as needed. Staffing is the function most
readily related to human
resource management. However, HR managers actually perform all five
functions.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.
59) Why is human resource management important to all managers? What is
the role of line
managers in human resource management?
Answer: HR management is important to all managers because managers can
do everything else
right—lay brilliant plans, draw clear organization charts, set up
world-class assembly lines, and
use sophisticated accounting controls—but still fail, by hiring the
wrong people or by not
motivating subordinates. On the other hand, many managers—presidents,
generals, governors,
supervisors—have been successful even with inadequate plans,
organizations, or controls
because they had the knack of hiring the right people for the right jobs
and motivating,
appraising, and developing them. The direct handling of people is an
integral part of every line
manager's duties. More specifically, line managers must place the right
person in the right job,
orient and train new employees, improve the job performance of each
person, gain cooperation
and develop smooth working relationships, interpret the company's
policies and procedures,
control labor costs, and protect employees' health and physical condition.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how
it relates to the
management process.