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Chapter 04
Human Resource
Planning and Recruitment
True / False Questions
1.
The first step in the human resource
planning process is forecasting.
True
False
2.
An objective measure that
accurately predicts future demand is called a
nominal predictor.
True
False
3.
Economic
planning models are useful when there is a long,
stable history that can be used to
reliably detect relationships among
variables.
True
False
4.
Change
matrices are extremely useful for charting
historical trends in a company's supply of
labor.
True
False
5.
The goals an organization sets in its
human resource planning process should come
directly
from the analysis of its labor
supply and demand.
True
False
6.
As an option for avoiding an expected
labor shortage, the use of new external hires is
fast and
the terms of revocability are
high.
True
False
7.
In
the
past
decade,
the
typical
organizational
response
to
a
surplus
of
labor
has
been
downsizing, which is fast, but high in
human suffering.
True
False
8.
The
typical
organizational
response
to
a
labor
shortage
has
been
either
hiring
temporary
employees or
outsourcing, responses that are fast and high in
revocability.
True
False
9.
One
of
the
reasons
organizations
engaged
in
downsizing
was
that,
for
economic
reasons,
many firms changed the location of
where they did business.
True
False
10.
Despite
the
fact
that
baby
boomers
are
approaching
retirement,
early
indicators
show
this
group has no intention
of retiring.
True
False
11.
An
advantage
of
employing
temporary
workers
is
that
it
frees
the
firm
from
many
administrative tasks and financial
burdens associated with being the
True
False
12.
Outsourcing is a logical
choice when a firm does not have certain expertise
and is unwilling
to invest the time and
effort to develop it.
True
False
13.
Increasingly,
True
False
14.
Employers
prefer hiring and training new employees rather
than having to pay workers extra
for
overtime production.
True
False
15.
A comparison
of the proportion of workers in protected
subgroups with the proportion that
each
subgroup represents in the relevant labor market
is called a workforce utilization review.
True
False
16.
The goal of
recruiting is simply to generate large numbers of
applicants.
True
False
17.
Characteristics of a job vacancy are
less important than recruiters or recruiting
sources when
it comes to predicting job
choice.
True
False
18.
Research
indicates
that
job
applicants
find
companies
with
due
process
policies
more
attractive than companies with
employment-at-will practices.
True
False
19.
Image advertising is
often effective because job applicants develop
ideas about the general
reputation of
the firm and then this spills over to influence
their expectations about the nature of
specific jobs at the organization.
True
False
20.
Recruiting
advertisements
in
newspapers
and
periodicals
typically
generate
more
desirable
recruits than
direct applications or referrals.
True
False
21.
Private
employment agencies serve primarily blue-collar
workers, while public employment
agencies mostly deal with white-collar
workers.
True
False
22.
Newspaper
ads
generate
the
largest
number
of
recruits,
but
relatively
few
of
these
are
qualified for the position.
True
False
23.
Recruiters
tend
to
be
viewed
by
job
seekers
as
less
credible
when
they
are
personnel
specialists rather
than subject matter experts in the job being
filled.
True
False
24.
When
applicants' reactions to recruiters are examined,
age and gender are the two traits that
stand out the most.
True
False
25.
Research
indicates
that
realistic
job
previews
do
lower
expectations
and
can
help
reduce
future turnover in the workforce.
True
False
Multiple Choice Questions
26.
The first
step in the human resource planning process is
_____.
A.
forecasting
B.
goal setting
C.
program
implementation
D.
program evaluation
E.
groupthink
27.
The
process
of
attempting
to
ascertain
the
supply
and
demand
for
various
types
of
human
resources is called _____.
A.
goal setting
B.
downsizing
C.
program evaluations
D.
forecasting
E.
implementation
28.
Which of the
following is an advantage of statistical
forecasting methods?
A.
They
are
particularly
useful
if
important
events
that
occur
in
the
labor
market
have
no
historical precedent.
B.
They are
particularly useful in dynamic environments.
C.
They provide predictions that are much
more precise than judgmental methods.
D.
Small
companies that cannot afford their own testing
programs rely on statistical forecasting
methods to recruit temporary employees.
E.
In the event of a legal dispute, they
are more acceptable as evidence by juries.
29.
Which
of
the
following
differentiates
statistical
forecasting
methods
from
judgmental
forecasting
methods?
A.
Judgmental
methods
are
of
less
use
than
statistical
methods
in
cases
that
have
historical
precedence.
B.
Statistical
methods
allow
for
complete
reliance
on
an
inference
about
the
future
which
judgmental methods do
not.
C.
Judgmental
methods
give
predictions
that
are
much
more
precise
than
those
that
could
be
achieved through
statistical methods.
D.
Under the right conditions,
statistical methods are more precise for capturing
historic trends
in a company's demand
for labor than judgmental methods.
E.
Forecasting
on
the
supply
side
should
use
statistical
methods
while
on
the
demand
side
should use judgmental methods.
30.
A leading indicator is:
A.
an informal way of
measuring the purchasing power parity between two
currencies.
B.
a measurement of consumer confidence,
which is defined as the degree of optimism on the
state of the economy.
C.
an
economic
indicator
found
by
adding
the
unemployment
rate
to
the
inflation
rate
of
an
economy.
D.
an indicator
to measure changes in the price level of consumer
goods and services purchased
by
households.
E.
an objective measure that accurately
predicts future labor demand.
31.
Statistical planning models almost
always have to be complemented by _____.
A.
competitor
information
B.
subjective judgments
C.
transitional
matrices
D.
future prediction of the state of the
economy
E.
historical precedence
32.
A(n) _____ shows the proportion of
employees in different job categories at different
times.
A.
employee task diagram
B.
transitional
matrix
C.
job evaluation diagram
D.
task role
matrix
E.
leading indicator
33.
Refer to the following hypothetical
transitional matrix for an auto parts
manufacturer.
How
many
of
the
total
assistant
managers
employed
in
2001
were
promoted
to
the
managerial
position in 2004?
A.
95%
B.
8%
C.
5%
D.
87%
E.
83%
34.
Refer to the following
hypothetical transitional matrix for an auto parts
manufacturer.
Employees of which of the following job
categories were not promoted at all in 2004?
A.
Sales
representative
B.
Assistant manager
C.
Clerical
D.
Credit analyst
E.
Credit
specialist
35.
Refer to the following
hypothetical transitional matrix for an auto parts
manufacturer.
In
which of the following job categories were there
demotions?
A.
Assistant managers
B.
Credit
specialist
C.
Clerical
D.
Loan officer
E.
Manager
36.
Refer to the following hypothetical
transitional matrix for an auto parts
manufacturer.
How
many credits specialists employed in 2001 were
promoted to the category of loan officers in
2004?
A.
70%
B.
20%
C.
5%
D.
50%
E.
90%
37.
Refer to the
following hypothetical transitional matrix for an
auto parts manufacturer.
Which of the following job categories
saw the highest percent of its employees get
promoted in
2004?
A.
Sales representatives
B.
Managers
C.
Credit specialists
D.
Loan officers
E.
Clerks
38.
Which of the following is true about
transitional matrices?
A.
A transitional matrix can only be read
from top to bottom.
B.
Transitional
matrices
provide
a
comparison
of
the
proportion
of
workers
in
protected
subgroups with the
proportion that each subgroup represents in the
relevant labor market.
C.
Transitional matrices
provide an objective measure of the effectiveness
of an organization's
human resource
recruitment policy.
D.
Transitional
matrices
are
extremely
useful
for
charting
historical
trends
in
a
company's
supply of labor.
E.
Transitional
matrices show the increase in productivity of
employees over a period of time.
39.
The goals that are set in the human
resource planning process should come directly
from:
A.
mid-level managers who tend to be most
in touch with the organization's needs.
B.
the results arrived at by forecasting
methods.
C.
the analysis of the labor supply and
demand.
D.
the strategic choices made by the
company's top-level managers.
E.
the feedback
provided by the organization's customers.
40.
The purpose of setting specific
quantitative goals is:
A.
to make sure that employees are held
accountable for achieving the stated goals.
B.
to
ascertain
whether
or
not
the
company
has
successfully
avoided
any
potential
labor
surpluses or
shortages.
C.
to collect data about current employees
and measure their performances.
D.
to
focus
attention
on
the
problem
and
provide
a
benchmark
for
determining
the
relative
success of any
programs aimed at redressing a pending labor
shortage or surplus.
E.
to
predict
areas
within
the
organization
where
there
will
be
future
labor
shortages
or
surpluses.
41.
A
software
company
is
seeking
to
address
a
projected
labor
shortage
by
selecting
from
a
number
of
possible
options
aimed
at
redressing
the
pending
labor
shortage.
In
which
of
the
following steps of the human resource
planning process does this occur?
A.
Goal setting
and strategic planning
B.
Program evaluation
C.
Forecasting
D.
Program implementation
E.
Data collection
42.
Which of the
following options for reducing an expected labor
surplus is a slower option and
is low
on human suffering?
A.
Downsizing
B.
Demotions
C.
Early
retirement
D.
Transfers
E.
Temporary employees
43.
Which of the following options for
reducing an expected labor surplus is a faster
option but
results in high human
suffering?
A.
Early retirement
B.
Retraining
C.
Hiring freeze
D.
Natural attrition
E.
Demotions
44.
Which
of
the
following
options
for
avoiding
an
expected
labor
shortage
has
the
benefit
of
being
a fast solution with high revocability?
A.
Temporary
employees
B.
Technological innovation
C.
Turnovers
D.
New external hires
E.
Retraining
45.
Which of the following options for
avoiding an expected labor shortage is a slow
solution
and has low
revocability?
A.
Overtime
B.
Temporary employees
C.
Retrained transfers
D.
Technological
innovation
E.
Outsourcing
46.
_____
is
an
option
for
avoiding
an
expected
labor
shortage
that
is
slow
and
has
high
revocability.
A.
Natural
attrition
B.
Retrained transfers
C.
Outsourcing
D.
Overtime
E.
Technological innovation
47.
Your company's primary concern is to
reduce an expected labor surplus fast; its
secondary
concern
is
to
minimize
human
suffering.
The
option
that
would
best
address
the
company's
concerns (in the
priority indicated) is:
A.
layoffs and transfers.
B.
hiring freeze
and work sharing.
C.
early retirement and
retraining.
D.
natural attrition and transfers.
E.
homesourcing and work sharing.
48.
_____
is
the
planned
elimination
of
large
numbers
of
personnel
designed
to
enhance
organizational
effectiveness.
A.
Homesourcing
B.
Downsizing
C.
Retirement
D.
Retraining
E.
Work sharing
49.
Which of the following is a negative
effect of downsizing?
A.
In case the laid-off employees are a
part of any labor unions, the company may have to
fight
the unions legally.
B.
Many
downsizing campaigns let go of people who turn out
to be irreplaceable assets.
C.
Downsizing
interferes
with
the
optimization
of
resources
brought
through
voluntary
transactions in
the market.
D.
Downsizing
is
time-consuming
because
managers
have
to
go
through
employee
records
to
look for low performers.
E.
Downsized companies have to deal with
the extra pressure of gaining back the business
and
confidence of the client.
50.
Which of the following statements is
true about downsizing?
A.
The typical organizational response to
a surplus of labor has been downsizing, which is
slow
but low in human suffering.
B.
An organization turns to downsizing
only in times of recession.
C.
In firms that
are high in research and development intensity,
downsizing has been linked to
higher
long-term organizational profits.
D.
The negative
effects of downsizing seem to be reduced in
service industry's characterized by
high levels of customer contact.
E.
Downsizing
efforts
often
fail
because
employees
who
survive
the
purges
often
become
narrow-minded, self-
absorbed, and risk-averse.
51.
The _____
requires that employers give workers 60 days
warning regarding layoffs, as well
as
severance pay.
A.
Employer's Liability Act
B.
Worker
Adjustment and Retraining Notification Act
C.
Protection of Employment Regulations
D.
Age Discrimination in Employment Act
E.
Equal Pay Act
52.
Which of the
following is most likely to lead to a successful
downsizing?
A.
Avoiding indiscriminant reductions
B.
Informing employees that they are laid
off via emails
C.
Downsizing at random
D.
Avoiding changes in the nature of work
roles
E.
Removing the oldest and best-paid
employees first
53.
Which of the
following best explains why older people
approaching retirement age have no