Test Bank for Human Resource Management, 15th Edition

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Human Resource
Management
Fifteenth Edition
Joseph J. Martocchio
Test Bank (Download only)
for Human Resource
Management
Angela Boston

1
Human Resource Management, 15e (Martocchio)
Chapter 1 Human Resource Management: An Overview
1) The utilization of individuals to achieve organizational objectives is known as ________.
A) human resource leadership
B) human resource management
C) human resource staffing
D) human resource planning
Answer: B
Explanation: Human resource management (HRM) is the utilization of individuals to achieve
organizational objectives. Basically, all managers get things done through the efforts of others.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
2) HR professionals only work with ________.
A) other HR professionals
B) only HR specialists
C) all managers throughout the company
D) every person who has applied for employment
Answer: C
Explanation: Human resource management (HRM) is the use of individuals to achieve
organizational objectives. Basically, all managers get things done through the efforts of others.
Consequently, managers at every level must concern themselves with HRM. Individuals dealing
with human resource matters face a multitude of challenges, ranging from a constantly changing
workforce to ever-present government regulations, a technological revolution, and the economy
of the United States and the world. Furthermore, global competition has forced both large and
small organizations to be more conscious of costs and productivity. Because of the critical nature
of human resource issues, these matters must receive major attention from upper management.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
3) Human resource management (HRM) is the utilization of individuals to achieve organizational
objectives.
Answer: TRUE
Explanation: Human resource management (HRM) is the utilization of individuals to achieve
organizational objectives. Basically, all managers get things done through the efforts of others.
Consequently, managers at every level must concern themselves with HRM.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

2
4) Global competition is rarely relevant to the work of HR professionals.
Answer: FALSE
Explanation: Global competition has forced both large and small organizations to be more
conscious of costs and productivity. Because of the critical nature of human resource issues,
these matters must receive major attention from upper management.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
5) What is human resource management? What are the six functional areas of HRM?
Answer: Human resource management (HRM) is the utilization of individuals to achieve
organizational objectives. Basically, all managers get things done through the efforts of others.
Consequently, managers at every level must concern themselves with HRM. Six functional areas
are associated with effective HRM: staffing, HR development, performance management,
compensation, safety and health, and employee and labor relations.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
6) What is the staffing function of HRM? Identify and discuss what staffing involves.
Answer: Staffing is the process through which an organization ensures that it always has the
proper number of employees with the appropriate skills in the right jobs, at the right time, to
achieve organizational objectives. Staffing involves the following activities: job analysis, human
resource planning, recruitment, and selection.
Job analysis is the systematic process of determining the skills, duties, and knowledge required
for performing jobs in an organization. It impacts virtually every aspect of HRM. Human
resource planning is the systematic process of matching the internal and external supply of
people with job openings anticipated in the organization over a specified period. The data
provided set the stage for other HR actions. Recruitment is the process of attracting individuals
on a timely basis, in sufficient numbers, and with appropriate qualifications to apply for jobs
with an organization. Selection is the process of choosing the individual best suited for a position
and the organization from a group of applicants.
Diff: 3
Skill: Synthesis
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

3
7) Staffing is the process through which an organization ensures that it always has the proper
number of employees with the appropriate skills in the right jobs, at the right time, to achieve
organizational objectives.
Answer: TRUE
Explanation: Staffing is the process through which an organization ensures that it always has the
proper number of employees with the appropriate skills in the right jobs, at the right time, to
achieve organizational objectives.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
8) The staffing process involves all of the following functions EXCEPT ________.
A) job analysis
B) recruitment
C) product placement
D) selection
Answer: C
Explanation: Staffing involves job analysis, human resource planning, recruitment, and
selection.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
9) Lauren is an HR manager at a marketing firm. Which of the following functions is LEAST
likely to be an aspect of Lauren's job?
A) staffing
B) employee safety
C) product testing
D) employee and labor relations
Answer: C
Explanation: Six functional areas are associated with effective HRM: staffing, HR development,
performance management, compensation, safety and health, and employee and labor relations.
Diff: 1
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it

4
10) Many HR departments are most likely becoming smaller because ________.
A) federal agencies monitor HR functions
B) HR telecommuting is gaining popularity
C) external groups are performing HR functions
D) there is no way to explain the role of HR professionals as strategic business partners
Answer: C
Explanation: Many HR departments continue to get smaller because others outside the HR
department are now performing certain functions. HR outsourcing, shared service centers,
professional employer organizations, and line managers now assist in the accomplishment of
many traditional human resource activities.
Diff: 3
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
11) What is the systematic process of determining the skills, duties, and knowledge required for
performing jobs in an organization?
A) strategic planning
B) job enlargement
C) recruitment
D) job analysis
Answer: D
Explanation: Job analysis is the systematic process of determining the skills, duties, and
knowledge required for performing jobs in an organization. It impacts virtually every aspect of
HRM, including planning, recruitment, and selection. Recruitment is the process of attracting
individuals on a timely basis, in sufficient numbers, and with appropriate qualifications to apply
for jobs with an organization.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
12) The systematic process of matching the internal and external supply of people with job
openings anticipated in the organization over a specified period of time is referred to as
________.
A) HR planning
B) recruitment
C) job analysis
D) performance appraisal
Answer: A
Explanation: Human resource planning is the systematic process of matching the internal and
external supply of people with job openings anticipated in the organization over a specified
period. The data provided set the stage for recruitment or other HR actions.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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5
13) The process of attracting individuals on a timely basis, in sufficient numbers, and with
appropriate qualifications, to apply for jobs with an organization is referred to as ________.
A) HR planning
B) selection
C) appraisal
D) recruitment
Answer: D
Explanation: Recruitment is the process of attracting individuals on a timely basis, in sufficient
numbers, and with appropriate qualifications, to apply for jobs with an organization. Human
resource planning is the systematic process of matching the internal and external supply of
people with job openings anticipated in the organization over a specified period. The data
provided set the stage for recruitment or other HR actions.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
14) Lyle, an HR specialist at a publishing company, is in the process of choosing from a group of
applicants the individual best suited for an assistant editor position. Lyle is most likely involved
in the function of ________.
A) recruitment
B) HR planning
C) job analysis
D) selection
Answer: D
Explanation: Selection is the process of choosing from a group of applicants the individual best
suited for a particular position and the organization. Recruitment is the process of attracting
individuals on a timely basis, in sufficient numbers, and with appropriate qualifications, to apply
for jobs with an organization.
Diff: 2
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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6
15) Which HRM function consists of training and development, individual career planning and
development activities, organization development, and performance management and appraisal?
A) management by objectives
B) employee and labor relations
C) organizational development
D) human resource development
Answer: D
Explanation: Human resource development is a major HRM function consisting not only of
training and development but also of career planning and development activities, organization
development, and performance management and appraisal.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
16) Connor works as an accountant at Price Waterhouse and is scheduled to meet with his
manager for a formal review and evaluation of his strengths and weaknesses. In which of the
following activities is Connor most likely participating?
A) performance appraisal
B) career development
C) succession planning
D) job analysis
Answer: A
Explanation: Performance appraisal is a formal system of review and evaluation of individual or
team task performance. It affords employees the opportunity to capitalize on their strengths and
overcome identified deficiencies, thereby helping them to become more satisfied and productive
employees.
Diff: 2
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it
17) Which of the following provides learners with the knowledge and skills needed for their
present jobs?
A) training
B) development
C) career planning
D) succession planning
Answer: A
Explanation: Training is designed to provide learners with the knowledge and skills needed for
their present jobs. Development involves learning that goes beyond today's job and has a more
long-term focus.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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7
18) Which of the following involves learning that goes beyond today's job and has a more long-
term focus?
A) training
B) career planning
C) development
D) organizational development
Answer: C
Explanation: Development involves learning that goes beyond today's job and has a more long-
term focus. Training is designed to provide learners with the knowledge and skills needed for
their present jobs.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
19) An ongoing process whereby an individual sets career goals and identifies the means to
achieve them is called ________.
A) succession planning
B) career development
C) career planning
D) training
Answer: C
Explanation: Career planning is an ongoing process whereby an individual sets career goals and
identifies the means to achieve them. Career development is a formal approach used by the
organization to ensure that people with the proper qualifications and experiences are available
when needed.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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8
20) According to the U.S. Bureau of Labor Statistics, and a survey conducted by LinkedIn
revealed that today's employees under the age of 32 will work for approximately ________
companies and will change careers ________ times in their working lives.
A) 3; 3
B) 5; 6
C) 7 to 10; 4
D) 11 to 13; 5
Answer: C
Explanation: According to the U.S. Bureau of Labor Statistics, today's employees will work for
approximately 7 to 10 companies during their careers based on the assumption that most people
will work 30 to 40 years. A survey conducted by LinkedIn revealed that on average, individuals
under the age of 32 change jobs four times. Employee loyalty loses its meaning in this
environment.
Diff: 3
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
21) A formal approach used by the organization to ensure that people with the proper
qualifications and experiences are available when needed is referred to as ________.
A) career development
B) succession planning
C) career planning
D) performance management
Answer: A
Explanation: Career development is a formal approach used by the organization to ensure that
people with the proper qualifications and experiences are available when needed. Career
planning is an ongoing process whereby an individual sets career goals and identifies the means
to achieve them.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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9
22) Which term refers to the planned and systematic attempt to change an organization and
improve its performance?
A) organization development
B) corporate development
C) performance management
D) organization training
Answer: A
Explanation: Organization development (OD) is planned and systematic attempts to change the
organization (corporate culture), typically to a more behavioral environment. OD applies to an
entire system, such as a company or a plant. Numerous OD methods are discussed that serve to
improve a firm's performance.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
23) Which of the following terms refers to a goal-oriented process that is directed toward
ensuring that organizational processes are in place to maximize the productivity of employees,
teams, and the organization?
A) team strategic management
B) performance management
C) organization development
D) career development
Answer: B
Explanation: Performance management is a goal-oriented process that is directed toward
ensuring that organizational processes are in place to maximize the productivity of employees,
teams, and ultimately, the organization.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
24) Raj, a software engineer, recently met with his manager for a review and evaluation of Raj's
performance over the last six months. In which of the following did Raj most likely participate?
A) performance management
B) performance appraisal
C) organizational appraisal
D) succession planning
Answer: B
Explanation: Performance appraisal is a formal system of review and evaluation of individual or
team task performance. It affords employees the opportunity to capitalize on their strengths and
overcome identified deficiencies, thereby helping them to become more satisfied and productive
employees.
Diff: 2
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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10
25) What HR tool gives employees the opportunity to capitalize on their strengths and overcome
identified deficiencies?
A) manager self-service
B) employee orientation
C) performance appraisal
D) selection tests
Answer: C
Explanation: Performance appraisal is a formal system of review and evaluation of individual or
team task performance. It affords employees the opportunity to capitalize on their strengths and
overcome identified deficiencies, thereby helping them to become more satisfied and productive
employees.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
26) Compensation, as described in your text, refers to the ________.
A) total of all rewards provided to employees in return for their services
B) wages individuals receive each pay period
C) wage schedules and wage rates listed in the union contract
D) internal alignment of intrinsic awards
Answer: A
Explanation: As used in the book, the term "compensation" includes the total of all rewards
provided to employees in return for their services. The rewards may be one or a combination of
direct financial compensation, indirect financial compensation, and nonfinancial compensation.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
27) All of the following are categories of employee compensation EXCEPT ________.
A) direct financial
B) nonfinancial
C) indirect financial
D) human capital
Answer: D
Explanation: As used in the text, the term "compensation" includes the total of all rewards
provided to employees in return for their services. The rewards may be one or a combination of
direct financial compensation, indirect financial compensation, and nonfinancial compensation.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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11
28) Wages, salaries, and commissions are most likely examples of ________.
A) direct financial compensation
B) indirect financial compensation
C) employment incentives
D) employment benefits
Answer: A
Explanation: Direct financial compensation is the pay that a person receives in the form of
wages, salaries, commissions, and bonuses. Indirect financial compensation refers to the
financial rewards that are not included in direct compensation, such as paid vacations, sick leave,
holidays, and medical insurance.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
29) Ellen enjoys working at Starbucks because of her interactions with customers and coworkers.
The satisfaction that Ellen feels would best be categorized as ________.
A) emotional health
B) nonfinancial compensation
C) performance satisfaction
D) indirect financial compensation
Answer: B
Explanation: Nonfinancial compensation is the satisfaction that a person receives from the job
itself or from the psychological and/or physical environment in which the person works.
Diff: 3
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it
30) Ben works at a small advertising agency as a graphic artist. Ben enjoys his job because the
company allows employees to have flexible schedules and to telecommute when necessary.
Which of the following best describes this type of employee compensation?
A) indirect financial compensation
B) direct financial compensation
C) nonfinancial compensation
D) required compensation
Answer: C
Explanation: Nonfinancial compensation refers to the physical environment in which the person
works, which includes the schedule the firm allows. Flexible scheduling and telecommuting are
neither direct nor indirect forms of financial compensation.
Diff: 2
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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12
31) As a public school teacher, Molly has accrued 14 days of sick leave, which is a type of
________ compensation.
A) direct financial
B) indirect financial
C) nonfinancial
D) mandatory
Answer: B
Explanation: Indirect financial compensation refers to the financial rewards that are not included
in direct compensation, such as paid vacations, sick leave, holidays, and medical insurance.
Nonfinancial compensation is the satisfaction that a person receives from the job itself or from
the psychological and/or physical environment in which the person works.
Diff: 3
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it
32) What is the primary reason that firms are more attentive to employee safety and health than
they were in the past?
A) federal legislation
B) health care costs
C) labor unions
D) tax benefits
Answer: A
Explanation: Today, because of federal and state legislation that reflects societal concern, most
organizations have become attentive to their employees' safety and health.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
33) What human resource management task involves protecting employees from injuries caused
by work-related accidents?
A) accident prevention
B) injury analysis
C) job analysis
D) safety
Answer: D
Explanation: Safety involves protecting employees from injuries caused by work-related
accidents.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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13
34) Healthy and safe employees are more likely to ________.
A) earn managerial promotions
B) request salary increases
C) remain productive
D) join labor unions
Answer: C
Explanation: Health and safety are important because employees who work in a safe
environment and enjoy good health are more likely to be productive and yield long-term benefits
to the organization.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
35) Approximately half of all employees at ABC Manufacturing are union members. Which of
the following is ABC Manufacturing required by law to do with the labor unions?
A) bargain with them in good faith
B) make concessions to them
C) help them organize activities
D) pay dues for their new members
Answer: A
Explanation: Businesses are required by law to recognize a union and bargain with it in good
faith if the firm's employees want the union to represent them. In the past, this relationship was
an accepted way of life for many employers, but most firms today would rather have a union-free
environment.
Diff: 2
Skill: Concept
AACSB: Application of knowledge
LO: 1.1: Define human resource management (HRM) and the importance of studying it
36) What human resource task pervades all functional areas of human resource management?
A) health and safety
B) development
C) training
D) data analytics
Answer: D
Explanation: Although human resource data analytics is not a distinct HRM function, it
pervades all functional areas, and the researcher's laboratory is the entire work environment.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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14
37) Staffing is the process through which an organization ensures that it always has the proper
number of employees with the appropriate skills in the right jobs, at the right time, to achieve the
organization's objectives.
Answer: TRUE
Explanation: Staffing is the process through which an organization ensures that it always has the
proper number of employees with the appropriate skills in the right jobs, at the right time, to
achieve organizational objectives. Staffing involves job analysis, human resource planning,
recruitment, and selection.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
38) All HRM functional areas are highly interrelated.
Answer: TRUE
Explanation: All HRM functional areas are highly interrelated. Management must recognize that
decisions in one area will affect other areas.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
39) Human resource planning is the systematic process of determining the skills, duties, and
knowledge required for performing jobs in an organization.
Answer: FALSE
Explanation: Human resource planning involves matching internal and external supplies of
people with job openings over a specific period of time.
Diff: 2
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it
40) Recruitment is the process of attracting qualified individuals and encouraging them to apply
for work with the organization.
Answer: TRUE
Explanation: Recruitment is the process of attracting individuals on a timely basis, in sufficient
numbers, and with appropriate qualifications, to apply for jobs with an organization.
Diff: 1
Skill: Concept
AACSB: Analytical thinking
LO: 1.1: Define human resource management (HRM) and the importance of studying it

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