Human Resource Management MCQ

1401. In building the compensation system, the entrepreneur needs to maintain a fair and equitable system for all employees, both now and in the future

Correct Answer: Correct answer is: (A) Yes.

Exam Relevance: HR Management Exams, Business Management Exams, MBA Exams

Difficulty: Moderate

Concept notes: Maintaining a fair and equitable compensation system is crucial for employee satisfaction and retention in any organization.

Common Mistakes: Students may overlook the importance of long-term equity and focus only on immediate financial considerations.

Explanations: A fair and equitable compensation system ensures that all employees are treated justly, which is essential for maintaining a positive work environment and attracting and retaining talent. This fairness must be maintained both in the present and as the organization grows, to avoid issues of dissatisfaction and turnover.

Option Analysis:

Option A: This option correctly acknowledges the importance of maintaining a fair and equitable compensation system for all employees.
Option B: This option incorrectly suggests that maintaining fairness and equity is not necessary.
Option C: This option is incorrect as it suggests that either maintaining fairness or not maintaining it is acceptable, which is not the case.
Option D: This option is incorrect as it suggests that neither maintaining fairness nor not maintaining it is acceptable, which contradicts the need for fairness.

1402. People who are often executives of chamber of commerce, are classified in personality type of

Correct Answer: Correct answer is: (B) Enterprising.

Exam Relevance: GRE, GMAT, MBTI, Career Aptitude Tests

Difficulty: Easy

Concept notes: The enterprising personality type is characterized by leadership, ambition, and a desire to influence others. These traits are often found in executives of chambers of commerce.

Common Mistakes: Students may confuse the enterprising type with the social type, which focuses more on helping and teaching others rather than leading and influencing.

Explanations: Executives of chambers of commerce are typically enterprising because they exhibit leadership qualities, are ambitious, and seek to influence others. This aligns with the enterprising personality type, which is marked by a strong drive to lead and achieve.

Option Analysis:

Option A: Non-enterprising individuals are not typically found in leadership roles such as executives of chambers of commerce.
Option B: Enterprising individuals are characterized by leadership and ambition, fitting the role of an executive in a chamber of commerce.
Option C: Social individuals are more focused on helping and teaching others, which is not the primary focus of an executive role.
Option D: Investigative individuals are more interested in research and analysis, which is not the primary focus of an executive role in a chamber of commerce.

Mnemonic: E for Executives, E for Enterprising

1403. The basic objective of any business is .....

Correct Answer: Correct answer is: (A) Survival.

Exam Relevance: MBA, BBA, Business Management

Difficulty: Easy

Concept notes: The basic objective of any business is to ensure its survival.

Common Mistakes: Students often confuse survival with profit, thinking that profit is the primary goal.

Explanations: Survival is the fundamental objective of any business because without it, other goals such as profit and growth cannot be achieved. A business must first ensure its continued existence before it can focus on other objectives.

Option Analysis:

Option A: Correct. Survival is the primary objective as it ensures the business can continue to operate.
Option B: Incorrect. While profit is important, it is not the basic objective; it is a means to ensure survival and growth.
Option C: Incorrect. Growth is a secondary objective that depends on the business first surviving.
Option D: Incorrect. Personal goals are not the basic objective of a business.

Mnemonic: Survive to Thrive

1404. Performance Appraisal is a primary human resource management process that links employees and organizations and provides input for other processes through these means:

Correct Answer: Correct answer is: (D) Identification, measurement, management.

Exam Relevance: HRM Exams, MBA Exams, Management Exams

Difficulty: Moderate

Concept notes: Performance Appraisal is a process that evaluates employee performance and links it to organizational goals. It involves identifying performance standards, measuring employee performance against these standards, and managing the outcomes to improve performance.

Common Mistakes: Students often confuse the steps of performance appraisal with other HR processes such as recruitment or training and development.

Explanations: Performance Appraisal involves three key steps: identification of performance standards, measurement of employee performance against these standards, and management of the outcomes to improve performance. This aligns with the correct answer, which includes identification, measurement, and management.

Option Analysis:

Option A: Skill, effort, responsibility are components of performance but not the steps of the appraisal process.
Option B: Recruitment, Selection, on boarding are part of the hiring process, not performance appraisal.
Option C: Assessment, direction, development are related to performance management but not the core steps of performance appraisal.
Option D: Identification, measurement, management are the core steps of the performance appraisal process.

Mnemonic: IDM: Identify, Measure, Manage

1405. What is not part of the definition of Collective Bargaining?

Correct Answer: Correct answer is: (D) Dealing with employees concerning grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of work.

Exam Relevance: Civil Services Exam, MBA Entrance Exams, HR Management Exams

Difficulty: Moderate

Concept notes: Collective bargaining is a process of negotiation between employers and a group of employees aimed at agreements to regulate working conditions. The correct answer identifies activities that are part of the broader scope of labor relations but are not specifically defined as part of the collective bargaining process.

Common Mistakes: Students may confuse collective bargaining with general labor relations activities, which can include dealing with grievances and labor disputes. However, collective bargaining specifically refers to the negotiation of terms and conditions of employment.

Explanations: Collective bargaining involves the negotiation of an agreement and the mutual obligation to meet and confer in good faith. It does not include the day-to-day dealings with employees concerning grievances or labor disputes, which are part of the broader labor relations process but not the core definition of collective bargaining.

Option Analysis:

Option A: This describes the mutual obligation to meet and confer in good faith, which is part of collective bargaining.
Option B: This describes the negotiation of an agreement, which is part of collective bargaining.
Option C: This describes the execution of a written contract, which is part of collective bargaining if requested by either party.
Option D: This describes activities that are part of labor relations but not specifically part of the collective bargaining process.

1406. Which unit acts as a clearing house in screening applications that are unrealistic.

Correct Answer: Correct answer is: (A) Personnel.

Exam Relevance: HR Management Exams, Recruitment Exams, Competitive Government Exams

Difficulty: Moderate

Concept notes: The personnel unit is responsible for managing and screening applications to ensure they meet the organization's requirements and are realistic.

Common Mistakes: Students may confuse the personnel unit with other units like selection or welfare, which have different primary functions.

Explanations: The personnel unit acts as a clearing house by reviewing and screening applications to filter out those that are unrealistic or do not meet the organization's criteria. This ensures that only viable applications proceed to further stages of the hiring process.

Option Analysis:

Option A: Personnel unit is responsible for screening applications to ensure they are realistic and meet the organization's criteria.
Option B: Selection unit is responsible for choosing candidates from the pool of screened applications, not for initial screening.
Option C: Production unit is focused on manufacturing or delivering products and services, not on screening applications.
Option D: Welfare unit is concerned with employee benefits and well-being, not with screening applications.

Mnemonic: P for Personnel, P for Pre-screening.

1407. Which of the following is not true of the activity known as job analysis?

Correct Answer: Correct answer is: (A) The rate of pay for the job is fixed.

Exam Relevance: HR Exams, Management Exams, Competitive Exams

Difficulty: Easy

Concept notes: Job analysis is a systematic process used to identify and document the specific tasks, duties, and responsibilities of a job. It also includes the conditions under which the job is performed and the skills, knowledge, and abilities required to perform the job effectively. However, job analysis does not typically involve setting the rate of pay for the job.

Common Mistakes: Students may mistakenly believe that job analysis includes determining the salary or compensation for a job, which is not accurate.

Explanations: Job analysis focuses on describing the job's purpose, tasks, and conditions, but it does not fix the rate of pay. The rate of pay is usually determined by other factors such as market conditions, organizational policies, and negotiations.

Option Analysis:

Option A: This is not true because job analysis does not fix the rate of pay for the job.
Option B: This is true because job elements are often rated in terms of frequency, use, or time involved.
Option C: This is true because job analysis aims to describe the purpose of a job and the conditions under which it is performed.
Option D: This is true because job analysis breaks down jobs into elements such as information required and relations with other people.

Mnemonic: J.A. = Job Analysis, Not Pay Fix

1408. An employees hired to work for a business as long as the business in profitable and the employee's work is satisfactory is called

Correct Answer: Correct answer is: (C) Permant.

Exam Relevance: SAT, ACT, AP Human Geography

Difficulty: Moderate

Concept notes: An employee hired to work for a business as long as the business is profitable and the employee's work is satisfactory is considered a permanent employee.

Common Mistakes: Students may confuse permanent employment with temporary or part-time employment, which have different conditions and durations.

Explanations: Permanent employment refers to a long-term, indefinite employment contract where the employee continues to work for the business as long as the business remains profitable and the employee's performance is satisfactory. This type of employment is not limited to a specific duration and is not contingent on the completion of a specific project or task.

Option Analysis:

Option A: Temporary employment is for a limited duration and is not indefinite.
Option B: Part-time employment is for fewer hours than full-time and does not imply indefinite duration.
Option C: Permanent employment is indefinite and contingent on business profitability and employee performance.
Option D: "Fill in" is not a recognized employment type and does not fit the description.

Mnemonic: P for Permant, P for Profitable, P for Performance

1409. Steve realizes that Mary is feeling stagnated in her job and has no challenge. He uses x to improve her working conditions by asking here to do more, different kinds of tasks, and adding higher level tasks to her job

Correct Answer: Correct answer is: (A) Job enrichment.

Exam Relevance: HRM exams, Organizational Behavior exams, Management exams

Difficulty: Moderate

Concept notes: Job enrichment involves enhancing the content of a job to make it more rewarding and challenging for the employee.

Common Mistakes: Students may confuse job enrichment with job enlargement, which involves increasing the number of tasks at the same level of responsibility.

Explanations: Job enrichment is the process of adding more meaningful and challenging tasks to a job to increase job satisfaction and motivation. By asking Mary to do more tasks, different kinds of tasks, and higher-level tasks, Steve is enriching her job, making it more fulfilling and engaging.

Option Analysis:

Option A: Correct. Job enrichment involves adding more meaningful and challenging tasks to a job.
Option B: Incorrect. Job analysis is the process of collecting information about the duties, responsibilities, and specifications of a job.
Option C: Incorrect. Task enrichment is not a standard term; job enrichment is the correct term for adding more meaningful tasks.
Option D: Incorrect. Money is not a method of improving job conditions through task variety and challenge.

Mnemonic: J.E. = Job Enrichment

1410. WHICH OF THESE STRATEGIES ENSURES SELECTION OF RIGHT PERSON FOR THE RIGHT JOB?

Correct Answer: Correct answer is: (B) HUMAN RESOURCES.

Exam Relevance: CAT, GMAT, GRE, HR Exams

Difficulty: Easy

Concept notes: Human Resources (HR) is responsible for ensuring the right person is selected for the right job through recruitment, selection, and placement processes.

Common Mistakes: Students may mistakenly believe that finance is responsible for hiring decisions, but finance primarily deals with financial planning and management.

Explanations: Human Resources (HR) is the department responsible for managing the recruitment, selection, and placement of employees. This includes ensuring that the right person is selected for the right job by conducting interviews, evaluating skills, and matching candidates to job requirements. Finance, on the other hand, is focused on financial planning, budgeting, and financial management, and does not typically handle the selection of employees.

Option Analysis:

Option A: Finance is not responsible for selecting the right person for the right job; it focuses on financial management.
Option B: Human Resources is responsible for ensuring the right person is selected for the right job through recruitment and selection processes.
Option C: This option is incorrect because only Human Resources is responsible for the selection process.
Option D: This option is incorrect because Human Resources is indeed responsible for the selection process.

Mnemonic: HR picks the right fit.

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Human Resource Management MCQ - Set 141

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