Human Resource Management MCQ – Change your future

201. Which of the following features characterize the Balance Score Card Method? The score cards are cascading in nature and as such are all pervasive in an organization It is supported by effective communication system Standardization of goals is not rigid Customer focus is an integral part of Balanced Score cards

Correct Answer: Correct answer is: (C) I, II, and IV.

Exam Relevance: MBA, CFA, PMP

Difficulty: Moderate

Concept notes: The Balanced Scorecard Method is a strategic management tool that helps organizations translate their mission and vision into a set of performance measures. It includes four perspectives: financial, customer, internal processes, and learning and growth.

Common Mistakes: Students may mistakenly believe that standardization of goals is a key feature of the Balanced Scorecard, when in fact, it emphasizes flexibility and alignment with organizational goals.

Explanations: The Balanced Scorecard Method is characterized by cascading scorecards that are pervasive throughout the organization (I). It relies on effective communication systems to ensure alignment and understanding (II). Customer focus is a critical component, as it includes customer satisfaction and value creation (IV). Standardization of goals is not a rigid requirement, as the method allows for customization to fit the organization's unique needs.

Option Analysis:

Option A: Incorrect because it includes III (Standardization of goals is not rigid), which is not a feature of the Balanced Scorecard.
Option B: Incorrect because it includes III (Standardization of goals is not rigid), which is not a feature of the Balanced Scorecard.
Option C: Correct because it includes I, II, and IV, which are accurate features of the Balanced Scorecard.
Option D: Incorrect because it includes III (Standardization of goals is not rigid), which is not a feature of the Balanced Scorecard.

202. Evaluating employee performance helps with all of the following EXCEPT which of the following?

Correct Answer: Correct answer is: (B) Sick leave.

Exam Relevance: HR Management Exams, Business Management Exams, Organizational Behavior Exams

Difficulty: Easy

Concept notes: Evaluating employee performance is typically used for decisions related to transfers, layoffs, and promotions. It does not directly impact sick leave policies or usage.

Common Mistakes: Students may mistakenly think that sick leave is directly influenced by performance evaluations, as they might confuse it with other forms of leave that could be performance-based.

Explanations: Evaluating employee performance is primarily used to make decisions about transfers, layoffs, and promotions. These decisions are based on an employee's work quality, productivity, and other performance metrics. Sick leave, on the other hand, is generally a benefit provided to employees regardless of their performance evaluations. It is intended to support employees during periods of illness and is not typically tied to performance metrics.

Option Analysis:

Option A: Transfers are often influenced by performance evaluations, as high-performing employees may be considered for better positions or roles.
Option B: Sick leave is not directly influenced by performance evaluations, as it is a standard benefit provided to all employees regardless of their performance.
Option C: Layoffs can be influenced by performance evaluations, as underperforming employees may be more likely to be laid off during downsizing.
Option D: Promotions are often based on performance evaluations, as high-performing employees are typically considered for advancement opportunities.

203. The process of comparing work and service methods against the best practices and outcomes in industry is known as

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

Exam Relevance: MBA Exams, Six Sigma Certification, PMP Certification

Difficulty: Easy

Concept notes: Benchmarking is the process of comparing work and service methods against the best practices and outcomes in industry to identify areas for improvement.

Common Mistakes: Students may confuse benchmarking with other quality improvement methods like Kaizen or Quality Circles, which focus on continuous improvement and employee involvement, respectively.

Explanations: Benchmarking involves comparing an organization's processes and performance metrics against those of leading organizations in the same or different industries. This comparison helps identify best practices and areas for improvement. The other options, Kaizens and Quality Circles, are different methodologies focused on continuous improvement and employee participation, respectively.

Option Analysis:

Option A: Correct. Benchmarking is the process of comparing work and service methods against the best practices and outcomes in industry.
Option B: Incorrect. Kaizens are focused on continuous improvement through small, incremental changes.
Option C: Incorrect. Quality Circles involve groups of employees who meet regularly to identify and solve work-related problems.
Option D: Incorrect. This option is not applicable as the correct answer is provided.

Mnemonic: Bench for Best: Benchmarking seeks the best practices.

204. Refers to employees' freedom from physical or emotional illness.

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

Exam Relevance: GRE, GMAT, Civil Services Exam

Difficulty: Easy

Concept notes: Health refers to the state of being free from physical or emotional illness.

Common Mistakes: Students may confuse health with safety, which refers to the state of being protected from harm or danger.

Explanations: Health is defined as the absence of physical or emotional illness. Safety, on the other hand, pertains to protection from harm or danger. Therefore, the term that best describes employees' freedom from physical or emotional illness is health.

Option Analysis:

Option A: Safety refers to protection from harm or danger, not the absence of illness.
Option B: Health correctly refers to the absence of physical or emotional illness.
Option C: Since health is the correct term, this option is incorrect.
Option D: Since health is the correct term, this option is incorrect.

205. A more diverse population also means a more diverse .....

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

Exam Relevance: AP Economics, SAT, ACT

Difficulty: Easy

Concept notes: A diverse population often leads to a diverse marketplace, as different cultural backgrounds, preferences, and needs create a variety of consumer demands.

Common Mistakes: Students might confuse the term "marketplace" with "management," thinking that diversity primarily affects organizational leadership.

Explanations: A more diverse population means a wider range of cultural, social, and economic backgrounds. This diversity translates into varied consumer preferences, needs, and behaviors, which in turn creates a more diverse marketplace. The marketplace reflects the diversity of the population by offering a broader range of products and services to cater to different consumer groups.

Option Analysis:

Option A: Management is not directly related to the diversity of the population in the context of the question.
Option B: Marketplace is the correct answer as it directly reflects the diversity of consumer preferences and needs.
Option C: Bigotry is a negative term and does not align with the positive connotation of diversity.
Option D: Custom is too narrow and does not encompass the broader concept of a diverse marketplace.

Mnemonic: Diverse Pop = Diverse Market

206. Which type of promotion has been described by W. R. Spriegel? Departmental Promotion Inter-departmental Promotion Inter-plant Promotion Inter-company Promotion

Correct Answer: Correct answer is: (A) I, II, III.

Exam Relevance: HR Management Exams, MBA Exams, Management Aptitude Tests

Difficulty: Moderate

Concept notes: W. R. Spriegel's work on promotions in organizations includes departmental, inter-departmental, and inter-plant promotions. Inter-company promotions are not typically covered in his framework.

Common Mistakes: Students may mistakenly include inter-company promotions, which are not part of Spriegel's framework.

Explanations: W. R. Spriegel's framework for promotions in organizations includes departmental promotions, which occur within the same department; inter-departmental promotions, which involve moving to a different department within the same organization; and inter-plant promotions, which involve moving to a different plant or facility within the same organization. Inter-company promotions, which involve moving to a different organization, are not included in Spriegel's framework.

Option Analysis:

Option A: Correct, as it includes departmental, inter-departmental, and inter-plant promotions, which are covered by Spriegel's framework.
Option B: Incorrect, as it includes inter-company promotions, which are not covered by Spriegel's framework.
Option C: Incorrect, as it includes inter-company promotions, which are not covered by Spriegel's framework.
Option D: Incorrect, as it includes inter-company promotions, which are not covered by Spriegel's framework.

Mnemonic: DIP: Departmental, Inter-departmental, Inter-plant

207. Jobs are compensated on the basis of .....

Correct Answer: Correct answer is: (B) Job worth.

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

Difficulty: Moderate

Concept notes: Job worth refers to the value of a job within an organization, which is used to determine the appropriate compensation for the role.

Common Mistakes: Students often confuse job worth with job analysis, which is the process of gathering information about a job, not the basis for compensation.

Explanations: Jobs are compensated based on their job worth, which is the value assigned to a job within an organization. This value is determined by factors such as the skills required, responsibilities, and the market rate for similar positions. Job worth is a critical component in establishing fair and competitive compensation packages.

Option Analysis:

Option A: Job analysis is the process of gathering information about a job, not the basis for compensation.
Option B: Job worth is the value assigned to a job, which is used to determine compensation.
Option C: Job specification outlines the qualifications and skills required for a job, not the basis for compensation.
Option D: Job description details the duties and responsibilities of a job, not the basis for compensation.

208. The formal process of familiarizing new employees with the organization, their jobs and their units

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

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

Difficulty: Easy

Concept notes: Orientation is the formal process of introducing new employees to the organization, their roles, and their units.

Common Mistakes: Students may confuse orientation with onboarding, which is a broader process that includes orientation.

Explanations: Orientation specifically refers to the formal process of familiarizing new employees with the organization, their jobs, and their units. This process typically includes an introduction to company policies, culture, and job-specific training. It is a crucial step in the onboarding process but is distinct from other forms of training or apprenticeships.

Option Analysis:

Option A: Onboarding is a broader process that includes orientation, but it is not limited to just the initial introduction.
Option B: On-the-job training (OJT) is a form of training where employees learn their job while performing it, not a formal introduction to the organization.
Option C: Orientation is the formal process of introducing new employees to the organization, their roles, and their units.
Option D: Apprenticeship is a form of training where an individual learns a trade or skill through practical work experience and theoretical instruction, not a formal introduction to the organization.

209. An automated end to end process of planning and recruiting employees is called

Correct Answer: Correct answer is: (C) Talent management.

Exam Relevance: HRM exams, MBA exams, Talent Management certifications

Difficulty: Moderate

Concept notes: Talent management involves a comprehensive approach to planning, recruiting, and developing employees to meet organizational needs.

Common Mistakes: Students may confuse talent management with other HR processes like phased retirement or pre-retirement counseling, which do not encompass the full scope of planning and recruiting.

Explanations: Talent management is an end-to-end process that includes strategic planning, recruitment, development, and retention of employees. It aims to ensure that the organization has the right talent in place to achieve its goals. This process is continuous and involves identifying future talent needs, attracting and selecting the best candidates, and developing their skills to meet organizational objectives. Therefore, it is the correct answer as it encompasses the full scope of planning and recruiting employees.

Option Analysis:

Option A: Phased retirement is a process where employees gradually reduce their work hours before full retirement and does not cover the entire scope of planning and recruiting.
Option B: Pre-retirement counseling focuses on preparing employees for retirement and does not involve the recruitment process.
Option C: Talent management is the correct answer as it involves the full process of planning and recruiting employees.
Option D: Modifying selection procedures is a part of the recruitment process but does not encompass the entire scope of talent management.

210. Governed under the Employment Insurance System (EIS) Act 2017 and administered by SOCSO as well, this EIS protects employees aged 18 to 60 who have lost their employment EXCEPT in the case of

Correct Answer: Correct answer is: (D) All of the above.

Exam Relevance: Public Service Commission (PSC) Exams, Civil Service Exams, Human Resource Management Exams

Difficulty: Moderate

Concept notes: The Employment Insurance System (EIS) Act 2017, administered by SOCSO, provides protection for employees aged 18 to 60 who have lost their employment. However, there are specific exceptions where the protection does not apply.

Common Mistakes: Students may mistakenly believe that the EIS covers all forms of employment termination, including misconduct, contract expiry, and retirement.

Explanations: The EIS Act 2017 does not provide protection in cases of dismissal due to misconduct, expiry of the contract, or retirement. These are specific exceptions where the employee is not eligible for EIS benefits. Therefore, the correct answer is "All of the above."

Option Analysis:

Option A: Dismissal due to misconduct is an exception where the EIS does not provide protection.
Option B: Expiry of the contract is another exception where the EIS does not provide protection.
Option C: Retirement is also an exception where the EIS does not provide protection.
Option D: Since all the above options are exceptions, the correct answer is "All of the above."

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Human Resource Management MCQ - Set 21

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