Human Resource Management MCQ – Change your future

691. Which TWO statements are FALSE?1. Employees must be given encouragement and emotional support to be creative.2. Top level management is involved in strategic planning and is not involved with innovation and new ideas.3. Employees should not receive material rewards for making new suggestions, because it is part of their job.4. Positive feedback is very important to encourage creativity.Choose the correct combination.

Correct Answer: Correct answer is: (B) 2 and 3.

Exam Relevance: GMAT, GRE, MBA entrance exams

Difficulty: Moderate

Concept notes: The question tests understanding of the role of management in innovation and the impact of rewards on creativity.

Common Mistakes: Students may incorrectly assume that top-level management is not involved in innovation, or that material rewards are detrimental to creativity.

Explanations: Top-level management is often involved in both strategic planning and fostering innovation. Material rewards can be effective in encouraging creativity and should not be dismissed as irrelevant to an employee's job responsibilities.

Option Analysis:

Option A: Incorrect because statement 1 is true and statement 4 is true.
Option B: Correct because statement 2 is false and statement 3 is false.
Option C: Incorrect because statement 4 is true.
Option D: Incorrect because statement 1 is true.

692. The policy in which the foreign subsidiary is staffed with host-country nationals and its home-office headquarters with parent-country nationals is known as:

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

Exam Relevance: MBA, HRM, International Business

Difficulty: Moderate

Concept notes: The polycentric approach in international human resource management involves staffing the foreign subsidiary with host-country nationals and the home-office headquarters with parent-country nationals.

Common Mistakes: Students may confuse the polycentric approach with the ethnocentric approach, which involves staffing the foreign subsidiary with parent-country nationals.

Explanations: The polycentric approach is characterized by the use of host-country nationals in the foreign subsidiary to leverage their local knowledge and cultural understanding. This approach also maintains the use of parent-country nationals in the home-office headquarters to ensure consistency in corporate culture and strategic direction. This staffing strategy is designed to balance local responsiveness and global integration.

Option Analysis:

Option A: Correct. The polycentric approach involves staffing the foreign subsidiary with host-country nationals and the home-office headquarters with parent-country nationals.
Option B: Incorrect. The geocentric approach involves selecting the best talent globally, regardless of nationality.
Option C: Incorrect. The ethnocentric approach involves staffing the foreign subsidiary with parent-country nationals.
Option D: Incorrect. The term "egocentric" is not a recognized approach in international human resource management.

Mnemonic: Poly = Many, Centric = Center, Think: Many centers, local and global.

693. Employee onboarding is the process of integrating new employees into the business and helping them acquire the necessary knowledge, skills, and behaviors to become effective team members. Which of the following is a FALSE statement about the onboarding process?

Correct Answer: Correct answer is: (D) The onboarding process should not take valuable time to explain routine procedures to new employees such as where to park their cars and when to go to lunch.

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

Difficulty: Easy

Concept notes: The onboarding process is crucial for integrating new employees into the organization and ensuring they understand the company culture, policies, and procedures.

Common Mistakes: Students may mistakenly believe that routine procedures are not important and can be overlooked during the onboarding process.

Explanations: The onboarding process should cover all aspects of the new employee's experience, including routine procedures. These details are important for the new employee to feel comfortable and confident in their new environment. Ignoring such details can lead to confusion and a poor first impression.

Option Analysis:

Option A: This statement is true as the onboarding process can indeed last several months or even a year to ensure full integration.
Option B: This statement is true as the orientation process typically includes introductions and completion of employment forms.
Option C: This statement is true as making new employees feel welcome is a key part of the onboarding process.
Option D: This statement is false because routine procedures are an essential part of the onboarding process and should not be overlooked.

694. Top managers' salaries traditionally depend upon

Correct Answer: Correct answer is: (D) Both A and B.

Exam Relevance: MBA exams, HR management exams, business administration exams

Difficulty: Moderate

Concept notes: Top managers' salaries are influenced by both the size of the company and its performance.

Common Mistakes: Students may overlook the combined influence of company size and performance, focusing on only one factor.

Explanations: Top managers' salaries are traditionally determined by a combination of factors. Larger companies often have higher budgets for executive compensation, reflecting the company size. Additionally, performance-based incentives are common, where managers are rewarded for achieving specific financial or operational goals. Therefore, both company size and performance play significant roles in determining top managers' salaries.

Option Analysis:

Option A: Company size is a factor, but it is not the only factor.
Option B: Company performance is a factor, but it is not the only factor.
Option C: Company internal equity is not the primary factor in determining top managers' salaries.
Option D: Both company size and performance are factors, making this the correct answer.

Mnemonic: Size and Success

695. Consider the following Statements: Traditional marketing strategy offers products and services based on what the target market desires rather than what the company wants them to have. A Performance Management System (PMS) involves a continuous process of communicating, coaching, motivating, training, feedback, evaluating and reviewing employees' performance by supervisors, in order to help firms achieve their goals. Supervisors should provide employees with feedback, development, and incentives necessary to help employees eliminate performance deficiencies or to continue to perform well. Which of the following statement(s) is/are true?

Correct Answer: Correct answer is: (D) Only 2, 3.

Exam Relevance: MBA, Marketing Exams, HR Management Exams

Difficulty: Moderate

Concept notes: The correct answer is based on the understanding of traditional marketing strategy and performance management systems.

Common Mistakes: Students may incorrectly believe that traditional marketing strategy focuses on what the company wants to offer rather than what the market desires.

Explanations: Traditional marketing strategy focuses on what the target market desires, not what the company wants to offer. This makes statement 1 incorrect. A Performance Management System (PMS) involves continuous processes such as communication, coaching, feedback, and evaluation to help firms achieve their goals, which makes statement 2 correct. Supervisors should provide feedback, development, and incentives to help employees improve or maintain performance, making statement 3 correct. Therefore, the correct answer is D, which includes statements 2 and 3.

Option Analysis:

Option A: Incorrect because it includes statement 1, which is false.
Option B: Incorrect because it includes statement 1, which is false.
Option C: Incorrect because it includes statement 1, which is false.
Option D: Correct because it includes statements 2 and 3, which are true.

696. Consider the following Statements: Low cost of entry into an international market is one of the advantages of Franchising. Parent country nationals (PCNs) are commonly used to fill lower-level jobs abroad. " The management function that is concerned with getting training, motivating, and keeping competent employees" Which of the following statement(s) is/are true?

Correct Answer: Correct answer is: (D) Only 1, 3.

Exam Relevance: MBA, HRM, International Business

Difficulty: Moderate

Concept notes: Franchising allows for low-cost entry into international markets, and the management function of getting, training, motivating, and keeping competent employees is a key aspect of human resource management.

Common Mistakes: Students may incorrectly assume that parent country nationals (PCNs) are commonly used for higher-level positions abroad, rather than lower-level jobs.

Explanations: Statement 1 is true because franchising allows a business to enter international markets with lower costs compared to other methods such as direct investment. Statement 3 is true as it accurately describes a key function of human resource management. Statement 2 is false because PCNs are typically used for higher-level positions, not lower-level jobs.

Option Analysis:

Option A: Incorrect because it includes statement 2, which is false.
Option B: Incorrect because it includes statement 2, which is false.
Option C: Incorrect because it does not include statement 1, which is true.
Option D: Correct because it includes only the true statements 1 and 3.

697. What are three main steps of HRM process?

Correct Answer: Correct answer is: (A) Attracting, developing and retaining qualified employees.

Exam Relevance: HRM exams, Management exams, MBA exams

Difficulty: Easy

Concept notes: The Human Resource Management (HRM) process involves several key steps, with attracting, developing, and retaining qualified employees being three of the most critical.

Common Mistakes: Students may confuse the HRM process with other management functions, such as training and compensation, which are part of the broader HRM activities but not the main steps.

Explanations: The HRM process focuses on attracting qualified candidates through recruitment and selection, developing their skills and competencies through training and development, and retaining them through effective retention strategies. These steps ensure a continuous supply of skilled and motivated employees.

Option Analysis:

Option A: This option correctly identifies the three main steps of the HRM process.
Option B: While training and compensation are important HR activities, they are not the main steps of the HRM process.
Option C: Planning, organizing, and controlling are management functions, not specific to HRM.
Option D: This option is incorrect as the correct answer is provided in Option A.

698. What are the stages in the HR cycle?

Correct Answer: Correct answer is: (D) Acquisition, development, maintenance and separation.

Exam Relevance: HRM exams, Management exams, MBA exams

Difficulty: Moderate

Concept notes: The HR cycle encompasses the stages of acquiring, developing, maintaining, and separating employees.

Common Mistakes: Students may confuse the stages of the HR cycle with other HR processes or functions, such as training and recruitment.

Explanations: The HR cycle is a comprehensive framework that includes the stages of acquisition, development, maintenance, and separation. Acquisition involves the recruitment and selection of new employees. Development focuses on training and enhancing the skills of employees. Maintenance includes performance management, compensation, and benefits to retain employees. Separation involves the process of terminating employment, either voluntarily or involuntarily. This sequence ensures a structured approach to managing the employee lifecycle within an organization.

Option Analysis:

Option A: Training, development, maintenance, and selection are not the complete stages of the HR cycle. Selection is part of acquisition, not a separate stage.
Option B: Separation, maintenance, training, and development do not follow the logical sequence of the HR cycle. Acquisition is a critical initial stage that is missing.
Option C: Acquisition, selection, recruitment, and separation are not the correct stages. Recruitment and selection are part of acquisition, and development and maintenance are missing.
Option D: Acquisition, development, maintenance, and separation correctly represent the stages of the HR cycle.

Mnemonic: ADMS: Acquire, Develop, Maintain, Separate

699. A Human Resource Specialist is hiring a new employee in the application. While creating the employee record, he enters personal information andemployment details and, when submitting the transaction, encounters an error.Part of the error message reads "NewPersonEmployment Approval toNewPersonEmploymentApprovalRules.....NewPersonRuleSet failed with Business Fault*null. Check the underlying fault. Check target SOA component for cause." The Human Resource Specialist raises a service request with the internal support team.What is the cause of this error?

Correct Answer: Correct answer is: (C) The BPM task NewPersonEmploymentApproval is not set up properly.

Exam Relevance: Oracle SOA Suite, BPMN Certification, HRIS Exams

Difficulty: Moderate

Concept notes: The error message indicates a failure in the BPM task related to the approval rules for new person employment. This suggests that the BPM task is not configured correctly.

Common Mistakes: Students may mistakenly believe the error is due to a lack of privileges or missing security profiles, rather than a misconfiguration in the BPM task.

Explanations: The error message "NewPersonEmployment Approval to NewPersonEmploymentApprovalRules.....NewPersonRuleSet failed with Business Fault*null" points to a failure in the BPM task NewPersonEmploymentApproval. This indicates that the BPM task is not set up properly, leading to the error. The other options do not directly address the BPM task configuration issue.

Option Analysis:

Option A: This option suggests a privilege issue, which is not indicated by the error message.
Option B: This option suggests a security profile issue, which is not indicated by the error message.
Option C: This option correctly identifies the BPM task configuration issue as the cause of the error.
Option D: This option suggests a process that must be run before hiring, which is not indicated by the error message.

700. Which theorist is associated with scientific management?

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

Exam Relevance: MBA, HRM, Organizational Behavior

Difficulty: Easy

Concept notes: Frederick Winslow Taylor is associated with scientific management, which focuses on improving industrial efficiency.

Common Mistakes: Students may confuse Taylor with other management theorists such as Mayo, Maslow, or McClelland, who are associated with different management theories.

Explanations: Frederick Winslow Taylor is known for his contributions to scientific management, which emphasizes the use of scientific methods to improve work processes and increase efficiency. His theories and practices were aimed at optimizing productivity through systematic analysis and standardization of work methods.

Option Analysis:

Option A: Correct. Taylor is the founder of scientific management.
Option B: Incorrect. Mayo is associated with the human relations approach.
Option C: Incorrect. Maslow is known for his hierarchy of needs theory.
Option D: Incorrect. McClelland is associated with the theory of needs.

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Human Resource Management MCQ - Set 70

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