HRM Testbank Chapter5

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HRM testbank Chapter5
HRM (‫)سوباق ناطلسلا ةعماج‬
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Chapter 05 - Planning for and Recruiting Human Resources
Chapter 05
Planning for and Recruiting Human Resources
True / False Questions
1. The first step in the human resource planning process is goal setting and strategic planning.
True False
2. Leading indicators are objective measures that accurately predict future labor demand.
True False
3. Statistical models almost always have to be complemented with subjective judgments of

experts.
True False
4. Determining the internal labor supply calls for a detailed analysis of how many people are
currently in various job categories or have specific skills within the organization.
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
relatively fast, but low in terms of revocability.
True False
7. Using temporary employees is a speedy way of avoiding labor shortage and it can be easily
revoked later.
True False
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8. The primary reason organizations engage in downsizing is to increase profitability.

True False
9. The negative effect of downsizing would be low among firms that use practices such as
performance-related pay incentives.
True False
10. Employees who survive downsizing become self-absorbed and abstain from taking risks.
True False
11. The most widespread methods for eliminating labor shortages are hiring temporary
workers and outsourcing work.
True False
12. The use of temporary workers might burden the organization with additional
administrative tasks.
True False
13. If the person providing the service is a contractor and not an employee, the company is not
supposed to directly supervise the worker.
True False
14. The scope of outsourcing is limited to manufacturing and routine tasks as it is impractical
to outsource skilled jobs.
True False
15. Overtime is most suited for short-term labor shortages.

True False
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16. The steps in a workforce utilization review are identical to the steps in the HR planning
process.
True False
17. The goals of recruiting and selection are similar enough that they are most effective when
performed in combination.
True False
18. According to research on recruitment, it is clear that recruiting sources are more important
than characteristics of the vacancy for predicting job choice.
True False
19. The principle of employment at will holds that if there is no specific employment contract
saying otherwise, the employer and employee may end an employment relationship at any
time, regardless of cause.
True False
20. Most job applicants find companies with employment-at-will practices more attractive
than companies with due-process policies.
True False
21. Recruiting advertisements in newspapers and periodicals typically generate less desirable
recruits than do direct applications or referrals.
True False
22. Private employment agencies serve primarily blue-collar workers, while public
employment agencies mostly serve white-collar workers.
True False
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23. A high yield ratio for a recruitment source indicates that it is not an effective way to find
candidates to interview.
True False
24. Recruiters' characteristics and behaviors seem to have limited impact on applicants' job
choices.
True False
25. On the whole, research suggests that realistic job previews have a strong, consistent effect
of minimizing employee turnover.
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. performance evaluation.
27. Which of the following is an advantage of statistical forecasting methods?

A. They are particularly useful in dynamic environments.
B. Under the right conditions, they provide predictions that are much more precise than
judgmental methods.
C. They are particularly useful in predicting important events that have no historical
precedent.
D. They are invariably better than the "best guesses" of experts.
E. They can be used to reduce dependence on secondary data for making forecasts and
predictions.
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28. Which of the following terms refers to objective measures that accurately predict future
labor demand?
A. Performance indicators
B. Transitional matrices
C. Functional pointers
D. Coincident pointers
E. Leading indicators
29. Trend analysis refers to:

A. a pooling of the "best guesses," or subjective judgments, of experts to predict labor
demand and supply.
B. the use of subjective judgments to understand relationships among variables during
fluctuating and unstable conditions.
C. a process that accurately predicts labor demand for the next year using leading indicators.
D. a comparison of the proportion of employees in protected groups with the proportion that
each group represents in the relevant labor market.
E. a statistical method of forecasting that uses the proportion of employees in various job
categories for making predictions.
30. Which of the following terms is a method to determine labor supply through a chart that
lists job categories held in one period and shows the proportion of employees in each of those
job categories in a future period?
A. Trend analysis
B. Leading indicator method
C. Propensity analysis
D. Transitional matrix
E. Labor bureau statistics
31. Determining the internal labor supply calls for a detailed analysis of:
A. how many people are willing to work for the organization.
B. how many people are currently in various job categories.
C. the financial performance and profitability of the company.
D. the future vacancies that will be available in the company.
E. the compensation strategies and recruitment methods used by the company.
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32. Questions such as "Where did people who were in each job category go?" and "Where did
people now in each job category come from?" can be answered by using:
A. propensity analysis.
B. leading indicators.
C. trend analysis.
D. multiple regression.
E. a transitional matrix.
33. A transitional matrix is formed to analyze the job categories held by employees in 2008
and the proportion of employees in each of those job categories in 2010. The third row
represents sales executives and the second column represents sales managers. The cell which
belongs to the third row and second column has a value 0.2. This means:
A. 20 percent sales managers were demoted.
B. 80 percent sales managers were demoted.
C. 80 percent sales executives were promoted.
D. 20 percent sales executives were promoted.
E. 80 percent sales executives have left the organization.
34. The value of a proportion in a transitional matrix is 0.4. Its column headings and row
headings are the same. This means:
A. 40 percent people remained in the job category represented by the row.
B. the particular job category has 40 percent attrition rate.
C. the organization's attrition rate is 60 percent.
D. 40 percent people left the job category represented by the row.
E. 60 percent people left the job category represented by the row.
35. Planners need to combine statistical forecasts of labor supply with expert judgments
because:
A. it would motivate the experts in the organization.
B. subjective judgments are always more reliable than historical data.
C. historical data may not always reliably indicate future trends.
D. statistical methods fail to account for historical trends.
E. external trends cannot be studied using historical data.
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36. 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 analysis of labor supply and demand.
C. the judgments and choices made by strategists and experts.
D. the feedback provided by the organization's customers.
E. the line workers at the grassroots level.
37. Why is hiring new employees for every labor shortage not preferable?
A. The process will lead to an artificial scarcity in the labor market.
B. It would lead to reduced organizational control over the workers and process.
C. Selecting new employees attracts too many discrimination law suits.
D. If the shortage becomes surplus, the organization may have to lay off employees.
E. The process may result in reduced quality and may affect standardization.
38. Which of the following is a fast option that can be used to avoid a labor surplus with only
a moderate amount of human suffering?
A. Pay reductions
B. Transfers
C. Demotions
D. Early retirement
E. Retraining
39. Which of the following strategies could be used avoid a labor shortage?
A. Reduced pay
B. Work sharing
C. Hiring freeze
D. Transfers
E. Retrained transfers
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40. Which of the following is a strategy of avoiding a labor surplus where the amount of
human suffering caused is high?
A. Retraining
B. Demotions
C. Hiring freeze
D. Early retirement
E. Natural attrition
41. Which of the following is a strategy to defeat labor shortage where the results can be
obtained fast?
A. Technological innovation
B. Retrained transfers
C. Turnover reductions
D. Outsourcing
E. New external hires
42. Which of the following options for reducing an expected labor surplus has the benefit of
being a relatively fast solution, but has the disadvantage of being high in human suffering?
A. Hiring freeze
B. Retirement
C. Retraining
D. Work sharing
E. Downsizing
43. Which of the following options for avoiding an expected labor shortage has the benefit of
being a relatively fast solution with high revocability?
A. Retrained transfer
B. Turnover reductions
C. New external hires
D. Overtime
E. Technological innovation
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44. Cadence Systems is a company that provides software solutions to various industries.
Which of the following is a job for which the organization could benefit the most from hiring
and retaining employees?
A. Software developer
B. Security staff
C. Cleaner
D. Cafeteria staff
E. Facility manager
45. Downsizing:
A. would reduce an organization's short-term competitiveness.
B. is useful in improving long-term organizational effectiveness.
C. refers to the planned elimination of personnel.
D. is most effective for organizations that follow high-involvement work practices.
E. can be used to strengthen the social networks in the organization.
46. The primary reason organizations engage in downsizing is to:

A. attain larger profit margins.
B. promote future competitiveness.
C. bring in additional skills to the organization.
D. thwart unionizing efforts within a given facility.
E. strengthen the social networks in the organization.
47. Which of the following is a disadvantage of downsizing?

A. It cannot be used to reduce the number of managers.
B. It would result in reduced future competitiveness.
C. It cannot provide an immediate solution to labor surplus.
D. It hurts long-term organizational effectiveness.
E. Downsizing may not provide a substantial cost reduction.
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48. Which of the following is a reason why many of the downsizing efforts fail?
A. Surviving employees could become self-absorbed.
B. The company may become less competitive in the industry.
C. The overall costs incurred by the company may increase.
D. Governmental interference could cause problems.
E. Downsizing could result in decreased diversity.
49. Many problems with downsizing can be reduced by:

A. slashing jobs across the board.
B. allowing workers to choose a buyout package in exchange for leaving.
C. engaging in better human resources planning.
D. avoiding unionization in the organization.
E. laying off only the older workers in the organization.
50. Which of the following is a major disadvantage of allowing workers to choose a buyout
package in exchange for leaving?
A. It would result in competition among employees to take up the offer.
B. It might attract governmental actions.
C. This type of downsizing may cause increased dissatisfaction among employees.
D. Most of the workers will be reluctant to accept such an offer.
E. Workers with the most experience are most likely to leave.
51. A manufacturing company hit by a slump in demand is experiencing a labor surplus. The
company expects the market to improve in six months and it does not want to layoff any of its
employees. Which of the following strategies is an equitable way to handle this issue that
results in spreading the burden more fairly?
A. Demotions
B. Outsourcing
C. Reduced work hours
D. Overtime
E. Employing temporary workers
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52. Early-retirement programs:

A. are not a popular way to reduce labor surplus.
B. are very successful because most baby boomers want to retire.
C. work well for knowledge based jobs and services.
D. cause more human suffering than the other methods of labor reduction.
E. will encourage lower-performing older workers to retire.
53. A phased-retirement program refers to:

A. laying off older employees in small batches.
B. giving lucrative incentives to a large number of older employees to voluntarily retire.
C. reducing the number of hours older employees work as well as the cost of these employees.
D. giving older employees a certain time limit to voluntarily retire.
E. offering alternative work locations and work responsibilities to older employees.
54. The most widespread methods for eliminating labor shortages are:
A. outsourcing work and work sharing.
B. hiring temporary workers and outsourcing work.
C. retrained transfers and turnover reduction.
D. overtime and new external hires.
E. overtime and retrained transfers.
55. Which of the following is a disadvantage of using temporary and contract workers?
A. Revocability is lesser compared to other methods of avoiding shortage.
B. These kinds of workers cannot be sourced through agents.
C. These methods are a relatively slow solution to labor shortage.
D. These workers will be less committed to the organization.
E. There is great difficulty in hiring temporary and contract workers.
56. Temporary employment is popular with employers because:

A. it gives them flexibility in operations.
B. it gives them more control over the workforce.
C. the quality of work is usually far superior.
D. it is most effective for key customer service jobs.
E. the workers will be committed to the organization.
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57. Temporary employment:

A. is costlier compared to most other methods of overcoming labor shortage.
B. is not suitable when demand for the employers' products change rapidly.
C. is less flexible compared to the other methods of overcoming labor shortage.
D. brings an objective point of view to the organization's problems and procedures.
E. is not a popular method of overcoming labor shortage.
58. Which of the following observations is true of taking the services of independent
contractors?
A. Core competencies can be effectively outsourced to contractors.
B. The company is not supposed to directly supervise the contractors.
C. It is a relatively slow process with low revocability.
D. The organization can achieve increased quality though the costs are more.
E. This provides an organization increased control over the operations.
59. Outsourcing refers to:

A. contracting with another organization to perform a broad set of services.
B. licensing another organization to perform an organization's business in a different country.
C. using a temporary or contract employee to fill a single job.
D. buying the necessary raw materials needed to perform a business from external agencies.
E. moving operations away from the home location to bring about cost savings.
60. Which of the following is a challenge associated with outsourcing strategy?

A. Labor shortage
B. Increased cost
C. Quality-control problems
D. Lack of necessary technology
E. Diseconomies of scale
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61. Hugh & Co., a manufacturer of widgets, has contracted several components of its supply
chain management to a third party. Hugh & Co. can be said to be engaging in:
A. offshoring.
B. consolidation.
C. licensing.
D. merger.
E. outsourcing.
62. Which of the following guidelines should companies follow to achieve success with
outsourcing agencies?
A. Concentrate mainly on the cost-savings, and not on the internal environment at the agency.
B. Primarily outsource work that is proprietary in nature.
C. Start by outsourcing a significant chunk of work with minimal monitoring.
D. Outsource work in areas that will promote growth.
E. Do not enter into an outsourcing agreement with a partner located in the same country.
63. A small company that manufactures special-order wood furniture has kept its employees
busy on a 40-hour-a-week schedule for the past two years. The company just received the
largest contract in its history from a Saudi Arabian company, opening offices in the area. The
company does not expect repeat business. In order to complete the contract in the required
one month, additional skilled labor is needed at short notice. Which of the following strategies
is best suited to avoid this short-term labor shortage?
A. Retrained transfers
B. Overtime
C. Technological innovation
D. New external hires
E. Turnover reductions
64. Which of the following is an element in the final stage of human resources planning?
A. Estimating labor demand
B. Estimating labor supply
C. Estimating labor surplus/shortage
D. Strategic planning
E. Program evaluation
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65. In the context of HR planning, implementation that ties planning and recruiting to the
organization's strategy and to its efforts to develop employees becomes a complete program
of:
A. reengineering.
B. total quality management.
C. benchmarking.
D. talent management.
E. workforce utilization.
66. Which of the following is a process used to determine whether there are any subgroups
whose proportion in a given job category within a company is substantially different from
their proportion in the relevant labor market?
A. Adverse treatment analysis
B. Workforce utilization review
C. Subgroup reconciliation
D. Discrimination analysis
E. Disparity analysis
67. Which of the following methods is best suited to diagnose the underutilization of a certain
minority group in an organization?
A. Workforce utilization review
B. Trend analysis
C. Transitional matrix
D. Yield ratio
E. Capacity utilization analysis
68. Recruitment is defined as:

A. the process of screening a pool of applicants to a specific position.
B. the process of selecting the right candidates from a group of applicants.
C. the activities carried out to identify and attract potential employees.
D. the process of filling up specific job vacancies in an organization.
E. the process of determining the labor supply and labor demand in an organization.
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69. The process of _____ creates a buffer between planning and the actual selection of new
employees.
A. recruitment
B. HR plan evaluation
C. HR plan implementation
D. outsourcing
E. training
70. Which of the following aspects of recruitment most influence the characteristics of the
positions to be filled?
A. Recruitment sources
B. Personnel policies
C. Recruiter traits
D. Recruiter behavior
E. Applicant characteristics
71. Companies that use "lead-the-market" pay strategy:

A. would pay more than the current market wages for a job.
B. have a recruiting disadvantage.
C. would recruit lesser number of employees than needed and depend on overtime.
D. provide relatively better working conditions to employees compared to competitors.
E. usually have low pay, coupled with overtime and flex-time.
72. Which of the following is an employment principle which states that if there is no specific
employment contract saying otherwise, the employer or employee may end an employment
relationship at any time, regardless of cause?
A. Due-process
B. Employment flexibility
C. Rule of fair treatment
D. Psychological contract
E. Employment at will
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73. _____ formally lay out the steps an employee may take to appeal an employer's decision
to terminate that employee.
A. Leading indicators
B. A psychological contract
C. An implicit contract
D. Due-process policies
E. Employment-at-will
74. Organizational recruitment materials that emphasize due process, rights of appeal, and
grievance mechanisms send a message that:
A. the organization has many problems.
B. employee morale is low in the organization.
C. job security is high in the organization.
D. the organization has a vertical decision making structure.
E. the organization does not value the employees in the organization.
75. The U.S. Army's "An Army of One" campaign, designed to create a generally favorable
impression of the Army as a good place to work in, was an example of:
A. general advertising.
B. image advertising.
C. saturation advertising.
D. proactive advertising.
E. adventure advertising.
76. Which of the following is an internal source of recruitment?

A. Employee referrals
B. Direct applicants
C. Nepotism
D. Job postings
E. Personal interviews
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77. The process of communicating information about a job vacancy on company bulletin
boards, in employee publications, on corporate intranets, and anywhere else the organization
communicates with employees is referred to as:
A. job postings.
B. external recruitments.
C. employment referral.
D. a workforce utilization review.
E. direct sourcing.
78. Which of the following is an advantage of relying on internal recruitment sources?

A. They are likely to promote diversity in terms of race and sex.
B. They minimize the impact of political considerations in the hiring decision.
C. They are generally cheaper and faster than other means.
D. They expose the organization to new ideas or new ways of doing business.
E. They are well-suited to recruit specialized upper-level positions.
79. Which of the following is true of the use of internal recruitment sources?
A. Research indicates that most organizational positions are filled internally.
B. Internal recruitment has a demoralizing effect on employees.
C. Internal recruiting minimizes the possibility of unrealistic employee expectations.
D. Employee referrals are the most common source for internal recruitment.
E. Internal sources are most appropriate for specialized upper-level positions.
80. Which of the following types of jobs would force an organization to use external
recruitment methods?
A. Technical positions
B. Customer-service jobs
C. Supervisory positions
D. Entry-level positions
E. Middle-management positions
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81. An applicant who applies for a vacancy without prompting from the organization is
referred to as a(n):
A. direct applicant.
B. natural applicant.
C. internal applicant.
D. neutral applicant.
E. referral.
82. _____ refer to people who apply to a job opening because someone in the organization
prompted them to do so.
A. Direct applicants
B. Job posters
C. Walk-ins
D. Referrals
E. Internal recruits
83. Direct applicants and referrals:

A. require a substantial effort to get them "sold" on the organization.
B. are more expensive to recruit.
C. tend to have a better understanding of the job requirements and their ability to fulfill them.
D. tend to be much more diverse when compared with candidates from other sources.
E. tend to have a higher turnover than the employees recruited through other methods.
84. Most direct applicants to an organization have done some research and concluded there is
enough fit between themselves and the vacant position to warrant submitting an application.
This process is termed:
A. nepotism.
B. employee referral.
C. self-selection.
D. internal recruitment.
E. employment-at-will.
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85. The practice of hiring relatives is:

A. a direct recruitment method.
B. termed nepotism.
C. called self-selection.
D. illegal.
E. conducive to meeting diversity objectives.
86. Executive search firms:

A. work almost exclusively with high-level, unemployed executives.
B. typically require the person being placed to make the initial contact with the prospective
employer directly.
C. are not subject to the requirements of Title VII.
D. are agencies administered by the federal government or governmental organizations.
E. find new jobs for people almost exclusively already employed.
87. The most important source of recruits for entry-level professional and managerial
vacancies is:
A. on-campus interviewing.
B. public employment agencies.
C. advertisements in newspapers and magazines.
D. private employment agencies.
E. employee referrals.
88. In the context of evaluating the quality of a recruitment source, yield ratios express the:
A. output yielded by a new hire in relation to the cost of recruiting the new hire.
B. the dollar costs incurred per hire.
C. percentage of applicants who successfully move from one stage of the recruitment and
selection process to the next.
D. quality of new hires by comparing the cost of training the new recruits to the cost of hiring
them.
E. the percentage of applicants who complete one year in the organization after recruitment.
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89. To compute this amount, find the cost of using a particular recruitment source for a
particular type of vacancy. Then divide that cost by the number of people hired to fill that type
of vacancy.
A. Cost per hire
B. Yield ratio
C. Return on investment
D. Total cost of recruitment
E. Conversion rate
90. Realistic job previews:

A. are proven to "inoculate" employees against the negative features of a job.
B. have a weak and inconsistent effect on turnover.
C. are effective at helping organizations minimize turnover among new employees.
D. lead to unmet job expectations and high employee turnover.
E. exaggerate the positive qualities of vacancies and downplay their negative qualities.
Essay Questions
91. What is forecasting? Describe one method each for forecasting labor demand and supply.
92. What is the second step in human resources planning? Explain the significance of this
step.
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93. What is the primary reason organizations downsize? How do they meet this objective?
94. What are early-retirement programs? What is a phased-retirement program and what are
its benefits?
95. What are the challenges associated with temporary workers and contracted workers?
96. Outsourcing poses many challenges. Provide suggestions for employers to overcome these
challenges.
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97. Outline two personnel policies that are especially relevant to recruitment.
98. What are internal sources of recruitment? What are the advantages and disadvantages of
using this source?
99. In terms of external sources of recruitment, who are direct applicants and referrals? Why
are these two groups regarded as excellent sources of recruitment?
100. What characteristics and behaviors would you look for in your recruiters so as to
increase the positive impact they have on job candidates?
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Chapter 05 Planning for and Recruiting Human Resources Answer Key
True / False Questions
1. (p. 125) The first step in the human resource planning process is goal setting and strategic
planning.
FALSE
The process of human resource planning consists of three stages: forecasting, goal setting and
strategic planning, and program implementation and evaluation. The first step in human
resource planning is forecasting.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Learning Objective: 05-01 Discuss how to plan for human resources needed to carry out the organization's strategy.
Topic: The Process of Human Resource Planning
2. (p. 126) Leading indicators are objective measures that accurately predict future labor
demand.
TRUE
Leading indicators are objective measures that accurately predict future labor demand.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Learning Objective: 05-02 Determine the labor demand for workers in various job categories.
Topic: Forecasting
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3. (p. 126) Statistical models almost always have to be complemented with subjective judgments
of experts.
TRUE
Statistical planning models are useful when there is a long, stable history that can be used to
reliably detect relationships among variables. However, these models almost always have to
be complemented with subjective judgments of experts. There are simply too many "once-in-
a-lifetime" changes to consider, and statistical models cannot capture them.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
Topic: Forecasting
4. (p. 126) Determining the internal labor supply calls for a detailed analysis of how many
people are currently in various job categories or have specific skills within the organization.
TRUE
Once a company has forecast the demand for labor, it needs an indication of the firm's labor
supply. Determining the internal labor supply calls for a detailed analysis of how many people
are currently in various job categories or have specific skills within the organization.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
5. (p. 128) The goals an organization sets in its human resource planning process should come
directly from the analysis of its labor supply and demand.
TRUE
The second step in human resource planning is goal setting and strategic planning. The goals
should come directly from the analysis of labor supply and demand.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Learning Objective: 05-03 Summarize the advantages and disadvantages of ways to eliminate a labor surplus and avoid a labor shortage.
Topic: Goal Setting and Strategic Planning
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6. (p. 129) As an option for avoiding an expected labor shortage, the use of new external hires is
relatively fast, but low in terms of revocability.
FALSE
The use of new external hires is relatively slow in providing results.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
7. (p. 129) Using temporary employees is a speedy way of avoiding labor shortage and it can be
easily revoked later.
TRUE
Using temporary employees is a speedy way of obtaining results when planning to avoid a
labor shortage and it can be easily revoked later.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
8. (p. 130) The primary reason organizations engage in downsizing is to increase profitability.
FALSE
The primary reason organizations engage in downsizing is to promote future competitiveness.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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9. (p. 130) The negative effect of downsizing would be low among firms that use practices such
as performance-related pay incentives.
FALSE
The negative effect of downsizing was especially high among firms that engaged in high-
involvement work practices, such as the use of teams and performance-related pay incentives.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
10. (p. 131) Employees who survive downsizing become self-absorbed and abstain from taking
risks.
TRUE
Downsizing efforts often fail because employees who survive the purge become self-absorbed
and afraid to take risks. Motivation drops because any hope of future promotions—or any
future—with the company dies.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
11. (p. 132) The most widespread methods for eliminating labor shortages are hiring temporary
workers and outsourcing work.
TRUE
The most widespread methods for eliminating a labor shortage are hiring temporary and
contract workers and outsourcing work.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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12. (p. 132) The use of temporary workers might burden the organization with additional
administrative tasks.
FALSE
In addition to flexibility, temporary employment offers lower costs. Using temporary workers
frees the employer from many administrative tasks and financial burdens associated with
being the "employer of record."
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
13. (p. 133) If the person providing the service is a contractor and not an employee, the company
is not supposed to directly supervise the worker.
TRUE
If the person providing the service is a contractor and not an employee, the company is not
supposed to directly supervise the worker.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
14. (p. 134) The scope of outsourcing is limited to manufacturing and routine tasks as it is
impractical to outsource skilled jobs.
FALSE
Technological advances in computer networks and transmission have speeded up the

outsourcing process and have helped it spread beyond manufacturing areas and low-skilled
jobs. Highly skilled jobs are outsourced in modern days.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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15. (p. 135) Overtime is most suited for short-term labor shortages.
TRUE
For a short time at least, many workers appreciate the added compensation for working
overtime. Over extended periods, however, employees feel stress and frustration from
working long hours. Overtime therefore is best suited for short-term labor shortages.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
16. (p. 136) The steps in a workforce utilization review are identical to the steps in the HR
planning process.
TRUE
The steps in a workforce utilization review are identical to the steps in the HR planning
process. The organization must assess current utilization patterns, and then forecast how they
are likely to change in the near future. If these analyses suggest the organization is
underutilizing certain groups and if forecasts suggest this pattern is likely to continue, the
organization may need to set goals and timetables for changing. The planning process may
identify new strategies for recruitment or selection. The organization carries out these HR
strategies and evaluates their success.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Implementing and Evaluating the HR Plan
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17. (p. 136) The goals of recruiting and selection are similar enough that they are most effective
when performed in combination.
FALSE
The goals of recruiting (encouraging qualified people to apply for jobs) and selection
(deciding which candidates would be the best fit) are different enough that they are most
effective when performed separately, rather than combined as in a job interview that also
involves selling candidates on the company.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Learning Objective: 05-04 Describe recruitment policies organizations use to make job vacancies more attractive.
Topic: Recruiting Human Resources
18. (p. 137) According to research on recruitment, it is clear that recruiting sources are more
important than characteristics of the vacancy for predicting job choice.
FALSE
According to the research on recruitment, it is clear that characteristics of the vacancy are
more important than recruiters or recruiting sources for predicting job choice.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Personnel Policies
19. (p. 138) The principle of employment at will holds that if there is no specific employment
contract saying otherwise, the employer and employee may end an employment relationship
at any time, regardless of cause.
TRUE
A widespread employment policy follows the principle of employment at will, which holds
that if there is no specific employment contract saying otherwise, the employer or employee
may end an employment relationship at any time.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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20. (p. 139) Most job applicants find companies with employment-at-will practices more
attractive than companies with due-process policies.
FALSE
Job applicants are more attracted to organizations with due-process policies, which imply
greater job security and concern for protecting employees, than to organizations with
employment-at-will policies.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
21. (p. 142) Recruiting advertisements in newspapers and periodicals typically generate less
desirable recruits than do direct applications or referrals.
TRUE
Advertisements in newspapers and magazines typically generate a less desirable group of

applicants than direct applications or referrals, and do so at greater expense.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Learning Objective: 05-05 List and compare sources of job applicants.
Topic: Advertisements in Newspapers and Magazines
22. (p. 145) Private employment agencies serve primarily blue-collar workers, while public
employment agencies mostly serve white-collar workers.
FALSE
In contrast to public employment agencies, which primarily serve the blue-collar labor
market, private employment agencies provide much the same service for the white-collar
labor market.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Private Employment Agencies
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23. (p. 146) A high yield ratio for a recruitment source indicates that it is not an effective way to
find candidates to interview.
FALSE
Yield ratio is the percentage of applicants who successfully move from one stage of the
recruitment and selection process to the next stage. A high yield ratio (large percentage)
means that the source is an effective way to find candidates to interview.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Evaluating the Quality of a Source
24. (p. 147) Recruiters' characteristics and behaviors seem to have limited impact on applicants'
job choices.
TRUE
The recruiter often becomes involved late in the recruitment process. In many cases, by the
time a recruiter meets some applicants, they have already made up their minds about what
they desire in a job, what the vacant job has to offer, and their likelihood of receiving a job
offer. Many applicants approach the recruiter with some skepticism. For these and other
reasons, recruiters' characteristics and behaviors seem to have limited impact on applicants'
job choices.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
Learning Objective: 05-06 Describe the recruiter's role in the recruitment process; including limits and opportunities.
Topic: Recruiter Traits and Behaviors
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25. (p. 148) On the whole, research suggests that realistic job previews have a strong, consistent
effect of minimizing employee turnover.
FALSE
supposed to directly supervise the worker. The company can tell the contractor what criteria
the finished assignment should meet but not, for example, where or what hours to work.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Multiple Choice Questions
26. (p. 125) The first step in the human resource planning process is:
A. forecasting.
B. goal setting.
C. program implementation.
D. program evaluation.
E. performance evaluation.
The first step in human resource planning is forecasting. In personnel forecasting, the HR
professional tries to determine the supply of and demand for various types of human
resources.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
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27. (p. 126) Which of the following is an advantage of statistical forecasting methods?
A. They are particularly useful in dynamic environments.
B. Under the right conditions, they provide predictions that are much more precise than
judgmental methods.
C. They are particularly useful in predicting important events that have no historical
precedent.
D. They are invariably better than the "best guesses" of experts.
E. They can be used to reduce dependence on secondary data for making forecasts and
predictions.
Statistical methods capture historic trends in a company's demand for labor. Under the right
conditions, these methods predict demand and supply more precisely than a human forecaster
can using subjective judgment. But many important events in the labor market have no
precedent. When such events occur, statistical methods are of little use.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
Topic: Forecasting
28. (p. 126) Which of the following terms refers to objective measures that accurately predict
future labor demand?
A. Performance indicators
B. Transitional matrices
C. Functional pointers
D. Coincident pointers
E. Leading indicators
Leading indicators are objective measures that accurately predict future labor demand. They
might include measures of the economy (such as sales or inventory levels), actions of
competitors, changes in technology, and trends in the composition of the workforce and
overall population.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
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29. (p. 126) Trend analysis refers to:

A. a pooling of the "best guesses," or subjective judgments, of experts to predict labor
demand and supply.
B. the use of subjective judgments to understand relationships among variables during
fluctuating and unstable conditions.
C. a process that accurately predicts labor demand for the next year using leading indicators.
D. a comparison of the proportion of employees in protected groups with the proportion that
each group represents in the relevant labor market.
E. a statistical method of forecasting that uses the proportion of employees in various job
categories for making predictions.
Trend analysis refers to constructing and applying statistical models that predict labor demand
for the next year, given relatively objective statistics from the previous year. These statistics
are called leading indicators.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
30. (p. 126) Which of the following terms is a method to determine labor supply through a chart
that lists job categories held in one period and shows the proportion of employees in each of
those job categories in a future period?
A. Trend analysis
B. Leading indicator method
C. Propensity analysis
D. Transitional matrix
E. Labor bureau statistics
A transitional matrix is a chart that lists job categories held in one period and shows the
proportion of employees in each of those job categories in a future period.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
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31. (p. 126) Determining the internal labor supply calls for a detailed analysis of:
A. how many people are willing to work for the organization.
B. how many people are currently in various job categories.
C. the financial performance and profitability of the company.
D. the future vacancies that will be available in the company.
E. the compensation strategies and recruitment methods used by the company.
Determining the internal labor supply calls for a detailed analysis of how many people are
currently in various job categories or have specific skills within the organization.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
32. (p. 126) Questions such as "Where did people who were in each job category go?" and
"Where did people now in each job category come from?" can be answered by using:
A. propensity analysis.
B. leading indicators.
C. trend analysis.
D. multiple regression.
E. a transitional matrix.
proportion of employees in each of those job categories in a future period. A transitional
matrix answers two questions: "Where did people who were in each job category go?" and
"Where did people now in each job category come from?"
AACSB: Analytic
Bloom's: Understand
Difficulty: Easy
Topic: Forecasting
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33. (p. 127) A transitional matrix is formed to analyze the job categories held by employees in
2008 and the proportion of employees in each of those job categories in 2010. The third row
represents sales executives and the second column represents sales managers. The cell which
belongs to the third row and second column has a value 0.2. This means:
A. 20 percent sales managers were demoted.
B. 80 percent sales managers were demoted.
C. 80 percent sales executives were promoted.
D. 20 percent sales executives were promoted.
E. 80 percent sales executives have left the organization.
proportion of employees in each of those job categories in a future period. It answers two
questions: "Where did people who were in each job category go?" and "Where did people
now in each job category come from?" The column headings and row headings in a
transitional matrix refer to various job categories. The proportions in the matrix with the same
row and column headings refer to the percentage of people remained in the job category.
AACSB: Reflective Thinking

Bloom's: Apply
Difficulty: Medium
Topic: Forecasting
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34. (p. 127) The value of a proportion in a transitional matrix is 0.4. Its column headings and row
headings are the same. This means:
A. 40 percent people remained in the job category represented by the row.
B. the particular job category has 40 percent attrition rate.
C. the organization's attrition rate is 60 percent.
D. 40 percent people left the job category represented by the row.
E. 60 percent people left the job category represented by the row.
proportion of employees in each of those job categories in a future period. It answers two
questions: "Where did people who were in each job category go?" and "Where did people
now in each job category come from?" The column headings and row headings in a
transitional matrix refer to various job categories. The proportions in the matrix with the same
row and column headings refer to the percentage of people remained in the job category.
AACSB: Reflective Thinking

Bloom's: Apply
Difficulty: Medium
Topic: Forecasting
35. (p. 127-128) Planners need to combine statistical forecasts of labor supply with expert
judgments because:
A. it would motivate the experts in the organization.
B. subjective judgments are always more reliable than historical data.
C. historical data may not always reliably indicate future trends.
D. statistical methods fail to account for historical trends.
E. external trends cannot be studied using historical data.
Planners need to combine statistical forecasts of labor supply with expert judgments since
historical data may not always reliably indicate future trends.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
Topic: Forecasting
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36. (p. 128) 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 analysis of labor supply and demand.
C. the judgments and choices made by strategists and experts.
D. the feedback provided by the organization's customers.
E. the line workers at the grassroots level.
The goals in strategic human resource planning should come directly from the analysis of
labor supply and demand.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
37. (p. 128-129) Why is hiring new employees for every labor shortage not preferable?
A. The process will lead to an artificial scarcity in the labor market.
B. It would lead to reduced organizational control over the workers and process.
C. Selecting new employees attracts too many discrimination law suits.
D. If the shortage becomes surplus, the organization may have to lay off employees.
E. The process may result in reduced quality and may affect standardization.
An organization would not want to handle every expected labor shortage by hiring new
employees. The process is relatively slow and involves expenses to find and train new
employees. Also, if the shortage becomes a surplus, the organization will have to consider
laying off some of the employees.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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38. (p. 129) Which of the following is a fast option that can be used to avoid a labor surplus with
only a moderate amount of human suffering?
A. Pay reductions
B. Transfers
C. Demotions
D. Early retirement
E. Retraining
Transfers can be used as a strategy to avoid labor surplus. It is a relatively fast option, with
moderate human suffering.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
39. (p. 129) Which of the following strategies could be used avoid a labor shortage?
A. Reduced pay
B. Work sharing
C. Hiring freeze
D. Transfers
E. Retrained transfers
Retrained transfers can be used to avoid labor shortages.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
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40. (p. 129) Which of the following is a strategy of avoiding a labor surplus where the amount of
human suffering caused is high?
A. Retraining
B. Demotions
C. Hiring freeze
D. Early retirement
E. Natural attrition
Human suffering caused when employees are demoted is very high.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
41. (p. 129) Which of the following is a strategy to defeat labor shortage where the results can be
obtained fast?
A. Technological innovation
B. Retrained transfers
C. Turnover reductions
D. Outsourcing
E. New external hires
Outsourcing is a speedy way to overcome labor shortage.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
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42. (p. 129) Which of the following options for reducing an expected labor surplus has the
benefit of being a relatively fast solution, but has the disadvantage of being high in human
suffering?
A. Hiring freeze
B. Retirement
C. Retraining
D. Work sharing
E. Downsizing
Downsizing can be a speedy solution to labor surplus, but it could cause high human
suffering.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
43. (p. 129) Which of the following options for avoiding an expected labor shortage has the
benefit of being a relatively fast solution with high revocability?
A. Retrained transfer
B. Turnover reductions
C. New external hires
D. Overtime
E. Technological innovation
Overtime provides a fast solution to the problem and is highly revocable.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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44. (p. 129) Cadence Systems is a company that provides software solutions to various
industries. Which of the following is a job for which the organization could benefit the most
from hiring and retaining employees?
A. Software developer
B. Security staff
C. Cleaner
D. Cafeteria staff
E. Facility manager
Organizations are most likely to benefit from hiring and retaining employees who provide a
core competency. For other work that is not a core competency the organization may benefit
from using HR strategies other than hiring full-time employees.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
45. (p. 130) Downsizing:

A. would reduce an organization's short-term competitiveness.
B. is useful in improving long-term organizational effectiveness.
C. refers to the planned elimination of personnel.
D. is most effective for organizations that follow high-involvement work practices.
E. can be used to strengthen the social networks in the organization.
Downsizing is the planned elimination of large numbers of personnel with the goal of
enhancing the organization's competitiveness.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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46. (p. 130) The primary reason organizations engage in downsizing is to:
A. attain larger profit margins.
B. promote future competitiveness.
C. bring in additional skills to the organization.
D. thwart unionizing efforts within a given facility.
E. strengthen the social networks in the organization.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
47. (p. 130) Which of the following is a disadvantage of downsizing?

A. It cannot be used to reduce the number of managers.
B. It would result in reduced future competitiveness.
C. It cannot provide an immediate solution to labor surplus.
D. It hurts long-term organizational effectiveness.
E. Downsizing may not provide a substantial cost reduction.
Although downsizing has an immediate effect on costs, much of the evidence suggests that it
hurts long-term organizational effectiveness.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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48. (p. 131) Which of the following is a reason why many of the downsizing efforts fail?
A. Surviving employees could become self-absorbed.
B. The company may become less competitive in the industry.
C. The overall costs incurred by the company may increase.
D. Governmental interference could cause problems.
E. Downsizing could result in decreased diversity.
Downsizing efforts often fail because employees who survive the purge become self-absorbed
and afraid to take risks.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
49. (p. 131) Many problems with downsizing can be reduced by:
A. slashing jobs across the board.
B. allowing workers to choose a buyout package in exchange for leaving.
C. engaging in better human resources planning.
D. avoiding unionization in the organization.
E. laying off only the older workers in the organization.
Many problems with downsizing can be reduced with better planning. Instead of slashing jobs
across the board, successful downsizing makes surgical strategic cuts that improve the
company's competitive position.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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50. (p. 131) Which of the following is a major disadvantage of allowing workers to choose a
buyout package in exchange for leaving?
A. It would result in competition among employees to take up the offer.
B. It might attract governmental actions.
C. This type of downsizing may cause increased dissatisfaction among employees.
D. Most of the workers will be reluctant to accept such an offer.
E. Workers with the most experience are most likely to leave.
When employees are allowed to accept a buyout package in exchange for leaving, workers
with the most experience (and best prospects elsewhere) are most likely to leave.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
51. (p. 131) A manufacturing company hit by a slump in demand is experiencing a labor surplus.
The company expects the market to improve in six months and it does not want to layoff any
of its employees. Which of the following strategies is an equitable way to handle this issue
that results in spreading the burden more fairly?
A. Demotions
B. Outsourcing
C. Reduced work hours
D. Overtime
E. Employing temporary workers
An alternative to downsizing which is seen as a way to spread the burden more fairly is
cutting work hours, generally with a corresponding reduction in pay. This is a more equitable
way to weather a slump in demand.
AACSB: Analytic
Bloom's: Apply
Difficulty: Medium
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52. (p. 131) Early-retirement programs:

A. are not a popular way to reduce labor surplus.
B. are very successful because most baby boomers want to retire.
C. work well for knowledge based jobs and services.
D. cause more human suffering than the other methods of labor reduction.
E. will encourage lower-performing older workers to retire.
Under the pressures associated with an aging labor force, many employers try to encourage
older workers to leave voluntarily by offering a variety of early-retirement incentives. The
more lucrative of these programs succeed by some measures. Research suggests that these
programs encourage lower-performing older workers to retire.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
53. (p. 131) A phased-retirement program refers to:

A. laying off older employees in small batches.
B. giving lucrative incentives to a large number of older employees to voluntarily retire.
C. reducing the number of hours older employees work as well as the cost of these
employees.
D. giving older employees a certain time limit to voluntarily retire.
E. offering alternative work locations and work responsibilities to older employees.
In a phased-retirement program, the organization can continue to enjoy the experience of

older workers while reducing the number of hours that these employees work, as well as the
cost of those employees.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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54. (p. 132) The most widespread methods for eliminating labor shortages are:
A. outsourcing work and work sharing.
B. hiring temporary workers and outsourcing work.
C. retrained transfers and turnover reduction.
D. overtime and new external hires.
E. overtime and retrained transfers.
The most widespread methods for eliminating a labor shortage are hiring temporary and
contract workers and outsourcing work.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
55. (p. 132) Which of the following is a disadvantage of using temporary and contract workers?
A. Revocability is lesser compared to other methods of avoiding shortage.
B. These kinds of workers cannot be sourced through agents.
C. These methods are a relatively slow solution to labor shortage.
D. These workers will be less committed to the organization.
E. There is great difficulty in hiring temporary and contract workers.
Temporary and contract workers may not be as committed to the organization.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
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56. (p. 132) Temporary employment is popular with employers because:

A. it gives them flexibility in operations.
B. it gives them more control over the workforce.
C. the quality of work is usually far superior.
D. it is most effective for key customer service jobs.
E. the workers will be committed to the organization.
Temporary employment is popular with employers because it gives them flexibility they need
to operate efficiently when demand for their products changes rapidly.
AACSB: Analytic
Bloom's: Understand
Difficulty: Easy
57. (p. 132) Temporary employment:

A. is costlier compared to most other methods of overcoming labor shortage.
B. is not suitable when demand for the employers' products change rapidly.
C. is less flexible compared to the other methods of overcoming labor shortage.
D. brings an objective point of view to the organization's problems and procedures.
E. is not a popular method of overcoming labor shortage.
Temporary workers may offer value not available from permanent employees. Because the
temporary worker has little experience at the employer's organization, this person brings an
objective point of view to the organization's problems and procedures.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
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58. (p. 133) Which of the following observations is true of taking the services of independent
contractors?
A. Core competencies can be effectively outsourced to contractors.
B. The company is not supposed to directly supervise the contractors.
C. It is a relatively slow process with low revocability.
D. The organization can achieve increased quality though the costs are more.
E. This provides an organization increased control over the operations.
supposed to directly supervise the worker. The company can tell the contractor what criteria
the finished assignment should meet but not, for example, where or what hours to work.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
59. (p. 134) Outsourcing refers to:

A. contracting with another organization to perform a broad set of services.
B. licensing another organization to perform an organization's business in a different country.
C. using a temporary or contract employee to fill a single job.
D. buying the necessary raw materials needed to perform a business from external agencies.
E. moving operations away from the home location to bring about cost savings.
Outsourcing refers to contracting with another organization to perform a broad set of services.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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60. (p. 134) Which of the following is a challenge associated with outsourcing strategy?
A. Labor shortage
B. Increased cost
C. Quality-control problems
D. Lack of necessary technology
E. Diseconomies of scale
Outsourcing may be a necessary way to operate as efficiently as competitors, but it does pose
challenges. Quality-control problems, security violations, and poor customer service have
sometimes wiped out the cost savings attributed to lower wages.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
61. (p. 134) Hugh & Co., a manufacturer of widgets, has contracted several components of its
supply chain management to a third party. Hugh & Co. can be said to be engaging in:
A. offshoring.
B. consolidation.
C. licensing.
D. merger.
E. outsourcing.
Outsourcing refers to contracting with another organization to perform a broad set of services.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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62. (p. 134) Which of the following guidelines should companies follow to achieve success with
outsourcing agencies?
A. Concentrate mainly on the cost-savings, and not on the internal environment at the agency.
B. Primarily outsource work that is proprietary in nature.
C. Start by outsourcing a significant chunk of work with minimal monitoring.
D. Outsource work in areas that will promote growth.
E. Do not enter into an outsourcing agreement with a partner located in the same country.
While outsourcing, companies should look for opportunities to outsource work in areas that
promote growth, for example, by partnering with experts who can help the organization tap
new markets.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
63. (p. 134) A small company that manufactures special-order wood furniture has kept its
employees busy on a 40-hour-a-week schedule for the past two years. The company just
received the largest contract in its history from a Saudi Arabian company, opening offices in
the area. The company does not expect repeat business. In order to complete the contract in
the required one month, additional skilled labor is needed at short notice. Which of the
following strategies is best suited to avoid this short-term labor shortage?
A. Retrained transfers
B. Overtime
C. Technological innovation
D. New external hires
E. Turnover reductions
Organizations facing a labor shortage may be reluctant to hire employees, even temporary
workers, or to commit to an outsourcing arrangement. Especially if the organization expects
the shortage to be temporary, it may prefer an arrangement that is simpler and less costly.
Under some conditions, these organizations may try to garner more hours from the existing
labor force, asking them to go from part-time to fulltime status or to work overtime.
AACSB: Analytic
Bloom's: Apply
Difficulty: Medium
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64. (p. 135) Which of the following is an element in the final stage of human resources
planning?
A. Estimating labor demand
B. Estimating labor supply
C. Estimating labor surplus/shortage
D. Strategic planning
E. Program evaluation
The final stage of human resource planning involves implementing the strategies and
evaluating the outcomes.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
65. (p. 135) In the context of HR planning, implementation that ties planning and recruiting to
the organization's strategy and to its efforts to develop employees becomes a complete
program of:
A. reengineering.
B. total quality management.
C. benchmarking.
D. talent management.
E. workforce utilization.
Implementation that ties planning and recruiting to the organization's strategy and to its efforts
to develop employees becomes a complete program of talent management. Today's computer
systems have made talent management more practical.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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66. (p. 135) Which of the following is a process used to determine whether there are any
subgroups whose proportion in a given job category within a company is substantially
different from their proportion in the relevant labor market?
A. Adverse treatment analysis
B. Workforce utilization review
C. Subgroup reconciliation
D. Discrimination analysis
E. Disparity analysis
Workforce utilization review refers to a comparison of the proportion of employees in

protected groups with the proportion that each group represents in the relevant labor market.
The organization can use this process to determine whether there is any subgroup whose
proportion in the relevant labor market differs substantially from the proportion in the job
category.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Applying HR Planning to Affirmative Action
67. (p. 135) Which of the following methods is best suited to diagnose the underutilization of a
certain minority group in an organization?
A. Workforce utilization review
B. Trend analysis
C. Transitional matrix
D. Yield ratio
E. Capacity utilization analysis
Workforce utilization review refers to a comparison of the proportion of employees in

protected groups with the proportion that each group represents in the relevant labor market.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Applying HR Planning to Affirmative Action
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68. (p. 136) Recruitment is defined as:

A. the process of screening a pool of applicants to a specific position.
B. the process of selecting the right candidates from a group of applicants.
C. the activities carried out to identify and attract potential employees.
D. the process of filling up specific job vacancies in an organization.
E. the process of determining the labor supply and labor demand in an organization.
Any activity carried on by the organization with the primary purpose of identifying and
attracting potential employees is referred to as recruiting.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
69. (p. 136-137) The process of _____ creates a buffer between planning and the actual selection
of new employees.
A. recruitment
B. HR plan evaluation
C. HR plan implementation
D. outsourcing
E. training
In human resource management, recruiting consists of any practice or activity carried on by

the organization with the primary purpose of identifying and attracting potential employees. It
thus creates a buffer between planning and the actual selection of new employees.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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70. (p. 137) Which of the following aspects of recruitment most influence the characteristics of
the positions to be filled?
A. Recruitment sources
B. Personnel policies
C. Recruiter traits
D. Recruiter behavior
E. Applicant characteristics
An organization's personnel policies are its decisions about how it will carry out human
resource management, including how it will fill job vacancies. These policies influence the
nature of the positions that are vacant.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
71. (p. 138) Companies that use "lead-the-market" pay strategy:

A. would pay more than the current market wages for a job.
B. have a recruiting disadvantage.
C. would recruit lesser number of employees than needed and depend on overtime.
D. provide relatively better working conditions to employees compared to competitors.
E. usually have low pay, coupled with overtime and flex-time.
Pay is an important job characteristic for almost all applicants. Organizations have a recruiting
advantage if their policy is to take a "lead-the-market" approach to pay—that is, pay more
than the current market wages for a job.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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72. (p. 138) Which of the following is an employment principle which states that if there is no
specific employment contract saying otherwise, the employer or employee may end an
employment relationship at any time, regardless of cause?
A. Due-process
B. Employment flexibility
C. Rule of fair treatment
D. Psychological contract
E. Employment at will
Employment at will is an employment principle which says if there is no specific employment

contract saying otherwise, the employer or employee may end an employment relationship at
any time, regardless of cause.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
73. (p. 138) _____ formally lay out the steps an employee may take to appeal an employer's
decision to terminate that employee.
A. Leading indicators
B. A psychological contract
C. An implicit contract
D. Due-process policies
E. Employment-at-will
Due-process policies formally lay out the steps an employee may take to appeal an employer's
decision to terminate that employee.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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74. (p. 139) Organizational recruitment materials that emphasize due process, rights of appeal,
and grievance mechanisms send a message that:
A. the organization has many problems.
B. employee morale is low in the organization.
C. job security is high in the organization.
D. the organization has a vertical decision making structure.
E. the organization does not value the employees in the organization.
Job applicants are more attracted to organizations with due-process policies, which imply
greater job security and concern for protecting employees, than to organizations with
employment-at-will policies.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
75. (p. 139) The U.S. Army's "An Army of One" campaign, designed to create a generally
favorable impression of the Army as a good place to work in, was an example of:
A. general advertising.
B. image advertising.
C. saturation advertising.
D. proactive advertising.
E. adventure advertising.
Besides advertising specific job openings, organizations may advertise themselves as a good
place to work in general. Advertising designed to create a generally favorable impression of
the organization is called image advertising.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
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76. (p. 139) Which of the following is an internal source of recruitment?

A. Employee referrals
B. Direct applicants
C. Nepotism
D. Job postings
E. Personal interviews
Job posting refers to communicating information about the vacancy on company bulletin
communicates with employees.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Internal Sources
77. (p. 139) The process of communicating information about a job vacancy on company bulletin
communicates with employees is referred to as:
A. job postings.
B. external recruitments.
C. employment referral.
D. a workforce utilization review.
E. direct sourcing.
Job postings refer to the process of communicating information about a job vacancy on
company bulletin boards, in employee publications, on corporate intranets, and anywhere else
the organization communicates with employees.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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78. (p. 140) Which of the following is an advantage of relying on internal recruitment sources?
A. They are likely to promote diversity in terms of race and sex.
B. They minimize the impact of political considerations in the hiring decision.
C. They are generally cheaper and faster than other means.
D. They expose the organization to new ideas or new ways of doing business.
E. They are well-suited to recruit specialized upper-level positions.
Filling vacancies through internal recruiting is generally cheaper and faster than looking
outside the organization.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
79. (p. 140) Which of the following is true of the use of internal recruitment sources?
A. Research indicates that most organizational positions are filled internally.
B. Internal recruitment has a demoralizing effect on employees.
C. Internal recruiting minimizes the possibility of unrealistic employee expectations.
D. Employee referrals are the most common source for internal recruitment.
E. Internal sources are most appropriate for specialized upper-level positions.
Internal recruitment sources generate applicants who are well known to the organization. In
addition, these applicants are relatively knowledgeable about the organization's vacancies,
minimizing the possibility they will have unrealistic expectations about the job.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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80. (p. 140) Which of the following types of jobs would force an organization to use external
recruitment methods?
A. Technical positions
B. Customer-service jobs
C. Supervisory positions
D. Entry-level positions
E. Middle-management positions
For entry-level positions and perhaps for specialized upper-level positions, the organization
has no internal recruits from which to draw.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: External Sources
81. (p. 141) An applicant who applies for a vacancy without prompting from the organization is
referred to as a(n):
A. direct applicant.
B. natural applicant.
C. internal applicant.
D. neutral applicant.
E. referral.
People who apply for a vacancy without prompting from the organization are referred to as
direct applicants.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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82. (p. 141) _____ refer to people who apply to a job opening because someone in the
organization prompted them to do so.
A. Direct applicants
B. Job posters
C. Walk-ins
D. Referrals
E. Internal recruits
Referrals are people who apply for a job vacancy because someone in the organization
prompted them to do so.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
83. (p. 142) Direct applicants and referrals:

A. require a substantial effort to get them "sold" on the organization.
B. are more expensive to recruit.
C. tend to have a better understanding of the job requirements and their ability to fulfill them.
D. tend to be much more diverse when compared with candidates from other sources.
E. tend to have a higher turnover than the employees recruited through other methods.
One advantage is that many direct applicants are to some extent already "sold" on the
organization. Most have done some research and concluded there is enough fit between
themselves and the vacant position to warrant submitting an application, a process called self-
selection, which, when it works, eases the pressure on the organization's recruiting and
selection systems.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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84. (p. 142) Most direct applicants to an organization have done some research and concluded
there is enough fit between themselves and the vacant position to warrant submitting an
application. This process is termed:
A. nepotism.
B. employee referral.
C. self-selection.
D. internal recruitment.
E. employment-at-will.
Most direct applicants have done some research and concluded there is enough fit between
themselves and the vacant position to warrant submitting an application, a process called self-
selection, which, when it works, eases the pressure on the organization's recruiting and
selection systems.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
85. (p. 142) The practice of hiring relatives is:

A. a direct recruitment method.
B. termed nepotism.
C. called self-selection.
D. illegal.
E. conducive to meeting diversity objectives.
Nepotism is the practice of hiring relatives. This is often an unfair practice and can result in
resentment among employees.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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86. (p. 145) Executive search firms:

A. work almost exclusively with high-level, unemployed executives.
B. typically require the person being placed to make the initial contact with the prospective
employer directly.
C. are not subject to the requirements of Title VII.
D. are agencies administered by the federal government or governmental organizations.
E. find new jobs for people almost exclusively already employed.
For managers or professionals, an employer may use the services of a type of private agency
called an executive search firm (ESF). People often call these agencies "headhunters"
because, unlike other employment agencies, they find new jobs for people almost exclusively
already employed.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Private Employment Agencies
87. (p. 145) The most important source of recruits for entry-level professional and managerial
vacancies is:
A. on-campus interviewing.
B. public employment agencies.
C. advertisements in newspapers and magazines.
D. private employment agencies.
E. employee referrals.
On-campus interviewing is the most important source of recruits for entry level professional
and managerial vacancies.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Colleges and Universities
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88. (p. 146) In the context of evaluating the quality of a recruitment source, yield ratios express
the:
A. output yielded by a new hire in relation to the cost of recruiting the new hire.
B. the dollar costs incurred per hire.
C. percentage of applicants who successfully move from one stage of the recruitment and
D. quality of new hires by comparing the cost of training the new recruits to the cost of hiring
them.
E. the percentage of applicants who complete one year in the organization after recruitment.
In terms of evaluating the quality of a recruitment source, a yield ratio expresses the
percentage of applicants who successfully move from one stage of the recruitment and
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
89. (p. 146) To compute this amount, find the cost of using a particular recruitment source for a
particular type of vacancy. Then divide that cost by the number of people hired to fill that type
of vacancy.
A. Cost per hire
B. Yield ratio
C. Return on investment
D. Total cost of recruitment
E. Conversion rate
The cost per hire is a measure of recruitment success. To compute this amount, find the cost
of using a particular recruitment source for a particular type of vacancy. Then divide that cost
by the number of people hired to fill that type of vacancy. A low cost per hire means that the
recruitment source is efficient; it delivers qualified candidates at minimal cost.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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90. (p. 148) Realistic job previews:

A. are proven to "inoculate" employees against the negative features of a job.
B. have a weak and inconsistent effect on turnover.
C. are effective at helping organizations minimize turnover among new employees.
D. lead to unmet job expectations and high employee turnover.
E. exaggerate the positive qualities of vacancies and downplay their negative qualities.
Many studies have looked at how well realistic job previews —background information about
jobs' positive and negative qualities—can get around this problem and help organizations
minimize turnover among new employees. On the whole, the research suggests that realistic
job previews have a weak and inconsistent effect on turnover.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Behavior of the Recruiter
Essay Questions
91. (p. 125-126) What is forecasting? Describe one method each for forecasting labor demand and
supply.
The attempts to determine the supply of and demand for various types of human resources to
predict areas within the organization where there will be labor shortages or surpluses is
referred to as forecasting.
An organization might use trend analysis to predict labor demand, constructing and applying
statistical models that predict labor demand for the next year, given relatively objective
statistics from the previous year. These statistics are called leading indicators — objective
measures that accurately predict future labor demand.
A statistical procedure called a transitional matrix can be used for analyzing labor supply. This
is a chart that lists job categories held in one period and shows the proportion of employees in
each of those job categories in a future period. It answers two questions: "Where did people
who were in each job category go?" and "Where did people now in each job category come
from?"
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
Topic: Forecasting
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92. (p. 128-129) What is the second step in human resources planning? Explain the significance of
this step.
The second step in human resource planning is goal setting and strategic planning. The
purpose of setting specific numerical goals is to focus attention on the problem and provide a
basis for measuring the organization's success in addressing labor shortages and surpluses.
The goals should come directly from the analysis of labor supply and demand. They should
include a specific figure indicating what should happen with the job category or skill area and
a specific timetable for when the results should be achieved. For each goal, the organization
must choose one or more human resource strategies. A variety of strategies is available for
handling expected shortages and surpluses of labor. This planning stage is critical. The
options differ widely in their expense, speed, and effectiveness. Options for reducing a labor
surplus cause differing amounts of human suffering. The options for avoiding a labor shortage
differ in terms of how easily the organization can undo the change if it no longer faces a labor
shortage. Another consideration in choosing an HR strategy is whether the employees needed
will contribute directly to the organization's success.
Organizations are most likely to benefit from hiring and retaining employees who provide a
core competency. Through good HR planning, organizations try to anticipate labor surpluses
far enough ahead that they can freeze hiring and let natural attrition reduce the labor force.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
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93. (p. 130) What is the primary reason organizations downsize? How do they meet this
objective?

According to surveys, they do this by meeting four objectives:
1. Reducing costs: Labor is a large part of a company's total costs, so downsizing is an
attractive place to start cutting costs.
2. Replacing labor with technology: Closing outdated factories, automating, or introducing
other technological changes reduces the need for labor. Often, the labor savings outweigh the
cost of the new technology.
3. Mergers and acquisitions: When organizations combine, they often need less bureaucratic
overhead, so they lay off managers and some professional staff members.
4. Moving to more economical locations: Some organizations move from one area of the
United States to another, while others move operations out of the country to lower the cost of
production.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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94. (p. 131) What are early-retirement programs? What is a phased-retirement program and what
are its benefits?
Early retirement programs allow the older workers to retire ahead of the retirement age. Under
the pressures associated with an aging labor force, many employers try to encourage older
workers to leave voluntarily by offering a variety of early-retirement incentives. The more
lucrative of these programs succeed by some measures. Research suggests that these programs
encourage lower-performing older workers to retire. Sometimes they work so well that too
many workers retire. But many are not willing to retire early. Reasons include improved
health of older people, jobs becoming less physically demanding, concerns about the long-
term viability of Social Security and pensions, the recent drop in the value of older workers'
retirement assets (especially stock funds and home values), and laws against age
discrimination.
Many organizations are moving from early-retirement programs to phased-retirement
programs. In a phased-retirement program, the organization can continue to enjoy the
experience of older workers while reducing the number of hours that these employees work,
as well as the cost of those employees. This option also can give older employees the
psychological benefit of easing into retirement, rather than being thrust entirely into a new
way of life.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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95. (p. 132, 133) What are the challenges associated with temporary workers and contracted
workers?
This type of employment offers flexibility to the employer. However, to use this source of
labor effectively, employers need to overcome some disadvantages. In particular, temporary
and contract workers may not be as committed to the organization, so if they work directly
with customers, that attitude may spill over and affect customer loyalty. Therefore, many
organizations try to use permanent employees in key jobs and use temporary and contract
workers in ways that clearly supplement—and do not potentially replace—the permanent
employees. Also, if the person providing the service is a contractor and not an employee, the
company is not supposed to directly supervise the worker. The company can tell the
contractor what criteria the finished assignment should meet but not, for example, where or
what hours to work. This distinction is significant, because under federal law, if the company
treats the contractor as an employee, the company has certain legal obligations related to
matters such as overtime pay and withholding taxes.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
96. (p. 134) Outsourcing poses many challenges. Provide suggestions for employers to overcome
these challenges.
To ensure success with an outsourcing strategy, companies should follow these guidelines: (1)
Learn about what the provider can do for the company, not just the costs. Make sure the
company has the necessary skills, including an environment that can meet standards for clear
communication, on-time shipping, contract enforcement, fair labor practices, and
environmental protection. Some companies are keeping outsourcing work near or inside the
United States in order to meet this full set of requirements. (2) Do not offshore any work that
is proprietary or requires tight security. (3) Start small and monitor the work closely,
especially in the beginning, when problems are most likely. (4) Look for opportunities to
outsource work in areas that promote growth, for example, by partnering with experts who
can help the organization tap new markets.
AACSB: Analytic
Bloom's: Remember
Difficulty: Easy
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97. (p. 137-139) Outline two personnel policies that are especially relevant to recruitment.
Several personnel policies are especially relevant to recruitment:

1) Internal versus external recruiting: Organizations with policies to "promote from within"
try to fill upper-level vacancies by recruiting candidates internally. Opportunities for
advancement make a job more attractive to applicants and employees. The decision about
using internal or external recruiting affects the nature of jobs, recruitment sources, and the
nature of applicants.
2) Lead-the-market pay strategies: Pay is an important job characteristic for almost all
applicants. Organizations have a recruiting advantage if their policy is to take a "lead-the-
market" approach to pay—that is, pay more than the current market wages for a job. Higher
pay can also make up for a job's less desirable features. Organizations that compete for
applicants based on pay may use bonuses, stock options, and other forms of pay besides
wages and salaries.
3) Employment-at-will policies: Within the laws of the state where they are operating,
employers have latitude to set polices about their rights in an employment relationship. The
principle of employment at will holds that if there is no specific employment contract saying
otherwise, the employer or employee may end an employment relationship at any time. An
alternative is to establish extensive due-process policies, which formally lay out the steps an
employee may take to appeal an employer's decision to terminate that employee. An
organization's lawyers may advise the company to ensure that all recruitment documents say
the employment is "at will," to protect the company from lawsuits about wrongful discharge.
Management must decide how to weigh any legal advantages against the impact on
recruitment. Job applicants are more attracted to organizations with due-process policies,
which imply greater job security and concern for protecting employees, than to organizations
with employment-at-will policies.
4) Image advertising: Besides advertising specific job openings, organizations may advertise
themselves as a good place to work in general. Advertising designed to create a generally
favorable impression of the organization is called image advertising. This is particularly
important for organizations in highly competitive labor markets that perceive themselves as
having a bad image. Research suggests that the image of an organization's brand influences
the degree to which a person feels attracted to the organization. This attraction is especially
true if the person's own traits seem to match those of the organization. Also, job applicants
seem to be particularly sensitive to issues of diversity and inclusion in image advertising, so
organizations should ensure that their image advertisements reflect the broad nature of the
labor market from which they intend to recruit.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
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98. (p. 139-141) What are internal sources of recruitment? What are the advantages and
disadvantages of using this source?
Internal sources of recruitment are employees who currently hold other positions in the
organization. Organizations recruit existing employees through job posting, or communicating
information about the vacancy on company bulletin boards, in employee publications, on
corporate intranets, and anywhere else the organization communicates with employees.
Managers also may identify candidates to recommend for vacancies. Policies that emphasize
promotions and even lateral moves to achieve broader career experience can give applicants a
favorable impression of the organization's jobs. The use of internal sources also affects what
kinds of people the organization recruits.
For the employer, relying on internal sources offers several advantages. First, it generates
applicants who are well known to the organization. In addition, these applicants are relatively
knowledgeable about the organization's vacancies, minimizing the possibility they will have
unrealistic expectations about the job. Finally, filling vacancies through internal recruiting is
generally cheaper and faster than looking outside the organization.
Despite the advantages of internal recruitment, organizations often have good reasons to
recruit externally. For entry-level positions and perhaps for specialized upper-level positions,
the organization has no internal recruits from which to draw. Also, bringing in outsiders may
expose the organization to new ideas or new ways of doing business. Finally, companies that
are able to grow during a slow economy can gain a competitive edge by hiring the best talent
when other organizations are forced to avoid hiring, freeze pay increases, or even lay off
talented people.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
Topic: Recruitment Sources
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99. (p. 141-142) In terms of external sources of recruitment, who are direct applicants and
referrals? Why are these two groups regarded as excellent sources of recruitment?
Direct applicants are people who apply for a vacancy without prompting from the
organization. Referrals are people who apply because someone in the organization prompted
them to do so. These two sources of recruits share some characteristics that make them
excellent pools from which to draw. One advantage is that many direct applicants are to some
extent already "sold" on the organization. Most have done some research and concluded there
is enough fit between themselves and the vacant position to warrant submitting an application,
a process called self-selection, which, when it works, eases the pressure on the organization's
recruiting and selection systems. A form of aided self-selection occurs with referrals. Many
job seekers look to friends, relatives, and acquaintances to help find employment. Using these
social networks not only helps the job seeker but also simplifies recruitment for employers.
Current employees (who are familiar with the vacancy as well as the person they are
referring) decide that there is a fit between the person and the vacancy, so they convince the
person to apply for the job. An additional benefit of using such sources is that it costs much
less than formal recruiting efforts. Considering these combined benefits, referrals and direct
applications are among the best sources of new hires.
AACSB: Analytic
Bloom's: Remember
Difficulty: Medium
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100. (p. 147-149) What characteristics and behaviors would you look for in your recruiters so as to
increase the positive impact they have on job candidates?
In general, applicants respond more positively to recruiters whom they perceive as warm and
informative. In addition, at least according to one study, they perceive HR specialists as less
credible, and are less attracted to jobs when recruiters are HR specialists. Thus, HR specialists
need to take extra steps to ensure that applicants perceive them as knowledgeable and credible
or the company may wish to recruit in teams, including both an HR specialist and a supervisor
under which the employee might work. The impact of other characteristics, such as age, sex,
and race, are complex and inconsistent.
As for behaviors, recruiters should be encouraged to:
1. Provide applicants with timely feedback.
2. Avoid behaviors that might convey the wrong impression about the organization.
3. Be somewhat realistic in their recruiting message, but not necessarily use realistic job
previews, as research shows weak and inconsistent effects on turnover.
4. Do recruiting in teams rather than individually.
AACSB: Analytic
Bloom's: Understand
Difficulty: Medium
Topic: Recruiter Traits and Behaviors
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Chapter 05 - Planning for and Recruiting Human Resources

True / False Questions

3. Statistical models almost always have to be complemented with subjective judgments of

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Chapter 05 - Planning for and Recruiting Human Resources

8. The primary reason organizations engage in downsizing is to increase profitability.

15. Overtime is most suited for short-term labor shortages.

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Chapter 05 - Planning for and Recruiting Human Resources

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Chapter 05 - Planning for and Recruiting Human Resources

Multiple Choice Questions

27. Which of the following is an advantage of statistical forecasting methods?

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Chapter 05 - Planning for and Recruiting Human Resources

29. Trend analysis refers to:

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Chapter 05 - Planning for and Recruiting Human Resources

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Chapter 05 - Planning for and Recruiting Human Resources

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Chapter 05 - Planning for and Recruiting Human Resources

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Chapter 05 - Planning for and Recruiting Human Resources

46. The primary reason organizations engage in downsizing is to:

47. Which of the following is a disadvantage of downsizing?

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Chapter 05 - Planning for and Recruiting Human Resources

49. Many problems with downsizing can be reduced by:

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Chapter 05 - Planning for and Recruiting Human Resources

52. Early-retirement programs:

53. A phased-retirement program refers to:

56. Temporary employment is popular with employers because:

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Chapter 05 - Planning for and Recruiting Human Resources

57. Temporary employment:

59. Outsourcing refers to:

60. Which of the following is a challenge associated with outsourcing strategy?

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Chapter 05 - Planning for and Recruiting Human Resources

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Chapter 05 - Planning for and Recruiting Human Resources

68. Recruitment is defined as:

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Chapter 05 - Planning for and Recruiting Human Resources

71. Companies that use "lead-the-market" pay strategy:

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Chapter 05 - Planning for and Recruiting Human Resources

76. Which of the following is an internal source of recruitment?

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Chapter 05 - Planning for and Recruiting Human Resources

78. Which of the following is an advantage of relying on internal recruitment sources?

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Chapter 05 - Planning for and Recruiting Human Resources

83. Direct applicants and referrals:

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Chapter 05 - Planning for and Recruiting Human Resources

85. The practice of hiring relatives is: