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SHRM-CP Organization Questions - Part 10
1. In the balanced scorecard approach to strategic management, which company action does the customer value?
A) Monitoring processes to ensure satisfactory outcomes
B) Providing quality goods and services
C) Designing clear long-range objectives
D) Analyzing employee ability to accomplish goals
2. HR has implemented a change initiative in the operations area to increase productivity. The initiative combined process redesign, changes in reporting structure, training, and incentives. The changes have been in place for six months. What measure would show the effect of the investment in the initiative?
A) Success ratio
B) Human capital value added
C) Training return on investment
D) Return on investment
3. The hiring manager is concerned with the number of resumes that come in compared to how many candidates are being interviewed. What area would the hiring manager want to discuss with Β the recruiter?
A) Effectiveness of recruiting, selection, and orientation methods
B) Benefits of a change in workplace conditions
C) Effectiveness of recruiting methods
D) Increasing efficiencies in recruitment and hiring process
4. What does an HR audit measure?
A) HR's contribution to the organization's bottom line
B) Transparency and accountability in the use of the HR budget
C) Adequacy of policies, practices, procedures, and strategies to support HR's goals
D) Internal customer satisfaction with HR services and quality of delivery
5. Which identifies the best use of the balanced scorecard in strategic planning?
A) Demonstrating potential return on investment
B) Identifying significant strategic objectives
C) Supporting financial reporting of tangible assets
D) Establishing internal strengths and weaknesses
A) Monitoring processes to ensure satisfactory outcomes
B) Providing quality goods and services
C) Designing clear long-range objectives
D) Analyzing employee ability to accomplish goals
2. HR has implemented a change initiative in the operations area to increase productivity. The initiative combined process redesign, changes in reporting structure, training, and incentives. The changes have been in place for six months. What measure would show the effect of the investment in the initiative?
A) Success ratio
B) Human capital value added
C) Training return on investment
D) Return on investment
3. The hiring manager is concerned with the number of resumes that come in compared to how many candidates are being interviewed. What area would the hiring manager want to discuss with Β the recruiter?
A) Effectiveness of recruiting, selection, and orientation methods
B) Benefits of a change in workplace conditions
C) Effectiveness of recruiting methods
D) Increasing efficiencies in recruitment and hiring process
4. What does an HR audit measure?
A) HR's contribution to the organization's bottom line
B) Transparency and accountability in the use of the HR budget
C) Adequacy of policies, practices, procedures, and strategies to support HR's goals
D) Internal customer satisfaction with HR services and quality of delivery
5. Which identifies the best use of the balanced scorecard in strategic planning?
A) Demonstrating potential return on investment
B) Identifying significant strategic objectives
C) Supporting financial reporting of tangible assets
D) Establishing internal strengths and weaknesses
1. Right Answer: B
Explanation: The balanced scorecard measures an organization from four perspectives. The customer perspective captures the ability of the organization to provide quality goods and services, the effectiveness of their delivery, and overall customer service and satisfaction
2. Right Answer: B
Explanation: The human capital value added metric shows growth in employee productivity. It is calculated by subtracting nonemployment expenses (e.g., materials, rent, utilities) from revenue and dividing the difference by the number of employees. A value should be established at the beginning of the initiative so that a later value can be compared with it to show effect.
3. Right Answer: C
Explanation: The applicant yield ratio is the percentage of applicants who proceed to the next step of the selection process. It demonstrates the effectiveness of recruiting methods. Cost per hire is total costs of hiring divided by number hired. It demonstrates increased efficiencies in the recruitment and hiring process. The success ratio is the proportion of selected applicants who are later judged to be successful on the job. It indicates the effectiveness of the recruiting, selection, and orientation methods. The absence rate is the ratio of lost days to number of employees. It can reflect the benefits of a change in workplace conditions.
4. Right Answer: C
Explanation: An HR audit measures the adequacy of HR policies, practices, procedures, and strategies as HR works toward meeting its strategic goals. What an audit measures can vary according to an organization's focus, but in general audits measure Β effectiveness and efficiency of procedures in delivering outputs of desired quantity, timing, and quality. The audit, for example, Β could assess compliance with policies about using resources or with procedures designed to ensure alignment with legal requirements or customer service. The HR audit is not like a financial audit (although functional budgets may be audited by internal auditors).
5. Right Answer: B
Explanation: The balanced scorecard can help leaders identify the key drivers of the organization's past and continued success. These drivers can then be used to develop goals and strategies to achieve those goals.
Explanation: The balanced scorecard measures an organization from four perspectives. The customer perspective captures the ability of the organization to provide quality goods and services, the effectiveness of their delivery, and overall customer service and satisfaction
2. Right Answer: B
Explanation: The human capital value added metric shows growth in employee productivity. It is calculated by subtracting nonemployment expenses (e.g., materials, rent, utilities) from revenue and dividing the difference by the number of employees. A value should be established at the beginning of the initiative so that a later value can be compared with it to show effect.
3. Right Answer: C
Explanation: The applicant yield ratio is the percentage of applicants who proceed to the next step of the selection process. It demonstrates the effectiveness of recruiting methods. Cost per hire is total costs of hiring divided by number hired. It demonstrates increased efficiencies in the recruitment and hiring process. The success ratio is the proportion of selected applicants who are later judged to be successful on the job. It indicates the effectiveness of the recruiting, selection, and orientation methods. The absence rate is the ratio of lost days to number of employees. It can reflect the benefits of a change in workplace conditions.
4. Right Answer: C
Explanation: An HR audit measures the adequacy of HR policies, practices, procedures, and strategies as HR works toward meeting its strategic goals. What an audit measures can vary according to an organization's focus, but in general audits measure Β effectiveness and efficiency of procedures in delivering outputs of desired quantity, timing, and quality. The audit, for example, Β could assess compliance with policies about using resources or with procedures designed to ensure alignment with legal requirements or customer service. The HR audit is not like a financial audit (although functional budgets may be audited by internal auditors).
5. Right Answer: B
Explanation: The balanced scorecard can help leaders identify the key drivers of the organization's past and continued success. These drivers can then be used to develop goals and strategies to achieve those goals.
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