1. An organization is faced with the challenge of offering robust benefits to retain top talent while staying within budget or cost constraints. Why is a benefit needs assessment a valuable undertaking?

A) A benefit needs assessment would determine employee willingness to pay an increasing portion of the plan coverage.
B) A benefits package can have a positive impact on attracting, motivating, and retaining talent.
C) Data collected helps the organization address employee financial or health problems impacting productivity.
D) Assessment results help align the benefits strategy with the organizational brand.



2. Compensation System Design An organization is having difficulty hiring engineers, yet their pay survey data indicates that they are paying 10% above the average for such employees. Which?ÿshould be the first step an HR director?ÿtakes to resolve the issue?

A) Offer current employees a bonus for successful referrals.
B) Check when the data was gathered and adjust it accordingly.
C) Raise the starting salary for engineers above the current rates.
D) Look to other recruitment sources and offer a retention bonus.



3. Which is the best method an HR manager of a small engineering firm should use to strategically evaluate all positions within the firm to create a formal hierarchical structure?

A) Quantitative method
B) Job ranking method
C) Point-factor method
D) Job competency method



4. Which type of organization would benefit most from broadbanding?

A) Large organizations that want to consolidate multiple layers of management
B) Small organizations with a minimal number of job?ÿpositions
C) Organizations that want to maintain?ÿtighter control over salary growth
D) Organizations with specialist jobs that are rare in the market



5. To recruit talent for a new venture in a small developing country, organizational executives suggest that HR use market pricing instead of job-content-based evaluation. Which is a potential disadvantage in this compensation strategy?

A) More assignees will need to be localized faster.
B) Assignees will want larger allowances in the new location.
C) Market pay fluctuations will create significant tax implications.
D) Internal positions may not match?ÿmarket data.