Chapter 8—Human Resource Management: From Recruitment to Labor Relations MATCHING Complete the following using the terms listed. a. job enlargement b. 360-degree performance review c. collective bargaining d. Theory Y e. downsizing f. outsourcing g. flexible work plans h. grievance i. 401(k) plans j. human resource management k. performance appraisals l. employee separation m. lockout n. arbitration 1. Using outside specialists to perform functions previously performed by company employees is called _____. 2. _____ allow employees to adjust their working hours and places of work to accommodate their personal needs. 3. _____ managers assume that employees like work and will seek and accept greater responsibility. 4. The function of attracting, developing, and retaining enough qualified employees to perform the activities necessary to accomplish organizational objectives is called _____. 5. _____ is a job design that expands an employee’s responsibilities by increasing the number and variety of tasks. 6. One type of performance appraisal is the _____, which gathers feedback from a review panel of coworkers, supervisors, team members, and subordinates. 7. A union complaint that management is violating a provision of the union contract is called a(n) _____. 8. ____________ is a broad term covering the loss of an employee for any reason. 9. The process of negotiation between management and union representatives for the purpose of arriving at a mutually acceptable agreement is called _____. 10. _____ are retirement savings plans to which employees can make pretax contributions to retirement accounts. 11. _____ is the process of reducing the number of employees within a firm by eliminating jobs. 12. When disputes cannot be solved voluntarily through mediation, parties can use _____ by bringing in an impartial outside party who renders a legally binding decision. 13. A management strike, also known as a(n) _____, puts pressure on union members by closing the firm. 14. Most firms use annual ____________ to evaluate an employee’s job performance and provide feedback. 1. ANS: f Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 2. ANS: g Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 3. ANS: d Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 4. ANS: j Behind the People Pg. 232 5. ANS: a Pg. 244 6. ANS: b Pg. 236 7. ANS: h Pg. 250 DIF: MEDIUM LO: AACSB DIF: MEDIUM AACSB DIF: MEDIUM AACSB DIF: MEDIUM AACSB Analytic BT: K LO: 8.6 Motivating Employees Analytic BT: K LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K LO: 8.7 Labor- Management Relations Analytic BT: K 8. ANS: l Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 9. ANS: c Pg. 250 10. ANS: i Pg. 238 11. ANS: e Pg. 243 12. ANS: n Pg. 250 DIF: MEDIUM AACSB DIF: MEDIUM AACSB DIF: MEDIUM AACSB DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K LO: 8.4 Compensation Analytic BT: K LO: 8.5 Employee Separation Analytic BT: K LO: 8.7 Labor-Management Relations Analytic BT: K 13. ANS: m Pg. 250 14. ANS: k Pg. 236 DIF: MEDIUM AACSB DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 8.1 Human Resource Management: The People ESSAY 15. Explain the concept of human resource management and the role of human resource planning in an organization’s competitive strategy. ANS: Human resource management is the function of attracting, developing, and retaining enough qualified employees to perform the activities necessary to accomplish organizational objectives. Human resource planning forecasts the number of employees a firm will need and determines the types of skills necessary to implement its plans. DIF: MEDIUM Pg. 232 LO: 8.1 Human Resource Management: The People Behind the People AACSB Analytic BT: K 16. Describe the core responsibilities of human resource management. ANS: The core responsibilities of human resource management include planning for staffing needs, recruiting and selecting employees, training and evaluating performance, determining employee compensation and benefits, and dealing with employee separation. DIF: MEDIUM Pg. 232 LO: 8.1 Human Resource Management: The People Behind the People AACSB Analytic BT: K 17. Describe the use of social networking sites as a job recruiting tool for firms and discuss what this means to job seekers. ANS: More firms today than ever before are using social media networking sites like LinkedIn, Facebook, and Twitter as tools for connecting to job seekers. Companies constantly update their pages on these sites with information about promotions and when they will be hiring new workers. They also join group discussions and search for qualified candidates. This makes it important for job seekers who use these social networking sites to pay attention to what information and images they include on their pages so that they look professional to potential employers. DIF: MEDIUM LO: 8.2 Recruitment and Selection Pg. 232 AACSB Analytic BT: C 18. Explain the advantages of Internet recruiting. ANS: Internet recruiting is a quick, efficient, and inexpensive way to reach a large pool of job seekers. The vast majority of companies currently use the Internet, including social networking sites, to fill job openings. This is also the best way for firms to reach new college graduates and workers in their 20s and 30s. DIF: MEDIUM LO: 8.2 Recruitment and Selection Pg. 232 AACSB Analytic BT: K 19. Discuss the process and benefits of computer-based training. ANS: Many firms are replacing classroom training with computer-based training programs, which can significantly reduce the cost of training. Computer-based training offers consistent presentations, along with videos that can simulate the work environment. Employees can learn at their own pace without having to sign up for a class. Through online training programs, employees can engage in interactive learning—they might conference with a mentor or instructor who is located elsewhere; or they might participate in a simulation requiring them to make decisions related to their work. An extension of computer-based training is multimedia training, which may combine text with sound, 3-D animation, high-resolution graphics, games, simulations, and the like. DIF: MEDIUM Pg. 236 LO: 8.3 Orientation, Training, and Evaluation AACSB Analytic BT: C 20. What is a 360-degree performance review? What are its advantages and disadvantages? ANS: A 360-degree performance review is a process that gathers feedback from a review panel of between 8 and 12 people. The panel includes coworkers, supervisors, team members, subordinates, and even customers. The idea is to get as much frank feedback from as many perspectives as possible. About two-thirds of all large U.S. companies use them. The downside of 360-degree reviews is they involve a great deal more work for both the employee and manager. Also, since the evaluations are anonymous, those with an ax to grind can use these evaluations to even scores. DIF: MEDIUM Pg. 236 LO: 8.3 Orientation, Training, and Evaluation AACSB Analytic BT: 21. What types of benefits are mandated by law? C ANS: U.S. firms are required to make Social Security and Medicare contributions, as well as payments to state unemployment insurance and workers’ compensation programs, which protect workers in case of job-related injuries or illnesses. The Family and Medical Leave Act of 1993 requires covered employers to offer up to 12 weeks of unpaid, job-protected leave to eligible employees. DIF: MEDIUM LO: 8.4 Compensation Pg. 238 AACSB Analytic BT: K 22. On what factors do firms based their compensation policies? ANS: Most firms base their compensation policies on the following factors: (1) what competing companies are paying, (2) government regulation, (3) cost of living, (4) company profits, and (5) an employee’s productivity. DIF: MEDIUM LO: 8.4 Compensation Pg. 238 AACSB Analytic BT: K 23. What is downsizing? How is it different from outsourcing? ANS: Downsizing is the process of reducing the number of employees within a firm by eliminating jobs. Downsizing is done to cut overhead costs and streamline the organizational structure. With outsourcing, companies contract with outside firms to perform noncore jobs or business functions, such as housekeeping, maintenance, or relocation services. Outsourcing allows companies to focus on what they do best and can result in a downsized workforce. DIF: MEDIUM Pg. 243 LO: 8.5 Employee Separation AACSB Analytic BT: C 24. Explain Maslow’s hierarchy of needs and how an individual is motivated at each level. ANS: Maslow stated that each of us is motivated by unfilled, ascending needs. The lowest level needs are physical—food, shelter, and basic clothing. Once these needs are satisfied, they no longer act as motivators, but a new, higher level of needs (safety) act as the next level of motivators. Social needs are on the next level and are followed by esteem needs. The highest level is self-actualization. DIF: MEDIUM Pg. 244 LO: 8.6 Motivating Employees AACSB Analytic BT: C 25. Explain Victor Vroom’s expectancy theory. ANS: Victor Vroom’s expectancy theory of motivation describes the process people use to evaluate the likelihood that their efforts will yield the results they want, along with the degree to which they want those results. Expectancy theory suggests that people use three factors to determine how much effort to put forth. First is a person’s subjective prediction that a certain effort will lead to the desired result. This is the “can do” component of an employee’s approach to work. Second is the value of the outcome (reward) to the person. Third is the person’s assessment of how likely a successful performance will lead to a desirable reward.DIF: MEDIUM LO: 8.6 Motivating Employees Pg. 244 AACSB Analytic BT: C 26. Discuss how Theory X, Y, and Z managers each attempt to increase productivity. ANS: Theory X managers use fear, constant supervision, and additional money as tools to increase productivity. Theory Y managers try to make work more interesting and challenging for their employees. Theory Z managers use shared decision making and a matrix form of organization. DIF: MEDIUM Pg. 244 LO: 8.6 Motivating Employees AACSB Analytic BT: C 27. Discuss the significance of the National Labor Relations Act. ANS: This legislation legalized collective bargaining and required employers to negotiate with elected representatives of their employees. It established the National Labor Relations Board (NLRB) to supervise union elections and prohibit unfair labor practices such as firing workers for joining unions, refusing to hire union sympathizers, threatening to close if workers unionize, interfering with or dominating the administration of a union, and refusing to bargain with a union. DIF: MEDIUM Pg. 250 LO: 8.7 Labor-Management Relations AACSB Analytic BT: C 28. Describe collective bargaining. ANS: Labor unions work to increase job security for their members and to improve wages, hours, and working conditions. These goals are achieved primarily through collective bargaining, the process of negotiation between management and union representatives. Union contracts, which typically cover a two- or three-year period, are often the result of weeks or months of discussion, disagreement, compromise, and eventual agreement. Once agreement is reached, union members must vote to accept or reject the contract. If the contract is rejected, union representatives may resume the bargaining process with management representatives, or union members may strike to obtain their demands. DIF: MEDIUM Pg. 250 LO: 8.7 Labor-Management Relations AACSB Analytic BT: C MULTIPLE CHOICE 29. The function of attracting, developing, and retaining enough qualified employees to perform the activities necessary to accomplish organizational objectives is part of ________. a. human resource management b. human asset accounting c. management objectives d. management development ANS: a Behind the People Pg. 232 DIF: EASY LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 30. All of the following are core responsibilities of human resource managers EXCEPT ________. a. employee recruitment b. employee training and performance evaluation c. employee compensation and benefits d. company budget forecasts ANS: d Behind the People Pg. 232 DIF: EASY LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 31. Pham is a human resource manager. His responsibilities might include all of the following activities EXCEPT ________. a. developing employee training programs b. administering employee benefit programs c. projecting sales for the coming six-month period d. administering compensation plans ANS: c Behind the People Pg. 232 DIF: MEDIUM LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 32. Which of the following is an overall objective of the human resource management department? a. maximizing employee effectiveness in the organization b. forecasting anticipated sales c. determining sources of operating funds d. daily supervision of hourly employees ANS: a Behind the People Pg. 232 DIF: MEDIUM LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 33. Which of the following is the first step in the employee recruitment process? a. review applications and résumés b. interview candidates c. conduct employment tests d. identify job requirements ANS: d Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 34. The purpose of the EEOC is to ________. a. provide health insurance to uninsured employees b. guarantee companies pay social security for all employees c. investigate claims of discrimination d. enforce the Family and Medical Leave Act of 1993 ANS: c Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 35. Which of the following statements about Title VII of the Civil Rights Act is NOT correct? a. It created the EEOC. b. It prohibits discrimination based on age, religion, or gender. c. It helps employers set up affirmative action programs to increase job opportunities for women, minorities, people with disabilities, and other protected groups. d. It includes the right to a jury trial for victims of employment discrimination. ANS: b Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Diversity BT: K 36. The Americans with Disabilities Act makes it illegal for a company to ask about a job applicant’s health when that applicant is applying for a position, unless ________. a. A company is never allowed to ask about a job applicant’s health. b. the condition requires an extended leave of absence c. the company cannot afford higher-than-average medical costs d. the condition directly affects the person’s ability to perform the job ANS: d Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Diversity BT: K 37. Derek runs the finance department for a software company and wants to measure a job candidate’s ability in numerical aptitude, general reasoning, and verbal comprehension. According to experts, which test would be ideal for this situation? a. certified public accounting exam b. associative learning comprehension c. cognitive ability test d. personality type indicator ANS: c Pg. 233 DIF: EASY AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 38. The orientation program is typically administered jointly by the ________. a. human resource department and the department in which the employee will work b. appropriate vice president and the human resource department c. payroll department and the human resource department d. employee training instructor and the management development office ANS: a Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 39. Which of the following is an example of on-the-job training? a. online training programs b. conferences c. classroom lectures d. apprenticeship programs ANS: d Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 40. Some companies are replacing classroom training with computer-based and online training programs because these programs offer all of the following advantages EXCEPT ________. a. reduced travel costs b. online training programs are less difficult c. online training offers consistent presentations d. employees can learn at their own pace ANS: b Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 41. Amy is a promising middle manager for a large company. She is taking part in a training program designed to improve her skills and broaden her knowledge of the company and entire industry. Amy is taking part in a(n) ________. a. management development program b. on-the-job training program c. apprenticeship program d. 360-degree review ANS: a Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 42. Which of the following is a concern about performance appraisals? a. They are held too frequently. b. They may be skewed in favor of a single manager’s subjective opinion. c. They are based on objective criteria. d. They take place in the form of two-way communication. ANS: b Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 43. Based on employee performance appraisals, managers make objective decisions about all of the following EXCEPT ________. a. additional training needs b. compensation c. corporate outsourcing d. promotion ANS: c Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 44. Robert is a middle manager for All Dogs Food Co. He has requested an evaluation by a panel to include coworkers, superiors, subordinates, and several of the company’s clients. This type of evaluation is called a ________. a. management development program b. Professional Analysis, Inc. (PAI) review c. status performance appraisal d. 360-degree performance review ANS: d Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 45. Demitrius is scheduled for a 360-degree performance review at UPS. What advantage can he and the company gain from this review? a. less work for employees and managers b. feedback from multiple perspectives c. outcomes untainted by personal disputes d. less paperwork than a traditional review ANS: b Pg. 236 DIF: EASY AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 46. Omar, an electrician for Quality Builders, is paid $35 for each hour he works during the day. After 5 p.m. and on weekends, he is paid the overtime rate of one and one-half times the regular hourly rate. Omar is paid a ________. a. wage b. bonus c. commission d. salary ANS: a Pg. 238 DIF: EASY AACSB LO: 8.4 Compensation Analytic BT: K 47. Antonio is paid $55,000 per year as a research analyst. This type of compensation is called a(n) ________. a. salary b. wage c. time wage d. employee benefit ANS: a Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 48. Most companies base their compensation policies on all of the following factors EXCEPT ________. a. government legislation b. cost of living c. worker’s previous salary d. worker productivity ANS: c Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 49. Joanne performed substantially better than her supervisor had expected on predetermined department goals. Because of her excellent productivity, she received an extra $1,500 at the end of the year. Joanne was ________. a. paid an additional salary b. granted incentive compensation based on her knowledge c. given overtime pay d. awarded a gain-sharing bonus ANS: d Pg. 238 DIF: EASY AACSB LO: 8.4 Compensation Analytic BT: K 50. Gain sharing is an employee benefit that provides ________. a. increased stock options if the company is doing well b. bonuses for recruiting new employees for needed positions c. bonuses based on surpassing performance goals d. salary increases based on learning new job skills ANS: c Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 51. Which of the following is NOT a trend in employee benefits? a. Employers are offering incentives for employees to live better lives. b. Employers are paying a greater percentage of health care costs. c. Companies are shrinking the matching contributions made to workers’ retirement programs. d. Employee benefits amount to approximately 30 percent of total compensation. ANS: b Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 52. All of the following employee benefits are required by law with the exception of ________. a. health insurance b. Social Security c. unemployment insurance d. Medicare ANS: a Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 53. Antonio is able to select the type of benefits he receives by choosing from a list of possibilities including health insurance, dental and vision plans, and life and disability. This type of “cafeteria” plan is called a ________ benefits plan. a. flexible b. supplemental c. volunteer d. legally mandated ANS: a Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 54. All of the following are examples of flexible working arrangements EXCEPT ________. a. paid time off b. compressed workweeks c. job sharing plans d. 401(k) plans ANS: d Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 55. Jana’s firm allows her to work four 10-hour days each week. This type of flexible work arrangement is known as ________. a. job sharing program b. compressed workweek c. telecommuter d. flextime ANS: b Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 56. Kate is a full-time nurse and would like to vary her starting and ending time to better accommodate her children’s school hours. Which flexible work plan would be ideal for her situation? a. flextime b. job sharing program c. telecommuter d. compressed workweek ANS: a Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 57. Chaya’s firm allows her to complete most of her work tasks from her home. Which flexible work plan is Chaya using? a. job sharing program b. compressed workweek c. telecommuting d. flextime ANS: c Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 58. Rose was recently let go from her position at an insurance agency as a result of downsizing. This is an example of ________. a. voluntary separation b. involuntary separation c. involuntary turnover d. voluntary turnover ANS: b Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 59. Darren decided to change jobs. Before he left the company, he talked to someone in the human resources department about the reasons why he was leaving. Darren went through a(n) ________ interview. a. termination b. exit c. downsizing d. outsourcing ANS: b Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 60. Hailey manages the finance department at her company, and she discovers that one of her employees is performing poorly and letting coworkers pick up the slack. Hailey knows that resentment is building, so after an initial write-up, she proceeds with a(n) ________ of the employee. a. downsizing b. voluntary turnover c. outsourcing d. involuntary turnover ANS: d Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 61. Which of the following is often a negative result of downsizing? a. employee morale declines b. product quality drops c. competitive position deteriorates d. customer service quality declines ANS: a Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 62. Which of the following tasks are NOT typically outsourced? a. accounting b. core business c. noncore business d. production ANS: b Pg. 243 DIF: EASY AACSB LO: 8.5 Employee Separation Analytic BT: K 63. Which of the following is NOT a reason for outsourcing? a. avoiding long-term resource costs b. enabling a firm to focus on functions it does best c. improving internal management controls d. gaining flexibility to change vendors at the end of contract periods ANS: c Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 64. Robert’s company contracted with an outside business to provide technical and computer support. This is an example of ________. a. restructuring the whole organization b. downsizing c. employee empowerment d. outsourcing ANS: d Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 65. A need produces ________, which leads to ________. a. motivation; goal-directed behavior b. goal-directed behavior; rewards c. responsibility; satisfaction d. stress-directed behavior; motivation ANS: a Pg. 244 66. DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K According to Herzberg, job factors that are essential to job satisfaction although they cannot motivate employees include which of the following? a. recognition b. advancement c. growth opportunities d. job security ANS: d Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: AP 67. A key premise of Maslow’s hierarchy of needs theory is that ________. a. people’s needs are based on their wants b. people’s needs are based on an order of importance c. not all people have basic needs d. a satisfied need is a motivator ANS: b Pg. 244 DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K 68. According to Maslow, an individual’s first priority is given to which level of need? a. esteem b. self-actualization c. physiological d. safety ANS: c Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 69. Helène, an industrial sales representative, bought a cellular phone to use if she ever had car trouble while traveling between appointments. Which level of Maslow’s need hierarchy is Helène addressing? a. safety b. physiological c. self-actualization d. esteem ANS: a Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 70. The desire to be accepted by family members and other individuals is what Maslow called ________ needs. a. physiological b. esteem c. social d. self-actualization ANS: c Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 71. According to Maslow, the desire to be valued and recognized by others is a(n) ________ need. a. safety b. self-actualization c. physiological d. esteem ANS: d Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 72. Juanita is the captain of her college basketball team. Her long-term goal is to be named to the All American women’s basketball team. Juanita is motivated by ________. a. esteem needs b. social needs c. self-actualization needs d. physiological needs ANS: c Pg. 244 DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K 73. An example of a job factor that is important to job satisfaction though it does not contribute directly to motivation is ________. a. company policies b. opportunity for growth c. achievement d. job responsibility ANS: a Pg. 244 74. DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K _________ is concerned with an individual’s perception of fair and equitable treatment. a. Expectancy theory b. Maslow’s hierarchy of needs theory c. Equity theory d. Goal-setting theory ANS: c Pg. 244 DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K 75. Vroom’s expectancy theory states that ________. a. people’s needs are arranged on a hierarchy of importance b. employees compare their results with those of coworkers and decrease their efforts if they feel they are underrewarded for similar work c. people are motivated to the extent to which they accept challenging goals and receive feedback on their progress d. employees assess the probability of accomplishing a task, the value of the reward, and the likelihood that successful performance leads to a desirable reward ANS: d Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 76. The basic components of goal-setting theory include all of the following EXCEPT ________. a. goal difficulty b. performance feedback c. goal acceptance d. time management ANS: d Pg. 244 77. DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K Which of the following is not a key principle of MBO? a. specific objectives for each individual b. performance evaluation and feedback c. autocratic decision making d. specific time period to accomplish goals ANS: c Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 78. Claire announces to her staff that she intends to lower costs in their department by 5 percent. Which component of goal setting is Claire utilizing? a. goal specificity b. time management c. goal acceptance d. performance review ANS: a Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 79. The goal of ________ is to increase employees’ interest in their jobs and allow them to learn more about different jobs in the company. a. enlargement b. management c. rotation d. enrichment ANS: c Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 80. David is the head chef in a restaurant and has decided to increase the number of tasks performed by the kitchen staff. The added tasks do not result in increased challenge or authority. David’s efforts are called job ________. a. sharing b. enrichment c. management d. enlargement ANS: d Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 81. Malcolm, manager of a purchasing department, keeps a close watch on his employees to make sure they don’t extend their work breaks beyond the 15-minute time allotment. Malcolm would be described as a ________ manager. a. b. c. d. traditional Theory Y Theory X Theory Z ANS: c Pg. 244 DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K 82. Gloria, a supervisor of data entry clerks, includes her subordinates in decision making when possible. She believes that most people can think of creative ways to solve work-related problems. Gloria’s assumption about worker behavior is based on ________. a. Theory Y b. management by objectives (MBO) c. Theory X d. Maslow’s hierarchy of needs ANS: a Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 83. Carlos, a management trainee, completed a leadership profile in which he was identified as having Theory Y assumptions about people. Therefore, Carlos would believe that ________. a. workers can exercise self-control and direction toward organization goals b. the average person has relatively little ambition and wants security above all c. the average worker will, under proper conditions, not only accept but also actually seek responsibility d. the expenditure of physical and mental effort in work is as natural as play or rest ANS: c Pg. 244 DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K 84. Eric is a supervisor and he works hard to involve his employees in all aspects of the operation believing that employee involvement is a key to improving productivity. Eric is a ________ manager. a. Theory Y b. Theory X c. Theory C d. Theory Z ANS: d Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 85. Approximately what percentage of private-sector American workers currently belongs to a labor union? a. less than 5 percent b. between 8 and 9 percent c. between 20 percent and 30 percent d. over 40 percent ANS: b Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 86. Local unions are typically organized by ________. a. affiliation with the national union b. affiliation with the international union c. geographic area d. occupation ANS: c Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 87. The National Labor Relations Act of 1935 (Wagner Act) required employers to ________. a. limit the amount of hours worked per week b. negotiate with elected representatives of their employees c. establish open shops where unions are free to organize d. bargain with union organizers in “good faith” ANS: b Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 88. The Fair Labor Standards Act ________. a. established the federal minimum wage b. outlawed union shops c. outlawed secondary boycotts d. legalized collective bargaining ANS: a Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 89. Union contracts typically cover a time period of ________. a. less than one year b. two to three years c. five years d. more than five years ANS: b Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 90. Collective bargaining encompasses all of the following issues EXCEPT ________. a. employee wages b. hours c. working conditions d. investor relations ANS: d Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 91. Beatrice is trying to resolve a labor dispute. She meets with both sides, makes a number of recommendations, and suggests a compromise. Beatrice is acting as a(n) ________ and ________ force a settlement. a. mediator; cannot b. mediator; can c. arbitrator; cannot d. arbitrator; can ANS: a Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 92. A complaint that management is violating a provision of a union contract often results in ________. a. mediation b. a work slowdown c. the filing of a grievance d. a strike ANS: c Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 93. Evan is working on a labor dispute. He meets with both sides, listens to their proposals, and makes a decision on a new contract. Evan is acting as a(n) ________ and ________ force a settlement. a. mediator; cannot b. mediator; can c. arbitrator; cannot d. arbitrator; can ANS: d Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 94. Who must approve the person selected as an arbitrator? a. the federal government b. management and labor c. labor-only d. management only ANS: b Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 95. A union’s ultimate tactic is a ________. a. strike b. boycott c. picket line d. slowdown ANS: a Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 96. Nonviolent picketing is ________. a. legal only if workers are on strike b. generally less effective than a strike since workers usually cross picket lines c. legally protected free speech d. legal only in states without right-to-work laws ANS: c Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 97. Cesar Chavez and the United Farm Workers Union used a ________ to encourage the public not to buy grapes grown with pesticides. a. strike b. walkout c. lockout d. boycott ANS: d Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 98. Union workers at an auto parts plant go out on strike. In response, management closes the plant. This tactic is a ________. a. lockout b. cooling-off period c. secondary boycott d. strikebreaker ANS: a Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K TRUE/FALSE 99. Human resource departments are responsible for forecasting sales and personnel requirements, as well as recruiting new employees. ANS: F Behind the People Pg. 232 DIF: EASY LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 100. Training and evaluating performance are core responsibilities for human resource management. ANS: T Behind the People Pg. 232 DIF: EASY LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 101. A firm’s human resource plans often correspond with competitive strategies. ANS: T Behind the People Pg. 232 DIF: MEDIUM LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 102. Internet recruiting is a quick but expensive way to reach a large pool of job seekers. Human resource plans can affect the way a company adapts to new technology. ANS: F Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 103. Human resource managers play less of a role in creating a work environment that generates employee satisfaction than the employees themselves. ANS: F Behind the People Pg. 232 DIF: EASY LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 104. Because of their role as staff managers, human resource managers formulate only short-term plans for their firm’s workforce. ANS: F Behind the People Pg. 232 DIF: MEDIUM LO: 8.1 Human Resource Management: The People AACSB Analytic BT: K 105. Even with a large number of job candidates competing for a small number of openings, companies often have trouble finding the right person for each job. ANS: T Pg. 233 DIF: EASY AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 106. Most firms are still hesitant to use social media sites as a way to network with job seekers. ANS: F Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 107. Employers cannot legally reward workers with bonuses or prizes for employee referrals, even if they lead to new hires. ANS: F Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 108. An inadvertent failure to comply with federal or state employment laws still leads to significant penalties for the firm involved. ANS: T Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: AP 109. The Civil Rights Act of 1991 expanded the rights of discrimination victims to include damages for emotional distress. ANS: T Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Diversity BT: K 110. Josh owns a trucking company and is interviewing potential drivers. Since Josh must provide weekend driver coverage, he is allowed to ask job candidates about their marital status. ANS: F Pg. 233 DIF: EASY AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 111.Firms do not generally make poor hiring decisions for top-level management. ANS: F Behind the People Pg. 233 DIF: MEDIUM LO: 8.2 Human Resource Management: The People AACSB Analytic BT: K 112. The Wonderlic test measures basic math and verbal skills and is considered an effective way to predict job performance. ANS: T Pg. 233 DIF: MEDIUM AACSB LO: 8.2 Recruitment and Selection Analytic BT: K 113. A company should view employee training as an ongoing process throughout each employee’s tenure with the firm. ANS: T Pg. 236 DIF: EASY AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 114. Apprenticeship training is a type of on-the-job training. ANS: T DIF: EASY LO: 8.3 Orientation, Training, and Evaluation Pg. 236 AACSB Analytic BT: K 115. While computer-based training is usually less costly than classroom training, it is also considered to be less effective. ANS: F Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 116. Management development programs are designed to improve the skills and broaden the knowledge of current or future managers and executives. ANS: T DIF: MEDIUM LO: 8.3 Orientation, Training, and Evaluation Pg. 236 AACSB Analytic BT: K 117. Wages that are too high may lead to a firm being noncompetitive. ANS: T Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 118. Salary is a term that represents compensation based on the number of hours worked. ANS: F Pg. 238 DIF: EASY AACSB LO: 8.4 Compensation Analytic BT: K 119.A potential weakness of 360-degree feedback is its anonymous nature. ANS: T Pg. 236 DIF: EASY AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 120. An effective performance review should be linked to organizational goals. ANS: T Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 121. One advantage of 360-degree performance reviews is they require less work for both employees and managers. ANS: F Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 122. One of the advantages of performance appraisals is that they can provide employees with the chance to ask questions or participate in goal setting. ANS: T Pg. 236 DIF: MEDIUM AACSB LO: 8.3 Orientation, Training, and Evaluation Analytic BT: K 123. Federal legislation requires that employees automatically receive raises after a designated period of time. ANS: F Pg. 238 DIF: EASY AACSB LO: 8.4 Compensation Analytic BT: K 124. Employees often report feeling more satisfied from appreciation and recognition than fringe benefits. ANS: T Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 125. The Family and Medical Leave Act of 1993 requires covered employers to receive child care and health insurance benefits. ANS: F Pg. 238 DIF: EASY AACSB LO: 8.4 Compensation Analytic BT: K 126. In a cafeteria plan, each employee receives a set allowance to pay for benefits depending on his or her needs. ANS: T Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 127. Flexible work plans have proven to reduce absenteeism and boost work productivity. ANS: T Pg. 238 DIF: EASY AACSB LO: 8.4 Compensation Analytic BT: K 128. Flextime is a scheduling system that allows employees to select the day of the week on which they will work. ANS: F Pg. 238 DIF: MEDIUM AACSB LO: 8.4 Compensation Analytic BT: K 129. Employers may obtain valuable information regarding employee satisfaction from exit interviews. ANS: T Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 130. Downsizing streamlines the organizational structure. ANS: T Pg. 243 DIF: EASY AACSB LO: 8.5 Employee Separation Analytic BT: K 131. The two most common objectives of downsizing are to improve employee morale and to decrease costs. ANS: F Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 132. Downsizing is a method used to weed out employees who exhibit poor performance. ANS: F Pg. 243 DIF: EASY AACSB LO: 8.5 Employee Separation Analytic BT: K 133. Downsizing can have devastating effects on employee morale. ANS: T Pg. 243 DIF: EASY AACSB LO: 8.5 Employee Separation Analytic BT: K 134. Outsourcing is defined as transferring core jobs outside the company. ANS: F Pg. 243 DIF: MEDIUM AACSB LO: 8.5 Employee Separation Analytic BT: K 135. According to Maslow, people’s unsatisfied needs are based on what they don’t already possess. ANS: F Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 136. Occasional office parties help fulfill employees’ social needs. ANS: T Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 137. Motivation leads to goal-directed behavior. ANS: T Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 138. According to Maslow, high-order needs must be satisfied before low-order needs. ANS: F Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 139. John received a companywide award for his idea to improve worker safety. This award will help satisfy John’s social needs. ANS: F Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: AP 140. Sven believes in giving his employees challenging assignments so they can realize their own potential. Sven is attempting to satisfy his employee’s self-actualization needs. ANS: T Pg. 244 141. DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: AP “Our company wants to increase our profit by 5% in the next 10 years.” This is an example of goal specificity. ANS: T Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 142. McGregor created two basic labels for managers: Theory A and Theory B. ANS: F Pg. 244 DIF: EASY AACSB LO: 8.6 Motivating Employees Analytic BT: K 143. Theory Y assumes that the typical person actually likes work and will seek and accept greater responsibility. ANS: T Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 144. Madison thinks that employees must be closely supervised and controlled at all times. Madison is an example of a Theory X manager. ANS: T Pg. 244 DIF: MEDIUM AACSB LO: 8.6 Motivating Employees Analytic BT: K 145. The Taft-Hartley Act legalized collective bargaining. ANS: F Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 146. The Fair Labor Standards Act established a federal minimum wage. ANS: T Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 147. Union members must vote on whether to accept or reject a contract. ANS: T Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 148. Most union contracts are 5 to 10 years in length. ANS: F Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 149. A union’s bargaining process must end upon the rejection of a contract. ANS: F Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 150. A federal arbitrator does not serve as a decision maker. ANS: F Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 151. Only a small percentage of labor–management contract negotiations involve a work stoppage. ANS: T Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 152. In order to use the services of an arbitrator, both union members and management must agree on the arbitrator selected. ANS: T Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: AP 153. A strike seeks to disrupt business as usual. ANS: T Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 154. Picketing of any form is considered unconstitutional. ANS: F Pg. 250 DIF: EASY AACSB LO: 8.7 Labor-Management Relations Analytic BT: K 155. A key management tactic involving unions is the lockout. ANS: T Pg. 250 DIF: MEDIUM AACSB LO: 8.7 Labor-Management Relations Analytic BT: AP