Fundamentals of Human Resource Management, 4th Edition

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For example, many people working today are in jobs below their expertise thus, putting more pressure on organizations to get the best efforts from their employees. Firms usually expand globally to expand sales, cut labor costs, or form partnerships with foreign firms. Skill: Concept 55 Which term refers to exporting jobs to lower-cost locations abroad?

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A compensating B benchmarking C offshoring D warehousing Answer: C Explanation: C The search for greater efficiencies is prompting employers to offshore export more jobs to lower-cost locations abroad. India is a common location for outsourced call centers, for example. A increasing age of the workforce B increasing diversity in the workforce C decreasing number of temporary workers D decreasing number of college-educated workers Answer: C Explanation: C The U.

The number of contingent or temporary workers is on the rise as people freelance, work part-time, and work as independent contractors. A decreasing number of contingent workers B increasing number of blue-collar workers C decreasing number of bilingual workers D increasing number of older workers Answer: D Explanation: D One of the most significant demographic trends facing the U. There are not enough younger workers to replace the projected number of baby-boom era older-worker retirees. As a result, many retirees are returning to the workforce.

Skill: Concept 58 Which of the following statements best explains why employers are expecting a severe labor shortage in the next few years? A More people are retiring than are entering the job market.

Fundamentals of Human Resource Management

B One-third of single mothers are not in the labor force. C People are living longer because of better health care. D Increasing taxes have forced businesses to globalize. Answer: A Explanation: A Many human resource professionals call "the aging workforce" the biggest demographic threat affecting employers.

The basic problem is that there aren't enough younger workers to replace the projected number of baby-boom era older workers retiring. Skill: Concept 59 What are many employers doing to fill openings left by retiring employees? A increasing the retirement age B offering night shifts C hiring more women D rehiring retirees Answer: D Explanation: D Many human resource professionals call "the aging workforce" the biggest demographic threat affecting employers.

The basic problem is that there aren't enough younger workers to replace the projected number of baby boom-era older workers retiring. A full-time B traditional C foreign D white, non-Hispanic Answer: C Explanation: C Demographic trends are posing a challenge for employers in finding and hiring qualified workers due to overall projected workforce shortfalls.

Thus, U. Skill: Concept 61 What term refers to the knowledge, education, training, skills, and expertise of a firm's workers? A tangible assets B human capital C human resources D intellectual property Answer: B Explanation: B Human capital is the knowledge, education, training, skills, and expertise of a firm's workers. In the modern workforce, employment is shifting from manual workers to knowledge workers.

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Skill: Concept 62 In today's business environment, what is a firm's main source of competitive advantage? A technology B human capital C financial structure D creative advertising Answer: B Explanation: B In today's business environment, highly trained and committed employees, not machines, are often a firm's main competitive advantage.

Technology, finances, and advertising are less important factors than having highly skilled workers. A create high-performance work systems B participate in strategic planning activities C take an integrated talent management approach D utilize transactional relations to ensure corporate success Answer: D Explanation: D As a result of trends such as globalization, increased competition, and economic recessions, HR managers are expected to handle a wider variety of tasks.


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Firms expect HR managers to develop high-performance work systems, help with strategic planning, and integrate talent management. Transactional services have always been an aspect of HR, but most firms expect these activities to be handled in new ways. Skill: Concept 64 Which of the following terms refers to workers who hold multiple jobs or are part-time employees? A short-term B seasonal C temporary D nontraditional Answer: D Explanation: D There has been a shift to nontraditional workers, which includes those who hold multiple jobs, those who are "contingent" or part-time workers, or those who work in alternative work arrangements.

Many others are freelancers or independent contractors hired for specific projects. Skill: Concept 65 Which of the following best describes a nontraditional worker? A entrepreneurial workers B workers with multiple jobs C service industry workers D workers near retirement age Answer: B Explanation: B Nontraditional workers include those who hold multiple jobs, those who are "contingent" or part-time workers, or those who work in alternative work arrangements.

Of these, about 8 million are independent contractors who work on specific projects and move on once they complete the projects.

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Student HRM

So in the next few years, almost all the new jobs added in the United States will be in services, not in goods-producing industries. The number of Hispanic and Asian workers in the U. Skill: Concept 67 By , service-providing industries in the U. Skill: Concept 68 According to a study of 35 large global firms, what is the primary concern of HR managers? A technological changes B talent management C offshoring risks D health care costs Answer: B Explanation: B One study of 35 large global companies' senior human resource officers said "talent management"—the acquisition, development and retention of talent to fill the companies' employment needs—ranked as their top concern because of estimated shortfalls of college- educated workers.

Changing economic and political philosophies drove this boom. Edith works from a. A independent contractors B telecommuters C temporary employees D nontraditional workers Answer: D Explanation: D Edith and Ruth are working an alternative arrangement by sharing one job, so they are nontraditional workers. Temporary workers and independent contractors are also considered nontraditional workers. A co-working site B indebtedness C downsizing D offshoring Answer: D Explanation: D The search for greater efficiencies prompts some employers to offshore, which means to export jobs to lower-cost locations abroad as when Dell offshored some call-center jobs to India.

Skill: Concept 73 Which term refers to an agreement that reduces tariffs and barriers among trading partners? A offshore facility B co-working site C deregulation D free trade area Answer: D Explanation: D Free trade areas—agreements that reduce tariffs and barriers among trading partners— encourage international trade. A leveraging B diversifying C globalization D deregulation Answer: B Explanation: B Leveraging, globalization, and deregulation have driven economic growth for the last 50 years in the U.

However, around , the U. Answer: TRUE Explanation: According to the Bureau of Labor Statistics, the number of workers classified as "white, non-Hispanic" will decrease between and while the workforce will see an increase in the number of Asian, Hispanic, and African-American workers.

Fundamentals of Human Resource Management, Student Value Edition 4th Edition

The H-1B visa program lets U. Skill: Concept 77 Explain the difference between line authority and staff authority. What type of authority do human resource managers have?

Human Resource Management - Student HRM

Answer: Authority is the right to make decisions, to direct the work of others, and to give orders. Line managers are authorized to direct the work of subordinates and are directly in charge of accomplishing the organization's basic goals. Staff managers are authorized to assist and advise line managers in accomplishing these basic goals. Human resource managers are usually staff managers because they are responsible for assisting and advising line managers in areas like recruiting, hiring, and compensation.

However, human resource managers do have line authority within their own department. Answer: HR managers need to be cognizant of demographic trends because changes in the availability of workers directly affect recruiting and selection efforts.


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The changes in the workforce can impact the availability of technologically savvy employees or the availability of skilled labor. Additionally, the availability of employees affects the compensation that needs to be offered to attract and retain valued employees. Skill: Application 79 What changes in the business environment have led to HR managers playing more strategic roles in organizations? As a result of these changes, what competencies are now required of modern HR managers? Answer: Changes in the environment of HR management are requiring HR to play a more strategic role in organizations.

These changes include growing workforce diversity, rapid technological change, globalization, and changes in the nature of work, such as the movement toward a service society and a growing emphasis on education and human capital. Human resource managers still need skills in areas such as employee selection and training. But now they also require broader business knowledge and competencies. For example, to assist top management in formulating strategies, the human resource manager needs to understand strategic planning, marketing, production, and finance.

Skill: Synthesis 80 What is globalization? How has globalization affected employers and HR management?

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