HR Strategic Planning Flashcards
1.Which of the following is an example of an internal HR strategic relationship?
A.HR collaborates with line supervisors to identify employees who may fill future management openings.
B.HR ensures compliance with the Fair Labor Standards Act (FLSA).
C. HR completes a compensation analysis.
D.HR audits education records of all employees.
1.A is correct. Collaborating with supervisors to identify talent is an internal strategic relationship that would influence the recruiting and hiring strategy.
B, C, and D are incorrect.
B is incorrect because ensuring FLSA compliance is an HR function but not an example of a strategic internal partnership.
C is incorrect because for this to be a strategic internal relationship, the question of what the compensation analysis is for and what will be done with the information gathered should be answered as well.
D is incorrect because this is more of a task-oriented function specific to HR. It would not be considered strategic.
2.What is a primary reason that HR engages in human resource capital management planning?
A.To shorten the time to fill in-demand positions
B.To establish a pipeline for the high turnover positions
C.To provide a framework to guide management and HR through the task of ensuring that the workforce has the skill needed to execute the company’s strategic plan
D.To determine what other business ventures the company can pursue
2.C is correct. The overall purpose of human resource capital management planning is to identify what skill sets are needed for the company to successfully execute the company’s strategy.
A, B, and D are incorrect.
A and B are incorrect because these are both part of the purpose for a recruiting plan but not the overall purpose of an HCMP.
D is incorrect because an HCMP supports the company’s business plan. Its purpose is not to decide which strategic direction the company should pursue.
3.Which of the following would be an appropriate alliance for an automotive safety technology company whose mission is to provide safe transportation services for children?
A.Hosting community workshops on child restraint devices
B.An ad campaign against drinking and driving
C. Employees participating in crash testing
D.Installing GPS devices in school buses
3.A is correct. Part of the company’s mission is to provide safer transportation for children. To that end, partnering with a community organization to host workshops on proper use of child restraints is in line with the mission. The relationship built with the community organization fulfills the company’s corporate responsibility and may also support future recruitment efforts, as this helps to brand the company as an ethical company that invests in the community’s children.
B, C, and D are incorrect. They are incorrect because these alliances don’t have a direct impact on the mission of promoting safety for children.
4.The statement “We aspire to be a great place to work for all employees” is an example of _______________.
A. A values statement
B. A vision statement
C. A mission statement
D. A core competency
4.B is correct. A vision statement is an aspirational statement that is developed to answer the question of what the company does, who it does it for, and where the company aspires to be in the future.
A, C, and D are incorrect.
A is incorrect because a corporate values statement explains how the company will conduct business and make decisions even if daily business operations change.
C is incorrect because a mission statement defines how the company will achieve the vision.
D is incorrect because core competencies are what give the company its competitive edge.
5.The words integrity, teamwork, and superior customer service would likely be a part of _______________.
A. A values statement
B. A vision statement
C. A mission statement
D. A core competency
5.A is correct. A corporate values statement explains how the company will conduct business and make decisions even if daily business operations change.
B, C, and D are incorrect.
B is incorrect because a vision statement is an aspirational statement that is developed to answer the question of what the company does, who it does it for, and where the company aspires to be in the future.
C is incorrect because a mission statement defines how the company will achieve the vision.
D is incorrect because core competencies are what give the company its competitive edge.
6.Implementing a quality management system is an example of which basic management function?
A. Planning
B. Organizing
C. Controlling
D. Directing
6.C is correct. The control function is used by managers to measure whether the functions they lead are on course to properly execute corporate goals developed during strategic planning. Quality management systems are a way to measure success toward a set of goals. Therefore, they are part of the control function.
A, B, and D are incorrect.
A is incorrect because planning is the act of formulating the strategy.
B is incorrect because organizing is the management function where structure is provided for employees as a guide for how they will complete their work.
D is incorrect because directing is the management function where managers develop relationships with employees to support them in completing their work.
7.In which organizational lifecycle phase is the focus to find the most efficient structure and the effort to standardize the organization’s processes to manage the workforce for peak efficiency?
A. Introduction phase
B. Growth phase
C. Maturity phase
D. Decline phase
7.B is correct. The organizational lifecycle is divided into four phases: Introductory, Growth, Maturity, and Decline. Finding the most efficient structure and standardizing the organization’s processes are characteristic of an organization’s Growth phase.
A, C, and D are incorrect.
A is incorrect because vision and energy characterize the Introductory phase.
C is incorrect because the focus is on controlling resources and managing risks in the Maturity phase.
D is incorrect because the ability to adapt to change and redefine itself is the focus of the Decline stage.
8.What is the definition of environmental scanning?
A.The process of risk analysis through measurements of an organization’s operational effectiveness
B.The analysis of an organization’s internal performance through measurements of work performance and financial stability
C.The systematic survey and interpretation of relevant data in order to identify external opportunities and threats
D.Outreach to measure and determine the effectiveness of an organization’s “brand”
8.C is correct. The definition of environmental scanning includes two essential elements: a systematic effort to collect and identify data and a focus on external factors such as opportunities and threats that impact results.
A, B, and D are incorrect.
They are incorrect because they do not include the required external focus involved in environmental scanning.
9.A PEST analysis addresses four categories, one of which is:
A. Political
B. Ethnic
C. Cultural
D. Geographic
9.A is correct. The PEST analysis is a systematic method of identifying the effect of external opportunities and threats that affect an organization, one of which is the political influences of government policies, laws, and regulations.
B, C, and D are incorrect.
They are incorrect because the other PEST categories are economic, social, and technological, all of which are external factors with the potential to significantly affect an organization’s operations.
10.Which statement specifies the activities an organization intends to pursue along with the direction management has chosen to follow for the future?
A. Values statement
B. Vision statement
C. Performance statement
D. Mission statement
10.D is correct. The mission statement is a concise statement of strategy that provides a brief idea of what activities the organization intends to pursue and the direction they will take.
A, B, and C are incorrect.
A is incorrect in that it is a statement that describes the beliefs the organization feels are important to follow.
B is incorrect in that it is an image the organization subscribes to in its vision of its future.
C is incorrect in that it is a statement of performance standards to be followed.
11.Which key performance indicator in a balanced scorecard primarily addresses actions that will prepare the organization for future success?
A. Finance
B. Customers
C. Internal business processes
D. Learning and growth
11.D is correct. “Learning and growth” is a balanced scorecard key performance indicator that examines the actions that help prepare an organization to achieve future success.
A, B, and C are incorrect.
A is incorrect in that, as a key performance indicator, it focuses on productivity rates and the management of short-term funds.
B is incorrect in that customers, as a key performance indicator, focus on the ability of the organization to provide quality goods and services for its customers.
C is incorrect in that internal business processes, as a key performance indicator, address the results of internal business operational performance results that lead to financial success and satisfied customers.
12.The purpose of a balanced scorecard is to:
A. Identify an organization’s operational overruns
B.Achieve balance between financial and nonfinancial indicators of success
C.Establish a balance between assets, liabilities, and equity
D.Be one indicator of an organization’s financial health
12.B is correct. The purpose of the balanced scorecard is to achieve a balance between financial and nonfinancial indicators of success, between internal and external constituents in an organization, and between lagging and leading indicators of performance.
A, C, and D are incorrect. They are incorrect in that although they provide a useful financial result under certain circumstances, they do not describe the purpose of the balanced scorecard.
13.The executive team of a for-profit private school decides to close all Macon, Georgia locations before the end of the academic year. The Macon locations have not been profitable for 2 years, and since they only go up to kindergarten, the team believes that it will have very little impact on the students. From an HR perspective, which of the following would be a basis for facilitating a discussion about this situation with the executive team?
A.Terminating teachers in the middle of the school year will make it difficult to recruit teachers in the future for the other Georgia locations.
B.A for-profit organization has to make abrupt decisions at times to ensure financial solvency.
C.The kindergarteners can transfer to public schools or another location.
D.The locations were not profitable for 2 years, so the staff should have had a sense that something like this might happen.
13.A is correct. As the HR professional, this decision makes your ability to recruit quality teachers difficult. An abrupt layoff of staff damages the employer brand. Strategically this decision warrants further discussion with the executive team. It is HR’s responsibility to raise these concerns and facilitate discussion around this important decision.
B, C, and D are incorrect. They are incorrect because they do not take into consideration the impact of this decision from an HR strategic standpoint. They would not aid HR in guiding a discussion on any major HR issue such as staffing, recruiting, and employee relations.
15.A pharmaceutical company states in its mission that it will support and enhance the quality of care in the communities it serves. A charity hospital is built 1 mile away from its headquarters. What advice would you provide to the CEO in regard to leveraging this recent development?
A.Establish a partnership with the hospital to offer the patients experimental medications for free
B.Provide discounted or free products to the hospital
C.Offer to involve hospital employees in research projects, as appropriate
D.Open a pharmacy adjacent to the hospital
15.B is correct. Providing discounted or free medications directly to the hospital would be in line with the company’s mission to “…support and enhance the quality of care in the communities it serves….”
A, C, and D are incorrect.
A is incorrect because it is not congruent with the company’s mission. Offering experimental drugs, even if for free, does not support the idea that the company cares about its local community receiving quality health care. Experimental medications may have unknown side effects and not yet be approved by the Food and Drug Administration (FDA).
C is incorrect because this is also not congruent with the company’s mission.
D is incorrect because opening a pharmacy gives those who utilize the hospital a convenient option to fill prescriptions, but given that this is a charity hospital, paying full price for medications does not help the less fortunate in the company. The mission states that the company wants to enhance the quality of care for the community.
16.The executive board of a beauty products supplier wants to diversify the business. During the strategic planning process the executive board identifies their core competencies as logistics and supply chain management. Which of the following would you consider a good direction to take the business that will allow them to capitalize on these core competencies?
A.Open a beauty school that offers salon services to the public and focus heavily on retailing beauty products through the salon
B.Open additional stores with diversified product lines and heavily promote the new product offerings
C.Open a beauty school that offers salon services to the public and focus on offering high-quality educational opportunities for students
D.Expand existing stores by stocking diverse product lines and heavily promote the new product offerings
16.A is correct. Opening a beauty school would satisfy the board’s desire to diversify. Continuing a mastery of retailing beauty products through the school’s salon would allow the organization to capitalize on its identified core competencies of logistics and supply chain management. A core competency is something the organization does well and what differentiates them or gives them a competitive edge over the competition.
B, C, and D are incorrect.
B is incorrect because while they know the retail business well, opening another store is not diversifying as much as it is expanding.
C is incorrect because it is expected that by opening a school they would seek to provide a quality education to students; however, this alone does not address the desire to make the most of their core competencies.
D is incorrect because adding more products to the store is simply that. They would just be offering more beauty products to their consumers. There isn’t any diversification or change to their already existing business model.
