SHRM CP Prep Part III

Question 1

What is a brownfield operation?

Answer 1

repurposing a facility that was previously unused

Question 2

What is contract manufacturing?

Answer 2

local company makes product

Question 3

What is a pro for contract manufacturing?

Answer 3

low labor cost

Question 4

What is equity partnership?

Answer 4

company has partial control over another company

Question 5

What is franchising?

Answer 5

investor pays a fee to use a trademark, product, or service

Question 6

What is a greenfield operation?

Answer 6

erecting a brand-new operation

Question 7

What is a joint venture?

Answer 7

two or more companies join to form a new company

Question 8

What is licensing?

Answer 8

buying the right to produce a product or service and sell it

Question 9

What is a management contract?

Answer 9

company has an agreement to manage the daily operations of another company

Question 10

What is a merger/acquisition?

Answer 10

ownership of companies are transferred or combined

Question 11

What is a strategic alliance?

Answer 11

companies share assets to create economies of scale

Question 12

What is a turnkey operation?

Answer 12

facility that is ready to begin operations immediately

Question 13

What are the different types of growth strategies?

Answer 13

brownfield operation, greenfield operation, turnkey operation, equity partnership, franchising, joint venture, licensing, management contract, merger, acquisition, strategic alliance

Question 14

What is the absence rate?

Answer 14

number of days employee did not work divided by total number of employees

Question 15

What is the applicant yield ratio?

Answer 15

percent of applicants who move from one stage of recruiting process to another

Question 16

What is the human capital return on investment?

Answer 16

employment expenses compared to nonemployment expenses

Question 17

What is the human capital value added?

Answer 17

revenue- nonemployment expenses divided by number of full-time equivalents

Question 18

What is the promotion rate?

Answer 18

percent of internal promotions

Question 19

What is the success ratio?

Answer 19

percent of new employees deemed successful in their new job

Question 20

What is the training return on investment?

Answer 20

revenue as a direct result of training

Question 21

What is the transfer rate?

Answer 21

percent of employees entering internal roles

Question 22

What can the transfer rate tell us?

Answer 22

succession planning effectiveness, employee relations concerns

Question 23

What is the turnover rate?

Answer 23

percent of employees leaving the company

Question 24

What is a mission statement?

Answer 24

the company’s purpose

Question 25

What is a vision statement?

Answer 25

the company's future state

Question 26

What are SMARTER Goals?

Answer 26

specific, measurable, attainable, relevant, timely, evaluated, revised

Question 27

What are the 5 typical HR department structures?

Answer 27

centralized, decentralized, functional, dedicated, shared services

Question 28

What is a centralized HR office?

Answer 28

centrally located, serves whole company

Question 29

Benefits of centralized HR

Answer 29

efficient, standardized

Question 30

Cons of centralized HR

Answer 30

inflexible, slower to respond

Question 31

What is a decentralized HR office?

Answer 31

each location or area has HR staff dedicated to them

Question 32

Benefits of decentralized HR

Answer 32

responsive, efficient communication, timely

Question 33

Cons of decentralized HR

Answer 33

inconsistency

Question 34

What is a functional HR office?

Answer 34

specialists in corporate, generalists in locations/business units

Question 35

What is a dedicated HR office?

Answer 35

corporate HR specialists and generalists, and location/business unit HR

Question 36

Benefits of dedicated HR

Answer 36

best where business units or locations have different strategies, adaptation is possible

Question 37

What is shared service HR?

Answer 37

business units use a central HR location with specialists

Question 38

Benefits of shared service HR

Answer 38

less time spent on admin, reduced admin costs, consistency, more accurate data tracking

Question 39

What is trait theory?

Answer 39

people are born with innate attributes

Question 40

What is behavioral theory?

Answer 40

people can learn to lead

Question 41

What are the 5 types of Blake-Mouton managers?

Answer 41

country club, team leader, authoritarian, impoverished, middle of the road

Question 42

What is a country club leader?

Answer 42

relationships>tasks, little to no punishment

Question 43

What is a team leader, according to Blake-Mouton?

Answer 43

leads by example, encourages development

Question 44

What is an authoritarian leader?

Answer 44

rules by force and position power

Question 45

What is an impoverished leader?

Answer 45

delegates but offers no guidance

Question 46

What is a middle of the road leader?

Answer 46

gets work done, balanced on task and people scale

Question 47

What is situational theory?

Answer 47

leadership style depends on situation

Question 48

What are the 4 aspects of the Hersey-Blanchard situational leadership model?

Answer 48

telling, selling, participating, delegating

Question 49

What is telling for Hersey-Blanchard?

Answer 49

emphasis on task, employee must be told what to do

Question 50

What is selling for Hersey-Blanchard?

Answer 50

emphasis on both task and employee, employee is competent but needs guidance

Question 51

What is participating for Hersey-Blanchard?

Answer 51

emphasis on both task and employee, employee is capable and manager lends support

Question 52

What is delegating for Hersey-Blanchard?

Answer 52

employee requires little to no intervention by manager

Question 53

What is emergent theory?

Answer 53

leaders naturally emerge within a group

Question 54

What is a solo leader?

Answer 54

directive, expects conformity, too involved

Question 55

What is a team leader?

Answer 55

delegates, creates a vision, appreciates and encourages diversity

Question 56

What are the 4 I's of transformational leadership?

Answer 56

individualized consideration, intellectual stimulation, idealized influence, inspirational motivation