MGT 3302 EXAM 1
1. Which of the following statements is true of a psychological contract?
A. A psychological contract describes spoken expectations that are widely held by
employers and employees.
B. In the new version of the psychological contract, organizations manage the career paths for
their employees.
C. In the traditional version of the psychological contract, organizations expected
employees to take more responsibility for their own careers, from seeking training to
balancing work and family.
D. A psychological contract is a display of how the company is performing on specific HR
metrics, such as productivity and absenteeism.
E. A psychological contract is not formally put into words.
2. How has the use of employee empowerment affected the recruitment process in the U.S.?
a. It has enhanced the need for people with working knowledge of operating different kinds of
machinery.
b. It has substantially increased employment opportunities for workers with less education.
c. It has shifted the focus away from technical skills to general cognitive and interpersonal
skills.
d. It has significantly reduced recruitment costs by using low-cost strategies though it hinders
innovation.
e. It has made the recruitment process less time consuming.
3. Jonathan is a part of the HR department in an advertising firm. During a performance review,
Jonathan realized he does not know the details of the job performed by a certain group of
employees. However, he proceeds with the review and evaluates their performance. Which of the
following is most likely to have occurred after the performance review?
a. The outcome was easier to evaluate than the specific behaviors of the employees
b. The outcome was difficult to evaluate because Jonathan did not have the employees’ job
details.
c. The performance review was deemed redundant because Jonathan did not know the details of
the employees’ jobs.
d. Jonathan did not have enough data to complete the performance review because he did not
have the employees’ job details.
e. Jonathan was unable to evaluate the specific behaviors of the employees.
4. The human resource management (HRM) function during downsizing is to terminate the workers
who:
a. are performing multiple organizational roles.
b. are less valuable in their performance.
c. are a part of the external labor force.
d. are older than the other employees.
e. are being paid the highest salaries.
5. Brighton Corp. undertook a reengineering strategy recently to increase the efficiency of its
processes. As a result, the HR department has revised the job and pay structures for employees.
The firm is also hiring new employees with different skill sets. Which of the following arguments
strengthens the HR department’s decision?
a. Reengineering demands the HR department hire another vendor or a third-party provider.
b. Reengineering necessitates the HR department design and implement changes so employees
will be committed to its success.
c. Reengineering provides training only to those in top managerial positions.
d. Reengineering involves one company buying another company.
e. Reengineering results in consolidation within an industry, meaning that two firms in one
industry join to hold a greater share of the industry.
6. When Ulysses Corp., a travel insurance company, introduced new goals for internal management,
there was a rift in the management regarding their implementation. Group A emphasized
achieving short-term goals, while Group B believed in introducing policies that created a more
efficient employee-management relationship. Which of the following results would prove Group
B’s decision to be ideal?
a. A loss in the financial statement of the particular year
b. More employees resigning their jobs
c. An increase in the cost of production
d. Employee surveys showing higher levels of engagement with the company
e. An increasing employee agitation regarding the management policies of the company
7. Citrus Fruits Inc., a beverages company, was shut down because of public allegations about the
quality of its products. After a period of 10 years, the former CEO of the company decided to
start up the company again. Analyzing the situation, what measures should the revamped
company undertake in order to emerge successful?
a. Hire more employees
b. Provide low wages and salaries
c. Improve the quality and ethics in production
d. Use more vendors and suppliers
e. Enhance its customer services department
8. Identify the process through which an organization seeks applicants for potential employment.
a. Orientation
b. Training
c. Recruitment
d. Work analysis
e. Job design
9. Which of the following best describes evidence-based HR?
a. It is the exclusive use of statistical models for planning, forecasting, and other related HR
activities.
b. It refers to establishing overlapping performance goals and desired outcomes during
performance management.
c. It refers to demonstrating that human resource practices have a positive influence on a
company’s profits or key stakeholders.
d. It is the process of ensuring that employees‘ activities and outputs match an organization’s
goals.
e. It is the organization-wide planned effort to enable employees to learn job-related knowledge,
rather than teamwork or communication skills.
10. Which of the following is in compliance with the core values of total quality management?
a. Providing quality training to specific employees.
b. Detecting errors and correcting them in an error-prone product or service.
c. Developing generalized methods and processes that only focus on meeting the needs of
external customers.
d. Encouraging employees and customers to provide input on improving quality of products and
holding costs down.
e. Measuring employees’ progress based on the amount of work done rather than the feedback
obtained from customers.
11. At Tech Scale Inc., a company that deals in software products, employees often complain about
the lack of clarity regarding the tasks they are required to perform. Often there are two employees
working on overlapping tasks, while some tasks are not designated to any employee. Though
employees are satisfied with the pay and work culture, this aspect of their work environment has
led to a lot of conflict in the workplace. From the information provided, this complaint of the
employees can be closely linked to which of the following HR functions?
a. Compliance with laws
b. Analysis and design of work
c. Compensation and benefits
d. Maintenance of employee relations
e. Recruitment and selection
12. _____ refer to organizations that have the best possible fit between their social system and their
technical system.
a. Workforce analysis systems
b. Holistic management systems
