95) Empowerment, teamwork, and extensive training are primarily characteristics of ________.
A) high-performance work systems
B) transactional services
C) strategic development
D) evidence-based management
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Concept
96) MAX Computers manufactures affordable laptops and desktops at its factory in Arizona.
MAX has experienced a moderate amount of financial success, but upper management wants the
firm to grow at a faster rate and become a bigger player in the highly competitive computer
market. The firm’s greatest problems relate to its employees. Employee turnover is high—most
employees at MAX leave within 2 years or less of being hired. In addition, the rate of
productivity among employees is not as high as executives would like. The vice president of
human resources is considering moving MAX towards a high-performance work system.
Which of the following best supports the argument that MAX should move towards a high-
performance work system?
A) MAX will be able to reduce quality control issues by reassigning line and staff managers to
new departments.
B) Using tests and validated interviews during recruitment will enable MAX to screen job
candidates effectively.
C) Outsourcing clerical tasks will enable MAX to raise employee salaries, implement flexible
schedules, and increase productivity.
D) MAX’s competitors regularly use benchmarking as a method for comparing their employees
with those in other firms.
AACSB: Reflective thinking
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Critical Thinking
38
97) MAX Computers manufactures affordable laptops and desktops at its factory in Arizona.
MAX has experienced a moderate amount of financial success, but upper management wants the
firm to grow at a faster rate and become a bigger player in the highly competitive computer
market. The firm’s greatest problems relate to its employees. Employee turnover is high—most
employees at MAX leave within two years or less of being hired. In addition, the rate of
productivity among employees is not as high as executives would like. The vice president of
human resources is considering moving MAX towards a high-performance work system.
Which of the following questions is most relevant to MAX’s decision to move toward a high-
performance work system?
A) How would the implementation of self-managing work teams affect employee morale and
work standards at MAX?
B) How will qualitative performance measures address the needs of MAX employees in regard
to the firm’s benefits plan?
C) What roles should line managers, staff managers, and HR managers at MAX play in
performance appraisals?
D) What case studies are available to compare the skills of MAX employees with workers in
other industries?
AACSB: Reflective thinking
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Critical Thinking
39
98) High-performance work organizations are most likely characterized by all of the following
EXCEPT ________.
A) commitment to high production rates
B) empowered front-line workers
C) labor management cooperation
D) multiskilled work teams
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Concept
99) All of the following practices are most likely implemented by companies with high-
performance work systems EXCEPT ________.
A) utilizing self-managing work teams
B) filling positions with internal candidates
C) providing pay increases based on service years
D) hiring employees based on validated selection tests
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Concept
40
100) High performance companies are more likely than low-performance companies to
________.
A) reject the majority of applicants
B) hire based on selection tests
C) have larger workforces
D) have longer work hours
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Concept
101) Which of the following is true of companies with high-performance HR systems compared
to low-performance companies?
A) incentive payments are lower
B) sales per employee are higher
C) employee turnover is higher
D) market value to book value is lower
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Concept
41
102) Reese Enterprises seeks to fill upper-level positions internally whenever possible and uses
validated selection tests when considering external hires. This most likely suggests the company
is developing a ________.
A) scorecard management system
B) high-performance work system
C) selection metric
D) benchmark
AACSB: Application of knowledge
Chapter: 3
LO: 3.4: Answer the question “What are high-performance work systems?” and give examples
of how they differ from non-high-performance ones.
Skill: Application
103) Which of the following is NOT an organizational outcome discovered from studies
conducted on employee engagement?
A) increase in sales
B) decrease in sales
C) increase in retention
D) decrease in safety incidents
Chapter: 3
LO: 3.5: Answer the question (with examples) “Why is employee engagement important?” 3.6:
Describe how you would execute a program to improve employee engagement.
Skill: Concept
104) Companies with highly engaged employees are more likely to be unionized, according to
some research.
Chapter: 3
LO: 3.5: Answer the question (with examples) “Why is employee engagement important?” 3.6:
Describe how you would execute a program to improve employee engagement.
Skill: Concept
42
105) In a brief essay, discuss the meaning of employee engagement, why it is important, and
what can managers do to improve employee engagement. Support your answer with examples.
AACSB: Application of knowledge
Chapter: 3
LO: 3.5: Answer the question (with examples) “Why is employee engagement important?” 3.6:
Describe how you would execute a program to improve employee engagement.
Skill: Application
43