72) The basic steps in the management planning process include setting objectives, determining
alternative courses of action, and evaluating which options are best.
73) Strategy is a course of action.
74) A mission statement is a general statement of a company’s intended direction that evokes
emotional feelings in the organization’s members.
75) A vision statement is broader and more future-oriented than a mission statement.
76) Strategy management focuses more on translating a mission into goals than on the functions
of organizing, staffing, and controlling.
77) Consolidation keeps the company’s strategy up to date by assessing progress toward strategic
goals and taking corrective action as needed.
78) Managers engage in three levels of strategic planning.
79) Cost leadership, differentiation, and focus strategies are types of corporate-level strategies.
80) A vertical integration strategy means that a firm will expand by adding new product lines.
81) McDonald’s addressed its lagging profitability by first closing stores operating below its
guidelines. McDonald’s used a consolidation strategy.
82) A business-level strategy is implemented by Pizza Hut, Domino’s, Papa John’s and Little
Caesar’s in their competition with each other for pizza customers.
83) Strategic human resource management means formulating and executing HR systems that
produce the employee competencies and behaviors a firm needs to achieve its strategic aims.
84) The specific human resource policies and practices used to support a firm’s strategic goals
are known as human resource strategies.
85) HR scorecards present managers with desktop graphs and charts of how a firm’s HR
strategies compare to those of other firms in the same industry.
86) According to the U.S. Department of Labor, high-performance work organizations include
multi-skilled work teams, empowered front-line workers, and extensive training.
87) Human resource practices, such as hiring based on selection tests, pay raises based on work
performance, and training provided to new and experienced employees, contribute to a
company’s ability to achieve high-performance levels.
88) Companies with empowered, highly trained, flexible workforces have a competitive
advantage.
89) High-performance companies are less likely than low-performance companies to invest in
costly employee training programs.
90) Human resource metrics are used to assess a firm’s HR performance and to compare one
firm’s HR performance with another firm’s.
91) Generative means being able and willing to apply new knowledge and skills in a constant
search for innovative solutions.
92) Human resource audits and benchmarking are two critical tools used by managers who
implement an evidence-based approach to human resource management.
93) A strategic audit would most likely NOT be used by an HR manager to assess a firm’s
procedures and practices in regards to employee benefits.
94) HR audits typically review a firm’s recruiting, testing, and training methods to ensure
compliance with government and organization regulations.
95) Strategy maps help managers link the company’s strategic plan with departmental activities.
96) A high-performance work system is a tool that quantifies the relationship between HR
activities, employee behaviors, and firm performance.
97) Although applicant tracking systems typically increase overall recruiting costs, the benefits
of hiring high-performing employees are worth the investment for most firms.
98) Benchmarking involves analyzing the demographic make-up of an organization over a
specific period to determine the overall diversity of the firm.
99) A construction firm that wants to compare its own HR-related metric results with those of
other construction firms can use a benchmarking service provided by SHRM.
100) Benchmarking indicates the extent to which a firm’s HR practices are helping to accomplish
long-term strategic goals.
101) Why is strategic planning important to managers? Explain the importance of setting
hierarchical goals.
102) What is strategic management? List and explain each step in the strategic management
process.
103) Explain the difference between a firm’s vision and its mission. What role does a firm’s
vision statement play in corporate and competitive strategies?
104) Identify the three levels of strategic planning and describe the function of each level. What
is the relationship between human resource strategy and a firm’s strategic plans?
105) In a brief essay, describe the three types of competitive strategies that firms use to achieve
competitive advantage. Support your answer with examples of organizations that currently use
each of the strategies.
106) In a brief essay, explain how the strategy map, the HR Scorecard, and the digital dashboard
are used in strategic human resource management.
107) What is a high-performance work system? What role does strategic human resource
management play in high-performance work systems?
108) What are human resource metrics? Why are human resource metrics important in high-
performance work systems?
109) What is an applicant tracking system? How can such systems improve a firm’s talent
management efforts?
110) How can HR managers benefit from the use of workforce analytics software and data
mining?