Instructor Resource
Kavanagh and Johnson, Human Resource Information Systems: Basics, Applications, and Future Directions, 4e
SAGE Publishing, 2018
Chapter 13: HRIS and International HRM
Test Bank
Multiple Choice
1. The country in which an international business operates is a(n) ______.
a. receptive country
b. adaptive country
c. resource country
d. host country
2. Because cultural environments differ across the world,
a. management styles must remain consistent
b. U.S. corporations have an advantage over firms from other nations
c. strategies, structures, and management styles that work in one area of the world may
be inappropriate in another
d. the culture must adapt to the goods and services offered by transnational
corporations
3. When a multinational corporation (MNE) sends employees from its home country,
these employees are referred to as ______.
a. host country nationals
b. third-country nationals
c. international managers
d. expatriates
4. One of the most important tasks of the international HR department is to gather
information about the culture of countries where the MNE does business to try to
estimate the cultural differences between the home countries of employees and the
countries where they may be assigned. This can help to prevent ______.
a. future shock
b. culture shock
c. international disorientation
d. expatriate stress
5. Repatriation is a process designed to
a. train expatriates prior to their first international assignment
b. help expatriate employees make the transition back home
c. adapt leadership and decision-making styles to the host country
d. reduce communication errors in foreign assignments
6. Which of the following is true?
a. The “going rate” and “balance sheet” approaches to international employee
compensation are equally complex to administer.
b. The “going rate” approach to international employee compensation is more complex
to administer than the “balance sheet” approach.
c. The “balance sheet” approach to international employee compensation is more
complex to administer than the “going rate” approach.
d. Neither the “going rate” nor “balance sheet” approaches to international employee
compensation are very complicated to administer.
7. Which of the following international HR functions will be impacted by country culture?
a. selection
b. training
c. compensation
d. all of these
8. Direct costs associated with expatriate failure include all of the following EXCEPT
this:
a. training costs for expatriate (and family)
b. money spent on selecting the expatriate
c. relocation costs
d. negative influences on future promotions
9. A ______ produces and distributes identical products and services worldwide while
______ emphasize flexibility and customization to meet the needs of differing customer
groups worldwide.
a. global corporations; multinational corporations
b. multinational corporations; international corporations
c. international corporations; global corporations
d. multinational corporations; global corporations
10. A country that serves as the home for a corporation’s headquarters is referred to as
the ______.
a. host country
b. third country
c. parent country
Instructor Resource
Kavanagh and Johnson, Human Resource Information Systems: Basics, Applications, and Future Directions, 4e
SAGE Publishing, 2018
d. first country
11. An individual who was born in the United States and is currently working in Spain for
a company headquartered in Germany would be considered a ______.
a. third-country national
b. parent-country national
c. host-country national
d. home-country national
12. When expatriates fail in their assignments, a frequent outcome is increased
difficulties with the host-country government. In terms of expatriate failure, this is
referred to as ______.
a. an indirect cost
b. a direct cost
c. a missed opportunity
d. cultural shock
13. The major contributing factor for expatriate failure is
a. the manager’s personal maturity
b. the differences in compensation
c. the lack of technical competence
d. the inability of the expatriates and their families to adjust to the foreign culture
14. The essential elements of an effective predeparture training program include
a. cultural awareness training, religious training, and monetary training
b. cultural awareness training, technical training, and holiday planning
c. cultural awareness training, preliminary visits, and language training
d. cultural awareness training, monetary training, and education planning for children
True/False
1. An approach to international compensation that is based on the local market rates in
the country where the employee is working is called the going rate approach.
2. When expatriates fail in their assignments, the costs of training and relocation are
referred to as indirect costs.
3. The employee’s age is a major factor associated with expatriate failure.
4. The laws and regulations of the host country are determined, in part, by the societal
norms of that country.
Instructor Resource
Kavanagh and Johnson, Human Resource Information Systems: Basics, Applications, and Future Directions, 4e
SAGE Publishing, 2018
5. The economic system of the host country has little impact on the way in which HR
programs and practices are used.
6. Having a workforce of PCNs, HCNs, and TCNs means the educational level of the
workforce will be highly varied.
7. The “best structure” that fits the distribution and marketing needs of a global MNE is a
geographic division by product lines.
8. From an international HR perspective, the economic system is one determinant of the
way in which HR programs and practices are used.
9. During predeparture training for an expatriate and his or her family, the traditional
family roles of father, mother, and children in the new country should be covered.
10. During predeparture training for an expatriate and his or her family, the presence
and operation of labor unions should be covered.
11. The management of MNEs in the global market has been “Think Global, Act Local.”
12. Due to the complexity of labor laws in different countries, an HRIS must be
concerned with administrative details of the employees.
13. An HRIS can be of considerable assistance in maintaining equity in IHRM
compensation programs and practices in a MNE.
14. A major use of an HRIS in an MNE is the collection and maintenance of labor
market data.
15. Maintaining an HRIS that includes a repository of information about the cultural
aspects of the countries in an MNE can be very useful in helping to ease culture shock.
Essay
1. What are the objectives of an international compensation policy?
Instructor Resource
Kavanagh and Johnson, Human Resource Information Systems: Basics, Applications, and Future Directions, 4e
SAGE Publishing, 2018
2. In regards to the selection criteria for expatriates, describe what is meant by is cross–
culture suitability?
3. What are the different types of organizational forms corporations use for international
Instructor Resource
Kavanagh and Johnson, Human Resource Information Systems: Basics, Applications, and Future Directions, 4e
SAGE Publishing, 2018
4. What are the factors that have led to the increased globalization of business and
5. Briefly discuss five of the top challenges organizations face when going global.
6. Global corporations, due to their integrative international focus, must manage their
human capital through a transnational HRM system. What are the three attributes of this
HRM system?
7. What are the five elements that differentiate countries in terms of their cultural
environment for international business?
8. What are the components of an HRIS in compensation administration in a MNE?
Instructor Resource
Kavanagh and Johnson, Human Resource Information Systems: Basics, Applications, and Future Directions, 4e
SAGE Publishing, 2018