Ch2 HRM and Data-Driven Insights Exam Questions - HR Management People Data & Analytics 1e | Test Bank by Talya Bauer by Talya Bauer. DOCX document preview.

Ch2 HRM and Data-Driven Insights Exam Questions

Chapter 2: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Test Bank

Multiple Choice

1. What is strategy?

A. A core need that an organization strives to fulfill.

B. A well-devised and thoughtful plan for achieving an objective.

C. The process of describing an organization’s reason for existence.

D. An extension of the mission that describes what the organization will look like.

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: What Is a Strategy?

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

2. Which of the following involves planning what to do to achieve organizational objectives?

A. mission

B. human resource analytics

C. strategy formulation

D. a well-devised and thoughtful plan for achieving an objective

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Strategy Formulation: Developing and Refining a Strategy

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

3. A company’s ______ is a foretelling of what the company is intended to look like in the future.

A. core values

B. resource-based view

C. mission

D. vision

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Comprehension

Answer Location: Create a Mission, Vision, and Set of Values

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

4. When a company or organization expresses its primary purpose for doing business, this is called its ______.

A. core values

B. resource-based view

C. mission

D. vision

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Comprehension

Answer Location: Create a Mission, Vision, and Set of Values

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

5. Company XYZ created a set of protocols to guide the company to bring its vision to reality. What is this set of protocols called?

A. core values

B. mission

C. strategy formulation

D. vision

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Comprehension

Answer Location: Create a Mission, Vision, and Set of Values

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

6. Company XYZ examined its internal and external strengths, weaknesses, and opportunities to create a realistic strategy. What is this procedure called?

A. strategic human resource management

B. SWOT analysis

C. values

D. human resource analytics

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Application

Answer Location: Analyze Internal and External Environments

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

7. Proponents of ______ propose that a resource holds value to the extent that it is rare and inimitable.

A. strategic implementation

B. predictive analytics

C. high-performance work practices

D. the resource-based view

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Resource-Based View of Apple Inc.

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

8. A ______ type provides a general approach for how an organization will bring its mission, vision, and values to life, while at the same time leveraging its strengths and improving its weaknesses.

A. vision

B. mission

C. value

D. strategy

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Pick a Strategy Type

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

9. After company XYZ finalizes its strategy formulation, the next step of the process is to start the ______ part of the process.

A. strategic human resource management

B. strategy implementation

C. differentiation

D. mission

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Finalize Strategy

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

10. Company XYZ is considering creating and selling widgets that they have not sold in the past. What does XYZ need to create to help coordinate activities and ensure a successful venture?

A. create a mission

B. hire a human resource director

C. create a strategy

D. create a set of core values

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Application

Answer Location: Strategy Formulation: Developing and Refining a Strategy

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

11. Company XYZ is creating a strategy to design, build, and sell a widget. While adhering to their mission, vision, and set of core values, two important aspects of their strategy are ______.

A. SWOT analysis and balanced scorecard

B. formulation and organizational performance

C. strategy type and stakeholders

D. formulation and implementation

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Application

Answer Location: Strategy Formulation: Developing and Refining a Strategy

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

12. The organization Doctors Without Borders believes all people deserve a right to medical care and that medicine must remain neutral toward politics, race, religion, and the other beliefs of a person. Which of the following best describes the above statement?

A. strategy

B. mission

C. continuous variable

D. SWOT analysis

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Application

Answer Location: Create a Mission, Vision, and Set of Values

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

13. When an organization creates a product that is different from competitors’ products and thus warrants a higher price, it is likely the organization is pursuing a(n) ______ strategy.

A. focus

B. differentiation

C. cost leadership

D. niche

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Pick a Strategy Type

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

14. When an organization identifies ways to produce a product at a lower cost compared to competitors, it is likely the organization is pursuing a(n) ______ strategy.

A. focus

B. differentiation

C. cost leadership

D. niche

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Pick a Strategy Type

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

15. When an organization sells its product at a cheaper price than competitors, it is likely the organization is pursuing a(n) ______ strategy.

A. focus

B. differentiation

C. cost leadership

D. niche

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Pick a Strategy Type

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

16. When an organization identifies a specific product that might be not be produced or sold by competitors, it is likely the organization is pursuing a(n) ______ strategy.

A. elitist

B. differentiation

C. cost leadership

D. niche

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Pick a Strategy Type

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

17. ______ include a number of different groups that an organization must appeal to, such as customers, investors, employees, and communities.

A. Stockholders

B. Employees

C. Trustees

D. Stakeholders

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Define Specific Objectives to Satisfy Stakeholders

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

18. During strategy ______, an organization follows through on its strategic plan.

A. formulation

B. analytics

C. implementation

D. feedback

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Strategy Implementation: Bringing a Strategy to Life

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

19. A rigorous approach to attracting, motivating, and retaining talented people that are crucial for realizing strategic objectives and achieving a competitive advantage is known as ______.

A. strategy formulation

B. SWOT analysis

C. strategy

D. human resource analytics

KEY: Learning Objective: 2.2: Define strategic HRM.

REF: Cognitive Domain: Comprehension

Answer Location: Strategy Formulation: Developing and Refining a Strategy

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

20. The ______ involves the evaluation of organizational performance based on the extent to which the organization satisfies different stakeholder needs.

A. data-driven decisions

B. organizational performance

C. balanced scorecard

D. best practices

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

21. What approach illustrates the value of an organization differentiating its human resources relative to competitors to gain a competitive advantage?

A. best practices

B. balanced scorecard

C. organizational performance

D. strategy

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Comprehension

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

22. The introduction of ______ made the case for considering nonfinancial indicators when defining organizational success.

A. SWOT analysis

B. organizational indicators

C. balanced scorecard

D. best practices

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

23. Using the balanced scorecard approach, ______ is conceptualized as the extent to which employee learning and growth, internal business process efficiency, customer attitudes and behavior, and financial performance contribute to the organization’s mission and strategy.

A. organizational performance

B. organizational indicators

C. prescriptive analysis

D. best practice

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

24. With the introduction of the term ______, the responsibilities of the HR function have expanded to include playing the role of administrative expert, employee advocate, change agent, and business partner.

A. balanced scorecard

B. SWOT analysis

C. strategic human resource management

D. organizational performance

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: From Then to Now: The Origins of Strategic HRM

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

25. Enhancing perceptions of job security among employees, promoting from within the organization, providing financial incentives linked to performance, offering training, and providing flexible work arrangements are often referred to as ______.

A. performance indicators

B. organizational indicators

C. prescriptive analytics

D. high-performance work practices

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Identifying Best Practices

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

26. Company XYZ is collecting, analyzing, and interpreting data by using human resource information systems and human resource analytics to achieve strategic objectives. This is an example of ______.

A. data-driven decisions

B. mission

C. resource-based view

D. strategy implementation

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

27. Company ABC takes great pride in the fact that the average years of employment per employee is 14 years. Some factors for this are job security, promoting from within, competitive pay and benefits, and employee appreciation events. These factors are examples of ______.

A. strategy implementation

B. values

C. universal best practices

D. data-driven decisions

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: Identifying Best Practices

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

28. Company XYZ is revising some of its human resource policies due to some misalignment and conflict created over a few policies. What type of approach is the company taking?

A. SWOT analysis

B. data-driven decisions

C. systems perspective

D. universal best practices

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: Considering the System and Context

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

29. Bob is bright and ambitious with 2 years of experience working as a human resource professional. He interviews for a human resource manager position and is hired but struggles to achieve the desired outcomes for this company. Given the details in this scenario, which is a factor that is influencing Bob’s effectiveness?

A. business strategy

B. Bob’s limited experience

C. the external environment

D. data-driven decisions

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: Considering the System and Context

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

30. Sam is a human resource manager who recently switched jobs from the service industry to the manufacturing industry. When comparing the differences between industries from a human resource management perspective, which is he MOST likely to notice?

A. The culture is less supportive in the manufacturing industry as compared to the service industry.

B. The positive effects of human resource management are stronger in manufacturing as opposed to the service industry.

C. The business strategy is less differentiated in manufacturing as compared to the service industry.

D. The human resource professionals in the service industry tend to be less experienced as compared to the manufacturing industry.

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: Considering the System and Context

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

31. Taking a(n) ______ means considering how all of the pieces of the HR puzzle fit together, and how any misalignment can be addressed to optimize the overall system of HR practices.

A. high-performance work practice

B. systems perspective

C. organizational indication

D. resource-based view

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Considering the System and Context

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

32. If the human resource department at company XYZ gathers information about the qualifications of its employees, what element of the ability–motivation–opportunity model are they utilizing?

A. ability

B. motivation

C. opportunity

D. systems perspective

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: How Does a System of HR Practices Influence Organizational Outcomes?

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

33. When the human resource department collects data on its employees about how they perform and what they do on the job, this is an example of what element of the ability–motivation–opportunity model?

A. ability

B. motivation

C. opportunity

D. systems’ perspective

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: How Does a System of HR Practices Influence Organizational Outcomes?

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

34. If company XYZ observes a drop in performance following a human resource management decision to eliminate a Friday free lunch for the employees, then this would be an example of a lack of ______ to perform.

A. ability

B. motivation

C. opportunity

D. mission

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Analysis

Answer Location: How Does a System of HR Practices Influence Organizational Outcomes?

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

35. How does gathering data affect decision-making?

A. Gathering data has no effect on decision-making.

B. Decision-making is informed by evidence.

C. Gathering data impedes the decision-making process.

D. Decision-making is informed by gut instinct.

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Comprehension

Answer Location: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

36. Organizations that place a greater emphasis on data-driven decision-making when dealing with employees are using ______.

A. human resource analytics

B. gut feelings

C. vision

D. standard deviation

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

37. While it is not necessary to be a data analyst to understand the impact of data analytics on decision-making, it is helpful to be familiar with ______.

A. basic math

B. statistical concepts

C. strategic objectives

D. people decisions

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

38. Carlena, a human resource professional, uses performance evaluation data to align employee strengths with jobs. What is this an example of?

A. how data can be used to manage evaluations

B. how data can be used to manage talent

C. how data can be used to motivate

D. how data can be used to eliminate jobs

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Application

Answer Location: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

39. Tom hears all the time from his human resource director about the value of data, but as the CEO he prefers to go with his gut when it comes to making decisions. His human resource director knows that to convince Tom about the value of using data analytics he must connect the data to ______.

A. values

B. levels

C. concepts

D. strategic objectives

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Application

Answer Location: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

40. Using evidence to hire talented people can ultimately lead to better organizational ______ such as productivity and innovation.

A. outcomes

B. data

C. decisions

D. talent

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Strategic HRM, Data-Driven Decision Making, and HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

41. An organization that increases sales as a result of using data analytics is an example of how analytics contributes to ______.

A. competitive advantage

B. identifying competencies

C. ethics

D. measurement

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Comprehension

Answer Location: Defining HR Analytics

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

42. Human resource analytics is also referred to as ______.

A. business analytics

B. productivity analytics

C. organizational analytics

D. people analytics

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Defining HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

43. ABC Company hires a team of people analysts with a variety of different backgrounds such as human resource management, law, statistics, and data science. Why?

A. They know a diverse team will yield the best judgments and decisions.

B. It is most cost-effective to have a diverse team.

C. The demand for people analysts is greater than the supply.

D. No one fully understands analytics.

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Comprehension

Answer Location: Defining HR Analytics

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

44. A strong human resource team has a people analyst that is able to interpret data through the lens of human behavior, cognition, and emotion. This is an example of what competency?

A. theory

B. business

C. data Management

D. statistics

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Comprehension

Answer Location: Defining HR Analytics

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

45. Filipe is receiving an abnormally high number of customer service complaints from its customers. Management wants to know why this is happening. From a human resource management perspective, what is the first step in solving the problem?

A. data-driven decisions

B. SWOT analysis

C. identify and define the problem

D. strategy formulation

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Application

Answer Location: Step One: Identifying the Problem

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

46. Which is the first step in the scientific process?

A. do background research

B. identifying the problem

C. strategy implementation

D. experimentation

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Comprehension

Answer Location: Step One: Identifying the Problem

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

47. From the following list, identify two steps in the human resource analytics scientific process. Choose one answer.

A. identifying the problem and data visualization

B. perspective analytics and predictive analytics

C. formulating a hypothesis and communicating the results

D. ability–motivation–opportunity model and forming a hypothesis

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Comprehension

Answer Location: HR Analytics and the Scientific Process

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

48. ______ analytics focuses on what is likely to happen, given what is known and is forward looking.

A. Predictive

B. Prescriptive

C. Qualitative

D. Quantitative

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Understanding the Levels of HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

49. Statistical models are generated using what type of data?

A. quantitative

B. big

C. little

D. qualitative

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Qualitative vs. Quantitative Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

50. Which type of data is numeric and can be counted or measured?

A. quantitative

B. big

C. little

D. qualitative

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Qualitative vs. Quantitative Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

51. When employees work varied amounts of overtime, this type of data is an example of a continuous ______ variable.

A. qualitative

B. categorical

C. quantitative

D. standard deviation

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Application

Answer Location: Qualitative vs. Quantitative Data

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

52. ______ data are nonnumeric and include text or narrative data, such as interview transcripts or responses to open-ended survey questions.

A. Qualitative

B. Prescriptive

C. Predictive

D. Continuous

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Qualitative vs. Quantitative Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

53. ______ data refer to large (or massive) amounts of unstructured, messy, and sometimes quickly streaming data--often from sources that we did not originally intend to leverage for analytical purposes

A. Little

B. Big

C. Quantitative

D. Continuous

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Big Data vs. Little Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

54. ______ data are structured data that are gathered in smaller volumes, usually for a previously planned purpose.

A. Little

B. Big

C. Qualitative

D. Categorical

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Big Data vs. Little Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

55. Data that are collected that usually do not have a previously planned purpose is what type of data?

A. little data

B. big data

C. quantitative data

D. qualitative data

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Comprehension

Answer Location: Big Data vs. Little Data

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

56. A ______ is a theoretical phenomenon or construct.

A. mean

B. measure

C. data point

D. concept

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Data Collection and Measurement

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

57. Data ______ refer(s) to pictorial and graphic representations of quantitative or qualitative findings.

A. performance

B. categories

C. visualizations

D. analytics

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Step Six: Communicating the Results

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

58. What are the terms for the four Vs of data?

A. vision, values, visualization, variables

B. volume, vision, veracity, values

C. volume, variety, velocity, veracity

D. values, variables, vision, volume

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Big Data vs. Little Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

59. Gwendoline, a human resource manager, wants to determine why her company’s core customers are going to other sources and buying similar products. Which analytical approach would be the best to use to answer her questions?

A. big data approach with large volumes of data

B. little data approach with limited amounts of data

C. resource-based view of data

D. systems perspective

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Analysis

Answer Location: Big Data vs. Little Data

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

60. Comparing data collected on individuals’ sales and individuals’ attendance records would be an example of what type of data analysis?

A. concept

B. quantitative

C. standard deviation

D. qualitative

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Application

Answer Location: Quantitative Data Analysis

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

61. When building a regression model, it is best to consider all necessary predictor variables to explain your outcome and omit irrelevant variables. If some important variables are left out of the human resource analytics model, a ______ model may be created resulting in an overly subjective, incomplete result.

A. big data

B. little data

C. biased

D. interpretation

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Comprehension

Answer Location: Biases in Model Building, Testing, and Interpretation

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

62. The human resource analytics function should provide ______ regarding the design and implementation of human resource practices to inform and support people decisions and strategy.

A. data-driven recommendations

B. measures

C. values

D. levels

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Knowledge

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

63. A systematic process of applying knowledge, tools, and resources to transform organization from one state of affairs to another is called ______?

A. strategy formulation

B. data visualization

C. systems perspective

D. change management

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Knowledge

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

64. An HR analytics team must comprise the right people with the right mix of ______.

A. strategies

B. vision

C. competencies

D. balanced scorecards

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Knowledge

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

65. Failure to follow the seven recommended competencies of human resource management may result in ______ activities.

A. illegal

B. strategy

C. mental

D. psychological

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Comprehension

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

66. Human resource information systems will help which of the following sizes of businesses?

A. only large and medium

B. large, medium, small

C. only small and medium

D. only large

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Comprehension

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

67. Gabriella, a human resource professional, is compiling business performance data and personal data on employees to determine which employees are best suited for new and evolving roles at their company. Some of the data collected contain information about race, religion, and sexually orientation as well as job performance of the employees. After the information is shared with the managers a few of the employees complain about their personal information being openly talked about among the management. The decision to use too much personal information in the data collection process has cause a ______ within the organization.

A. large data breach

B. resource-based view

C. high-performance work practices

D. ripple effect

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Application

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

68. Rasmus has collected a large amount of data to be sorted and measured to test his human resource hypothesis. After analyzing the data, he concludes he has reached an answer he was just the opposite he was trying to attain. His boss is putting pressure on him to finish his report and make certain the data supports the original hypothesis. Instead of confronting his boss with the results, Rasmus decides to eliminate some of the data to influence the results to affirm the hypothesis. The decision Rasmus has made to alter the data to coincide with the hypothesis is considered ______.

A. analytical

B. data visualization

C. strategy formulation

D. unethical

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Application

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Medium

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

69. A(n) ______ variable consists of multiple levels, but these levels do not have a particular order.

A. categorical

B. continuous

C. analytical

D. prescriptive

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Data and Analytics Exercise: Describing Your Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

70. The levels of a(n) ______ variable have meaning and order.

A. categorical

B. continuous

C. analytical

D. prescriptive

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Data and Analytics Exercise: Describing Your Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

True/False

1. Rare, with respect to resources, refers to the extent to which a particular resource is scarce and relatively few (if any) competitors possess the resource.

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Resource-Based View of Apple Inc.

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

2. Inimitable, with respect to resources, refers to the extent to which it is easy for competitors to reproduce, attain, or deploy a particular resource that the organization possesses.

KEY: Learning Objective: 2.1: Identify the steps for formulating and implementing a strategy.

REF: Cognitive Domain: Knowledge

Answer Location: Resource-Based View of Apple Inc.

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

3. Human resource analytics represents an important tool for bringing an organization’s strategy to life, as it can reveal how to best deploy human resource systems, policies, and practices.

KEY: Learning Objective: 2.2: Define strategic HRM.

REF: Cognitive Domain: Knowledge

Answer Location: Strategic HRM: Linking Strategy With HRM

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

4. A key role of human resource management is to help influence key business decisions and strategy formulation and implementation.

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: From Then to Now: The Origins of Strategic HRM

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

5. Organizational performance has made the case for considering nonfinancial indicators when defining organizational success.

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

6. We conceptualize organizational performance as the extent to which employee learning and growth, internal business process efficiency, customer attitudes and behavior, and financial performance contribute to the organization’s mission and strategy.

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

7. With the additional responsibilities of being a change agent and strategic business partner, the modern HR function now faces greater pressure to make sound and impactful decisions.

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Conceptualizing Organizational Performance: The Balanced Scorecard

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

8. Job security among employees, promoting from within the organization, providing financial incentives linked to performance, offering training, and providing flexible work arrangements are often referred to as high-performance work practices.

KEY: Learning Objective: 2.3: Explain the importance of strategic HRM for realizing employee, operational, stakeholder, and financial outcomes and for sustaining a competitive advantage.

REF: Cognitive Domain: Knowledge

Answer Location: Identifying Best Practices

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

9. Prescriptive analytics focus on what should be done in the future based on what is known.

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Understanding the Levels of HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

10. Descriptive analytics focuses on what is likely to happen, given what is known and therefore is more forward looking.

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Knowledge

Answer Location: Understanding the Levels of HR Analytics

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

11. Quantitative data are nonnumeric and include text or narrative data, such as interview transcripts or responses to open-ended survey questions.

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Qualitative vs. Quantitative Data

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

12. According to the text, a concept is a theoretical phenomenon or construct.

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Data Collection and Measurement

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

13. Data visualizations refer to pictorial and graphic representations of quantitative or qualitative findings.

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Step Six: Communicating the Results

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

14. HR analytics should be integrated into the culture of HR and the organization.

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Step Six: Communicating the Results

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

15. Developing a human resource analytics function in organizations that now rely primarily on manages making gut decisions and does not ostensibly value data and data-driven decisions will be relatively easy.

KEY: Learning Objective: 2.5: Summarize the arguments for a scientific, ethical, and legally compliant approach to HR decision making.

REF: Cognitive Domain: Knowledge

Answer Location: Step Six: Communicating the Results

Difficulty Level: Easy

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

Essay

1. Examine factors that could potentially influence the effectiveness of HR practices.

KEY: Learning Objective: 2.3: Explain the importance of HRM for realizing employee, operational, stakeholder, and financial outcomes, and for sustaining a competitive advantage.

REF: Cognitive Domain: Analysis

Answer Location: Considering the System and Context

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

2. Company XYZ is considering a merger/acquisition of a similar company. Identify the key roles of human resources in this merger/acquisition and illustrate how they can be used to shape the strategy.

KEY: Learning Objective: 2.3: Explain the importance of HRM for realizing employee, operational, stakeholder, and financial outcomes, and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: From Then to Now: The Origins of Strategic HRM

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

3. Explain the ability–motivation–opportunity model and demonstrate examples of each part of the process.

KEY: Learning Objective: 2.3: Explain the importance of HRM for realizing employee, operational, stakeholder, and financial outcomes, and for sustaining a competitive advantage.

REF: Cognitive Domain: Application

Answer Location: How Does a System of HR Practices Influence Organizational Outcomes?

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

4. Identify and compare and contrast the three levels of HR analytics.

KEY: Learning Objective: 2.4: Demonstrate the use of data-driven decisions in realizing organizational strategy and contrasting different HR analytics competencies and levels of HR analytics.

REF: Cognitive Domain: Analysis

Answer Location: Understanding the Levels of HR Analytics

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

5. Design a human resource team that includes all seven competencies from the text. Each team member should have at least two of the competencies. Demonstrate how the team can work together to achieve a desired human resource goal and how each member will contribute.

KEY: Learning Objective: 2.6: Manage the components of a successful HR analytics function.

REF: Cognitive Domain: Analysis

Answer Location: Ensuring HR Analytics Success

Difficulty Level: Hard

TOP: AACSB Standard: Application of knowledge

SHRM: Organizational Effectiveness & Development

Document Information

Document Type:
DOCX
Chapter Number:
2
Created Date:
Aug 21, 2025
Chapter Name:
Chapter 2 HRM and Data-Driven Insights
Author:
Talya Bauer

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