Strategic Human Resources Planning 5th Edition By Monica Belcourt - Test Bank

Strategic Human Resources Planning 5th Edition By Monica Belcourt – Test Bank

 

Instant Download – Complete Test Bank With Answers

 

 

Sample Questions Are Posted Below

 

CHAPTER 5 — THE HR FORECASTING PROCESS

 

MULTIPLE CHOICE

 

1. What type of forecasting is concerned with changes in the external environment?

a.	process-based
b.	event-based
c.	internal-based
d.	transaction-based

 

ANS: B                    BLM: REMEMBER                                REF:  Page 118

 

2. What is the relationship between the accuracy of prediction and the number of forecasting techniques used?

a.	direct
b.	indirect
c.	null
d.	inverse

 

ANS: A                   BLM: HIGHER ORDER                        REF:  Page 119

 

3. If an organization does not incorporate information from the external environment, what impact will this have on HR forecasting?

a.	Lack of specificity in HR forecasting from top management.
b.	Elimination of personnel policies that are irrelevant to competitors.
c.	Incompatibility between organizational goals and HR planning.
d.	Avoidance of producing environmental scans with organizational input.

 

ANS: C                    BLM: HIGHER ORDER                        REF:  Page 121

 

4. Which of the following is NOT a categorization of forecasting models according to the textbook?

a.	time-series models
b.	cause-and-effect models
c.	judgemental models
d.	prediction models

 

ANS: D                   BLM: REMEMBER                                REF:  Pages 128

 

5. Which of the following would NOT be considered a “designated group?

a.	Immigrants
b.	Women
c.	Aboriginals
d.	disabled people

 

ANS: A                   BLM: REMEMBER                                REF:  Page 147

 

6. According to the University of Sheffield’s Effectiveness Program, which item was the most important influence on the organization’s bottom-line performance?

a.	technology
b.	competitive strategy
c.	research and development
d.	people management

 

ANS: D                   BLM: REMEMBER                                REF:  Page 124

 

7. If an organization wished to conduct HR forecasting for its operating cycle, which of the following time horizons should it use?

a.	current forecast
b.	short-run forecast
c.	medium-run forecast
d.	long-run forecast

 

ANS: A                   BLM: REMEMBER                                REF:  Pages 124–125

 

8. What type of forecasting is concerned with tracking internal change instituted by the organization’s managers?

a.	process-based
b.	event-based
c.	scenario-based
d.	transaction-based

 

ANS: D                   BLM: REMEMBER                                REF:  Page 118

 

9. According to the textbook, which of the following is NOT considered a useful global HR planning consideration that would encourage employee collaboration?

a.	Maximize the use of technology.
b.	Take advantage of differences in time zones.
c.	Promote a multi-lingual workforce.
d.	Use an HR Management System to eliminate duplicate costs.

 

ANS: C                    BLM: REMEMBER                                REF:  Page 119

 

 

10. With respect to HR forecasting, when would it be suitable to hire external candidates instead of considering internal recruits?

a.	If the organization can hire external candidates for a lower salary than internal recruits.
b.	If there is a novel, creative work process that differs substantially from current practice.
c.	If HR forecasters predict higher attrition and retirement in the short-term
d.	If none of the internal recruits are willing to switch jobs.

 

ANS: B                    BLM: HIGHER ORDER                        REF:  Page 123

 

11. What HR concept is defined as several HR estimates based on a variety of assumptions?

a.	projection
b.	prediction
c.	predetermination
d.	presumption

 

ANS: A                   BLM: REMEMBER                                REF:  Page 125

 

12. With reference to HR forecasting, how is the envelope analogy used?

a.	It is a visual depiction used for HR communications.
b.	It projects current HR supply and demand.
c.	It sets the upper and lower boundaries for HR projections.
d.	It is an estimate for a variety of HR assumptions.

 

ANS: C                    BLM: HIGHER ORDER                        REF:  Page 125

 

13. Which of the following is NOT a source of external HR supply for an organization?

a.	current staff
b.	competitors’ employees
c.	unemployed persons
d.	university students

 

ANS: A                   BLM: REMEMBER                                REF:  Page 126

 

14. What is the first element an organization needs to consider in deriving its external supply calculation for HR forecasting?

a.	To meet its replacement needs.
b.	To consider the change component.
c.	To predict attrition and retirements.
d.	To forecast HR demand accurately.

 

ANS: A                   BLM: HIGHER ORDER                        REF:  Page 129

 

15. Which of the following is NOT a reason that an organization will use external labour?

a.	External candidates can introduce competitive insights and new operational techniques.
b.	The organization wants to expand its operations through increased labour efficiency.
c.	External candidates may be less expensive to hire relative to collective agreements.
d.	The organization wants to shake up the organization with external candidates.

 

ANS: A                   BLM: HIGHER ORDER                        REF:  Pages 127

 

16. What type of forecasting occurs in terms of two- to five-year segments?

a.	current
b.	short-run
c.	medium-run
d.	long-run

 

ANS: C                    BLM: REMEMBER                                REF:  Page 125

 

17. Which concept refers to a prohibition on all external recruiting activities?

a.	attrition
b.	hiring freeze
c.	down-sizing
d.	HR surplus

 

ANS: B                    BLM: REMEMBER                                REF:  Page 131

 

18. What is created when the HR demand exceeds the current personnel resources available in the organization’s workforce?

a.	HR surplus
b.	HR shortage
c.	HR scarcity
d.	HR supply

 

ANS: B                    BLM: REMEMBER                                REF:  Page 130

 

19. What is the external HR supply, given that the organization has a workforce of 500, its historical annual replacement/loss rate is 7 percent, and its corporate downsizing policy will reduce staffing levels by 10 percent? Round to the closest whole number.

a.	-85
b.	-15
c.	15
d.	85

 

ANS: B                    BLM: HIGHER ORDER                        REF:  Pages 129

External supply = 500 (0.07-0.10) = 500 (-0.03) = -15

 

20. How can organizations reduce their HR costs?

a.	if they use contingent workers whenever possible
b.	if they pay overtime only when necessary
c.	if they ensure that there are more than enough employees
d.	if they take a long-run planning approach to HR issues

 

ANS: D                   BLM: HIGHER ORDER                        REF:  Page 120

 

21. Given the effects of the Fukushima nuclear disaster caused by the Tōhoku earthquake and tsunami on the external environment, what type of forecasting would HR professionals utilize to incorporate catastrophic circumstances and their consequences?

a.	transaction-based forecasting
b.	process-based forecasting
c.	event-based forecasting
d.	critical-based forecasting

 

ANS: C                    BLM: HIGHER ORDER                        REF:  Page 118

 

22. Which of the following external factors affect HR forecasting?

a.	managerial appraisals
b.	competitor’s HR policies
c.	executive career planning
d.	training and development

 

ANS: B                    BLM: REMEMBER                                REF:  Page 118

 

23. How many years are typically used for a medium-run HR forecast?

a.	1 to 2 years
b.	2 to 3 years
c.	3 to 5 years
d.	5 to 10 years

 

ANS: C                    BLM: REMEMBER                                REF:  Page 125

 

24. Why are some individuals categorized into designated groups?

a.	because they are exceptionally skilled and need challenges
b.	because of their fragile emotional states
c.	because they require special attention
d.	because they need to be protected from discrimination

 

ANS: D                   BLM: HIGHER ORDER                        REF:  Page 122

 

 

25. What techniques do HR managers use to encourage employee collaboration for global forecasting?

a.	Minimize use of technology like e-mail and teleconferencing.
b.	Schedule work to take advantage of time zone differences.
c.	Eliminate all duplicating personnel for greater efficiency.
d.	Incorporate specific cultures related to contingent workers.

 

ANS: B                    BLM: REMEMBER                                REF:  Page 119

 

26. Which of the following is NOT related to attrition?

a.	Retirements
b.	voluntary turnover
c.	Terminations
d.	Deaths

 

ANS: C                    BLM: REMEMBER                                REF:  Page 131

 

27. Which of the following is NOT an internal factor that will affect HR demand?

a.	downsizing management
b.	vacations and sick days
c.	planned redundancy
d.	training and development

 

ANS: D                   BLM: HIGHER ORDER                        REF:  Page 121

 

28. Models used in HR forecasting typically fall into one of three categories. What do cause-and-effect models assume?

a.	that there is an ongoing relationship between independent and dependent variables
b.	that the extrapolated trends will most influence future supply and demand
c.	that the time horizon used for the models is most conducive to short-term forecasts
d.	that the subjective judgment of experts supports the forecasts

 

ANS: A                   BLM: HIGHER ORDER                        REF:  Page 128

 

29. What is the external HR supply, given that the organization has a workforce of 1 500, its historical annual replacement/loss rate is 5 percent, and its desired future growth rate is 12 percent? Round to closest whole number.

a.	-255
b.	-105
c.	105
d.	255

 

ANS: D                   BLM: HIGHER ORDER                        REF:  Page 129

External Supply = 1 500 (0.05+0.12) = 255

 

30. Which concept refers to a proposed sequence of events with its own set of assumptions and associated program details?

a.	contingency plans
b.	Predictions
c.	Projections
d.	Scenarios

 

ANS:   D         BLM: REMEMBER               REF:    Page 125
TRUE/FALSE

 

1. Transaction-based forecasting is concerned with changes in the external environment.

 

ANS: F                    BLM: HIGHER ORDER                        REF: Page 118

(tracks internal changes)

 

2. HR forecasting is more reactive than proactive.

 

ANS: F                    BLM: HIGHER ORDER                        REF: Page 118

(more proactive)

 

3. HR supply is defined as the organization’s projected requirement for human resources.

 

ANS: F                    BLM: REMEMBER                                REF: Page 121

(HR demand)

 

4. An advantage to internal recruitment is that the employee does not need extensive socialization within the organization.

 

ANS: T                    BLM: HIGHER ORDER                        REF:  Page 123

 

5. A serious problem develops in some organizations when the personnel planning process becomes connected to the overall business goals of the organization.

 

ANS: F                    BLM: REMEMBER                                REF: Page 121

(disconnected from)

 

6. Effective HR forecasting focuses on a comparison between the organization’s current stock of workforce knowledge, skills, and abilities and the numbers and skill competencies desired in the workforce in the future.

 

ANS: T                    BLM: HIGHER ORDER                        REF:  Page 119

 

7. HR forecasting is referred to as the “heart” of the HR planning process.

 

ANS: T                    BLM: REMEMBER                                REF:  Page 118

 

8. The Conference Board of Canada forecasts that by 2020, there will be a labour shortage of more than one million workers.

 

ANS: F                    BLM: REMEMBER                                REF: Page 118

(950 000)

 

 

9. HR demand requirements must be found from either internal or external supplies of personnel.

 

ANS: T                    BLM: REMEMBER                                REF:  Pages 128

10. Forecasting in terms of two to five years represents a short-run forecast.

 

ANS: F                    BLM: REMEMBER                                REF: Page 125

(medium-run forecast)

 

11. Forecasting is an accurate reflection of future states and is an activity that strongly favours quantitative and easily codified techniques.

 

ANS: F                    BLM: HIGHER ORDER                        REF: Page 119

(an approximation of possible future states)

 

12. The forecasting term “envelope” is synonymous with the term “projection.”

 

ANS: T                    BLM: REMEMBER                                REF:  Page 125

 

13. A projection incorporates several HR estimates based on few assumptions.

 

ANS: F                    BLM: REMEMBER                                REF:  Page 125

(a variety of assumptions)

 

14. HR forecasting will determine the supply of human resources but not the demand.

 

ANS: F                    BLM: REMEMBER                                REF: Page 118

(both supply and demand)

 

15. Male university graduates who are disabled would constitute a “designated group” with respect to hiring in Canada.

 

ANS: T                    BLM: HIGHER ORDER                        REF: Page 122

 

16. According to the textbook, projections from many institutions have shown that it is going to be a “buyers” market in the not-too-distant future with respect to acquiring talent in Canada.

 

ANS: F                    BLM: REMEMBER                                REF: Page 118

(“sellers” market)

 

 

17. Forecasting activity for HR planning can be subdivided into two categories: transaction-based and event-based.

 

ANS: F                    BLM: REMEMBER                                REF:  Page 118

(also process-based forecasting)

 

18. A projection is a single numerical estimate of HR requirements associated with a specific time horizon and set of assumptions.

 

ANS: F                    BLM: REMEMBER                                REF: Page 125

(definition of prediction)

 

19. Effective HR forecasting relies on obtaining a fine balance between global and local control of the process.

 

ANS: T                    BLM: REMEMBER                                REF:  Page 119

 

20. Persons who have invisible disabilities would constitute a “designated group” with respect to hiring in Canada.

 

ANS: T                    BLM: REMEMBER                                REF:  Page 122

 

21. Worksharing is a provincial government program that aims to help organizations mitigate temporary layoffs through a redistribution of work, earnings, and leisure time.

 

ANS: F                    BLM: REMEMBER                                REF:  Page 131

(federal government)

 

22. Attrition is the process of reducing an HR surplus by allowing the size of the workforce to decline naturally due to lay-offs and other forms of involuntary turnover.

 

ANS: F                    BLM: REMEMBER                                REF:  Page 131

(voluntary turnover)

 

23. HR shortage = HR demand < HR internal supply.

 

ANS: F                    BLM: REMEMBER                                REF:  Pages 130

(HR shortage = HR demand > HR internal supply)

 

SHORT ANSWER

 

1. Identify the THREE different categories of HR forecasting activity and their relationship to the HR planning process.

 

ANS:

• Transaction-based forecasting — focuses on tracking internal changes instituted by the organization’s managers.
• Event-based forecasting — forecasting concerned with changes in the external environment.
• Process-based forecasting — forecasting not focused on specific internal organizational events.

 

BLM: REMEMBER                                REF: Page 118

 

2. What is HR forecasting? Briefly describe the advantages that accrue to organizations from instituting effective HR forecasting procedures.

 

ANS:

Constitutes the heart of the HR planning process, and can be defined as ascertaining the net requirement for personnel by determining the demand for and supply of human resources now and in the future.

 

Benefits of HR Forecasting —

• Reduces HR costs
• Increases organizational flexibility
• Ensures a close linkage to the macro business forecasting process
• Ensures that organizational requirements take precedence over issues of constraint and scarcity

 

BLM: HIGHER ORDER                        REF: Pages 119–121

 

3. Identify and describe the key personnel categories that are given the most attention by forecasters.

 

ANS:

1. Specialist/Technical/Professional

• Workers holding trade qualifications that are in high demand or that require lengthy preparatory training for attainment of competency.

 

1. Employment Equity Designated Group Membership

• Four main designated groups — people of aboriginal descent, women, people with disabilities, and members of visible minorities.

 

1. Managerial and Executive Personnel

• Executives such as the CEO, president, vice-president, and other managers in the organization.

 

1. Recruits

• Recruiting trainees either internally or externally.

 

BLM: REMEMBER                                REF: Pages 122–123

 

4. List the FIVE steps in HR forecasting in their appropriate order.

 

ANS:

1. Identify organizational goals, objectives, and plans.
2. Determine overall demand requirements for personnel (i.e., what staff are needed, when, and where)
3. Assess in-house skills and other internal supply characteristics.
4. Determine the net demand requirements that must be met from external environmental supply sources.
5. Develop HR plans and programs to ensure that the right people are in the right place at the right time.

 

BLM: REMEMBER                                REF: Page 123

 

5. List and briefly describe the HR programs that can be implemented to address HR surpluses AND HR shortages.

 

ANS:

HR shortages are addressed by:

• Recruitment, selection, and compensation schemes to attract new personnel;
• Hiring part-time employees;
• Recalling laid-off workers or retirees;
• Hiring temporary workers.

 

HR surpluses are addressed through:

• Employee lay-offs or terminations
• Job sharing
• Reduction of hours or shifts
• Hiring freeze and natural attrition

 

BLM: HIGHER ORDER                        REF: Pages 129–131