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MGNT3334 Final Exam Review Key

Chapter 2:

Strategy formulation involves all but one of the following.

Name the exception.
A. Defining the firm's mission and goals
B. Assessing the firm's external opportunities and threats
C. Defining the firm's organizational structure
D. Generating various strategic alternatives

11. What type of strategy is used by a firm that focuses on

what it does best within established markets?
A. Concentration
B. Internal growth
C. External growth
D. Divestment


Which of the following is not a level of integration that

can exist between the HR and strategic management
A. Administrative linkage
B. Two-way linkage
C. Integrative linkage
D. Executive linkage

12. What type of strategies evolves from the grass roots of the
A. Concentration
B. Directional
C. Emergent
D. Intended


_____ consists of examining the organization's operating

environment to identify the strategic opportunities and
A. Strategic formulation
B. Internal analysis
C. External analysis
D. Strategic choice





Through what process are tasks grouped into particular

A. Job analysis
B. Internal analysis
C. External analysis
D. Job design
The process that allows employees to improve their
ability to meet the challenges of a variety of new jobs is
A. Training
B. Development
C. Learning
D. Acquisition
What type of strategy is used by a firm that specifically
defines required skills and seeks efficiency through
worker participation?
A. Cost
B. Differentiation
C. Focus
D. Analyzer
Employees in companies with a differentiation strategy
would need to be
A. Highly concerned with quantity
B. Comfortable with stability
C. Highly creative and cooperative
D. Risk averse

13. By ensuring that employees' activities and outcomes are

congruent with the organization's objectives, performance
management plays an important role in strategy

15. Chapter 3:
16. Which of the following types of legislative/regulatory
actions are under the direct control of the president?
A. Constitutional amendments
B. Judicial decisions
C. Legislation
D. Executive orders
17. Which Amendment of the Constitution abolished slavery
in the United States?
A. 4thAmendment
B. 1stAmendment
C. 15thAmendment
D. 13thAmendment
18. A woman and a man are both performing the job of
Executive Assistant and both have similar seniority and
performance. However, the woman is paid $2,000 less
than the man. Which act would she be most likely to sue
A. Reconstruction Civil Rights Act
B. Equal Pay Act
C. Title VII of Civil Rights Act
D. Vocational Rehabilitation Act
19. Which organization is most specifically involved in the
enforcement of equal employment laws?

22. Which of the following is not one of the three theories of

discrimination as stated by Title VII of the Civil Rights
A. Prima facie
B. Disparate treatment
C. Disparate impact
D. Reasonable accommodation
23. A bona fide occupational qualification (BFOQ) must be
A. An industry-wide, recognized practice
B. A necessary, rather than a preferred, characteristic of
the job
C. Court-approved
D. All of the above
24. Assume that you have a physical ability test that results in
hiring 50 percent of the male applicants. What is the
minimum passing rate in order for the test not to have
adverse impact against females?
A. 50 percent
B. 40 percent
C. 30 percent
D. 20 percent
25. Suppose you think that your company is discriminating
illegally against a particular group, and you express your
concern through the usual chain of command. This would
be considered
A. Opposition
B. Retaliation
C. Participation
D. Discrimination
26. When an individual is promised a positive outcome for
submission to sex, or threatened with a negative outcome
for failure to submit to sex, this is referred to as
A. Disparate treatment
B. Disparate impact
C. Hostile working environment harassment
D. Quid pro quo harassment
27. In a disparate impact case, what is the most likely defense
to be offered by the defendant?
A. Job relatedness
B. Bona fide occupational qualification
C. Production of a legitimate, nondiscriminatory reason
D. Showing a pretext for discrimination

29. Chapter 6:

30. Which of the following is not one of the five generic

standards that should be met in any selection process?
A. Utility
B. Validity
C. Reliability
D. Honesty

33. _____ is the degree to which a measure is free from

random error.
A. Generalization
B. Utility
C. Reliability
D. Honesty

34. A correlation coefficient of a -1.0 indicates a

A. Complete lack of a relationship between two sets of
B. Perfect positive relationship between two sets of
C. Perfect negative relationship between two sets of
D. Partial negative relationship between two sets of

35. The extent to which performance on the selection measure

(i.e., the predictor) is associated with performance on the
job is called
A. Reliability
B. Validity
C. Generalizability
D. Utility

36. You want to establish the validity of a test designed for

computer technicians using a predictive criterion-related
validation strategy. To do so, you must administer the test
A. At least half your present computer technicians
B. People doing similar jobs in other companies
C. People applying for computer technician jobs in your
D. Only your current computer technicians who are
performing at or above acceptable levels

37. Which of the following forms of validation becomes

relatively more attractive as the sample available for
validation becomes smaller?
A. Predictive criterion-related
B. Concurrent criterion-related
C. Content validation
D. Face validation

38. A construction firm is in need of a construction

superintendent, whose primary responsibilities involve
organizing, supervising, and inspecting the work of
several subcontractors. It administers a construction-error
recognition test, where an applicant enters into a shed that
has been specially constructed to have 25 common and
expensive errors and where he or she is asked to record as
many of these problems as can be detected. What type of
validation would best be used for the test?
A. Concurrent criterion-related
B. Predictive criterion-related
C. Content
D. Standard error of the measurement


39. The degree to which the information provided by

selection methods enhances the effectiveness of selecting
personnel in organizations refers to the selection
A. Reliability
B. Validity
C. Generalizability
D. Utility
40. ______ is an interview procedure where applicants are
confronted with specific issues, questions, or problems
that are likely to arise on the job.
A. Expertise interview
B. Reference interview
C. Past-based interview
D. Situational interview
41. A test that differentiates individuals based on mental
capacities is called a
A. Intellectual test
B. Concurrent reliability test
C. Cognitive ability test
D. Honesty test

43. Chapter 10:

44. _____ turnover is turnover initiated by the organization.
A. Involuntary
B. Voluntary
C. Accidental
D. Incidental
45. Which of the following is not a common principle of
A. Outcome justice
B. Procedural justice
C. Interactional justice
D. Task justice
46. Explanation, consideration, and empathy are key
determinants of
A. Perceptual justice
B. Interactional justice
C. Procedural justice
D. Alternative dispute resolution
47. Alternative dispute resolution is a method of resolving
disputes that
A. Involves extensive legislation
B. Does not rely on the legal system
C. Excludes outside parties
D. Does not involve binding arbitration

52. Job withdrawal is

A. The loss of jobs within an organization due to adverse

economic forces
B. A set of behaviors that dissatisfied individuals enact to
avoid the work situation
C. The retracting of a job offer following the results of the
pre-employment physical
D. A change in employee attitude, causing the employee to
be less committed to his or her job
53. Whistle-blowing is making grievances public by going to
A. Top-level management
B. Friends and family
C. Labor union
D. The government
54. The degree to which an employee identifies with an
organization and is willing to put forth effort on its behalf is
A. Job satisfaction
B. Job involvement
C. Organizational commitment
D. Organizational satisfaction
55. Job satisfaction may be best defined as
A. A pleasurable feeling that results from the perception that
one's job fulfills or allows the fulfillment of one's important
B. The degree to which an employee identifies with an
organization and is willing to put forth effort on its behalf
C. The performance of one's job duties so as to satisfy the
requirements of the job
D. The degree to which people identify themselves with their
jobs or career
56. A person's "frame of reference"
A. Is not likely to influence a person's perceptions
B. Is a standard point that serves as a comparison point and
thus provides meaning
C. Usually reflects some unusual experience in the person's
D. Is a person's basic personality trait that influences how he
or she perceives the world

57. Which of the following is not one of the primary aspects of

tasks that affect job satisfaction?
A. Task complexity
B. The degree of physical strain and exertion
C. Task status
D. The value the employees places on the task


59. Chapter 13:

60. Workers' compensation laws operate under the principle
of employee-fault liability, meaning that an employee
must establish gross negligence by the employer.
61. In contrast to unemployment insurance benefits, workers'
compensation disability benefits are tax-free.
62. There is no legal obligation for employers to offer private
retirement plans, but most do.

63. Defined contribution retirement plans insulate employees
from investment risks, which are instead borne by the
64. Unlike a cash balance plan, with a 401(k), all the
contributions come from the employer.
65. Part-time employees receive about the same benefits as
full-time employees when adjusted for hours worked.
66. Flexible benefit plans (also known as cafeteria-style
plans) permit employees to choose the types and amounts
of benefits they want for themselves.
67. The federal tax code requires flexible spending account
funds to be earmarked in advance and spent during the
plan year, with any remaining funds reverting to the
68. Which one of the following is not a major objective of the
unemployment insurance program?
A. To offset lost income during involuntary
B. To preserve investments in worker skills by providing
income during short-term layoffs
C. To provide an incentive for employers to stabilize
D. To offset lost income during a labor dispute
69. The unemployment insurance program is financed largely
through federal and state taxes on
A. Employees and employers
B. Employers only
C. Employees only
D. All taxpayers
70. Which of the following is not one of the major categories
of workers' compensation?
A. Disability insurance
B. Death of spouse benefits
C. Medical care
D. Rehabilitative services

77. Which of the following statements concerning the
Pension Benefit Guaranty Corporation (PBGC) is not
A. It was created by the Employee Retirement Income
Security Act (ERISA) of 1974
B. It provides a basic benefit, not necessarily complete
benefit replacement
C. It promises a specific benefit level for employees upon
D. It is funded by a fee assessed on each plan participant
78. Which of the following is not a type of defined
contribution pension plan?
A. A money purchase plan
B. A profit-sharing plan
C. A gainsharing plan
D. An employee stock option plan
79. A summary plan description (SPD) must, according to
ERISA, provide descriptions of all but which of the
A. The plan's funding
B. The plan's eligibility requirements
C. The plan's risks
D. The plan's benefit levels
80. The Family and Medical Leave Act of 1993 requires all
but one of the following. Name the exception.
A. Up to 12 weeks of unpaid leave after childbirth or
B. The same or a comparable job to the individual upon
his or her return
C. Up to 12 weeks of unpaid leave to care for a seriously
ill parent, spouse, or child
D. Maintenance of all benefits, including vacations and
81. PPOs differ from HMOs in all but one of the following
ways. Name the exception.
A. PPOs provide benefits on a reduced-fee, per-call basis
rather than on a prepaid basis
B. Employees are not required to use only preselected
plan service providers, as they are in HMOs
C. PPOs are less expensive plans than HMOs
D. PPOs have more in common with traditional fee-forservice plans than do HMOs