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Chapter 04: Human Resources Planning and Recruitment
1. The process of reviewing human resources requirements to ensure that the organization has
the required number of employees with the necessary skills to meet its goals is known as
A. selection.
B. training and development.
C. strategic planning.
D. recruitment.
E. human resources planning.
Answer: E. human resources planning.
2. Each of the following statements about HRP is true except that
A. it is also known as employment planning.
B. a fundamental HRP decision when demand exceeds supply is whether projected positions
will be filled externally or internally.
C. it is a reactive process.
D. a critical HRP issue is what to do when the labour supply exceeds the anticipated demand.
E. it can lead to significant costs if done poorly.
Answer: C. it is a reactive process.
3. A potential solution when labour demand exceeds labour supply is
A. finding employees alternative jobs within the organization.
B. job sharing.
C. hiring temporary workers.
D. work sharing.
E. any of the above
Answer: C. hiring temporary workers.
4. Potential solutions, when labour supply exceeds labour demand, include all of the
following except
A. downsizing through attrition.
B. employee layoffs.
C. termination of employment.
D. instituting a hiring freeze.
E. subcontracting.

Answer: E. subcontracting.
5. Effective HRP helps an organization to do all of the following except
A. achieve its goals and objectives.
B. make major labour market demands more successfully.
C. anticipate and avoid shortages and surpluses of human resources.
D. plan and coordinate recruitment, selection, training, and career planning more effectively.
E. comply with privacy laws.
Answer: E. comply with privacy laws.
6. Inadequate human resources planning within an organization can result in direct costs
when labour demand decreases significantly for an extended period of time. Which of the
following provides an accurate reason for this?
A. there is a link to privacy laws
B. it would cause hiring more HR staff
C. it would cause costs associated with hiring part-time workers
D. there are project management costs
E. severance pay is required for a large number of staff
Answer: E. severance pay is required for a large number of staff
7. Failure to integrate HRP and strategic planning
A. primarily affects the workload of HR staff who must work without a plan for their
activities.
B. results in an oversupply of labour which in turn causes layoffs.
C. is the source of complaints to the HRP bureau and may result in substantial fines or
penalties for the organization.
D. puts the achievement of the organization's strategy at risk.
E. is only a problem for for-profit businesses.
Answer: D. puts the achievement of the organization's strategy at risk.
8. Each of the following statements about the relationship between HRP and strategic
planning is true except
A. environmental scanning is a critical component of both HRP and strategic planning.
B. HRP and strategic planning become effective when there is a reciprocal and
interdependent relationship between them.
C. HRP has long been part of the strategic planning process.

D. determining whether or not people will be available is a critical element of strategic
planning.
E. failure to integrate HRP and strategic planning can have very serious consequences.
Answer: C. HRP has long been part of the strategic planning process.
9. External environmental factors that are most frequently monitored in HR and strategic
planning include all of the following except
A. demographic trends.
B. new or revised laws.
C. market and competitive trends.
D. economic conditions.
E. international trade patterns.
Answer: E. international trade patterns.
10. Which of the following is the first step in human resource planning?
A. forecasting future HR needs
B. forecasting the availability of internal candidates
C. forecasting the availability of external candidates
D. analyzing the HR implications of the organization's strategic plans
E. balancing supply and demand
Answer: B. forecasting the availability of internal candidates
11. The first step in the HRP process, after the HR implications of the firm's strategic plans
have been analyzed, is
A. forecasting future human resources needs.
B. monitoring and evaluating the results.
C. job analysis and design.
D. forecasting availability of internal and external candidates.
E. planning and implementing HR programs to balance supply and demand.
Answer: A. forecasting future human resources needs.
12. Factors that should be considered when forecasting the number and type of people needed
to meet organizational objectives include all of the following except
A. projected turnover.
B. the financial resources available to each department.
C. projected recruitment figures.

D. the quality and nature of employees.
E. decisions to upgrade the quality of products or services or enter into new markets.
Answer: C. projected recruitment figures.
13. Which of the following is a quantitative approach to forecasting?
A. the Delphi technique
B. trend analysis and the nominal group technique
C. the nominal group technique
D. trend analysis
E. managerial judgment
Answer: D. trend analysis
14. Quantitative techniques of forecasting include all of the following except
A. regression analysis.
B. the nominal group technique.
C. a scatterplot.
D. trend analysis.
E. ratio analysis.
Answer: B. the nominal group technique.
15. Computing the number of employees in the firm at the end of the last five years is
associated with which of the following forecasting techniques?
A. time-series analysis
B. a scatterplot
C. regression analysis
D. ratio analysis
E. trend analysis
Answer: E. trend analysis
16. A forecasting technique for determining future staff needs by using ratios between sales
volume and the number of employees needed is
A. a scatterplot.
B. time-series analysis.
C. trend analysis.
D. regression analysis.

E. ratio analysis.
Answer: E. ratio analysis.
17. Like ________, ratio analysis assumes that productivity remains much the same and is
therefore not appropriate in changing environments.
A. regression analysis
B. trend analysis
C. the nominal group technique
D. time-series analysis
E. a scatterplot
Answer: B. trend analysis
18. A ________ illustrates the relationship between two factors: a measure of business
activity and staffing levels.
A. trend analysis
B. time-series analysis
C. regression analysis
D. scatterplot
E. ratio analysis
Answer: D. scatterplot
19. A statistical technique involving the use of a mathematical formula to project future
demands, based on an established relationship between an organization's employment level
and some measurable factor of output, is known as
A. regression analysis.
B. a scatterplot.
C. a computerized forecast.
D. trend analysis.
E. ratio analysis.
Answer: A. regression analysis.
20. In contrast to quantitative approaches, qualitative techniques rely solely on
A. a scatterplot.
B. regression analysis.
C. trend analysis.
D. multiple regression analysis.

E. expert judgments.
Answer: E. expert judgments.
21. Two approaches used to gather qualitative data in order to forecast HR demand (or
supply) are
A. trend analysis and scatterplot.
B. nominal group and Delphi technique.
C. regression analysis and nominal group technique.
D. ratio analysis and nominal group technique.
E. scatterplot and Delphi technique.
Answer: B. nominal group and Delphi technique.
22. A decision-making technique that involves a group of experts meeting face to face and
can be used for HR forecasting is known as
A. an informal expert forecast.
B. managerial judgment.
C. the nominal group technique.
D. a formal expert forecast.
E. the Delphi technique.
Answer: C. the nominal group technique.
23. Which forecasting technique has drawbacks that include subjectivity and the potential for
group pressure to lead to less accurate assessments than could be obtained through other
means?
A. a formal expert forecast
B. an informal expert forecast
C. managerial judgment
D. the Delphi technique
E. the nominal group technique
Answer: E. the nominal group technique
24. You have just been hired as the director of human resources at a mid-sized engineering
company. The CEO has asked you to assist her in forecasting future human resources needs
and to use a forecasting technique which will generate an exchange of ideas among the
directors of all division. She would like you to use a technique that will lead to greater
acceptance of results among the directors. Which technique do you use?
A. the nominal group technique

B. trend analysis
C. regression analysis
D. an informal expert forecast
E. a formal expert forecast
Answer: A. the nominal group technique
25. You have just been hired as the director of human resources at a mid-sized engineering
company. The CEO has asked you to assist her in forecasting future human resources needs
and would like you to first use a qualitative technique which is useful for long-range
forecasting. Which technique do you choose?
A. a formal expert forecast
B. the nominal group technique
C. an informal expert forecast
D. the Delphi technique
E. managerial judgment
Answer: D. the Delphi technique
26. The drawbacks of which forecasting technique include the fact that judgments may not
efficiently use objective data?
A. a formal expert forecast
B. the Delphi technique
C. the nominal group technique
D. an informal expert forecast
E. managerial judgment
Answer: B. the Delphi technique
27. Permitting a group to critically evaluate a wide range of views is an advantage of which
forecasting technique?
A. an informal expert forecast
B. the nominal group technique
C. the Delphi technique
D. a formal expert forecast
E. managerial judgment
Answer: C. the Delphi technique
28. Regardless of the forecasting method utilized, modifications are made based on

A. management control systems.
B. HRIS data.
C. managerial judgment.
D. changing market conditions.
E. changing economic conditions.
Answer: C. managerial judgment.
29. Alice is the HR consultant advising Nexus Inc., a small but successful software
development firm, on how to conduct human resource planning. In forecasting future demand
for human resources, what step should she advise management to take first?
A. project turnover
B. project the sales for each of the firm's products and estimate quality and nature of
employees needed
C. create a replacement chart
D. project the sales for each of the firm's products and calculate the volume of production
needed to meet sales requirements
E. develop a staffing table
Answer: D. project the sales for each of the firm's products and calculate the volume of
production needed to meet sales requirements
30. A pictorial representation of all jobs within the organization, along with the number of
current incumbents and future employment requirements, is known as
A. a scatterplot.
B. an organization chart.
C. a replacement chart.
D. a skills inventory.
E. a staffing table.
Answer: E. a staffing table.
31. Projected openings are filled by using which of the following sources of supply?
A. individuals employed at other firms
B. unemployed individuals
C. external and internal sources
D. promoted employees
E. employees who are transferred

Answer: C. external and internal sources
32. Short-term and long-range HR demand forecasts provide
A. half of the staffing equation.
B. external supply forecasts.
C. present employees who can be transferred or promoted to meet anticipated needs.
D. internal supply forecasts.
E. the full staffing equation.
Answer: A. half of the staffing equation.
33. Alice is the HR consultant advising Nexus Inc., a small but successful software
development firm, on how to conduct human resource planning. She is currently explaining
the "forecasting supply" step in the planning process to the CEO and confirms that projected
openings are to be filled by using two sources. Those sources are
A. contracting-out and outsourcing.
B. recruitment and promotion.
C. internal and external supply.
D. transferring and promotion.
E. overtime and temporary workers.
Answer: C. internal and external supply.
34. A method of forecasting internal labour supply that involves tracking the pattern of
employee movements through various jobs and developing a transitional probability matrix is
known as
A. trend analysis.
B. ratio analysis.
C. multiple regression analysis.
D. Markov analysis.
E. computerized forecasting.
Answer: D. Markov analysis.
35. Manual or computerized records summarizing employees' education, experience,
interests, skills, etc., which are used to identify internal candidates eligible for transfer and/or
promotion, are known as
A. staffing tables.
B. job descriptions.
C. skills inventories.

D. replacement charts.
E. Markov analyses.
Answer: C. skills inventories.
36. Management inventories
A. are visual representations of who will replace whom in the event of a job opening.
B. record information about managerial responsibilities and management training used to
identify internal candidates eligible for promotion.
C. are used to keep track of employees' qualifications.
D. are a method used to arrive at a group decision involving outside experts.
E. are a method of forecasting labour supply that involves tracking the pattern of employee
movements.
Answer: B. record information about managerial responsibilities and management training
used to identify internal candidates eligible for promotion.
37. You have been hired as the director of HR at Targus Inc., a clothing retailer. To project the
supply of outside candidates in the HRP process for the firm, you will need to assess
A. national labour market conditions.
B. staffing tables.
C. succession plans.
D. skills inventories.
E. management inventories.
Answer: A. national labour market conditions.
38. In general terms, the lower the rate of unemployment,
A. the smaller the labour supply.
B. the easier it will be to recruit.
C. the larger the labour supply.
D. the smaller the labour demand.
E. the larger the labour demand.
Answer: A. the smaller the labour supply.
39. Highly educated immigrants are the predominant drivers of
A. local labour market conditions.
B. national labour market conditions.
C. competitors' strategies.

D. growth.
E. organizational training and development.
Answer: D. growth.
40. To project the supply of outside candidates, employers generally assess all of the
following except
A. competitors' strategies.
B. national labour market conditions.
C. general economic conditions.
D. occupational market conditions.
E. local labour market conditions.
Answer: A. competitors' strategies.
41. In general terms, the lower the rate of unemployment,
A. the more difficult it is to recruit employees.
B. the easier it is to fill positions.
C. the harder it is to fill skills-shortage positions.
D. the larger the labour supply.
E. the less competition there is for employees.
Answer: A. the more difficult it is to recruit employees.
42. Demographic trends have a significant impact on
A. unemployment rates.
B. local labour market conditions.
C. general economic conditions.
D. occupational market conditions.
E. national labour market conditions.
Answer: E. national labour market conditions.
43. The shortage of available workers in which occupational market is projected to cost the
Canadian economy $10 billion per year until it is resolved?
A. Teachers/professors
B. Information technology workers
C. Industrial chemists
D. Accountants

E. Geologists
Answer: B. Information technology workers
44. Each of the following statements about occupational market conditions is true except that
A. HRDC forecasts are useful for determining whether any projected imbalances will be selfcorrecting.
B. in recent years, there has been an undersupply of nurses.
C. HRDC is a good source of information on occupational demand and supply.
D. organizations generally want to forecast the availability of potential candidates in specific
occupations.
E. in recent years, there has been an oversupply of IT specialists.
Answer: E. in recent years, there has been an oversupply of IT specialists.
45. To successfully fill positions internally, organizations must manage performance and
careers. Performance is managed through
A. effective recruitment policies and systems.
B. career tracking.
C. implementing a suitable reward structure.
D. effective selection and placement strategies.
E. training and development.
Answer: C. implementing a suitable reward structure.
46. A hiring freeze is all of the following except
A. when openings are filled by reassigning current employees.
B. a common response to an employee surplus.
C. a strategy that most employers use initially to balance demand and supply.
D. no outsiders are hired.
E. a solution when demand exceeds supply.
Answer: E. a solution when demand exceeds supply.
47. Specific strategies must be formulated to balance supply and demand. Possible scenarios
are
A. supply matches expected demand.
B. labour supply exceeds demand.
C. there is a shortage of labour.
D. expected demand matches supply.

E. all of the above.
Answer: E. all of the above.
48. You have been hired as the director of HR at Targus Inc., a clothing retailer. Due to a
reduction in consumer demand, you have been asked to advise management on how to reduce
the amount of staff by 5% over the next 2 years. Although slow, a method for reducing
numbers which generally presents the least amount of problems is
A. introducing a reduced work week.
B. laying off employees.
C. offering attractive buyout packages.
D. downsizing through attrition.
E. offering attractive early-retirement packages.
Answer: D. downsizing through attrition.
49. Drawbacks of attrition include that
A. it is hard to implement.
B. it costs large sums of money.
C. employees do not accept this strategy.
D. the organization has no control over who goes and who stays.
E. it takes a short period of time.
Answer: D. the organization has no control over who goes and who stays.
50. When the internal supply of employees exceeds the organization's demand, strategies
used by employers include all of the following except
A. making early retirement mandatory.
B. downsizing through attrition.
C. offering attractive buyout packages.
D. initiating job-share positions.
E. laying off employees.
Answer: A. making early retirement mandatory.
51. You have been asked by the CEO to advise on how to reduce the workforce by 10% over
the next 2 years. There is little in the budget for payment of up-front money. Which of the
following would you not recommend?
A. work sharing
B. layoffs based on reverse seniority

C. buyouts and early retirement packages
D. reduced work weeks
E. job sharing
Answer: C. buyouts and early retirement packages
52. With which of the following strategies for handling a labour surplus is the potential for a
human rights violation most closely associated?
A. early retirement packages
B. termination of employment
C. work sharing
D. reduced work weeks
E. job sharing
Answer: A. early retirement packages
53. The layoff-avoidance strategy introduced by the federal government is known as
A. work sharing.
B. supplemental unemployment benefits.
C. the reduced work week.
D. job sharing.
E. the early leave package.
Answer: A. work sharing.
54. SUBS
A. top up employment insurance.
B. are benefits that are paid indefinitely.
C. are usually provided to non-union employees.
D. increase income levels when on the job.
E. decrease income levels when on the job.
Answer: A. top up employment insurance.
55. Factors that should be taken into account when determining an appropriate severance
package include all of the following except
A. years of service.
B. the individual's likelihood of obtaining alternative employment.
C. salary.

D. age.
E. ethnic origin.
Answer: E. ethnic origin.
56. The guarantee by the employer to pay specified compensation and benefits in the case of
termination due to downsizing or restructuring is known as
A. a severance package.
B. supplemental unemployment benefits.
C. a guaranteed annual wage.
D. a golden parachute clause.
E. wage protection insurance.
Answer: D. a golden parachute clause.
57. Survivor sickness is
A. a physical illness caused by a toxic building.
B. a sickness found among production workers.
C. a sickness found among white-collar workers.
D. a range of emotions that can include feelings of betrayal or violation, guilt, and
detachment.
E. an illness causing errors in work and reduced performance.
Answer: D. a range of emotions that can include feelings of betrayal or violation, guilt, and
detachment.
58. Outplacement is
A. a service within a company facilitated by HR professionals.
B. a service offered by an outside agency that is provided to executives only.
C. a service within a company that provides resume-writing and interview-skill workshops.
D. a service offered by an outside agency that can assist terminated employees in finding
employment elsewhere.
E. a service offered by an outside agency that provides job opportunities.
Answer: D. a service offered by an outside agency that can assist terminated employees in
finding employment elsewhere.
59. A major Canadian automaker has laid off 20% of its workforce over the course of 2 years.
You are the HR professional responsible for surveying the employees remaining with the
company to determine their level of engagement and job satisfaction. The survey responses
indicate that many employees are experiencing feelings of guilt and detachment. These
employees are likely experiencing

A. a negative work ethic.
B. employee apathy.
C. survivor sickness.
D. survivor-guilt syndrome.
E. reality shock.
Answer: C. survivor sickness.
60. The initial response to a labour shortage is often
A. promotion.
B. transfer.
C. retraining.
D. layoffs.
E. scheduling overtime.
Answer: E. scheduling overtime.
61. To deal with a labour shortage, firms often use all of the following strategies except
A. subcontracting work.
B. offering generous early retirement and buyout packages.
C. scheduling overtime.
D. transferring and promoting employees.
E. recruiting.
Answer: B. offering generous early retirement and buyout packages.
62. Advantages associated with a transfer include
A. the fact that skills and perspectives may be broadened.
B. the fact that new challenges are the inevitable result.
C. more employee autonomy.
D. an increase in task significance.
E. a pay increase for the employee involved.
Answer: A. the fact that skills and perspectives may be broadened.
63. Which of the following statements about merit-based promotions is true?
A. A promotion is sometimes based on an assessment of future potential.
B. Unions often prefer that merit be the deciding factor.

C. When promotions are based on seniority, objectivity is a problem.
D. Using seniority, the employee who is promoted is always the most competent.
E. Promotions involve the movement of an employee from one job to another that is the same
level in responsibility.
Answer: A. A promotion is sometimes based on an assessment of future potential.
64. HRP is a process of reviewing human resources requirements to ensure that an
organization has the required number of employees, with the necessary skills, to meet its
goals.
a. True
b. False
Answer: a. True
65. In the next decade, labour force growth in Canada will be entirely dependent on new
immigrants.
a. True
b. False
Answer: b. False
66. Human resources planning is a reactive process which both anticipates and influences an
organization's future.
a. True
b. False
Answer: b. False
67. Trend analysis is valuable as an initial estimate of HR demand only.
a. True
b. False
Answer: a. True
68. Regression analysis determines the line of best fit.
a. True
b. False
Answer: a. True
69. Exchanging ideas without face-to-face interaction is a characteristic of the nominal group
forecasting technique.
a. True

b. False
Answer: b. False
70. Managerial judgment is central to qualitative forecasting, but plays only a small role in
quantitative forecasting techniques.
a. True
b. False
Answer: b. False
71. External supply is one source of human resources supply.
a. True
b. False
Answer: a. True
72. Short-term and long-range HR demand forecasts only provide half of the staffing
equation by answering the question "How many employees will we need?"
a. True
b. False
Answer: a. True
73. A Markov analysis can be used to forecast internal labour supply.
a. True
b. False
Answer: a. True
74. Failure to update skills and management inventories can lead to present employees being
overlooked for job openings.
a. True
b. False
Answer: a. True
75. To project the supply of outside candidates, employers assess general economic
conditions.
a. True
b. False
Answer: a. True
76. The first step to project the supply of outside candidates is to forecast local market
conditions.

a. True
b. False
Answer: b. False
77. Highly educated immigrants are the predominant drivers of growth in the Canadian
labour pool.
a. True
b. False
Answer: a. True
78. Specific strategies must be formulated to balance supply and demand considerations.
a. True
b. False
Answer: a. True
79. A labour surplus exists when the internal supply of employees exceeds the organization's
demand. Most employers respond initially by terminating employment.
a. True
b. False
Answer: b. False
80. A strategy used to deal with an employee surplus is the promotion of employees.
a. True
b. False
Answer: b. False
81. Describe human resources planning (HRP) (4 points) and explain its connection to
strategic planning using an example (6 points).
Answer: Something close to the textbook definition, "the process of forecasting future human
resources requirements to ensure that the organization will have the required number of
employees with the necessary skills to meets its strategic objectives." The connection to
strategy will be an application of HRP perhaps discussed in class, which illustrates the
matching of internal demand and external plus internal supply of labour.
82. A major US-based department store chain is considering expanding into Canada. Identify
and discuss the importance of four external environmental factors (of the six discussed in the
text) that the chain must consider as part of its human resources planning process.
Answer: Four of six factors should be identified and discussed. One point for identifying the
factor and 1.5 additional points for accurate application: economic conditions, market and
competitive trends (wage levels), employment law differences, social concerns, technological
changes, and demographic trends.

83. Briefly identify and describe how management can forecast how many candidates may be
available from within the organization for any openings resulting from a demand analysis.
Answer: Identification and description of skills/management inventories, replacement
charts/summaries, and succession plans. One point for identification and up to two points for
accurate description.
84. You are the HR professional responsible for human resources planning (HRP) at
MegaCredit, a Canadian credit union. You are about to begin the annual human resources
planning process knowing that there is a new strategic initiative to move into a new product
area—insurance. What are the five factors you should consider in developing your plan?
Answer: The steps are as follows:
1. Projected turnover
2. Quality and nature of employees required
3. Decisions to upgrade the quality of products and impact on skill mix
4. Planned tech/administrative changes
5. Financial resources available
Three points for accurately identifying and applying each factor.
85. You are the HR professional in charge of human resources planning at BlueFruit, a
company that designs and makes cell phones and tablets. Recently, demand for your products
has been falling, resulting in a surplus of human resources. Identify and describe five possible
solutions you would consider implementing in order to reduce the oversupply of human
resources at BlueFruit.
Answer: Accurate identification and description of any five of the possible solutions listed in
Figure 4.4 on page 89 of the text
86. Which of the following statements about recruitment is true?
A. In large organizations in which recruiting is done on an almost continuous basis, there are
specialists, known as employment managers, whose job it is to find and attract capable
applicants.
B. Recruitment is the process of searching for and selecting the most appropriate individual
to staff job requirements.
C. The HR department staff members have line authority for recruitment.
D. The recruitment process begins with the identification of a position that requires staffing
and is completed when resumes and/or completed application forms are received from an
adequate number of applicants.
E. The recruitment process begins with the identification of a position that requires staffing
and is completed when a short list of candidates has been compiled.

Answer: D. The recruitment process begins with the identification of a position that requires
staffing and is completed when resumes and/or completed application forms are received
from an adequate number of applicants.
87. Which of the following is true of employer branding?
A. It is the image of the organization as an employer held by persons external to the
organization only.
B. It is the image of the organization as an employer held by applicants for a position with the
organization only.
C. It is important only for persons who are eventually hired by the organization.
D. It is the image of the organization as an employer held by current employees only.
E. It is the image of the organization as an employer held by persons external to the
organization as well as current employees.
Answer: E. It is the image of the organization as an employer held by persons external to the
organization as well as current employees.
88. The first step in employer branding includes
A. developing the employee value proposition.
B. HR planning.
C. defining the target audience in terms of where to find them.
D. building a pool of candidates.
E. defining the target audience in terms of where to find them and what they would want
from an employer.
Answer: E. defining the target audience in terms of where to find them and what they would
want from an employer.
89. The second step in employer branding includes
A. defining the reasons why the organization is a unique place to work.
B. defining the reasons why the organization is a unique place to work and would be an
attractive employer to the desired audience.
C. defining the target audience in terms of where to find them.
D. building a pool of candidates.
E. defining the target audience in terms of where to find them and what they would want
from an employer.
Answer: B. defining the reasons why the organization is a unique place to work and would be
an attractive employer to the desired audience.
90. When job openings arise unexpectedly, these openings are identified by

A. choosing the appropriate recruitment source(s) and method(s).
B. human resources planning.
C. determining the job requirements.
D. building a pool of candidates.
E. manager request.
Answer: E. manager request.
91. Determining the job requirements involves
A. reviewing the employment equity plan.
B. perusing the human resources plan.
C. reviewing the job description and job specification and updating them if necessary.
D. relying on the supervisor's judgment.
E. relying on the human resources requisition form.
Answer: C. reviewing the job description and job specification and updating them if
necessary.
92. Constraints affecting the recruitment process arise from
A. inducements offered by competitors.
B. emerging labour shortages and inducements offered by competitors.
C. employment equity plans and emerging labour shortages.
D. emerging labour shortages, inducements offered by competitors, and employment equity
plans.
E. nothing, there are no constraints.
Answer: D. emerging labour shortages, inducements offered by competitors, and employment
equity plans.
93. An engineering consulting company operating across Canada has launched an initiative to
recruit engineers from England. Which of the constraints on the recruitment process is this
most likely primarily designed to address?
A. employment equity plans
B. compensation policies
C. the labour shortage for certain occupations in Canada
D. employment status policies
E. inducements offered by competitors
Answer: C. the labour shortage for certain occupations in Canada

94. ________ influence the attractiveness of the job to potential applicants.
A. Employment status policies
B. Promote-from-within policies
C. Human resources plans
D. Recruitment budgets
E. Compensation policies
Answer: E. Compensation policies
95. The biggest constraint on recruiting activity at this time is the
A. organizational plans.
B. emerging labour shortage.
C. the recruitment budget.
D. recruiter preferences.
E. environmental factors.
Answer: B. emerging labour shortage.
96. Recruiters must try to meet the prevailing standards while dealing with
A. organizational policies.
B. the job specifications.
C. recruiter preferences.
D. inducements of competitors.
E. environmental factors.
Answer: D. inducements of competitors.
97. You are a recruiter for a public relations agency and must fill the position of director of
business development. Advantages of filling the position with inside candidates include
A. managers are provided with a longer-term perspective when making business decisions.
B. insiders are less likely to require training and are more likely to have an innovative
approach.
C. insiders are likely to have an innovative approach.
D. managers are provided with a longer-term perspective when making business decisions
and insiders may be more committed to company goals and less likely to leave.
E. there would be no advantages.
Answer: D. managers are provided with a longer-term perspective when making business
decisions and insiders may be more committed to company goals and less likely to leave.

98. You are a recruiter for a public relations agency and must fill the position of director of
business development. The disadvantages of filling the position with inside candidates
includes all of the following except
A. the difficulty for a newly chosen leader to gain acceptance.
B. inbreeding.
C. less orientation is required.
D. that it is a waste of time if all internal candidates must be interviewed.
E. they will have less innovative approaches to decision-making.
Answer: C. less orientation is required.
99. To be effective, promotion from within requires using each of the following tools except
A. newspaper advertisements.
B. skills inventories.
C. interviewing.
D. human resources records.
E. job posting.
Answer: A. newspaper advertisements.
100. An effective way of spreading the word about job opportunities to current employees is
A. preparing a job description.
B. job posting.
C. placing a classified advertisement in the newspaper.
D. radio advertising.
E. preparing a job specification.
Answer: B. job posting.
101. Information typically found in a job posting includes all of the following except
A. qualifications required.
B. job title.
C. pay range.
D. posting date.
E. the name of the previous incumbent.
Answer: E. the name of the previous incumbent.
102. Skills inventories are

A. not useful unless there is a unique job being applied for.
B. used for employee training.
C. always used instead of job postings.
D. only computerized.
E. often used as a supplement to job postings.
Answer: E. often used as a supplement to job postings.
103. An examination of human resources records may reveal all of the following except
A. people who already have the requisite KSAs.
B. employees who are working in jobs below their education or skill levels.
C. occupational segregation.
D. underemployment.
E. persons with the potential to move into the vacant position if given some additional
training.
Answer: C. occupational segregation.
104. Advantages of job posting include all of the following except that
A. the organization's policies and guidelines regarding promotions and transfers are
communicated.
B. every qualified employee is provided with a chance for a transfer or promotion.
C. the organization's commitment to career growth and development is demonstrated.
D. the likelihood of special deals and favouritism is reduced.
E. employment equity goals are more likely to be met.
Answer: E. employment equity goals are more likely to be met.
105. You are a recruiter for a public relations agency and must fill the position of director of
business development. The disadvantages of an internal job posting include that
A. it does not reduce the likelihood of special deals and favouritism.
B. the decision about which candidate to select may be more difficult if there are two or more
equally qualified candidates.
C. it is rare that it is a difficult decision about which candidate to select, even if there are two
or more equally qualified candidates.
D. every qualified employee does not have a chance for transfer or promotion.
E. unsuccessful job candidates are rarely demotivated and understanding feedback may not
be communicated in a timely manner.

Answer: B. the decision about which candidate to select may be more difficult if there are
two or more equally qualified candidates.
106. You are a recruiter for a telecommunications company. When recruiting for the position
of director of customer service, which of the following is most helpful as a supplement to job
postings to ensure that qualified internal candidates are identified and considered when
vacancies arise?
A. a replacement chart
B. replacement summaries
C. a telephone hot-line
D. a succession plan
E. skills inventories
Answer: E. skills inventories
107. Which of the following is a limitation of recruiting from within the organization?
A. Most entry-level jobs are filled with current employees.
B. In firms with a promote-from-within policy, positions are rarely filled externally.
C. If there is a job posting policy, external candidates can only be considered if there are no
qualified internal candidates.
D. If positions are vacated unexpectedly, there may be no qualified internal candidates.
E. All of the above are limitations of recruiting from within.
Answer: D. If positions are vacated unexpectedly, there may be no qualified internal
candidates.
108. You are a recruiter for a telecommunications company. When recruiting for the position
of director of customer service, which of the following would not account for why you would
recruit externally?
A. The quality of the selection decision may be better.
B. Creative problem-solving techniques may be acquired.
C. Rivalry and competition between employees may be eliminated.
D. Employment equity goals and timetables may be met.
E. Qualified employees have a chance for promotion.
Answer: E. Qualified employees have a chance for promotion.
109. External recruitment often results in
A. cost savings due to less extensive training.
B. the generation of a homogeneous pool of applicants.

C. problems in meeting employment equity goals.
D. rivalry and competition among employees.
E. higher costs due to extensive training.
Answer: A. cost savings due to less extensive training.
110. For executive-level positions, firms normally rely on
A. online recruitment.
B. professional search firms.
C. employee referrals.
D. employment agencies.
E. newspaper ads.
Answer: B. professional search firms.
111. Yield ratio is
A. the percentage of applicants that will not proceed to the next stage of the process.
B. the percentage of applicants that proceed to the next stage of the process.
C. the applicants who perform poorly in the hiring process.
D. the applicants that do not continue in the hiring process.
E. the applicants who perform well in the hiring process.
Answer: B. the percentage of applicants that proceed to the next stage of the process.
112. Time-lapse data
A. cannot be used for every recruitment method.
B. is not a useful tool in the recruitment process.
C. does not take into account the amount of lead time available.
D. is the average number of days from when the company initiates a recruitment method to
when the successful candidate begins to work.
E. is the average number of days from when the company initiates a recruitment method to
when the successful candidate begins to work and has completed the orientation process.
Answer: D. is the average number of days from when the company initiates a recruitment
method to when the successful candidate begins to work.
113. Employers may use a recruiting yield pyramid for each recruitment method to determine
the
A. projected turnover rate.
B. number of applicants that must be attracted to hire the required number of new employees.

C. amount of lead time needed to hire the required number of new employees.
D. number of applicants rejected.
E. number of applicants failing the recruiting and selecting process.
Answer: B. number of applicants that must be attracted to hire the required number of new
employees.
114. Employers may use time-lapse data for each recruitment method to determine the
A. projected turnover rate.
B. number of applicants failing the recruiting and selecting process.
C. amount of lead time needed to hire the required number of new employees.
D. number of applicants that must be attracted to hire the required number of new employees.
E. number of applicants rejected.
Answer: C. amount of lead time needed to hire the required number of new employees.
115. Online job boards are
A. fast, convenient, and easy.
B. fast, but not easy.
C. slow, but easy to use.
D. fast, convenient, and easy when the job boards used are large.
E. secure and confidential.
Answer: A. fast, convenient, and easy.
116. Popularity of internet job boards among job seekers is high due to
A. the types of job postings available.
B. the features of the job boards.
C. the technological requirements of the internet.
D. the number of job postings available on one site.
E. nothing, they are not popular.
Answer: D. the number of job postings available on one site.
117. One problem with internet job boards is
A. job seekers cannot search multiple job boards with one query.
B. nothing, there are no problems.
C. fake job postings lead to resumes copied onto competing job boards.
D. they are vulnerable to privacy breaches.

E. it is difficult to post resumes online.
Answer: D. they are vulnerable to privacy breaches.
118. With the overabundance of applicants now found on most online job boards, employers
now use
A. workopolis.ca.
B. Monster.ca.
C. their own corporate websites to recruit.
D. application service providers.
E. print advertising.
Answer: C. their own corporate websites to recruit.
119. Corporate career websites
A. capture data about the organization.
B. provide a platform that promotes the corporate brand.
C. educate the applicant about the industry.
D. provide links to company advertisements.
E. provide details about the human resource planning.
Answer: B. provide a platform that promotes the corporate brand.
120. Corporate websites can help the company create a pool of candidates who have
A. already worked with the company.
B. already filled out an application form.
C. already been prescreened.
D. replied to a specific ad in print.
E. already expressed interest in the organization.
Answer: E. already expressed interest in the organization.
121. Passive job seekers are
A. managerial employees.
B. happily employed in their present job.
C. professional employees.
D. looking for a new job.
E. manufacturing employees.
Answer: B. happily employed in their present job.

122. Best practices for career websites include
A. embellishing business prospects.
B. using an ASP.
C. using print along with the website.
D. including a unique application for each functional area.
E. having a direct link from the homepage to the career page.
Answer: E. having a direct link from the homepage to the career page.
123. Corporate websites
A. improve recruitment through online screening tools for communicating with candidates,
thereby saving time.
B. create different types of applications and help recruiters manage relationships with
candidates.
C. are using career websites to advertise products or services sold.
D. are allowing streamlining of data to use in the application.
E. are using career websites to position corporate brands to advertise career opportunities.
Answer: E. are using career websites to position corporate brands to advertise career
opportunities.
124. Active job seekers
A. are not the only type of individuals to visit the career website.
B. must have an accessible, prominently positioned link on the homepage leading directly to
the career section to make it easier for them to pursue job opportunities.
C. are known as "passive" job seekers.
D. are the individuals that visit the career websites.
E. have the best access to the career websites.
Answer: A. are not the only type of individuals to visit the career website.
125. To achieve optimum results from an ad, the ad should
A. create desire for the job.
B. name who to call.
C. appear in the classified ads.
D. tell people where to apply.
E. do none of the above.
Answer: A. create desire for the job.

126. Blind ads
A. allow for confidentiality for the hiring firm.
B. are the same as want ads.
C. do not allow a job seeker to unknowingly send a resume to the firm at which they are
currently employed.
D. are favoured by job seekers.
E. are always used if the position is still staffed.
Answer: A. allow for confidentiality for the hiring firm.
127. Which of the following is considered an inexpensive recruitment method?
A. walk-ins
B. write-ins
C. walk-ins and write-ins
D. educational institutions
E. employee referrals
Answer: C. walk-ins and write-ins
128. You are a recruiter at a telecommunication company. In recruiting for the position of
business division sales manager, which of the following would be the advantage of the
employee referral method?
A. It does not allow inbreeding.
B. It represents a low recruiting cost.
C. It would assist in managing diversity in the firm.
D. It usually leads to higher quality candidates.
E. It generally attracts a greater pool of applicants than other methods.
Answer: B. It represents a low recruiting cost.
129. Perhaps the biggest drawback associated with employee referrals is the
A. potential for systemic discrimination.
B. dissatisfaction of employees whose referral is not hired.
C. unrealistic expectations newly hired employees have about the firm.
D. potential for morale problems.
E. costs involved in providing cash awards.
Answer: D. potential for morale problems.

130. Nepotism
A. is associated with recruiting at schools.
B. is a preference for hiring relatives of current employees.
C. is a disadvantage associated with hiring from an online job board.
D. can cause morale problems associated with hiring for executive positions.
E. is a preference for hiring past colleagues of current employees; this is associated with
employee referrals.
Answer: B. is a preference for hiring relatives of current employees.
131. Nepotism is a problem most closely associated with
A. write-ins.
B. educational institutions.
C. human resource centres.
D. employee referrals.
E. walk-ins.
Answer: D. employee referrals.
132. You are a recruiter in a telecommunications company and are hiring for the position of
human resources clerk. The position requires some formal training, but little work
experience. Which of the following recruitment methods is likely to be most effective in
generating a pool of qualified candidates at low cost?
A. employment agencies
B. newspaper advertisements
C. human resource centres
D. professional journal advertisements
E. educational institutions
Answer: E. educational institutions
133. Summer internship programs
A. are expensive to assess students.
B. hire college and/or university students to complete summer projects before they graduate.
C. have one objective only: to allow students to obtain business experience.
D. frequently offer permanent positions following graduation if interns have excellent
performance.
E. produce win-win results, but students benefit more.

Answer: D. frequently offer permanent positions following graduation if interns have
excellent performance.
134. Benefits associated with internship, co-op, and field placement programs include all of
the following except
A. a lesser likelihood of leaving shortly after hiring if employed by the firm.
B. low recruitment costs.
C. the ability of employers to assess the skills and abilities of potential employees.
D. current knowledge and enthusiasm.
E. experienced talent.
Answer: E. experienced talent.
135. Human resource centres are used primarily to help
A. skilled tradespersons.
B. supervisory employees.
C. union employees.
D. unemployed individuals.
E. technical employees.
Answer: D. unemployed individuals.
136. Situations in which an employer may use an employment agency for candidate
recruitment include all of the following except
A. a perceived need to attract a more homogeneous pool of applicants.
B. the need to fill an open position quickly.
C. lack of an internal HR department.
D. when the organization has an inexperienced HR department.
E. difficulty in generating a pool of qualified job candidates for this type of position in the
past.
Answer: A. a perceived need to attract a more homogeneous pool of applicants.
137. To seek out middle- to senior-level professional and managerial employees, firms often
retain
A. a talent scout.
B. an employment agency.
C. a professional or trade association.
D. a professional agency.

E. an executive search firm.
Answer: E. an executive search firm.
138. Advantages associated with the use of headhunters include all of the following except
A. their skill in reaching individuals who are employed.
B. their skill in reaching individuals who are not actively looking to change jobs.
C. their wide number of business contacts.
D. they typically know the marketplace.
E. their skill in recruiting employees of all levels.
Answer: E. their skill in recruiting employees of all levels.
139. Potential pitfalls of using executive search firms includes all of the following except
A. they may present unpromising candidates to a client.
B. the time that must be spent explaining in detail the type of candidate required.
C. they can be more interested in persuading the employer to hire any candidate.
D. they tend to be more salespeople than they are professionals.
E. they tend to focus only on persons currently looking for new positions.
Answer: E. they tend to focus only on persons currently looking for new positions.
140. You are a recruiter with a software development firm and are seeking to fill positions
requiring specific computer programming knowledge and work experience. Which of the
following recruitment sources or methods would be particularly useful to you?
A. educational institutions
B. a labour organization
C. professional and trade associations
D. write-ins
E. newspaper advertising
Answer: C. professional and trade associations
141. The types of positions commonly filled through union hiring halls include all of the
following except
A. plumbers.
B. carpenters.
C. welders.
D. pipe fitters.

E. security guards.
Answer: E. security guards.
142. The CFLC is responsible for
A. requiring civilian employers to give reservists time off for training.
B. allowing employers to interview for personnel at more than 300 military units.
C. conducting reserve force training that develops military skills.
D. developing a database of job postings for skilled personnel at no charge.
E. promoting the hiring of reservists by civilian employers.
Answer: E. promoting the hiring of reservists by civilian employers.
143. Open houses are
A. common in government organizations.
B. not used today.
C. the choice when there are many jobs for candidates.
D. the most popular recruitment method.
E. none of the above.
Answer: C. the choice when there are many jobs for candidates.
144. Job fair events would not allow
A. top prospects to be invited to visit the firm at a later date.
B. computer technology to be used.
C. recruiters to share information about the organization.
D. recruiters to share job opportunities in an informal, relaxed setting.
E. in-depth assessment of candidates.
Answer: E. in-depth assessment of candidates.
145. As outlined in the text, sources of nonpermanent staff are
A. younger workers.
B. temporary help agencies.
C. contract workers and temporary help agencies.
D. older workers.
E. temporary help agencies, contract workers, and employee leasing.
Answer: E. temporary help agencies, contract workers, and employee leasing.

146. Significant benefits to hiring and retaining older employees include
A. the opportunity to develop flexible work options.
B. their strong work ethic.
C. the opportunity to invest in retraining.
D. their knowledge of history and how things used to be done.
E. none of the above.
Answer: B. their strong work ethic.
147. Recent research has found a strong correlation between successful recruiting and
shareholder value.
a. True
b. False
Answer: a. True
148. Recruitment is the process of searching out and hiring qualified job applicants.
a. True
b. False
Answer: a. True
149. Having a recruit-from-within policy may mean that no external candidates can be
considered until the posting period is over, even if it is well known that there are no qualified
internal candidates.
a. True
b. False
Answer: a. True
150. Relying on employee referrals can result in systemic discrimination.
a. True
b. False
Answer: a. True
151. External recruitment is generally the major source of candidates.
a. True
b. False
Answer: a. True
152. In many firms with a policy of promoting from within, potential external candidates are
also considered.

a. True
b. False
Answer: a. True
153. One advantage of employee referrals is that, because there are no advertising fees
involved, paying bonuses represents a low recruiting cost.
a. True
b. False
Answer: a. True
154. A disadvantage of using social networking sites as a recruitment method is the cost
involved.
a. True
b. False
Answer: b. False
155. A risk of using social networking sites as a recruitment method is that disgruntled former
employees or customers may post negative comments on the site.
a. True
b. False
Answer: a. True
156. Recruits can be hired through union hiring halls, particularly in construction. The roster
of members only works for one organization at a time.
a. True
b. False
Answer: a. True
157. Many firms, recognizing the benefits of a multigenerational work force, are taking steps
to recruit both older and younger workers.
a. True
b. False
Answer: a. True
158. Trends of particular significance today include a decrease in the availability of younger
workers.
a. True
b. False

Answer: a. True
159. Most of the recruitment methods outlined in the text can be used to attract designated
group members even if the employer's commitment to equity and diversity is unclear.
a. True
b. False
Answer: b. False
160. What is "employer branding" with respect to the recruitment process? Describe what
employer branding is and identify and describe the three steps involved in employer
branding.
Answer: Employer branding is the image or impression of an organization as an employer
based on the benefits of being employed by the organization. The three steps are 1) define the
target audience and what they want from an employer; 2) develop the employee value
proposition (why the organization is desirable to work for); and 3) communicate the brand by
incorporating the value proposition into all recruitment efforts. Three points for each step and
one point for the description of employer branding.
161. Identify and describe the four main steps in the recruitment process.
Answer: 1. Job openings are identified through HR planning or manager request
2. The job requirements are determined
3. Appropriate recruiting sources and methods are chosen
4. A pool of qualified candidates is generated.
2.5 points for correctly identifying and describing each step.
162. What are the advantages and disadvantages of filling open positions with internal
candidates?
Answer: 10 marks for 5 good points relating to either advantages or disadvantages where
both are addressed. There are at least five advantages of recruiting within the organization:
- Employees see that competence is rewarded, thus enhancing commitment, morale, and
performance.
- Having already been with the firm for some time, inside candidates may be more committed
to company goals and less likely to leave.
- Managers are provided with a longer-term perspective when making business decisions.
- It is generally safer to promote employees from within, since the firm is likely to have a
more accurate assessment of the person's skills and performance level than would otherwise
be the case.
- Inside candidates require less orientation than outsiders.
Hiring from within also has a number of disadvantages:

- Employees who apply for jobs and don't get them may become discontented.
- Managers may be required to post all job openings and interview all inside candidates, even
when they already know whom they wish to hire, thus wasting considerable time and creating
false hope on the part of those employees not genuinely being considered.
- Employees may be less satisfied with and accepting of a new boss appointed from within
their own ranks than they would a newcomer.
- It is sometimes difficult for a newly-chosen leader to adjust to no longer being "one of the
gang."
- There is a possibility of "inbreeding." When an entire management team has been brought
up through the ranks, there may be a tendency to make decisions by the book and to maintain
the status quo, when a new and innovative direction is needed.
163. What are the advantages of external recruitment?
Answer: 2 points each for the five advantages listed below
External recruitment may result in:
- generation of a larger pool of qualified candidates, which may have a positive impact on the
quality of the selection decision
- availability of a more diverse pool of applicants, which can assist in meeting employment
equity goals and timetables
- acquisition of skills or knowledge not currently available within the organization and/or
new ideas and creative problem-solving techniques
- elimination of rivalry and competition caused by employees jockeying for transfers and
promotions, which can hinder interpersonal and interdepartmental cooperation
- potential cost savings resulting from hiring individuals who already have the skills, rather
than providing extensive training.

Test Bank for Management of Human Resources: The Essentials
Nina D. Cole, Gary Dessler, Nita Chhinzer
9780133807332, 9780134305066

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