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According to the material in the Spotlight on Small Business box in Chapter 11,which of the following statements about recruiting workers for a small business is the most accurate?


A) Small businesses generally find it easier to recruit qualified workers than do large firms.
B) Specialized sites on the Internet provide an effective and relatively inexpensive way for small businesses to recruit workers.
C) Small businesses should place one person in charge of selecting new hires and limit the total number of people involved in the process to no more than 3.
D) Small businesses should avoid hiring their own customers,since doing so is likely to cause a conflict of interest.

E) None of the above
F) B) and C)

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Highly compensated executives sometimes prefer fringe benefits such as club memberships,company cars,and more vacation time,as opposed to higher salaries because most often these benefits are not taxable income. Highly compensated executives that pay a higher percentage of their salary in taxes sometimes prefer to receive added fringe benefits rather than higher pay.

A) True
B) False

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The Golden Handshake is a popular method of firing or dismissing senior members of your workforce. The Golden Handshake is a cash payout offered to employees close to retirement.The company is not firing or dismissing the employee.

A) True
B) False

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A performance appraisal is an evaluation in which the performance level of employees is measured against established standards to make decisions about promotions,compensation,additional training,or firing.

A) True
B) False

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Jake accepted a management trainee position at Opelika Resorts,a real estate development company.Corporate management believes Jake has potential to move into a top management position within the organization.They have begun assigning Jake to a different department every few months so he can obtain the broad perspective needed by top managers.This company is using ______________ to develop Jake's management skills.


A) job rotation
B) multitasking
C) understudying
D) cross-functional management

E) None of the above
F) A) and D)

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Zorn Enterprises hired several qualified soldiers returning from the war with hearing impairment to rehab its recently acquired apartment complexes.As a growing business,it is abiding by the law as currently stated.It is not required to adapt the work site to help these soldiers hear and communicate better with each other. According to the American with Disabilities Act of 1990,businesses must provide equal consideration to qualified persons with disabilities in the hiring process.Businesses should not discriminate against hiring persons with physical or mental disabilities who are qualified to do the job,and the businesses must also adapt the work environment to accommodate employees with disabilities.

A) True
B) False

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Rick is in his early sixties.A few years ago he had planned to retire by the time he was sixty,but when the time came,he decided to continue working.In fact,not only is Rick still working,he has no intention of retiring or setting a time when retirement might occur.Rick's decision to keep working into his late sixties is unusual in today's labor market. One of the trends affecting human resource management has been a shift in the age composition of the labor force,part of which is due to the increasing number of aging baby boomers that have decided to defer retirement.

A) True
B) False

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Charlie is the director for a small non-profit company that provides jobs for disabled Americans.One of his most time consuming responsibilities is finding companies that are willing to hire his company to perform tasks such as bulk mailings and other small jobs that his employees can do in a reasonable amount of time.He needs to recruit an outside sales representative who can dedicate time to meeting with other firms and selling the services of the non-profit operation.Under the circumstances that Charlie's non-profit is similar to a small business with a small amount of funds dedicated toward the sales position,which of the following strategies may be a suitable approach to finding a good sales person?


A) Lure candidates with the promise of a promotion,but with no intention of carrying through.
B) Find a qualified volunteer - you can do this easier in a bad economy.
C) Partner with the local community college and test drive students who may want to intern with you.
D) Take-out large ads in the local newspaper.

E) None of the above
F) B) and C)

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The last step of the human resource planning system is to:


A) publish a human resource inventory listing the names,ages,job titles,skills,and other pertinent information for all employees in the organization.
B) develop an affirmative action statement to explain how the company will meet federal government guidelines on hiring and promotions.
C) hold a general meeting to explain the impact of the plan to employees.
D) establish a strategic plan for recruiting,selecting,training,appraising and scheduling the labor force.

E) A) and B)
F) A) and C)

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A major purpose of employee orientation programs is to:


A) initiate new employees to the organization,their fellow employees,and their immediate supervisors.
B) give experienced employees a chance to learn new skills.
C) test new employees to determine where they should be assigned.
D) help workers who have been laid off to find new jobs.

E) A) and B)
F) C) and D)

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An employment appraisal may include a 360-degree review,which is an appraisal that includes job-related and non-job-related comments from a range of employees.

A) True
B) False

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The Civil Rights Act of 1991:


A) declared affirmative action plans unconstitutional.
B) requires any firm with over 600 employees to file an annual report with the Department of Labor identifying the steps it has taken to eliminate discriminatory practices.
C) allows victims of discrimination to seek punitive damages.
D) is the first law to declare reverse discrimination illegal.

E) A) and B)
F) B) and C)

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Andrew took a job with a company that strives to market several new consumer products each year.Prior to this position,he worked in a research lab at a university where he studied nanotechnology.He accepted the new position because the salary was significantly above what he previously made.Within a month's time at the new job,his manager began to have reservations about bringing him on board.Andrew seemed to prefer to work independently of others,and when he did interact with his new colleagues,he passed along subtle reminders of his extensive and superior academic credentials.From a recruitment standpoint,this situation serves as an indication of:


A) the benefits of shaking things up a little at work.
B) the challenges of trying to convince long-term employees that they need to retrain and continue their education.
C) the benefit of external recruitment over internal recruitment,even though in the short-run,it may be the more costly approach for the company.
D) the importance of finding talent that also fits well with the corporate culture.

E) C) and D)
F) None of the above

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A reason workers tend to receive fewer promotions than in the past is that:


A) most firms now believe hiring people outside the organization is a better way to fill management positions because it brings in "new blood."
B) the movement toward flatter organizational structures,provide fewer opportunities to move upward.
C) firms have found that promoting employees can create jealousy and resentment among the workers who are not promoted.
D) very few of today's supervisors and lower-level managers have the qualifications needed to move into higher management positions.

E) A) and B)
F) A) and C)

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Exit interviews by a third party can be an effective way for a firm to prevent future losses of valuable employees.

A) True
B) False

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Mini-Case Dee Pozitt had been the assistant human resource director at Fleesum Financial Services for a bit more than a year when the company's human resource director was injured in a sky diving accident.Because of his injuries the director would be unable to work for several months.Howie Fleesum,the company's CEO,decided to name Dee the acting director of human resources.Though she had been at the firm for a shorter period of time than most other managers,he felt that her position as the director's assistant had given her insights into the company's human resource issues that the other managers lacked.He also was very impressed by the glowing performance appraisal Dee recently received from the director,her peers,and even subordinates.Before accepting the position as acting director,Dee made sure that Mr.Fleesum recognized her authority to implement some major changes in policies she and the director had been planning before his accident.The changes were intended to make the company more responsive to the needs of employees,thus improving morale and reducing worker turnover.Although Dee was sorry the director was injured,she was pleased that Mr.Fleesum had confidence in her and was willing to give her the authority to implement important new programs.The only aspect of her opportunity that worried her was the resentment and hostility she sensed from a few of the older,more experienced managers.One of the most hostile coworkers was a fellow named Mort Gage.Dee decided she had better talk to Mort and find out why he was so upset. -Dee wants to give Fleesum's employees more freedom to schedule when they begin and end their workdays.Her plan still requires employees to work eight hours per day,but allows them to start as early as 7:00 a.m.or as late as 9:00 a.m. ,and leave as early as 4:00 p.m.or as late as 6:00 p.m.Her plan also requires all workers to be on the job between 9:00 a.m.and noon,and between 2:00 p.m.and 4:00 p.m.The type of plan Dee wants to implement is known as a:


A) compressed work day.
B) flextime plan.
C) personal time frame plan.
D) block scheduling plan.

E) C) and D)
F) A) and B)

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Dan works for ElekTek,a firm producing sophisticated electronic equipment used in state-of-the-art security systems.Dan is happy to see that the value of ElekTek's stock has reached $47 per share,because certain employees (including Dan) have the opportunity to buy a given number of shares of its stock for $30 per share for the next year regardless of how high the market price goes.ElekTek is offering some employees a:


A) stock annuity plan.
B) stock reinvestment plan.
C) stock dividend.
D) stock option plan.

E) A) and B)
F) None of the above

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Blue-collar and clerical workers who punch a time clock typically are paid a(n) :


A) commission.
B) salary.
C) hourly wage.
D) piecework rate.

E) B) and C)
F) A) and D)

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The What's Hapnin' Corporation is about to diversify into an entirely new market.This move will create the need for several new positions in the production and marketing departments.However,the production technologies and the marketing environment in this new market are very different than in What's Hapnin's traditional market.The company is likely to rely on external sources to fill many of the positions created by its diversification. Given the differences in technologies and marketing environments,it is unlikely that What's Hapnin' will be able to find enough qualified applicants within the organization to fill the new positions.Thus,it will have to look outside the organization.This is known as external recruitment.

A) True
B) False

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For many types of service organizations such as hospitals,banks and airlines,the primary cost of operations is:


A) establishing and maintaining a presence on the Internet.
B) insurance and legal expenses.
C) coping with obsolescence that results from the rapid pace of technological change.
D) compensation of labor.

E) B) and C)
F) A) and B)

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