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SHRM CP Practice Test: Questions & Answers on HR Management, Exams of Human Resource Management

A valuable collection of questions and answers covering fundamental concepts in human resource management. it delves into key areas such as human capital planning, strategic planning processes, legal compliance (including flsa and warn act), various leadership styles, and effective interview techniques. The q&a format facilitates learning and comprehension of core hr principles, making it a useful resource for students and professionals alike. The detailed explanations provide a solid foundation for understanding complex hr topics, enhancing knowledge and practical application.

Typology: Exams

2024/2025

Available from 05/23/2025

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PRACTICE TEST-
SHRM
CP QUESTIONS &
ANSWERS A+ VERIFIED
1. What is Human Capital Planning?
ANS Human Capital planning is a systematic process for identifying the resource
pool and its capabilities to meet organization goals and developing the strategies to
meet the requirements to fulfill those goals. A Human Management Capital plan is
forward thinking; the questions asked look at the present and into the future.
2. What is an environmental scan and how does it pertain to strategic plan-
ning?
ANS An environmental scan has to do with the gathering of information that will
help to project company growth and development. An environmental scan helps a
company to review historical data to begin the process of preparing for expected or
planned growth in the company.
3. Why do HR professionals need to understand the legal process?
ANS Leg- islation influences the relationship between employers and employees,
and the human resources professional is responsible for understanding this
relationship. The legislation that will affect a business often will affect the
business's relationship with its employees.
4. What is the first step that must be taken for an idea to be presented as a
bill to congress?
ANS When an idea for a bill originates from an individual or business outside of
Congress, the idea must first be submitted to a member of congress (or MOC). This
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PRACTICE TEST- SHRM CP QUESTIONS &

ANSWERS A+ VERIFIED

1. What is Human Capital Planning?

ANS Human Capital planning is a systematic process for identifying the resource pool and its capabilities to meet organization goals and developing the strategies to meet the requirements to fulfill those goals. A Human Management Capital plan is forward thinking; the questions asked look at the present and into the future.

2. What is an environmental scan and how does it pertain to strategic plan-

ning? ANS An environmental scan has to do with the gathering of information that will help to project company growth and development. An environmental scan helps a company to review historical data to begin the process of preparing for expected or planned growth in the company.

3. Why do HR professionals need to understand the legal process?

ANS Leg- islation influences the relationship between employers and employees, and the human resources professional is responsible for understanding this relationship. The legislation that will affect a business often will affect the business's relationship with its employees.

4. What is the first step that must be taken for an idea to be presented as a

bill to congress? ANS When an idea for a bill originates from an individual or business outside of Congress, the idea must first be submitted to a member of congress (or MOC). This

MOC may be either a senator or representative.

5. What is the Foreign Corrupt Practices Act of 1977?

ANS Establishes the rules for preventing bribery and penalizing occurrences of it within corporations that exist in several countries.

6. What are the steps in the strategic planning process?

ANS Environmental Scan- ning, Formulating strategy, Implementing strategy, Making adjustments to strategy

7. Democratic Leadership Style

ANS a type of leadership style in which members of the group take a more participative role in the decision-making process.

8. Coaching Leadership Style

ANS Coaching leaders are very effective in settings where performance or results need improvement. They help others to advance their skills; they build bench strength, and provide a lot of guidance. The coaching lead- ership style is most effective when followers are more responsible, experienced, and agreeable.

9. Transactional Leadership Style

ANS a style of leadership that focuses on su- pervision, organization, and performance; transactional leadership is a style of leadership in which leaders promote compliance by followers through both rewards and punishments.

16. Short-form Application

ANS Consists of a pre-made form designed to obtain general information. Short- form applications are best used for positions that do not require a large number of specialized skills or for individuals within the organiza- tion, attempting to change positions.

17. Long-form Application

ANS Is a pre-made form designed to obtain a more in-depth idea of an individual's skills or knowledge. A long form application is the most commonly used general employment application.

18. General Employment Application

ANS Requests information related to employ- ment history, education, and overall background.

19. Job-Specific Employment Application

ANS Is used by organizations needing to fill a large number of similar positions or hire individuals for similar positions on a regular basis.

20. Weighted Employment Application

ANS Are forms requesting answers to ques- tions or information related to specific requirements necessary to perform the duties associated with the position. Each requirement is then assigned a weight based on its importance to the position.

21. What are the HR professional's primary role in assisting a department

with conducting an effective interview? ANS To offer any requested advice on preparing for and setting up interviews.

22. Contrast Bias

ANS Unconsciously contrasting other candidates with the first can- didate interviewed.

23. Cultural Noise Bias

ANS Occurs when the candidate responds with pointed an- swers that are aimed at making the interviewer happy rather than answering in a natural way.

24. Halo Bias

ANS Occurs when the interviewer considers only one quality of the candidate over his other qualities, such as shyness that might detract from the candidate's true record of achievement.

25. Leniency Bias

ANS Means the interviewer is lenient in regard to a candidate's potential weakness.

26. Negative Emphasis Bias

ANS Means the interviewer places too much weight on the candidate's weakness.

27. Knowledge-of-Predictor Bias

ANS Means the interviewer responds to the candi- date based on knowledge about the candidate's scores on evaluative tests that were given.

28. Stereotyping Bias

ANS Occurs when an interviewer bases a personal opinion about a candidate on

35. What are the four categories of intervention, according to Cummings and

Worley? ANS Techno-structural, Human Resource Management, Human Process, and Strategic.

36. In the workplace, the Meyers-Briggs Type Indicator is primarily used for

what? ANS It is primarily used as a personality test to enable individuals to understand their personalities better and to assist staff members in appreciating how to interact with their co-workers more effectively.

37. What does the instructional design acronym known as ADDIE stand

for? ANS Analysis, Design, Development, Implementation, and Evaluation.

38. What is facilitation?

ANS Facilitation is an instructional method that enables em- ployees to work together on problem-solving techniques while under the guidance of a facilitator, or third-party expert in helping different groups interact effectively.

39. What is a vestibule training method?

ANS An instructional training method in which employees are trained in simulated situations.

40. What is the purpose of total rewards strategy?

ANS The purpose is one of reviewing the budget and finding out how much of the budget is available for establishing rewards that will retain employees.

41. What major factors are in the process of establishing employee com-

pensation within an organization? ANS IRS Rules, Conditions in the labor market, Current economic situations, and competition from other companies.

42. What is covered by FLSA?

ANS Minimum wage, Exemption conditions for em- ployees, Work conditions for children under 18, and overtime.

43. What does The McNamera-O'Hara Service Contact Act cover?

ANS Federal Service Contracts

44. What is a benchmark position?

ANS Benchmark positions are simply the types of positions that are common within all organizations, such as administrative assistants.

45. How long does someone need to be employed at a company before they

are eligible for FMLA leave? ANS 12 months (does not have to be consecutive).

46. COBRA states that a company must provide a defined amount of health

benefits for its it employees, if it employs at least how many employees? ANS 20

47. What is a deferred employee compensation program?

ANS Deferred compen- sation is a portion of an employee's compensation that is set aside to be paid at a later date. In most cases, taxes on this income are deferred until it is paid out. (Ex ANS retirement plans, pension plans, & stock-option plans).

plan.

54. What does the Glass Ceiling Act say are the 3 barriers to women advanc-

ing in the workplace? ANS Internal, Societal, and Governmental

55. According to the NLRA, the right to engage in concerted activities for the

purpose of collective bargaining or other mutual aid or protection , is provided to which types of employees? ANS All employees of an organization and are not limited to to specific employees within an organization.

56. What is featherbedding?

ANS Featherbedding occurs when a union requires that an otherwise obsolete job remains intact at an organization in order to avoid terminating an employee.

57. What can an employer do when employees begin to unionize?

ANS Employers may explain problems with unionization to employees. The employer is not allowed to prevent unionization.

58. Risk areas that the human resource professionals are responsible for

considering include? ANS Workplace privacy, legal compliance, safety and health, and business continuity.

59. What is the purpose of a human resources audit?

ANS A human resources audit can be fairly extensive in scope--to consider overall improvements that can be made within the company.

60. The Drug-Free Workplace Act of 1988 applies to what kind of organi-

zation? ANS The Drug-Free Workplace Act of 1988 applies specifically to federal contractors, making at least $100,000.

61. What act requires workplaces to maintain an environment that is "free

from recognized hazards that are causing or are likely to cause death or serious physical harm? ANS OSHA

62. What is not stated as a category of OSHA violation?

ANS Accidental

63. What is the minimum number of employees a company must have in order

to be required to fill out OSHA forms? ANS 11

64. What is the purpose of the Needlestick Safety and Prevention Act?

ANS To require that employers report workplace injuries as a result of sharp objects and consider replacement objects to prevent further injuries. The Needlestick Safety and Prevention Act does not require that organizations to remove specified sharp objects but instead recommend the replacement of dangerous sharp objects.

65. What is the HR professional's responsibility when complying with ADA?-

70. What are the steps for Enterprise Risk Management?

ANS ERM are focused primarily on identifying risk and pursuing means of managing and reducing risk. ERM does not include identifying the employees who are responsible for the risk.

71. What did the Herzberg Motivation Hygiene Theory conclude?

ANS That giving employees the opportunity to excel in something will bring overall success to the entire company.

72. Define the McGregor X an Y Theory

ANS McGregor X an Y Theory broke man- agement up into two different styles, called X and Y. X-style manager is focused more on close supervision and control of employees, while the Y-style manager seeks to create a rewarding work environment for all employees.

73. What was B.F. Skinner's behavioral theory based off of?

ANS He concluded that all human actions can be conditioned through behavior modification, or differ- ent types of behavioral reinforcement.

74. According the Genetic Information Nondiscrimination Act, are employers

responsible for genetic information obtained on accident? ANS No. However, employers have no legal right to make decisions or change the employee's work situation based on the information accidentally obtained.

75. The Training Adjustment Assistance program was designed for what?

ANS To specifically provide assistance to employees who have lost their jobs due to a rise in the number of imports. In other words, when import levels shift and companies in the US begin importing items that were previously manufactured here, the manufacturing might close as a result leaving employees without jobs.

76. Define Succession Planning

ANS Succession planning is a process for identify- ing and developing new leaders who can replace old leaders when they leave, retire or die. In business, succession planning entails developing internal people with the potential to fill key business leadership positions in the company.

77. What is an employer brand?

ANS An employer brand is simply a clear indication of a company's identity; it is essentially the unique characteristic(s) that define a company.

78. How do conditions in the labor market affect a company?

ANS The conditions in the labor market can influence the available candidates for open positions in a company.

79. Why was The Foreign Corrupt Practices Act created?

ANS The Foreign Corrupt Practices Act was created specifically to prevent American businesses from bribing foreign governments.

work-related injuries or problems that employees sustain on the job.

86. What "golden" benefits do executive compensation plans include?

ANS Gold- en Parachute, Golden Handshake, Golden Handcuffs, and Golden Life Jacket

87. Define golden parachute.

ANS A large payment or other financial compensation guarantee to a company executive should the executive be dismissed as a result of a merger or takeover.

88. Define golden handshake.

ANS A payment given to someone who is laid off or retires early.

89. Define golden handcuffs.

ANS Used to refer to benefits, typically deferred pay- ments, provided by an employer to discourage an employee from taking employ- ment elsewhere.

90. Define golden life jacket.

ANS An exceptional compensation package offered by the acquiring company to the top executives of the company being bought. The offer is meant to keep those executives interested in retaining their positions.

91. What is the role of HR regarding ERISA?

ANS Handling and managing the pension funds that the organization provides for retirement accounts.

92. Once a company has filed ERISA records, how long are they required to

maintain those records according to the Department of Labor? ANS A minimum of 6 years.

93. What does the Personal Responsibility and Work Opportunity Reconcil-

iation Act establish guidelines for? ANS Retaining and reporting employee identifi- cation records.

94. What type of voluntary benefits plan relies on unknown benefits that

result from investments that are gained on the retirement account? ANS Defined Contribution

95. What are some of the collective bargaining strategies?

ANS Single-unit bar- gaining, Parallel bargaining, Multi-employer bargaining, and Multi-Unit bargaining

96. True or False

a sit-down strike is illegal ANS True

97. What is common situs picketing?

ANS Is the result of two employers sharing a business location when one of the employers is engaged in a labor dispute with employees.

98. What is an unfair labor practice?

ANS Any activity from an employer or a union that hinders employees from

contributory negligence, and the voluntary assumption of risk that traditionally reflected worker's compensation guidelines in the U.S.

104. What does OSHA 300 represent?

ANS Log of Work-Related Injuries and Illness- es

105. What is a disadvantage to e-learning?

ANS It has a higher dropout rate than other forms of training.

106. Which part of a SWOT analysis reflects the external environment?

ANS Op- portunities & Threats

107. What is secondary risk?

ANS Risk created by a risk management tactic.

108. When supporting a huge business initiative that will add 90 new posi-

tions in 90 days, what is HR's first best course of action in supporting the initiative? ANS Review all job descriptions, current salaries & benefits, and existing policies to support the initiative.

109. In the planning and implementation process of a huge business ini-

tiative that will affect many employees, what is the most important ethical concern for HR? ANS Having a clear understanding of the business case for the initiative and building a robust communication campaign.

110. BC#

Leadership and Navigation ANS the ability to direct and contribute to initiatives and processes within the

organization

111. BC#

Ethical Practice ANS the ability to integrate core values, integrity and accountability throughout all organizational and business practices

112. BC#

Business Acumen ANS the ability to understand and apply information with which to contribute to the organization's strategic plan

113. BC#

Relationship Management ANS the ability to manage interactions to pro- vide service and to support the organization

114. Critical Evaluation

ANS the ability to interpret information with which to make business decisions and recommendations

115. BC#

Consultation ANS the ability to provide guidance to organizational stake- holders

116. BC#

Global and Cultural Effectiveness ANS the ability to value and to consid- er the perspectives and backgrounds of all parties in global business

117. BC#

Communication