Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how it relates to the management process.
14) Approximately what percentage of people in the United States work for small firms?
A) 10%
B) 25%
C) 50%
D) 80%
Answer: C
Explanation: C) More than half the people working in the United States work for small firms. Small businesses as a group also account for most of the 600,000 or so new businesses created every year.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how it relates to the management process.
15) ________ is the right to make decisions, to direct the work of others, and to give orders.
A) Leadership
B) Authority
C) Management
D) Responsibility
Answer: B
Explanation: B) The right to make decisions, to direct the work of others, and to give orders is known as authority.
Difficulty: Easy
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how it relates to the management process.
16) Which of the following best defines line authority?
A) management over a small staff in a public firm
B) management with flexible decision-making powers
C) a manager's right to advise other managers or employees
D) a manager's right to issue orders to other managers or employees
Answer: D
Explanation: D) Line authority is a manager's right to issue orders to other managers or employees, which creates a superior-subordinate relationship. Staff authority refers to a manager's right to advise other managers or employees, which creates an advisory relationship.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how it relates to the management process.
17) In most organizations, human resource managers are categorized as ________, who assist and advise ________ in areas like recruiting, hiring, and compensation.
A) staff managers; line managers
B) line managers; middle managers
C) line managers; staff managers
D) functional managers; staff managers
Answer: A
Explanation: A) Human resource managers are usually staff managers. They assist and advise line managers in areas like recruiting, hiring, and compensation. However, line managers still have human resource duties.
Difficulty: Hard
Chapter: 1
Objective: 1
AACSB: Analytical Thinking
Learning Outcome: 1.1 Explain what human resource management is and how it relates to the management process.
18) Gerard is authorized to direct the work of subordinates and is responsible for accomplishing the organization's tasks. Gerard is most likely a ________.
A) training specialist
B) staff manager
C) line manager
D) recruiter
Answer: C
Explanation: C) A line manager is authorized to direct the work of subordinates and is responsible for accomplishing the organization's tasks. Unlike line managers, staff managers lack the authority to issue orders down the chain of command. Recruiters and training specialists are specialties within the HR department, and HR managers are usually staff managers rather than line managers.
Difficulty: Moderate
Chapter: 1
Objective: 1
AACSB: Application of Knowledge
Learning Outcome: 1.1 Explain what human resource management is and how it relates to the management process.
19) Which of the following is NOT considered one of the line supervisor's responsibilities for effective human resources management under the general headings outlined by a major company discussed in the textbook?
A) protecting employees' health and physical condition
B) changing employees' attitudes regarding work
C) developing the abilities of each person
D) interpreting the company policies and procedures
Answer: B
Explanation: B) The direct handling of people has always been part of every line manager's duties, from the president down to first-line supervisors. One major company outlines its line supervisor's responsibilities for effective human resource management under these general headings: placing the right person in the right job; starting new employees in the organization (orientation); training employees for jobs that are new to them; improving the job performance of each person; gaining cooperation, and developing smooth working relationships; interpreting the company's policies and procedures; controlling labor costs; developing the abilities of each person; creating and maintaining department morale; protecting employees' health and physical condition.