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33. Organizations undertake HR audits for fundamental reason: To ensure effective utilization
of human resources.
34. One of the basic cost to be considered for recruitment metric are: Screening cost
35. Prescribed form of the employee's rights is explained in terms of Occupational Health and
Safety Act,
36. Compensation systems should be reviewed for: equity, competitiveness and
effectiveness
37. Kaplan and Norton describe the innovation of the balanced scorecard as follows: Financial
measures tell the story of past events
38. Many legal issues arise out of performance problems, the audit will review or recommend
standard items such as: A performance management/performance improvement plan
Unit: 1
1. Human resources are a relatively modern management term, coined in the 1960. The
origins of the function arose in organizations that introduced 'welfare
management' practices and also in those that adopted the principles of
scientific management'.
2. Personnel management is more administrative in nature.
3. Human resource planning is the term used to describe how companies
Ensure that their staff comprise of Right person for doing the job.
4. It is process of acquiring and utilizing Human Resource in the organization.
5. Objectives of HRP:
7. process of HRP:
a) analyze organizational plans
b) forecast demand for Human Resources
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9. staffing process:
10. Recruitment and staffing are crucial factors which define _________ of
An organization. Success
11. 6. On boarding is the process of helping new employees to get to know the
_________ Of the organization. Working Culture
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MBO PROCESS
UNIT: 2
1. The HRD audit is divided into three components:
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9. Role analysis and Role efficacy are sub systems of work system.
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UNIT: 3
1. According to Dr. Parimalendu Bandyopadhyay, HR Audit means the
systematic verification of job analysis and design, recruitment and selection,
orientation and placement, training and development, performance appraisal and
job evaluation, employee and executive remuneration, motivation and morale,
participative management, communication, welfare and social security, safety and
health, industrial relations, trade unionism, and disputes and their resolution.
2. Human Resource Audit is a systematic assessment of the strengths, limitations, and
developmental needs of its existing human resources in the context of organizational
performance (Flamholtz, 1987).
3. HR Audit verifiers performance appraisal system used in the organization.
4. HR Audit does not involve verification of recruitment and selection process. F
5. HR Audit is useless tool for the organizations decreases the effectiveness of HR
functions of an organization. F
6. Financial audit is for financial functions while HR Audit is for HR Functions.
7. HR Audit helps to find out the reasons for low productivity & improve HRD
strategies. T
8. Which of the following are not accounted for by human resource audits?
(a) Skills of its employees (b) abilities of its employees
(c) Limitation of its employees (d) habits of its employees
UNIT: 4
1. An HR audit is like an annual health check, says EJ Sarma.
2. Conducting HR Audit
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UN IT: 5
1. According to Socrates, the unexamined work-life is not worth living. Pfeffer
(1998) identified seven practices of successful organisations on the basis of his review
of various research studies. It followed properly, these dimensions, as written
below, ensure profits through people.
Employment Security
Selective hiring of new personnel
Self managed teams and decentralization of decision making as the basic
principles of organizational design
Comparatively high compensation contingent on organizational performance
Extensive training
Reduced status distinctions and barriers including dress, language, office
arrangements and wage differences across levels
Extensive sharing of financial and performance information throughout the
organisation.
2. recruitment refers to the process of attracting, screening, and selecting qualified
people for a job at an organization.
3. Various steps in the audit in recruiting involve:
Applicant pool generation
Employment advertising
Employee referral programs
Applicant screening
Testing
Employment interviewing techniques and processes
Stress testing
HR audit and recruitment
4. Results of an analysis conducted by Mary L. Connerley, Kevin D. Carlson, Ross L.
Mecham on 391 applicant pools representing 18 different job families suggest that
applicant pool quality can vary substantially within and across job families.
5. Grade Point Average (GPA)
6. AIDA as follows:
Attention catch the attention of the target audience
Interest hold the interest until the whole message is read
Desire Arouse desire for the opportunity offered
Action Stimulate action in the form of applications
7. Applicant screening covers background checks.
8. Application testing deals with tests for the entire application.
9. Tests and preliminary tests play a vital role in interviewing process.
10. Proficiency test seeks to measure the skills and abilities.
11. Achievement tests aims to measure the knowledge and proficiency the candidate
already posses in his field.
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12. Dexterity tests examine how quickly and efficiently the candidate can learn about the
nature of his job.
13. Movement tests seek to measure the speed and accuracy of the candidate.
14. A good test should always ensure
Consistency
Assessment of the candidate in all aspects
Suitability
Standardization
Establishment of standards.
15. Phone interviews are generally conducted in two steps.
The first step is with a recruiter in Human Resources.
The second step is a technical interview, usually with one of the
people you would be working with.
16. Stress testing deals with the quality of the application in the environment.
17. Staffing is a term that refers to the management of employee schedules.
18. recruitment involves the process of identifying and hiring best-qualified candidate
(from within or outside of an organization) for a job vacancy
19. Workeforce starts with analysis of the strategic position of the business.
20. Staffing is the process of a acquiring, deploying and retaining workforce of
sufficient quantity and quality to create positive impacts on the organization's
effectiveness.
21. Process for an interview
Interview should be effectively planned and executed properly.
Getting information about his background.
Formulating a question plan.
Candidate should be made comfortable during the interview.
Drawing the best from candidates.
Concluding the interview
22. Professional Employment Organization (PEO)
23. "In today's labor market, new employees know they can quit and start
somewhere else tomorrow," says Mel Kleiman, author of Hire Tough,
Manage Easy How to Find and Hire the Best Hourly Employees
24. Orientation should be geared toward reinforcing new employees' buying decision.
25. The process of new employee orientation strengthen the new employees
relationship with an organisation.
26. The employee workshop focuses on identifying harassment, understanding the
complaint procedure, and avoiding retaliation.
27. Diversity training usually includes explanation about how people have different
perspectives and views.
28. Individual coaching sessions are provided to modify inappropriate behavior when
termination is unwarranted.
29. Benefit administration involves the creation and management of employee
benefits.
30. Higher the employee competitiveness, higher is the benefit to the organization.
Unit: 6
1. WERS: workplaces employments relation survey 1998.
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17. There are primarily two ways to offer team based incentives, viz. team
based and gain sharing. T
18. The workers should be given _________ the normal salary for the time they work
overtime.
(a) Same as
(b) Double
(c) treble
(d) four times
19. In a good team building system, the team leader has good people skills and is
committed to individualistic approach. F
20. Team members should know how to examine team and individual errors without
personal attacks.
Unit: 7
1. HR Planning is the process by which management ensures that it has the
right personnel, who are capable of completing those tasks that help the
organization to accomplish its goals.
2. HR Audit verifies all areas of HR except training. F
3. HR Audit involves verification of HR Planning.
4. Audit of Training suggests future improvements based on past activities
measurement. T
5. raining increases productivity of the employees but at the same time
decreases their efficiency. F
6. HR audit includes audit of managerial compliance of the following except
Personnel Policies,Operational Departments , Procedures ,Legal Provisions
7. Audit of Managerial Compliance must be performed once in life time of the
company.F
8. Audit of HR Climate
Employee Turnover
Absenteeism
Safety Records
Attitude Surveys
9. Organizations should keep records of accidents in the workplace so as to avoid the
same in future.
10. Unauthorized Absence costs money and reflect dissatisfaction with
organisation. T
11. In order to overcome the competition, revision of corporate strategies should
be frequently pursued.
12. Corporate strategies gains competitive advantage through appropriate HR
policies. T
unit:8
1.
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2. Description of the staff of the company : The complete staff can be described by:
hierarchic levels
years of service
qualification
sex
nationality
the number of permanent and temporary employees, interns and physically or
mentally challenged employees indexes of personnel rotation and absenteeism
3. Job analysis :The various indicators of Job analysis are as follows:
The number of described posts
Occupants per post
Degree to which the job description cards have been updated
The degree of detail in the job description cards
The methods used to analyze and describe the jobs.
4. The training indicators are as follows:
the procedures followed
frequency to which personnel training needs are analyzed
the criteria followed in the training programs
the evaluation criteria of the efficiency of the training programs
the percentage of the HR budget dedicated to training
the average number of hours of training per employee
The percentage of employees that participate in training programmes by work place
categories.
5. Development of professional careers
the percentage of people promoted per number of employees;
the percentage of vacancies covered internally and externally and the average time
per employee it takes to receive a promotion.
6. While conducting HR audit, it is mandatory to audit all the functions. f
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unit: 9
1. The purpose of the audit is to reveal the strengths and weaknesses in the non-profit human
resources system, and any issues needing resolution.
2.
5.
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6. Many leading organizations use their performance management systems as a key tool for
aligning INSTITUTIONAL, UNIT AND EMPLOYEE performance.
7. Performance management systems are key tools for aligning business goals. T
8. This system measures indicators divided into four categories which are as follows:
Financial
Customer
Internal processes
learning and growth
9. There is set format of HR scorecard irrespective of type of business. F
10. Which of the following is not a category measured by HR scorecard system?
(a) Strategic
(b) Customer
11. financial indicators, emphasize more on the KPI.
12. The balanced scorecard is a strategic planning and management system that is used widely
in various organizations including government, and non-profit organizations worldwide for
following main objectives:
To align business activities to the vision and strategy of the organization
To improve internal and external communications
To monitor organization performance against strategic goals.
13. Kaplan and Norton describe the innovation of the balanced scorecard as follows:
"The balanced scorecard retains traditional financial measures. But financial measures tell the story
of past events, an adequate story for industrial age companies for which investments in long-
term capabilities and customer relationships were not critical for success. These financial
measures are inadequate, however, for guiding and evaluating the journey that information age
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companies must make to create future value through investment in customers, suppliers,
employees, processes, technology, and innovation."
14. When effectively implemented, the balanced scorecard transforms strategic planning from an
academic exercise into the nerve center of an organization. T
15. Which of the following is not true with respect to the description given by Kaplan and Norton
about the innovation of the balanced scorecard?
a) The balanced scorecard retains traditional financial measures.
b) Financial measures tell the story of current events,
16. HR Scorecard: It is a tool for measuring the contribution of human resource management practices
to the financial performance of an organization.
17. Balanced Scorecard: It is strategic planning and management system used to align business
activities to the vision statement of an organization.
18. KPI: stands for Key Performance Indicators. They are quantifiable
unit:10
1. Competency Management can be understood as a strategy and approach to work structurally on
the development of employee competencies in order to increase the performance of an
organization.
2. Competency Management can help you direct the changes in line with the organizations vision,
mission as well as strategic objectives - whether the organization wants to exclusively enhance
its performance, or completely transform its way of doing business.
3. Competency Management may also contribute to the improvement of the organizations
overall performance, and can build an environment where the employees are motivated.
4. Competency framework is a method of describing the underpinning values that shape and
define the culture of an organisation.
5. There are two generic frameworks that an organisation can use and the auditor can check:
Management Competency Framework
Generic Competency Framework
6. Competency management assists in providing management with impartial information. T
7. Which of the following is not true with respect to the HR audit framework?
a) Informs prospective employees about what is expected of them
b) Informs staff of the attitudes and behaviours encouraged by the organisation.
c) Informs staff of what they can expect from their managers
d) Supports staff at some specific levels in their development
8. generic competency framework applies if an employees job does not include supervisory or
management responsibilities.
9. There are three ways in which competencies models may be developed:
1. Behavioral Indicators: Behavioral indicators describe the behaviors, thought patterns,
abilities and traits that contribute to superior performance.
2. Evaluative Competency Levels: Exceptional competencies of high performers are set as
standards for evaluating competency levels of employees.
3. Competencies Describing Job Requirements: This approach is useful for organizations having
multiple competency models
10. The approach for developing a competency framework for a particular role is as proposed
below:
Understand strategic business context
Detail role description for position
Develop competency framework
Validate the competency framework
11. The assessment centre is a powerful tool in the hands of the management for selection and
development. As a selection tool it can be used for management promotions, fast tracks
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1. There are four elements in the performance management process against which managers
are assessed. These are:
Strategic Contribution: What managers need to do in terms of the achievement of
targets;
Role Performance: What managers need to do in terms of maintaining and continually
improving their core role;
Common Responsibilities and Behaviors: A measure of behavior in accordance with
company values; and
Competency Assessment: What managers need to do in terms of developing their
underlying skills and knowledge.
2. Various human resource systems in an organization can be integrated with competencies as the
focal point.
3. Competencies are demonstrated in a job success. F
4. Succession Planning: A process for identifying and developing internal personnel with the
potential to fill key or critical organizational positions
unit:11
1. Human Resources Audit Checklist can be a useful tool for HR audit. T
2. Which of the following is not included in the areas of HRD Audit evaluation?
(a) recruiting new employees
(b) safeguarding confidential information of the employees
(c) providing increased leaves to the employees
3. List of various Central Labour Acts
1. Laws related to Industrial Relations
A. The Trade Unions Act, 1926
The Trade Unions (Amendments) Act, 2001
B. The Industrial Employment (Standing Orders) Act, 1946
The Industrial Employment (Standing Orders) Rules, 1946
C. The Industrial Disputes Act, 1947
2. Laws related to Wages
A. The Payment of Wages Act, 1936
The Payment of Wages Rules, 1937
The Payment of Wages (Amendment) Act, 2005
B. The Minimum Wages Act, 1948
The Minimum Wages (Central) Rules, 1950
C. The Working Journalist (Fixation of Rates of Wages) Act, 1958
Working Journalist (Conditions of Service) and Miscellaneous
Provisions Rules, 1957
D. The Payment of Bonus Act, 1965
The Payment of Bonus Rules, 1975
3. Laws related to Working Hours, Conditions of Services and
Employment
A. The Factories Act, 1948
B. The Dock Workers (Regulation of Employment) Act, 1948
C. The Plantation Labour Act, 1951
D. The Mines Act, 1952
E. The Working Journalists and other Newspaper Employees
(Conditions of Service and Misc. Provisions) Act, 1955
The Working Journalists and other Newspaper Employees
(Conditions of Service and Misc. Provisions) Rules, 1957
F. The Merchant Shipping Act, 1958
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UNIT: 12
1. In Pareek and Raos model of HRD department the objective of this department is
to facilitate the environment of learning and change in the organizations so as to
achieve organizational goal.
2. The nature of interventions undertaken by the HRD departments includes:
Cultural change through new performance management systems
TQM based interventions (in most cases these are undertaken also by a separate
group of Professionals)
Survey feedback
Role clarity and role negotiation exercises
Training
Career planning and succession exercise
Assessment centers and promotion policies
Visioning and value clarification exercises
Performance coaching workshops
Team building interventions
3. Jomon (1997) conducted a research study to identify the factors influencing the use of
audit as a change tool. He studied four organizations that have got them audited. They
were studied about three years after the first audit. He tried to assess the influence of the
following variables in the effective use of HRD Audit:
Management styles
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Organizational characteristics
Profile of the HRD Department
Competency levels of HRD Department
CEO commitment
HRD Chief's commitment
4. Jomon's study indicated the following in each of the four companies
unit:13
1. The main rationale behind the human resource valuation can be understood by going
through the following discussion.
Guarantee to Customers/Clients
Establishing Investor Confidence
Planning Outgo
Monitoring Performance
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Employee Motivation
Costing Exercise
Assessing Segment Efficiency
2. The human resource valuation system cannot be considered to be a complete system
of accounting unless it is followed by an equally competent system of auditing.
3. Audit of human resources could help in finding out the efficiency of every segment.
8. Rewards evaluation model suggests a five steps approach for assessing the value of an
individual to the organisation. These steps are discussed as under:
Step 1: Forecasting the period will remain in the organisation, i.e., his expected
service life;
Step 2: Identifying the services states, i.e., the roles that the might occupy including, of
course, the time at which he will leave organisation;
Step 3: Estimating the value derived by the organisation when a person occupies a
particular position for a specified time period;
Step 4: Estimation of the probability of occupying each possible mutually
exclusive state at specified future times; and
Step 5: Discounting the value at a predetermined rate to get the present value of
human resources.
9. Morse (1973) suggested this approach. Under it the value of human resources is
equivalent to the present value of the net benefits derived by the enterprise from the
service of its employees. The following steps are involved under this approach:
1. The gross value of the services to be rendered in future by the
employees in their individual and collective capacity.
2. The value of direct and indirect future payments to the employees is
determined.
3. The excess of the value of future human resources over the value of
future payments is ascertained. This represents the net benefit to the
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15. Under the present value of future earning model, the training expenses incurred by the
company on its employees are not considered.
16. Human capitals valuation techniques used in most organisations dates back to the
industrial era. T
17. Only those employee competencies that are relevant to the HR issues should be valued. F
18. Careful usage of skill-centric automation technology is a proven method to increase retention
by better reorganisation. T
19. Retirement Benefit: A monthly payment made to someone who is retired from work.
unit:14
1. An HR audit is like an annual health check. It plays a vital role in instilling a sense of confidence
in the management and the HR functions of an organisation. E J Sarma
2. In India, the prevalence of HR Audit has been quite popular since 1970s. It first promulgated by
BHEL (Bharat Heavy Electrical Ltd), a leading public enterprise, during the financial year
1972-73. Later it was also adopted by other leading public and private sector
organisations in the subsequent years. Some of them are Hindustan Machine Tools Ltd.
(HMTL). Oil and Natural Gas Corporation Ltd.(ONGC), NTPC, Cochin Refineries Ltd. (CRL),
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5. Which of the following would an auditor never suggest as regards the employee training?
(choose the right option)
a) Develop a training policy in accordance with the business plans of the company, but
do not tell it to every employee in the organisation.
b) All employees should work closely with the line managers to determine training needs.
c) Impact of training should be evaluated.
d) Make it mandatory for every person attending training to give a presentation and
submit an action plan on how inputs from training can be implemented.
6. Senior executives should be oriented towards the significance of the HRD function
7. An abstract of the personnel policies should be given to all employees at the time of
APPOINTMENT
8. Which of the following is not a part of an HR audit? (Choose the right answer from the
options given below)
(a) Finding the strengths and weaknesses of HRD staff
(b) Auditing potential appraisal and promotions
(c) Administer HRD audit questionnaire
(d) Pacify trade unions
9. A job rotation policy should be tune with the departmental goals. F
10. Core Competency: A core competency is a specific factor that a business sees as being central
to the way it, or its employees, works.
11. Intermittent: Stopping and starting at intervals.
UNIT:15
1. an assessment requires a 360 degree feedback, and, according to Ulrich, usually employs
the following five steps:
Developing a model of competencies: Before embarking on an assessment of competence,
it is necessary to first determine what arethe competencies that make a successful HR
professional.
Collect data using the model
Summarized data and give feedback to the HR professionals
Create action plans
Continuous improvement
2. Always all the functions of HR are covered in the audit irrespective of purpose of audit. F
3. Auditing HR function and the HR department may be an integration of individual HR
competencies.
4. Competence for HR function is demonstrated by an extensive audit of all its ASPECTS.
5. Which of the following is not a human resource cost? (choose the right option)
a) hardware maintenance cost
b) labour cost
c) overtime
d) training cost
6. It is not necessary for the workforce to fit in the companys business objectives. F
7.
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