Unit 2 - Practice Quiz

HRM203

1 Which of the following best defines Human Resource Planning (HRP)?

A. The process of forecasting the future human resource requirements of the organization and determining how the existing human resource capacity can be utilized to fulfill these requirements.
B. The process of strictly monitoring employee attendance and payroll calculations.
C. The statistical analysis of market products and sales revenue.
D. The method of conducting exit interviews for employees leaving the organization.

2 In the context of HR forecasting, which of the following is considered a Quantitative Method?

A. Delphi Technique
B. Managerial Judgment
C. Trend Analysis
D. Nominal Group Technique

3 Which qualitative method involves a panel of experts who anonymously answer questionnaires in multiple rounds to reach a consensus?

A. Nominal Group Technique
B. Delphi Technique
C. Brainstorming
D. Managerial Judgment

4 When conducting Ratio Analysis for HR forecasting, what is the primary assumption?

A. That the relationship between a causal factor (e.g., sales volume) and the number of employees required remains constant.
B. That the external labor market will always have a surplus of candidates.
C. That technology will replace all human labor in the next 5 years.
D. That managerial judgment is superior to statistical data.

5 In Regression Analysis, if represents the number of employees and represents the production output, which equation represents the relationship?

A.
B.
C.
D.

6 Which method of HR forecasting is also known as the 'Bottom-Up' approach?

A. Trend Analysis
B. Unit Forecasting / Managerial Judgment
C. Regression Analysis
D. Markov Analysis

7 What is the primary purpose of Markov Analysis in HRP?

A. To calculate the exact salary for new recruits.
B. To analyze the external political environment.
C. To forecast the internal supply of manpower by tracking the movement of employees through various job states.
D. To determine the psychological profile of candidates.

8 A Transition Probability Matrix describes:

A. The likelihood of an employee moving from one job position to another or leaving the organization.
B. The probability of the company going bankrupt.
C. The correlation between marketing spend and HR budget.
D. The ratio of male to female employees.

9 Which of the following is an example of an External Supply factor in HRP?

A. Current employee skill inventory
B. Promotability of current managers
C. Demographic trends in the labor market
D. Internal turnover rates

10 What is a Skill Inventory?

A. A list of all tools and machinery in the factory.
B. A detailed record of an individual employee's education, skills, experience, and career aspirations.
C. A financial report of the HR department.
D. A forecast of the national unemployment rate.

11 Which forecasting technique involves face-to-face meetings where experts generate ideas, discuss them, and then vote to prioritize them?

A. Delphi Technique
B. Nominal Group Technique
C. Scatter Plot
D. Time Series Analysis

12 In Work Study Techniques, the manpower requirement is calculated based on:

A. The mood of the supervisor.
B. Standard time required to perform a task and the planned workload.
C. The previous year's budget.
D. Competitor analysis.

13 The Scatter Plot method is primarily used to:

A. Determine the hierarchy of the organization.
B. Visually identify the relationship or correlation between two variables (e.g., employment level and business activity).
C. Write job descriptions.
D. Conduct performance appraisals.

14 What is a Replacement Chart used for?

A. To track when office equipment needs to be replaced.
B. To visually display who is currently in key positions and who is ready to replace them.
C. To calculate the depreciation of assets.
D. To map out the external recruitment agencies.

15 Which of the following represents a Challenge in HR Planning?

A. Availability of accurate data
B. Rapid technological changes
C. Uncertainty in the business environment
D. All of the above

16 The formula is used in:

A. Workforce Analysis
B. Work-load Analysis
C. Regression Analysis
D. Delphi Analysis

17 If an organization identifies an HR Surplus (excess supply), which action is appropriate?

A. Aggressive hiring
B. Increasing overtime
C. Downsizing or offering voluntary retirement schemes (VRS)
D. Outsourcing work

18 If an organization identifies an HR Deficit (shortage), which strategy is appropriate?

A. Layoffs
B. Recruitment and training
C. Early retirement packages
D. Reducing work hours

19 Which statistical concept measures the strength of the relationship between staffing levels and a business factor, denoted by ?

A. Standard Deviation
B. Correlation Coefficient
C. Variance
D. Mean

20 PESTLE Analysis is often used in the environmental scanning phase of HRP. What does the 'T' stand for?

A. Time
B. Technological
C. Training
D. Teamwork

21 Which of the following is an example of Wastage Analysis?

A. Calculating the amount of raw material wasted.
B. Analyzing labor turnover and attrition rates.
C. Evaluating time wasted during breaks.
D. Reviewing waste management policies.

22 The Indexation Method of forecasting typically involves:

A. Matching employment growth with a specific index like sales growth or production growth.
B. Creating an index of employee names.
C. Indexing files in the HRIS.
D. Ranking employees by performance.

23 Which HR Planning model focuses on the flow of people in, through, and out of the organization?

A. Input-Output Model
B. System Model
C. Production Model
D. None of the above

24 Resistance to change by employees or unions is considered a(n) ____ challenge in HRP.

A. Organizational
B. Environmental
C. Technological
D. Demographic

25 Zero-Base Forecasting implies:

A. Forecasting with zero budget.
B. Assuming that current staffing levels are zero and justifying every position from scratch.
C. Forecasting for the year 2000.
D. Using zero quantitative methods.

26 What is the role of HRIS (Human Resource Information System) in HRP?

A. It conducts interviews automatically.
B. It provides accurate and timely data for forecasting supply and demand.
C. It replaces the HR Manager.
D. It is only used for payroll.

27 Which of the following is a component of Supply Analysis?

A. Estimating the organizational goals.
B. Analyzing the current workforce demographics.
C. Defining the marketing strategy.
D. Setting sales targets.

28 In the context of the Labor Market Analysis (External Supply), 'Tight Labor Market' means:

A. High unemployment, easy to find workers.
B. Low unemployment, difficult to find workers.
C. Strict labor laws.
D. Low wages.

29 The Burks-Smith Model helps in determining:

A. The exact profit of the company.
B. The relationship between workload and staffing requirements specifically.
C. The marketing budget.
D. The legal compliance checklist.

30 Which forecasting method uses the Moving Average concept?

A. Qualitative Judgment
B. Time Series Analysis
C. Nominal Group
D. Delphi Technique

31 Gap Analysis in HRP is the process of:

A. Comparing the salary gap between men and women.
B. Comparing Forecasted Demand with Projected Supply.
C. Finding gaps in the office infrastructure.
D. Analyzing gaps in employee attendance.

32 When Globalization impacts HRP, it is primarily because:

A. It simplifies local hiring.
B. It requires managing a diverse workforce and understanding international labor laws.
C. It reduces the need for technology.
D. It eliminates competition.

33 The Top-Down Approach to HRP forecasting starts with:

A. Unit supervisors.
B. Top management setting aggregate goals.
C. External consultants.
D. Government mandates.

34 Which of the following describes the Stochastic Model in HRP?

A. A model based on certainty and fixed rules.
B. A model that incorporates random variations and probabilities (like Markov analysis).
C. A model based purely on intuition.
D. A model used only for finance.

35 In a regression equation , the variable is the:

A. Dependent Variable (e.g., Number of Staff)
B. Independent Variable (e.g., Sales Volume)
C. Constant
D. Error term

36 Job Analysis provides the foundation for HRP by:

A. Forecasting the stock market.
B. Defining the duties and skill requirements for jobs to be planned.
C. Calculating tax liabilities.
D. Organizing company parties.

37 Which of the following is an internal source of supply?

A. University Campus Recruitment
B. Competitors
C. Transfers and Promotions
D. Employment Agencies

38 The Delphi Technique avoids which common problem found in face-to-face group meetings?

A. Lack of expertise
B. Dominance by a single vocal individual
C. High cost
D. Slow data processing

39 In the context of HRP models, Optimization Models typically use:

A. Linear Programming
B. Gossip
C. Rough guesses
D. Standard deviation only

40 Which factor creates a time horizon challenge in HRP?

A. The difficulty of predicting events 5-10 years into the future.
B. The use of stopwatches in work study.
C. Employees arriving late.
D. Setting shift timings.

41 A Staffing Table is:

A. A piece of furniture in the HR office.
B. A pictorial representation of all organizational jobs and the number of employees currently occupying them.
C. A lunch schedule.
D. A list of external recruiters.

42 If the Attrition Rate is 10% and the current workforce is 500, how many employees are expected to leave in a year?

A. 10
B. 50
C. 100
D. 5

43 Which of the following is NOT a step in the HRP process?

A. Analyzing Organizational Objectives
B. Forecasting Demand
C. Forecasting Supply
D. Product Marketing

44 Computerized Forecasting is most beneficial when:

A. The organization is small (under 50 people).
B. The organization is large and data relationships are complex.
C. There is no budget for computers.
D. The HR manager prefers paper.

45 What is the result of Absenteeism on HRP?

A. It increases the effective supply of labor.
B. It requires planning for a reserve workforce or 'float'.
C. It reduces the need for recruitment.
D. It has no impact.

46 The Manpower Flow Model treats the organization as:

A. A static entity.
B. A system of stocks (current employees) and flows (movements in/out).
C. A family unit.
D. A purely financial asset.

47 Government regulations regarding Affirmative Action or Reservation quotas are part of which environment in HRP?

A. Legal/Political Environment
B. Technological Environment
C. Physical Environment
D. Internal Environment

48 When using Managerial Judgment for forecasting, a common bias is:

A. Standard Error of the Mean
B. Parkinson's Law (Work expands to fill the time available, leading to over-hiring).
C. Regression to the mean
D. Sampling error

49 Which method matches the following description: 'Experts are asked to submit their opinion independently. These are summarized and returned to the experts for a second round of opinions until consensus is reached.'

A. Nominal Group
B. Delphi Technique
C. Work Study
D. Simulation

50 Strategic HRP aims to align:

A. HR planning with the personal goals of the CEO.
B. HR planning with the strategic goals and mission of the organization.
C. HR planning with the cafeteria menu.
D. HR planning with the IT department's hardware schedule.