TEST BANK Human Resource Management 11th Edition
Chapter 1 : Evolution of Strategic Human Resource Management
TRUE/FALSE
1. Regardless of the particular resource emphasis in an industry, the human resource of an
organisation is almost always the key ingredient for that organisation’s success.
ANS: T PTS: 1 DIF: Easy TOP: Introduction
2. Due to their complex blend of rational and emotional characteristics, human resources are the most
predictable resource.
ANS: F PTS: 1 DIF: Easy TOP: Introduction
3. It is important that the human resource is managed effectively, equitably, and ethically in order to
achieve organisational objectives.
ANS: T PTS: 1 DIF: Easy TOP: Introduction
4. Globalisation, or the growing interconnectedness of economies across the world, is a major
challenge to businesses and has serious implications in relation to an organisation’s human
resource management.
ANS: T PTS: 1 DIF: Moderate TOP: Globalisation
5. Globalisation has begun to fashion new kinds of jobs, new forms of workplaces and more
innovative approaches to all human resource management processes.
ANS: T PTS: 1 DIF: Moderate TOP: Globalisation
6. Globalisation is always a positive development for businesses and has had no negative
consequences relating to human resource management processes.
ANS: F PTS: 1 DIF: Moderate TOP: Globalisation
7. Both the Trans-Pacific Partnership (TPP2) and the ASEAN Economic Community (AEC) are
global developments that will not significantly affect the labour markets in Australia and the Asia
Pacific.
ANS: F PTS: 1 DIF: Moderate TOP: Globalisation
8. The impact of new technology on all industries, workplaces and jobs will pose a serious challenge
in relation to the strategic human resource management of people.
ANS: T PTS: 1 DIF: Moderate TOP: New technology – the
Fourth Industrial Revolution
9. The Fourth Industrial Revolution (FIR, or Industry 4.0), or the digital transformation of society and
business will pose a serious challenge in relation to strategic human resource management of
people.
ANS: T PTS: 1 DIF: Moderate TOP: New technology – the
Fourth Industrial Revolution
10. The outcome of the Fourth Industrial Revolution (FIR, or Industry 4.0) has been overstated and
will not significantly impact all strategic human resource management functions.
ANS: F PTS: 1 DIF: Moderate TOP: New technology – the
Fourth Industrial Revolution
11. The perceived gaps between employers’ skills requirements and potential employees’
competencies and capabilities (or graduate work-readiness) will continue to be an important
challenge facing many workplaces and their HR professionals.
ANS: T PTS: 1 DIF: Moderate TOP: New technology – the
Fourth Industrial Revolution
,12. The Fourth Industrial Revolution (FIR, or Industry 4.0) will be a major driver of investments in the
skills and organisational capacities but will not significantly impact the human resource
management of people.
ANS: F PTS: 1 DIF: Moderate TOP: New technology – the
Fourth Industrial Revolution
13. Personnel management refers to a set of functions or activities which are performed effectively
with great relationship between the various activities and bearing in mind the overall
organisational objectives.
ANS: F PTS: 1 DIF: Moderate TOP: Development and
concepts of SHRM
14. The Classical School (or ‘Scientific Management’) proposed a model to examine the nature of
work which put emphasis on the job itself and the efficient adaptation of workers to work
processes.
ANS: T PTS: 1 DIF: Moderate TOP: Development and
concepts of SHRM
15. The Behavioural School proposed a model to examine the nature of work which focused on
workers, and the satisfaction of their needs to achieve greater organisational productivity.
ANS: T PTS: 1 DIF: Moderate TOP: Development and
concepts of SHRM
16. Australia developed a wages and working conditions system the same as in the United Kingdom
and the Unites States, based on mandated conditions.
ANS: F PTS: 1 DIF: Moderate TOP: Development and
concepts of SHRM
17. In Australia, prior to World War II, personnel management functions were largely handled by line
managers.
ANS: T PTS: 1 DIF: Easy TOP: Stage one (1900-1940s):
welfare and administration
18. During World War II, skilled workers were hard to recruit prompting an increased provision of
welfare services to employees.
ANS: T PTS: 1 DIF: Moderate TOP: Stage two (1940s–mid-
1970s): welfare, administration, staffing and training
19. The Conciliation and Arbitration Act 1904 legislated the establishment of Australia’s industrial
relations structure at a national level.
ANS: T PTS: 1 DIF: Easy TOP: Stage two (1940s–mid-
1970s): welfare, administration, staffing and training
20. SHRM recasts employees as human resources who are vital organisational assets possessing
knowledge, skills, aptitudes and future potential.
ANS: T PTS: 1 DIF: Easy TOP: Stage three (mid-1970s–
late 1990s): HRM and SHRM
21. SHRM focuses on short-term, reactive, ad-hoc and marginal planning.
ANS: F PTS: 1 DIF: Moderate TOP: Stage three (mid-1970s–
late 1990s): HRM and SHRM
22. Regardless of what that the future holds for SHRM, HRM roles will likely remain unchanged.
ANS: F PTS: 1 DIF: Moderate TOP: Stage four (2000
onwards): SHRM into the future
,23. The employment contract consists of two contracts: the legal contract and the social contract.
ANS: F PTS: 1 DIF: Moderate TOP: The changing
employment contract – legal, social and psychological
24. It is important that HR professionals develop commitment-oriented HRM practices that support
employees as well as support managers in their employee relationships.
ANS: T PTS: 1 DIF: Moderate TOP: The changing
employment contract – legal, social and psychological
25. SHRM emphasises the need for HR plans and strategies to be formulated within the context of
overall organisational strategies and objectives.
ANS: T PTS: 1 DIF: Moderate TOP: SHRM
26. A strong implication of SHRM theory is that HR plans and strategies are developed on a long-term
basis taking into account changes in society, industrial relations systems, economic conditions,
legislation, global and technological issues.
ANS: T PTS: 1 DIF: Moderate TOP: SHRM
27. A key focus of SHRM is to contribute to organisational effectiveness by ensuring that HR
strategies and policies support desired political outcomes.
ANS: F PTS: 1 DIF: Moderate TOP: SHRM
28. From a SHRM perspective, the resource-based view (RBV) includes the major human resources
components of employees’ knowledge, capabilities and dynamic capabilities.
ANS: T PTS: 1 DIF: Moderate TOP: SHRM
29. Regardless of the choice of business strategy, the HRM specialists must devise strategies that
incorporate comprehensive SHRM approaches aligned with desired overall goals and objectives.
ANS: T PTS: 1 DIF: Moderate TOP: Business strategy and
SHRM
30. The Harvard model of SHRM explains HRM as a set of narrow strategic choices in response to the
demands of organisational characteristics within the context of the internal labour market and
social, economic and political conditions.
ANS: F PTS: 1 DIF: Moderate TOP: SHRM models
31. A single model of SHRM will not be appropriate for all environments since SHRM models assume
that HR processes take place within the national, industry and industrial relations contexts.
ANS: T PTS: 1 DIF: Moderate TOP: HRM – a unitarist or pluralist
approach to the employment relationship?
32. Differing national or industry environments are reflected in both ‘hard’ and ‘soft’ HRM
approaches.
ANS: T PTS: 1 DIF: Easy TOP: ‘Hard’ or ‘soft’ HRM?
33. ‘Hard’ HRM refers to HR processes which focus on the involvement and engagement of
employees through consultation, empowerment, commitment and communication.
ANS: F PTS: 1 DIF: Easy TOP: ‘Hard’ or ‘soft’ HRM?
34. The relationship between HRM and industrial relations is heavily influenced by national, industry
and workplace contexts.
ANS: T PTS: 1 DIF: Easy TOP: SHRM and industrial
relations
, 35. SIHRM has expanded to include not only multinational enterprise but also comparative HRM
(between countries) and the management of expatriates.
ANS: T PTS: 1 DIF: Easy TOP: Strategic international
human resource management
36. To address recent criticisms of SHRM, it has become clear that SHRM must adopt a flexible but
strategic perspective, thus assuring a fit between HR strategies and practices.
ANS: T PTS: 1 DIF: Easy TOP: Critics of SHRM
37. Some research on the application of SHRM theory has definitively concluded that there is no
evidence linking HRM to strategic planning processes and that HRM executives added no value to
the top management team.
ANS: F PTS: 1 DIF: Easy TOP: SHRM – research
evidence
38. It is highly unlikely that the HR professional roles and practices will be affected by the projected
changes in future workplaces, jobs and their associated skills and competencies.
ANS: F PTS: 1 DIF: Easy TOP: New SHRM approaches
39. HR practitioners will operate exclusively at the operational level in an organisation.
ANS: F PTS: 1 DIF: Moderate TOP: SHRM: Roles, functions
and ethical principles
40. The focus of HRM is the management of employees for the organisation’s benefit.
ANS: F PTS: 1 DIF: Easy TOP: Introduction
41. Globalisation is of importance mainly to the marketing and financial aspects of a business
ANS: F PTS: 1 DIF: Easy TOP: Introduction
42. An Association of Southeast Asian Nations (ASEAN) Economic Community (similar to the EU)
would provide challenges and opportunities in relation to the attraction, retention and mobility of
talented workers.
ANS: T PTS: 1 DIF: Easy TOP: Introduction
43. Personnel management has its origins in Australia.
ANS: F PTS: 1 DIF: Easy TOP: Development and
concepts of SHRM
44. Employees as stakeholders of the organisation are seeking competence and commitment.
ANS: T PTS: 1 DIF: Moderate TOP: Stage four (2000
onwards): SHRM into the future
45. To survive, HR must demonstrate that it is adding value to key stakeholders – employees,
customers, line managers and shareholders.
ANS: T PTS: 1 DIF: Moderate TOP: Stage four (2000
onwards): SHRM into the future
46. The purpose of the legal contract between an employer and employee details the employee’s rights
and responsibilities.
ANS: F PTS: 1 DIF: Moderate TOP: The changing
employment contract – legal, social and psychological
47. Practical application of the psychological contract might include health and safety; work–life
balance; employee wellbeing, counselling and support policies and programs.
ANS: T PTS: 1 DIF: Easy TOP: The changing
