CPHR Human Resources Metrics Reporting 4

Question 1

A CPHR professional is asked to calculate ROI for a leadership development program that cost $50,000 and resulted in $200,000 in measured business benefits. What is the ROI?

Accepted Answer

300%

Answer

ROI = ((Benefits – Costs) / Costs) × 100 = (($200,000 – $50,000) / $50,000) × 100 = 300%.

Question 2

Which metric specifically measures the proportion of employees who voluntarily leave within their first year?

Accepted Answer

First-year attrition rate

Answer

First-year attrition rate measures voluntary departures within the first 12 months, highlighting early-tenure retention issues.

Question 3

A company wants to benchmark its HR metrics externally. What is the most important consideration when selecting benchmark data?

Accepted Answer

Ensuring the benchmark reflects a comparable industry, company size, and geography

Answer

Valid benchmarking requires comparable organizations; mismatched industry, size, or geography makes the benchmark misleading for strategic decisions.

Question 4

Which HR metric is most directly associated with measuring diversity and inclusion progress?

Accepted Answer

Headcount by job level, gender, and ethnicity over time

Answer

Tracking representation by job level, gender, and ethnicity over time directly measures whether diversity initiatives are improving workforce composition.

Question 5

What does the 'compa-ratio' metric measure in HR analytics?

Accepted Answer

An employee's pay relative to the midpoint of their salary range

Answer

Compa-ratio is calculated as (Employee Salary / Salary Range Midpoint) × 100, showing whether pay is below, at, or above market midpoint.

(CPHR) Chartered Professional in Human Resources Practice Test

(CPHR) Chartered Professional in Human Resources Practice Test

CPHR Human Resources Metrics Reporting 4