CPM Human Resource Management & Organizational Development 3 — Questions and Answers
Question 1: A manager wants to reduce voluntary turnover among high performers. Which retention strategy has the STRONGEST evidence of effectiveness?
- Increasing base salary for all employees equally
- Implementing flexible work arrangements and career development opportunities (Correct answer)
- Adding more vacation days across the board
- Conducting annual company-wide parties
Correct answer: Implementing flexible work arrangements and career development opportunities
Research consistently shows that flexible work arrangements combined with clear career development paths are among the strongest drivers of retention for high performers.
Question 2: Under the Americans with Disabilities Act (ADA), what does 'reasonable accommodation' require an employer to provide?
- Any accommodation requested by an employee with a disability regardless of cost
- Modifications that enable a qualified individual with a disability to perform essential job functions, unless it causes undue hardship (Correct answer)
- A separate workstation for every disabled employee
- Automatic promotion for employees who disclose a disability
Correct answer: Modifications that enable a qualified individual with a disability to perform essential job functions, unless it causes undue hardship
The ADA requires employers to provide reasonable accommodations that allow qualified individuals with disabilities to perform essential functions, unless doing so creates undue hardship.
Question 3: A CPM candidate reviews Lewin's change model. What occurs during the 'unfreezing' stage?
- New behaviors and processes are implemented
- Changes are stabilized and reinforced as the new norm
- Current attitudes and behaviors are challenged to create readiness for change (Correct answer)
- Performance metrics are measured post-change
Correct answer: Current attitudes and behaviors are challenged to create readiness for change
Unfreezing involves disrupting the status quo and creating motivation to change by questioning existing assumptions, attitudes, and behaviors.
Question 4: Which recruitment strategy is typically MOST cost-effective for filling entry-level positions quickly?
- Executive search firms
- Employee referral programs (Correct answer)
- Campus recruiting at Ivy League universities
- International recruitment agencies
Correct answer: Employee referral programs
Employee referral programs consistently rank among the most cost-effective and fastest recruitment methods, often producing higher-quality hires with better retention.
Question 5: An organization restructures from a functional hierarchy to a matrix structure. Which challenge is MOST likely to emerge?
- Reduced specialization among employees
- Employees reporting to multiple managers creating role conflict (Correct answer)
- Decreased communication between departments
- Lower project completion rates due to less oversight
Correct answer: Employees reporting to multiple managers creating role conflict
Matrix structures create dual reporting relationships, which frequently lead to role conflict, divided loyalties, and ambiguity about authority.
Question 6: Which HR metric directly measures the financial return on employee learning investments?
- Training hours per employee
- Return on Investment (ROI) of training (Correct answer)
- Course completion rate
- Employee satisfaction with training
Correct answer: Return on Investment (ROI) of training
Training ROI compares the monetary benefits gained from training (e.g., productivity gains, error reduction) against the total cost of delivering the training.
Question 7: A performance management system uses a forced distribution (bell curve) approach. What is a key criticism of this method?
- It is too lenient and inflates all performance ratings
- It can damage team cohesion and motivation when all team members are high performers (Correct answer)
- It eliminates the need for manager feedback
- It cannot be used in organizations with fewer than 500 employees
Correct answer: It can damage team cohesion and motivation when all team members are high performers
Forced distribution requires rating a fixed percentage of employees as low performers regardless of actual performance, which can unfairly penalize members of high-performing teams.
CPM Human Resource Management & Organizational Development 3
A manager wants to reduce voluntary turnover among high performers.
Which retention strategy has the STRONGEST evidence of effectiveness?