CPM Talent Acquisition & Retention 3 — Questions and Answers
Question 1: Which compensation strategy positions an organization to pay above the market median to attract top talent?
- Lag strategy
- Lead strategy (Correct answer)
- Match strategy
- Broadbanding strategy
Correct answer: Lead strategy
A lead compensation strategy sets pay above market rates to attract high-quality candidates and reduce turnover, at the cost of higher labor expenses.
Question 2: An employee referral program is valued in talent acquisition primarily because it:
- Eliminates recruitment costs entirely
- Tends to produce higher-quality hires who stay longer (Correct answer)
- Satisfies EEOC diversity requirements
- Replaces the need for job postings
Correct answer: Tends to produce higher-quality hires who stay longer
Referred employees are often pre-vetted by existing staff, tend to fit the culture better, and have higher retention rates than candidates from other sources.
Question 3: When screening resumes for compliance, managers must avoid requesting information that reveals:
- Educational credentials
- Protected class characteristics such as age, race, or religion (Correct answer)
- Employment gaps exceeding six months
- Professional certifications
Correct answer: Protected class characteristics such as age, race, or religion
Requesting or considering protected class information during screening violates Title VII and related EEO laws, exposing the organization to discrimination claims.
Question 4: Which theory suggests that employees stay with an organization due to accumulated benefits, relationships, and investments that would be lost upon leaving?
- Expectancy theory
- Organizational embeddedness theory (Correct answer)
- Herzberg's two-factor theory
- Equity theory
Correct answer: Organizational embeddedness theory
Organizational embeddedness explains retention through the links, fit, and sacrifices employees have built, making departure psychologically and practically costly.
Question 5: A manager wants to reduce bias in hiring decisions. Which practice is MOST effective?
- Rely on gut instinct for culture fit
- Use standardized scoring rubrics and diverse interview panels (Correct answer)
- Allow interviewers to share impressions before scoring
- Conduct only phone screenings to avoid appearance bias
Correct answer: Use standardized scoring rubrics and diverse interview panels
Standardized rubrics ensure all candidates are evaluated on the same criteria, while diverse panels reduce the impact of individual unconscious bias.
Question 6: What distinguishes a proactive talent acquisition strategy from reactive recruiting?
- Proactive recruiting uses only internal candidates
- Proactive strategies build talent pipelines before vacancies arise (Correct answer)
- Reactive strategies rely on employee referrals
- Proactive recruiting is less expensive than reactive
Correct answer: Proactive strategies build talent pipelines before vacancies arise
Proactive talent acquisition involves continuously identifying and nurturing potential candidates so the organization has a pool ready when positions open.
Question 7: Which retention strategy directly addresses the need for employees to see a future within the organization?
- Flexible scheduling
- Career pathing and succession planning (Correct answer)
- Remote work options
- Recognition and reward programs
Correct answer: Career pathing and succession planning
Career pathing shows employees clear advancement opportunities, linking their efforts to tangible future roles and reducing the incentive to seek growth elsewhere.
CPM Talent Acquisition & Retention 3
Which compensation strategy positions an organization to pay above the market median to attract top talent?