CPM Workforce Analytics & FTE Planning 3

Question 1

A manager must present an FTE justification to finance. Which combination of data points best strengthens the business case for adding two FTEs?

Accepted Answer

Workload volume trends, current overtime costs, and projected revenue impact of the new hires

Answer

A strong FTE business case links capacity gaps to measurable operational and financial outcomes, making the ROI explicit for finance stakeholders.

Question 2

Which formula correctly calculates the cost-per-hire metric?

Accepted Answer

(Internal recruiting costs + External recruiting costs) ÷ Number of hires in the period

Answer

Cost-per-hire sums all internal and external recruiting expenditures and divides by the number of hires, giving a standardized efficiency metric.

Question 3

When a workforce analytics dashboard shows a sudden spike in absenteeism in one department, what should a manager do before concluding there is a culture problem?

Accepted Answer

Cross-reference the absenteeism data with seasonal patterns, illness outbreaks, or scheduling changes

Answer

Anomalies in workforce data often have benign explanations; cross-referencing with contextual factors prevents misdiagnosis and misplaced interventions.

Question 4

An organization uses 'eNPS' (Employee Net Promoter Score) as part of its workforce analytics. What does a score of -20 indicate?

Accepted Answer

Detractors significantly outnumber promoters, signaling low employee advocacy

Answer

eNPS ranges from -100 to +100; a negative score means more employees would discourage others from joining than would recommend the organization.

Question 5

A manager reviews a 'nine-box grid' output. An employee lands in the 'high performance / low potential' box. What workforce action is most aligned with this placement?

Accepted Answer

Retain and reward the employee in their current role without a promotion push

Answer

High performers with low growth potential are valuable contributors best kept engaged and rewarded in their current lane rather than forced into advancement tracks.

(CPM) Certified People Manager Practice Test

(CPM) Certified People Manager Practice Test

CPM Workforce Analytics & FTE Planning 3