PHR HR Information Management 2 — Questions and Answers
Question 1: What is the primary purpose of a Human Resource Information System (HRIS)?
- To store and manage employee data and HR processes electronically (Correct answer)
- To replace the HR department entirely
- To handle only payroll tax filings
- To market job openings on social media
Correct answer: To store and manage employee data and HR processes electronically
An HRIS centralizes employee data and automates HR processes for efficient management.
Question 2: Which type of HRIS data is considered 'transactional'?
- Time and attendance records (Correct answer)
- Company mission statement
- Organizational chart design
- Strategic workforce forecasts
Correct answer: Time and attendance records
Transactional data captures day-to-day operational events like clock-ins and time worked.
Question 3: What does 'data integrity' refer to in an HRIS?
- The accuracy and consistency of data over its lifecycle (Correct answer)
- The speed of the database
- The number of users with access
- The color scheme of reports
Correct answer: The accuracy and consistency of data over its lifecycle
Data integrity ensures information remains accurate, complete, and reliable throughout its use.
Question 4: Which is a key benefit of employee self-service (ESS) modules in an HRIS?
- Employees update their own information, reducing HR administrative load (Correct answer)
- It eliminates the need for managers
- It removes all data security requirements
- It prevents employees from viewing pay stubs
Correct answer: Employees update their own information, reducing HR administrative load
ESS empowers employees to manage personal data, freeing HR from routine updates.
Question 5: What is a primary risk of poor HRIS data quality?
- Incorrect decisions based on flawed reports (Correct answer)
- Faster processing speeds
- Lower software licensing costs
- Increased employee morale
Correct answer: Incorrect decisions based on flawed reports
Bad data leads to inaccurate analytics and poor HR decision-making.
Question 6: Which law most directly governs the confidentiality of employee medical information stored in HR systems?
- HIPAA (Correct answer)
- FLSA
- WARN Act
- Davis-Bacon Act
Correct answer: HIPAA
HIPAA protects the privacy and security of health information, including in HR-administered plans.
Question 7: What is the purpose of an audit trail in an HRIS?
- To track who accessed or changed data and when (Correct answer)
- To delete old records automatically
- To increase server storage
- To generate payroll checks
Correct answer: To track who accessed or changed data and when
An audit trail logs system activity to support accountability and security investigations.
PHR HR Information Management 2
What is the primary purpose of a Human Resource Information System (HRIS)?