SPHR HR Risk Management Questions and Answers

Question 1

A risk analysis reveals that 60% of employees in mission-critical technical roles are eligible for retirement within five years, creating a significant risk of losing institutional knowledge.
Which risk mitigation strategy should the senior HR leader prioritize to ensure operational continuity?

Accepted Answer

Implementing a phased retirement program coupled with structured knowledge transfer and mentorship.

Answer

Offering a substantial early retirement incentive to manage the timing of the departures.

Answer

Hiring a team of external consultants to document all existing standard operating procedures.

Answer

Increasing the recruitment budget to hire experienced external replacements for each potential retiree.

Question 2

A company is rapidly expanding its remote workforce across multiple countries. From a strategic HR risk management perspective, which of the following risks presents the most significant and immediate compliance challenge?

Accepted Answer

The inconsistent application of varying international labor laws, tax regulations, and data privacy requirements.

Answer

A decline in employee engagement due to feelings of isolation.

Answer

Increased operational costs associated with providing technology and home office stipends.

Answer

Difficulty in maintaining a cohesive corporate culture across different time zones and cultures.

Question 3

An employee reports to HR that their estranged spouse, against whom they have a restraining order, has made threatening phone calls to the workplace. To mitigate the risk of workplace violence, what is the MOST appropriate initial action for the HR leader to take?

Accepted Answer

Develop a safety plan that includes alerting security and reception, and offering the employee a temporary work location.

Answer

Advise the employee to stop taking personal calls at work to avoid conflict.

Answer

Place the employee on paid leave until the personal matter is fully resolved.

Answer

Contact the estranged spouse directly to demand they cease all communication with the company.

Question 4

In developing a comprehensive business continuity plan (BCP), what is HR's most critical strategic contribution?

Accepted Answer

Identifying essential functions and cross-training personnel for critical roles.

Answer

Auditing the payroll system to ensure it can be operated from a remote location.

Answer

Securing a contract with a temporary staffing agency for emergency backfill.

Answer

Developing an emergency communication tree and notification system.

Question 5

A company is facing public backlash and negative media attention due to anonymous employee reviews alleging a toxic work culture and unethical management practices. To manage the significant reputational risk, what is the senior HR leader's most effective first step?

Accepted Answer

Commission a confidential, third-party cultural audit to objectively investigate the claims and identify root causes.

Answer

Launch a major public relations campaign to highlight the company's positive attributes and community involvement.

Answer

Implement a new, stricter social media policy for all employees.

Answer

Hold a series of mandatory all-hands meetings to allow employees to voice their concerns directly to senior leadership.

Question 6

Which of the following represents a risk transference strategy in HR risk management?

Accepted Answer

Purchasing Employment Practices Liability Insurance (EPLI).

Answer

Conducting mandatory safety training for all manufacturing employees.

Answer

Implementing a formal succession plan for key executive roles.

Answer

Performing background checks on all new hires.

A risk analysis reveals that 60% of employees in mission-critical technical roles are eligible for retirement within five years, creating a significant risk of losing institutional knowledge.Which risk mitigation strategy should the senior HR leader prioritize to ensure operational continuity?

A risk analysis reveals that 60% of employees in mission-critical technical roles are eligible for retirement within five years, creating a significant risk of losing institutional knowledge.
Which risk mitigation strategy should the senior HR leader prioritize to ensure operational continuity?