International Human Resource Management

INTERNATIONAL HUMAN RESOURCE MANAGEMENT
UMERA ANJUM 1
1. tors creating the global marketplace include all of the following except Ans. c
(a) lowering of costs of doing business globally
(b) privatisation and globalisation of government services
(c) growth in domestic businesses
(d) satellites and computer technology
2. Someone who lives and works in a foreign country is a(n) Ans. a
(a) expatriate
(b) holiday maker
(c) international jet-setter
(d) immigrant
3. A major difference between International HRM and Domestic HRM is the Ans. a
(a) increased complexities such as currency fluctuations, foreign HR policies
and practices, and differing labour laws
(b) number of employees covered by the HR policies
(c) ease with which employees adjust to new cultures
(d) development of effective cross-boarder management styles
4. HRM as practised by multinational organisations is called Ans. d
(a) global HRM
(b) personnel management practices
(c) domestic HRM
(d) international HRM
5. The key questions to be asked when developing an international HRM policy is Ans. b
(a) who is going to coordinate the HRM functions?
(b) what type of organisation is desired?
(c) how can cross-boarder training be designed?
(d) when should the HR manager begin developing HR policies?
6. Whirlpool’s use of a performance management system worldwide is an example Ans. c
of
(a) extended management control over employees
(b) attempts to increase productivity in all its branches
(c) an international HRM policy
(d) a policy that has adopted a global village philosophy

UMERA ANJUM 2
7. To be effective in the international environment HRM policies must Ans. a
(a) reflect an international view
(b) focus on domestic issues
(c) accommodate differences in management styles
(d) effectively transplant HRM policies and practices from the home country to
all other offices
8. Organisations that do not adopt a strategic HRM roach and a global vision Ans. b
(a) develop effective two-way communication
(b) are virtually guaranteed to fail
(c) find it easier to implement traditional HRM activities
(d) have much more flexibility in responding to environmental changes
9. When a person from one culture communicates with a person from another Ans. a
culture they are engaging in
(a) cross-cultural communication
(b) two-way communication
(c) multi-focus communication
(d) verbal communication
10. Cultures where non-verbal communications and indirect language are used to Ans. d
transfer meaning are described as
(a) low-context cultures
(b) medium-context cultures
(c) context cultures
(d) high-context cultures
11. Cultures where verbal communications are explicit and direct are Ans. a
(a) low-context cultures
(b) medium-context cultures
(c) context cultures
(d) high-context cultures
12. The Japanese have a high-context culture, and therefore prefer to communicate Ans. c

UMERA ANJUM 3
(a) by fax
(b) by email
(c) e to e
(d) both (a) and (b)
13. What is good and bad or right and wrong, or has to deal with moral duty and Ans. b
obligation is referred to as
(a) responsibilities
(b) ethics
(c) social expectations
(d) standards
14. Fraud, bribery, graft and the payment of secret commissions and kickbacks is Ans. a
(a) corruption
(b) normal business practice
(c) standard behaviour
(d) an ethical dilemma
15. In the year 2000 the most corrupt economies in the world were listed as Ans. c
(a) Finland, Denmark and New Zealand
(b) Australia, the United Kingdom and Japan
(c) Nigeria, Indonesia and Yugoslavia
(d) United States, Korea and India
16. To help their managers deal with corruption in different countries BHP and Ans. b
Telstra have
(a) limited their business operations to countries that have similar business
practices to those of their home country
(b) produced a list of guidelines to help managers deal with the corruption
quagmire
(c) decided to judge business operations in other countries by their own
standards
(d) issued a blanket instruction to all managers not to enter into any
arrangement that would be considered illegal or unethical back home
17. It has been recommended that companies take the following steps to ensure that Ans. d
their responses to different cultural environments are ropriate and ethical,
with the exception of
(a) develop a clearly articulated set of core values as the basis for global
policies and decision making

UMERA ANJUM 4
(b) train employees to ask questions that will help them to make business
decisions that are both culturally sensitive and flexible within the context of
those core values
(c) balance the need for policy with the need for flexibility or imagination
(d) instruct managers to offer no inducements or incentives to win support for
business developments
18. Developing the long-term business relationship needed in joint ventures requires Ans. a
(a) the building of trust and commitment
(b) heavy financial investment
(c) favourable foreign currency exchange
(d) effective management skills
19. Trust is influenced by Ans. c
(a) ethical standards
(b) personality
(c) culture
(d) philosophy of life
20. Australia and the United States are examples of Ans. b
(a) low trust cultures
(b) high trust cultures
(c) no trust cultures
(d) conditional trust cultures
21. The particular roach used by a manager to achieve goals through other Ans. c
people is described as
(a) leadership
(b) situational behaviour
(c) management style
(d) achievement roach
22. In cultures that emphasise hierarchy and status employees expect the overriding Ans. d
style of their managers to be
(a) participative
(b) egalitarian
(c) consultative
(d) autocratic
23. Employees in countries such as Australia and the United States, expect to have a Ans. a
much greater say in decision making and more autonomy in their work. These

UMERA ANJUM 5
cultures have been described as having
(a) low power distance
(b) high power distance
(c) equality of status
(d) cooperative work environments
24. In high power distance countries such as China and Korea employees expect Ans. b
(a) to have a say in all decision making
(b) their managers to make the decisions and tell them what to do
(c) to be asked their opinion about changes to work processes
(d) managers to delegate a great deal of the decision making responsibility to
their subordinates
25. Equal opportunity laws are Ans. c
(a) rigidly enforced in all countries
(b) an attempt to monitor the organisation’s treatment of job licants
(c) the product of society’s social values
(d) both (a) and (b)
26. HR issues that will require adaptation to fit different cultures include all of the Ans. d
following except
(a) training and development
(b) performance raisal
(c) compensation
(d) job analysis
27. In Thai firms performance evaluation is based on Ans. a
(a) the employee’s attitude towards the company rather than on actual job
performance
(b) job performance and political attitudes
(c) the quality of personal relations, political attitudes and output
(d) standard of job performance
28. Which of the following was not suggested by Stone as a suitable criteria for the Ans. b
evaluation of expatriate performance
(a) technical skills
(b) language proficiency
(c) work performed
(d) personality variables

UMERA ANJUM 6
29. All aspects of training and development in international organisations are Ans. c
affected by all of the following except
(a) cultural differences
(b) diversity of the work force
(c) financial costs
(d) language differences
30. Hong Kong Chinese managers and Western managers have different roaches Ans. b
for all of the following except
(a) giving and securing feedback
(b) identifying training and development needs
(c) handling conflict
(d) learning
31. Japanese firms stress the importance of what type of training Ans. d
(a) leadership
(b) communication
(c) interpersonal skills
(d) technical knowledge
32. When an organisation enters the international training and development area, the Ans. a
HR manager needs to
(a) be sensitive to local customs and expectations
(b) identify costs of developing cross-boarded programs
(c) develop programs that focus on enhancing technical skills and knowledge
(d) ensure that training and development programs are clearly linked to
compensation management
33. Cultures that value hierarchy and status differentials will have compensation Ans. b
strategies that
(a) have an emphasis on individual achievements
(b) promote and reinforce differentials
(c) minimise status differentials
(d) are based on group performance and individual seniority
34. Compensation strategies that reward individual performance and the acquisition Ans. a
of individual skills and know-how are common in
(a) individualistic cultures
(b) egalitarian cultures
(c) collectivist cultures

UMERA ANJUM 7
(d) risk-averse cultures
40. Bureaucratic reward systems that emphasise fixed pay are preferred in Ans. c
(a) individualistic cultures
(b) group-oriented cultures
(c) risk-averse cultures
(d) egalitarian cultures
41. Pay increases linked to inflation are given to all employees regardless of their Ans. b
performance in which country
(a) Australia
(b) Thailand
(c) Japan
(d) United States
42. Unions that include workers who have a common skill are Ans. a
(a) craft unions
(b) industry unions
(c) craft guilds
(d) trades unions
43. Industrial relations in Japan and Singapore is characterised by Ans. c
(a) a ‘them and us’ attitude
(b) militant unions
(c) cooperation and employee identification with the company and its
objectives
(d) a feeling of exploitation and insecurity
44. When building employees working near a Chinese restaurant were paid an Ans. d
allowance because the cooking aromas made them hungry it was called
(a) hardship allowance
(b) stress pay
(c) danger pay
(d) dim sim allowance
45. When implementing industrial relations practices overseas an Australian head Ans. b
office should ensure coordination so that
(a) policies are the same as in Australia
(b) practices adhere to and reinforce strategic HRM philosophies and policies
and are in harmony with the desired corporate culture

UMERA ANJUM 8
(c) all employees belong to key trade unions in the industry
(d) concessions are made in each country so that operations can run smoothly
46. What percentage of the Chinese labour market are illiterate? Ans. a
(a) 15 %
(b) 23 %
(c) 32 %
(d) 44 %
47. Foreign enterprises in China e HR challenges in all of the following areas Ans. d
except
(a) recruitment and selection
(b) performance raisals
(c) compensation and benefits
(d) human resource planning
48. Chinese enterprises rely heavily on which method of selection Ans. c
(a) personality testing
(b) assessment centres
(c) interviews
(d) psychological testing
49. A situation where an employee is guaranteed a job for their entire working life is Ans. a
known as
(a) lifelong employment
(b) organisational loyalty
(c) employee commitment
(d) job security
50. Unions that only represent the interests of employees working for a single Ans. c
employer or enterprise are
(a) trade unions
(b) craft unions
(c) enterprise unions
(d) industry unions
True/False Questions
1. Differing national cultures have no impact on strategic business objectives, Ans. F
corporate culture and the way companies operate.

UMERA ANJUM 9
2. The development of the global marketplace and global organisations has been Ans. T
influenced by work force mobility.
3. There is no difference between domestic and international HRM. Ans. F
5. When a person from one culture communicates with a person from another Ans. T
culture they are engaging in cross-cultural communications.
7. Chinese and Japanese negotiators use silence in their business meetings and Ans. T
negotiations.
8. Establishing and maintaining ethical standards in an international business Ans. T
setting can be difficult because of the different views of what is right and wrong,
a moral duty and an obligation.
9. According to the 1997 United Nations World Development Report, 15 % of all Ans. T
companies in industrialised countries have to pay bribes to win and retain
business.
10. The sharing of a set of moral values so that expectations of regular and honest Ans. T
behaviour are created leads to the development of trust.
12. Effective managers use one consistent style of management in all situations. Ans. F
13. All countries have anti-discrimination laws and have legislation in place to Ans. F
ensure that they are enforced.
14. Companies that operate internationally find that transplanting an existing Ans. F
performance raisal system from head office is very effective.
15. It may be necessary to use different criteria from that used at head office to Ans. T
evaluate expatriate performance.

UMERA ANJUM 10
16. When an organisation enters the international training and development area Ans. T
the HR manager must consider issues of ethnocentricity.
18. National culture does not have any impact on compensation strategies. Ans. F
19. US company Lincoln Electric fo that its incentive program based on the ans. T
belief that all employees would be willing to work harder to increase their
incomes was highly successful in the United States, Canada and Australia but a
failure in Germany because of employee attitudes towards risk taking.
20. Unions have considerable economic and political clout in Hong Kong and Ans. F
Taiwan.
22. Performance raisal in China focuses on performance, skill achievements and Ans. F
merit.
23. In Japan, a seniority system exists, where the length of time that an employee Ans. T
has worked with an organisation is given recognition and priority for promotions
and salary increases.
24. Unions that only represent the interests of employees working for a single Ans. F
employer or enterprise are industry unions.
24. In international business, the erlying impact of culture is evident in the way Ans. T
people interact with and manage others.

UMERA ANJUM 11
Multiple Choice - Questions
1. There are a number of criticisms against the current literature on international
human resource management (IHRM). Which of the following is not one of these
criticisms?
1 The field is not clearly defined
2 It is influenced by a discussion of concepts and issues with little backing
systematic research
3 The field should be built aro a broader set of questions
4 It lacks ropriate theoretical structures.
2. The main focus on IHRM is the…
1 management of expatriates
2 world-wide management of people
3 management of small businesses internationally
4 management of international organisations
3. Two groups of tors influence the choice of 'global vs. local' HR practices and
policies in multinational enterprises. These tors are known as…
1 exogenous and endogenous
2 ancillary and accessory
3 interactive and interpersonal
4 concessionary and cooperation
4. This paradigm assumes that the purpose of the study of HRM, and in particular,
strategic human resource management, is to improve the way that human
resources are managed strategically within organisations.
1 divergence paradigm
2 contextual paradigm
3 global paradigm
4 universalistic paradigm
5. _______________ convergence refers to a situation where the same trends are
visible in different nations, but they may not be getting more alike.
1 Initial
2 Final
3 Directional
4 Cultural

UMERA ANJUM 12
6. _______________ convergence refers to a situation where the countries are
actually becoming more similar.
1 Cultural
2 Final
3 Initial
4 Directional
7. Which one of the following statements is correct?
1 According to the cultural roach social arrangements in a nation are always
distinct and many of the institutions are likely to shape the social
construction of an organisation.
2 Culture is seen as shared by individuals as a means of conferring meaning,
and adding sense, to social interactions.
3 The wealth of a society, the general and vocational education system,
employment legislation and the amount of informal working in an
economy will not have an impact on the way that HRM can be conducted.
4 The institutional “school” share in common the notion that it is not
possible to depart radically from established rules and norms.
8. The use of third-country nationals (TCNs) provides a number of advantages.
Which of the following is not one of these advantages?
1 They take the organisation away from criticism as ethnocentric
2 They are usually considerably cheaper
3 They often have a cultural awareness which can be beneficial
4 They have an adequate knowledge of home office goals and procedures
9. International organisations normally employ expatriates in the following roles,
except…
1 country manager
2 technical specialist
3 financial controller
4 union leader
10. Endogenous tors include all of the following, except…
1 the international orientation of the organisation's headquarters
2 the structure of international operations
3 industry characteristics such as type of business and technology available
4 the MNE's experience in managing international operations
11. ___________________ is a scientific roach where HRM is seen as a science and
the aim is to find universally licable laws.

UMERA ANJUM 13
1 The contextual paradigm
2 The universalist paradigm
3 Social Darwinism
4 Divergence
12. Enablers of global HRM includes the following, except…
1 information exchange
2 HR affordability
3 central HR philosophy
4 e-enabled HR and knowledge transfer
13. International HRM originally consisted of three major clusters on inquiry,
namely:
a the conduct of people management in internationally operating companies
b the international transfer of staff, focused on expatriation
c comparing HRM policies and practices across different countries
d comparing different culture with each other
1 a, b and c
2 b, c and d
3 a, c and d
4 a, b, c and d
14. In international human resource management, communication in ethnocentric
organisations are _________________.
1 totally connected in a network of subsidiaries and subsidiaries with
headquarters
2 little among subsidiaries and little between the subsidiary and
headquarters
3 from headquarters to local subsidiaries
4 little between the subsidiary and headquarters, medium to high among
subsidiaries in regions
15. In international human resource management, communication in geocentric
headquarters
headquarters

UMERA ANJUM 14
16. In international human resource management, communication in polycentric
headquarters
headquarters
17. In international human resource management, communication in regio-centric
headquarters
headquarters
18. In international human resource management, geocentric organisations are usually
staffed with _________________.
1 home country managers
2 the best people where they can be utilised the best
3 host country managers
4 managers that may come from nations within the region
19. In international human resource management, polycentric organisations are
usually staffed with _________________.
20. In international human resource management, ethnocentric organisations are
usually staffed with _________________.

UMERA ANJUM 15
21. Evidence of different solutions adopted by MNEs to the tension between
differentiation and integration are seen to result from the influence of a wide
variety of exogenous and endogenous tors. Exogenous tors include:
a characteristics such as the type of business and technology available
b nature of competitors
c the extent of change
d country and regional characteristics such as social cultural conditions
1 a, b and c
2 b, c and d
3 a, c and d
4 a, b, c and d
22. Endogenous tors that influence the solutions adopted by MNEs to relieve the
tension between differentiation and integration are ________________.
a the MNE’s experience in managing international operations
b the structure of international operations
c the international orientation of the organisation’s headquarters
d the competitive strategy being used
1 a, b, c and d
2 b, c and d
3 a, c and d
4 a, b and c
23. Below is a list of issues/aspects pertaining to international HRM. Place the correct
issues/aspect in each column.
a. efficiency
b. central HR Philosophy
c. information exchange and organisational learning
d. global provision
e. core business process convergence
f. e-enabled HR and knowledge transfer
g. HR affordability
h. localisation

UMERA ANJUM 16
1 3
Drivers of global
HRM
Enablers of global
HRM
B A
C F
D G
E
H
2 4
Drivers of global
HRM
Enablers of global
HRM
A B
F C
D H
E
G
24. _________________ clubs are groups of international organisations sharing pay
and cost of living information.
1 Salary
2 Benefit
3 Expatriate
4 Repatriate
25. Which one of the following statements regarding international transfers is
incorrect?
1 International organisations are increasingly employing expatriates on local
terms and conditions.
2 Expatriation is relatively inexpensive.
3 The development of information and communication technology (ICT)
will not render international transfers and international travelling redant.
Drivers of global
HRM
Enablers of global
HRM
A B
C F
D G
E
H
Drivers of global
HRM
Enablers of global
HRM
B A
F C
G D
E
H

UMERA ANJUM 17
4 Short-term assignees, international commuters, the frequent flyers and the
international project teams share in many ways the same stresses as
expatriates in terms of their social lives and family pressures.
12.1.2 - Multiple Choice - Answers
1. 1, (Sec 12.2)
2. 2, (Sec 12.2)
3. 1, (Sec 12.2)
4. 4, (Sec 12.1.1)
5. 3, (Sec 12.1.2)
6. 2, (Sec 12.1.2)
7. 2, (Sec 12.1.3)
8. 4, (Sec 12.3.1)
9. 4, (Sec 12.3)
10. 3, (Sec 12.2)
11. 2, (Sec 12.1.1)
12. 1, (Sec 12.2)
13. 1, (Sec 12.2)
14. 3, (Table 12.1)
15. 1, (Table 12.1)
16. 2, (Table 12.1)
17. 4, (Table 12.1)
18. 2, (Table 12.1)
19. 3, (Table 12.1)
20. 1, (Table 12.1)
21. 4, (Table 12.2)
22. 1, (Sec 12.2)
23. 3, (Sec 12.2)
24. 1, (Sec 12.3)
25. 2, (Sec 12.3)

UMERA ANJUM 18
International human resource management
ctivity contains 5 questions.
The country where the headquarters of a multinational company is
located is known as
host country
home country
third country
None of the above
When an international firm follows a strategy of choosing only
from the nationals of the parent country, it is called
polycentric roach
geocentric roach
ethnocentric roach
None of the above
When the firms adopt a strategy of limiting recruitment to the
nationalities of the host country where the branch is located, it is
called
polycentric roach
geocentric roach
ethnocentric roach
None of the above

UMERA ANJUM 19
When the firms choose a strategy of recruiting the most suitable
persons for the positions available in the firm, irrespective of their
nationalities, it is called
polycentric roach
geocentric roach
ethnocentric roach
None of the above
Which of the following tors is not related directly to the success of
expatriate assignments?
the personality of expatriate employees
the intentions of expatriate employees
the incapability of the spouse to adjust to the new situation
the nature of products produced by the company
1. The country where the headquarters of a multinational company is
located is known as
Your Answer: home country
2. When an international firm follows a strategy of choosing only from
the nationals of the parent country, it is called
Your Answer: None of the above
Correct Answer: ethnocentric roach

UMERA ANJUM 20
3. When the firms adopt a strategy of limiting recruitment to the
nationalities of the host country where the branch is located, it is
called
Your Answer: polycentric roach
4. When the firms choose a strategy of recruiting the most suitable
persons for the positions available in the firm, irrespective of their
nationalities, it is called
Your Answer: ethnocentric roach
Correct Answer: geocentric roach
5. Which of the following tors is not related directly to the success of
expatriate assignments?
Your Answer: the intentions of expatriate employees
Correct Answer: the nature of products produced by the company
Question 1
IHRM is an area of academic study which focuses on:
a) Comparative research
b) The movement of individuals across national boaries
c) The exchange of ideas and practices
d) The policies and practices of MNC's
Question 2
HR challenges which might be ed by internal companies include:
a) The needs for a diverse work-force.
b) The relative erdevelopment of HR functions.
c) Knowledge of national employment law.

UMERA ANJUM 21
d) Knowledge of cultural norms and values.
Question 3
A global economy means:
a) Greater convergence of national economic and social identities
b) Greater divergence
c) Unrestricted movement of people across national boaries
d) A global culture
Question 4
Often the reason why expatriate assignments fail and why some immigrants and migrant
workers in the UK find difficulty in assimilating into the British way of life is because of:
a) Cultural differences
b) Homesickness
c) Climate
d) Reduction in remuneration in pay and conditions
Question 5
Hofstede's five variables: power distance; individualism, masculinity /femininity;
uncertainty avoidance and long term versus short term orientation; were terms used to
describe:
a) Family traits
b) HR strategy
c) National differences
d) globalization
Question 6
Cultural shock which is often the outcome of the negative experience of moving from a
familiar culture to one that is unfamiliar is important to erstand in the context of
internationalization because:
a) It can effect soldiers returning form was zones.

UMERA ANJUM 22
b) It can effect students on 'gap year' experiences.
c) It can impact on individuals taking overseas assignments.
d) Friends and families reunited.
Question 7
Key to successful management of HR processes is the ability to?
a) Travel abroad
b) Recruit local managers
c) Identify key skills and competencies required for working overseas
d) Having ropriate training systems
Question 8
Paul Sparrow (2006) in work commissioned by the CIPD fo:
a) That certain people have a natural attribute for cultural awareness.
b) That the majority of expatriate skills are learnt through experience.
c) That it doesn't matter who you are as its all down to training.
d) Successful overseas assignment are more a matter of luck than judgement.
Question 9
Research into the developing HR functions in Asian businesses suggest that they:
a) Employ better qualified people than UK companies.
b) Pay more to their HR professionals.
c) Have an easier job because the legal constraints they work er are less restrictive.
d) They display a different HR mindset; one which is more creative, business
focused and dynamic.
Question 10
In the end of chapter case study, doing business with people from different cultural
backgros depends a great deal on -
a) Being prepared to pay commission

UMERA ANJUM 23
b) Earning their trust and acceptance by building strong relationships based on
mutual respect
c) Learning to behave as they do
d) Learning their language
Question 1
IHRM is an area of academic study which focuses on:
You did not answer the question.
Correct answer:
d) The policies and practices of MNC's
Feedback:
While IHRM might include elements of all four, it is primarily the study of HRM
strategies, policies and practices which firms pursue in response to the
internationalisation of business (Scullion 1995).
Page reference: 200
Question 2
HR challenges which might be ed by internal companies include:
Correct answer:
b) The relative erdevelopment of HR functions.
Feedback:
While most of these might well ly research suggests that many international companies
have relatively erdeveloped HR functions and strategies.
Page reference: 204
Question 3
A global economy means:
Correct answer:
a) Greater convergence of national economic and social identities
Feedback:
What this means is that national economic and social identities and differences are
becoming less distinctive, and arguably more irrelevant, as market forces and free trade
move national economies and economic organizations towards a more convergent and
universalistic state (Edwards and Rees, 2006).
Page reference: 208

UMERA ANJUM 24
Question 4
Often the reason why expatriate assignments fail and why some immigrants and migrant
workers in the UK find difficulty in assimilating into the British way of life is because of:
Correct answer:
a) Cultural differences
Feedback:
The culture with which people identify influences and shapes their behaviour in relation
to their environment. Cultural clashes exist if people are exposed to different belief and
value systems, but fail to learn to adapt to such differences.
Page reference: 208
Question 5
Hofstede's five variables: power distance; individualism, masculinity /femininity;
uncertainty avoidance and long term versus short term orientation; were terms used to
describe:
Correct answer:
c) National differences
Feedback:
As a result of his research, he fo that nationality affected many cultural assumptions and
business practices, with the key cultural differences being explained by the five variables
above.
Page reference: 210
Question 6
Cultural shock which is often the outcome of the negative experience of moving from a
familiar culture to one that is unfamiliar is important to erstand in the context of
internationalization because:
Correct answer:
c) It can impact on individuals taking overseas assignments.
Feedback:
It is often the outcome of the negative experience of moving from a familiar culture to
one that is unfamiliar and therefore is important for HR specialists to erstand its impact
and the four stages that those suffering from culture shock might experience when taking
up overseas assignments or returning to the home country, in order to provide support

UMERA ANJUM 25
and help.
Page reference: 211
Question 7
Key to successful management of HR processes is the ability to?
Correct answer:
c) Identify key skills and competencies required for working overseas
Feedback:
Key to the successful management of HR processes is the ability to identify the key skills
and competences that those working overseas need to possess. This might indeed include
some of the other tors listed here however in the first instance identifying those
individuals who are most likely to adapt to working abroad in terms of their competencies
and skills is essential.
Page reference: 215
Question 8
Paul Sparrow (2006) in work commissioned by the CIPD fo:
Correct answer:
d) Successful overseas assignment are more a matter of luck than judgement.
Feedback:
Paul Sparrow (2006). As a result of his work, commissioned by the CIPD, fo that: The
majority of expatriate skills are learnt through experience - they learn how to manage
across cultures in most instances without education in cross-cultural skills (pg 7).
Page reference: 215
Question 9
Research into the developing HR functions in Asian businesses suggest that they:
Correct answer:
d) They display a different HR mindset; one which is more creative, business focused
and dynamic.
Feedback:
The research carried by Connor suggests that HR in Asian businesses has liberated itself
from the kind of HR models developed in the USA and Britain and rejected many of the
restrictive and unnecessary procedures prevalant in the UK public sector, emphasizing
the liberation of talent rather than its containment.
Page reference: 214

UMERA ANJUM 26
Question 10
In the end of chapter case study, doing business with people from different cultural
backgros depends a great deal on -
Correct answer:
b) Earning their trust and acceptance by building strong relationships based on mutual
respect
Feedback:
Whilst a great deal has been written about the importance of different kinds of
management competences, many people who have forged successful careers working
abroad consistently emphasise the important of personal traits and behavior in the way
trust is built and relationships forged.
Page reference: 218
Question 1
Reward management in the modern era involves:
a) Just dealing with issues of pay
b) A total reward roach
c) Dealing solely with trade unions
d) Dealing solely with legal issues
Question 2
How organizations should be rewarding their employees is:
a) On best practice
b) Arbitrary
c) Based on erstanding behavioural theories
d) Based on Herzberg theory
Question 3
Herzberg (2003) and Kohn (1993a) have consistently taken the view that rewards such as
performance related pay fail to deliver because:
a) They are viewed as 'hygiene tors'

UMERA ANJUM 27
b) They are motivators
c) They are unfair
d) They are unwelcome by trade unions
Question 4
Circumstances in which rewards normally impact on behaviour are:
a) When given a pay increase
b) When the wage or salary is seriously out of line with expectations
c) Will not occur as pay is a 'hygiene tor'
d) In all cases
Question 5
The individual most associated with first recognizing the link between pay and
performance was:
a) Mayo
b) F.W Taylor
c) Herzberg
d) Kohn
Question 6
The incentivized level of effort and performance can only be accessed through additional
financial payments that are between:
a) 5 - 10%
b) 10 - 15%
c) 25 - 33%
d) 34 - 40%
Question 7
A set wage or salary is an expression of what type of reward?
a) Rewards as rights

UMERA ANJUM 28
b) Rewards as those which are contingent
c) Rewards which are discretionary
d) PRP
Question 8
Paying people a monthly salary would not be suitable in which circumstances?
a) When employing people on a part-time basis
b) For those on regular fixed incomes
c) When overtime varies and is a large part of the remuneration
d) When employing people on a temporary basis
Question 9
Annualized hours refers to:
a) Those individuals who are seasonal workers
b) Those employees working on shifts
c) Full-time permanent employees
d) Calculating working time on an annual rather than a weekly basis
Question 10
The defining feature of incremental payment systems is:
a) A fair days pay for a fair days work
b) Cost of living
c) Length of service
d) The quantity of qualifications achieved
Question 1
Correct answer:
Feedback:

UMERA ANJUM 29
Rewards are far from being solely about pay. According to Thompson (2002):
'. . . the era in which reward was just about cash and benefits is gone forever; increasingly
the emphasis in leading organizations is on a total reward roach, including more
intangible rewards like the work environment and quality of life considerations, the
opportunity for advancement and recognition, and flexible working'.
Page reference: 311
Question 2
Correct answer:
b) Arbitrary
Feedback:
What emerges from the different academic contributions, research findings and
individual experiences is that there is no consensus on how organizations should be
rewarding their employees, nor is there any certainty that the use of particular rewards
will actually generate the behaviours and outcomes desired by managers.
Page reference: 311
Question 3
Correct answer:
Feedback:
Writers such as Herzberg (2003) and Kohn (1993a) have consistently taken the view that
rewards such as performance related pay (PRP) not only fail to deliver the intended
outcomes, but actually distort behaviour and have a long-term detrimental effect on
productivity. Kohn even equates these additional payments with bribes and argues that
they should not be used, despite the t that many managers and employees believe that
people will do a better job if they have been promised some kind of reward or incentive.
Page reference: 311,312
Question 4
Correct answer:

UMERA ANJUM 30
Feedback:
Most people would not reject an increase in their pay, but only when the wage or salary
becomes seriously out of line with expectations or long-established comparators does
pay, in the sense that the level is perceived to be too low, begin to have a significant
impact on employee behaviour.
Page reference: 313
Question 5
performance was:
Correct answer:
b) F.W Taylor
Feedback:
Certain kinds of rewards, particularly monetary incentives, can deliver significant
improvements in. This belief was brought to the fore by the experiences and writings of
FW Taylor (1998) at the beginning of the twentieth century. Taylor believed that workers
who placed a high value on money and were not of high intelligence would respond
positively to the prospect of earning more through increasing their performance. His
motto 'a fair days pay for a fair days work' is still a common term in management circles.
Page reference: 315
Question 6
Correct answer:
c) 25 - 33%
Feedback:
The 'incentivized' level of effort and performance, which can only be accessed through
additional monetary payments, in the form of incentives. Those who adopt this view also
tend to believe that the incentivized level of effort and performance can only be accessed
through additional financial payments that are between 25 to 33 per cent of pay.
Page reference: 315
Question 7
Correct answer:

UMERA ANJUM 31
Feedback:
Rewards become rights largely through the process of managers offering employment,
and through the prospective employee agreeing to accept the terms and conditions
embodied in the contract of employment. Many of the expressed terms of the contract
refer to what the employer is contracted to provide to the employee, in the form of a set
wage or salary, holidays, pension, sick pay entitlements, and so on.
Page reference: 319
Question 8
Correct answer:
Feedback:
The advantages to the organization of paying employees a salary each month include that
the amount remains fixed, simplifying administration of the payroll; the employee enjoys
a regular income and can arrange his or her own personal finances aro this predictable
monthly payment. This system may not suit positions in which overtime - i.e. time
worked that is additional to the contracted level varies and forms a significant proportion
of the wage earned.
Page reference: 325
Question 9
Correct answer:
Feedback:
As the term implies, an annual hours roach to work and payment involves calculating
working time on an annual, rather than a weekly, basis.
Page reference: 326
Question 10
Correct answer:
Feedback:

UMERA ANJUM 32
The defining feature of this type of pay scheme is the way in which length of service
drives pay increases, in addition to annual increases linked to cost-of-living adjustments.
Incremental awards are generally limited to salaried employees, particularly those who
work in the public sector.
Page reference: 327
MCQ. The new performance 'raisal systems' and incentives usage is the part of
A. mobilize commitment
B. consolidation of gains
C. creating guiding coalition
D. reinforcement of new programs
Answer D
MCQ. Communicating leadership' involves
A. personal competencies
B. interpersonal competencies
C. business management
D. both A and C
Answer B
MCQ. The teaching of current employees with the skills needed to perform effectively
on job is
A. training
B. negligent training
C. both A and B
D. learning
Answer A
MCQ. The Lewin's process consists of

UMERA ANJUM 33
A. unfreezing stage
B. moving stage
C. refreezing stage
D. all of above
Answer D
MCQ. 'Managing tasks effectively' comes er
A. personal competencies
B. interpersonal competencies
C. business management
D. Both A and C
Answer A
Question 1
a) Just dealing with issues of pay
c) Dealing solely with trade unions
d) Dealing solely with legal issues
Question 2
a) On best practice
b) Arbitrary
c) Based on erstanding behavioural theories
d) Based on Herzberg theory

UMERA ANJUM 34
Question 3
b) They are motivators
c) They are unfair
d) They are unwelcome by trade unions
Question 4
a) When given a pay increase
c) Will not occur as pay is a 'hygiene tor'
d) In all cases
Question 5
performance was:
a) Mayo
b) F.W Taylor
c) Herzberg
d) Kohn
Question 6
a) 5 - 10%
b) 10 - 15%
c) 25 - 33%
d) 34 - 40%

UMERA ANJUM 35
Question 7
b) Rewards as those which are contingent
c) Rewards which are discretionary
d) PRP
Question 8
a) When employing people on a part-time basis
b) For those on regular fixed incomes
d) When employing people on a temporary basis
Question 9
a) Those individuals who are seasonal workers
b) Those employees working on shifts
c) Full-time permanent employees
Question 10
a) A fair days pay for a fair days work
b) Cost of living
d) The quantity of qualifications achieved
Question 1

UMERA ANJUM 36
Correct answer:
Feedback:
Rewards are far from being solely about pay. According to Thompson (2002):
'. . . the era in which reward was just about cash and benefits is gone forever; increasingly
the emphasis in leading organizations is on a total reward roach, including more
intangible rewards like the work environment and quality of life considerations, the
opportunity for advancement and recognition, and flexible working'.
Page reference: 311
Question 2
Correct answer:
b) Arbitrary
Feedback:
What emerges from the different academic contributions, research findings and
individual experiences is that there is no consensus on how organizations should be
rewarding their employees, nor is there any certainty that the use of particular rewards
will actually generate the behaviours and outcomes desired by managers.
Page reference: 311
Question 3
Correct answer:
Feedback:
Writers such as Herzberg (2003) and Kohn (1993a) have consistently taken the view that
rewards such as performance related pay (PRP) not only fail to deliver the intended
outcomes, but actually distort behaviour and have a long-term detrimental effect on
productivity. Kohn even equates these additional payments with bribes and argues that
they should not be used, despite the t that many managers and employees believe that
people will do a better job if they have been promised some kind of reward or incentive.
Page reference: 311,312

UMERA ANJUM 37
Question 4
Correct answer:
Feedback:
Most people would not reject an increase in their pay, but only when the wage or salary
becomes seriously out of line with expectations or long-established comparators does
pay, in the sense that the level is perceived to be too low, begin to have a significant
impact on employee behaviour.
Page reference: 313
Question 5
performance was:
Correct answer:
b) F.W Taylor
Feedback:
Certain kinds of rewards, particularly monetary incentives, can deliver significant
improvements in. This belief was brought to the fore by the experiences and writings of
FW Taylor (1998) at the beginning of the twentieth century. Taylor believed that workers
who placed a high value on money and were not of high intelligence would respond
positively to the prospect of earning more through increasing their performance. His
motto 'a fair days pay for a fair days work' is still a common term in management circles.
Page reference: 315
Question 6
Correct answer:
c) 25 - 33%
Feedback:
The 'incentivized' level of effort and performance, which can only be accessed through
additional monetary payments, in the form of incentives. Those who adopt this view also
tend to believe that the incentivized level of effort and performance can only be accessed

UMERA ANJUM 38
through additional financial payments that are between 25 to 33 per cent of pay.
Page reference: 315
Question 7
Correct answer:
Feedback:
Rewards become rights largely through the process of managers offering employment,
and through the prospective employee agreeing to accept the terms and conditions
embodied in the contract of employment. Many of the expressed terms of the contract
refer to what the employer is contracted to provide to the employee, in the form of a set
wage or salary, holidays, pension, sick pay entitlements, and so on.
Page reference: 319
Question 8
Correct answer:
Feedback:
The advantages to the organization of paying employees a salary each month include that
the amount remains fixed, simplifying administration of the payroll; the employee enjoys
a regular income and can arrange his or her own personal finances aro this predictable
monthly payment. This system may not suit positions in which overtime - i.e. time
worked that is additional to the contracted level varies and forms a significant proportion
of the wage earned.
Page reference: 325
Question 9
Correct answer:
Feedback:
As the term implies, an annual hours roach to work and payment involves calculating
working time on an annual, rather than a weekly, basis.
Page reference: 326

UMERA ANJUM 39
Question 10
Correct answer:
Feedback:
The defining feature of this type of pay scheme is the way in which length of service
drives pay increases, in addition to annual increases linked to cost-of-living adjustments.
Incremental awards are generally limited to salaried employees, particularly those who
work in the public sector.
Page reference: 327
The correct answer for each question is indicated by a .
1
INCORRECT When a company ventures into international business and as
subsidiaries are added and managed by locals, a polycentric roach
makes more sense.
A) True
B) False
Page: 440
2 CORRECT
Some cultures emphasize universal criteria in the selection process.
The emphasis is on who the person is, and his or her family backgro
and connections are important, as opposed to what he or she can do
for the organization.
A) True
B) False
Page: 442
3 CORRECT
Research conducted in the human resource field shows that women
are more effective than men as expatriate managers in parts of the
world where result oriented managers do much better.
A) True

UMERA ANJUM 40
B) False
Page: 455
4
INCORRECT Signature International's foreign subsidiary is concerned about the
shortage of skilled resources among the local population. Its major
challenge involves recruiting the right talent and intensively training
them in order to make them perform their job requirements
effectively. Which IHRM concern is Signature ing?
A) National concern
B) Cultural concern
C) Organizational concern
D) Technological concern
Page: 440
5
INCORRECT In the selection process, when it doesn't matter who the person is,
but what the person can do for the organization, the culture is
emphasizing the need for _____ criteria.
A) ascriptive
B) prescriptive
C) descriptive
D) universal
Page: 442
6
INCORRECT A newspaper advertisement that explicitly states that a company is
looking for a young male within a specific age range for a job is an
example of:
A) ascriptive criteria.
B) descriptive criteria.
C) normative criteria.
D) prescriptive criteria.

UMERA ANJUM 41
Page: 442
7
INCORRECT Which of the following statements represent training and
development culture in Latin America?
A)
The education system relies on written demonstration and
lecturing time is limited.
B)
Trainer determines objectives with input from trainees and
their managers.
C)
Trainees can and do challenge trainer; trainer can be
informed and casual.
D)
Value and importance of the training is judged by location,
dignitaries invited for the ceremonies, and academic
affiliation of trainer.
Page: 445
8
INCORRECT In adjusting to living or working abroad for a long period of time,
the _____ phase begins with the initial contact with another culture,
and a sense of optimism and euphoria are common.
A) culture shock
B) honeymoon
C) adjustment
D) mastery
Page: 449
9 CORRECT
When an expatriate is provided free housing and transportation and
an equivalent sum is subtracted from his basic pay, the amount
deducted is a:
A) citizenship salary system.
B) negative allowance.
C) incentives.
D) local taxes.
Page: 452

UMERA ANJUM 42
10
INCORRECT According to the text, a study on repatriated managers showed that:
A)
three-fourths of expatriates felt they returned to a
promotion.
B)
60 percent of expatriates had difficulty in seeking out
others from their home country with whom they can
compare experiences about their difficulties.
C)
60 percent of expatriates ed difficulties due to differences
in language and shopping habits and a dislike for the
country.
D)
25 percent of the expatriates left the organization within a
year after their return.
Page: 454
1. The meaning of the acronym HRM is __
(a) Human Relations Management
(b) Humanistic Resource Management
(c) Human Resource Management
(d) Human Resourceful Management
2. The term used before the language of modern HRM was _______
(a) Labour Relations
(b) Personnel Management
(c) Industrial Management
(d) All of the above
3. Which of the following is not a function normally performed by HR department?
(a) Accounting
(b) Recruitment and Selection
(c) Pay and Reward
(d) Employee Relations
4. Which of the following statements is false?
(a) Organizations are now less hierarchical in nature
(b) Organizations are now generally focusing upon domestic rather than
international matters
(c) Organizations have adopted more flexible norms
(d) Organizations have been subject to a raft of organizational change programs
5. HRM is__________
(a) employee oriented
(b) employer oriented
(c) legally oriented
(d) none of the above
6. scope of the HRM includes __
(a) retirement and separation of employees

UMERA ANJUM 43
(b) HR training and development
(c) industrial relations
(d) all of the above
7. HRM is_________
(a) a staff function
(b) a line function
(c) a staff function, line function and accounting function
(d) al of the above
8. The objectives of HRM are categorized as __
(a) personal objectives
(b) functional objectives
(c) organisational and social objectives
(d) all of the above
9. The scope of HRM does not include __
(a) retirement of employees
(b) manpower planning
(c) training of employees
(d) maintenance of accounts
10. The meaning of the acronym ‘SHRM’ is __
(a) Short-term Human Resource Management
(b) Strategic Human Resource Management
(c) Strategestic Human Resource Management
(d) Strategic Humane Resource Management
11. Recruitment is widely viewed as a __
(a) positive process
(b) negative process
(c) positive as well as negative process
(d) none of the above processes
12. Recruitment policy usually highlights need for establishing __
(a) job specification
(b) job analysis
(c) job description
(d) none of the above
13. The process of developing the licant’s pool for job openings in an organization is
called____
(a) Hiring
(b) Recruitment
(c) Selection
(d) Retention
14. A brief write-up of what the job is all about is __
(a) job finding

UMERA ANJUM 44
(b) job summary
(c) job analysis
(d) job specification
15. A job specification is one of the areas of __
(a) job analysis
(b) job design
(c) job description

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