Fundamentals of Human Resource Management mcq practice set 1

Q1. Which of the following is NOT a function of Human Resource Management (HRM)?
a) Recruitment and selection
b) Employee training and development
c) Financial management
d) Performance appraisal

Answer

Answer: c) Financial management

Q2. What is the main difference between Personnel Management (PM) and HRM?
a) PM focuses on individual employees, while HRM focuses on the organization as a whole.
b) PM is concerned with strategic planning, while HRM is focused on operational activities.
c) PM emphasizes employee empowerment, while HRM emphasizes employee compliance.
d) There is no significant difference between PM and HRM.

Answer

Answer: a) PM focuses on individual employees, while HRM focuses on the organization as a whole.

Q3. The scope of Human Resource Management (HRM) includes:
a) Recruitment and selection
b) Training and development
c) Performance appraisal
d) All of the above

Answer

Answer: d) All of the above

Q4. The significance of Human Resource Management (HRM) lies in:
a) Maximizing shareholder wealth
b) Enhancing employee job satisfaction
c) Improving organizational effectiveness
d) Increasing government regulations

Answer

Answer: c) Improving organizational effectiveness

Q5. The role of a Human Resource Manager includes:
a) Developing marketing strategies
b) Implementing financial policies
c) Managing employee relations
d) Monitoring production processes

Answer

Answer: c) Managing employee relations

Q6. Sound HR policies are essential for:
a) Enhancing customer satisfaction
b) Ensuring compliance with legal regulations
c) Reducing environmental pollution
d) Maximizing shareholder wealth

Answer

Answer: b) Ensuring compliance with legal regulations

Q7. Human Resource Management (HRM) is concerned with:
a) Managing physical resources
b) Optimizing technology usage
c) Maximizing employee productivity
d) Implementing financial strategies

Answer

Answer: c) Maximizing employee productivity

Q8. Which of the following is NOT a responsibility of the Human Resource Manager?
a) Talent acquisition
b) Performance evaluation
c) Product development
d) Employee engagement

Answer

Answer: c) Product development

Q9. The concept of Human Resource Management (HRM) evolved from:
a) Marketing management
b) Production management
c) Finance management
d) Personnel management

Answer

Answer: d) Personnel management

Q10. What is the primary objective of Human Resource Management (HRM)?
a) Enhancing employee well-being
b) Minimizing production costs
c) Maximizing customer satisfaction
d) Achieving organizational goals

Answer

Answer: d) Achieving organizational goals

Q11. HR policies and practices are designed to:
a) Promote employee loyalty
b) Limit employee creativity
c) Minimize employee benefits
d) Maximize employee turnover

Answer

Answer: a) Promote employee loyalty

Q12. HRM plays a crucial role in:
a) Managing financial resources
b) Developing marketing strategies
c) Ensuring legal compliance
d) Enhancing technological innovations

Answer

Answer: c) Ensuring legal compliance

Q13. Which of the following is a strategic function of HRM?
a) Payroll processing
b) Employee discipline
c) Succession planning
d) Inventory management

Answer

Answer: c) Succession planning

Q14. Effective HR policies contribute to
:
a) Increased employee absenteeism
b) Reduced employee satisfaction
c) Improved organizational performance
d) Higher employee turnover

Answer

Answer: c) Improved organizational performance

Q15. HRM is responsible for:
a) Setting financial targets
b) Managing employee benefits
c) Implementing marketing campaigns
d) Analyzing market trends

Answer

Answer: b) Managing employee benefits

Q16. A proactive HRM approach focuses on:
a) Solving short-term issues
b) Adapting to change quickly
c) Minimizing employee empowerment
d) Maintaining a hierarchical structure

Answer

Answer: b) Adapting to change quickly

Q17. Which of the following is an example of an HR policy?
a) Pricing strategy
b) Advertising campaign
c) Recruitment procedure
d) Production schedule

Answer

Answer: c) Recruitment procedure

Q18. HRM practices aim to:
a) Maximize employee turnover
b) Decrease employee engagement
c) Enhance employee motivation
d) Reduce employee training

Answer

Answer: c) Enhance employee motivation

Q19. The primary focus of HRM is on:
a) Increasing shareholder wealth
b) Achieving social responsibility
c) Improving employee health
d) Managing human capital effectively

Answer

Answer: d) Managing human capital effectively

Q20. HRM policies and procedures are designed to:
a) Ensure ethical business practices
b) Promote excessive bureaucracy
c) Eliminate employee feedback
d) Reduce employee autonomy

Answer

Answer: a) Ensure ethical business practices

Q21. Which of the following is NOT a role of the Human Resource Manager?
a) Workforce planning
b) Conflict resolution
c) Financial forecasting
d) Employee training

Answer

Answer: c) Financial forecasting

Q22. HR policies and procedures ensure:
a) Fair treatment of employees
b) Excessive workload on employees
c) Discrimination in the workplace
d) Inequality in employee benefits

Answer

Answer: a) Fair treatment of employees

Q23. HRM helps organizations:
a) Reduce employee job satisfaction
b) Minimize employee diversity
c) Optimize workforce productivity
d) Maximize employee turnover

Answer

Answer: c) Optimize workforce productivity

Q24. Which of the following is NOT a component of sound HR policies?
a) Employee engagement
b) Competitive pricing
c) Performance management
d) Compensation and benefits

Answer

Answer: b) Competitive pricing

Q25. HRM contributes to organizational success by:
a) Fostering a positive work environment
b) Increasing production costs
c) Ignoring employee feedback
d) Minimizing employee recognition

Answer

Answer: a) Fostering a positive work environment

Q26. Which of the following is an example of an HRM function?
a) Developing supply chain strategies
b) Implementing accounting procedures
c) Conducting employee appraisals
d) Creating advertising campaigns

Answer

Answer: c) Conducting employee appraisals

Q27. HRM policies support:
a) Employee exploitation
b) Unethical business practices
c) High employee turnover
d) Employee well-being

Answer

Answer: d) Employee well-being

Q28. The HR department ensures compliance with:
a) Financial regulations
b) Marketing strategies
c) Legal requirements
d) Production quotas

Answer

Answer: c) Legal requirements

Q29. Which of the following is an essential aspect of HRM?
a) Employee neglect
b) Workplace discrimination
c) Employee empowerment
d) Excessive workload

Answer

Answer: c) Employee empowerment

Q30. HRM aims to create a work environment that promotes:
a) Low employee morale
b) Employee isolation
c) Employee collaboration
d) Excessive competition

Answer

Answer: c) Employee collaboration

Q31. HRM contributes to organizational growth by:
a) Limiting employee development opportunities
b) Ignoring employee feedback
c) Attracting and retaining talented employees
d) Minimizing employee recognition

Answer

Answer: c) Attracting and retaining talented employees

Q32. Which of the following is NOT a responsibility of the HR department?
a) Payroll processing
b) Customer service management
c) Employee relations
d) Workforce planning

Answer

Answer: b) Customer service management

Q33. HRM practices focus on:
a) Promoting gender inequality
b) Limiting employee growth
c) Improving employee performance
d) Increasing workplace conflicts

Answer

Answer: c) Improving employee performance

Q34. Which of the following is a characteristic of effective HR policies?
a) Lack of employee feedback channels
b) Ambiguity in performance expectations
c) Transparent and fair decision-making processes
d) Inconsistent application of rules

Answer

Answer: c) Transparent and fair decision-making processes

Q35. HRM contributes to organizational competitiveness by:
a) Minimizing employee engagement
b) Restricting employee development opportunities
c) Promoting a diverse workforce
d) Ignoring employee satisfaction

Answer

Answer: c) Promoting a diverse workforce

Q36. HR policies and practices aim to:
a) Maximize employee turnover
b) Minimize employee job satisfaction
c) Promote employee work-life balance
d) Limit employee empowerment

Answer

Answer: c) Promote employee work-life balance

Q37. HRM plays a vital role in:
a) Maximizing employee conflicts
b) Ignoring employee well-being
c) Mitigating legal risks
d) Promoting unhealthy competition

Answer

Answer: c) Mitigating legal risks

Q38. The main objective of HRM is to:
a) Achieve organizational goals through effective human resource utilization
b) Reduce employee motivation and engagement
c) Ignore employee needs and concerns
d) Minimize organizational productivity

Answer

Answer: a) Achieve organizational goals through effective human resource utilization

Q39. What is the main objective of human resource planning?
a) To minimize labor costs
b) To improve employee satisfaction
c) To ensure a diverse workforce
d) To align workforce needs with organizational goals

Answer

Answer: d) To align workforce needs with organizational goals

Q40. Which of the following is a key step in the job analysis process?
a) Performance appraisal
b) Job evaluation
c) Employee orientation
d) Job description

Answer

Answer: d) Job description

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