Congratulations on your decision to take the new SHRM Certified Professional (SHRM-CP) or SHRM Senior Certified Professional (SHRM-SCP) exam developed by the Society for Human Resource Management (SHRM). Although this is the newest professional certification exam for human resources (HR), this certification program is the result of several years of global research and extensive input from the HR, business, and academic communities.

Your decision to undertake this significant effort will be challenging and rewarding, but keep in mind that with SHRM’s new professional certification you join a number of professionals who choose to meet and exceed higher professional expectations in today’s global economy. SHRM’s certification program is uniquely designed to help you meet today’s challenges and assume the most effective strategic leadership position recognized for its focus on behavioral competencies.

Instructions

This pre-assessment exam is designed to help you prepare for SHRM’s SHRM-CP and SHRM-SCP certification exams. You should take this exam to help you identify your current level of readiness to sit for the certification exam and to identify the areas where you will need to focus your preparation efforts.

This pre-assessment exam consists of 50 questions. Forty-six are knowledge (they measure technical knowledge competency) questions; four are behavioral (they call for situational judgment) questions. Here is more about the types of questions:

•  Knowledge questions Address the three knowledge domains (People, Organization, and Workplace) associated with the technical knowledge competency in SHRM’s Body of Competency and Knowledge (BoCK). Knowledge items assess a candidate’s understanding of factual information. Examinees are asked questions from 15 functional areas. For these questions, correct answers receive full credit. Incorrect answers receive no credit.

•  Situational judgment questions Assess a candidate’s judgment and decision-making skills associated with situations that call for proficiency in the behavioral competencies.
Situational judgment questions assess a candidate’s competencies and decision-making skills, which are not easily measured using traditional knowledge-based questions. Examinees are presented with realistic work-related scenarios and asked to choose the best of several possible strategies to resolve or address the issues described in each scenario. While more than one strategy may be effective for addressing actual work-related scenarios, examinees only receive credit for choosing the best possible answer. Incorrect answers reflect ineffective strategies and receive no credit.

As you prepare to take this pre-assessment exam, you should try to duplicate actual exam conditions as closely as possible. Use a quiet place and try not to be interrupted for the full length of time you take to complete the exam. Do not use any reference materials or other assistance while taking the pre-assessment exam; remember, the idea is to help you determine what areas you need to focus on during your preparation for the actual exam.

“Field test” questions are also part of the real exam. Their purpose is to gather data on the validity of questions before they are included in future exams as scored items. These questions are interspersed randomly throughout the actual exam. You will not be able to distinguish them from scored items. You are not scored on your field test question results.

For the purpose of this pre-assessment exam, questions have been separately organized into SHRM-CP and SHRM-SCP based on their degree of difficulty and their overall focus. If you are preparing to take the SHRM-SCP exam, you will be expected to answer both the SHRM-CP and SHRM-SCP questions, which will be intermingled on the actual exam. Don’t be tempted to ignore the SHRM-SCP questions if you intend to take the SHRM-CP exam, or vice versa. You will be better served, and better prepared, if you experience all the pre-assessment questions.

This pre-assessment exam is not intended to be a timed experience. Its only purpose is to simulate the content on the real exam, not the time needed to take the exam. Table 1-1 identifies the score weightings associated with each subject area on the exam.

Table 1-1 Score Weighting for Each Subject Area

Complete the entire pre-assessment exam before checking your results. When you have finished, use both the “Quick Answer Key” and the “In-Depth Answers" sections in this book to score your pre-assessment exam. You can use the table in the “Analyzing Your Results” section to determine how well you performed on the test.

SHRM’s BoCK is organized into eight behavioral competencies, as shown in Table 1-2.

Table 1-2 BoCK’s Behavioral Competencies

SHRM’s technical knowledge is organized into 4 domains with 15 functional areas, as shown in Table 1-3.

Table 1-3 BoCK’s 15 Functional Areas

As a reminder, the pre-assessment exam is not a timed exam. Its purpose is to provide exposure to the types of questions, their complexities, and their degree of difficulties that you may encounter on the real exam, whether it is the SHRM-CP or SHRM-SCP exam.

Q     QUESTIONS

Part I: SHRM-CP

1.  One of the key PEST factors that can influence an organization’s global talent acquisition and retention strategies is the following question: Do tax and other socialized incentives exist that could influence hiring decisions? This factor is identified as:

A.  Political

B.  Economic

C.  Social

D.  Technological

2.  What is behavioral engagement?

A.  The inherent personality-based elements that make an individual predisposed to being engaged

B.  Workplace conditions or practices that can be improved through organizational interventions under management’s control

C.  The effort employees put into their jobs, which leads to greater value

D.  When employees appear engaged but do not feel or think in an engaged way

3.  An employee opinion survey is a survey that:

A.  Attempts to determine employee perceptions of the quality of management and the effectiveness of compensation and benefits programs

B.  Attempts to measure data on specific issues such as safety procedures or work processes

C.  Focuses on the employee level of satisfaction, commitment, and morale

D.  Identifies quality and measure of work–life issues

4.  What is a participatory learning method called in which a group of learners, sitting in the center of a circle, debate or discuss a topic while the remaining learners observe the discussion?

A.  Round robin

B.  T-group

C.  Role play

D.  Fishbowl activity

5.  Which of the following job analysis methods has the benefit of defining the job with a relatively objective approach and also enables analysis to be performed using computer models?

A.  Interview

B.  Highly structured questionnaire

C.  Open-ended questionnaire

D.  Work diary or log

6.  Which organizational lifecycle phase features efforts to maximize efficiency out of every existing element of the business?

A.  Introduction

B.  Standardization

C.  Maturity

D.  Decline

7.  What is the purpose of a SWOT analysis?

A.  To determine an organization’s operating requirements during an upcoming fiscal year

B.  To identify current market pressures with potential negative impact on the organization

C.  To evaluate organizational merger prospects as part of a due diligence assessment

D.  To assess an organization’s strategic capabilities in comparison to the threats and opportunities identified during environmental scanning

8.  What is the purpose of a mission statement?

A.  To specify what activities an organization intends to pursue

B.  To provide a guiding image of the future an organization plans to attain through its strategy

C.  To identify beliefs that are important to an organization and that often dictate employee behavior

D.  To identify high-level targets that can become specific measureable objectives

9.  Some organizations make sure that the key performance indicators they use to evaluate organizational strategy are aligned with various sources of value through a technique called:

A.  Balance sheet analysis

B.  Balanced scorecard technique

C.  SWOT analysis

D.  Blue ocean strategies

10.  What is the first thing HR leaders must do when engaged in the process of allocating resources to strategic activities when their HR budget is organized into two parts: an operational budget that funds ongoing operational activities and a strategic budget that funds projects aligned with the organization’s strategic goals?

A.  Budget ongoing operational activities first.

B.  Budget strategic activities first.

C.  Compare previous and current activities and allocations with activities that support the proposed organizational strategy. Budget strategic activities first as projects.

D.  Compare previous and current activities and allocations with activities that support the proposed organizational strategy. Create a combined prioritized budget list. Budget based on this list.

11.  What is the HR role, sometimes referred to as an “HR practitioner,” that is usually the first point of contact for a variety of HR issues?

A.  Specialist

B.  Generalist

C.  Manager

D.  Leader

12.  What are project leaders called when a Six Sigma process is implemented?

A.  Green Belt

B.  Master Green Belt

C.  Master Black Belt

D.  Black Belt

13.  Which of the following performance appraisal methods involves the employee defining what they intend to accomplish during the performance review period?

A.  Essay

B.  Critical incident

C.  Field review

D.  Management by objectives (MBO)

14.  Globally, what is the most common type of employment relationship?

A.  At-will for part-time staff only

B.  At-will

C.  Contractual

D.  Contractual for senior-level executives only

15.  Sail Fleet Shipping recently implemented a new HRIS. Which of the following describes a security measure the company should take to ensure protection of employees’ personal data?

A.  Decode

B.  Decrypt

C.  Encrypt

D.  Convert

16.  Factors that influence globalization decisions fall into two categories: “push” and “pull” factors. Which of the following competitive industry factors is classified as a “pull” factor?

A.  A need for new markets

B.  Increased competition

C.  Greater strategic control

D.  Government policies

17.  Which of the Four Layers of Diversity is described as “the results of life experiences and choices”?

A.  Organizational dimensions

B.  External dimensions

C.  Internal dimensions

D.  Personality

18.  Which risk analysis tool measures the risk level as the probability of occurrence times the magnitude of impact?

A.  Risk register

B.  Risk scorecard

C.  Risk prioritization matrix (PAPA model)

D.  Risk equation

19.  Which international initiative established ten principles that address human rights, labor, environmental principles, and anticorruption issues, as well as agreed to report annually on the progress of these principles?

A.  The United Nations Global Compact

B.  Caux principles

C.  SA 8000

D.  ISO 26000

20.  Which of the following U.S. employment laws covers private and public employers with 20 or more employees?

A.  1964 Civil Rights Act

B.  1967 Age Discrimination in Employment Act

C.  1990 Americans with Disabilities Act

D.  2009 ADA Amendments Act

21.  You are an HR administrator working for a small retail sales company. A team member recently returned to work from a 5-day absence during which he used his accrued sick days. Employees have been disciplined in the past for using sick leave as time off to do paid work for others. A co-worker tells you confidentially that he knows the individual involved and that he was told that these were the circumstances involved with his absence. What do you do?

A.  Arrange to discuss this with your manager immediately as this cannot be allowed to continue.

B.  Confront the individual, making it clear that this behavior is unacceptable.

C.  Speak to the individual to find out whether this is true.

D.  Speak further with the co-worker to find out what other information he has on the matter.

22.  Your team is unhappy. They don’t appear to receive information about important organizational developments in a timely manner or even at all. What do you do?

A.  Ask your team what sort of information they would like to receive.

B.  Use regular meetings to keep them up to date with relevant information that you receive.

C.  Reassure them that you will make further efforts to find out relevant information quickly.

D.  Suggest they can be more proactive in seeking out relevant information themselves.

23.  You are a team leader. You have a number of routine tasks to complete in addition to some other duties you volunteered for. You need to spread the workload. What should you do?

A.  Explain that in order to make sure everyone is developing, you are going to assign everyone extra duties.

B.  Explain that you are overworked and need some help and that you would appreciate some volunteers to take over some of your duties.

C.  Explain that you are looking for volunteers to take on some additional responsibilities, which is an opportunity for learning.

D.  Explain that you are going to assign everyone extra duties in order to make the team more effective.

Scenario 1: Relationship Management (Questions 24 and 25) You manage an extremely busy team of six people who are your organization’s HR department. The November to December period is the busiest time of the year. December is approaching, and your department is undoubtedly beginning to feel the strain. Matters are reaching the breaking point. Staff morale is dropping, people are getting frustrated, and errors are increasing. Your staff is openly questioning what is expected of them. They seem confused about the department’s overall objectives. However, the situation is not irretrievable if you act now. Complaints from company management and staff have not yet significantly increased. Urgent action is required.

24.  What actions would you take under these circumstances?

A.  Set up weekly meetings with your team to review department status; set up some short-term objectives.

B.  Inform the team that there is too much careless work and announce the introduction of a formal record of errors.

C.  Establish formal target setting and review arrangements with each member of the team.

D.  Meet with your team; inform them that you will pay the best-performing team member in December a special performance bonus in January.

The situation does not improve despite your efforts. During your weekly meetings, you discover that the established procedures for your HR department’s day-to-day operations are out of date. As a result, your staff has to improvise a number of normally routine process steps to get things done. This causes confusion and frustration for your staff and ultimately not only has a negative impact on the department’s operations but also seems to be the source of your staff’s confusion.

25.  Given these circumstances, what additional actions, if any, would you take?

A.  Since this is only a temporary situation, simply admonish staff to work harder.

B.  Offer a bonus to anyone who will volunteer to update the department’s guidelines to meet current requirements in addition to maintaining their current workload.

C.  Implement a mandatory overtime schedule until the department meets its productivity objectives.

D.  Offer a bonus to anyone who can improve their productivity by 10 percent or better.

Score yourself for SHRM-CP and move on to the SHRM-SCP exam.

Part II: SHRM-SCP

26.  Under what conditions would a company most likely rely on expatriates?

A.  The political situation is stable.

B.  Sufficient local talent is not available.

C.  Minimal cultural differences exist between home and host countries.

D.  Home-country personnel request international assignments.

27.  Which employee branding practice involves the identification or “mapping” of critical interaction points where the potential applicants or candidates most likely come in contact with the organization’s brand?

A.  Benchmarking

B.  Online job and career portrayals

C.  Brand pillar identification

D.  Touchpoint mapping

28.  What type of interview focuses on how a candidate previously handled real situations?

A.  Competency-based

B.  Stress

C.  Behavioral

D.  Unstructured

29.  Which of Kirkpatrick’s four levels of evaluation call for how participants increased or otherwise changed their knowledge, skills, and attitudes after training?

A.  Level 1: Reaction

B.  Level 2: Learning

C.  Level 3: Behavior

D.  Level 4: Results

30.  The global orientation of compensation and benefits strategies can have a direct and tangible impact on an organization’s total rewards program. What are the implications called when an organization’s total reward strategy leads to a transfer of the headquarters’ total compensation policies from one location to another, with little or no consideration of local and cultural differences?

A.  Ethnocentric

B.  Polycentric

C.  Regiocentric

D.  Geocentric

31.  Which profitability term is applicable to the percentage of total sales revenue after incurring the direct costs of producing goods and services?

A.  Earnings per share

B.  Return on investment

C.  Profit margin

D.  Gross margin

32.  What is a due diligence category that includes identifying mechanisms for communication and data tracking, the use of each organization’s use and type of enterprise management tools, and the integration of technology known as?

A.  Structural issues

B.  Financial considerations

C.  Technological considerations

D.  Legal issues

33.  Data analysis can overwhelm a presentation communicating strategic results. The best strategy is to communicate results as a narrative supported by data. Which of the following would be the best way to present information relative to a project to increase diversity goals set 3 years ago?

A.  A scattergram showing the overall effect of recruitment efforts over the past 3 years

B.  A combination bar chart showing actual and planned levels for each of the 3 years

C.  A tree diagram indicating the relative size of causes with their probability

D.  A Pareto chart showing where most of the budget for previous efforts was focused

34.  Which component of a business case presentation to management discusses factors that could increase or decrease the project’s chance for success?

A.  Statement of need

B.  Recommended solution

C.  Risks and opportunities

D.  Estimated costs and timeframe

35.  Which of the following is a characteristic of an income statement?

A.  Provides a “bottom-line” look at how the organization is performing

B.  Compares assets, liabilities, and equities

C.  Includes investments the company has made

D.  Includes long-term debt

36.  Senior leadership of a retail store chain is considering reducing the number of managers. What should be considered when determining which areas could be effectively managed with fewer supervisors?

A.  Which stores have the lowest financial performance?

B.  Do the employees perform repetitive simple tasks or is the work complex?

C.  Which stores are unionized?

D.  What is the highest level of education completed by the current management staff?

37.  Which of the following is an organizational effectiveness and development (OED) intervention that facilitates the discovery of causes and development of solutions with critical input from those most closely involved?

A.  Producing sustainable results

B.  Supporting continuous improvement

C.  Strategically aligned

D.  Collaborative

38.  Which type of alternative staffing arrangement involves circumstances in which an organization transfers all or substantially all of its employees to the payroll of an employee leasing firm; the leasing firm leases the employees back to the organization while handling most of the HR administrative functions?

A.  Professional employer organization (PEO)

B.  Payrolling

C.  Temp-to-lease program

D.  Outsourced services

39.  The cashiers’ union at Nationwide Appliances is on strike, accusing the company of unsafe working conditions. The drivers from One Stop Delivery Services attempt to deliver a shipment of refrigerators and are blocked from doing so by the strikers. As the HR director, how would you advise the senior management team of One Stop Delivery Services?

A.  This is organizational picketing. The company should file an unfair labor practice (ULP) charge with the National Labor Relations Board (NLRB).

B.  The cashiers’ union is within their rights to engage in this economic strike.

C.  This is a secondary boycott. The company should file a ULP charge with the NLRB.

D.  This is recognition picketing in which the cashiers’ union is demanding that Nationwide Appliances recognize their group as a lawful union and agree to bargain with them in good faith.

40.  Bossier Financial Consultants has seen high turnover among its top performers. In exit surveys, the former employees largely say that the compensation structure is not competitive with other financial management firms. As the chief HR officer (CHRO) you continually survey the salaries paid for similar positions in the market and don’t believe their expressed unhappiness is the fault of earning lower pay than the market. To objectively determine what is causing turnover among these top performers, which of the following evaluative tools would you use?

A.  Metrics

B.  Benchmarking

C.  Analytics

D.  Measures

41.  Which label describes a global firm as a decentralized portfolio of subsidiaries, where goals and strategies are developed locally because of competitive demands and knowledge is shared on a local rather than a global level?

A.  International

B.  Global

C.  Transnational

D.  Multidomestic

42.  Diversity creates many unique issues for the organization. One of these issues, religion, can create conflicts between work and religious obligations, scheduling issues, and conflicts between employees with different religious beliefs. Which potential solution best addresses these conflicts?

A.  Cross-cultural communication-skill training

B.  Flextime arrangements for religious holidays

C.  Team-building and communication-enhancement programs

D.  Diversity awareness and conflict resolution training

43.  In some organizations, HR may be responsible for managing risks inherent in the organization’s culture, policies, and practices. In this situation, performance targets typically include efforts to modify risks related to noncompliance, which include which of the following?

A.  Efforts to educate the organization about laws and regulations

B.  Procedures to implement a risk review process

C.  Compliance with the organization’s risk management policy

D.  Enforcement of a risk management procedure

44.  To be a values-based document rather than a rules-based document, an organization’s code of conduct must contain a statement of:

A.  Ethical and conduct guidelines

B.  Compliance with specific external regulations

C.  Organizational principles and standards

D.  Performance evaluation with channels for reporting misconduct

45.  Which law was the basis for the first expansion of the Family and Medical Leave Act (FMLA)?

A.  Fair Labor Standards Act (FLSA)

B.  National Defense Authorization Act (NDAA)

C.  Uniformed Services Employment and Reemployment Rights Act (USERRA)

D.  Worker Adjustment and Retraining Notification Act (WARN)

Scenario 2: U.S. Employment Law and Regulations (Questions 46 and 47) You are the HR director at a manufacturing plant that is currently hiring forklift operators. Your records indicate that female forklift operators have a higher absence rate due to injuries sustained while operating a forklift. As a result, a shift supervisor decided that female applicants must score four out of five on the forklift driving test, whereas male applicants can be considered viable candidates with a score of three out of five.

46.  What action would you take, if any?

A.  This practice is allowable because it is a bona fide occupational qualification (BFOQ) situation supported by company absence records.

B.  Stop this practice immediately. The practice is disparate treatment of female forklift operator candidates and is legally prohibited.

C.  Conduct an investigation that includes a review of accident and employee absence records. Review the results with the shift supervisor. Explore alternative actions that will replace the shift supervisor’s discriminatory process. Obtain the shift supervisor’s support of a nondiscriminatory alternative selection process.

D.  This involves a workplace safety issue. Do nothing.

47.  Realizing the potential problems this practice can create, you:

A.  Direct the shift supervisor to use the same testing criteria for women as for men

B.  Allow the practice to continue since you believe there is a valid correlation between a woman’s absence rate and her ability to operate a forklift

C.  Instruct the shift supervisor to apply a different testing standard for women to compensate for their apparent overall lack of skill

D.  Allow female employees additional practice time on the forklift before testing to come up to the same standard as men

48.  An organization needs to determine ways to use staff capabilities more fully and decide whether jobs should be redesigned. As the HR manager for this organization, you are given this assignment. Which of the following actions should you take first?

A.  Meet with line managers to examine skills and time utilization.

B.  Project future movement of employees through statistical analysis.

C.  Provide cross-training to develop employee skills in different areas.

D.  Research qualified professional sources for ideas on how to approach this effort.

49.  An international corporation completed its first phase of diversity awareness training. As the VP of HR, you have been asked to evaluate the training to identify any barriers to diversity initiatives and to determine future training and support requirements. Which research methodology will yield the best long-term results?

A.  Using statistical measures of association

B.  Running true experiments with experimental and control groups

C.  Gathering qualitative and quantitative information and data from training participants

D.  Interviewing training participants to discuss their reactions to the training provided

50.  You are the training director for a company that feels it needs refresher training in customer relations for the company’s 30 assigned customer service representatives. Senior management has given you a list of subjects they feel are important to include in this training. The 30 customer service reps are all located at the company’s headquarters. How do you start to plan and prepare this program?

A.  Review their employee records for past and current job performance issues and topics.

B.  Form an advisory committee consisting of the company’s sales, marketing, and operations managers. Consult with them as you design this program.

C.  Circulate questionnaires to all of the 30 customer service reps asking them to confidentially complete them and return them to you.

D.  Conduct a series of small focus groups involving 5 to 10 customer service reps in each session, scheduling enough sessions to include all of the customer service reps.

QUICK ANSWER KEY

Part I: SHRM-CP

1. A

2. C

3. B

4. D

5. B

6. A

7. B

8. C

9. A

10. B

People score: ___/10

11. B

12. D

13. D

14. C

15. C

Organization score: ___/5

16. C

17. B

18. D

19. A

20. B

Workplace score: ___/5

21. A

22. B

23. C

24. A

25. B

Situational judgment score: ___/5

Total SHRM-CP score: ___/25

Part II: SHRM-SCP

26. B

27. D

28. C

29. B

30. A

31. D

32. C

33. B

34. C

35. A

People score: ___/10

36. B

37. D

38. A

39. C

40. C

Organization score: ___/5

41. D

42. B

43. A

44. C

45. B

Workplace score: ___/5

46. B

47. A

48. A

49. C

50. D

Situational judgment score: ___/5

Total SHRM-SCP score: ___/25

ANSWERS     A

Part I: SHRM-CP

1.     A. The factor that addresses whether tax or other socialized incentives exist that could influence hiring decisions is a political factor.
   B, C, and D are incorrect. B is incorrect because economic factors address issues such as the stability of the current economy, the status of the unemployment rate, the stability of exchange rates, and similar issues. C is incorrect because social factors address the population’s growth rate, employment patterns, job market trends, and similar issues. D is incorrect because technology factors relate to the status and implementation of technology. This includes the existence of and access to new technologies, as well as the prospect of whether new technologies might affect the organization’s talent acquisition efforts.

2.     C. Behavioral engagement is evident in the effort employees put into their jobs, which leads to greater value, creating higher performance from their less-engaged counterparts.
   A, B, and D are incorrect. A is a trait of engagement that describes the inherent personality-based elements that make an individual predisposed to being engaged, a natural curiosity, a desire to be involved, and an interest in problem solving. B is a type of engagement that is influenced by workplace conditions that can be improved through organizational interventions directly under management’s control. D is when employees appear to be engaged but do not actually feel or think in an engaged way, which is called transactional engagement.

3.     B. An employee opinion survey is a survey that is designed to measure important data on specific issues that the employer may be evaluating or considering.
   A, C, and D are incorrect. A is an employee attitude survey that attempts to determine employee perceptions on topics such as the quality of management and the effectiveness of compensation and benefits programs. C is an employee engagement survey that focuses on the employee level of satisfaction, commitment, and morale. D is a quality of work–life issues survey that focuses on identifying how significant work–life issues may adversely affect job performance.

4.     D. Fishbowl activities involve a group of learners sitting in the center of a circle debating or discussing a topic while the remaining learners observe the discussion.
   A, B, and C are incorrect. A is incorrect because in a round robin participants compete against every other participant to answer a question or complete a task. Failure to win one of the competitions may result in elimination. B is incorrect because T-groups involve a group of people who investigate and explore patterns of authority and communication among themselves. C is incorrect because role playing is an activity where participants assume and act out roles to resolve conflicts or practice appropriate behavior for various situations.

5.     B. A highly structured questionnaire has the benefit of defining the job with a relatively objective approach and also enables analysis using computer models. This is good when a large number of jobs must be analyzed and there are limited resources to do it.
   A, C, and D are incorrect. A is incorrect because an interview is characterized by a face-to-face exposure in which the interviewer gets the necessary information from the employee. The benefit is the ability to start with predetermined questions, with new ones added based on the interviewee’s response. C is incorrect because an open-ended questionnaire involves questionnaires to incumbents, and sometimes managers, asking about the knowledge, skills, and abilities needed to perform their job. The benefit is that information can be solicited from both employees and their managers. D is incorrect because a work diary or log collects anecdotal information collected over a long period of time. It can provide an enormous amount of data but is not useful for computer analysis.

6.     C. During maturity, managers must focus on maximizing efficiency out of every existing element of the business. They must not only control the use of resources and manage risks but also be creative problem solvers.
   A, B, and D are incorrect. A is incorrect because the introduction phase is a period when vision, innovation, long hours, and energy are all critical to getting the organization started. B is incorrect because standardization is the phase that focuses on developing the most efficient structure and standardizing processes to move in the direction of peak efficiency. D is incorrect because decline is the time when organizations must be able to adapt or change to redefine themselves. The focus may be on “right-sizing” the workforce along with adapting to a new culture.

7.     D. The SWOT analysis is a simple and effective process for assessing an organization’s strategic capabilities in comparison to the threats and opportunities identified as part of the analysis.
   A, B, and C are incorrect. A is incorrect in that a SWOT analysis is not limited to operating requirements for an upcoming fiscal year. B is incorrect in that a SWOT analysis targets internal and external threats and opportunities in terms of strengths and weaknesses. C is incorrect because a SWOT analysis is not limited to examining an organization’s strategic capabilities.

8.     A. A mission statement specifies the activities an organization intends to pursue and the course management has charted for the future. It is a concise statement of its strategy.
   B, C, and D are incorrect. B describes a vision statement that provides an ultimate picture of what an organization’s management envisions for the future. C describes a values statement that often dictates employee behavior. D describes goals that are high-level targets capable of becoming specific measurable objectives.

9.     B. Some organizations use a balanced scorecard approach to identify their key performance indicators and to make sure that the objectives used to measure performance are strategically aligned to the various sources of value to the organization.
   A, C, and D are incorrect. A is incorrect because balance sheet analysis is a statement that reports a financial picture of an organization at a specific point in time; it shows assets, liabilities, and shareholder equity. C is incorrect because SWOT analysis is a process for assessing an organization’s strategic capabilities in comparison to threats and opportunities identified during environmental scanning. D is incorrect because blue ocean strategies are strategies that generate competitive advantage by creating a new marketplace opportunity in which there are no competitors.

10.     C. A comparison of previous and current activities and allocations is a first priority. Changes always affect a budget. Then, allocate funding to operating activities as affected by changes first. Next, fund strategic activities as projects.
   A, B, and D are incorrect. Budgeting ongoing operations (A) or strategic activities (B) without evaluating the effect of changes since last year can lead to a budget shortfall. Comparing previous and current activities followed by a combined budget priority list (D) could still result in a shortfall, which would be problematic if it adversely affects ongoing operations.

11.     B. An HR generalist is an HR professional who is a “jack of all trades.” A generalist is usually the first point of contact for employees and supervisors on a wide variety of HR issues.
   A, C, and D are incorrect. A is incorrect because an HR specialist is an HR professional who provides expertise in a specific HR function such as recruiting, workforce relations, benefits, and so on. C is incorrect because an HR manager is an HR professional who directs units within the HR function. An HR manager is responsible for working in collaboration with the HR leader to develop and implement HR strategy. D is incorrect because an HR leader is the strategic senior leader of the HR team. This person may have the title of director, VP of HR, or chief HR officer. The HR leader provides input into the overall company strategy.

12.     D. Project leaders are referred to as Six Sigma Black Belts.
   A, B, and C are incorrect. Because a Six Sigma Green Belt is an employee, a Six Sigma Master Black Belt is the quality leader who supervises the work of Green Belts. A Master Green Belt is not a Six Sigma classification.

13.     D. Management by objectives (MBO) is a type of performance appraisal where the employee sets objectives for themselves that are aligned to the company strategy. The objectives must be measureable.
   A, B, and C are incorrect. Essays, field reviews, and critical incident are all written narratives that the appraiser submits or HR compiles based on the appraiser feedback. None of these narratives typically involves input from the employee.

14.     C. Globally, excluding the United States, most employees have employment contracts. Even in the United States where the at-will doctrine is most common, there are numerous exceptions that have been established through litigation and nondiscrimination laws.
   A, B, and D are incorrect. These choices are incorrect because they do not identify the correct choice for the most common type of employment relationship globally. In the United States, the most common type of employment relationship is at-will, whereas globally the most common type is contractual.

15.     C. Encryption is the technical term used to describe converting data into a format that hides its intended meaning. All employee data should be stored in this format to protect employee privacy and personal information.
   A, B, and D are incorrect. A is incorrect because decoding means extracting the meaning of a message into terms that can be easily understood. B is incorrect because decryption is the process of converting encrypted data back into its original form so it can be understood. D is incorrect because “convert” means to change something into a different form so that it can be used in a different way.

16.     C. A “pull” factor is one that pulls an organization toward change by expecting greater organizational value through globalization. As an example, some organizations find that they have more control over their businesses by developing a multinational presence. Where they relied on distributors or franchises before, now they better control factors like brand image by opening subsidiaries in host countries.
   A, B, and D are incorrect. None of these choices is a “pull” factor. In fact, they are push factors in that they push the organization toward globalization in response to the external business environment.

17.     B. External dimensions describe the results of life experiences and choices. They include location, income, personal habits, education, and other similar external dimensions.
   A, C, and D are incorrect. A is incorrect because organizational dimensions include similarities and differences based on an individual’s position in the organization. C is incorrect because internal dimensions are aspects that are self assigned at birth. They include gender, ethnicity, race, age, and other similarities. D is incorrect because personality describes the center of the four layers, which are matters unique to each individual such as style, personal characteristics, preferences, perceptions, and other similarities.

18.     D. The risk level is often expressed as the relationship between the probability of occurrence compared with the magnitude of impact. The tool used to describe this is the risk matrix.
   A, B, and C are incorrect. A is incorrect because a risk register documents information and responsibility for managing specific risks. B is incorrect because a risk scorecard is a tool to gather individual assessments of various risks by their characteristics, in other words, frequency of occurrence, degree of impact, loss, or gain for the organization. C is incorrect because a risk prioritization matrix uses the data from the risk matrix and displays it in four quadrants (prepare, act, park, and address—the “PAPA Model”), representing the likelihood and speed of change in order to document recommended actions.

19.     A. The United Nations Global Contract addresses human rights, labor, environmental principles, and corruption issues.
   B, C, and D are incorrect. B is incorrect because the Caux principles formalized a set of international business standards with two underlying values: human dignity and “kyosei,” the Japanese ideal of living and working together for a common good. C is incorrect because SA 8000 is a set of international standards that focus on human rights and labor relations. D is incorrect because ISO 26000 is a quality standard that provides guidance on key themes of social responsibility.

20.     B. The 1967 Age Discrimination in Employment Act applies to private and public employers with 20 or more employees.
   A, C, and D are incorrect. The 1964 Civil Rights (Title VII), the 1990 Americans with Disabilities Act, and the 2009 ADA Amendments Act all apply to private and public employers with 15 or more employees.

21.     A. A is the best answer because of the circumstances and history involved. As an HR administrator, you are not in the best position to effectively investigate the circumstances without first coordinating with management.
   B, C, and D are incorrect because the HR administrator directly engaged with the alleged policy violator. The potential significance of this situation requires the HR manager’s direct involvement as early as possible.

22.     B. B is the best answer because it uses normal protocol, in other words, regular meetings, as the forum for discussion and resulting reassurance.
   A, C, and D are incorrect. A is incorrect because it involves a passive role asking what sort of information they would like to receive. C is incorrect because you have the relevant information, the commitment is to ensuring that they receive the information, and team meetings are a great way to do that. D is incorrect in that it is also passive and avoids a basic leadership responsibility: communication transparency.

23.     C. C is the best answer because it preserves the team leader authority while addressing the situation.
   A, B, and D are incorrect. They both communicate a message that is inaccurate; that is, these are not the real circumstances that create a need to spread the workload.

24.     A. This is a situation that needs immediate action. A is the best answer because it involves establishing short-term objectives that are urgently needed under these circumstances. These objectives, in turn, are best supported by the enhanced communications that will result from the weekly meetings.
   B, C, and D are incorrect. B is incorrect because it is too punitive in character to be effective. C is incorrect because, though it attempts to set expectations and track performance against those expectations, having separate arrangements with each team member is not collaborative and won’t produce the most effective outcomes because the team will not be in alignment with each other. D is incorrect because it threatens the team’s integrity by making the team members competitors.

25.     B. B is the best answer. Assuming that all are capable, offering a bonus is the best answer in that the need is immediate and the problem occurs during a peak production period. This approach has the advantage of providing an incentive to the person who takes on this additional responsibility.
   A, C, and D are incorrect. Neither A nor C offers any incentive to resolve the conditions that caused the problems in the first place. D is incorrect because, while it offers an incentive, which is great, simply improving productivity by 10 percent doesn’t tell you if that is what is needed to achieve the objective. Also, how would you measure a 10 percent increase in productivity for an HR staff? The target needs to be aligned to what you are trying to achieve as a business.

Part II: SHRM-SCP

26.     B. Expatriates are used most frequently when a pool of talented, experienced workers is not available in the host country. Since placing expatriates is expensive, there must be a compelling reason to hire expatriates over local nationals.
   A, C, and D are incorrect. A is incorrect because while stability is a desired situation, it would have little or no effect on the choice of a local national or expatriate. C and D are incorrect because both refer to conditions that normally would not affect the decision of local nationals or expatriates. In fact, because of the cost factor, as a general rule, local nationals are favored over expatriates on foreign assignments.

27.     D. Touchpoint mapping involves the identification, or “mapping,” of critical interaction points when the potential applicants and candidates come into contact with the organization’s brand.
   A, B, and C are incorrect. A is incorrect because benchmarking involves achieving the status as a benchmark organization that is recognized for authentic best practices that other organizations want to learn about and emulate. B is incorrect because online job and career portrayals are realistic virtual reality tours showcasing an organization’s culture, individual jobs, career progression, corporate responsibility, and other areas of potential interest to target audiences. C is incorrect because brand pillar identification is a clear statement of the most important attributes and principles the organization wants to consistently communicate in all aspects of talent acquisition and talent management.

28.     C. The behavioral interview focuses on how the candidate previously handled real situations that involved personal experiences for the candidate.
   A, B, and D are incorrect. A is incorrect because questions in a competency-based interview are questions that are based on real situations related to the required competencies for the job. B is incorrect because a stress interview is structured with questions designed to cause some level of stress. The objective is to see how the candidate reacts under pressure. An example might be questions that call for a position on open-ended business situations or describing a dilemma with a set of hard choices. D is incorrect because unstructured interviews are mostly informal and involve open-ended questions. While the interviewer may have certain predetermined topics, the questions are not preset for the interview.

29.     B. Kirkpatrick’s level 2 is correct because learning measures how participants increased or otherwise changed their knowledge, skills, and attitudes as a result of training.
   A, C, and D are incorrect. A is incorrect because level 1, reaction, is a measure of how participants felt about the program. C is incorrect because level 3, behavior, measures how participants changed their behavior on the job. D is incorrect because level 4, results, measures how the training program results affect the organization’s goals.

30.     A. An organization’s ethnocentric orientation is more apt to lead to the transfer of headquarters’ total compensation policies with little or no consideration of local and cultural differences.
   B, C, and D are incorrect. B is incorrect because polycentric orientation is an orientation in which local cultural and legal compensation norms are most likely to be understood and implemented. C is incorrect because regiocentric is an orientation in which there is the likelihood that there will be greater consistency of remuneration approaches within each local region. D is incorrect because geocentric orientation is where local compensation strategies are more likely to be consistent with global policies.

31.     D. The definition of gross margin is a profitability ratio showing the percentage of total sales revenue after incurring the direct costs of producing goods and services sold.
   A, B, and C are incorrect. A is incorrect because earnings per share is the profitability ratio used by equity holders as a standard expression of earning. B is incorrect because return on investment is the profitability ratio for a specific investment such as a capital expense project. It is usually used to compare options. C is incorrect because profit margin is the profitability after all expenses have been deducted and is expressed as a percentage of revenue.

32.     C. Due diligence is a business concept that refers to a full investigation of all factors involved in a business decision to ensure that all of the risks are identified, understood, and accepted. Due diligence usually divides into four categories: structural issues, technological issues, financial considerations, and legal issues. Structural issues involve identifying communications mechanisms, data tracking equipment, enterprise management tools, and the ability to integrate applicable technology.
   A, B, and D are incorrect. In this case, reference to structural issues limits the investigation to communications and data tracking equipment as subjects of this due diligence investigation.

33.     B. A combination bar chart would be the best display of data because it can be constructed to show the planned and actual goals achievement over the 3-year period.
   A, C, and D are incorrect. None of these choices effectively displays the planned and actual goals as well as a combination bar chart. A is incorrect because a scattergram is a two-dimensional graph in rectangular coordinates consisting of points whose coordinates represent values of two variables under study. C is incorrect because a tree diagram is a diagram with a structure of branching connecting lines, representing different processes and relationships. D is incorrect because a Pareto chart is a type of chart that contains both bars and a line graph, where individual values are represented in descending order by bars, and the cumulative total is represented by the line.

34.     C. Risk and opportunities discuss outcomes that could decrease or increase the project’s chance of success. Outcomes can also present new opportunities that call for action; they also create risks of doing nothing.
   A, B, and D are incorrect. These are all topics that are important to be included in a business case presentation, but they address other elements that should be considered in making a judgment as to whether a proposed project should be approved.

35.     A. The bottom line is the relationship between revenue and expenses that equates to a company’s net income, or the bottom line. This is data that is reflected on an income statement.
   B, C, and D are incorrect. All three choices are related to a balance sheet, not the income statement.

36.     B. A wide span of control works best when the employees perform repetitive or simple tasks. For more complex, specialized functions, a narrow span of control is more fitting. The problem that senior leadership is trying to solve in this case is whether they can reduce management staff without negatively impacting employee supervision. It would make sense to look at the pros and cons of adjusting spans of control.
   A, C, and D are incorrect. They are incorrect because the financial performance, union status, or management education levels have no determination on whether employees can be effectively managed if the company had fewer managers.

37.     D. Collaborative is the OED intervention that facilitates discovery of causes and development of solutions with critical input from those most closely involved.
   A, B, and C are incorrect. A is incorrect because producing sustainable results identifies changes that can continue to deliver long-term results. B is incorrect because supporting continuous improvement aims at strengthening the organization in an ongoing manner by identifying weaknesses and opportunities and engaging employees in performance improvement. C is incorrect because strategically aligned helps ensure that plans reinforce, complement, and build on each other and support overall organizational goals and strategies.

38.     A. A professional employer organization (PEO) is a firm that hires employees from other organizations with the intent of leasing them back to the original organization while providing all or most of the HR administrative services support to these leased employees for a fee.
   B, C, and D are incorrect. B is incorrect because payrolling is an arrangement where specific employees are referred to a staffing firm that employs them and assigns them back to their original organization, typically at a lower cost. C is incorrect because a temp-to-lease program is an arrangement in which two staffing firms are involved: one a temp service and the other a PEO. The temp service assigns the long-term temp to a client organization. After a period of time, the employee is promoted to lease status and becomes eligible for benefits from the PEO. D is incorrect because outsourced services involve an independent organization with expertise in operating specific functions that agrees to assume full responsibility for the functions, usually at a cost savings to the client organization.

39.     C. A secondary boycott is an attempt to stop people or companies from doing business with or for an employer that is engaged in a labor dispute with a union. This kind of boycott is an unfair labor practice (ULP).
   A, B, and D are incorrect. This is not an organizational or recognition strike. It can be inferred from the question that this union is recognized by the employer. It is true that this is an economic strike against Nationwide Appliances; however, by blocking the delivery drivers from making the delivery of refrigerators, the cashiers union has engaged in a secondary boycott against One Stop Delivery Services. This is a ULP that the employer can file with the National Labor Relations Board within 6 months of the incident.

40.     C. HR analytics, also known as people or human capital analytics, allows you to add context to metrics, thereby allowing you to implement better decisions such as effective strategies to retain critical talent.
   A, B, and D are incorrect. A is incorrect because metrics are performance parameters. This is raw data that describes the relationship between two variables. For example, a metric may be that a company who had 13 percent turnover last fiscal year set a goal of 5 percent the current fiscal year, and year to date they are at 3 percent. B is incorrect because benchmarking is a way of comparing something to a standard. For example, a company may set a benchmark of 3 errors per 2,000 units produced based on an industry standard of 5 errors per 2,000 units produced. D is incorrect because measures are simply a tabulation of data.

41.     D. In a multidomestic strategy, the organization is a decentralized portfolio of subsidiaries. Goals and strategies are developed locally because of competitive demands. Knowledge is shared on a local rather than a global level.
   A, B, and C are incorrect. A is incorrect because international is a strategy in which a firm exports a product or a service to foreign countries. The company may open production facilities or service centers, but the product or service, processes, and strategy are developed in the home country. B is incorrect because global is a strategy where the firm views the world as a single, global market and offers global products that have little or no variation or that have been designed with customizable elements. Strategy, ideas, and processes emanate from headquarters. C is incorrect because transnational is a strategy in which the firm locates its value chain activities in the most advantageous geographic locations. Subsidiaries are allowed to adapt global products and services to local markets. Best practices and knowledge are shared throughout the organization.

42.     B. Flextime arrangements that recognize and allow for flexible scheduling to avoid work conflicts best address conflicts between work and religious beliefs.
   A, C, and D are incorrect. A is incorrect because cross-cultural communication-skill training best addresses ethnicity and race issues. C is incorrect because team-building and communication-enhancement support programs best address nationality (culture) programs. D is incorrect because diversity awareness and conflict resolution training best meet equal opportunities for growth and development issues.

43.     A. Efforts to modify risks related to noncompliance include educating the organization about laws and regulations.
   B, C, and D are incorrect. Although valid safety measures, they are all enforcement-related efforts, not education efforts.

44.     C. The components of a values-based document instead of a rules-based document is that the tone of the document is “what we must do together” rather than “what we expect you to do.” Organizational principles and standards reflect the organization’s values.
   A, B, and D are incorrect. All three statements focus on “what we expect you to do,” a rules-based rather than a values-based approach.

45.     B. The National Defense Authorization Act was the basis for the first expansion of the Family and Medical Leave Act.
   A, C, and D are incorrect. These laws provide different benefits and protections.

46.     B. B is the best answer because the practice of applying different pass rates on the basis of sex is illegal and a form of disparate treatment, even when “supported” by accident records. There is a high probability that an alternative nondiscriminatory procedure(s) can be explored that will accomplish the same effect.
   A, C, and D are incorrect. The shift supervisor’s procedure is illegal (disparate treatment). Immediate action should be taken to stop this procedure and implement a new alternative nondiscriminatory procedure.

47.     A. A is the best answer because to be legal a selection test must be valid (measure what it purports to measure). In this case, the testing criteria is invalid, thereby resulting in an invalid test. Under these circumstances, immediate action is required to replace the current test with a valid test.
   B, C, and D are incorrect. There is no valid correlation between a woman’s absence rate and her ability to operate a forklift. Equally wrong, applying a different testing standard that favors women is as invalid as applying a different standard for men.

48.     A. A is the best answer because before decisions are made regarding adding staff or cross-training, HR should meet with managers to examine and discuss skills and time utilization. This will give HR the basic information it needs to capitalize on the competencies of the organization’s existing staff.
   B, C, and D are incorrect. Neither analysis of employee future movements nor immediate cross-training will be as beneficial as developing background information from line managers and researching qualified sources.

49.     C. C is the best answer because gathering qualitative and quantitative information and data from participants will provide the best long-term results. Typical data sources include performance evaluations, salary increases, bonus and promotion records, and other similar sources.
   A, B, and D are incorrect. Using statistical measure of association and running true experiments are relatively less effective.

50.     D. D is the best answer because conducting a series of small focus groups involving 5 to 10 customer service reps in each session is the best first step to take. Focus groups allow for a candid two-way discussion and offer a group perspective, all important for planning purposes.
   A, B, and C are incorrect. Reviewing customer representative employee records for past and current job performance issues and forming an advisory committee using the committee for assistance are not good approaches.

Analyzing Your Results

Congratulations on completing the pre-assessment exam. You should now take the time to analyze your results with these two objectives in mind:

•  Identify the time and resources you should use to prepare for the SHRM-CP or
SHRM-SCP exam.

•  Identify the specific topics you should focus on in your preparation efforts.

Keep in mind that the SHRM Competency Model on which the certification exam is based identifies eight key behavioral competencies, grouped into three behavioral clusters, and one technical competency, all of which can appear on the certification exam:

•  Leadership Cluster

•  Leadership & Navigation

•  Ethical Practice

•  Business Cluster

•  Business Acumen

•  Consultation

•  Critical Evaluation

•  Interpersonal Cluster

•  Relationship Management

•  Global & Cultural Effectiveness

•  Communication

•  HR Expertise, i.e., HR Knowledge

HR Knowledge, the one technical competency, is organized into three knowledge domains:

•  People

•  Organization

•  Workplace

SHRM-CP

Using the following table, total your correct score.

SHRM-CP Practice Exam Results

•  If your total score is between 18 and 25, we recommend you use this book to refresh your knowledge and prepare yourself mentally for the SHRM-CP certification exam.

•  If your total score is between 13 and 17, we recommend you review your scores in the specific subject areas and identify the particular areas that require your focused attention and, using SHRM-CP/SHRM-SCP Certification All-in-One Exam Guide, review the subject areas most important to you. Once you have done this, proceed to work through the questions in this book.

•  If your total score is between 0 and 16, we recommend you spend a significant amount of time reviewing the material in SHRM-CP/SHRM-SCP Certification All-in-One Exam Guide before using this book.

When you have identified your readiness for the SHRM-CP exam, we recommend you use the following table to identify the specific areas that will require your focus as you prepare for the exam.

SHRM-CP Rating Guide

SHRM-SCP

Using the following table, total your correct score.

SHRM-SCP Practice Exam Results

•  If your total score is between 18 and 25, we recommend you use this book to refresh your knowledge and prepare yourself mentally for the SHRM-SCP certification exam.

•  If your total score is between 13 and 17, we recommend you review your scores in the specific subject areas and identify the particular areas that require your focused attention and, using SHRM-CP/SHRM-SCP Certification All-in-One Exam Guide, review the subject areas most important to you. Once you have done this, proceed to work through the questions in this book.

•  If your total score is between 0 and 16, we recommend you spend a significant amount of time reviewing the material in SHRM-CP/SHRM-SCP Certification All-in-One Exam Guide before using this book.

When you have identified your readiness for the SHRM-SCP exam, we recommend you use the following table to identify the specific areas that will require your focus as you prepare for the exam.

SHRM-SCP Rating Guide

Good luck!