HPHM 4303 Principles of HRM - Midterm Exam Review (Qns & Ans) - TTUHSC 2025, Exams of Nursing

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HPHM 4303 Principles of Human

Resource Management

Midterm Exam Review

(Questions & Solutions)

1. Multiple Choice Question: A regional healthcare system is developing its strategic HR plan. Which of the following is the primary purpose of aligning HR strategy with organizational mission and goals?

• A. To reduce employee training costs
• B. To ensure that talent management practices support long-term organizational success
• C. To simplify payroll processing
• D. To delegate responsibility to middle management only Correct ANS: B. To ensure that talent management practices support long-term organizational success Rationale: When HR strategy is aligned with the organization's mission, it builds a workforce geared toward meeting strategic objectives. For healthcare organizations, this alignment ensures that recruitment, retention, and development activities support both financial sustainability and quality patient care.

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2. Fill-in-the-Blank Question: Workforce planning is the process of analyzing current staffing levels and forecasting __________ to ensure the healthcare organization meets its future patient care needs. Correct ANS: future human resource needs

Correct ANSs: A, B, D, E Rationale: HRM primarily focuses on recruitment and selection, compensation and benefits, performance appraisal, and employee development. Marketing and sales (C) are functions typically managed by other departments rather than HR.

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5. Multiple Choice Question: A healthcare organization is revising its compensation strategy to ensure competitiveness in a tight labor market. Which of the following would be most effective in attracting and retaining highly qualified staff?

• A. Offering minimal wage increases to reduce costs
• B. Developing a total rewards package that includes competitive salary, benefits, and professional development opportunities
• C. Providing only non-monetary recognition
• D. Reducing benefits and shifting focus to commission-based pay Correct ANS: B. Developing a total rewards package that includes competitive salary, benefits, and professional development opportunities Rationale: A comprehensive total rewards package addresses not only direct financial compensation but also benefits, work-life balance, and development opportunities, all of which are crucial for attracting and retaining talent in competitive healthcare environments.

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6. Fill-in-the-Blank Question: The employee turnover rate is calculated by dividing the number of separations during a period by the __________ and multiplying by 100 to obtain a percentage. Correct ANS: average number of employees Rationale: This metric quantifies the proportion of workforce loss over time, which is essential for understanding staffing challenges and developing strategies to improve employee retention.

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7. True/False Question: True or False: Affirmative action programs in healthcare are designed to promote equal employment opportunity by reducing disparities among underrepresented groups. Correct ANS: True Rationale: Affirmative action aims to counteract historical imbalances and foster diversity. In healthcare, promoting diversity among staff can enhance patient care and cultural competence.

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8. Multiple Response Question: When assessing employee morale in a healthcare organization, which of

component of risk management in healthcare HR.

10. Fill-in-the-Blank Question: Job analysis is a process used to determine the essential tasks and responsibilities of a position, forming the basis for developing job descriptions, performance standards, and __________. Correct ANS: competency models Rationale: Job analysis informs competency models and helps ensure that hiring, training, and performance evaluations are aligned with the critical requirements of the role.

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11. True/False Question: True or False: Outsourcing some HR functions (such as payroll processing) can lead to cost savings but may also affect employee engagement and organizational culture if not integrated properly. Correct ANS: True Rationale: Outsourcing can reduce overhead costs; however, it may lead to a disconnect between employees and the organization if HR functions are not well integrated with the overall culture and internal communication strategies.

12. Multiple Response Question: Which of the following are advantages of effective diversity management in healthcare organizations? (Select all that apply)

• A. Improved cultural competence in patient care
• B. Enhanced problem-solving and innovation in teams
• C. Increased employee morale and retention
• D. Uniformity in employee backgrounds
• E. Greater competitive advantage in the marketplace Correct ANSs: A, B, C, E Rationale: Effective diversity management leads to a more culturally competent workforce, drives innovation, and improves employee morale and retention, which collectively strengthen the overall competitive position of the organization. Option D is incorrect because diversity implies variety, not uniformity.

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13. Multiple Choice Question: In a performance management system, which model is most commonly used by healthcare organizations to evaluate employee performance across multiple dimensions?

• A. The MBO (Management by Objectives) model
• B. The Balanced Scorecard
• C. The 360‑Degree Feedback model
• D. The Forced Ranking model Correct ANS:

Rationale: Employee engagement is a key driver of quality care, operational efficiency, and revenue. Engaged employees are more productive and contribute directly to improved clinical outcomes and organizational profitability.

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16. Multiple Response Question: Which strategies are effective for talent retention in a competitive healthcare market? (Select all that apply)

• A. Offering competitive salaries and benefits
• B. Providing opportunities for professional development
• C. Implementing structured mentorship programs
• D. Limiting opportunities for career advancement
• E. Cultivating a supportive and inclusive work environment Correct ANSs: A, B, C, E Rationale: Retention strategies should include competitive compensation, career development, mentorship, and a positive work culture. Limiting career advancement (D) directly contradicts retention objectives.

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17. Multiple Choice Question: Which motivation theory is frequently applied in HR management to explain and enhance employee job satisfaction in healthcare settings?

• A. Maslow’s Hierarchy of Needs
• B. Herzberg’s Two-Factor Theory
• C. McClelland’s Theory of Needs

• D. Equity Theory Correct ANS: B. Herzberg’s Two-Factor Theory Rationale: Herzberg’s Two-Factor Theory distinguishes between hygiene factors and motivators, providing insight into how job satisfaction is achieved. This theory is widely used in HR management to develop strategies that improve workplace motivation and job satisfaction.

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18. Fill-in-the-Blank Question: 

The process of continuous quality improvement in HR involves identifying performance gaps and implementing __________ strategies to close those gaps. Correct ANS: remediation Rationale: Remediation strategies in HR aim to address and close performance gaps through training, process improvements, and adjustments to policies, ensuring the organization consistently meets its performance benchmarks.

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19. True/False Question: 

True or False: Strategic HR planning must be fully aligned with the overall mission and long-term goals of the healthcare organization to be effective.

• A. By automating all HR tasks
• B. By providing data-driven insights for workforce planning and performance management
• C. By reducing the need for employee surveys
• D. By staff training replacement Correct ANS: B. By providing data-driven insights for workforce planning and performance management Rationale: HR analytics leverages data to inform decisions regarding recruitment, retention, and workforce planning, leading to more efficient and effective HR strategies within healthcare organizations.

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22. Fill-in-the-Blank Question: 

Training and development programs in HR are designed to enhance employees’ __________ and __________, ensuring the overall improvement of workforce capabilities. Correct ANS: knowledge; skills Rationale: Effective training programs focus on enhancing both the knowledge base and functional skills of employees. This dual improvement is essential for advancing employee competence and adapting to evolving healthcare demands.

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23. True/False 

Question: True or False: Employee wellness programs in healthcare organizations have been linked to reduced absenteeism and improved productivity. Correct ANS: True Rationale: Wellness programs promote better health, reduce burnout, and improve job satisfaction, which in turn reduce absenteeism and drive higher productivity—benefiting overall organizational performance.

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24. Multiple Response Question: Which external factors can significantly impact HR planning in healthcare organizations? (Select all that apply)

• A. Changes in federal and state labor laws
• B. Technological advancements in healthcare
• C. Economic downturns
• D. Workforce demographic shifts
• E. Employee favorite lunch options Correct ANSs: A, B, C, D Rationale: External factors such as regulatory changes, technological innovation, economic conditions, and demographic trends influence HR planning. Favorite lunch options (E) are not a significant factor in strategic HR planning.

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27. True/False Question: True or False: A high turnover rate among healthcare staff is often an indicator of underlying issues in the organizational culture and HR practices. Correct ANS: True Rationale: High employee turnover may signal problems such as insufficient support, inadequate compensation, or poor management practices. Identifying and addressing these issues is critical for HR to enhance retention and maintain quality care.

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28. Multiple Response Question: Which components are crucial to an effective HR strategy in healthcare? (Select all that apply)

• A. Clear organizational goals and strategic alignment
• B. Robust recruitment and selection processes
• C. Continuous performance and compensation management
• D. Comprehensive training and development programs
• E. Random hiring processes without structured interviews Correct ANSs: A, B, C, D Rationale: Effective HR strategy depends on aligning goals, systematic recruitment, performance management, and ongoing training. Random hiring (E) disregards the strategic planning required to secure a qualified

workforce.

29. Multiple Choice Question: How does an integrated Human Resources Information System (HRIS) support strategic HR management in healthcare organizations?

• A. By automating routine tasks and providing real-time data for decision-making
• B. By replacing the need for human resource departments entirely
• C. By limiting access to employee information strictly to HR executives
• D. By generating standardized, one-size-fits-all policies Correct ANS: A. By automating routine tasks and providing real-time data for decision- making Rationale: An integrated HRIS streamlines operations by automating administrative processes and generating data analytics, which inform strategic decisions in areas such as recruitment, performance, and compensation.

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30. Fill-in-the-Blank Question: Benchmarking in human resources involves comparing an organization's HR metrics to those of __________ to identify areas for performance improvement. Correct ANS: industry peers Rationale:

department. ANS: False Rationale: While HR plays a role, employee engagement is a shared responsibility involving leadership, management, and the work environment. Multiple Response: Which of the following are key components of a comprehensive employee benefits package in a healthcare setting? (Select all that apply.) a) Health insurance b) Paid time off (PTO) c) Retirement plans d) Company car ANS: a, b, and c Rationale: These are standard benefits, while a company car is less common. Multiple Choice: What is the primary purpose of a job analysis in HR management within a hospital setting? a) To determine salary levels for different positions. b) To create job descriptions and specifications. c) To evaluate employee performance. d) To identify training needs for employees. ANS: b) To create job descriptions and specifications.

Rationale: Job analysis is the foundation for understanding the requirements of a job. Fill-in-the-Blank: The process of attracting, screening, and selecting qualified individuals for a job is called __. ANS: Recruitment and Selection Rationale: This is a core HR function. True/False: An exit interview is a valuable tool for gathering information about why employees leave an organization. ANS: True Rationale: Exit interviews can reveal important insights into employee satisfaction and areas for improvement. Multiple Response: Which of the following are examples of illegal interview questions? (Select all that apply.) a) "Are you married?" b) "What languages do you speak?" c) "Do you have any disabilities?" d) "What is your previous salary?" ANS: a and c Rationale: These questions can be used to discriminate.