PHR Business Management 3 — Questions and Answers
Question 1: Which document outlines an organization's fundamental purpose and reason for existence?
- Mission statement (Correct answer)
- Vision statement
- Balance sheet
- Org chart
Correct answer: Mission statement
A mission statement describes the organization's core purpose and present reason for being.
Question 2: In a matrix organizational structure, employees typically report to:
- Two or more managers (Correct answer)
- Only the CEO
- No manager
- A single functional manager
Correct answer: Two or more managers
Matrix structures create dual reporting relationships, usually to both a functional and a project manager.
Question 3: What does the term 'span of control' refer to?
- Number of employees a manager directly supervises (Correct answer)
- Total company revenue
- Length of a project
- Range of pay grades
Correct answer: Number of employees a manager directly supervises
Span of control is the number of subordinates reporting directly to one manager.
Question 4: Which planning framework translates strategy into measures across financial, customer, internal, and learning perspectives?
- Balanced scorecard (Correct answer)
- SWOT analysis
- Fishbone diagram
- Gantt chart
Correct answer: Balanced scorecard
The balanced scorecard tracks performance across four linked perspectives tied to strategy.
Question 5: An HR leader presenting metrics to executives should focus primarily on:
- Data linked to business outcomes (Correct answer)
- Detailed transaction logs
- Personal anecdotes only
- Raw unanalyzed spreadsheets
Correct answer: Data linked to business outcomes
Executives respond to data tied to measurable business outcomes and strategy.
Question 6: Which of the following is an example of a qualitative data source?
- Employee interview responses (Correct answer)
- Turnover percentage
- Absenteeism rate
- Headcount totals
Correct answer: Employee interview responses
Interview responses are qualitative because they capture narrative, non-numeric information.
Question 7: Change management models like Lewin's emphasize which three stages?
- Unfreeze, change, refreeze (Correct answer)
- Plan, do, stop
- Hire, train, fire
- Start, pause, end
Correct answer: Unfreeze, change, refreeze
Lewin's model describes unfreezing the status quo, making the change, then refreezing the new state.
PHR Business Management 3
Which document outlines an organization's fundamental purpose and reason for existence?