Human Resource Management Chapter 1 Exam
– HRM Foundations, Human Capital & Strategic
Challenges Verified Questions Complete with A+
Graded Rationales Latest Updated 2026
Human Resource Management
The process of managing human talent to achieve an organization's objectives.
Human Capital
Knowledge, skills, and capabilities of individuals that add economic value to an organization.
Human Resource management is important because it plays a key role in:
- in selecting, training, motivating, appraising, and promoting employees
- in a company's survival , effectiveness, and competitiveness
- the policies, practices, and systems, that influence employee's behavior, attitudes, and
performance
Organizations should utilize ________ _________ and ______ in their development.
employee knowledge; invest
Organizations respond strategically to changes in the marketplace by:
- making adjustments in the labor force via downsizing, outsourcing, and offshoring
- implementing cost-cutting strategies
- enhancing benefit programs
- improving quality
- Expanding market share and product lines
Downsizing
The planned elimination of jobs.
Outsourcing
Hiring someone outside the company to perform business processes that were previously
done within the firm
Offshoring [Global sourcing]
shifting work to locations abroad
– HRM Foundations, Human Capital & Strategic
Challenges Verified Questions Complete with A+
Graded Rationales Latest Updated 2026
Human Resource Management
The process of managing human talent to achieve an organization's objectives.
Human Capital
Knowledge, skills, and capabilities of individuals that add economic value to an organization.
Human Resource management is important because it plays a key role in:
- in selecting, training, motivating, appraising, and promoting employees
- in a company's survival , effectiveness, and competitiveness
- the policies, practices, and systems, that influence employee's behavior, attitudes, and
performance
Organizations should utilize ________ _________ and ______ in their development.
employee knowledge; invest
Organizations respond strategically to changes in the marketplace by:
- making adjustments in the labor force via downsizing, outsourcing, and offshoring
- implementing cost-cutting strategies
- enhancing benefit programs
- improving quality
- Expanding market share and product lines
Downsizing
The planned elimination of jobs.
Outsourcing
Hiring someone outside the company to perform business processes that were previously
done within the firm
Offshoring [Global sourcing]
shifting work to locations abroad
