SHRM-CP BUSINESS EXAM QUESTIONS &
DETAILED COMPLETE SOLUTIONS
1. Value defined and measured differently. Organizational success in meetings its
strategic
2. value chain represents the process by which an organization creates the product or
service it otters to the customer
3. Pivotal the key value that HR contributes to the value chain is the quality and
talent pool availability of those employees whose skills are critical to the
organization's strategy
4. Multiple
organi-
A global value chain consists of- producing parts of a good or service across
zations
geographical regions, with each link on the chain adding value
5. Introduction 1st step of Life Cycle of Business: Revenue is low because there is little
market
awareness and because of the market's resistance to change. HR Goal is
create.
6. Growth 2nd step of life cycle of business; as time proceeds, revenue begins to
increase; rate of growth will vary by industry; Goal: processes to max
efficiency without stifling innovation
7. Maturity 3rd step of business life cycle; Market: saturated with competitors and
growth oc- curs only thru intro of new products or customer groups or
acquisitions; narrower profit margins, important efficiency
8. Renewal/ no
growth 10. Business intelli- gence
decline
9. Macroenviron
- ment
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26
,SHRM-CP BUSINESS EXAM QUESTIONS &
DETAILED COMPLETE SOLUTIONS
demand decreases;
company must renew
by completely
changing otterings OR
take no action and
accept continued low
revenue OR take no
action and accept fate
all factors that exist
outside the organizations
that could influence on
organi- zation's strategic
decisions like industry and
market conditions and
events and trends in
society
the ability to use
information to gain a
deeper understanding
of an organization and
its parts to see how
the whole organization
and its parts are
performing and make
sound business
decisions that are
grounded in relevant
and accurate facts
rather than
assumptions
2/
26
,SHRM-CP BUSINESS EXAM QUESTIONS &
DETAILED COMPLETE SOLUTIONS
11. Data gathering Data is routinely gathered through different computer system in all parts of
the
organization
12. Data Data gathered from different systems is translated into a standard format
warehous- ing and stored in databases related to specific uses.
13. Enterprise re- suites of integrated applications for special purposes like finance resource man-
source
agement, supply chain management, human resource management,
planning
customer relationship management, manufacturing resource planning
Users can access the data they need and use stand-alone or integrated
14. Query and re-
business application software to sort, describe, and analyze data in
porting
myriad ways and to create report graphics.
capabili- ties
15. Online takes data from the database and stores it in a compact, multidimensional
cube.
analytical
Organizes information
processing
16. incremental the previous year's budget is a starting point for the next year's budget
bud- geting and program and function leaders go from there
17. zero-based previous year's budget is zeroed out and no funding commitments for the
bud- geting coming year are assumed
18. activity- the cost factors for specific activities are identified and used to estimate
based funding requirements.
budgeting
the total amount of a function's budget is apportioned to departments or
19. formula- activities according to defined percentages
based
budgeting
3/
26
DETAILED COMPLETE SOLUTIONS
1. Value defined and measured differently. Organizational success in meetings its
strategic
2. value chain represents the process by which an organization creates the product or
service it otters to the customer
3. Pivotal the key value that HR contributes to the value chain is the quality and
talent pool availability of those employees whose skills are critical to the
organization's strategy
4. Multiple
organi-
A global value chain consists of- producing parts of a good or service across
zations
geographical regions, with each link on the chain adding value
5. Introduction 1st step of Life Cycle of Business: Revenue is low because there is little
market
awareness and because of the market's resistance to change. HR Goal is
create.
6. Growth 2nd step of life cycle of business; as time proceeds, revenue begins to
increase; rate of growth will vary by industry; Goal: processes to max
efficiency without stifling innovation
7. Maturity 3rd step of business life cycle; Market: saturated with competitors and
growth oc- curs only thru intro of new products or customer groups or
acquisitions; narrower profit margins, important efficiency
8. Renewal/ no
growth 10. Business intelli- gence
decline
9. Macroenviron
- ment
1/
26
,SHRM-CP BUSINESS EXAM QUESTIONS &
DETAILED COMPLETE SOLUTIONS
demand decreases;
company must renew
by completely
changing otterings OR
take no action and
accept continued low
revenue OR take no
action and accept fate
all factors that exist
outside the organizations
that could influence on
organi- zation's strategic
decisions like industry and
market conditions and
events and trends in
society
the ability to use
information to gain a
deeper understanding
of an organization and
its parts to see how
the whole organization
and its parts are
performing and make
sound business
decisions that are
grounded in relevant
and accurate facts
rather than
assumptions
2/
26
,SHRM-CP BUSINESS EXAM QUESTIONS &
DETAILED COMPLETE SOLUTIONS
11. Data gathering Data is routinely gathered through different computer system in all parts of
the
organization
12. Data Data gathered from different systems is translated into a standard format
warehous- ing and stored in databases related to specific uses.
13. Enterprise re- suites of integrated applications for special purposes like finance resource man-
source
agement, supply chain management, human resource management,
planning
customer relationship management, manufacturing resource planning
Users can access the data they need and use stand-alone or integrated
14. Query and re-
business application software to sort, describe, and analyze data in
porting
myriad ways and to create report graphics.
capabili- ties
15. Online takes data from the database and stores it in a compact, multidimensional
cube.
analytical
Organizes information
processing
16. incremental the previous year's budget is a starting point for the next year's budget
bud- geting and program and function leaders go from there
17. zero-based previous year's budget is zeroed out and no funding commitments for the
bud- geting coming year are assumed
18. activity- the cost factors for specific activities are identified and used to estimate
based funding requirements.
budgeting
the total amount of a function's budget is apportioned to departments or
19. formula- activities according to defined percentages
based
budgeting
3/
26
