SHRM CP EXAM QUESTIONS AND
ANSWERS 2026 VERIFIED.
Career Planning - ANS Actions & activities that individuals perform in order to give direction
to their work lives.
Brain drain - ANS Exit of educated & skilled citizens from emerging & developing countries for
better paying jobs in developed countries.
Auditory learners - ANS People who learn best by relying on their sense of hearing.
Andragogy - ANS Study of how adults learn.
Cost-of-living adjustment (COLA) - ANS Pay adjustment given to eligible employees regardless
of performance or organizational profitability; usually linked to inflation.
Compa-ratio - ANS Pay rate divided by the midpoint of the pay range.
Broadbanding - ANS Combining several salary grades or job classifications with narrow pay
ranges unto one brand with a wider salary spread.
Behavioral interview - ANS Type of interview that focuses on how applicants previously
handled real situations.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 1 OF 40
,Applicant tracking software (ATS) - ANS Software that provides an automated way for
organizations to manage the recruiting process.
Developmental activities - ANS Activities that focus on preparing employees for future
responsibilities while increasing their capacity to perform their current jobs.
Compensation - ANS All financial returns (beyond any benefits payments or services),
including salary and allowances.
Career development - ANS Process by which employees progress through a series of stages in
their careers, each of which is characterized by relatively unique, themes, and tasks.
Benefits - ANS Payments or services provided to employees to cover issues such as
retirement, health care, sick pay/disability schemes, life insurance, and paid time off.
Apprenticeship - ANS Related to technical skills training; often a partnership between
employers and unions.
Competency-based interview - ANS Type of interview in which the interviewer asks questions
related to competencies for the position and asks candidates to provide examples of times they
demonstrated the competencies.
ADDIE model - ANS 5 step instructional design process that governs the development of
learning programs.
Assessment centers - ANS Assessment tools that provide candidates a wide range of
leadership situations and problem-solving exercises.
Blended learning - ANS Planned approach to learning that included a combination of
instructor-led training, self-directed study, and /or on-the-job training.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 2 OF 40
,Career management - ANS Preparing, implementing, and monitoring employees' career
paths, with a primary focus on the goals and needs of the organization.
Competencies - ANS Clusters of highly interrelated attributes, including knowledge, skills, or
abilities (KSA) that give rise to the behaviors needed to perform a given job effectively.
Strategy - ANS A plan of action for accomplishing an organization's long-range goals.
SWOT analysis - ANS Process for assessing an organization's strategic capabilities in
comparison to threats and opportunities identified during environmental scanning.
Value drivers - ANS Actions, processes, or results that are needed to deliver a desired value.
Vision statement - ANS Vivid, guiding image of an organization's desired future, the future it
hopes to attain through its strategy.
Organizational values - ANS Beliefs that are important to an organization and often dictate
employee behavior.
Strategic fit - ANS A state in which an organization's strategy is consistent with its external
opportunities and circumstances and its internal structure, resources, and capabilities.
Strategic management - ANS The actions that leaders take to move their organizations
toward those goals and create value for all stakeholders.
Strategic planning - ANS The process of setting goals and designing a path toward a
competitive position.
Metrics - ANS Performance parameters based on the relationship between 2 or more
measures.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 3 OF 40
, Mission statement - ANS Statement that specifies what activities an organization intends to
pursue and what course management has carted for the future; a concise statement of its
strategy.
Net profit margin - ANS Ratio of net income (gross sales minus expenses and taxes) to net
sales.
Organizational culture - ANS The basic beliefs and customs shared by members of an
organization that contribute to an organization's sense of its identity.
Income statement - ANS Statement that reports revenues, expenses, and net income (profit)
for a specified period.
Lagging indicator - ANS Type of metric that describes an activity that has already occurred.
Leading indicator - ANS Type of metric that describes an activity that can change future
performance and indicate higher degree of success in achieving strategic goals.
Liabilities - ANS Organization's debts and other financial obligations.
Due diligence - ANS Necessary level of care and attention that is taken to investigate an
action before it is taken.
Environmental scanning - ANS Process that involves a systematic survey and interpretation of
relevant data to identify external opportunities and threats and to assess how these factors
affect the organization currently and how they are likely to affect the organization in the future.
Equity - ANS Amount of owners' or shareholders' portion of a business.
Gross profit margin - ANS Ratio of gross profit to net sales.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 4 OF 40
ANSWERS 2026 VERIFIED.
Career Planning - ANS Actions & activities that individuals perform in order to give direction
to their work lives.
Brain drain - ANS Exit of educated & skilled citizens from emerging & developing countries for
better paying jobs in developed countries.
Auditory learners - ANS People who learn best by relying on their sense of hearing.
Andragogy - ANS Study of how adults learn.
Cost-of-living adjustment (COLA) - ANS Pay adjustment given to eligible employees regardless
of performance or organizational profitability; usually linked to inflation.
Compa-ratio - ANS Pay rate divided by the midpoint of the pay range.
Broadbanding - ANS Combining several salary grades or job classifications with narrow pay
ranges unto one brand with a wider salary spread.
Behavioral interview - ANS Type of interview that focuses on how applicants previously
handled real situations.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 1 OF 40
,Applicant tracking software (ATS) - ANS Software that provides an automated way for
organizations to manage the recruiting process.
Developmental activities - ANS Activities that focus on preparing employees for future
responsibilities while increasing their capacity to perform their current jobs.
Compensation - ANS All financial returns (beyond any benefits payments or services),
including salary and allowances.
Career development - ANS Process by which employees progress through a series of stages in
their careers, each of which is characterized by relatively unique, themes, and tasks.
Benefits - ANS Payments or services provided to employees to cover issues such as
retirement, health care, sick pay/disability schemes, life insurance, and paid time off.
Apprenticeship - ANS Related to technical skills training; often a partnership between
employers and unions.
Competency-based interview - ANS Type of interview in which the interviewer asks questions
related to competencies for the position and asks candidates to provide examples of times they
demonstrated the competencies.
ADDIE model - ANS 5 step instructional design process that governs the development of
learning programs.
Assessment centers - ANS Assessment tools that provide candidates a wide range of
leadership situations and problem-solving exercises.
Blended learning - ANS Planned approach to learning that included a combination of
instructor-led training, self-directed study, and /or on-the-job training.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 2 OF 40
,Career management - ANS Preparing, implementing, and monitoring employees' career
paths, with a primary focus on the goals and needs of the organization.
Competencies - ANS Clusters of highly interrelated attributes, including knowledge, skills, or
abilities (KSA) that give rise to the behaviors needed to perform a given job effectively.
Strategy - ANS A plan of action for accomplishing an organization's long-range goals.
SWOT analysis - ANS Process for assessing an organization's strategic capabilities in
comparison to threats and opportunities identified during environmental scanning.
Value drivers - ANS Actions, processes, or results that are needed to deliver a desired value.
Vision statement - ANS Vivid, guiding image of an organization's desired future, the future it
hopes to attain through its strategy.
Organizational values - ANS Beliefs that are important to an organization and often dictate
employee behavior.
Strategic fit - ANS A state in which an organization's strategy is consistent with its external
opportunities and circumstances and its internal structure, resources, and capabilities.
Strategic management - ANS The actions that leaders take to move their organizations
toward those goals and create value for all stakeholders.
Strategic planning - ANS The process of setting goals and designing a path toward a
competitive position.
Metrics - ANS Performance parameters based on the relationship between 2 or more
measures.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 3 OF 40
, Mission statement - ANS Statement that specifies what activities an organization intends to
pursue and what course management has carted for the future; a concise statement of its
strategy.
Net profit margin - ANS Ratio of net income (gross sales minus expenses and taxes) to net
sales.
Organizational culture - ANS The basic beliefs and customs shared by members of an
organization that contribute to an organization's sense of its identity.
Income statement - ANS Statement that reports revenues, expenses, and net income (profit)
for a specified period.
Lagging indicator - ANS Type of metric that describes an activity that has already occurred.
Leading indicator - ANS Type of metric that describes an activity that can change future
performance and indicate higher degree of success in achieving strategic goals.
Liabilities - ANS Organization's debts and other financial obligations.
Due diligence - ANS Necessary level of care and attention that is taken to investigate an
action before it is taken.
Environmental scanning - ANS Process that involves a systematic survey and interpretation of
relevant data to identify external opportunities and threats and to assess how these factors
affect the organization currently and how they are likely to affect the organization in the future.
Equity - ANS Amount of owners' or shareholders' portion of a business.
Gross profit margin - ANS Ratio of gross profit to net sales.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 4 OF 40
