MAN6635 Exam 2 UPDATED ACTUAL
QUESTIONS AND CORRECT ANSWERS
How to determine how much labor is needed - CORRECT ANSWER Benchmarking, statistical
methods, subject matter experts
Benchmarking - CORRECT ANSWER a process by which a company compares its
performance with that of high-performing organizations
Statistical Methods - CORRECT ANSWER Looking at "leading indicators". Example: sales
this year correlate with labor demand next year
Subject matter experts - CORRECT ANSWER "Educated Guesses" taking into account factors
such as new product launches, changes with competitors, etc.
Methods for Correcting Surplus - CORRECT ANSWER Downsize, reduce pay, demotions,
transfers, early retirement, wait for natural attrition, hiring freeze
Methods for correcting shortage - CORRECT ANSWER Existing people work harder,
temporary employees, outsource, promote from within, decrease voluntary turnover, recruit and hire
new people
Workforce - CORRECT ANSWER Enterprises employees
Labor force - CORRECT ANSWER The pool of potential employees from which the firm
attracts and hires its workforce
Challenges of International Staffing - CORRECT ANSWER - Availability of data (about labor
forces)
- Increasing diversity of labor forces
- Brain Drain (citizens leaving countries for jobs with better pay)
- Lack of suitable candidates for management
- Populations Characteristics (ex. aging population)
,Approaches to MNE Staffing - CORRECT ANSWER Ethnocentric, Polycentric, Global
Ethnocentric Staffing Approach - CORRECT ANSWER - Fill key managerial positions with
HQ staff
- Done when local management skill is insufficient
- Pro: HQ familiar with company
- Con: Risk of poor adaptation
Polycentric Staffing Approach - CORRECT ANSWER - Fill key managerial positions with
locals
- Done when company wants to "act local"
- Pro: local managers familiar with area
- Con: Difficulty coordinating activities between subsidiary and HQ
Global Staffing Approach - CORRECT ANSWER - Best managers recruited from within or
outside of the company regardless of nationality
- Pro: largest pool of applicants
- Con: Lack of managers who want to work all around the world
International Business Strategy - CORRECT ANSWER - No overseas office or operations
- Generally used for exporting, licensing or subcontracting
- Ethnocentric
- Send managers from HQ
Multi-domestic Business Strategy - CORRECT ANSWER - Subsidiaries in multiple countries
operate independently within each country, independently of operations in other countries, and often
fairly independent of parent company HQ
- Polycentric
- Hire locally
, Global Business Strategy - CORRECT ANSWER - Unified strategy implemented for all
countries regardless of culture or national differences
Positives of recruiting from within - CORRECT ANSWER - Creates a well-known sample of
applicants
- Reduces labor costs
- Allows vacancies to be filled quickly
- Enhances employee development
- Enhances company reputation
Negatives of recruiting from within - CORRECT ANSWER - Creates another vacancy
- Being good at a job does not necessarily mean you will be good at supervising or doing it abroad
External Recruitment Sources - CORRECT ANSWER - Referrals
- Advertisements
- Employee agencies
- Our competitors
- Colleges and Universities
Recruitment - CORRECT ANSWER Involves searching for and attracting qualified applicants
to create an applicant pool
Selection - CORRECT ANSWER Focuses on gathering and analyzing information about
applicants in order to select the most suitable person or persons for the job
Repatriation - CORRECT ANSWER The process of bringing an international assignee and their
family back home from foreign assignment
Types of Selection Measures - CORRECT ANSWER - Resumes & references
- Background checks
- Cognitive ability tests
- Personality Inventories
QUESTIONS AND CORRECT ANSWERS
How to determine how much labor is needed - CORRECT ANSWER Benchmarking, statistical
methods, subject matter experts
Benchmarking - CORRECT ANSWER a process by which a company compares its
performance with that of high-performing organizations
Statistical Methods - CORRECT ANSWER Looking at "leading indicators". Example: sales
this year correlate with labor demand next year
Subject matter experts - CORRECT ANSWER "Educated Guesses" taking into account factors
such as new product launches, changes with competitors, etc.
Methods for Correcting Surplus - CORRECT ANSWER Downsize, reduce pay, demotions,
transfers, early retirement, wait for natural attrition, hiring freeze
Methods for correcting shortage - CORRECT ANSWER Existing people work harder,
temporary employees, outsource, promote from within, decrease voluntary turnover, recruit and hire
new people
Workforce - CORRECT ANSWER Enterprises employees
Labor force - CORRECT ANSWER The pool of potential employees from which the firm
attracts and hires its workforce
Challenges of International Staffing - CORRECT ANSWER - Availability of data (about labor
forces)
- Increasing diversity of labor forces
- Brain Drain (citizens leaving countries for jobs with better pay)
- Lack of suitable candidates for management
- Populations Characteristics (ex. aging population)
,Approaches to MNE Staffing - CORRECT ANSWER Ethnocentric, Polycentric, Global
Ethnocentric Staffing Approach - CORRECT ANSWER - Fill key managerial positions with
HQ staff
- Done when local management skill is insufficient
- Pro: HQ familiar with company
- Con: Risk of poor adaptation
Polycentric Staffing Approach - CORRECT ANSWER - Fill key managerial positions with
locals
- Done when company wants to "act local"
- Pro: local managers familiar with area
- Con: Difficulty coordinating activities between subsidiary and HQ
Global Staffing Approach - CORRECT ANSWER - Best managers recruited from within or
outside of the company regardless of nationality
- Pro: largest pool of applicants
- Con: Lack of managers who want to work all around the world
International Business Strategy - CORRECT ANSWER - No overseas office or operations
- Generally used for exporting, licensing or subcontracting
- Ethnocentric
- Send managers from HQ
Multi-domestic Business Strategy - CORRECT ANSWER - Subsidiaries in multiple countries
operate independently within each country, independently of operations in other countries, and often
fairly independent of parent company HQ
- Polycentric
- Hire locally
, Global Business Strategy - CORRECT ANSWER - Unified strategy implemented for all
countries regardless of culture or national differences
Positives of recruiting from within - CORRECT ANSWER - Creates a well-known sample of
applicants
- Reduces labor costs
- Allows vacancies to be filled quickly
- Enhances employee development
- Enhances company reputation
Negatives of recruiting from within - CORRECT ANSWER - Creates another vacancy
- Being good at a job does not necessarily mean you will be good at supervising or doing it abroad
External Recruitment Sources - CORRECT ANSWER - Referrals
- Advertisements
- Employee agencies
- Our competitors
- Colleges and Universities
Recruitment - CORRECT ANSWER Involves searching for and attracting qualified applicants
to create an applicant pool
Selection - CORRECT ANSWER Focuses on gathering and analyzing information about
applicants in order to select the most suitable person or persons for the job
Repatriation - CORRECT ANSWER The process of bringing an international assignee and their
family back home from foreign assignment
Types of Selection Measures - CORRECT ANSWER - Resumes & references
- Background checks
- Cognitive ability tests
- Personality Inventories
