Leadership

Question 1

Political stability

Answer 1

Affects all businesses, but is a larger
consideration for businesses looking abroad
Investors feel more confident when the business
is held to laws that are enforced and transparent.

For example:
1. In a politically stable country, employment laws are usually predictable, making HR planning easier.
2. Political instability might bring sudden changes in labor laws or benefits programs, requiring quick HR adjustments.
3. HR leaders should track political shifts that might impact workplace regulations or compliance.

Question 2

Regulatory systems

Answer 2

Can enhance business by providing
economic stimulus, aide during a
pandemic, or economic relief
Most regulatory systems create additional
guidelines and reporting requirements for
businesses to ensure compliance to a set of rules.
This can be an additional administrative expense
or may require businesses to make substantial
changes to be compliant.

regulatory systems cover laws, rules, and standards that HR professionals must navigate, like labor laws, compliance, and ethical practices

Question 3

Economic conditions

Answer 3

-20
Circumstances or events that affect
businesses in many ways
E.g., During an economic boom, more jobs are
available; therefore, labor may be harder to find.
Howeyer, during an economic downturn, labor
is more readily available. For many businesses,
consumer demand follows the economy for
similar reasons.

Question 4

Supporting

Answer 4

An approach to management that encourages
autonomy
It consists of staying available, listening,
responding to needs, assisting with tasks,
providing resources, and identifying
opportunities for growth.

Question 5

Situational leadership

Answer 5

When the leader caters to each
employee’s needs when providing
direction
A leader may need to tell one employee who
lacks competence exactly what to do but must
convey that same idea to another employee who
is competent but may lack commitment. In doing
so, the leader provides leadership in the optimal
way for each employee.

Question 6

Transformational Leadership

Answer 6

Looks not only to inspire the people they
are leading, but also to encourage creativity
among the team
This leader creates a dynamic team that follows
a common vision but maintains autonomy in the
process. These leaders are typically characterized
as charismatic.

Question 7

Participative Leadership

Answer 7

A democratic form of leadership, in which
the leader encourages employees to be involved
in the decision-making process
The leader has employees bring in ideas, and
together they make a group decision. This
generates buy-in from those employees and
creative thinking from a group working together.

Question 8

Inclusive Leadership

Answer 8

When leaders acknowledge that they have
their own personal biases and actively
seek out other perspectives that differ from
their own to make a better decision
This leader needs to be empathetic, with the
ability to take someone else’s perspective
genuinely. Then, the leader meaningfully
incorporates those new ideas into the final
decision.

Inclusive leadership involves making sure everyone feels safe, valued, and able to contribute fully. Leaders do this by:
• Actively listening to all voices and viewpoints
• Creating an environment where people from different backgrounds can thrive
• Making fair and unbiased decisions

Question 9

Directing

Answer 9

A straightforward management technique used
to catalyze performance by instructing, guiding,
supervising, and inspiring
When directing, leaders set expectations for
specific tasks to accomplish organizational goals.

Question 10

Coaching

Answer 10

A leadership tactic centered on the
provision of individualized advice that
encourages problem-solving
It is a one-on-one process that guides an
employee’s professional development by
equipping them with new knowledge, skills, or
abilities.

Question 11

Delegating

Answer 11

A leadership method in which the
manager gives employees the responsibility and
authority to accomplish operational tasks and
organizational goals
It consists of defining duties, communicating
expected outcomes, and empowering individuals
to succeed.

Question 12

Process mapping

Answer 12

Involves creating a diagram, much like
a flowchart, that shows the steps of
a process in terms of moving from input to
output
Typically, process mapping depicts the people
involved in a process and the workflow details.
The goal is to reflect on specific aspects of
an existing process and identify operational
inefficiencies.

Improvements in process mapping come from identifying steps that waste time, confuse people, or have unnecessary duplication. Some common improvement ideas:
• Eliminate unnecessary steps
• Combine similar tasks
• Use technology to speed things up
• Make responsibilities clearer

Question 13

Value stream mapping

Answer 13

Focuses on the key aspects of delivering
value to customers
Generally, this tool is used to identify
value-adding activities as well as the
supporting non-value adding components of
an organization’s product delivery system from
a strategic perspective. The goal is to find
opportunities for broad organizational change.

In value stream mapping, value means activities that directly help meet customer needs—like getting an employee fully trained to do their job well.

Question 14

Milestones

Answer 14

Can serve as an indicator of when resources are
inconsistent with project needs
If deliverables are not fulfilled by an established
milestone, HR personnel may choose to examine
the role of the resources that are in use.

Milestones are key checkpoints in a project or process. In HR, for example:
• Day 1: New hire orientation complete
• Day 30: First performance check-in
• Day 90: New hire fully trained and integrated

They help track progress and spot delays.

Milestones are progress markers. Resources are the people, tools, and time you need to hit them. For example, to reach the 30-day milestone, you need:
• People: HR staff, managers, mentors
• Tools: onboarding checklist, training materials
• Time: enough hours to give proper support

If you’re not reaching milestones, might want to add resources like more staff to help

Question 15

Goal-setting theory

Answer 15

Involves setting a specific goal that is
difficult but achievable to encourage
individuals to perform better
The goal should be worthwhile and it should be
apparent when the goal is complete. Leaders
should gain buy-in from the team or individual
by explaining the importance of the goal. Regular
feedback should be available so employees can
tell if they are on track.

Question 16

Expectancy theory

Answer 16

Expectancy theory is most effective when higher
performance directly links to rewards that employees
value and are administered fairly.
• First, the employee has an expectation that their effort
will lead toward the desired goal.
• Second, they trust in decision-makers that higher
performance will lead to a more advantageous reward.
• Lastly, valence is whether or not the employee values the
reward.

Question 17

Attribution theory

Answer 17

Looks at the casual nature of events and the
reason for their success or failure
Employees are motivated by events that they can
attribute to their hard work if successful, or to
external or uncontrollable factors if unsuccessful.

Question 18

Self-determination theory

Answer 18

States that employees are driven to growth by
three factors:
• Autonomy: means employees feel their choices
directly correlate with their desired outcomes
• Competence: when they can successfully achieve
the goal given their innate skills and understanding
• Connection: means the employee feels they are
part of a group with a common goal, so they have
support and respect from others

Question 19

Persuasion techniques: Personal appeal

Answer 19

Cannot be overlooked
People trust others that they like, and a person
in Human Resources showing genuine concern
for other employees creates a level of trust when
changes need to be made.

Question 20

Persuasion techniques: Forming coalitions

Answer 20

Means bringing together a group of
employees from a variety of departments and
varying expertise
This group makes decisions and shares those
decisions with their work colleagues. This creates
buy-in from employees since they can ensure
their work group’s opinion is heard.

Question 21

Persuasion techniques: Leading by example

Answer 21

Creates buy-in when leaders demonstrate the
changes they want employees to make
Employees see the organization’s leaders doing
what they are asking and not just making
requests.

Question 22

Persuasion techniques: Rational persuasion

Answer 22

Laying out a clear set of arguments and facts in
favor of a change
This is effective when the Human Resources
manager is perceived to be an expert about the
change they are recommending.

Question 23

Adverse impact

Answer 23

A form of discrimination where an employer’s
policy seems neutral but in fact has an
adverse impact on a certain group or a certain
characteristic such as race, sex, or disability

For example, if a job requires a physical test that’s harder for older applicants, this could create adverse impact. The test may not be meant to discriminate, but it affects a protected group unfairly.

Question 24

Health Insurance Portability and Accountability Act (HIPAA)

Answer 24

Passed to improve the continuity and
portability of healthcare coverage
This act addresses pre-existing medical
conditions or those for which an employee or
a member of their immediate family received
medical advice or treatment during the six-month
period prior to their enrollment date into the
employer’s healthcare plan, such as a serious
illness, injury, or pregnancy.

HIPAA says health plans can’t deny coverage to someone because of a pre-existing condition. This helps employees get health insurance even if they had a health issue before.

HIPAA says employers must:
• Keep health records private
• Only share health info with those who need it to do their job
• Have policies to protect data

Question 25

Organizational politics

Answer 25

Best described as leaders' relative influence, power, authoritative influence, and negotiation skills compared to other colleagues seeking to achieve their own goals and objectives Politics are often competing forces within an organization and can hinder or enhance the progress of the HR professional and the ability to implement HR programs, practices, and policies. Examples include: • Lobbying for a project you like • Building alliances to get a promotion • Gossiping or excluding someone to gain power

Question 26

Code of conduct

Answer 26

Lays out all policies governing employees' actions, defining acceptable and unacceptable behaviors HR professionals must carry out HR audits to ensure that all employees are following organization policies. A successful code of conduct should not only uphold the law, but create a culture of trust and accountability. The code of conduct should be written and enforced with the company's mission and vision in mind.

Question 27

Code of Conduct: Accuracy

Answer 27

A legal requirement for public reporting which will build documentation that shows repeated ethical behavior When there is a perceived infraction, there should be a procedure documenting how to report and deliver feedback to the person who filed the report. This will ensure that if an infraction happens, there is a clear process and resolution in place. Accuracy in a code of conduct means making sure all information shared—like reports, data, or updates—is truthful and reliable. To ensure accuracy, organizations might: • Double-check data and reports • Set up clear processes for fact-checking • Train staff to avoid assumptions or personal opinions in reports

Question 28

Disparate treatment

Answer 28

Occurs when an employer treats protected classes differently than other employees Examples of disparate treatment include holding genders to different standards, sexual harassment, and blatantly rejecting a member of a protected class due to stereotypes.

Question 29

Disparate treatment: Established criteria

Answer 29

A prima facie (at first glance) case can be shown if an employee: • Belongs to a protected class • Applied for a job when the employer sought applicants • Was qualified and yet rejected • Was rejected but the employer kept looking Established criteria means using consistent, job-related rules for things like hiring, promotions, or discipline. It ensures everyone is judged fairly and avoids bias. Example: A company rejects a qualified female candidate for a job while hiring a less qualified man. That’s prima facie evidence of discrimination if the decision seems based on gender. In an HR investigation, prima facie evidence means there’s enough initial proof to suggest discrimination might have happened. This triggers a deeper look: ✅ HR gathers more facts ✅ HR interviews people ✅ HR reviews job performance and hiring notes

Question 30

Whistleblower Protection Act (1989)

Answer 30

Regulates the protection of employees who report a violation of any law, rule, regulation, or other ethical standard HR professionals should be aware of this law and other regulations that affect the duty to report unethical behavior. The Whistleblower Protection Act protects employees who report wrongdoing at work. It prevents retaliation, like firing or demoting them, for speaking up. Example: 🔹 An HR employee reports that a manager is stealing company funds. 🔹 HR investigates, and the whistleblower is protected from being demoted or fired for making the complaint.

Question 31

Bias

Answer 31

Inadvertently favors some employees while putting others at a disadvantage Mitigating the influence of bias within the organization and in making business decisions is an important responsibility of HR professionals. HR personnel should continuously examine factors that are scientifically associated with bias, such as gender and race, and how they are associated with reward variables such as pay and performance reviews.

Question 32

Mitigating bias

Answer 32

Some ways to mitigate bias include: • Standardizing reward variables, such as awarding the same pay to all employees with a particular title • Removing identifying factors from resumes that do not have to do with talent • Bringing awareness to their own personal attitudes and belief systems

Question 33

Transparency

Answer 33

Allows employees to feel connected to their work environment and their colleagues It also allows them to feel secure and validated in their role within the organization. Finally, a transparent work environment fosters brainstorming and innovation, which promotes organizational growth. Without transparency, employees often report feeling undervalued, disrespected, and blindsided by organizational changes. Transparency means sharing clear, honest information about how decisions are made. For example, explaining how promotions work or why a policy was changed.

Question 34

Diversity, Equity and Inclusion (DE&I)

Answer 34

Focuses on the significance of creating a workplace environment concerned with treating all employees fairly and respectfully DE&l also focuses on ensuring that all employees have equal opportunities and access to resources at their work. This might look like making sure all qualified personnel are considered for a new position rather than the boss's favorite; or all qualifying employees get a break throughout the day. Diversity means differences among people (race, gender, age, etc.). Equity ensures fair treatment and access. Inclusion creates a workplace where everyone feels welcome and valued. Examples: ✅ Diversity: Recruiting from underrepresented groups ✅ Equity: Fair pay and promotion practices ✅ Inclusion: Mentoring programs and employee resource groups

Question 35

Diversity in hiring

Answer 35

Involves hiring employees with a variety of backgrounds, personalities, and working styles Workplaces that are more diverse are associated with better financial gains and higher rates of employee retention, reported satisfaction, and performance.

Question 36

Affirmative action

Answer 36

Aids employers with identifying imbalances in the workforce and assists them with placing a focus on hiring, training, and promoting groups of workers who are underrepresented Here are three examples: 1️⃣ Recruiting at colleges with a high percentage of students of color. 2️⃣ Offering internships to veterans or people with disabilities. 3️⃣ Providing leadership training to underrepresented employees.

Question 37

Affirmative Action Plans (AAPs): Employer requirements

Answer 37

The following employers are required to have Affirmative Action Plans (AAPs) in place (otherwise, having an AAP is voluntary): • Employers with fifty or more employees and $50,000 in federal contracts • Employers who are a member of the federal banking system • Employers who issue, sell, or redeem U.S. Savings Bonds

Question 38

Affirmative Action Plans (AAPs): Introductory statement

Answer 38

Essentially a company overview that includes information concerning headcount, along with any significant employment changes that have taken place in the past calendar year In addition, the company's policy on affirmative action and equal opportunity employment is also mentioned. Yes, typically an introductory statement in an affirmative action plan has these components: ✅ The company’s commitment to equal employment opportunity ✅ A statement about taking affirmative action to recruit and advance underrepresented groups ✅ A reference to compliance with relevant laws ✅ An invitation for all qualified candidates to apply

Question 39

Affirmative Action Plans (AAPs): Organizational profile

Answer 39

Depicts the organization's staffing patterns, to determine if any barriers exist to equal opportunity employment The organizational structure is presented in some format (Le, graphical chart, spreadsheet, etc.) to show the following information: - Unit names • Employees job titles, gender, and minority status - Total number of males and females * Total number of males and females who are also minorities

Question 40

Affirmative Action Plans (AAPs): Job group analysis

Answer 40

A list of all titles that comprise each job group Jobs are grouped according to whether they have similar content, responsibilities, salaries, and opportunities for advancement. This analysis represents jobs by functional alignment versus departmental alignment. Here are the steps: 1️⃣ List all jobs in your organization 2️⃣ Group similar jobs together based on tasks and responsibilities 3️⃣ Determine the demographics of each group (gender, race, etc.) 4️⃣ Compare your workforce to the relevant labor market to see if there’s underrepresentation 5️⃣ Use this info to guide outreach and hiring efforts

Question 41

Affirmative Action Plans (AAPs): Availability analysis

Answer 41

Organizations examine the internal (employees who are trainable, promotable, and transferable) and external (candidates in the reasonable geographical recruitment area availability of women and minorities to determine their theoretical availability. External availability statistics can be obtained through state and local governments, which provide statistical data and may even publish it on their websites.

Question 42

Affirmative Action Plans (AAPs)/ Utilization analysis (part 1)

Answer 42

Companies typically define underutilization as the "80% rule." This rule is used to determine adverse impact in the employee selection process by comparing the rates at which different groups of people are hired for a job. Then, for job groups where underutilization is found, reasonable placement goals are set (expressed as placement rates). Utilization analysis compares how many people from each protected group are in each job group versus what would be expected based on the labor market. For example: • If 50% of engineers in the local area are women, but only 20% of your engineers are women, there’s an underutilization.

Question 43

Affirmative Action Plans (AAPs)/ Utilization analysis (Part 2)

Answer 43

• Identify the individual who is accountable for the AAP. • List the problem areas. • Detail the action-oriented AAPs. • Discuss how the AAP will be monitored and reported. • Provide executive approval and signature on the AAP. • Create separate AAPs for qualified, covered veterans and individuals with disabilities. • Ensure notices are posted about affirmative action and equal opportunity employment. Utilization analysis helps HR see if they’re using all available talent. Here’s how HR uses it: ✅ Compare your workforce’s diversity to the available labor pool ✅ Spot underrepresentation and set goals to fix it ✅ Guide recruiting and outreach efforts Steps to do it: 1️⃣ Group jobs together (job group analysis) 2️⃣ Count your workforce in each group by demographics 3️⃣ Find labor market data for those jobs 4️⃣ Compare your numbers to the labor market 5️⃣ Note gaps (underutilization) 6️⃣ Set realistic goals to fix them

Question 44

Workplace accommodations

Answer 44

Fall within the scope of DE&l This generally relates to the Americans with Disabilities Act (ADA), which requires employers to offer reasonable accommodation to any employee with a medical condition that prevents them from performing all the functions of a job as described. Also, "reasonable" means that the accommodation will not place undue burden on the employer or fundamentally change the nature of its business.

Question 45

Equity effectiveness

Answer 45

All about making fair treatment in accessibility, opportunities and advancement within a workplace available to all members of that workforce When thinking about equity effectiveness, the HR professional should be researching and seeking out ways to elevate the equity policies of an organization. This might look like coordinating benefits packages and programs that appeal to and promote a diverse workplace population. Equity effectiveness is about how well your workplace treats everyone fairly and removes barriers for underrepresented groups. HR can measure it by: ✅ Tracking pay gaps ✅ Checking promotion rates across different groups ✅ Gathering employee feedback (surveys)

Question 46

Section 502 of the Rehabilitation Act of 1973

Answer 46

Applies to contractors with contracts over $10,000 and requires those employers to take affirmative action for qualified individuals with disabilities

Question 47

The Vietnam Era Veterans’ Readjustment Act of 1974 (VEVRAA)

Answer 47

Requires companies to have an affirmative action for veterans with service-connected disabilities and applies to contractors with 50 or more employees and contracts of $100,000 or over

Question 48

Executive Order 11246

Answer 48

Requires contractors with 50 or more employees and contracts of $50,000 or more to maintain air affirmative action program regarding women and minorities

Question 49

Internship program

Answer 49

Can be a win-win for the company and the community People who are new to their field have a chance to develop their skills and learn more about the business. The company gets to evaluate new talent and build a pool of prospective employees; many companies hire full-time employees from previous interns, and these employees already have a great deal of loyalty to and knowledge about the organization.

Question 50

Employee Resource Groups (ERGs)

Answer 50

Groups created by employees who share some demographic factors) based on things like race, gender, or age ERGs help diverse employees to feel represented within the organization while also helping leaders to gain insight into the needs of diverse customers and other stakeholders.

Question 51

Culture

Answer 51

A shared set of beliefs, behaviors, attitudes, and values Every organization has its own culture, but it can be easy to conflate the organization's culture with its leaders' demographic culture. Behaviors and customs that are assumed to be universal may not be present in every demographic, leading to conflict when a more diverse workforce is recruited.