Workforce Planning and Employment

Answer option A is correct.
Workforce Planning and Employment covers activities related to planning for and managing entry
into and exit from the organization to meet changing business needs. This includes practices for
evaluating workforce requirements, recruitment and selection, developing an employer brand,
managing records, establishing a succession plan, and exiting employees from the organization.
Answer option B is incorrect. Business Management and Strategy looks at the "big picture" of the
organization and requires an understanding of overall business operations, basic knowledge of
other functional areas in the organization, and the ability to interact and work effectively with those
functions.
Answer option C is incorrect. Human Resource Development utilizes training, development,
change, and performance management programs to ensure that individuals with the required
knowledge, skills, and abilities are available when needed to accomplish organization goals.
Answer option D is incorrect. Employee and Labor Relations address the practices for building
positive employment relationships in both union and nonunion environments. This includes
employee relations programs, workplace policies and procedures, dispute resolution programs,
and collective bargaining activities.
Chapter: Certifying Human Resource Professionals
Objective: Development of the Human Resource Body of Knowledge

I understand why I need to learn this.

Answer option B is correct.
The statement "I understand why I need to learn this" is an assumption that the learner
understands the need to know the course material.
Answer option A is incorrect. The statement "I'm ready to learn this because what I learn will help
me function better in some way" is an example of the assumption of the learner's readiness to
learn.
Answer option C is incorrect. The statement "What I learn today will help me solve problems at my
workplace tomorrow" is an example of the assumption of the learner's orientation to learning.
Answer option D is incorrect. The statement "I've got lots of valuable experience that I want to
draw upon to help me as I learn" is an example of the assumption of the learner's experience.
Reference: Professional in Human Resources Certification Guide, Sybex, ISBN: 978-0-470-43096-
5. Chapter 5: Human Resource Development. Official PHR and SPHR Certification Guide, HR
Certification Institute, ISBN: 978-1-586-44149-4, Section III, The US Body of Knowledge.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Adult Learning Processes and Learning Styles

It is the life of the management of the project -from initiation, planning, execution, controlling,
through closing.

Answer option C is correct.
The project management lifecycle is the flow of project management activities through the five
process groups of initiating, planning, executing, controlling, and closing.
Answer option A is incorrect. This answer describes the project life cycle - which is unique to each
project; not universal to all projects.
Answer option B is incorrect. This answer describes the integrated nature of projects where
performance in each knowledge area can affect the performance of all other knowledge areas.
Answer option D is incorrect. This answer describes project integration management - the
coordination of all necessary project management processes throughout the nine knowledge
areas of project management.
Reference: PHR Exam Prep, Pearson Education, ISBN: 978-0-7897-3677-2. Chapter Three:
Strategic Management. Official PHR and SPHR Certification Guide, HR Certification Institute,
ISBN: 978-1-586-44149-4, Section III, The US HR Body of Knowledge.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Project Management Concepts

Each state

Answer option B is correct.
Unemployment insurance claims are managed locally within each state, but federal rules do apply.
Answer option A is incorrect. Unemployment claims are not managed by the department of labor.
Answer option C is incorrect. Insurance companies do provide unemployment insurance, but it's
the local state government that manages the claims.
Answer option D is incorrect. Each organization does not manage the unemployment claims.
Reference: PHR Exam Prep, Pearson Education, ISBN: 978-0-7897-3677-2. Chapter Six: Total
Rewards. Official PHR and SPHR Certification Guide, HR Certification Institute, ISBN: 978-1-586-
44149-4, Section III, The US HR Body of Knowledge.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Diversity Concepts

Quantitative analysis

Answer option B is correct.
Qualitative analysis is a form of research that uses mathematical models such as correlation,
correlation coefficient, and measures of central tendency to provide solutions to problems.
Quantitative analysis attempts to measure historical data (B), a job evaluation measures the
relative value of each job within the organization (C) and a learning matrix is a generic term that
can be used to identify organizational learning strategies (D) . See Chapters 2 and 4 for more
information.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Qualitative and Quantitative Analysis

Nominal group technique

Answer option C is correct.
The nominal group technique is a nonmathematical forecasting technique in which participants
meet in person and share ideas as in brainstorming sessions. The group discusses and ranks the
forecasts collectively, not anonymously as in the Delphi technique.
Answer option A is incorrect. Management forecasts are predictions made by experienced
managers considered to be subject matter experts in their field or in the organization.
Answer option B is incorrect. The Delphi technique uses rounds of anonymous surveys to predict
a likely outcome. After each round of the survey, the results are tallied and a new survey can be
resubmitted to the survey participants. Eventually, consensus is found among the group on
forecasting, risks, and other organizational decisions.
Answer option D is incorrect. Brainstorming allows the group to discuss and share ideas, but it
doesn't rank the ideas or forecasts.
Reference: Professional in Human Resources Certification Study Guide, Sybex, ISBN: 978-0-470-
43096-5. Chapter Four: Workforce Planning. Official PHR and SPHR Certification Guide, HR
Certification Institute, ISBN: 978-1-586-44149-4, Section III, The US Body of Knowledge.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Qualitative and Quantitative Analysis

FDIC

Answer option D is correct.
The FDIC is not one of the three agencies that help to enforce the requirements of ERISA.
Answer options A, B, and C are incorrect. The IRS, Department of Labor, and Pension Benefit
Guaranty Corporation are the three agencies that do help to enforce the requirements of ERISA.
Reference: PHR Exam Prep, Pearson Education, ISBN: 978-0-7897-3677-2. Chapter Six: Total
Rewards. Official PHR and SPHR Certification Guide, HR Certification Institute, ISBN: 978-1-586-
44149-4, Section III, The US HR Body of Knowledge.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Employee Records Management

Manual workers

Answer option A is correct.
Manual workers, i.e. people that complete repetitive work with their hands, physical skill, and
energy, can never be exempted from overtime pay.
Answer options B, C, and D are incorrect. Sales people, managers, and administrative assistants
can be exempted from overtime pay.
Reference: PHR Exam Prep, Pearson Education, ISBN: 978-0-7897-3677-2. Chapter Six: Total
Rewards. Official PHR and SPHR Certification Guide, HR Certification Institute, ISBN: 978-1-586-
44149-4, Section III, The US HR Body of Knowledge.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Employee Records Management

SWOT is an analysis to define the strengths, weaknesses, opportunities, and threats an
organization may face.

SWOT is an analysis that can be used to determine the strengths, weaknesses, opportunities, and
threats.
SWOT analysis is a strategic planning method used to evaluate the Strengths, Weaknesses,
Opportunities, and Threats involved in a project or in a business venture. It involves specifying the
objective of the business venture or project and identifying the internal and external factors that
are favorable and unfavorable to achieving that objective. A SWOT analysis may be incorporated
into the strategic planning model.
It is a part of business policy that helps an individual or a company to make decisions. It includes
the strategies to build the strength of a company and use the opportunities to make the company
successful. It also includes the strategies to overcome the weaknesses of and threats to the
company.
Answer option A is incorrect. This is not a valid definition of SWOT so this choice is incorrect.
Answer option B is incorrect. This is not a valid definition of SWOT so this choice is incorrect.
Answer option C is incorrect. This is not a valid definition of SWOT so this choice is incorrect.
Chapter: Core Knowledge Requirements for HR Professionals
Objective: Environmental Scanning Concepts

Sole proprietorship

Answer option B is correct.
A sole proprietor is the owner of the business, has the authority over the business, and is
responsible for all liabilities the business may incur. Sole proprietorships are the easiest
organizations to create and generally to manage.
Answer option A is incorrect. Partnerships are formed with two or more people and the people
involved generally share the decisions, profits, and liabilities.
Answer option C is incorrect. A limited liability company is similar to sole proprietorship, but the
owner has limited liability and is somewhat protected from the faults and liabilities of the legal
organization.
Answer option D is incorrect. A corporation is a legal entity that limits liabilities to the assets of the
organization.
Reference: Professional in Human Resources Certification Study Guide, Sybex, ISBN: 978-0-470-
43096-5. Chapter Four: Workforce Planning and Employment. Official PHR and SPHR
Certification Guide, HR Certification Institute, ISBN: 978-1-586-44149-4, Section III, The US Body
of Knowledge.
Chapter: Business Management and Strategy