Chapter 16: Managing change and workplace relations

Multiple Choice Questions

1.A person who acts as a catalyst for change is known as a(n)b

Fac

(a)disruptive influenceL

(b)change agent

(c)innovator

(d)developmental manager

3.According to Denton, to be successful an HR manager mustc

App

(a)limit change within the organisationM

(b)encourage employees to resist change

(c)recognise the need for change and implement it successfully

(d)allow changes to be introduced frequently without HR involvement

  1. Stace and Dunphy found that high-performing organisations exhibiteda

Und

(a)a trend to adopt a more strategic approach to HRH

(b)a move from decentralised to centralised HR

(c)an absence of formal performance management systems

(d)a volatile, rapidly changing culture

  1. The need for change becomes apparent whenc

App

(a)a new manager is appointedH

(b)the company’s market share declines

(c)a gap between organisation, division, function or individual performance objectives and actual performance exists

(d)employees demonstrate low levels of job satisfaction and commitment to the organisation

  1. Change can be introduced by internal managers or external consultants. An d

advantage of using an external consultant isApp

M

(a)they know and understand the employees well

(b)their level of familiarity with the business operations

(c)they are familiar with the existing organisational culture

(d)they are politically neutral and possess broader and more knowledgeable viewpoints

  1. Change agents shouldb

Und

(a)rely on a change strategy and style compatible with their own personal M

values

(b)select the most effective strategy and style of change given an organisation’s strategic business objectives

(c)concentrate on introducing change as and when requested by management

(d)aim to minimise the level of employee input in the change process

  1. To measure the effects of the change the following indicators are examined withc

the exception ofUnd

M

(a)employee productivity

(b)job satisfaction

(c)management attitudes

(d)sales

  1. Which of the following factors has not been recommended as a way to enhance d

the success of a change initiativeUnd

M

(a)ensure staff share success

(b)invest in people to do their job

(c)provide a clear view of where you are going

(d)avoid giving employees too much information about forthcoming changes

  1. Workplace change can involve changes toa

Fac

(a)people, structure, technology, cultureM

(b)technology and work processes

(c)hierarchy and status within the organisation

(d)decision making responsibilities

  1. Which of the following lists contains only common reasons why people resist a

changeFac

M

(a)fear of the unknown, disrupted habits, loss of confidence, loss of control

(b)poor timing, work overload, loss of face, fear of downsizing

(c)lack of purpose, economic loss, fear of the unknown, lack of union representation

(d)loss of confidence, work overload, loss of control, certainty

  1. Which of the following is not a reason why people resist changeb

Fac

(a)lack of purposeL

(b)fear of downsizing

(c)loss of face

(d)economic loss

  1. The use of threats or punishment such as transfers, loss of promotion, pay cuts d

and termination against those who resist change is known asFac

L

(a)reward

(b)negotiation

(c)guarantee

(d)coercion

  1. The organisation-wide commitment to continuous improvement and satisfying c

customer needs isFac

L

(a)organisational learning

(b)customer focused management

(c)total quality management

(d)international best practice

  1. If an organisation implements a TQM approach which of the following do they b

not seek to achieveApp

M

(a)a competitive advantage

(b)increased union membership

(c)improved management and employee commitment

(d)to stay in business

  1. When managing TQM organisations need to a

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(a)create a quality cultureH

(b)focus on the needs of the employee

(c)focus on achieving an improved bottom line

(d)create a desire for increased unionism

  1. To be successful TQM is dependent uponc

App

(a)reducing the costs of productionH

(b)having an innovative and creative workforce

(c)the effective management of human resources

(d)maintaining an appropriate management/worker ratio

  1. TQM is not compatible witha

App

(a)rigid work practices, authoritarian management styles, poor industrial M

relations

(b)employee initiative, quality focused cultures, flexible work practices

(c)team work practices, supportive unions, customer focus

(d)continuous learning, task rotation, employee initiative, high communication

  1. When two or more organisations combine to form one new company, which d

often has a new corporate identity it is known as a(n)Fac

L

(a)acquisition

(b)take-over

(c)amalgamation

(d)merger

  1. The purchase of a firm or company by another firm or company is called a(n)b

Fac

(a)acquisitionL

(b)take-over

(c)amalgamation

(d)merger

  1. Selling selected operating units for either strategic or financial reasons isc

Fac

(a)off-loadingL

(b)downsizing

(c)divestiture

(d)rightsizing

  1. Ineffective HR management during restructuring may cause all of the following d

problems exceptUnd

M

(a)lost productivity

(b)loss of competitive position

(c)cost of lost talent

(d)improved communication

  1. To avoid many of the problems associated with restructuring the HR managers b

canApp

M

(a)filter the information about the restructuring given to employees

(b)ensure that new employees receive an appropriate orientation

(c)reassign all employees to new positions to avoid internal conflict

(d)by pass unions when making decisions about restructuring

  1. A reduction in a company’s work force to improve its bottom line isa

Fac

(a)downsizingL

(b)retrenchment

(c)cost reduction

(d)restructuring

  1. Downsizing or restructuring aims tod

Und

(a)achieve a lean and hungry organisationM

(b)achieve a fat and comfortable organisation

(c)achieve a vertical decompression of the layers of management

(d)achieve greater organisation efficiency by job elimination

  1. Downsizing may involve all of the following exceptc

Und

(a)increased stressM

(b)ruthless retrenchment practices

(c)trainee recruitment

(d)reduced job opportunities

  1. Employees who remain in organisations undergoing downsizing suffer from fearc

of job loss, which is also known asFac

L

(a)anxiety

(b)guilt

(c)survivor syndrome

(d)stress

  1. In organisations that continue to downsize employees become demoralised byb

Und

(a)the depth of job cutsM

(b)the frequency of job cutting

(c)the size of redundancy payments

(d)lack of opportunity within the organisation

  1. Downsizing shouldd

Und

(a)be a product of the organisations aligning its strategic business objectivesM

(b)allow the organisation to terminate poorly performing employees

(c)shape an organisation’s corporate culture so it is a better fit with its changing environment

(d)both (a) and (c)

  1. If downsizing is not strategic it often becomesb

Fac

(a)UnworkableL

(b)dumbsizing

(c)rightsizing

(d)damaging

  1. Employer-employee relations in a specific workplace is referred to asa

Fac

(a)workplace relationsL

(b)industrial relations

(c)employee relations

(d)enterprise relations

  1. In organisations where the work culture is negative and the union(s) strong, a b

company may not be able toUnd

M

(a)provide a program of continuous development

(b)introduce a performance appraisal program

(c)make changes to work processes

(d)adopt a TQM approach to work

  1. Which of the following is not a role of the line manager in industrial relationsc

App

(a)resolve employee grievancesH

(b)help negotiate disputes and award agreements

(c)represent the company before industrial tribunals

(d)ensure award and legal requirements are adhered to

  1. When a job applicant cannot be hired by an employer unless he or she is a a

member of a designated union the organisation is a(n)Fac

L

(a)closed shop

(b)discriminating employer

(c)union dominated organisation

(d)limited employer

  1. Situations where job applicants who are union members have to be given c

preference in employment over non-union members is referred to asFac

L

(a)closed shop

(b)compulsory unionism

(c)union preference

(d)limited employer

  1. The following are ways that management can make unionisation attractive to c

workers, with the exception ofUnd

M

(a)remain ignorant of workers problems

(b)have few employee benefits

(c)have people doing identical work receiving similar pay rates

(d)allow overtime work without appropriate compensation

  1. A type of restrictive work practice that involves the use of too many employees b

for the actual work to be performed isFac

L

(a)blanketing

(b)featherbedding

(c)employee surplus

(d)job overload

  1. Trade unions are collective organisations that aim toc

App

(a)ensure employee job securityH

(b)resist attempts by the organisation to change job tasks

(c)protect and advance the rights and interests of their members

(d)block attempts made by the organisation to improve its competitiveness by introducing new technology

  1. An exclusive right that restricts a specific type of work to members of a d

particular union isFac

M

(a)featherbedding

(b)a closed shop

(c)union preference

(d)demarcation

  1. Unions can be made unnecessary by managers doing all of the following excepta

App

(a)hiring senior staff from outside the organisationH

(b)placing responsibility for industrial relations with line management

(c)recognising loyalty and seniority

(d)encouraging open communication and being prepared to listen

  1. Organisations that use a salaried operations approach emphasiseb

Und

(a)the need to reduce production costs through salary decreasesH

(b)creation of a more productive, efficient and competitive organisation by enhancing employee commitment and competence

(c)the importance of separating employees into staff or wage personnel

(d)bonus and share schemes as a significant proportion of an employees total salary

  1. Which of the following is a critical element in the introduction of sophisticated c

HRM policies and practices designed to improve productivity and worker App

satisfactionM

(a)unionisation

(b)employee participation

(c)the quality of management

(d)strong competition

  1. Strategic HRM poses the greatest threat tob

Und

(a)long term job securityH

(b)unions that have ineffectual leadership

(c)an organisation’s ability to achieve a competitive advantage

(d)both (a) and (c)

  1. Which if the following is not claimed to be a benefit of salaried operationsd

Und

(a)increased employee commitmentH

(b)elimination of union costs

(c)ability to manage without union interference

(d)ability to decrease production costs through reduced employee compensation

  1. Any practice designed to restrict the efficient and effective operation of an a

organisation isFac

L

(a)restrictive work practice

(b)bad job design

(c)employment restriction

(d)poor job flexibility

  1. Many organisations are uninterested in salaried operations becausec

Und

(a)it eliminates restrictive work practicesM

(b)it allows for better use of employee talent

(c)of a lack of any identifiable HR strategy linked to the organisation’s strategic business objectives

(d)it promotes loyalty to the company instead of the union

True/False Questions

  1. According to Denton, an HR manager’s success depends on recognising the T

need for change and implementing it successfully.Und

M

  1. Obstacles to change can be identified through an examination of labour costs, F

accident rates and sales per employee.Und

L

  1. An organisation’s existing culture, strategies and structures are not significant F

barriers to change.App

M

  1. The effectiveness of change should be measured by comparing the before and T

after situations.Fac

L

7.One of the intended outcomes of an organisation’s work processes is cost-T

effectiveness.Fac

L

  1. Not seeing a reason for the change or not understanding its benefits is described T

as lack of purpose.Fac

M

9.Management can reduce resistance to change through participation. This F

involves giving employees advanced information regarding the reasons for the Und

change, the nature of the change, the planned timing of the change and its H

possible impact on the organisation and employees.

11.Organisation-wide commitment to continuous improvement and totally meetingT

customer needs is total quality management.Fac

L

  1. If you were introducing a TQM approach you would need to ensure that T

monitoring of product and service quality was emphasised.App

M

13.When introducing a TQM approach it is essential that the organisation follow F

the established procedure if the program is to be successful.App

M

  1. In the areas of technology, telecommunications, media, resources, utilities and F

financial services the number of mergers and acquisitions is likely to decline.Und

H

  1. Lost talent, lost productivity, and loss of competitive position are all possible if T

HR issues are ineffectively managed during restructuring.Und

M

  1. The aim of downsizing is to reduce the costs of production by eliminating F

“dead-wood” within the organisation.Und

M

  1. Stone describes downsizing as a “strategic transformation that can be used to T

change the organisation’s culture and the way it does business”.Fac

H

  1. The term used to describe the employer-employee relations in a specific F

workplace is industrial relations.Fac

L

  1. The nature of the work climate has a direct impact on the viability of many T

human resource activities.Und

M

  1. An arrangement whereby union membership is a necessary condition of F

employment is called union preference.Fac

L

23.If management permits inequities in promotion with regard to seniority and putsT

pressure on employees to complete their work they tend to encourage unionism.Und

M

24.Research has shown that US companies that promote employee participation, T

training and development, career development, pay for performance, flexible Fac

work schedules and gainsharing financially outperform those companies that do M

not.

25.Trade unions aim to protect and advance the rights and interests of employers.F

Fac

L

Essay Questions

  1. Explain the steps in the change process and how management can minimise resistance to change.
  1. Critically discuss the importance of maintaining harmonious workplace relations within an organisation, and identify the role that line managers, HR managers and unions play in this process.
  1. Downsizing aims to achieve greater organisational efficiency by job elimination. Examine the negative impact of a poorly designed downsizing strategy and the affect that this could have on an organisation.
  1. Salaried operations, which promote the mutual interests of employees and the organisation, have been introduced by many organisations. Discuss the advantages and disadvantages of such and approach for the organisation.