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HRCI GPHR Exam
Global Professional in Human Resources (Page 3 )

Updated On: 7-Feb-2026
Page 3 of 27
PDF with 204 Questions

At which stage of an organization's global development is HR's involvement fairly limited, with the firm relying on a few key managers to transfer knowledge to others?

  1. Multi-country
  2. Transnational
  3. International
  4. Global

Answer(s): C

Explanation:

Comprehensive and Detailed

At the International stage, the organization has taken its first steps into foreign markets, often by exporting goods or establishing small overseas offices. HR's role is still minimal, primarily administrative, and typically involves a few senior managers transferring knowledge to foreign operations. There's little integration between the home and host operations.

GPHR Study Guide Extract ­ Strategic Global Human Resources / Global Development Stages:

"In the international stage of globalization, the organization centralizes major decisions at headquarters while foreign operations function largely as extensions. Knowledge and policy transfer is typically carried out by a few key managers, and HR involvement remains operational and limited in scope."

This contrasts with more advanced stages (e.g., Transnational), where HR becomes strategically integrated across geographies.



Which of the following are strategic rationales for leveraging cultural diversity in a global organization? (Select TWO options.)

  1. Reduction of legal risk
  2. Competitive advantage
  3. Reduction in time-to-fill
  4. Changing labor force demographics
  5. Compliance with Affirmative Action Plan (AAP)

Answer(s): B,D

Explanation:

Comprehensive and Detailed

Competitive Advantage ­ Diverse teams bring broader perspectives, creativity, and innovation, leading to enhanced problem-solving and decision-making, which gives organizations a strategic edge in the global market.

Changing Labor Force Demographics ­ Global organizations must respond to increasing workforce diversity, driven by global mobility, migration, and aging populations. Recognizing and preparing for this shift is a strategic imperative.

GPHR Study Guide Extract ­ Strategic Global Human Resources / Cultural Diversity and Global

Workforce Trends:

"Cultural diversity fosters innovation and enables organizations to respond effectively to diverse customer needs. Global demographic shifts, such as aging populations and increased migration, necessitate inclusive strategies to remain competitive."

Legal compliance (AAP) is more reactive and location-specific, not strategic from a global HR perspective.



Which of the following are economic benefits that an employer can derive from having a strong employer brand? (Select TWO options.)

  1. Increased retention
  2. Employee recognition
  3. Customer engagement
  4. Employee wellness
  5. Total rewards

Answer(s): A,C

Explanation:

Comprehensive and Detailed

Increased Retention ­ A strong employer brand attracts high-quality talent and fosters pride and loyalty, reducing turnover costs and improving organizational stability.

Customer Engagement ­ Employees who are proud to work for a company become brand ambassadors, indirectly improving customer trust and brand loyalty.

GPHR Study Guide Extract ­ Talent Acquisition and Mobility / Employer Branding:

"Employer branding not only reduces recruitment and retention costs but also strengthens corporate reputation. Engaged employees contribute to customer satisfaction and organizational growth, reinforcing the employer brand in the market."

Recognition and wellness are elements of internal programs, not direct economic drivers of employer branding.



Which type of organization is most likely to staff a management position in another country with a parent-country national?

  1. A large financial organization with a conservative culture
  2. A mature consumer goods organization with long-standing international operations
  3. An advertising organization that supports numerous local clients
  4. A small start-up organization that has entered into an international licensing agreement

Answer(s): A

Explanation:

Comprehensive and Detailed

Parent-country nationals (PCNs) are often used in conservative or centralized cultures where control, consistency, and alignment with HQ policies are prioritized. Large financial firms typically prefer PCNs for trust, governance, and standardization.

GPHR Study Guide Extract ­ Global Talent Acquisition and Mobility / Staffing Approaches:

"An ethnocentric staffing model commonly places parent-country nationals in foreign managerial roles to ensure alignment with the organization's home-office practices. This is especially prevalent in highly regulated, conservative sectors such as finance and banking."

Other models like polycentric or geocentric are more aligned with flexible or mature international companies.



Which term applies when there is no external frame of reference for comparing one set of rules to another set of rules?

  1. Power distance
  2. Uncertainty avoidance
  3. Ethical relativism
  4. Ethnocentric attitude

Answer(s): C

Explanation:

Comprehensive and Detailed

Ethical relativism is the belief that morality is culture-specific, meaning there are no universal standards to judge one ethical system by another. Therefore, decisions and behaviors are evaluated based on the local context, without imposing external norms.

GPHR Study Guide Extract ­ Workforce Relations and Risk Management / Global Ethics and Compliance:

"Ethical relativism suggests that ethical standards are culturally bound, and what is considered right or wrong depends on the societal norms of the specific location. This perspective rejects universal moral principles in favor of cultural context."

This contrasts with ethical universalism, which applies a standard set of ethics globally.






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