GPHR Exam Dumps - HRCI certification Questions and Answers

Comprehensive and Detailed Explanation:

Inindividualist cultures(e.g., USA, UK),personal achievement and meritare central to how success is defined and rewarded. This contrasts withcollectivist cultures(e.g., Japan, China), wheregroup harmony and collective successare prioritized.

GPHR Study Guide Extract – Workforce Relations and Risk Management / Hofstede’s Cultural Dimensions:

“In individualist societies, people are expected to look after themselves and prioritize personal achievements. Recognition and advancement are often based on individual accomplishments rather than team performance.”

This cultural norm directly impacts reward systems, leadership styles, and performance management.

Comprehensive and Detailed Explanation:

Arbitrationis a formal process where aneutral third-party (arbitrator)makes abinding decisionon a dispute. It is:

Quicker and more private than litigation

Often contractually agreed upon

Common in international labor contexts

GPHR Study Guide Extract – Workforce Relations and Risk Management / Alternative Dispute Resolution (ADR):

“Arbitration is used when parties agree to resolve disputes outside court through a neutral arbitrator whose decision is binding. It is particularly valuable in international employment disputes.”

Mediationisnon-binding, focused on facilitated negotiation.Conciliationis similar but even less formal.

Comprehensive and Detailed Explanation:

The issue should be addressed through aperformance management lens. Whether the behavior is due to alcohol or another cause, the manager’s role is to:

Document the behavior(tardiness, absenteeism, inappropriate conduct)

Apply organizational policies consistently

Initiate disciplinary or support actionbased on performance, not assumptions

GPHR Study Guide Extract – Workforce Relations and Risk Management / Managing Performance Abroad:

“Issues such as substance abuse should be addressed based on their impact on performance and team dynamics. Documented evidence and consistent HR policies must guide any disciplinary or repatriation action.”

Jumping to conclusions or acting on unverified suspicions can create legal and ethical risks.

Comprehensive and Detailed Explanation:

Particularism(a dimension from Trompenaars’ cultural framework) emphasizesrelationships, context, and personal connectionsover formal systems and rules. In particularist cultures:

Trust and loyalty are valued more than contracts

Business is often done based on who you know

Rules areapplied differentlydepending on relationships

GPHR Study Guide Extract – Workforce Relations and Risk Management / Trompenaars’ Cultural Dimensions:

“In particularist cultures, rules are flexible and adapted based on the situation or the person involved. Personal relationships carry more weight than written agreements.”

Universalism, by contrast, emphasizesequal application of rules, regardless of relationship.

Comprehensive and Detailed Explanation:

AGreenfield ventureis a type of foreign direct investment where a parent company starts a new venture in a foreign country by constructing new operational facilities from the ground up. This includes building new factories, offices, and distribution hubs—essentially "starting from scratch." It is commonly used when organizations want full control over their operations, infrastructure, and processes.

GPHR Topic Reference:

Strategic Global Human Resources – International Market Entry Strategies:

“Greenfield investments involve acquiring land and constructing new facilities, offering full control over operations, but with high risk and initial cost.”

Comprehensive and Detailed Explanation:

Whilelegal compliance and costare critical, thecentral purposeof compensation strategy is to support theorganization’s goals. This includes:

Attracting and retaining the right talent

Driving performance aligned with global priorities

Supporting mobility and growth markets

GPHR Study Guide Extract – Global Compensation and Benefits / Compensation Strategy Design:

“Compensation strategy must reflect and reinforce the business’s global direction. HR should ensure that pay structures align with talent needs and strategic goals across regions.”

Compliance and equity are enablers, butstrategy alignmentis the foundation.

Comprehensive and Detailed Explanation:

Thehome-based balance sheetmethod ensures pay consistency with the home country but isadministratively complexand expensive. It requires:

Multiple allowances (e.g., COLA, housing, tax equalization)

Ongoing calculations and adjustments

Cross-border payroll coordination

This complexity drives upoperational costsand resource demands.

GPHR Study Guide Extract – Global Compensation and Benefits / Home-Based Compensation Models:

“The home-based approach is resource-intensive and increases administrative complexity due to tax management, exchange rate monitoring, and benefit coordination.”​

Comprehensive and Detailed Explanation:

AThird-Country National (TCN)is an employee who isnot from the home country (where the company is headquartered) nor from the host country (where the work is being done).

Utilizing TCNs signals ageocentric staffing philosophy, which is the hallmark of a truly global organization. It focuses on selecting thebest talent regardless of nationality, promotingdiversity, global integration, and flexibility.

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

“The use of third-country nationals reflects a geocentric model. Organizations operating at this level seek the best person for the job irrespective of national origin, supporting a truly global mindset.”

In contrast,ethnocentric organizationsrely onparent-country nationals (PCNs)to manage foreign subsidiaries.

Comprehensive and Detailed Explanation:

One of the two main provisions of theFCPAis theaccounting provision, which mandates that companies:

Maintain accurate books and records

Implement internal controls to detect and prevent bribery

This requirement helpsuncover unauthorized paymentsand ensuresfinancial transparency.

GPHR Study Guide Extract – Workforce Relations and Risk Management / Compliance with FCPA:

“Organizations must maintain detailed and accurate books and records. This serves as a safeguard against bribery and demonstrates compliance with anti-corruption statutes.”

While policies and penalties matter,financial transparency through accountingis foundational and enforceable under the law.

Linking assessments tostrategic objectivesensures the program isfuture-orientedand supports aglobal talent pipeline. It reinforces leadership readiness and performance alignment.

GPHR Concept:Leadership development must be strategically integrated with business and succession planning.