Practice Questions for HRM – CAIIB

These Practice questions for HRM [Human Resources Management] CAIIB exam help students develop an effective exam preparation strategy. So instead of just going in for rote learning techniques, a student should also spend time preparing CAIIB HRM Practice questions to measure their actual strengths and weaknesses.

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CAIIB (Certificate Associate of Indian Institute of Banking and Finance) is a certificate given by IIB (Indian Institute of Banking and Finance) to test the officers already commissioned in the Banking and to legitimise them. The aspirants here mainly include the employees of RBI, SIDBI, NABARD, commercial banks, regional rural banks and cooperative banks etc.

The employees who successfully clear the CAIIB exam get many benefits like increments, incentives, promotions, etc. 

The exam process to obtain this certificate involves scoring at least 50% marks in each subject in the qualifying written exam held online. The time limit for this exam is 2 hours.

The eligibility criteria to pass this exam is quite tough; hence, candidates must take mock tests seriously and give themselves the best preparation for the exam.

Sample Questions HRM

Q.1. According to Boxall (1992), the advantages of the Harvard framework are that it….

a. incorporates recognition of a range of stakeholder interests.

b.recognizes the importance of ‘trade-offs’, either explicitly or implicitly, between the interests of owners and those of employees as well as between various interest groups.

c. widens the context of HRM to include ‘employee influence’, the organisation of

work and the associated question of supervisory style.

d. All the above.

Ans: a

Q.2. The human capital of an organisation consists…….

a. of the people who work there and on whom the success of the business depends on.

b. of the employees who work there and upon whom the success is not pivoted.

c. All the above.

d. None of the above.

Ans: a

Q.3. Human capital can be regarded as …….

a.  the prime asset of an organisation and businesses need to invest in that to ensure their survival and growth. 

b. the prime assets and HRM should ensure that the organisation obtains and retains a skilled, committed and well-motivated workforce. 

c. one of the principal assets of an organisation that calls for performance-contingent incentive compensation systems, and management development and training activities linked to the needs of the business to retain talents.

d. All the above.

Ans: d 

Q.4. The main contextual factor/s that influence HR policies and practices are…..

a. Technology, competitive pressures, etc.

b. a coherent – approach to the development and implementation of HR policies.

c. giving insufficient attention to the management of change and retraining staff.

d. All the above.

Ans: d.

Q.5. …….. is the source of competitive advantage for organisations.

a. Smooth flow of information.

c. Human Capital in the form of talented individuals.

d. None of the above.

d. All the above.

Ans. d.


Q.6. Human Resources Management (HRM) is ….

a. staff function.

b. line function

c. accounting function.

d. All the above.

Ans: a

Q.7. HRM is more growth-oriented whereas Personnel Management is slightly …….

a. Complex

b. Detailed

c. Mechanical

d. Narrow.

Ans: d

Q.8. An employee who is found guilty of misconduct may be …….

a. Dismissed without further notice

b. Gets adverse remark

c. Increment stopped

d. Any of the above

Ans: d

Q.9. The discharge of an employee, due to gross misconduct, amounts to….

a. Retrenchment

b. Gross negligence

c. Summary Dismissal

d. Condoning of misconduct

Ans: c

Q.10. Which of the following is not an off the job training method…

a. Sensitivity.

b. Seminar.

c. Understudy.

d. Conferences.

Ans – c

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Q.11. The Latin word “Seed Plot” means:

a. Mentoring.

b. Planning.

c. Seminar.

d. Training.

Ans – c

Q.12. The study undertaken by the US social scientist Elton Mayo and Fritz Roethlisberger at the Western Electric’s plant in Chicago is called:

a. The scientific study

b. The behavioural studies

c. The Hawthorne Studies

d. The Organisational studies

Ans – c

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