Introduction 1
About This Book 1
Foolish Assumptions 2
Icons Used in This Book 2
Beyond This Book 3
Where to Go from Here 3
Part 1: Getting Started with the PHR/SPHR Exam 5
Chapter 1: Introducing the PHR/SPHR Exam: Just the Basics, Please 7
Summarizing the Certification Process 8
PHR or SPHR: Which Exam is Right for You 8
Exam eligibility 8
Comparing the two exams 9
Making your decision: Certification is a journey, not an event 10
Still undecided? 11
Applying for Your Exam 11
Completing your application online 11
Scheduling the exam online 12
Knowing What to Expect on the Exams 12
Looking at the exams’ structure and types of questions 13
Grasping how the exams are scored 13
Preparing to Tackle the Exam 14
Tackling the 24 Hours before, during, and after the Exam 14
Examining the Core Subject Areas on the Exam 15
PHR 15
SPHR 16
Remembering the Core Knowledge Requirements 17
Understanding That You Can’t Be Taught the Exam 18
Chapter 2: Preparing for the Exam 21
Considering Exam Weights by Functional Area 21
Practicing for Results 23
Reaping the benefits from practice exams 24
Making the right selection 25
Building a Study Plan Strategy 25
Being organized keeps you focused 25
Writing a study plan: The how-to 26
Employing the Principles: Going Deeper 27
HRCI’s suggested authors 27
Online business sites 28
Techniques 29
Considering a Study Group: Yes or No? 30
Noting the benefits of a study group 31
Identifying the challenges of a study group 32
Selecting the right group or exam prep class 32
Keeping your group on task 32
Asking Your Employer to Pay for Certification 33
Using the Internet for Additional Resources 34
Functional Area 01 34
Functional Area 02 35
Functional Area 03 36
Functional Area 04 37
Functional Area 05 39
Applying Core Knowledge 40
Sharing the value of diversity and inclusiveness 41
Applying human relations 43
Using theories of motivation 43
Managing enterprise risk 44
Complying with safety standards in the workplace 45
Navigating labor union implications 50
Chapter 3: Identifying the Question Types and Strategizing to Answer Them 55
Having a Plan to Answer the Questions 55
Interpreting the Content While Conquering the Form 56
Understanding how the questions are formed 56
Spotting the target: The correct answer 58
Navigating the answer distractors 59
Recognizing Special Circumstances 60
Maneuvering through the “best” pitfall 60
Working with extremes — always, never, most, least 61
Dealing with the unknown 62
Chapter 4: Surviving Test Day 65
Leading Up: The Days before the Test 65
Cramming: Yes or no? 66
Eyeing the lay of the land: The testing facilities 66
Familiarizing yourself with the testing environment 67
The Time is Here: Exam Day 67
Remembering the ABCs of Exam Day 68
Attitude: Believe that you can succeed 68
Breathing: It matters more than you may think 69
Confidence: Expect success 69
After the Test: What to Expect 70
Completing the survey 70
Getting your results 71
Part 2: Managing the Basics: Pre-Test Fundamentals 73
Chapter 5: Career Day: Life of a Certified HR Professional 75
Tracking Trends in Human Resources 76
Understanding educational trends 76
Clarifying the role of HR 77
Using the Statistics 78
Identifying who is certified and why this information is important 78
Leveraging the impact of certification on salary 79
Applying Your Knowledge on the Job 80
Focusing on staying relevant: Continuing your education 80
Demonstrating knowledge: Positively impacting your employer 81
Constructively criticizing: What to do when you disagree 82
Chapter 6: Examining HRCI’s Glossary of Terms 85
Deciding How to Study 85
The Terms 86
Part 3: The Ins and Outs of the PHR Exam 117
Chapter 7: The Key to Success: PHR 01 Business Management 119
Eyeing the Exam Objectives 119
Responsibilities 119
Knowledge 120
Focusing on What You Need to Know about Business Management 120
The playing field 121
Working with other business functions 122
Establishing internal and external relationships 124
HRCI’s Code of Ethical and Professional Responsibility 125
Risk Management 127
Applying U.S labor law 128
Tackling executive orders 129
Managing Data 130
Chapter 8: Finding Resources: PHR 02 Talent Planning and Acquisition 133
Noting What’s Important about Talent Planning and Acquisition 133
Responsibilities 134
Knowledge 134
Recognizing What Subjects to Study 134
Looking at the Life Cycle of the Employee 135
Creating a Recruiting Process 136
Selecting the Right Employees 137
Using pre-employment tests 138
Conducting interviews 139
Employment offers 140
The use of background checks 140
Comparing Orientation to Onboarding 141
Recognizing Common Reports and Tools 141
EEO-1 reporting 141
Form I-9 142
Recruiting analysis 142
Chapter 9: Sharpening Your Tools: PHR 03 Learning and Development 143
Identifying What’s Essential About Learning and Development 143
Responsibilities 143
Knowledge 144
Examining What You Need to Know for the Exam Regarding Learning and Development 144
The design of training 145
Developing employees 147
Making the most of data management 149
Chapter 10: Paying Your Dues: PHR 04 Total Rewards 155
Identifying the Exam Objectives for Total Rewards 155
Responsibilities 155
Knowledge 156
Tackling the Key Points about Total Rewards 156
Structuring pay systems 156
Processing payroll 159
Selecting and Communicating Employee Benefits 159
Fair Labor Standards Act (FLSA) 160
Employee Retirement Income and Security Act (ERISA) 160
The Older Workers Benefit Protection Act (OWBPA) 161
Social Security & Medicare 161
Workers’ compensation 162
Family Medical Leave Act (FMLA) 162
Patient Protection & Affordable Care Act 162
Taking Advantage of Common Reports and Tools 163
Hidden paychecks 163
Benefits surveys 163
Exempt checklists 164
Chapter 11: Connecting the Dots: PHR 05 Employee and Labor Relations 165
Navigating Employee & Labor Relations 165
Responsibilities 166
Knowledge 166
Focusing on What the Exam Covers in ELR 167
Defining company culture and climate 167
Early engagement techniques 169
Building engagement through performance management 169
Applying discipline and conducting separations 171
Using Policies and Procedures to Communicate 172
Employee handbooks and policy reviews 172
Common reports and tools 173
Part 4: Digging into the SPHR Exam 175
Chapter 12: Building the Frame: SPHR 01 Leadership and Strategy 177
Leadership & Strategy Exam Objectives 177
Responsibilities 178
Knowledge 178
Directing Leadership and Strategy Initiatives 179
The Essence of Strategy 179
Becoming a strategic partner 180
Interpreting strategic planning objectives 181
Understanding the stages of planning 181
Managing Risk 184
Designing Interventions 185
Managing Change Strategies 185
The three-stage model 185
The eight-stage model 186
The five-stage model 186
Delivering through Technology 187
Following trends in HR information systems 187
Managing the impact of data analytics 187
Avoiding the pitfalls of social media 188
Building a virtual workplace 189
Selecting and implementing project management software 189
Analyzing with metrics 190
Forecasting 191
Using scorecards 192
Chapter 13: Bridging the Gap: SPHR 02 Talent Planning and Acquisition 193
Preparing for Talent Planning and Acquisition 193
Responsibilities 194
Knowledge 194
Digging Deeper into the Exam Objectives 194
Workforce Planning 195
Analyzing the labor market population 195
Conducting wage surveys 196
Succession and replacement plans 196
Overseeing the Staffing Function 197
Employer branding 197
Recruiting and selection 197
Selection 198
Integrating New Talent 199
Engaging Employees 200
Termination in the Context of Talent Planning 201
Corporate restructures 201
Mergers and acquisitions 202
Divestitures 202
Chapter 14: Shaping the Resources: SPHR 03 Learning and Development 205
Examining What You Need to Know for the Exam 205
Responsibilities 206
Knowledge of 206
Analyzing Business Needs 206
Activating Training Systems 207
Instructional design 207
Using Learning and Development for Retention 209
Assessing talent 209
Creating career paths 210
Allocating resources 211
Chapter 15: Harnessing the Value: SPHR 04 Total Rewards 213
Total Rewards Exam Objectives 213
Responsibilities 214
Knowledge 214
Breaking Down the Content 214
Categorizing Total Rewards 214
Building compensation strategies 215
Creating the Framework 217
Job analysis 217
Job evaluation and pricing 218
Benchmarking 218
Legal issues 218
Shaping executive compensation 220
Building benefits systems 221
Chapter 16: Building Relationships: SPHR 05 Employee Relations and Engagement 225
Charting Exam Content 225
Responsibilities 226
Knowledge 226
Making the Case for Engagement 227
Job attitudes 229
Performance feedback and recognition 230
The importance of trust at work 232
Separations as an experience point 233
Human resource leadership development 233
Part 5: Employing Your Knowledge: Practice Exams 235
Chapter 17: Facing the Challenge: PHR Practice Exam 237
Answer Sheet for PHR Practice Exam 239
Chapter 18: Answers and Explanations to PHR Practice Exam 267
Answer Key for Practice Exam I 287
Chapter 19: Using Your Skill Set: SPHR Practice Exam 289
Answer Sheet for SPHR Practice Exam 291
Chapter 20: Answers and Explanations to SPHR Practice Exam 319
Answer Key for Practice Exam I 341
Part 6: The Part of Tens 343
Chapter 21: Ten PHR/SPHR Exam Pitfalls and How to Avoid Them 345
Sitting for the Wrong Exam 345
Underestimating Exam Preparation Time 346
Unlearning State-Specific Applications 347
Getting Tripped Up: The Perils of Overthinking 348
Playing the Guessing Game 348
Trusting Your Instinct 348
Changing Answers 349
Focusing Too Much on the Clock 349
Managing Distractions 350
Avoiding Mind Tricks 351
Chapter 22: Ten (or So) Study Tips for the Exam Bodies of Knowledge 353
Being Organized and Planning 354
Using Outlines 355
Going Online 356
Interviewing Subject-Matter Experts 356
Presenting Unfamiliar Exam Objectives 357
Comparing HR Best Practices to Your Work Experience 357
Discerning Action Objectives from Knowledge Objectives 357
Spacing Practice for Success 358
Knowing Where to Focus When Studying Labor Laws 358
Appendix: Federal Employment Law 361
Index 369
