Question

Shelby Organic Foods is a fast growing firm that produces organic frozen food entrees.The firm employs 700 people and expects to hire more in the next few years.Currently,all of the firm's HR tasks are handled internally by Shelby's HR department.However,top executives at Shelby are considering the idea of outsourcing benefits administration.Which of the following questions is LEAST relevant to the decision to outsource Shelby's benefits administration tasks?
A) What is the cost difference for Shelby between handling benefits internally and externally?
B) How much time is spent by Shelby's HR department handling benefits administration tasks?
C) Which Shelby HR professional should oversee benefits administration at the shared service center?
D) How knowledgeable is Shelby's HR staff about benefits administration and federal health care laws?

Answer 1

Answer: C. Which Shelby HR professional should oversee benefits administration at the shared service center?

Explanation:

Of the options given in the question, the questions that are relevant to the decision to outsource Shelby's benefits administration tasks are:

1. What is the cost difference for Shelby between handling benefits internally and externally?

2. How much time is spent by Shelby's HR department handling benefits administration tasks?

3. How knowledgeable is Shelby's HR staff about benefits administration and federal health care laws?

The questions above is necessary for Shelby Organic food in order to make the decision. The option that "which Shelby HR professional should oversee benefits administration at the shared service center?" is not relevant.