Exam 10: Pay-For-Performance Plans

In gain-sharing plan formulas,_____ are in the numerator and _____ are in the denominator.

Maxwell Construction Corp.employs a lot of uneducated laborers.The company wants to introduce a variable-pay plan that is easy to understand and does not cost much to administer.Which of the following variable-pay plans is Maxwell most likely to introduce?

Menthorp Inc.wants to design a variable-pay plan that fosters teamwork and business knowledge of its employees.In order to ensure maximum motivation,Menthorp wants its variable-pay plan to show a clear performance-reward link.Which of the following plans is most suitable for Menthorp?

Performance plans typically feature corporate performance objectives for a time three years in the future.

All incentive plans share an established standard against which worker performance is compared to determine the magnitude of the incentive pay.

Components identified as vital to the success of both Scanlon and Rucker plans are:

All of the following support the use of individual incentives EXCEPT:

Which of the following does NOT provide for incentives based on standards that are expressed in terms of time period per unit of production?

If you had repair work done on your car,the shop most likely used the _____ plan to pay the mechanic.

Surveys show the most popular type of variable pay plans are _____.

An advantage of group incentives is that it leads to increased line-of-sight.

A fast and efficient worker would earn more money under a Rowan plan than under a Halsey 50-50.

An incentive system with three piecework rates is the _____ plan.

What is the difference between success-sharing plans and risk-sharing plans?

A _____ plan requires division of a task into simple actions and determination of the time required by an average skilled worker to complete each action.

TreeDen Corp.experiences an increase in employee turnover rate.Upon investigating,it discovers that employees are dissatisfied with the company's pay.Employees cannot see a direct link between their performance and their pay.They are also unhappy about having to pay out of their pockets to obtain grants.In this case,TreeDen is most likely using a _____.

The authors argue that for merit pay to live up to its potential,all of the following should be done EXCEPT _____.

Discuss SVOP.

Employees working under individual incentive plans tend to resist the introduction of new technology.

Standard hour plans are better for nonrepetitive jobs requiring numerous skills for completion.