Question 1

Enterprise incentive management systems enable firms to ________.

Accepted Answer

A) compare corporate incentive programs 
B) accurately calculate sales commissions 
C) efficiently administer employee incentive programs 
D) create a matrix of merit awards and incentive options 
A) compare corporate incentive programs 
B) accurately calculate sales commissions 
C) efficiently administer employee incentive programs 
D) create a matrix of merit awards and incentive options

Question 2

The complicated nature of piecework makes it an unpopular individual incentive plan among employers.

Accepted Answer

A) True 
 B)False

Question 3

Employers may award merit pay as traditional merit increases that increase an employee's base pay or as a lump sum merit raise. Explain the pros and cons of these two choices.

Accepted Answer

Traditional merit increases are cumulati

Question 4

Which of the following is the primary advantage of piecework plans?

Accepted Answer

A) powerful incentive to workers 
B) workers earn efficiency bonuses 
C) firms save on overtime wages 
D) entices independent contractors 
A) powerful incentive to workers 
B) workers earn efficiency bonuses 
C) firms save on overtime wages 
D) entices independent contractors

Question 5

According to Vroom's theory, if expectancy, instrumentality, or valence is equal to zero, there will be no employee motivation.

Accepted Answer

A) True 
 B)False

Question 6

Craig is a line manager at a paper supply company. All of the following are methods that Craig should most likely implement to motivate his subordinates EXCEPT ________.

Accepted Answer

A) recognizing an employee's contribution 
B) encouraging workers to earn overtime pay 
C) gaining agreement on goals with employees 
D) using positive reinforcement on a daily basis 
A) recognizing an employee's contribution 
B) encouraging workers to earn overtime pay 
C) gaining agreement on goals with employees 
D) using positive reinforcement on a daily basis

Question 7

You are the CEO of Blue Bay Motor Boat Company, a mid-size firm that manufactures speed boats. What incentive plan would you implement for the firm's engineers? What incentive plan would you implement for the firm's managers? Explain why.

Accepted Answer

Stock options, bonuses, and profit shari

Question 8

Sometimes managers need to reinforce positive behavior but cannot turn to a cash incentive to do so. Identify some positive reinforcement rewards that a manager could use on a day-to-day basis to reward employees.

Accepted Answer

There is a long list possible, such as:

Question 9

A straight salary is most appropriate when a salesperson's primary duties involve ________.

Accepted Answer

A) finding new clients 
B) meeting sales quotas 
C) pushing hard-to-sell items 
D) fostering relationships with customers 
A) finding new clients 
B) meeting sales quotas 
C) pushing hard-to-sell items 
D) fostering relationships with customers

Question 10

Which term refers to payments companies make in connection with a change in ownership or control of a company?

Accepted Answer

A) pension 
B) golden parachute 
C) retirement bonus 
D) stock option 
A) pension 
B) golden parachute 
C) retirement bonus 
D) stock option

Question 11

Robert Katz popularized the use of financial incentives for workers whose production exceeds some predetermined standard.

Accepted Answer

A) True 
 B)False

Question 12

Annual bonus plans are long-term incentives, and stock options are short-term incentives.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following found that extrinsic rewards could detract from an employee's intrinsic motivation?

Accepted Answer

A) Frederick Taylor 
B) Frederick Herzberg 
C) David McClelland 
D) Edward Deci 
A) Frederick Taylor 
B) Frederick Herzberg 
C) David McClelland 
D) Edward Deci

Question 14

Rebecca's manager wants to acknowledge her outstanding service record for the past quarter. The manager decides to give Rebecca a bonus of $1000 as a reward. According to Edward Deci, which of the following will most likely occur as a result?

Accepted Answer

A) The bonus will encourage Rebecca to work harder than before. 
B) The bonus will detract from Rebecca's inner desire to work hard. 
C) Rebecca's bonus will satisfy her higher-level needs and increase her motivation. 
D) Rebecca will feel inadequate because the bonus fails to address hygiene factors. 
A) The bonus will encourage Rebecca to work harder than before. 
B) The bonus will detract from Rebecca's inner desire to work hard. 
C) Rebecca's bonus will satisfy her higher-level needs and increase her motivation. 
D) Rebecca will feel inadequate because the bonus fails to address hygiene factors.

Question 15

According to Herzberg's theory, a manager would be able to motivate an employee with challenging tasks.

Accepted Answer

A) True 
 B)False

Question 16

Ryobi is a large, international power tool manufacturer that develops affordable, high-quality products, such as drills, circular saws, and routers, for both homeowners and craftspeople. As the company continues to grow, its top executives want to ensure that employees are appropriately paid for their performance and that financial incentives are both fair and effective. Currently, the firm provides merit raises based on performance appraisals; however, executives are considering changing the current incentive plan. Which of the following questions is most relevant to the decision by Ryobi executives to discontinue all merit raises?

Accepted Answer

A) What are the guidelines for implementing a gainsharing plan? 
B) What types of merit raises are effective for high-performing managers? 
C) What organization-wide incentive plans are used by other manufacturing firms? 
D) What is the connection between merit pay increases and employee productivity? 
A) What are the guidelines for implementing a gainsharing plan? 
B) What types of merit raises are effective for high-performing managers? 
C) What organization-wide incentive plans are used by other manufacturing firms? 
D) What is the connection between merit pay increases and employee productivity?

Question 17

In order for a firm to have an effective incentive plan, there should be a clear relationship between employee effort and quantity or quality of output.

Accepted Answer

A) True 
 B)False

Question 18

Behavior modification is based upon the principles of rewards and punishments advanced by ________.

Accepted Answer

A) Frederick Taylor 
B) Frederick Herzberg 
C) B.F. Skinner 
D) Edward Deci 
A) Frederick Taylor 
B) Frederick Herzberg 
C) B.F. Skinner 
D) Edward Deci

Question 19

The work of Edward Deci suggests that managers should primarily rely on extrinsic rewards to motivate employees.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following terms refers to an incentive plan that ties a group's pay to the firm's profitability?

Accepted Answer

A) piecework 
B) variable pay 
C) pay-for-performance 
D) merit pay 
A) piecework 
B) variable pay 
C) pay-for-performance 
D) merit pay

Enterprise incentive management systems enable firms to ________.

The complicated nature of piecework makes it an unpopular individual incentive plan among employers.

Employers may award merit pay as traditional merit increases that increase an employee's base pay or as a lump sum merit raise. Explain the pros and cons of these two choices.

Which of the following is the primary advantage of piecework plans?

According to Vroom's theory, if expectancy, instrumentality, or valence is equal to zero, there will be no employee motivation.

Craig is a line manager at a paper supply company. All of the following are methods that Craig should most likely implement to motivate his subordinates EXCEPT ________.

You are the CEO of Blue Bay Motor Boat Company, a mid-size firm that manufactures speed boats. What incentive plan would you implement for the firm's engineers? What incentive plan would you implement for the firm's managers? Explain why.

Sometimes managers need to reinforce positive behavior but cannot turn to a cash incentive to do so. Identify some positive reinforcement rewards that a manager could use on a day-to-day basis to reward employees.

A straight salary is most appropriate when a salesperson's primary duties involve ________.

Which term refers to payments companies make in connection with a change in ownership or control of a company?

Robert Katz popularized the use of financial incentives for workers whose production exceeds some predetermined standard.

Annual bonus plans are long-term incentives, and stock options are short-term incentives.

Which of the following found that extrinsic rewards could detract from an employee's intrinsic motivation?

Rebecca's manager wants to acknowledge her outstanding service record for the past quarter. The manager decides to give Rebecca a bonus of $1000 as a reward. According to Edward Deci, which of the following will most likely occur as a result?

According to Herzberg's theory, a manager would be able to motivate an employee with challenging tasks.

In order for a firm to have an effective incentive plan, there should be a clear relationship between employee effort and quantity or quality of output.

Behavior modification is based upon the principles of rewards and punishments advanced by ________.

The work of Edward Deci suggests that managers should primarily rely on extrinsic rewards to motivate employees.

Which of the following terms refers to an incentive plan that ties a group's pay to the firm's profitability?

Introduction to Human Resource Management

Equal Opportunity and the Law

Human Resource Management Strategy and Analysis

Job Analysis and the Talent Management Process

Personnel Planning and Recruiting

Employee Testing and Selection

Interviewing Candidates

Training and Developing Employees

Performance Management and Appraisal

Employee Retention, Engagement, and Careers

Establishing Strategic Pay Plans

Benefits and Services

Building Positive Employee Relations

Labor Relations and Collective Bargaining

Safety, Health, and Risk Management

Managing Global Human Resources

Managing Human Resources in Small and Entrepreneurial Firms

Filters

Exam 12: Pay for Performance and Financial Incentives

Enterprise incentive management systems enable firms to ________.

The complicated nature of piecework makes it an unpopular individual incentive plan among employers.

Employers may award merit pay as traditional merit increases that increase an employee's base pay or as a lump sum merit raise. Explain the pros and cons of these two choices.

Which of the following is the primary advantage of piecework plans?

According to Vroom's theory, if expectancy, instrumentality, or valence is equal to zero, there will be no employee motivation.

Craig is a line manager at a paper supply company. All of the following are methods that Craig should most likely implement to motivate his subordinates EXCEPT ________.

You are the CEO of Blue Bay Motor Boat Company, a mid-size firm that manufactures speed boats. What incentive plan would you implement for the firm's engineers? What incentive plan would you implement for the firm's managers? Explain why.

Sometimes managers need to reinforce positive behavior but cannot turn to a cash incentive to do so. Identify some positive reinforcement rewards that a manager could use on a day-to-day basis to reward employees.

A straight salary is most appropriate when a salesperson's primary duties involve ________.

Which term refers to payments companies make in connection with a change in ownership or control of a company?

Robert Katz popularized the use of financial incentives for workers whose production exceeds some predetermined standard.

Annual bonus plans are long-term incentives, and stock options are short-term incentives.

Which of the following found that extrinsic rewards could detract from an employee's intrinsic motivation?

Rebecca's manager wants to acknowledge her outstanding service record for the past quarter. The manager decides to give Rebecca a bonus of $1000 as a reward. According to Edward Deci, which of the following will most likely occur as a result?

According to Herzberg's theory, a manager would be able to motivate an employee with challenging tasks.

In order for a firm to have an effective incentive plan, there should be a clear relationship between employee effort and quantity or quality of output.

Behavior modification is based upon the principles of rewards and punishments advanced by ________.

The work of Edward Deci suggests that managers should primarily rely on extrinsic rewards to motivate employees.

Which of the following terms refers to an incentive plan that ties a group's pay to the firm's profitability?

Introduction to Human Resource Management

Equal Opportunity and the Law

Human Resource Management Strategy and Analysis

Job Analysis and the Talent Management Process

Personnel Planning and Recruiting

Employee Testing and Selection

Interviewing Candidates

Training and Developing Employees

Performance Management and Appraisal

Employee Retention, Engagement, and Careers

Establishing Strategic Pay Plans

Benefits and Services

Building Positive Employee Relations

Labor Relations and Collective Bargaining

Safety, Health, and Risk Management

Managing Global Human Resources

Managing Human Resources in Small and Entrepreneurial Firms

Filters