Question 1

What are the basic dimensions on which individual incentive plans vary?

Accepted Answer

The first dimension on which incentive s

Question 2

Recently,the private sector has shown more interest and innovation using merit pay than the public sector.

Accepted Answer

A) True 
 B)False

Question 3

Individual spot awards are an example of an incentive plan.

Accepted Answer

A) True 
 B)False

Question 4

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

Accepted Answer

A) True 
 B)False

Question 5

Standard hour plans are better for non-repetitive jobs requiring numerous skills for completion.

Accepted Answer

A) True 
 B)False

Question 6

Jobs with short cycle tasks normally have a rate based upon a time period per unit of production.

Accepted Answer

A) True 
 B)False

Question 7

A team leader with a free rider problem could maximize performance by:

Accepted Answer

A)  instructing them to do their best. 
B)  specifying performance levels and due dates. 
C)  assigning another team member to monitor their performance. 
D)  punishing free riders who fail to meet standards. 
A)  instructing them to do their best. 
B)  specifying performance levels and due dates. 
C)  assigning another team member to monitor their performance. 
D)  punishing free riders who fail to meet standards.

Question 8

_____ have (has)advantages of having minimal impact on the company's financial statements.

Accepted Answer

A)  Cash profit sharing 
B)  A balanced scorecard 
C)  Stock options 
D)  Deferred profit sharing 
A)  Cash profit sharing 
B)  A balanced scorecard 
C)  Stock options 
D)  Deferred profit sharing

Question 9

A major problem of group incentive plans is performance targets are not correctly set.

Accepted Answer

A) True 
 B)False

Question 10

Costing and budgetary control are more difficult using individual incentives than under time-based pay.

Accepted Answer

A) True 
 B)False

Question 11

What is the trend in team incentive plans?

Accepted Answer

Historically,financial measures have bee

Question 12

A group performance based pay plan is superior to an individual plan when individual production standards and production methods must change to meet changing events.

Accepted Answer

A) True 
 B)False

Question 13

Why do companies prefer lump-sum pay over merit pay increases?

Accepted Answer

Lump-sum bonuses can be considerably les

Question 14

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

Accepted Answer

A) True 
 B)False

Question 15

While interest in teams and team compensation has grown significantly,most companies are not happy with their team compensation systems.

Accepted Answer

A) True 
 B)False

Question 16

All of the following are conditions supporting use of individual incentives except:

Accepted Answer

A)  task accomplishment is independent of others. 
B)  the worker has a strong commitment to their profession. 
C)  production methods and labor mix are stable. 
D)  presence of a union. 
A)  task accomplishment is independent of others. 
B)  the worker has a strong commitment to their profession. 
C)  production methods and labor mix are stable. 
D)  presence of a union.

Question 17

What are the advantages of using the productivity/gainsharing methods of group incentives?

Accepted Answer

The advantages of using the productivity

Question 18

In gain sharing plan formulas,_____ is/are the numerator and _____ the denominator.

Accepted Answer

A)  productivity measures, inputs 
B)  productivity measures, labor inputs 
C)  costs and scrap rate, revenues 
D)  labor inputs, productivity measures 
A)  productivity measures, inputs 
B)  productivity measures, labor inputs 
C)  costs and scrap rate, revenues 
D)  labor inputs, productivity measures

Question 19

Which of the following is not an advantage of group incentive pay plans?

Accepted Answer

A)  Performance measures are easier to develop than for individual plans 
B)  Cooperation within and across groups is encouraged 
C)  Compensation risk to income stability is reduced 
D)  Employee participation in decision-making increases 
A)  Performance measures are easier to develop than for individual plans 
B)  Cooperation within and across groups is encouraged 
C)  Compensation risk to income stability is reduced 
D)  Employee participation in decision-making increases

Question 20

More complex gain sharing plans create needs for:

Accepted Answer

A)  higher levels of trust among participants and more effective communication. 
B)  greater variety of incentives and more effective communication. 
C)  revisions in the management worker split and revisions to the scope of the formula. 
D)  more effective communication and greater variety of incentives. 
A)  higher levels of trust among participants and more effective communication. 
B)  greater variety of incentives and more effective communication. 
C)  revisions in the management worker split and revisions to the scope of the formula. 
D)  more effective communication and greater variety of incentives.

What are the basic dimensions on which individual incentive plans vary?

Recently,the private sector has shown more interest and innovation using merit pay than the public sector.

Individual spot awards are an example of an incentive plan.

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

Standard hour plans are better for non-repetitive jobs requiring numerous skills for completion.

Jobs with short cycle tasks normally have a rate based upon a time period per unit of production.

A team leader with a free rider problem could maximize performance by:

_____ have (has)advantages of having minimal impact on the company's financial statements.

A major problem of group incentive plans is performance targets are not correctly set.

Costing and budgetary control are more difficult using individual incentives than under time-based pay.

What is the trend in team incentive plans?

A group performance based pay plan is superior to an individual plan when individual production standards and production methods must change to meet changing events.

Why do companies prefer lump-sum pay over merit pay increases?

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

While interest in teams and team compensation has grown significantly,most companies are not happy with their team compensation systems.

All of the following are conditions supporting use of individual incentives except:

What are the advantages of using the productivity/gainsharing methods of group incentives?

In gain sharing plan formulas,_ is/are the numerator and _ the denominator.

Which of the following is not an advantage of group incentive pay plans?

More complex gain sharing plans create needs for:

The Pay Model

Strategy: The Totality of Decisions

Defining Internal Alignment

Job Analysis

Job-Based Structures and Job Evaluation

Person-Based Structures

Defining Competitiveness

Designing Pay Levels, mix, and Pay Structures

Pay-For-Performance: the Evidence

Performance Appraisals

The Benefit Determination Process

Benefit Options

Compensation of Special Groups

Union Role in Wage and Salary Administration

International Pay Systems

Government and Legal Issues in Compensation

Management: Making It Work

Filters

Exam 10: Pay-For-Performance Plans

What are the basic dimensions on which individual incentive plans vary?

Recently,the private sector has shown more interest and innovation using merit pay than the public sector.

Individual spot awards are an example of an incentive plan.

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

Standard hour plans are better for non-repetitive jobs requiring numerous skills for completion.

Jobs with short cycle tasks normally have a rate based upon a time period per unit of production.

A team leader with a free rider problem could maximize performance by:

_____ have (has)advantages of having minimal impact on the company's financial statements.

A major problem of group incentive plans is performance targets are not correctly set.

Costing and budgetary control are more difficult using individual incentives than under time-based pay.

What is the trend in team incentive plans?

A group performance based pay plan is superior to an individual plan when individual production standards and production methods must change to meet changing events.

Why do companies prefer lump-sum pay over merit pay increases?

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

While interest in teams and team compensation has grown significantly,most companies are not happy with their team compensation systems.

All of the following are conditions supporting use of individual incentives except:

What are the advantages of using the productivity/gainsharing methods of group incentives?

In gain sharing plan formulas,_____ is/are the numerator and _____ the denominator.

Which of the following is not an advantage of group incentive pay plans?

More complex gain sharing plans create needs for:

The Pay Model

Strategy: The Totality of Decisions

Defining Internal Alignment

Job Analysis

Job-Based Structures and Job Evaluation

Person-Based Structures

Defining Competitiveness

Designing Pay Levels, mix, and Pay Structures

Pay-For-Performance: the Evidence

Performance Appraisals

The Benefit Determination Process

Benefit Options

Compensation of Special Groups

Union Role in Wage and Salary Administration

International Pay Systems

Government and Legal Issues in Compensation

Management: Making It Work

Filters

In gain sharing plan formulas,_ is/are the numerator and _ the denominator.