Question 1

With a standard hour plan,employers do not need to recalculate piece rates when changes are made to the hourly pay rate.

Accepted Answer

A) True 
 B)False

Question 2

Behavior modification principles can be useful to managers who seek to change employee behavior through rewards or punishments linked to performance.

Accepted Answer

A) True 
 B)False

Question 3

Herzberg's Hygiene-Motivator theory is based on Maslow's hierarchy of needs.

Accepted Answer

A) True 
 B)False

Question 4

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)  The bonus will increase Rebecca's loyalty to her employer and her satisfaction. 
D)  Rebecca's bonus will satisfy her higher-level needs and increase her motivation. 
E)  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)  The bonus will increase Rebecca's loyalty to her employer and her satisfaction. 
D)  Rebecca's bonus will satisfy her higher-level needs and increase her motivation. 
E)  Rebecca will feel inadequate because the bonus fails to address hygiene factors.

Question 5

Using a straight salary to compensate salespeople is most likely ineffective because it ________.

Accepted Answer

A)  discourages sales flexibility 
B)  lacks connection to performance 
C)  makes it too easy to switch territories 
D)  is not linked to product training 
E)  depends on company profits 
A)  discourages sales flexibility 
B)  lacks connection to performance 
C)  makes it too easy to switch territories 
D)  is not linked to product training 
E)  depends on company profits

Question 6

With which of the following can an executive not profit until the stock makes significant gains?

Accepted Answer

A)  performance share 
B)  indexed options 
C)  phantom stock 
D)  restricted stock 
E)  premium priced options 
A)  performance share 
B)  indexed options 
C)  phantom stock 
D)  restricted stock 
E)  premium priced options

Question 7

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

Accepted Answer

A) True 
 B)False

Question 8

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

Accepted Answer

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

Question 9

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

Question 10

Research indicates that employee stock ownership plans may ________.

Accepted Answer

A)  encourage employees to retire too early 
B)  place firms at greater risk for employee lawsuits 
C)  increase employee commitment and motivation 
D)  encourage transparency within global organizations 
E)  improve communication between employees and employers 
A)  encourage employees to retire too early 
B)  place firms at greater risk for employee lawsuits 
C)  increase employee commitment and motivation 
D)  encourage transparency within global organizations 
E)  improve communication between employees and employers

Question 11

Which of the following terms refers to plans that put some portion of the employee's weekly pay at risk,subject to the firm's meeting its financial goals?

Accepted Answer

A)  at-risk variable pay plan 
B)  at-risk incentive plan 
C)  variable risk sharing plan 
D)  at-risk gainsharing plan 
E)  employee at-risk plan 
A)  at-risk variable pay plan 
B)  at-risk incentive plan 
C)  variable risk sharing plan 
D)  at-risk gainsharing plan 
E)  employee at-risk plan

Question 12

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 13

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,if true,supports the argument that Ryobi should eliminate all merit raises?

Accepted Answer

A)  Performance appraisals at Ryobi occur annually, and standards vary from manager to manager. 
B)  Ryobi employees have the option of accepting lump-sum raises or traditional merit raises. 
C)  Motivation among Ryobi engineers has been improved through social recognition programs. 
D)  Ryobi recently began using an enterprise incentive management system to automate compensation. 
E)  The commission percentage for Ryobi sales people is based on the ability to meet monthly quotas. 
A)  Performance appraisals at Ryobi occur annually, and standards vary from manager to manager. 
B)  Ryobi employees have the option of accepting lump-sum raises or traditional merit raises. 
C)  Motivation among Ryobi engineers has been improved through social recognition programs. 
D)  Ryobi recently began using an enterprise incentive management system to automate compensation. 
E)  The commission percentage for Ryobi sales people is based on the ability to meet monthly quotas.

Question 14

According to Maslow's theory,a manager will not be able to motivate an employee with challenging tasks if the employee does not make enough money to pay for basic necessities.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is the most commonly used reward for motivating employees?

Accepted Answer

A)  individual travel 
B)  recognition programs 
C)  training programs 
D)  variable pay 
E)  special events 
A)  individual travel 
B)  recognition programs 
C)  training programs 
D)  variable pay 
E)  special events

Question 16

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 17

Research suggests that employee stock ownership plans discourage employees from developing a sense of ownership in and commitment to the firm,which is why the programs are decreasing in popularity.

Accepted Answer

A) True 
 B)False

Question 18

All of the following are disadvantages of straight commission plans EXCEPT ________.

Accepted Answer

A)  salespeople avoid pushing hard-to-sell items 
B)  salespeople fail to service small accounts 
C)  payments are complicated to calculate 
D)  significant variations in pay exist 
E)  pay depends on skill and economy 
A)  salespeople avoid pushing hard-to-sell items 
B)  salespeople fail to service small accounts 
C)  payments are complicated to calculate 
D)  significant variations in pay exist 
E)  pay depends on skill and economy

Question 19

Which of the following terms refers to the right to purchase a stated number of shares of a company stock at today's price at some time in the future?

Accepted Answer

A)  at-risk variable plan 
B)  multiplier method 
C)  stock option 
D)  gainsharing plan 
E)  split-award plan 
A)  at-risk variable plan 
B)  multiplier method 
C)  stock option 
D)  gainsharing plan 
E)  split-award plan

Question 20

Experts assert that stock options encourage executives to take dangerous risks and are to blame for many corporate scandals.

Accepted Answer

A) True 
 B)False

With a standard hour plan,employers do not need to recalculate piece rates when changes are made to the hourly pay rate.

Behavior modification principles can be useful to managers who seek to change employee behavior through rewards or punishments linked to performance.

Herzberg's Hygiene-Motivator theory is based on Maslow's hierarchy of needs.

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?

Using a straight salary to compensate salespeople is most likely ineffective because it ________.

With which of the following can an executive not profit until the stock makes significant gains?

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

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

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 ________.

Research indicates that employee stock ownership plans may ________.

Which of the following terms refers to plans that put some portion of the employee's weekly pay at risk,subject to the firm's meeting its financial goals?

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

According to Maslow's theory,a manager will not be able to motivate an employee with challenging tasks if the employee does not make enough money to pay for basic necessities.

Which of the following is the most commonly used reward for motivating employees?

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.

Research suggests that employee stock ownership plans discourage employees from developing a sense of ownership in and commitment to the firm,which is why the programs are decreasing in popularity.

All of the following are disadvantages of straight commission plans EXCEPT ________.

Which of the following terms refers to the right to purchase a stated number of shares of a company stock at today's price at some time in the future?

Experts assert that stock options encourage executives to take dangerous risks and are to blame for many corporate scandals.

Introduction to Human Resource Management

Equal Opportunity and the Law

The Manager's Role in Strategic Human Resource Management

Job Analysis

Personnel Planning and Recruiting

Employee Testing and Selection

Interviewing Candidates

Training and Developing Employees

Performance Management and Appraisal

Coaching, Careers, and Talent Management

Establishing Strategic Pay Plans

Benefits and Services

Ethics, Justice, and Fair Treatment in HR Management

Labor Relations and Collective Bargaining

Employee Safety and Health

Managing Global Human Resources

Managing Human Resources in Entrepreneurial Firms

Filters

Exam 12: Pay for Performance and Financial Incentives

With a standard hour plan,employers do not need to recalculate piece rates when changes are made to the hourly pay rate.

Behavior modification principles can be useful to managers who seek to change employee behavior through rewards or punishments linked to performance.

Herzberg's Hygiene-Motivator theory is based on Maslow's hierarchy of needs.

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?

Using a straight salary to compensate salespeople is most likely ineffective because it ________.

With which of the following can an executive not profit until the stock makes significant gains?

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

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

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 ________.

Research indicates that employee stock ownership plans may ________.

Which of the following terms refers to plans that put some portion of the employee's weekly pay at risk,subject to the firm's meeting its financial goals?

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

According to Maslow's theory,a manager will not be able to motivate an employee with challenging tasks if the employee does not make enough money to pay for basic necessities.

Which of the following is the most commonly used reward for motivating employees?

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.

Research suggests that employee stock ownership plans discourage employees from developing a sense of ownership in and commitment to the firm,which is why the programs are decreasing in popularity.

All of the following are disadvantages of straight commission plans EXCEPT ________.

Which of the following terms refers to the right to purchase a stated number of shares of a company stock at today's price at some time in the future?

Experts assert that stock options encourage executives to take dangerous risks and are to blame for many corporate scandals.

Introduction to Human Resource Management

Equal Opportunity and the Law

The Manager's Role in Strategic Human Resource Management

Job Analysis

Personnel Planning and Recruiting

Employee Testing and Selection

Interviewing Candidates

Training and Developing Employees

Performance Management and Appraisal

Coaching, Careers, and Talent Management

Establishing Strategic Pay Plans

Benefits and Services

Ethics, Justice, and Fair Treatment in HR Management

Labor Relations and Collective Bargaining

Employee Safety and Health

Managing Global Human Resources

Managing Human Resources in Entrepreneurial Firms

Filters