Question :
11) If a firm frequently changes the basis of its : 1346316
11) If a firm frequently changes the basis of its pay-for-performance system, it will most likely:
A) diminish its credibility gap.
B) violate its psychological contract with employees.
C) generate fear among employees due to a lack of control.
D) increase employees’ intrinsic drive to perform beyond expectations.
12) In most firms, pay-for-performance compensation systems experience a credibility gap among approximately ________ of employees.
A) 15%
B) 25%
C) 50%
D) 75%
13) Which of the following best explains the findings of the Kaiser Permanente Northern California study?
A) External rewards decrease internal motivation and performance.
B) Nonmonetary rewards are less motivating than monetary rewards.
C) Incentive plans increase productivity but lower overall job satisfaction.
D) Employee performance increases linearly with increased monetary rewards.
14) To minimize problems, a pay-for-performance plan should:
A) appropriately link pay and performance.
B) use pay-for-performance as a stand-alone program.
C) downplay the rewards to avoid an over-focus on productivity.
D) use a single-layer, simple program.
15) What is the main requirement for the successful implementation of a piece-rate plan?
A) Training managers on the employee’s work process.
B) Limiting labor union influences and regulations.
C) Giving employees control of work pace and quality.
D) Outsourcing most tasks to overseas organizations.
16) Marianne is binding biology notes at a university bookstore. She is paid based upon the number of note packs she binds in a day. Marianne is compensated on a:
A) gainsharing system
B) bonus reward system.
C) merit pay system.
D) piece-rate system.
17) Piece-rate pay-for-performance would most likely work well with:
A) secretaries who also fill in as receptionists paid for the amount of correspondence they type each day.
B) police officers paid for the number of arrests they make for drunk driving during a single month.
C) school teachers paid on the basis of the number of students who have passed standardized tests.
D) sewing machine operators paid for the number of pairs of pants they sew in a given work day.
18) Which of the following is LEAST likely to cause the failure of a pay-for-performance program?
A) HR hiring unskilled employees
B) High-tech firms using piece-rate plans
C) Employees failing to received adequate training
D) Managers lacking performance appraisal training
19) What is the most popular incentive given by employers?
A) Company cars
B) Exotic vacations
C) Restaurant gift cards
D) Consumer electronics
20) If a team is paid based on meeting its production goals, and each member of the team must contribute a minimal percentage toward that goal to share in the team award, then the pay-for-performance system is:
A) promoting increased employee involvement in corporate growth.
B) promoting the belief that performance makes a difference.
C) using other HRM programs at the same time.
D) using multiple layers of rewards.
