21
Wed, Nov
0 New Articles

MBA - HRM Human Resource Management 2017 - Strategic Compensation, 9e (Martocchio) - Quiz 03

HRM Human Resource Management

MBA - Human Resource Management 2017

Strategic Compensation, 9e (Martocchio)

Chapter 3   Traditional Bases for Pay: Seniority and Merit 

 

1) Which of the following is based on the human capital theory?

  1. A) seniority pay system
  2. B) BOS
  3. C) merit pay system
  4. D) BARS

Answer:  A

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

2) The collective bargaining system was established by passage of which federal act?

  1. A) National Labor Regulations Act
  2. B) National Labor Relations Act
  3. C) Union Labor Regulations Act
  4. D) Union Labor Relations Act

Answer:  B

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

3) ________ pay is defined as added pay for employees that have reached pay range maximums and are unlikely to move into higher grades.

  1. A) Longevity
  2. B) Merit
  3. C) Seniority-based
  4. D) Incentive

Answer:  A

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

4) Which of the following is an advantage of seniority pay systems?

  1. A) They reward exemplary performance.
  2. B) They encourage employees to continue to increase their skill sets.
  3. C) They help to promote product quality.
  4. D) They reward employees on an objective basis.

Answer:  D

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

5) The concept that employee's knowledge and skills can be used to generate superior productivity is known as ________ theory.

Answer:  human capital

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

6) The General Schedule (GS) classifies federal government jobs into ________ classifications based on such factors as skill, education, and experience levels.

Answer:  15

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

7) ________ pay practices focus on employees who have achieved the maximum pay rate for their jobs.

Answer:  Longevity

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

8) Describe the within-step increase structure in the General Schedule (GS).

Answer:  Employees are eligible for 10 within-grade step pay increases, each increase amounts to about 3 percent of the employee's salary. At present, it takes employees 18 years to progress from Step 1 to Step 10 if they were to remain within a single General grade. Progression through the steps is based on an assumption that their job performance is acceptable. The increase from step to step equals the within-grade increase amount. The waiting periods within steps are:

  • Steps 1—3: 1 year
  • Steps 4—6: 2 years
  • Steps 7—9: 3 years

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.1: Describe seniority and longevity pay practices.

 

 

9) In 2015, employees were expected to earn average merit increases of what percent?

  1. A) 1.3%
  2. B) 3.1%
  3. C) 5.2%
  4. D) 8.3%

Answer:  B

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

10) Which pay system is most commonly used in America today?

  1. A) skill based pay
  2. B) longevity pay
  3. C) merit pay
  4. D) seniority pay

Answer:  C

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

 

11) Which two factors should compensation professionals consider before endorsing the use of merit pay systems?

  1. A) a supervisor's bias and stock price
  2. B) job design and a supervisor's bias
  3. C) job analysis and stock price
  4. D) commitment from top management and job design

Answer:  D

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

 

12) This term refers to the minimum pay increase that employees view as a significant change in their compensation amount.

  1. A) halo effect increase
  2. B) minimal pay incident
  3. C) just-meaningful pay increase
  4. D) satisfactory compensation payment

Answer:  C

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

 

 

13) ________ pay increase refers to the minimum pay increase that employees will consider to be a worthwhile change in compensation.

Answer:  Just-meaningful

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

 

 

14) Merit pay systems primarily rely on ________ performance measures.

Answer:  subjective

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

15) Merit pay programs provide ________ increases to base pay.

Answer:  permanent

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

 

16) The concept of just-meaningful pay increases applies to ________ pay programs.

Answer:  merit

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.2: Explain the merit pay approach to compensation.

 

17) If an employee is rated as outstanding on her leadership ability, she was probably rated based on which appraisal system?

  1. A) trait
  2. B) goal-oriented
  3. C) comparison
  4. D) behavioral

Answer:  A

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

 

18) The XYZ Company ranks its employees from the best performer to the poorest performer, and the employee with the best performance receives the highest ranking. What type of performance appraisal method is used by this company?

  1. A) comparison system
  2. B) trait system
  3. C) behavioral system
  4. D) goal-oriented system

Answer:  A

Difficulty:  Easy

Skill:  Application of Knowledge

AACSB:  Application of Knowledge

LO:  3.3: Explore a variety of performance appraisal methods.

 

19) There are 15 animal keepers working for the XYZ Zoo. Their supervisor is required to rate the performance of these workers based on the following criteria: 30% of the animal keepers will be rated as below-average, 40% of the animal keepers will be rated as average, and 30% of the animal keepers will be rated as above average. What type of performance appraisal is used?

  1. A) paired comparison
  2. B) forced distribution
  3. C) critical incident technique
  4. D) behavioral observation scale

Answer:  B

Difficulty:  Moderate

Skill:  Application of Knowledge

AACSB:  Application of Knowledge

LO:  3.3: Explore a variety of performance appraisal methods.

20) Which evaluation system requires that supervisors compare each employee to every other employee?

  1. A) forced distribution
  2. B) hierarchical
  3. C) paired comparison
  4. D) critical incident technique

Answer:  C

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

 

21) This type of behavioral performance appraisal system requires the review of past performance behaviors and outcomes in order to identify them as either successful or unsuccessful.

  1. A) management by objectives (MBO)
  2. B) behavioral observation scales (BOS)
  3. C) behaviorally anchored rating scales (BARS)
  4. D) critical incident technique (CIT)

Answer:  D

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

22) This performance appraisal system is based on employees and supervisors identifying on-the-job behaviors and behavioral outcomes that distinguish levels of job performance.

  1. A) behaviorally anchored rating scales
  2. B) critical incident technique
  3. C) behavioral observation scales
  4. D) forced distribution system

Answer:  B

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

23) This appraisal system is the most defensible in court because it is based on observable job performance behaviors.

  1. A) behaviorally anchored rating scales
  2. B) 360 degree performance appraisals
  3. C) paired comparison
  4. D) forced distribution

Answer:  A

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

24) Management by objective is part of which type of performance appraisal system?

  1. A) goal-oriented system
  2. B) trait system
  3. C) behavioral observation scale
  4. D) behaviorally anchored rating scale

Answer:  A

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

25) Who determines the particular objectives in a management by objectives (MBO) appraisal system?

  1. A) employees
  2. B) supervisors
  3. C) both employees and supervisors
  4. D) board of directors

Answer:  C

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

26) Jack is a sales professional who is employed in an auto dealership. At the beginning of every year, he and his supervisor determine objectives for Jack together, which are tied to corporate objectives. One of the objectives is related to customer satisfaction. Jack always remains in contact with customers to whom he sold cars even after six months following the sale. His performance appraisal partially depends on the results of a customer satisfaction survey. What kind of performance appraisal system does this auto dealer use?

  1. A) trait
  2. B) comparison
  3. C) behavioral
  4. D) goal-oriented

Answer:  D

Difficulty:  Moderate

Skill:  Application of Knowledge

AACSB:  Application of Knowledge

LO:  3.3: Explore a variety of performance appraisal methods.

 

27) XYZ Movers, a professional relocation company, has 3-person teams for their moving services. The company asks customers to complete a satisfaction survey regarding their recent move. For an employee's performance appraisal, customer satisfaction surveys are also considered in addition to supervisor and team member ratings. Which of the following appraisal methods best describes this situation?

  1. A) paired comparisons
  2. B) positive halo effect
  3. C) 360-degree performance appraisals
  4. D) first-impression effect

Answer:  C

Difficulty:  Easy

Skill:  Application of Knowledge

AACSB:  Application of Knowledge

LO:  3.3: Explore a variety of performance appraisal methods.

 

28) This term refers to a difference between the output of human judgment processes and that of an objective, accurate assessment. This difference could be due to bias, prejudice, or other subjective, extraneous influences.

  1. A) content validity
  2. B) rating error
  3. C) the performance appraisal process
  4. D) a first-impression effect

Answer:  B

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

29) The halo effect and similar-to-me effects are considered examples of which type of rating error?

  1. A) trait system
  2. B) contrast
  3. C) illegal discrimination
  4. D) bias

Answer:  D

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

30) A manager expects high levels of performance from Ashley, a newly hired employee, because she graduated from a prestigious Ivy League university. A year later, the manager rates Ashley's job performance more highly than her actual performance based on his initial belief. What kind of rater error was made by the manager?

  1. A) negative halo effect
  2. B) first-impression-effect
  3. C) positive halo effect
  4. D) contrast errors

Answer:  B

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

 

31) Which performance appraisal error reflects the tendency to rate every employee at the low end of the rating scale, regardless of actual performance?

  1. A) error of central tendency
  2. B) contrast errors
  3. C) negative halo error
  4. D) errors of strictness

Answer:  D

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

32) ________ systems evaluate a given employee's performance against the performance of other employees.

Answer:  Comparison

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

33) Among the various performance appraisal techniques, ________ is the only one based on actual observable job behaviors.

Answer:  BARS (behaviorally anchored rating scales)

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

34) ________- by- ________ is used mainly for managerial and professional employees and typically evaluates employees' progress toward strategic planning goals.

Answer:  Management, objectives

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

35) Summarize the four activities that can help minimize discriminatory performance appraisal practices.

Answer:  First, conduct job analyses to ascertain characteristics necessary for successful job performance. Companies must first establish job definitions and then discover what employee behaviors are necessary to perform the jobs. Job analysis is essential for the development of content-valid performance appraisal systems. Content validity displays connections between the measurable factors upon which the employee is being appraised and the job itself. Human resource and compensation experts must review performance appraisal tools regularly to ensure that the tools adequately reflect the key behaviors necessary for effective job performance. Jobholders, supervisors, and clients can often give the most relevant input to determine whether a performance appraisal system contains dimensions that relate to a particular job.

 

Second, incorporate these characteristics into a rating instrument. Although the professional literature recommends rating instruments that are tied to specific job behaviors (e.g., behaviorally anchored rating scales), the courts routinely accept less-sophisticated approaches such as simple graphic rating scales and trait ranges. Regardless of the method, HR departments should provide all supervisors and raters with definitive written standards.

 

Third, train supervisors to use the rating instrument properly. Raters need to know how to apply performance appraisal standards when they make judgments. The uniform application of standards is extremely important. In addition, evaluators should be aware of common rater errors.

 

Fourth, several cases demonstrate that formal appeal mechanisms and review of ratings by upper-level personnel help make performance appraisal processes more accurate and effective. Allowing employees to voice their concerns over ratings opens a dialogue between employees and their supervisors that may shed light on the performance appraisal outcomes.

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.3: Explore a variety of performance appraisal methods.

 

36) Which practice enables HR professionals to develop performance measures?

  1. A) job evaluation
  2. B) job analysis
  3. C) performance appraisal
  4. D) position analysis

Answer:  B

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.4: Discuss how compensation professionals can strengthen the pay-for-performance link.

 

37) Effective performance appraisals are based on

  1. A) hiring experienced managers.
  2. B) effective communication.
  3. C) employees who rate highly in cognitive ability.
  4. D) hiring managers with formal HR certification.

Answer:  B

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.4: Discuss how compensation professionals can strengthen the pay-for-performance link.

 

38) When companies' merit increases don't clearly reflect differences in actual job performance, they may need to provide which of the following?

  1. A) a promise to allocate more money toward providing merit pay increases
  2. B) an apology
  3. C) alternative rewards such as a vacation
  4. D) justification in a court of law

Answer:  C

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.4: Discuss how compensation professionals can strengthen the pay-for-performance link.

 

39) How can empowering employees help strengthen the pay-for-performance link?

Answer:  Because formal performance appraisals are often conducted only once per year, supervisors must empower employees to make performance self-appraisals between formal sessions. Moreover, supervisors need to take on a coach's role to empower their workers. As coaches, supervisors must ensure that employees have access to the resources necessary to perform their jobs. Supervisors-as-coaches should also help employees interpret and respond to work problems. Empowering employees in this fashion should lead to more self-corrective actions rather than to reactive courses of action.

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.4: Discuss how compensation professionals can strengthen the pay-for-performance link.

 

40) Poorly designed performance evaluation processes do little to achieve which of the following?

  1. A) discourage employees from referring friends for possible employment in the company
  2. B) influence in any way the perception among employees that pay reflects performance
  3. C) encourage employees to refer friends for possible employment in the company
  4. D) create the perception among employees that pay reflects performance

Answer:  D

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.5: Summarize the possible limitations of merit pay programs.

41) A manager in a company gives 5 percent merit pay increases each year to employees who perform well. Some of those employees started with substantially lower base pay raises. Over time, which of the following could be a result?

  1. A) negative halo effect
  2. B) desire to be promoted
  3. C) undesirable social structures
  4. D) contrast errors

Answer:  C

Difficulty:  Moderate

Skill:  Application of Knowledge

AACSB:  Application of Knowledge

LO:  3.5: Summarize the possible limitations of merit pay programs.

 

42) Relying on demographic characteristics as the basis for awarding pay increases tells us which of the following?

  1. A) The supervisor is thorough in his determination of pay increases.
  2. B) The supervisor endorses seniority.
  3. C) The supervisor is relying on factors other than merit.
  4. D) The supervisor has adopted a person-focused pay approach.

Answer:  C

Difficulty:  Easy

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.5: Summarize the possible limitations of merit pay programs.

 

43) Employees may differ in their perceptions of what they consider to be large enough pay raises. Which of the following may be a consequence?

  1. A) filing lawsuits on the basis of illegal discrimination
  2. B) creating undesirable social structures
  3. C) demotivating those employees who do not consider pay raises to be large enough
  4. D) none of the above

Answer:  C

Difficulty:  Difficult

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.5: Summarize the possible limitations of merit pay programs.

 

44) List and discuss four possible limitations of merit pay programs.

Answer:  An answer should contain any of the following elements:

1) The failure to differentiate among performers: When there is no clear difference in actual job performance, companies may provide alternative rewards such as higher discounts on the company's product or service to complement merit pay increase.

2) Poor performance measures: Job analysis can be used to create objective performance measures.

3) Supervisors' biased ratings of employee job performance: Major types of rater errors include bias errors, contrast errors, errors of central tendency, and errors of leniency or strictness. HR departments can help raters to minimize errors by choosing better rating systems and recognizing common errors. For instance, to avoid errors of central tendency, HR professionals should require justification for rating at every level of the scale, not just the extremes.

4) Lack of open communication between management and employees: An employee develops reasonable expectations when there is open communication between management and employees.

Difficulty:  Moderate

Skill:  Concept

AACSB:  Analytical Thinking

LO:  3.5: Summarize the possible limitations of merit pay programs.

 

 

 

 

 

 

------

Human Resource Management
Human Resource Management, 15th Edition, 2017, Gary Dessler,
Strategic Compensation: A Human Resource Management Approach, 9th Edition, 2017, Joseph J. Martocchio
Fundamentals of Human Resource Management, 4th Edition, 2016, Gary Dessler
Human Resource Management, 14th Edition, 2016, R. Wayne Dean Mondy, Retired, Joseph J. Martocchio
Mastering Project Human Resource Management: Effectively Organize and Communicate with All Project Stakeholders, 2015, Harjit Singh
Managing Human Resources, 8th Edition, 2016, Luis R. Gomez-Mejia, David B. Balkin, Robert L. Cardy

-----

PART 1: Setting the Stage for Strategic Compensation
1. Strategic Compensation: A Component of Human Resource Systems
2. Contextual Influences on Compensation Practice
PART 2: Bases for Pay
3. Seniority Pay and Merit Pay
4. Incentive Pay
5. Person-Focused Pay
PART 3: Designing Compensation Systems
6. Building Internally Consistent Compensation Systems
7. Market-Competitive Compensation Systems
8. Building Pay Structures that Recognize Employee Contributions
PART 4: Employee Benefits
9. Discretionary Benefits
10. Legally-Required Benefits
PART 5: Contemporary Strategic Compensation Challenges
11. Compensating Executives
12. Compensating the Flexible Workforce
PART 6: Compensation Around the World
13. Compensating Expatriates
14. Pay and Benefits outside the United States
Epilogue
15. Challenges Facing Compensation Professionals
------
Managing Human Resources Today
Managing Equal Opportunity and Diversity
Human Resource Strategy and Analysis
STAFFING: WORKFORCE PLANNING AND ENFORCEMENT
Job Analysis and Talent Management
Personnel Planning and Recruiting
Selecting Employees
TRAINING AND HUMAN RESOURCE DEVELOPMENT
Training and Developing Employees
Performance Management and Appraisal
Managing Careers
COMPENSATION AND TOTAL REWARDS
Developing Compensation Plans
Pay for Performance and Employee Benefits
EMPLOYEE AND LABOR RELATIONS
Maintaining Positive Employee Relations
Labor Relations and Collective Bargaining
Improving Occupational Safety, Health, and Risk Management
SPECIAL ISSUES IN HUMAN RESOURCE MANAGEMENT
Managing HR Globally
Managing Human Resources in Small and Entrepreneurial Firms
PHR and SPHR Knowledge Base
Comprehensive Cases
------
Human Resource Management: An Overview
Business Ethics and Corporate Social Responsibility
Equal Employment Opportunity, Affirmative Action, and Workforce Diversity
Staffing
Strategic Planning, Human Resource Planning, and Job Analysis
Recruitment
Selection
Performance Management and Training
Performance Management and Appraisal
Training and Development
Compensation
Direct Financial Compensation (Core Compensation)
Indirect Financial Compensation (Employee Benefits)
Labor Relations, Employee Relations, Safety, and Health
Labor Unions and Collective Bargaining
Internal Employee Relations
Employee Safety, Health, and Wellness
Operating in a Global Environment
Global Human Resource Management
------
Lectures, Test Bank, Case Study, Video Guides
Equal Opportunity,
Recruitment, Placement, Talent Management,
Job Analysis, Talent Management Process,
Personnel Planning, Recruiting,
Employee Testing, Selection,
Training, Development,
Developing Employees,
Performance Management, Appraisal,
Managing Careers, Retention,
Compensation,
Establishing Strategic Pay Plans,
Pay for Performance, Financial Incentives,
Benefits, Services,
Labor Relations,
Safety,
Health,
Human Resource Management Lectures

 

----

 

HRM Human Resource Management - New Collection 2017

1. Youtube Playlist: See the collection of HRM Videos - link

2. Download the Selected HRM Human Resource Management E-books for Free

3. HRM Human Resource Management PPT slides - Free Download

Human Resource Management, 15th Edition, 2017, Gary Dessler - LINK Free PPT Download

Strategic Compensation: A Human Resource Management Approach, 9th Edition, 2017, Joseph J. Martocchio - LINK 

Fundamentals of Human Resource Management, 4th Edition, 2016, Gary Dessler - Link Free PPT Download

Managing Human Resources, 8th Edition, 2016, Luis R. Gomez-Mejia, David B. Balkin - Link Free PPT download

4. HRM Cases and Answers  - buy

5. Instructor Manualbuy

6. Test Bank  - Free Download

Managing Human Resources, 8e (Gomez-Mejia et al.) - link free download

Strategic Compensation: A Human Resource Management Approach, 9th Edition, 2017, Martocchio   - link free download

Human Resource Management, 15th Edition, 2017, Gary Dessler   - Link free Download

 

MBA Simulation Games 2017 - Excel file for Sales Forecast

EXCEL FILE

FOR SALES FORECAST

AND PRODUCTION

CALCULATION

NOW IT IS FREE !

DOWNLOAD HERE

Also

Free Personal Support for

ROUND 1

ROUND 2

Email: 

winmbasim@gmail.com

MBA Simulation Games 2018 - Ebook - All Winning Guides and Tips

THE E-BOOK

IS NOW FREE

ALL WINNING GUIDES AND TIPS

WIN ALL 8 ROUNDS

Update 2018

New Stratetgies

Download here - LINK

And Free Personal Support

for Round 1 and Round 2

Email: 

winmbasim@gmail.com