For which type of employees should the lowest (first) quartile be used in a merit pay system with pay ranges divided into quartiles?
A. Red-circled employees
B. Employees new to the role
C. High-performing employees with five years in the job
D. Fully meets standards employees with five to seven years of experience
What does the size of a merit increase have to do with the success of a merit pay program?
A. Increase must be equitable within a department
B. Increases must not be deemed inconsequential to employees
C. Increase given to star employees must be at least triple of those given to average performers.
D. Even small increases should not be given to less-than-average performers.
What is the primary goal of a merit pay program?
A. To link pay to the competitive market rate of each job
B. To link pay to years of experience in a particular job
C. To link pay to performance in a manner that is consistent with the mission of the organization
D. To link pay to organizational performance
Which of the following would be a cause of an employee being paid only slightly above the minimum after two years on the job?
A. The job was re-evaluated and moved to a lower grade.
B. The employee receives increases every six months.
C. Market data for the job are much higher than the range midpoint.
D. The employee was minimally qualified upon entry and is still learning the job.
At a high level, performance measures are generally divided into what two broad categories?
A. Objective and subjective
B. Behavioral and attitudinal
C. Organizational and divisional
D. Financial and non-financial
What performance measurement system is most likely to include cost of capital when evaluating performance?
A. Business Excellence Model
B. Shareholder Value Added
C. Activity Based Costing
D. Competitive Benchmarking
What is the third component to pay for performance systems?
A. Assessment
B. Communicate links
C. Determine rewards
D. Conduct performance discussion
At a company communications event, several employed were awarded certificates for their roles in improving customer service. Later, their manager noticed some of the certificates in the trash bin. Which
essential element for success did the manager miss?
A. Link rewards to the performance evaluation
B. Employ meaningful rewards
C. Reward group or team accomplishments
D. Make sure that measurement is accurate
Which of these results-driven recognition programs focuses on individual employees who perform particularly well in some aspect of their job?
A. Peer-to-peer
B. Specific results and behaviors
C. Symbolic award
D. Above-and-beyond performance
What is the most common form of recognition?
A. Trophies
B. Cash
C. Merchandise chosen from an award catalog
D. Verbal recognition
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