Exam 10: Pay-For-Performance Plans

The percent of companies using some form of variable pay is declining because many employees prefer base wages.

Time studies do not take into account fatigue or worker personal needs.

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

An incentive system with three piecework rates is the _____ plan.

Dissatisfaction with _____ performance indicators for group incentives has led to greater use of _____.

The variable pay plan with the highest instrumentality is _____.

Individual incentives never include financial penalties for poor performance.

Usually _____ are awarded for exceptional performance,often on special projects or for performance that so exceeds expectations as to be deserving of an add-on bonus.

The best variable pay plan for employees when company financial performance is poor is _____.

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

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

Performance plans typically feature corporate performance objectives for a time three years in the future.

Which gain sharing plan is most similar to the standard hour plan?

The level problem in team compensation is an example of the line of sight problem.

Discuss the plans that provide for variable incentives linked to a standard expressed as a time period per unit of production.

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

The two most commonly used team incentive performance standards are:

What are the key elements in designing a gainsharing plan?

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

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