Exam 4: Organizational Context: Reward Systems

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The stock option plan allows senior-level managers to buy company stock in the future at a/ the _____ price.

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Summarize the reasons why recognition may be as important as,or even more important than,money as a reward for today's employees.

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Which one of the following theories equates money as being only as important as the most basic requirements of employees?

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Base pay is often determined by productivity.

(True/False)
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What are employee assistance programs? Explain their purpose.

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The base pay form of compensation is as competitive at the entry level as it is thereafter.

(True/False)
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The option of a 'drawing account' is available for employees under the group incentive plan.

(True/False)
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Life-cycle benefits are based on a person's stage of life and include things such as child care and elder care.

(True/False)
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Bonuses and stock options reward systems are practical only when performance can be easily and objectively measured.

(True/False)
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Under which of the following arrangement does an organization establish a budgeted amount that it is willing to spend per employee,and the individual is then allowed to decide how to spend this money?

(Multiple Choice)
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Behavioral performance management focuses on social recognition as an effective contingent reinforcer that supervisors/ managers can use as a style in interpersonal relations.

(True/False)
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Describe agency theory.How is it significant?

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Agency theory involves a new approach to understanding behavior by individuals and groups both inside and outside the organization.

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Intrinsic motivation is usually measured in the laboratory by time spent on a task following the removal of the reward.

(True/False)
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What is the basic idea behind the stock option plan in relation to the value of the company's stock?

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The _____ bonus is one of the biggest incentives for athletes and upper-level managers.

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Which of the following is NOT a disadvantage associated with merit pay?

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Today's individual incentive plans pay people based on two factors,namely:

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Owners are usually risk averse and may prefer conservative courses of action that minimize their chances of loss.

(True/False)
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Which of the following holds that firms can save money and become more productive if they pay higher wages and better benefits because they are able to hire and leverage the best talent?

(Multiple Choice)
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