MG 411 - Compensation
Attendance/Quiz 1
10 points
NAME:
____Hannah Martin
_________
1.
In the WorldAtWork (ACA) categorization of organizational rewards, benefits are an
important non-financial reward.
Yes _____
No _X__ (if you choose no, explain why)
Benefits are a part of the financial portion of the extrinsic rewards. More specifically,
benefits are indirect but are financially fungible. For example, an employee who receives
a medical insurance plan through their organization will generally have a portion of that
premium that is paid by the organization. This is technically an indirect form of financial
compensation.
2.
When an organization uses a formal structure/pay grades, we must determine one pay rate
for all persons performing a given job.
Yes _____
No _X__ (if you choose no, explain why)
Job description only outlines the minimum requirements to successfully complete the job.
Job specifications can increase the amount of compensation due to the fact that while the
employee is performing the same job, they have the ability/qualification to perform the
job at a higher level than an employee who does not possess the same qualifications.
3.
The goals that most organizations have for the compensation system support each other
and are easily achieved.
Yes _____
No _X_ (if you choose no, explain why)
These goals can sometimes compete with one another and cause the compensation system
to not support the other goals due to the competition between themselves. We can achieve
these goals by using the three forms of equity, however, they are not necessarily easily
achieved, either.
4.
Merit and incentives have a similar organizational end in that they should be viewed by
employees as a REWARD for work.
However, there are differences between the two
concepts.
Explain the differences.
