Defining Internal Alignment Chapter 3 Test Bank Docx Newman - Compensation 12e Complete Test Bank by Jerry Newman. DOCX document preview.
Chapter 03
Defining Internal Alignment
Multiple Choice Questions
1. | The parable of the vineyard owner and the compensation paid to the laborers illustrated:
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2. | Common bases for modern pay structures include all BUT which of the following?
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3. | In the strategic approach to pay, internal alignment is the _____ issue to be decided.
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4. | Which of the following is NOT one of the factors that define an internal pay structure?
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5. | The most common bases for determining internal structures are:
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6. | Content refers to the
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7. | Most job structures are best described as
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8. | Organization factors that shape internal pay structures include all BUT which of the following?
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9. | Organization factors that shape internal pay structures include all BUT which of the following?
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10. | Marginal productivity theory argues that employers pay _____.
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11. | Which of the following is NOT a factor in defining equal work according to the Equal Pay Act?
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12. | Most unions prefer which of the following?
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13. | Pay for temporary workers is based upon
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14. | External factors are dominant influences on jobs filled via:
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15. | Which of the following pay structure procedures would NOT increase perceptions of pay fairness?
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16. | James says, "I don't trust the way the company determines pay rates in my department." If James feels this way despite being happy with his current salary, he is most likely concerned about _____.
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17. | Which of the following is NOT a characteristic of aligned pay structures?
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18. | The well-defined jobs at McDonald's and their small differences in pay are an example of a(n) _____ internal pay structure.
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19. | Jacob works at PrimeClean Corp., a carwash company. He is asked to follow a set of instructions in a predetermined order to wash a car. All the details including the amount of washing liquid to use for each type of car are clearly specified. In this case, Jacob's company is most likely to use a:
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20. | Joshua believes that treating employees equally will improve their job satisfaction, which in turn will increase their work productivity and performance. In accordance to his beliefs, he wants to reduce the number of job levels and the pay differentials between the levels. In this case, he is most likely to use a(n):
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21. | Organizations in a turbulent and unpredictable environment requiring flexibility in jobs and work processes are likely to be more successful with a(n) _____ internal pay structure.
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22. | Egalitarian pay structures have all BUT which of the following characteristics?
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23. | Hierarchical pay structures have all BUT which of the following characteristics?
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24. | The problem that is most likely to be faced by organizations using an egalitarian pay structure is _____.
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25. | Nina is a high-performing individual who works best alone. Which of the following companies is the most appropriate for her?
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26. | Which theory predicts that individual performance will be maximized when the pay differentials between job levels is large?
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27. | When cooperation is important for successful organization performance, which of the following pay structures is most suitable?
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28. | Which of the following is NOT true?
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29. | In firefighting and rescue squads and global software design teams, a(n) _____ structure is most closely associated with higher performance.
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30. | _____ are related to greater performance when the work flow depends on individual contributors.
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True / False Questions
31. | Internal alignment is sometimes called internal equity. |
32. | Pay structure refers to the array of pay rates for different work or skills within a single organization. |
33. | Pay structure refers to the array of pay rates for different work or skills between competing companies. |
34. | Pay differences among levels in an organization are called differentials. |
35. | The content and value of work are the most common bases for determining internal structures. |
36. | Exchange value is always higher than use value. |
37. | The content of a job refers to the worth of the job and its relative contribution to the organization's objectives. |
38. | Both external and organization factors shape internal pay structures. |
39. | According to the marginal productivity theory, employers pay use value to their employees. |
40. | Wage legislation affects the wage structure at both the minimum and the maximum pay level. |
41. | Pay structures are immune to changes in external factors such as skill shortages. |
42. | Distributive justice is more important than procedural justice for employee acceptance of their pay. |
43. | Egalitarian pay structures send the message that the organization values differences in work content, individual skills, and contributions to the organization. |
44. | CEOs of organizations with egalitarian pay structures usually have higher salaries than that of CEOs in organizations with hierarchical pay structures. |
45. | A layered pay structure is more hierarchical than a delayered pay structure and less egalitarian in terms of number of levels. |
46. | A potential problem in egalitarian pay structures is that high-performing employees may feel underpaid and quit. |
47. | Teachers will feel pay structures are fair even when they are relatively low in the internal structure if they work in a high-paying school district. |
48. | Greater pay dispersion is related to lower turnover among executives. |
49. | The institutional model states that it is best to wait for other organizations to adopt innovative practices and then copy those practices. |
50. | Labor unions support small pay differentials. |
Short Answer Questions
51. | Write a short note on pay structure.
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52. | State the theory of marginal productivity.
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53. | How do employees judge the fairness of their pay?
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54. | According to the text, when are pay procedures more likely to be perceived as fair?
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55. | Explain tailored and loosely coupled structures.
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