CHAPTER 5 Person focused pay

Question 1

Person focused pay

Answer 1

rewards employees for acquiring job-related knowledge, skills, and competencies. Encourages continuous learning and skill development, thereby increasing job security and flexibility.

Question 2

2 types of person focused pay are

Answer 2

1. pay for knowledge
   2.skill-based pay
   3.competency-based pay

Question 3

pay for knowledge

Answer 3

rewards managerial, service, or professional employees for increasing their knowledge applicable to their work

Question 4

skill based pay

Answer 4

often used for employees performing physical work, providing pay increases based on mastering new job skills

Question 5

type of knowledge and skills

Answer 5

1.horizontal
2.vertical

Question 6

horizontal (knowledge) skills

Answer 6

skills at the same level of
responsibility or difficulty (similar skills/knowledge)

Question 7

vertical (knowledge) skills

Answer 7

skills that are traditionally
considered supervisory

Question 8

depth of skills

Answer 8

level of expertise or specialization an
employee possesses

Question 9

competency-based pay

Answer 9

focuses on an employees ability to apply knowledge and skills over time to perform job duties successfully

Question 10

US DOL general competency model

Answer 10

tier 1 : personal effectiveness competencies
tier 2: academic competencies
tier3:workplace competencies
tier4:industry wide technical competencies

Question 11

Advantages of person-focused pay (4)

Answer 11

1. job enrichment
   2.increased job security
   3.enhanced productivity
   4.staffing flexability

Question 12

disadvantages of person-focused pay (3)

Answer 12

1.higher cost
2.complex implemantation
3.conflicts with incentive pay

Question 13

models of person focused pay (4)

Answer 13

1. stair step model
   2.skill blocks model
   3.job point accrual method
   4.cross-departmental model

Question 14

stairstep model

Answer 14

skills are arranged in a stair-step pattern, and employees must master one skill before moving to the next. Skills progressively become more complex.

Question 15

skill blocks model

Answer 15

skills do not build on each other allowing employees to learn and apply both horizontal and vertical skills independently.

Question 16

job point accrual model

Answer 16

encourages employees to acquire skills from different job families, allowing for greater job flexibility

Question 17

cross-departmental model

Answer 17

trains employees across various departments to ensure that they can perform in different areas when necessary, offering flexibility but often increasing costs often used for staffing issues

Question 18

job based pay

Answer 18

compensates employees for performing specific tasks and responsibilities in their current role. Includes seniority pay, merit pay, and incentive pay. Based on compensable factors

Question 19

person focused pay (diff from jbp)

Answer 19

compensates employees based on their potential to contribute to the organization through skill acquisition, offering flexibility, but often increasing costs.