exam 2

Question 1

Cash: salary, merit increases, bonuses, stock options
Benefits: health insurance, paid vacation, unemployment compensation

Answer 1

Total compensation includes 2 main categories

Question 2

focuses on what employees in other organizations are paid for doing the same general job

Answer 2

External equity:

Question 3

focuses on what employees within the same organization but different job, are paid

Answer 3

Internal equity

Question 4

Two competitive market challenges exist for a company when determining what to pay its employees

Answer 4

How do product and labor market competition relate to employee pay

Question 5

labor costs are a larger share of total costs and demand for the product is affected by changes in price

Answer 5

Product market competition

Question 6

reflects the number of workers available relative to the number of jobs available

Answer 6

Labor market competition

Question 7

Employees paid more than they would receive elsewhere will put forth effort to retain good jobs

Answer 7

What is efficiency wage theory

Question 8

Comparing an organization’s practices against those of the competition (market pay survey)

Answer 8

What is benchmarking

Question 9

Permit companies to recognize differences in employee performance seniority and training in setting individual pay
May be single rate for all employees within in same job

Answer 9

What is the purpose of rate ranges

Question 10

composed of composable factors and a weighting scheme.
are the characteristics of jobs that an organization values and chooses to pay for
May include things like complexity, working conditions, required education, required experience, and responsibility

Answer 10

In a job evaluation, what are compensable factors referring to

Question 11

frequently used index of the correspondence between actual and intended pay
Grade compa-ratio= actual pay for grade/ pay midpoint for grade

Answer 11

What is compa-ratio and what is it used for

Question 12

a response followed by a reward is more likely to recur in the future
Assumes high employee performance followed by monetary rewards will influence future high performance

Answer 12

List and describe the three theories related to compensation effects on employees
Reinforcement theory:

Question 13

emphasizes expected (not experienced) rewards
Perceived link between behaviors and pay

Answer 13

List and describe the three theories related to compensation effects on employees
Expectancy theory

Question 14

focuses on interests and goals of the organization’s stakeholders and the ways compensation can be used to align these interests and goals

Answer 14

List and describe the three theories related to compensation effects on employees
Agency theory

Question 15

a person (generally and owner) who seeks to direct another person’s behavior

Answer 15

Principal

Question 16

a person (generally manager) who is expected to act on behalf of a principal

Answer 16

Agent

Question 17

link performance appraisal ratings to annual pay increases

Answer 17

What is a merit program and what is it used for

Question 18

combines an employee’s performance rating with employees position in pay range to determine size and frequency of pay increases

Answer 18

merit increase

Question 19

Used to identify individual differences in performance
information on individual performance is collected from the immediate supervisor
There is a policy of linking pay increases to performance appraisal results
The feedback tends to occur infrequently
Flow of feedback tends to be unidirectional (supervisors to subordinate)

Answer 19

Understand the characteristics of merit pay

Question 20

Abstract ideals that guide one’s thinking and behavior across all situations

Answer 20

Describe personal values

Question 21

evaluations, feelings, or opinions about people, places, and objects

Answer 21

Personal attitudes

Question 22

psychological discomfort experienced when simultaneously holding two or more conflicting cognitions (ideas, beliefs, values, or emotions)

Answer 22

Cognitive dissonance:

Question 23

changing attitudes, behaviors, or both
Belittling the importance of inconsistent behavior
Find consonant elements that outweigh dissonant ones

Answer 23

Cognitive dissonance is reduced by:

Question 24

The extent to which employees give it their all to their work roles includes the feeling of urgency, being focused, intensity, and enthusiasm

Answer 24

Describe employee engagement

Question 25

An affective or emotional response towards various facets of one’s job

Answer 25

What is job satisfaction

Question 26

Motivation, job involvement Withdrawal cognitions, perceived stress

Answer 26

How do attitudes impact job satisfaction

Question 27

job satisfaction is positively associated with the organizational-level outcomes accounting/financial performance Customer service/ satisfaction

Answer 27

organizational citizenship behavior

Question 28

Managers have little or no impact on fixed IDs (intelligence and personality) but they have more influence on relatively flexible IDs that influence individual-level work outcomes (performance and job satisfaction)

Answer 28

To what extent can managers influence individual differences

Question 29

tendency to experience positive emotions and moods and feel good about oneself and the rest of the world, social, talkative, energetic. good at social interaction, and excitement-seeking, is a stronger predictor of job performance than agreeableness

Answer 29

List and describe the 5 types of personality dimensions Extraversion

Question 30

tendency to get along well with others Good in groups High agreeableness- not top managers

Answer 30

List and describe the 5 types of personality dimensions Agreeableness

Question 31

tendency to be careful, scrupulous, and persevering Has the strongest effect on job performance and job satisfaction, achievement-oriented, desire status, may be overly detail-oriented

Answer 31

List and describe the 5 types of personality dimensions Conscientiousness

Question 32

tendency to experience negative emotions and moods, feel distressed, and be critical of oneself and others More likely to experience burnout, not best performers, high NA less likely to engage in citizenship behaviors

Answer 32

List and describe the 5 types of personality dimensions Neuroticism

Question 33

tendency to be original, have broad interests, be open to a wide range of stimuli, be daring, and take risks Nonconforming, Creative, adapt well to change, more likely to benefit from training

Answer 33

List and describe the 5 types of personality dimensions Openness to experience:

Question 34

A broad personality trait comprised of four narrow and individual traits Generalized self-efficacy, self esteem, locus of control, and emotional stability

Answer 34

What do core self-evaluations consist of

Question 35

Relatively stable personality characteristic that describes how much personal responsibility someone takes for their behaviors and its consequences

Answer 35

locus of control

Question 36

You make things happen, i make things happen, look what i can do, i can determine my future

Answer 36

Internal locus of control

Question 37

Things happen to you, why does everything happen to me, why bother, there is nothing i can do about my future

Answer 37

External locus of control

Question 38

A person's belief about his or her chances of successfully accomplishing a specific task, can be developed

Answer 38

What is self-efficiency

Question 39

General belief about self-worth ^ Personal achievement and praise raise self-esteem V prolonged unemployment and destructive feedback lower self-esteem

Answer 39

What is self-esteem

Question 40

Individuals with high levels of emotional stability tend to be relaxed, secure, unworried, less likely to experience negative emotions under pressure have higher job performance more OCB, fewer CWBs

Answer 40

What is emotional stability

Question 41

complex, relatively brief, affective responses associated with a particular target

Answer 41

emotions

Question 42

the force acting on or within a person that causes the person to behave in a specific, goal directed manner

Answer 42

Motivation

Question 43

:results from external rewards Recognition, money, promotion

Answer 43

Extrinsic motivation

Question 44

results from internal feelings Positive emotions, satisfaction, self-praise

Answer 44

Intrinsic motivation:

Question 45

a pessimistic view of employees: assumes they dislike work, must be monitored and can be motivated only with rewards and punishment, he felt this was typical perspective held by managers

Answer 45

What does Mcgregor's theory x state

Question 46

a modern and positive set of assumptions about people at work, they are engaged, committed, responsible, and creative

Answer 46

What does Mcgregor's theory y state

Question 47

Self- actualization, esteem, affiliation, security, psychological (needs high to low) Must satisfy lower levels before higher levels become important

Answer 47

Under Maslow's hierarchy of needs, what must occur before moving on to the next level

Question 48

maintain social relationships, be liked, and join group

Answer 48

In mcclelland's acquired needs theory, which three needs are key drivers of employee behavior Affiliation

Question 49

desire to excel, overcome obstacles, rival and surpass others

Answer 49

In mcclelland's acquired needs theory, which three needs are key drivers of employee behavior Achievement

Question 50

desire to influence, coach, teach, or encourage others to achieve

Answer 50

In mcclelland's acquired needs theory, which three needs are key drivers of employee behavior Power

Question 51

job satisfaction and dissatisfaction arise from two different sets of factors Satisfaction comes from motivating factors while dissatisfaction comes from hygiene factors Motivator factors: work itself, recognition, advancement, responsibility Intrinsic factors Hygiene factors: salary, working conditions, interpersonal relations, company policy Extrinsic factors

Answer 51

What are the attributes of herzberg's motivator-hygiene theory

Question 52

perceived fairness of how resources and rewards are distributed/allocated

Answer 52

Distributive justice

Question 53

perceived fairness of the process and procedures used to make allocation decisions

Answer 53

Procedural justice:

Question 54

quality of the interpersonal treatment people receive when procedures are implemented

Answer 54

Interactional justice:

Question 55

has a strong negative relationship with job satisfaction Managers need to find ways to reduce _____ Hire individuals who are less prone to engage in this behavior Motivate desired behaviors and not ______ Respond quickly and appropriately to employees engaging in ______

Answer 55

counterproductive work behavior

Question 56

merit pay paid in the form of a bonus, instead of a salary increase

Answer 56

Merit bonus:

Question 57

reinforcement theory, expectancy theory, agency theory

Answer 57

what are the three theories related to compensation effects on employees

Question 58

extraversion, agreeableness, conscientiousness, neuroticism, openness to experience

Answer 58

what are the 5 types of personality dimensions

Question 59

affiliation, achievement, power

Answer 59

in McClelland's acquired needs what are the three needs drive employee behavior

Question 60

distributive justice, procedural justice, interactional justice

Answer 60

what are the three types of justice

Question 61

Total compensation includes 2 main categories

Answer 61

Cash: salary, merit increases, bonuses, stock options Benefits: health insurance, paid vacation, unemployment compensation