Term
| Person-based pay systems are best suited for what? |
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Definition
skills & competencies
teams, multiskills, flexibility
better match flow of work |
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Term
| The third step in determining skill-based structures |
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Definition
1. Skill Analysis
2. Skill Blocks
3. Skill Certification |
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Term
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Definition
| possibly retired climbers |
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Term
| The growing view of competencies is they are a set of ______ |
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Definition
Observable behaviors that require no inference, assumption or interpretations.
Behavioral anchors for THIS_____=Impact and Influence |
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Term
| What does “pay level” refer to? |
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Definition
| Refers to the average of the array of rates paid by an employer |
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Term
| The market pay rate is the ______ |
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Definition
| Where the lines for labor demand and labor supply cross. |
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Term
| The “efficiency wage” theory |
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Definition
High wages may increase THIS_____ and actually lower labor costs if they:
1. Attract higher-quality applicants
2. Lower turnover
3. increase worker effort
4. Reduce “shirking”
5. Reduce the need to supervise employees (aceademics say “monitoring”)
Pay level determines effort |
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Term
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Definition
| Maximizes the ability to attract and retain quality employees and minimizes employee disatisfaction with pay. It may also offset less attractive features of the work. |
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Term
| What are the major decisions in pay-level determination? |
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Definition
Specify pay-level policy
Define purpose of survey
Specify relevant market
Design and conduct survey
Interpret and apply result
Design grades and ranges or bands |
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Term
| The first step in interpreting survey data |
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Definition
| Verify Data: check the accuracy of the job matches, and then check for anomalies (i.e., an employer whose data are substantiallly out of line from data of others), age of data, and the nature of the organizations( e.g., industry, size) |
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Term
| “market pricing” pay strategy |
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Definition
| Setting pay structures almost exclusively through matching pay for a very large percentage of jobs with the rates paid in the external market. |
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Term
| “market pricing” pay strategy |
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Definition
| Empahsizes external competiveness and deemphasizes internal alignment. |
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Term
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Definition
| Exists whenever two or more rates are paid to employees in the same job. Hence, they provide managers the opportunity to: Recognize individual performance differences with pay Meet employees'expectations that their pay will increase over time, even in the same job. Encourage employes to remain with the organization |
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Term
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Definition
| pay rates from minimum to maximum set for a pay grade or class. It puts limits on the rates an employer will pay for a particular job. |
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Term
| Motivation involves identifying ______ |
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Definition
1. What's important to a person
2. Offering it in exchange for some
3. Desired behavior |
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Term
| Maslow’s and Herzberg’s theories |
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Definition
| Fall into the category of identifying what is important to people. |
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Term
| Maslow’s and Herzberg’s theories |
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Definition
| People have certain needs, such as physiological, security, and self-esteem, that influence behavior. |
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Term
| Maslow’s and Herzberg’s theories |
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Definition
| Although neither theory is clear on how these needs are offered and how they help eeliver behavior, presumbably if we offer rewards that satisfy one or more needs, employees will behave in desired ways. These theories often drive compensation decisions about the breadth and depth of compensation offerings. |
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Term
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Definition
| Argues that people behave as if they cognitively evaluate what behaviours are possible (e.g., the probaility that they can complete the task) in relation to the value of rewards offered in exchange. |
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Term
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Definition
| A motivation theory that proposes that individuals will select an alternative based on how this choice relates to outcomes such as rewards. The choice made is based on the strength or value of the outcome and on perceived probability that this choice will lead to the desired outcome. |
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Term
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Definition
| Pay tied to productivity or some measure that can vary with the firm's profitability. |
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Term
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Definition
| The most frequently implemented incentive system. |
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Term
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Definition
| Rate determination is based on units of production per time perod, and wages vary directly as a function of production level. |
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Term
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Definition
| The major advantages of this type of system are that it is easliy understood by workers and, perhaps consequently, is more readily acccepted than some of the other incentive systems. |
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Term
| The conditions used to support individual incentives |
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Definition
| Offer a promise of pay for some objective, preestablished level of performance. |
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Term
| The conditions used to support individual incentives |
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Definition
| All incentive plans have one common feature: an established standard against which worker performance is compared to determine the magnitude of the THIS. |
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Term
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Definition
| who get the job done but don’t strive as hard or sacrifice as much as they once did. |
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Term
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Definition
| (base + bonus + value of stock holdings)/number of employees |
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Term
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Definition
| The most frequently implemented incentive system is a straight picework system. Rate determination is based on units of production per time period, and wages vary directly as a function of production level. The major advantages of this type of system are that it is easily understood by workers and, perhaps consequently, is more redily accepted than some of the other incentive systems. |
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Term
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Definition
Two relatively common plans set standards based on time per unit and tie incentives directly to level of output:
1. Standard hour plans
2. Bedeaux plans |
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Term
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Definition
| generic term for plans setting the incentive rate based on completion of a task in some expected time period. |
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Term
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Definition
| provides a variation on straight piecework and standard hour plans. Instead of timing an entire task, THIS plan requires division of a task into simple actions and determination of the time required by an average skilled worker to complete each action. After the more detailed time analysis of tasks, the Bedeaux system functions similarly to a standard hour plan. |
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Term
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Definition
the two plans included in this_____ provide the variable incentives as a funtion of units of production per time period.
Both the Taylor plan and the Merrick plan provide different piece rates, depending on the level of production relative to the standard. |
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Term
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Definition
| establishes two piecwork rates. One rate goes into effect when a worker exceeds the publishe sandard for a given time peroid. This rate is set higher than the regular wage incentive level. A second rate is established for production below standard, and this rate is lower than the regular wage. |
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Term
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Definition
operates in the same way, except that three peicework rates are set:
- high for production exceeding 100 percent of standard
- medium for production between 83 1n3 100 percent of standard
- low for production less than 83 percent of standard
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Term
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Definition
The three plans included in this cell provide for variable incetives linked to a standard expressed as time period per unit of production.
The 3 plans:
- Halsey 50-50 method
- the Rowan plan
- Gantt plan
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Term
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Definition
| derives its name from the shared split between worker and employer of any savings in direct cost. An allowed time for a task is determined via time study. The savings from completion of atask in less than the standard time are allocated 50-50 (most frequent division) between the worker and the company. |
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Term
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Definition
| similar to the Halsey plan in that an employer and employee both share in savings resulting from work completed in less than standard time. The major distinction in this plan, however, is that a worker's bonus increases as the time required to complete the task decreases. |
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Term
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Definition
| differs from both the Halsey and the Rowan plans in that the standard time for a task is purposely set at a level requiring high effort to complete. Any worker who fails to complete the tak in the standard time is guraranteed to preestablished wage. However, for any task completed in standard time or les, earnings are pegged at 120 percent of the time saved. Consequently, workers' earnings are faster than production whenever standard time is met or exceeded. |
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Term
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Definition
| Pay relationships among organizations—the organization's pay relative to its' competitors. |
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Term
| What are the factors used in the balanced scoreboard? |
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Definition
| A corporatewide, overall performance measure typically incorporating financial results, process improvements, customer service, and innovation. |
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