Question

13.       A company gives employees a quarterly bonus of 1% of their salary for every 5% increase of corporate net income compared to the previous quarter. This is an example of:

1. Merit compensation
2. Gain sharing
3. Capability based compensation
4. Focus on individual performance

14.       Employee engagement is different from traditional management practices in that employee engagement:

a.   replaces trust and cooperation with adversarial mentality.

2. decreases employee morale and commitment to the organization.
3. encourages sticking to established methods of working; it discourages creativity.
4. encourages employees to solve problems at the source immediately.

15.       Which of the following statements about empowerment is false:

1. Empowerment allows organizations to flatten their organizational structure because fewer managers are needed to “direct and control” employees.
2. To gain the benefits of empowerment, managers must empower for its public relations value.
3. Empowerment can contribute to organizational performance only if employees have access to the necessary information about the business and its performance, such as their personnel files and resources such as the quality improvement budget.
4. Mutual trust is key to effective empowerment

16.      Which type of motivation is preferred for changing behavior when implementing empowerment?

1. extrinsic.
2. intrinsic.
3. fear.
4. transactional

Answer 1

Answer 13 : B. Gain sharing

Explanation : It is an type of incentive which is provided to motivate employees so as to improve the overall profitability and performance by sharing the financial gain with them.

Answer 14 : C. Encourages employees to solve problems at the source immediately.

Explanation : Employee engagement is an practice through which the employee flexibility, commitment, providing enhancing environment, promotion, clarity of goals, feedbacks etc are provided.

Answer 15 : B. To gain the benefits of empowerment, managers must empower for its public relations value.

Explanation : Empowernment is about providing employees with the necessary tools and resources which are necessary to perform the work while motivating them to be their best version.

Answer 16 : B. Intrinsic.

Explanation : Due to the intrinsic motivation employees are self motivated to change the behavior and be more productive instead of leaders trying them to follow the directions provided.