WGU C202 Managing Human Capital All
500+ Questions With Correct Answers,.
Direct financial compensation - Correct answercompensation received in the form of
salary, wages, commissions, stock options or bonuses
indirect financial compensation - Correct answerall the tangible and financially
valued rewards that are not included in direct compensation including free meals,
vacation time and health insurance
nonfinancial compensation - Correct answerrewards and incentives given to
employees that aren't financial in nature
base pay - Correct answerreflects the size and scope of an employee's
responsibilities
severance pay - Correct answergive to employees upon termination of their
employment
fixed pay - Correct answerpays employees a set amount regardless of performance
variable pay - Correct answerbases some or all of an employee's compensation on
employee, team, or organizational
pay structure - Correct answerthe array of pay rates for different work or skills within
a single organization
pay mix - Correct answerthe relative emphasis give to different compensation
components
pay leader - Correct answerorganization with a compensation policy of giving
employees greater rewards than competitors
pay follower - Correct answeran organization that pays its front-line employees as
little as possible
resource dependence theory - Correct answerproposition that organizational
decisions are influenced by both internal and external agents who control critical
resources
wage differentials - Correct answerdifferences in wage between various workers,
groups of workers, or workers within a career field
,labor market - Correct answerall of the potential employees located within a
geographic area from which the organization might be able to hire
cost of living allowances - Correct answerclauses in union contacts that
automatically increase wages base on the U.S. Bureau of Labor Statistics' cost of living
index
market pricing - Correct answeruses external sources of information about how
others are compensating a certain position to assign value to a company's similar job
Compensation surveys - Correct answersurveys of other organizations conducted to
learn what they are paying for specific jobs or job classes
benchmark jobs - Correct answerjobs that tend to exist across departments and
across diverse organizations allowing them to be used as a basis for compensation
comparisons
job evaluation - Correct answera systematic process that uses expert judgement to
assess differences in value between jobs
ranking methos - Correct answersubjectively compares jobs to each other based on
their overall worth to the organization
job classification method - Correct answersubjectively classifies jobs into an exiting
hierarchy of grades and categories
point factor method - Correct answeruses a set of compensable factors to determine
a job's value. skill, resp, effort, working cond.
compensable factor - Correct answerany characteristic used to provide a basis for
judging a job's value
skills, responsibilities, effort, working conditions - Correct answerFour categories of
compensable factors
Hay Group Guide Chart - Profile Method - Correct answera point-factor system is
used to produce both a profile and a point score for each position.
know how
problem solving
accountability
working conditions
,Know-how, problem solving, accountability, working conditions - Correct answerHay
Group Method based on four main factors
Position Analysis Questionnaire - Correct answera structured job evaluation
questionnaire that is statistically analyzed to calculate pay rates based on how the labor
market is valuing worker characteristics. a copyrighted, standardized, structured job
analysis questionnaire. 6 sections covering 187 job elements.
job pricing - Correct answerthe generation of salary structures and pay levels for
each job based on the job evaluation data
single rate system, pay grades and broadbanding - Correct answerThree most
common job pricing systems
pay grade (pay scale) - Correct answerthe range of possible pay for a group of jobs
broadbanding - Correct answerusing very wide pay grades to increase pay flexibility
internal equity - Correct answerwhen employees perceive their pay to be fair relative
to the pay of other jobs in the organization
employee equity - Correct answerthe perceived fairness of the relative pay between
employees performing similar jobs for the same organization
external equity - Correct answerwhen an organization's employees believe that their
pay is fair when compared to what other employers pay their employees who perform
similar jobs
comparable worth - Correct answerif two jobs have equal difficulty requirements, the
pay should be the same, regardless of who fills them
wage rate compression - Correct answerstarting salaries for new hires exceed the
salaries paid to experienced employees
golden parachute - Correct answerlucrative benefits given to executives in the event
the company is taken over
Cost-of-living adjustments - Correct answerpay increases to account for a higher
cost of living in one country versus another
Housing allowance - Correct answerpayments to subsidize or cover housing and
related costs
, hardship premiums - Correct answerincreased salary for living in an area with a
lower quality of life, less safety, etc.
tax equalization payments - Correct answerincreased salary to make up for higher
taxes that reduce take-home pay and decrease employee's purchasing power
inflation adjustments - Correct answerlarger and/or more frequent raises to maintain
employee's purchasing power in the face of inflation
Fair Labor Standards Act of 1938 - Correct answera federal law that sets standards
for minimum wages, overtime pay, and equal pay for men and women performing the
same jobs
exempt employees - Correct answeremployees who meet one of the FLSA
exemption tests, are paid on a fixed salary basis and are not entitled to overtime pay
non-exempt employees - Correct answeremployees who do not meet any of one of
the FLSA exemption tests and are paid on an hourly basis and covered by wage and
hour laws regarding minimum wage, overtime pay and hours worked
workers' compensation - Correct answera type of insurance that replaces wages
and medical benefits for employees injured on the job in exchange for relinquishing the
employee's right to sue the employer for negligence
fixed rewards - Correct answerpredetermined compensation (salary and benefits)
variable rewards (incentives) - Correct answer"at risk" rewards which are linked to
factors determined as valuable, including performance, skills, competence and
contribution
- Recognize and reward high performers
- Increase the likelihood of achieving corporate goals
- Improve productivity
- Move away from an entitlement culture - Correct answerTop four reasons
organizations give for tying pay to performance ar
- Preference of individual employees
- Size of the rewards for high performance
- Method of motivating individual job performance
- Objectivity of the evaluation process that determines the rewards - Correct
answerBefore designing an incentive pay plan to motivate performance, it is important
to consider the
- Company performance
500+ Questions With Correct Answers,.
Direct financial compensation - Correct answercompensation received in the form of
salary, wages, commissions, stock options or bonuses
indirect financial compensation - Correct answerall the tangible and financially
valued rewards that are not included in direct compensation including free meals,
vacation time and health insurance
nonfinancial compensation - Correct answerrewards and incentives given to
employees that aren't financial in nature
base pay - Correct answerreflects the size and scope of an employee's
responsibilities
severance pay - Correct answergive to employees upon termination of their
employment
fixed pay - Correct answerpays employees a set amount regardless of performance
variable pay - Correct answerbases some or all of an employee's compensation on
employee, team, or organizational
pay structure - Correct answerthe array of pay rates for different work or skills within
a single organization
pay mix - Correct answerthe relative emphasis give to different compensation
components
pay leader - Correct answerorganization with a compensation policy of giving
employees greater rewards than competitors
pay follower - Correct answeran organization that pays its front-line employees as
little as possible
resource dependence theory - Correct answerproposition that organizational
decisions are influenced by both internal and external agents who control critical
resources
wage differentials - Correct answerdifferences in wage between various workers,
groups of workers, or workers within a career field
,labor market - Correct answerall of the potential employees located within a
geographic area from which the organization might be able to hire
cost of living allowances - Correct answerclauses in union contacts that
automatically increase wages base on the U.S. Bureau of Labor Statistics' cost of living
index
market pricing - Correct answeruses external sources of information about how
others are compensating a certain position to assign value to a company's similar job
Compensation surveys - Correct answersurveys of other organizations conducted to
learn what they are paying for specific jobs or job classes
benchmark jobs - Correct answerjobs that tend to exist across departments and
across diverse organizations allowing them to be used as a basis for compensation
comparisons
job evaluation - Correct answera systematic process that uses expert judgement to
assess differences in value between jobs
ranking methos - Correct answersubjectively compares jobs to each other based on
their overall worth to the organization
job classification method - Correct answersubjectively classifies jobs into an exiting
hierarchy of grades and categories
point factor method - Correct answeruses a set of compensable factors to determine
a job's value. skill, resp, effort, working cond.
compensable factor - Correct answerany characteristic used to provide a basis for
judging a job's value
skills, responsibilities, effort, working conditions - Correct answerFour categories of
compensable factors
Hay Group Guide Chart - Profile Method - Correct answera point-factor system is
used to produce both a profile and a point score for each position.
know how
problem solving
accountability
working conditions
,Know-how, problem solving, accountability, working conditions - Correct answerHay
Group Method based on four main factors
Position Analysis Questionnaire - Correct answera structured job evaluation
questionnaire that is statistically analyzed to calculate pay rates based on how the labor
market is valuing worker characteristics. a copyrighted, standardized, structured job
analysis questionnaire. 6 sections covering 187 job elements.
job pricing - Correct answerthe generation of salary structures and pay levels for
each job based on the job evaluation data
single rate system, pay grades and broadbanding - Correct answerThree most
common job pricing systems
pay grade (pay scale) - Correct answerthe range of possible pay for a group of jobs
broadbanding - Correct answerusing very wide pay grades to increase pay flexibility
internal equity - Correct answerwhen employees perceive their pay to be fair relative
to the pay of other jobs in the organization
employee equity - Correct answerthe perceived fairness of the relative pay between
employees performing similar jobs for the same organization
external equity - Correct answerwhen an organization's employees believe that their
pay is fair when compared to what other employers pay their employees who perform
similar jobs
comparable worth - Correct answerif two jobs have equal difficulty requirements, the
pay should be the same, regardless of who fills them
wage rate compression - Correct answerstarting salaries for new hires exceed the
salaries paid to experienced employees
golden parachute - Correct answerlucrative benefits given to executives in the event
the company is taken over
Cost-of-living adjustments - Correct answerpay increases to account for a higher
cost of living in one country versus another
Housing allowance - Correct answerpayments to subsidize or cover housing and
related costs
, hardship premiums - Correct answerincreased salary for living in an area with a
lower quality of life, less safety, etc.
tax equalization payments - Correct answerincreased salary to make up for higher
taxes that reduce take-home pay and decrease employee's purchasing power
inflation adjustments - Correct answerlarger and/or more frequent raises to maintain
employee's purchasing power in the face of inflation
Fair Labor Standards Act of 1938 - Correct answera federal law that sets standards
for minimum wages, overtime pay, and equal pay for men and women performing the
same jobs
exempt employees - Correct answeremployees who meet one of the FLSA
exemption tests, are paid on a fixed salary basis and are not entitled to overtime pay
non-exempt employees - Correct answeremployees who do not meet any of one of
the FLSA exemption tests and are paid on an hourly basis and covered by wage and
hour laws regarding minimum wage, overtime pay and hours worked
workers' compensation - Correct answera type of insurance that replaces wages
and medical benefits for employees injured on the job in exchange for relinquishing the
employee's right to sue the employer for negligence
fixed rewards - Correct answerpredetermined compensation (salary and benefits)
variable rewards (incentives) - Correct answer"at risk" rewards which are linked to
factors determined as valuable, including performance, skills, competence and
contribution
- Recognize and reward high performers
- Increase the likelihood of achieving corporate goals
- Improve productivity
- Move away from an entitlement culture - Correct answerTop four reasons
organizations give for tying pay to performance ar
- Preference of individual employees
- Size of the rewards for high performance
- Method of motivating individual job performance
- Objectivity of the evaluation process that determines the rewards - Correct
answerBefore designing an incentive pay plan to motivate performance, it is important
to consider the
- Company performance
