TOTAL REWARDS MANAGEMENT
EXAM QUESTIONS WITH VERIFIED
ANSWERS. A+ GRADE 2025/2026.
Compensation - ANS Pay provided by an employer to an employee for services rendered
(time, effort, skill). This includes both fixed and variable pay tied to performance levels.
Benefits - ANS Programs an employer uses to supplement the cash compensation that
employees receive. These health, income protection, savings and retirement programs provide
security for employees and their families.
Work-life Effectiveness - ANS A specific set of organizational practices, policies, and
programs, plus a philosophy that actively supports efforts to help employees achieve success at
both work and home.
Recognition - ANS Acknowledges or gives special attention to employee actions, efforts,
behavior or performance and supports business strategy by reinforcing certain behaviors (e.g.
extraordinary accomplishments) that contribute to organizational success. These programs can
be either formal or informal.
Performance Management - ANS The alignment of organizational, team, and individual
efforts toward the achievement of business goals and organizational success. It includes
establishing expectations, skill demonstration, assessment, feedback, and continuous
improvement.
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,Talent Development - ANS Provides the opportunity and tools for employees to advance
their skills and competencies in both their short and long term careers. Organizations support
career opportunities to effectively deploy talent employees, enabling them to deliver their
greatest value to the organization.
Key Players in Total Rewards Strategy- Senior Management/BOD - ANS Typically approves
the strategy. BOD approves officer competition. Involvement is important for buy-in and
ownership.
Key Players in Total Rewards Strategy- HR Leadership - ANS Articulates the HR strategy, HR
staff is instrumental in facilitating the process, total rewards management.
Key Players in Total Rewards Strategy- Employees - ANS Internal, external or exit surveys
may provide guidance in identifying the relative importance of total rewards elements to
various employee groups
Key Players in Total Rewards Strategy- Outside Consultants - ANS If outside consultants are
to be used, they would work closely with HR to facilitate the process
Total Rewards Approach - ANS Attract, Motivate, Engage, Retain
Attract - ANS Total Rewards Approach- ability an organization has to deal the right kind of
talent necessary to achieve organization success.
Motivate - ANS Total Rewards Approach- ability to cause employees to behave in a way that
achieves the highest performance levels. Includes Intrinsic Motivation and Extrinsic Motivation
Engage - ANS Total Rewards Approach- Refers to the highest level of commitment of
discretionary effort. Employee typically experiences a heightened positive emotional
connection to the organization and its people.
Examples of Employee Engagement - ANS Aligning one's individual values with those the
organization
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, Examples of Employee Engagement - ANS Experiencing a strong connection to the
organization
Examples of Employee Engagement - ANS Demonstrating strong commitment to the
organization
Examples of Employee Engagement - ANS Showing passion for the organization and its vision
and mission
Examples of Employee Engagement - ANS Feeling invested in outcomes
Retain - ANS Total Rewards Approach- Organization ability to keep employees who are
valued contributors to organization success for as long as is mutually beneficial.
Advantages of Total Rewards approach - ANS Higher profitability, lower labor costs, greater
flexibility
Drivers of Total Rewards Strategy - ANS Business strategy, organizational culture, HR strategy
Elements of Compensation - ANS Fixed pay and variable pay
Fixed pay - ANS AKA base pay, is non discretionary compensation that does not vary
according to performance or results achieved.
Variable pay - ANS AKA pay at risk, is compensation that is contingent on discretion,
performance or results achieved
Factors Influencing Compensation - ANS Competitive environment, Collective
bargaining/unions, Global growth, Economics, Business strategy, Life cycle of the organization,
Legal compliance
3 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
EXAM QUESTIONS WITH VERIFIED
ANSWERS. A+ GRADE 2025/2026.
Compensation - ANS Pay provided by an employer to an employee for services rendered
(time, effort, skill). This includes both fixed and variable pay tied to performance levels.
Benefits - ANS Programs an employer uses to supplement the cash compensation that
employees receive. These health, income protection, savings and retirement programs provide
security for employees and their families.
Work-life Effectiveness - ANS A specific set of organizational practices, policies, and
programs, plus a philosophy that actively supports efforts to help employees achieve success at
both work and home.
Recognition - ANS Acknowledges or gives special attention to employee actions, efforts,
behavior or performance and supports business strategy by reinforcing certain behaviors (e.g.
extraordinary accomplishments) that contribute to organizational success. These programs can
be either formal or informal.
Performance Management - ANS The alignment of organizational, team, and individual
efforts toward the achievement of business goals and organizational success. It includes
establishing expectations, skill demonstration, assessment, feedback, and continuous
improvement.
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,Talent Development - ANS Provides the opportunity and tools for employees to advance
their skills and competencies in both their short and long term careers. Organizations support
career opportunities to effectively deploy talent employees, enabling them to deliver their
greatest value to the organization.
Key Players in Total Rewards Strategy- Senior Management/BOD - ANS Typically approves
the strategy. BOD approves officer competition. Involvement is important for buy-in and
ownership.
Key Players in Total Rewards Strategy- HR Leadership - ANS Articulates the HR strategy, HR
staff is instrumental in facilitating the process, total rewards management.
Key Players in Total Rewards Strategy- Employees - ANS Internal, external or exit surveys
may provide guidance in identifying the relative importance of total rewards elements to
various employee groups
Key Players in Total Rewards Strategy- Outside Consultants - ANS If outside consultants are
to be used, they would work closely with HR to facilitate the process
Total Rewards Approach - ANS Attract, Motivate, Engage, Retain
Attract - ANS Total Rewards Approach- ability an organization has to deal the right kind of
talent necessary to achieve organization success.
Motivate - ANS Total Rewards Approach- ability to cause employees to behave in a way that
achieves the highest performance levels. Includes Intrinsic Motivation and Extrinsic Motivation
Engage - ANS Total Rewards Approach- Refers to the highest level of commitment of
discretionary effort. Employee typically experiences a heightened positive emotional
connection to the organization and its people.
Examples of Employee Engagement - ANS Aligning one's individual values with those the
organization
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, Examples of Employee Engagement - ANS Experiencing a strong connection to the
organization
Examples of Employee Engagement - ANS Demonstrating strong commitment to the
organization
Examples of Employee Engagement - ANS Showing passion for the organization and its vision
and mission
Examples of Employee Engagement - ANS Feeling invested in outcomes
Retain - ANS Total Rewards Approach- Organization ability to keep employees who are
valued contributors to organization success for as long as is mutually beneficial.
Advantages of Total Rewards approach - ANS Higher profitability, lower labor costs, greater
flexibility
Drivers of Total Rewards Strategy - ANS Business strategy, organizational culture, HR strategy
Elements of Compensation - ANS Fixed pay and variable pay
Fixed pay - ANS AKA base pay, is non discretionary compensation that does not vary
according to performance or results achieved.
Variable pay - ANS AKA pay at risk, is compensation that is contingent on discretion,
performance or results achieved
Factors Influencing Compensation - ANS Competitive environment, Collective
bargaining/unions, Global growth, Economics, Business strategy, Life cycle of the organization,
Legal compliance
3 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
