Robbins Chapter06

Essentials of Organizational Behavior, 10e (Robbins/Judge) Chapter 6 Motivation: From Concepts to Applications 1) Which of the following is not one of the core job dimensions in the JCM model? A) task significance B) feedback C) autonomy D) status E) skill variety Answer: D Diff: 2 Page Ref: 81 Topic: Motivating by Changing the Nature of the Work Environment 2) According to the JCM, the owner-operator of a garage show performs electrical repairs, rebuilds engines, does body work, and interacts with customers would score ________. A) high on task identity B) high on skill variety C) low on autonomy D) low on task significance E) low on skills variety Answer: B Diff: 3 Page Ref: 81 Topic: Motivating by Changing the Nature of the Work Environment 3) In the JCM model, what three core job dimensions combine to create meaningful work? A) autonomy, task identity, and feedback B) skill variety, autonomy, and task significance C) skill variety, autonomy, and feedback D) feedback, task identity, and task significance E) skill variety, task identity, and task significance Answer: E Diff: 2 Page Ref: 81 Topic: Motivating by Changing the Nature of the Work Environment 4) According to JCM theory, which of the following results in the maximum internal rewards for an individual? A) when they are given tangible rewards B) when they learn that they personally have performed well on a task that they care about C) when they initiate a program that enables them to work with a variety of like-minded colleagues D) when their training is realized and their expectations are met E) when they are singled out for praise for successfully completing an arduous task Answer: B Diff: 3 Page Ref: 81 Topic: Motivating by Changing the Nature of the Work Environment

1 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

5) According to the Job Characteristics Model, a telemarketing employee who is provided a list of calls to make and a standardized script to follow would score A) high on feedback B) low on task identity C) high on autonomy D) low on autonomy Answer: D Diff: 3 Page Ref: 81 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Analytic Skills 6) According to the Job Characteristics Model, the presence of the three psychological states (knowledge of results, experienced responsibility, and experienced meaningfulness) will A) increase motivation B) increase performance C) decrease absenteeism D) all of the above Answer: D Diff: 3 Page Ref: 82 Topic: Motivating by Changing the Nature of the Work Environment 7) According to the JCM, the links between the job dimensions and the outcomes are moderated by ________. A) a high MPS B) the strength of the individual's growth need C) a low score on self-esteem D) experienced meaningfulness of the job E) autonomy Answer: B Diff: 2 Page Ref: 82 Topic: Motivating by Changing the Nature of the Work Environment 8) According to the JCM, which of the following statements is NOT true? A) The evidence supports the general framework of the theory. B) Managers can bypass the complex MPS formula and better derive motivating potential by simply adding the characteristics. C) The employee's perception of his or her workload compared to others may moderate the link between the core job dimension and outcomes. D) If jobs score high on motivating potential, the likelihood of turnover will be reduced. E) Jobs that are high on motivating potential must be high on both autonomy and task variety. Answer: E Diff: 3 Page Ref: 82 Topic: Motivating by Changing the Nature of the Work Environment

2 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

9) What is another term for cross-training? A) work enrichment B) job sharing C) work enlargement D) job enhancement E) job rotation Answer: E Diff: 1 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 10) What is a main strength of job rotation? A) It eliminates turnover. B) It increases motivation. C) It increases productivity. D) It decreases training costs E) It decreases supervisor workload. Answer: B Diff: 3 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 11) A trucking company routinely makes all of its office staff work for a week in the warehouse area; loading trucks, cleaning trucks, and doing other warehouse work which they are capable of. This program is an example of which of the following? A) job rotation B) job enlargement C) job enrichment D) job sharing E) flextime Answer: A Diff: 2 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Analytic Skills 12) Which is not cited as a drawback to job rotation? A) Training costs are increased. B) Productivity is reduced. C) Disruption is created. D) Jobs are eliminated. E) Supervisors spend more time answering questions. Answer: D Diff: 3 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment

3 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

13) When the ticket agent at Singapore Airlines takes on the duties of a baggage handler, he is engaged in ________. A) job enlargement B) job rotation C) vertical loading D) participative management E) involvement Answer: B Diff: 2 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 14) A company redesigns the jobs of the workers in accounts receivables, so that instead of simply billing customers, they will also be responsible for following up on non-payment, liaising between customers and the departments billing them, and other related tasks. What term would best be used to describe these changes? A) job rotation B) job enlargement C) job enrichment D) job sharing E) flextime Answer: B Diff: 2 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Analytic Skills 15) Which approach to putting the JCM into practice is usually met with less than enthusiastic results by employees? A) job enlargement B) job rotation C) vertical loading D) participative management E) involvement Answer: A Diff: 3 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 16) How do most employees react to job enlargement efforts? A) unqualified approval B) somewhat enthusiastically C) with a lack of enthusiasm D) with mixed emotions E) with very little reaction. Answer: C Diff: 1 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment

4 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

17) Job enrichment increases the degree to which the worker controls the ________. A) planning, execution and evaluation of his or her work B) planning, execution and evaluation of company plans C) horizontal integration of his or her tasks D) feedback that a worker receives from his or her supervisor and peers E) evaluation of his or her peers Answer: A Diff: 3 Page Ref: 84 Topic: Motivating by Changing the Nature of the Work Environment 18) Which one of the following is not one of the guidelines for enriching jobs? A) ensure employees perform one small part of a task B) establish client relationships C) open feedback channels D) combine tasks E) expand jobs vertically Answer: A Diff: 3 Page Ref: Exh 6-2 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Analytic Skills 19) The vertical expansion of jobs is seen in ________. A) job rotation B) job enlargement C) job enrichment D) job sharing E) flextime Answer: C Diff: 2 Page Ref: 84 Topic: Motivating by Changing the Nature of the Work Environment 20) A firm introduces job enrichment in order to motivate its employees. Evidence would suggest that which of the following is the most likely result of this change? A) reduced absenteeism and turnover costs B) lower fixed costs C) a drop in quality D) a decrease in productivity E) an increase in productivity Answer: A Diff: 3 Page Ref: 84 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills

5 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

21) Beyond redesigning the nature of the work itself, and involving employees in decisions, another approach to making the work environment more motivating is to alter work arrangements. Which of the following is designed to give an employee greater control of their work schedule? A) flextime B) job sharing C) job rotation D) telecommuting E) job enrichment Answer: A Diff: 2 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills 22) Which of the following has not been shown to be a benefit of flextime? A) reduced absenteeism B) improved productivity C) increased meaningfulness D) increased satisfaction E) improved promptness Answer: C Diff: 2 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment 23) Allied General Hospital employs many individuals and has decided to try to increase motivation through job redesign and flexible scheduling. You have been hired as a consultant to help them design and implement the programs You are looking at flextime and realize that it will probably work least well for which of the following jobs? A) insurance billing clerks B) custodial workers C) floor nurses D) equipment maintenance staff E) IT personnel Answer: C Diff: 3 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills

6 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

24) Allied General Hospital employs many individuals and has decided to try to increase motivation through job redesign and flexible scheduling. You have been hired as a consultant to help them design and implement the programs. Members of the nighttime janitorial staff are generally low skilled and would probably be motivated by ________. A) job enrichment B) flexible work schedules C) job enlargement D) all of the above E) none of the above Answer: D Diff: 2 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills 25) What is flextime's major drawback? A) Not all employees have computers. B) Not everyone wants to work part-time. C) It is not applicable to every job. D) Tardiness increases. E) It is hard to find compatible employees. Answer: C Diff: 2 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment 26) The work arrangement that allows two or more individuals to split a traditional 40-hour-a week job is ________. A) flextime B) core hours C) telecommuting D) job sharing E) employee involvement Answer: D Diff: 2 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment 27) The work arrangement that doesn't seem to be widely adopted by employees is ________. A) flextime B) core hours C) telecommuting D) job sharing E) employee involvement Answer: D Diff: 2 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment

7 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

28) Which of the following is a job that does not lend itself to telecommuting? A) an attorney who spends most of her time researching on the computer B) a writer of copy for an advertising firm C) a car salesman who demonstrates the features of a new model of car D) a telemarketer who uses the phone to contact clients E) a product support specialist who fields calls from irate customers Answer: C Diff: 1 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills 29) The Japanese are increasingly considering job sharing to ________. A) increase flexibility B) avoid layoffs C) add more part-time positions D) accommodate working mothers E) stimulate the economy Answer: B Diff: 3 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Multicultural and Diversity Understanding 30) About ________ percent of the U.S. workforce telecommutes. A) 2 B) 10 C) 25 D) 50 E) 75 Answer: B Diff: 1 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Use of Information Technology 31) Potential benefits of telecommuting include which of the following? A) a larger labor pool from which to select B) reduced office-space costs C) less turnover D) improved morale E) all of the above Answer: E Diff: 2 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment

8 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

32) The major drawback for management with telecommuting is ________. A) increased cost of office space B) less direct supervision C) higher turnover D) lower productivity E) more hours worked Answer: B Diff: 2 Page Ref: 86-87 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills 33) The downside of telecommuting from the employee's perspective is ________. A) the "out of sight/out of mind" effect B) no overtime earned C) too many promotions D) high costs for computer equipment E) 24 hours on call Answer: A Diff: 3 Page Ref: 86-87 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Use of Information Technology 34) The underlying logic of employee involvement is that by involving workers and increasing their autonomy and control over their work lives, employees will become all of the following except more ________. A) motivated B) competent C) productive D) satisfied E) committed to the organization Answer: B Diff: 2 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Reflective Thinking Skills 35) What term is used for a participative process that uses the entire capacity of employees and is designed to encourage increased commitment to the organization's success? A) MBO B) employee involvement C) reengineering D) OB Mod E) job sharing Answer: B Diff: 2 Page Ref: 87 Topic: Employee Involvement

9 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

36) Participative management and representative participation are forms of ________. A) job rotation B) job enrichment C) employee involvement D) employee recognition E) employee incentives Answer: C Diff: 2 Page Ref: 87 Topic: Employee Involvement 37) What is the distinct characteristic common to all participative management programs? A) joint decision making B) autonomy C) empowerment D) productivity enhancement E) quality awareness Answer: A Diff: 3 Page Ref: 87 Topic: Employee Involvement 38) What is participative management? A) a method of management where subordinates make corporate decisions and management helps carry out those decisions B) a method of management where upper management participates in the organization's strategic planning C) a method of management where subordinates share a degree of decision-making power with their immediate superiors D) a method of management where low-level workers meet occasionally with the CEO to discuss problems within their department E) a method of management where low-level workers are responsible for making corporate policy decisions Answer: C Diff: 2 Page Ref: 87 Topic: Employee Involvement

10 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

39) A manager introduces participative management in an effort to boost morale and productivity. If he wants to make sure that it has as great a chance of success as possible he should ensure all of the following except which of the following? A) The issues decided upon must be relevant to the employees. B) The employees must be informed and competent enough to make decisions. C) The employees must be trusted by the manager. D) The manager must be trusted by the employees. E) There must be representative participation through work councils and board representatives. Answer: E Diff: 3 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Analytic Skills 40) Your supervisor has heard that employee involvement is important and you have been instructed to research various methods of employee involvement. You are supposed to help assist in the analysis of the probable effects of each of the programs being considered. You have decided to let employees select a small group to represent them and work with management. This is termed ________. A) representative participation B) an ESOP C) quality circles D) participative management E) an AESOP Answer: A Diff: 2 Page Ref: 87 Topic: Employee Involvement 41) What is the name for employees who sit on a company's board of directors and represent the interests of the firm's employees? A) board representatives B) works councils C) quality circles D) union representatives E) board leaders Answer: A Diff: 1 Page Ref: 87 Topic: Employee Involvement

11 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

42) Research studies conducted on the participation-performance relationship show that the use of participation ________. A) enhances job satisfaction B) increases motivation C) has only a modest influence on employee productivity D) greatly influences employee attitudes E) lowers costs considerably Answer: C Diff: 2 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Communication Abilities 43) What does legislation require almost every company in Western Europe to do? A) Have a form of representative participation. B) Provide employee ownership. C) Provide flextime. D) Set up quality circles. E) Have flexible benefit options. Answer: A Diff: 1 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Multicultural and Diversity Understanding 44) What is the goal of representative participation? A) for workers to own the firms where they work B) to help workers' self-esteem C) to provide greater motivation and productivity D) to redistribute power within the organization E) to empower high-level managers Answer: D Diff: 2 Page Ref: 87 Topic: Employee Involvement 45) Works councils and board representatives are the two most common forms of ________. A) employee recognition B) representative participation C) participative management D) job enrichment E) employee benefits Answer: B Diff: 2 Page Ref: 87-88 Topic: Employee Involvement

12 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

46) Research shows that works councils tend to be ineffective for which of the following reasons? A) Members of works council tend to side with management when making decisions for fear of being punished. B) Works councils represent the wishes of employees that are often at odds with the best direction of an organization. C) Works councils are dominated by management and their input has little impact on employees or the organization D) Works councils insert an extra element into decision making which slows the response of an organization to changing conditions. E) Members of works councils are in general not qualified to make large decisions concerning the direction of an organization. Answer: C Diff: 2 Page Ref: 88 Topic: Employee Involvement AASCB Tag: Analytic Skills 47) Experience shows that the greatest value of representative participation is which of the following? A) increased motivation B) increased satisfaction C) symbolic D) decreased absenteeism E) increased commitment Answer: C Diff: 2 Page Ref: 88 Topic: Employee Involvement 48) Job evaluation establishes ________. A) the amount of compensation to be paid B) external equity C) the worth of the job to the organization D) how many tasks to be included in a job E) how to evaluate an employee Answer: C Diff: 3 Page Ref: 88 Topic: Using Rewards to Motivate Employees 49) In a 2006 study, what percentage of top performers indicated pay was a key factor in losing top talent? A) 21 B) 41 C) 61 D) 71 Answer: D Diff: 2 Page Ref: 88 Topic: Using Rewards to Motivate Employees 50) Initially setting pay levels requires balancing ________. 13 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

A) the company's budget B) supply and demand of labor C) internal and external equity D) job worth and demand E) job worth and internal equity Answer: C Diff: 2 Page Ref: 88 Topic: Using Rewards to Motivate Employees 51) Which of the following are all forms of variable-pay programs? A) piece-rate, merit-based pay, gainsharing B) profit sharing, lump-sum bonuses, extended vacations C) wage incentive plans, flextime, piece-rate D) retirement benefits, extended vacations, wage incentive plans E) wage rate increases, bonuses, flextime Answer: A Diff: 1 Page Ref: 89 Topic: Using Rewards to Motivate Employees 52) Which of the following is one advantage of variable pay plans to management? A) They turn fixed labor costs into variable labor costs. B) They turn low producers into high producers. C) They turn slow employees into fast employees. D) They turn high fixed costs into low fixed costs. E) They turn lower performance into fewer employees. Answer: A Diff: 3 Page Ref: 89 Topic: Using Rewards to Motivate Employees 53) Which of the following is an example of a piece-rate plan? A) time and a half for overtime B) $2 for each unit produced C) productivity bonus D) commission E) $10 per hour worked Answer: B Diff: 2 Page Ref: 89 Topic: Using Rewards to Motivate Employees

14 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

54) Merit-based pay plans are based on ________. A) union negotiations B) performance appraisal ratings C) company profits D) company productivity improvements E) company stock performance Answer: B Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees 55) Which of the following is cited as a limitation of merit pay plans? A) Being based on an annual performance appraisal, the merit pay is as valid (or invalid) as the performance ratings on which it is based. B) The pay raise pool seldom fluctuates. C) Unions encourage merit pay plans. D) Employees tend to like merit pay plans. E) There is little link between pay and performance. Answer: A Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 56) Which of the following is not one of the most widely used variable-pay programs? A) piece-rate wages B) merit-based pay C) base pay D) employee stock ownership E) profit-sharing plans Answer: C Diff: 1 Page Ref: 89-91 Topic: Using Rewards to Motivate Employees 57) Amalgamated Industries manufactures parts for furniture. Management has decided to change the method of payment to a skill-based plan. You are interested in increasing your current compensation and see this as an opportunity. You should expect to earn more if you ________. A) volunteer for overtime B) increase your production C) cross train in other jobs D) become a specialist E) master common skills Answer: C Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills

15 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

58) What is the term used for a pay plan where pay levels are based on how many skills employees have or how many jobs they can do? A) a variable pay plan B) flexible pay C) competency-based pay D) gainsharing E) ISOP Answer: C Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees 59) Amalgamated Industries manufactures parts for furniture. Management has decided to change the method of payment to a skill-based plan. You are interested in increasing your current compensation and see this as an opportunity. As a manager, you like the plan because it allows ________. A) protection of territory B) increased flexibility of the workforce C) elimination of workers D) decreased payroll costs E) increased control Answer: B Diff: 3 Page Ref: 90 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 60) A certain corporation ties its compensation for front-line operations managers to developing their skills in leadership, workforce development, and functional excellence. What is this sort of compensation scheme called? A) job-based pay B) training-based pay C) individual merit-based pay D) skill-based pay E) development-based pay Answer: D Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees

16 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

61) Amalgamated Industries manufactures parts for furniture. Management has decided to change the method of payment to a skill-based plan. You are interested in increasing your current compensation and see this as an opportunity. Which of the following may be a disadvantage of introducing this type of pay plan? A) Employees will become less motivated. B) Employees will become more specialized. C) Employees will tend not to work as hard as before. D) Your employer may pay for skills that they aren't using. E) Your employer will have less control over what each employee does. Answer: D Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 62) Which of the following is not a downside of skill-based pay? A) People can "top out." B) Skills can become obsolete. C) Ambitious people can confront minimal advancement opportunities. D) People are paid for acquiring skills for which there is no immediate need. E) It doesn't address the level of performance. Answer: C Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees 63) A rise in which of the following was reported by companies that pay employees for learning extra skills? A) operating costs B) communication across the organization C) turnover D) absenteeism E) perceptions of unfairness Answer: B Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees AASCB Tag: Communication Abilities

17 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

64) Much of the compensation of traders at Synalco, a metals trading company, is in the form of stock options. The amount of options distributed is based on the company's net profits. What sort of compensation plan is this? A) profit sharing B) gainsharing C) merit based D) ESOP E) employee ownership Answer: A Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees 65) What is the name for an incentive plan where improvements in group productivity determine the total amount of money that is allocated? A) ESOP B) gainsharing C) profit sharing D) piece rates E) employee ownership Answer: B Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 66) How is gainsharing different from profit sharing? A) Gainsharing focuses on productivity gains rather than profits. B) Gainsharing rewards specific behaviors. C) Gainsharing does not distribute profits, only gains in profits. D) Gainsharing rewards behaviors that are less influenced by external factors. E) With gainsharing, superior employees can receive incentive awards even when the organization isn't profitable. Answer: A Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 67) In what sort of companies is gainsharing most popular? A) large manufacturing companies B) large service organizations C) small, non-unionized manufacturing companies D) small, privately held companies E) non-profit organizations Answer: A Diff: 3 Page Ref: 91 Topic: Using Rewards to Motivate Employees

18 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

68) What sort of plan is a company-established benefit plan where employees acquire stock as part of their benefits? A) MBO program B) job redesign C) ESOP D) quality circle E) piece-rate Answer: C Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 69) Research on employee stock ownership programs indicates that they are clearly successful in doing which of the following?. A) increasing employee satisfaction B) reducing salaries C) reducing stress D) increasing productivity E) increasing employee expectations Answer: A Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 70) What is the term used for the situation where employees are allowed to pick and choose from among a menu of benefit options. A) flexible pay B) benefit menu options C) flexible benefits D) benefit participation E) flextime Answer: C Diff: 1 Page Ref: 91 Topic: Using Rewards to Motivate Employees 71) Your workforce is diverse in terms of their needs for benefits. Jim is married with two children and his wife is at home full time. Janet is single and supports her widowed mother. Bob is married and his wife has a high-paying job You decide that you want to devise a benefits program that is tailored to their individual needs. What sort of benefit program would probably be the best choice? A) a traditional benefit program B) a flexible benefit program C) letting them purchase their own benefits D) an ESOP E) an AESOP Answer: B Diff: 1 Page Ref: 91 Topic: Using Rewards to Motivate Employees AASCB Tag: Multicultural and Diversity Understanding

19 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

72) Your workforce is diverse in terms of their needs for benefits. Jim is married with two children and his wife is at home full time. Janet is single and supports her widowed mother. Bob is married and his wife has a high-paying job You decide that you want to devise a benefits program that is tailored to their individual needs. You should expect that a flexible benefits program will be all of the following EXCEPT ________. A) less expensive B) consistent with expectancy theory C) more responsive to individual needs D) motivational E) accommodate employee differences Answer: A Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees AASCB Tag: Multicultural and Diversity Understanding 73) Why are flexible benefit plans consistent with expectancy theory's thesis? A) They allow organizations to minimize costs associated with benefits. B) They provide a suite of tangible rewards that can be offered as motivation. C) Flexible benefits individualize rewards. D) They make employment at firms providing such programs more attractive. E) The motivation to gain extra benefits promotes productivity. Answer: C Diff: 3 Page Ref: 91 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 74) Your workforce is diverse in terms of their needs for benefits. Jim is married with two children and his wife is at home full time. Janet is single and supports her widowed mother. Bob is married and his wife has a high-paying job You decide that you want to devise a benefits program that is tailored to their individual needs. What sort of plan would provide pre-designed packages of benefits, put together to meet the needs of a specific group of employees? A) flexible spending B) core-plus C) cafeteria D) modular E) customized Answer: D Diff: 1 Page Ref: 92 Topic: Using Rewards to Motivate Employees AASCB Tag: Multicultural and Diversity Understanding

20 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

75) What are modular benefit plans? A) essential benefits and a menu-like selection of other benefits B) pre-designed packages of benefits to meet the needs of a specific group of employees C) they require employees to set aside funds up to the dollar amount offered in the plan to pay for services D) a scheme designed for single employees with no dependents E) a scheme designed for employees with families Answer: B Diff: 2 Page Ref: 92 Topic: Using Rewards to Motivate Employees AASCB Tag: Multicultural and Diversity Understanding 76) In which benefit plan are employees given benefit credits to purchase additional benefits to add to the core? A) modular plans B) core plus plans C) flexible spending plans D) ESOPs E) employee recognition plans Answer: B Diff: 2 Page Ref: 92 Topic: Using Rewards to Motivate Employees 77) Which benefit plan can increase employee take-home pay? A) modular plans B) core-plus plans C) flexible spending plans D) ESOPs E) employee recognition plans Answer: C Diff: 3 Page Ref: 92 Topic: Using Rewards to Motivate Employees AASCB Tag: Analytic Skills 78) Employee recognition programs are consistent with which of the following? A) goal setting theory B) cognitive evaluation theory C) reinforcement theory D) expectancy theory E) Marxist theory Answer: C Diff: 3 Page Ref: 92 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills

21 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

79) Laura only makes minimum wage, but she loves her job Her supervisor regularly compliments her and she has been chosen employee of the month twice this year. Which of the following is Laura's attitude most likely a function of? A) recognition B) motivation C) goal setting D) involvement E) reactance Answer: A Diff: 2 Page Ref: 92 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 80) Researchers report that which of the following was considered by employees to be the most powerful workplace motivator? A) recognition B) money C) opportunity for advancement D) autonomy E) vacation time Answer: A Diff: 2 Page Ref: 92 Topic: Using Rewards to Motivate Employees 81) Which of the following is a form of recognition? A) personal congratulations B) job enlargement C) job sharing D) flexible benefit packages E) profit sharing Answer: A Diff: 1 Page Ref: 93 Topic: Using Rewards to Motivate Employees 82) Why may job enrichment strategies be less effective in more collectivist cultures? A) The JCM is relatively individualistic. B) The core job characteristics are not equally applicable across cultures. C) Collectivist cultures do not focus on intrinsic job characteristics. D) The JCM has not been translated into other languages. Answer: A Diff: 2 Page Ref: 93 Topic: Global Implications AASCB Tag: Multicultural and Diversity Understanding

22 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

83) The global research on telecommuting found that A) telecommuting is more common in the US than in Europe. B) across the globe, employers are more interested in telecommuting than employees. C) of the EU countries, Portugal has the highest rate of telecommuting. D) telecommuting simply works better in the US than in other countries. Answer: A Diff: 2 Page Ref: 93 Topic: Global Implications AASCB Tag: Multicultural and Diversity Understanding 84) All of the following statements about employee involvement are true, EXCEPT A) Employee involvement programs must reflect national culture. B) Managers in India who empowered their employees through employee involvement programs were rated low. C) US employees accept employee involvement programs, but not all employees from other culture feel the same way. D) Employees across the globe warmly receive employee involvement programs. Answer: D Diff: 2 Page Ref: 93 Topic: Global Implications AASCB Tag: Multicultural and Diversity Understanding 85) To motivate employees in organizations, managers should do all of the following EXCEPT A) recognize individual differences B) use goals and feedback C) make decisions for employees including setting goals for them D) link rewards to performance E) check the reward system for equity Answer: C Diff: 2 Page Ref: 94-95 Topic: Implications for Managers AASCB Tag: Reflective Thinking Skills 86) The JCM consists of five core job characteristics: task significance, feedback, experienced meaningfulness, task variety, and autonomy. Answer: FALSE Diff: 3 Page Ref: 81 Topic: Motivating by Changing the Nature of the Work Environment 87) The dimensions of the JCM that create meaningfulness include task identity, skill variety, and task significance. Answer: TRUE Diff: 2 Page Ref: Exh 6-1 Topic: Motivating by Changing the Nature of the Work Environment

23 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

88) Jobs that are high on motivating potential must be high on at least one of the three factors that lead to experienced meaningfulness, and they must be high on both autonomy and feedback. Answer: TRUE Diff: 2 Page Ref: 82 Topic: Motivating by Changing the Nature of the Work Environment 89) Jobs that have the intrinsic elements of variety, identity, significance, autonomy, and feedback are more satisfying and generate higher performance from people than jobs that lack these characteristics. Answer: TRUE Diff: 1 Page Ref: 82 Topic: Motivating by Changing the Nature of the Work Environment 90) In job rotation, jobs are not redesigned; in job enlargement, they are. Answer: TRUE Diff: 2 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 91) The strengths of job rotation are that it eliminates boredom, increases motivation, and increases productivity. Answer: FALSE Diff: 3 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 92) In job rotation, the nature of the work performed is changed. Answer: FALSE Diff: 3 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment 93) Job enrichment, job enlargement, and job rotation are all job redesign options. Answer: FALSE Diff: 2 Page Ref: 83-84 Topic: Motivating by Changing the Nature of the Work Environment 94) Most employees do not view efforts at job enlargement enthusiastically. Answer: TRUE Diff: 2 Page Ref: 83 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Reflective Thinking Skills 95) Job enrichment increases the degree to which the worker controls the execution of company plans. Answer: FALSE Diff: 2 Page Ref: 84 Topic: Motivating by Changing the Nature of the Work Environment

24 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

96) The overall evidence on job enrichment generally shows that it increases satisfaction, reduces absenteeism, and reduces turnover costs. Answer: TRUE Diff: 2 Page Ref: 84 Topic: Motivating by Changing the Nature of the Work Environment 97) Evidence on job enrichment indicates conclusively that it increases productivity. Answer: FALSE Diff: 2 Page Ref: 84 Topic: Motivating by Changing the Nature of the Work Environment 98) Flextime is shown to increase the meaningfulness that employees find in their work. Answer: FALSE Diff: 1 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment 99) The scheduling options of flextime, job sharing, and telecommuting are all approaches to make the workplace environment more motivating. Answer: TRUE Diff: 2 Page Ref: 85 Topic: Motivating by Changing the Nature of the Work Environment 100) Although over 30 percent of large organizations offer employees job sharing, it doesn't seem to be widely adopted by employees. Answer: TRUE Diff: 2 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment 101) For employees with a high social need, telecommuting is a good option. Answer: FALSE Diff: 1 Page Ref: 86 Topic: Motivating by Changing the Nature of the Work Environment AASCB Tag: Use of Information Technology 102) Employee involvement is a participative process that is designed to encourage increased commitment to the organization's success. Answer: TRUE Diff: 2 Page Ref: 87 Topic: Employee Involvement 103) Employee involvement programs should take into account cultural factors such as differences in power-distance culture. Answer: TRUE Diff: 1 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Multicultural and Diversity Understanding

25 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

104) The laws of the United States require companies to have elected representatives from their employee groups as members of their board of directors. Answer: FALSE Diff: 2 Page Ref: 97 Topic: Employee Involvement 105) Participative management implies joint decision-making and equal decision-making roles. Answer: FALSE Diff: 2 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Analytic Skills 106) Employee involvement programs could provide employees with intrinsic motivation by increasing opportunities for growth and responsibility. Answer: TRUE Diff: 3 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Reflective Thinking Skills 107) Participation typically has only a modest influence on variables such as employee productivity, motivations, and job satisfaction. Answer: TRUE Diff: 1 Page Ref: 87 Topic: Employee Involvement 108) If one is interested in changing employee attitudes or in improving organizational performance, representative participation would be a good choice. Answer: FALSE Diff: 3 Page Ref: 87 Topic: Employee Involvement AASCB Tag: Reflective Thinking Skills 109) The two most common forms that representative participation takes are works councils and board representatives. Answer: TRUE Diff: 3 Page Ref: 87-88 Topic: Employee Involvement 110) Participative management has had a profound influence on employee productivity and motivation. Answer: FALSE Diff: 2 Page Ref: 88 Topic: Employee Involvement

26 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

111) Board representatives are employees who sit on a company's board of directors and represent the interests of the firm's employees. Answer: TRUE Diff: 2 Page Ref: 87-88 Topic: Employee Involvement 112) The greatest value of representative participation is symbolic. Answer: TRUE Diff: 2 Page Ref: 88 Topic: Employee Involvement 113) Internal equity is usually established through pay surveys. Answer: FALSE Diff: 2 Page Ref: 88 Topic: Using Rewards to Motivate Employees 114) Job evaluation establishes internal equity. Answer: TRUE Diff: 3 Page Ref: 88 Topic: Using Rewards to Motivate Employees 115) Variable-pay compensation pays people for the time they spend on the job and seniority. Answer: FALSE Diff: 1 Page Ref: 89 Topic: Using Rewards to Motivate Employees 116) Variable-pay programs turn part of an organization's fixed labor costs into a variable cost. Answer: TRUE Diff: 1 Page Ref: 89 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 117) Employee compensation will decline if performance declines in variable-pay programs. Answer: TRUE Diff: 2 Page Ref: 89 Topic: Using Rewards to Motivate Employees 118) Piece-rate plans, wage incentives, profit sharing, bonuses, and gainsharing are all forms of flexible benefits. Answer: FALSE Diff: 2 Page Ref: 89-91 Topic: Using Rewards to Motivate Employees 119) Both piece-rate and gainsharing plans are examples of variable-pay compensation. Answer: TRUE Diff: 1 Page Ref: 89-90 Topic: Using Rewards to Motivate Employees 27 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

120) Piece-rate wages are a traditional form of variable pay compensation whereby workers' pay is based upon the number of units they produce. Answer: TRUE Diff: 2 Page Ref: 89 Topic: Using Rewards to Motivate Employees 121) People who sell peanuts at ball parks, keeping $.75 for every bag of peanuts they sell, are being paid piece-rate wages. Answer: TRUE Diff: 2 Page Ref: 89 Topic: Using Rewards to Motivate Employees AASCB Tag: Analytic Skills 122) Piece-rate plans are based on group productivity. Answer: FALSE Diff: 2 Page Ref: 89 Topic: Using Rewards to Motivate Employees 123) Individuals in merit-based pay plans perceive a strong relationship between their performance and the rewards they receive. Answer: TRUE Diff: 3 Page Ref: 90 Topic: Using Rewards to Motivate Employees 124) Profit sharing may be paid by direct cash outlay or as stock options. Answer: TRUE Diff: 3 Page Ref: 90 Topic: Using Rewards to Motivate Employees 125) Bonus plans are still reserved for the executive ranks with very few lower ranking employees included. Answer: FALSE Diff: 1 Page Ref: 90 Topic: Using Rewards to Motivate Employees 126) Skill-based pay is not utilized much in white-collar jobs. Answer: FALSE Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees 127) From management's perspective, the greatest appeal of skill-based pay plans is decreased payroll costs. Answer: FALSE Diff: 3 Page Ref: 90 Topic: Using Rewards to Motivate Employees

28 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

128) Skill-based pay encourages employees to concentrate on one or two highly desirable skills. Answer: FALSE Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 129) Skill-based pay plans encourage people to specialize. Answer: FALSE Diff: 2 Page Ref: 90 Topic: Using Rewards to Motivate Employees 130) Gainsharing and profit sharing are the same thing. Answer: FALSE Diff: 1 Page Ref: 90-91 Topic: Using Rewards to Motivate Employees 131) An employee in a gainsharing plan can receive incentive awards even if the organization isn't profitable. Answer: TRUE Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 132) Studies generally show that organizations with profit sharing plans have higher levels of profitability than those without. Answer: TRUE Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 133) Studies show that gainsharing programs have a positive impact on employee attitudes. Answer: TRUE Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 134) Gainsharing's popularity seems to be narrowly focused among large, manufacturing companies. Answer: TRUE Diff: 3 Page Ref: 91 Topic: Using Rewards to Motivate Employees 135) ESOPs are company-established benefit plans in which employees acquire stock as part of their benefits. Answer: TRUE Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees

29 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

136) Research on ESOPs indicates they increase employee satisfaction. Answer: TRUE Diff: 3 Page Ref: 91 Topic: Using Rewards to Motivate Employees 137) Flexible spending plans allow employees to set aside up to the dollar amount offered in the plan to pay for particular services. Answer: TRUE Diff: 2 Page Ref: 91 Topic: Using Rewards to Motivate Employees 138) Studies show that employees consider wages and benefits to be the most powerful workplace motivators. Answer: FALSE Diff: 3 Page Ref: 92 Topic: Using Rewards to Motivate Employees 139) One of the most expensive motivation programs is that which recognizes an employee's superior performance. Answer: FALSE Diff: 1 Page Ref: 92-93 Topic: Using Rewards to Motivate Employees 140) While flexible benefits have become the norm in the US, this is not the case in other countries. Answer: FALSE Diff: 1 Page Ref: 94 Topic: Global Implications AASCB Tag: Multicultural and Diversity Understanding 141) Discuss the Job Characteristics Model. Answer: The Job Characteristics Model was developed by Hackman and Oldham. It proposes that any job can be described in terms of five core job characteristics. Skill variety is the degree to which the job requires a variety of different activities so the worker can use a number of different skills. Task variety is the degree to which the job requires completion of a whole and identifiable piece of work. Task significance is the degree to which the job has a substantial impact on the lives or work of other people. Autonomy is the degree to which the job provides freedom and discretion to the individual in scheduling the work and determining procedures to be used in carrying out the work. And finally, feedback is the degree to which carrying out the work activities required by the job results in the individual obtaining direct and clear information about the effectiveness of the his or her performance. The presence of these five core job characteristics impacts the three critical psychological states: knowledge of results, experienced responsibility, and experienced meaningfulness. The more these three states are present, the greater will be employees' motivation, performance, and satisfaction. The core dimensions can be combined into a single predictive index, the motivating potential score (MPS). Page Ref: 81-82 Topic: Using Rewards to Motivate Employees 30 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

142) Discuss three ways the JCM can be put into practice to make jobs more motivating. Answer: The JCM can be put into practice to make jobs more motivating with job rotation, job enlargement, and job enrichment. Job rotation. This is the practice of periodically shifting an employee from one task to another. When an activity is no longer challenging, the employee is rotated to another job, usually at the same level, that has similar skill requirements. Job enlargement. This is the expansion of jobs horizontally; increasing the number and variety of tasks that an individual performs. Instead of only sorting the incoming mail by department, for instance, a mail sorter's job could be enlarged to include physically delivering the mail to the various departments or running outgoing letters through the postage meter. Job enrichment refers to the vertical expansion of jobs. It increases the degree to which the worker controls the planning, execution, and evaluation of his or her work. An enriched job organizes tasks so as to allow the worker to do a complete activity, increases the employee's freedom and independence, increases responsibility, and provides feedback, so an individual will be able to assess and correct his or her own performance. Page Ref: 83-84 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 143) How can management enrich an employee's job? Answer: An employee's job can be enriched by a number of ways. Combining task takes existing tasks and puts them back together to form a new and larger module of work. Forming natural work units means that the tasks an employee does create an identifiable and meaningful whole. Establishing client relationships increases the direct relationships between workers and their clients. Expanding jobs vertically gives employees responsibilities and control that were formerly reserved for management. Opening feedback channels lets employees know how well they are performing their jobs and whether their performance is improving, deteriorating, or remaining at a constant level. Page Ref: Exh 6-2 Topic: Using Rewards to Motivate Employees AASCB Tag: Analytic Skills 144) Discuss three alternative work arrangements. Answer: Flextime, job sharing, and telecommuting are three alternative work arrangements. Flextime stands for flexible work hours. It allows employees some discretion over when they arrive at work and when they leave. Job sharing allows two or more individuals to split a traditional 40-hour-a-week job. Telecommuting refers to employees who do their work remotely at least two days a week using a computer linked to their office. Page Ref: 85-86 Topic: Using Rewards to Motivate Employees

31 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

145) Discuss the benefits and drawbacks for management of telecommuting. Answer: The potential benefits of telecommuting include a larger labor pool from which to select, higher productivity, less turnover, improved morale, and reduced office-space costs. The drawbacks include less direct supervision of employees and increased difficulty to coordinate teamwork. The major drawback is that it is not applicable to every job. Page Ref: 86-87 Topic: Using Rewards to Motivate Employees AASCB Tag: Use of Information Technology 146) What is participative management? Answer: All participative management programs use joint decision-making. Subordinates share a significant degree of decision-making power with their immediate superiors. It is not the panacea for poor morale and low productivity that it was once thought to be. Research findings are mixed. Page Ref: 87 Topic: Employee Involvement 147) List and describe different variable-pay programs. Be sure to include piece-rate plans, profitsharing plans, and gainsharing. Answer: Piece-rate plans, merit-based pay plans, wage incentives, profit sharing, bonuses, skillbased pay plans, and gainsharing are all forms of variable-pay programs. In piece-rate pay plans, workers are paid a fixed sum for each unit of production completed. When an employee gets no base salary and is paid only for what he or she produces, this is a pure piece-rate plan. Unlike piece-rate plans, which pay based on objective output, merit-based pay plans are based on performance appraisal ratings. Bonuses can be paid exclusively to executives or to all employees. Many companies now routinely reward production employees with bonuses in the thousands of dollars when company profits improve. Skill-based pay is an alternative to job-based pay. Rather than having an individual's job title define his or her pay category, skill-based pay sets pay levels on the basis of how many skills employees have or how many jobs they can do. It is also called competency-based or knowledge-based pay. Profit-sharing plans are organization wide programs that distribute compensation based on some established formula designed around a company's profitably. Gainsharing is a formula-based group incentive plan. Improvements in group productivity determine the total amount of money that is to be allocated. By focusing on productivity gains rather than profits, gainsharing rewards specific behaviors that are less influenced by external factors. Employees in a gainsharing plan can receive incentive awards even when the organization isn't profitable. Page Ref: 89-91 Topic: Using Rewards to Motivate Employees

32 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

148) How are flexible benefits linked with expectancy theory? Answer: Giving all employees the same benefits assumes, falsely, that all employees have the same needs. Thus, flexible benefits turn the benefits' expenditure into a motivator. Consistent with expectancy theory's thesis that organizational rewards should be linked to each individual employee's goals, flexible benefits individualize rewards by allowing each employee to choose the compensation package that best satisfies his or her current needs. Page Ref: 91 Topic: Using Rewards to Motivate Employees AASCB Tag: Reflective Thinking Skills 149) Discuss the importance of employee recognition programs. Answer: Rewards to employees can be intrinsic or extrinsic. Employee recognition programs are intrinsic rewards. While financial incentives may be more motivating in the short term, nonfinancial incentives are more motivating in the long run. Surprisingly enough, recognition has been identified as the most powerful workplace motivator. The good news is that recognition programs are inexpensive. However, recognition programs are highly susceptible to political manipulation by managers. Abuse of the system can then act to de-motivate employees. Page Ref: 92-93 Topic: Using Rewards to Motivate Employees 150) List five guidelines of what has been learned about motivating employees in organizations. Answer: Following are five guidelines of what has been learned about motivating employees in organizations: 1. Recognize individual differences. Since employees have different needs, they should not all be treated the same. 2. Use goals and feedback. Employees should have hard, specific goals and feedback to know how they are progressing. 3. Allow employees to participate in decisions that affect them. This can increase productivity, commitment to work goals, motivation, and job satisfaction. 4. Link rewards to performance. Rewards should be contingent on performance. 5. Check the system for equity. Rewards should also be perceived by employees as equating with the inputs they bring to the job. Page Ref: 94-95 Topic: Using Rewards to Motivate Employees

33 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall