Financial Methods of Motivation

Financial Methods of Motivation

Multiple Choice

Which of the following is not an a benefit to a firm of having a motivated workforce?

• High employee performance as workers are rewarded for efficient work.

• Low staff retention and high staff turnover as many staff leave.

• Easy to recruit new workers as business has a good reputation.

This involves rewarding a worker in a financial sense, e.g.

• Remuneration

• Bonus Systems

• Commission

• Promotion

• Fringe Benefits

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Financial Motivation

​https://www.youtube.com/watch?v=9oHn4Y6HLg8

Multiple Choice

How is a worker on commission paid?

• According to how much time is worked

• According to the level of output

• According to how many items are sold

Multiple Choice

If a worker is paid by the hour what does their take-home pay depend on?

• How much time they have worked

• How much output they have made

• How many items they have sold

Multiple Choice

A worker earns £8 an hour and usually works 8 hour shifts 4 days a week. What is their typical gross weekly wage?

• £448

• £320

• £256

Multiple Choice

Which of the following is an example of a financial methods of motivation?

• Praise

• Working environment

• Bonus

Multiple Choice

Managing director Sarah Munro receives £50,000 per year. She gets paid 2% of the profits. Last year the business made £2 million in profit. How much profit share did she receive on top of her salary?

• £2,000

• £20,000

• £25,000

Multiple Choice

For a bonus to be effective the target must be realistic or workers will not be motivated to achieve them.

• True

• False

Open Ended

In addition to an hourly rate of pay many other businesses offer commission to their sales assistants.

Analyse one benefit for "The Car Phone Warehouse" if it was to offer commission to its new sales assistant. (6)