Compensation Management Quiz

What is the meaning of compensation?

• Employer pays for the work performed

• Increments to the base pay in recognition of past work behavior

• Forms of financial returns and tangible and benefits employees receive

• Fair treatment for all employees by recognizing both employee contributions

All of the following are benefits components in total compensation except _______________.

• Incentives

• Allowance

• Work/life balance

• Income protection

_______________ refers to a major source of their financial security as a return in an exchange between their employer and themselves.

• Society

• Manager

• Employees

• Stakeholders

There are four policy choices in a pay model compensation which are internal alignment, external competitiveness, employee contribution and _____________.

• Fairness

• Management

• Efficiency

• Compliance

All of the following are key steps in formulating a total compensation strategy except _______________.

• Reassess

• Organization strategy

• Map a total compensation strategy

• Assess total compensation implications

Which statements below related to aspects alignment of the pay strategy?

I.        Align with the financial strategy

II.      Align with the business strategy

III.     Align internally within the overall HR system

IV.    Align externally with the economic and sociopolitical conditions

•   I and II

• I, II and III

•   II, III and IV

• All of the above

_______________ known as paying higher than average paid by competitors can affect results.

• Internal alignment

• Compensation strategy

• Managing compensation

• External competitiveness

All of the following are strategy level in decisions except _______________.

• Corporate level

• Functional level

• Business unit level

• Human resource level

A set of best practices exists that the practices can be applied universally across all situations that the result in better performance with almost any business strategy. This statements related to _______________.

• Best fit

• Best strategy

• Best practices

• Best contributions

Which of the following are similarities and differences in strategies?

I.     Different strategies within the different industry

II.   Different strategies within the different company

III.  Different strategies within the same industry

IV. Different strategies within the same company

• I and II

• I, II and III

•  II, III and IV

• All of the above