Strategic Compensation Exam Questions and Correct Answers Latest Update 2024 (Rated A+)

Strategic Compensation Exam Questions and Correct Answers Latest Update 2024 (Rated A+) Job Key Matching - Answers including jobs on a compensation survey that are well understood and numerous in the labour market, and asking respondents to supply compensation information for those jobs. Mean, or Simple Average - Answers a measure of central tendency of a set of values derived by summing the values and dividing by the number of values. Median - Answers the middle value in an ordered list of values. Quartiles - Answers division of an ordered list of values into four groups. Compa-ratio - Answers a measure of distribution of employees within their pay range calculated by dividing the mean base pay by the midpoint of the pay range Aging the Data - Answers the process of adjusting compensation data to bring it up to date with the time period in which the new compensation will take effect. Performance Appraisal - Answers the process of assessing the overall performance levels of individual employees. Performance Appraisal Reliability - Answers occurs when a performance appraisal system produces the same scores even when applied by different appraiser. Performance Appraisal Validity - Answers occurs when employees who receive the highest scores in a performance appraisal system are in fact the highest performers. Paired Comparison Method - Answers determines the rank order of all employees in a unit by comparing each employee with each of the other employees in the unit. Forced Distribution Method - Answers a performance appraisal method that stipulates the distribution of employees across the performance categories. Graphic Rating Scale - Answers an appraisal method in which appraisers use a numerical scale to rate employees on a series of characteristics. BARS - Answers behaviourally anchored rating scales - appraisal method that provides specific descriptors for each point on the rating scale. MBO - Answers management by objectives - an approach to management that involves settling employee goals and providing feedback on goal accomplishment. 360 Degree Feedback - Answers an appraisal system that uses feedback from superiors, peers, subordinates, and possibly customers. Performance Management - Answers method for improving employee performance based on goal-setting, feedback, encouragement and support, and rewards for success. Merit Pay Grid/Matrix - Answers a tool for allocating merit raises, based on the performance level of the employee and the pay range quartile in which they fall. Scanlon Plan - Answers a gain-sharing plan that creates mechanisms for employee participation in developing productivity improvments and shares financial benefits of those improvements with the employee group that generated them. Goal Sharing Plan - Answers a group pay plan where work groups or teams receive a bonus when certain prespecified performance goals are met. Gain Sharing Plan - Answers a group pay plan where cost savings are quantified and then shared between the company and the group. Employee Stock Plans - Answers a group pay plan where employees acquire shares in the firm that employees them. Mandatory Benefits - Answers government provided employee benefits such as pensions and EI, to which employers must contribute on behalf of their employees. Defined Benefit Plans - Answers pension plans that provide retirement income based on a proportion of the employee's pay at the time of retirement. Defined Contribution Plans - Answers pension plans that provide retirement income based on the accrued value of employer and employee contributions to the plan. Pay for Time Not Worked - Answers an employee benefit that covers a wide array of different types of employee absences from work. EAP (Employee Assistance Programs) - Answers employer-provided programs to help employees deal with a variety of personal problems. Fixed Benefit System - Answers an employee benefit plan that provides a standard set of benefits to all those covered by the plan. Flexible Benefit System - Answers an employee benefit plan that allows employees to allocate employer provided credits to purchase the benefits of most value to them.