Pay-for-Performance Plan and Performance Appraisal

Appraisals are too ___________will lead to the possibility of unfair treatment by a supervisor.

• objective

• subjective

• rigid

• complex

An error that consistently rating someone higher than is deserved.

• Spillover error

• Horn error

• Leniency error

• Recency error

An error in the appraisal process that avoiding extremes in ratings across employees.

• Spillover error

• Central tendency error

• Halo error

• Clone error

__________ plans signal a movement away from entitlements.

• Pay Differential

• Pay Competitiveness

• Pay Structure

• Pay-for-performance

Is an example of short-term Pay-for-Performance Plan.

• Individual Incentive Plan

• Group Incentive Plan

• Gain Sharing Plan

• Cash Profit Sharing Plan

A ___________ links increases in base pay to how highly employees are rated on a subjective performance evaluation.

• Individual Incentive Plans

• Individual Spot Awards

• Lump-Sum Bonuses

• Merit Pay

This approach uses a constellation of measures to pinpoints areas of success and to indicates areas to improve operating effectiveness.

• Team Incentives

• Cash Sharing

• Balanced Scorecard

• Gain Sharing

It is an award that share economic benefits of improved productivity, quality, or other measurable results.

• Gain Sharing

• Group Incentives

• Balanced Scorecard

• Cash Profit Sharing

To ensure the gain-sharing plan is perceived as fair is to let employees vote on whether implementation should go forward.

• True

• False

This plan focuses on the predetermined index of profitability.

• Group Incentives

• Balanced Scorecard

• Profit-Sharing

• Lump-Sum Bonuses