Group 1 Total Rewards Posttest

The correct answer is Total Rewards because the question asks for the title of the topic, and Total Rewards is the only option that directly relates to the concept being discussed. The other options (Management, Business, Human Resources, None of the above) are too broad and do not specifically refer to the topic at hand.

Corruption is not an example of types of rewards because it refers to unethical and illegal practices, such as bribery and dishonesty, to gain personal benefits or advantages. In contrast, cash rewards, gift certificates, and bonuses are all legitimate forms of rewards that are commonly used to incentivize and motivate individuals in various settings.

The success of an incentive pay plan depends on several factors such as the organizational climate, employee confidence, and its suitability to employee and organizational needs. The organizational climate refers to the overall atmosphere and culture within the organization, which can greatly impact the effectiveness of the incentive pay plan. Employee confidence in the plan is crucial as it determines their motivation and willingness to participate. Additionally, the plan must align with the specific needs and goals of both the employees and the organization to ensure its success. Therefore, the statement "True" accurately reflects the importance of these factors in determining the success of an incentive pay plan.

360 degree feedback is an aspect of performance feedback because it involves obtaining feedback from multiple sources, such as supervisors, peers, subordinates, and even customers. This comprehensive feedback provides a well-rounded view of an individual's performance, strengths, and areas for improvement. It allows for a more holistic evaluation and helps in identifying blind spots and areas that may have been overlooked by a single source of feedback.

Personal opinions are not an aspect of general performance because performance is typically measured based on objective criteria and standards, rather than subjective opinions. General performance focuses on measurable outcomes, such as productivity, efficiency, and quality of work, rather than personal opinions or subjective judgments. Therefore, personal opinions do not contribute to the evaluation of general performance.

A bonus is an incentive payment that is given in addition to the base wage. It is a form of additional compensation that is provided to employees as a reward for their performance or to motivate them to achieve certain goals. Bonuses are typically not guaranteed and are often based on individual or company performance. They can take various forms such as cash, stock options, or other benefits. Overall, a bonus serves as a supplementary payment that goes beyond the regular salary or wage.

Profit sharing refers to a procedure in which an employer provides additional payments to regular employees, apart from their base pay, based on the profits of the company. This means that employees have the opportunity to receive special current or deferred sums that are directly linked to the success and profitability of the enterprise. It is a form of incentive and reward system that encourages employees to contribute to the company's financial performance and aligns their interests with the overall success of the organization.

All of the options listed are aspects of performance planning. Clear goals are essential for setting targets and measuring performance. Cost reductions are a part of performance planning as organizations aim to optimize resources and minimize expenses. Total Quality Management is an approach that focuses on continuous improvement and meeting customer expectations, which is an important aspect of performance planning. Being aware of company values and wants ensures that performance planning aligns with the overall objectives and priorities of the organization. Therefore, all of these options contribute to performance planning.

Merit raises will not serve to motivate employees when they are seen as entitlements, given yearly without regard to changes in employee performance. They are also not motivational when given because of seniority or favoritism, or when merit budgets are inadequate to sufficiently reward employee performance. To be motivational, merit raises must have a clear relationship between pay and performance, and the salary increase must be large enough to exceed inflation and higher income taxes. Therefore, all of the statements mentioned in the options are true about merit raises.

The aspect of performance feedback that is NOT included in the given options is "Meets psychological need for appreciation." Performance feedback typically focuses on appraising the employee's goal-directed behavior, rewarding the employee, and utilizing 360-degree feedback. Meeting the employee's psychological need for appreciation may be important in the workplace, but it is not specifically considered an aspect of performance feedback.