Chapter 17 Performance Management Multiple Choice Questions

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Chapter 17

Performance Management

Multiple Choice Questions

1. Which of the following is a. goal setting b. reward systems c. organization structure d. performance appraisal e. workplace technology not part of the performance management model?

2. The goal setting process involves a. establishing challenging goals b. clarifying the necessary skills and knowledge c. clarifying goal measurement d. A and C e. A and B

3. Participative goal setting works because it a. affects what people think about b. energizes and motivates behavior c. leads to commitment d. all of the above e. A and B

4. Management by objectives is characterized by systematic and periodic

_____________. a. top management meetings to plan work, review progress and solve problems b. subordinate meetings to plan work, review progress and solve problems c. measurements of progress toward goals d. joint meetings of management and subordinates to plan work, review progress, and solve problems

5. Performance appraisal is an important link between __________ and

______________. a. structure and employee involvement systems

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b. evaluation systems and productivity c. feedback systems and reward systems d. none of the above

6. Which of the following is not a design criterion for performance appraisal? a. acceptance by organizational members b. must be available to top performing employees c. focuses on critical control points d. meets a cost/benefit test e. should measure performance as accurately as possible

7. Which of the following criteria suggests that rewards should be allocated based on the level of goal achievement? a. timeliness b. performance contingency c. equitable d. focus on critical control points

8. Reward system process issues are concerned with a. communication b. amount of pay c. participation d. all of the above e. A and C

9. Which of the following ratio measures is the Scanlon Plan gain-sharing bonus plan based? a. employee turnover compared with production costs b. payroll expenses compared to sales volume c. production expenses compared to net profit d. all the above e. none of the above

10. A major drawback of skill-based pay schemes is a. bottom-out b. bottom-up c. top-out d. top-down e. down and out

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11. A frequent problem associated with “all salary” work forces is a. people staying home too often b. people coming in early often c. cash flow issues d. A and B e. B and C

12. Which is true of group and organization-wide pay plans? a. they are never used b. they discourage cooperation among workers c. they encourage cooperation among workers d. none of the above

13. Which is not a design element of developing a gain-sharing plan? a. process of design b. determining the bonus c. frequency of bonus d. vacation pay

True/False Questions

14. Goal setting interventions involve managers and employees in jointly setting subordinate’s goals, monitoring them, and providing counseling and support where necessary.

15. Timeliness is a criteria for effective reward systems but not for performance appraisal designs.

16. Reward inequities can be a major source of job dissatisfaction.

17. Various departments within an organization initiate performance management.

18. When rewarding employees for the skills they possess, skill-based pay systems are highly effective.

19. Reward systems have little if any impact on employee absenteeism and tardiness.

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20. Studies indicate that the frequency of rewards is of no consequence to satisfaction.

21. Most decisions about promotions in organizations are made in a top-down, open manner.

22. Organizations generally do a good job of appraising employees.

Essay Questions

23. Discuss the performance management model. How does performance management relate to employee involvement and work design?

24. What is the rationale for goal setting? Do you agree or disagree and why?

25. Contrast the effects of various reward systems. Which are most effective?

26. What can be done to improve performance appraisal systems?

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