C236 Topic 7
Capability-based - correct answer When a reward system explicitly attempts to vary
rewards based upon the capabilities of the employee
reasons a corporation would want to incorporate individual-based pay into its Total Reward system -
correct answer -Creates a culture of learning
-Builds a more flexible workforce
-Allows the organization to build its capacity
downside to a capability-based pay - correct answer Wages and salaries paid to
employees will rise
In which industry is skill-based pay most often used? - correct answer Manufacturing
industry
as recruited employees negotiate for higher salaries, they are more likely to receive such salaries if they
have - correct answer Greater work experience
In a skill-based pay program: - correct answer the wage rate or salary received by the
employee depends upon the skills she possesses
Competencies - correct answer Configurations of knowledge, skills, and traits that
enable employee performance
Strategic management - correct answer The definitions of criteria are all conceptually
and empirically connected to employee, unit, and organizational outcomes
Reliable measurement - correct answer An employee's level of skill, competency, or
experience can be measured consistently across employees and raters
