Question 1

At Nutmeg Coffee, employees performed their work in groups. Each employee in a particulargroup has different skills and knowledge and is assigned to do different task. At the end ofthe day, their performance is evaluated based on group performance. Rewards are thenshared among group members.

1. Discuss anyTWO (2)potential issues, arise from the above reward program. (6 Marks)
2. SuggestTWO (2)ways to improve the above issues. (6 Marks)
3. Suggest a pay plan that able to motivate employee to want to learn new skills andknowledge. Explain how the plan work. (5 Marks)

(TOTAL: 17 MARKS)

Question 2

Hadi is the President of Bumi Hijau Consulting Services Sdn Bhd, a company offeringconsultancy services in engineering geology and geotechnical engineering. After 12 years ofoperation his aim is now to expand his business.

Hadi's expansion plan includes planning to hire three geologist and two project managers. Firdaus, the Human Resource Manager is not worried about finding candidates for projectmanager as the labor for the talent is available, however hiring geologist would be a challengeas the labor market is scarce with such talent. Firdaus also raises his concern over the company pay structure. The company pay structure has not been updated for the past 12years, the pay structure might no longer be competitive.

1. DiscussTHREE (3)strategic considerations, that Bumi Hijau Consulting might want to

look into in establishing new pay structure at Nutriment? (9 Marks)

1. Should Bumi Hijau Sdn Bhd use the same pay policy for both positions open for hiring? Discuss your answer by proposing the best pay policy for both positions.(6 Marks)
2. Assuming Firdaus is preparing a pay structure for a geologist, the pay range midpoint isequal to RM 7,500, calculate the minimum and maximum pay values for a 45% rangespread. (5 Marks)

(TOTAL: 20 MARKS)