Strategic Compensation Quiz 1. Which process is looked upon as the process of gathering data and information about the characteristics required for specific jobs? a. job analysis b. job evaluation c. job description d. job specifications 2. As a human resource professional, you have been asked by your organization to develop a job description for the heavy-duty mechanic role. What are you likely NOT to include in the job description? a. some statement describing the conditions under which the mechanic will work under b. the appropriate pay grades, ranges, and future pay increase scales c. the level of skill and certification required for the role d. the fact that the mechanic will be working under the supervision of a senior technician 3. What do job specifications focus on? a. job activities b. reporting structure c. employee qualifications d. performance 4. Your organization asks you to recommend a job evaluation method that may meet pay equity legislation. What job evaluation method are you likely NOT to recommend? a. point b. factor comparison c. ranking d. classification 5. Which term is used to describe key characteristics of jobs that are valued by organizations and differentiate jobs from one another? a. core job dimensions b. job facts c. compensable factors d. benchmarks 6. Mario performs his job at a very high standard. Unfortunately, a job evaluation process determined that he is currently being paid at a level below the minimum in a new pay scale. Which of the following statements best describes Mario's current position in the new pay scale? a. Mario would be classified as a \"constructive employee.\" 1|Page Strategic Compensation Quiz b. Mario would be classified as an \"exception-to-the-pay-scale\" employee. c. Mario would be classified as a \"green-circled employee.\" d. Mario would be classified as a \"red-circled employee.\" 7. Which of the following is NOT a valid reason to re-evaluate jobs? a. Labour market conditions change significantly. b. The strategy of the organization changes. c. A new performance system is implemented. d. There is a high level of appeals. 8. Four main categories of compensable factors are used widely in industry. Which of the following factors could be included in the skill category? a. John is often exposed to chemicals. b. Marie needs to solve a variety of problems at work. c. Dwayne is held accountable for error rates. d. Dolores often has to be able to lift 25 kg boxes. 9. Which of the following compensable factors would you include under the main category of \"working conditions\"? a. requirements associated with being exposed to health hazards b. requirements associated with educational levels c. requirements associated being responsible for the safety of coworkers d. requirements associated with having to produce certain levels of output 10. After several evaluators apply the job evaluation system to a heavy-duty mechanic job, you find significant discrepancies in the weights associated with each compensable factor. Which of the following is NOT likely to be a reason for the discrepancies? a. factor definition being used by the evaluators b. job information provided to the evaluators c. evaluators using the wrong benchmarks d. degree of definition provided to the evaluators 2|Page Strategic Compensation Quiz 11. What does the market line determine? a. whether the firm should lead, lag, or match the market b. the relationship of job evaluation results to market pay rates c. the relationship of job evaluation results to a firm's pay grades d. a pay rate based on a market survey 12. After plotting a regression (market line), you determine that the slope is very steep. What possible conclusion can you make from observing the slope of the regression line? a. The correlation coefficient is approaching -1 (negative one). b. There is too much spread in job evaluation points between low-value and high-value jobs. c. There is not sufficient spread in job evaluation points between low-value and high-value jobs. d. Lower-value jobs appear to be compensated above market rates. 13. What does a -1 (negative one) correlation coefficient mean? a. There is a positive relationship between job evaluation points score and pay levels. b. There is an inverse relationship between job evaluation points score and pay levels. c. Your regression equation has a very steep upwards slope. d. There is very little relationship between job evaluation points score and pay levels. 14. In exploring solutions to job evaluation problems, which is NOT one of the main steps? a. Check that benchmark jobs are equivalent to market comparator jobs. b. Determine if the wrong factors have been included in the job evaluation system. c. Adjust the point totals of the outlier jobs to improve the correlation coefficient. d. Examine whether jobs have been badly evaluated. 15. You have been asked to provide rationale for clustering jobs into so-called pay grades. Which of the following is NOT likely to be included in your rationale? a. Clustering of organization tends to reduce labour costs. b. It facilitates the administrative process; one pay range can cover several jobs. c. Slight changes in job content do not necessarily trigger a review. d. It accounts for the fact job evaluations are to a large degree subjective in nature 16. Which of the following terms refers to the actual minimum and maximum pay rate, in dollar terms, for all the jobs that fall in a particular pay grade? a. pay range b. broadbanding c. market anchor d. step progression 17. The pay policy line is used to establish which of the following pay structure components? a. midpoint of the pay range 3|Page Strategic Compensation Quiz b. range spreads c. overlaps between ranges d. pay grade size 18. Your company determined the following pay range associated with a financial service manager: maximum $100,000; midpoint $90,000, and minimum $80,000. What is the range spread percentage for this job? a. not enough information provided b. 20 percent c. 25 percent d. 22.22 percent Short Answer (12 marks) Explain the following main steps in developing a job evaluation system using the point method. Consider what is important in each step and/or how you would proceed in completing the step. 1. 2. 3. 4. Identify the compensable factors (3 marks) Scale the factors (2 marks) Weight the factors & assign points (3 marks) Apply & test the system (4 marks) Note: You can complete this on-line by highlighting the correct multiple choice question and keyboarding your short answer question. This can be submitted through the drop-box. Or, you may print it out and submit it prior to the deadline date/time. 4|Page \f\f