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Flashcards in Ch 3 *Janine*DONE Deck (30)
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1
Q

What are the common bases for pay structure?

A
  1. Content of work
  2. Skills and knowledge needed to perform the work
  3. Relative value for achieving the org’s objectives
2
Q

What is internal alignment?

A

The relationships between the jobs within a single org.

Equity theory: Perception vs. objective measure

3
Q

Job structure should do what?

A

support and motivate behaviour towards the org’s strategy and workflow

4
Q

What is pay structure?

A

The array of pay rates for different work or skills within a single org;the number of levels, and the criteria used to determine these differences create the structure.

5
Q

What is workflow?

A

The process by which goods and services are delivered to the customer

6
Q

Equity theory

A

my pay for my inputs vs. others pay for their inputs. How employees view the fairness of what they are paid in relation to other employees.

7
Q

How do internal job and pay structures motivate employee’s behaviour?

A

By providing pay increases for promotions
more challenging work
greater responsibility

8
Q

What is line of sight?

A

Ability of employee understand the links between his/her work and the co. strategy.

9
Q

What is pay structure?

A

The array of pay rates for different work or skills within a single org. created through the use of:

  1. Number of pay levels
  2. Differentials
  3. Criteria
10
Q

What is the pay differences between levels called and what is the intention behind it?

A

Differentials: to motivate people to strive for promotion to a higher paying level.

11
Q

What types of things would qualify for a differential?

A

KSAs
Work conditions
Value of the job to the company

12
Q

What must companies have before creating a pay structure?

A

Job structure

13
Q

What is the most common bases for determining internal structures?

A

Content: tasks, behaviours, KSAs
Value: the relative contribution of a job to the org. objectives.

14
Q

How are jobs ranked in content based structures?

A

On the bases of skill, complexity of tasks/responsibilities of the job.

15
Q

How are jobs ranked in a value based structure?

A

On the relative contribution of the skills, tasks and responsibilities of a job to the org.
May include external market pressures or agreed rates through collective bargaining.

16
Q

What is use value of the job reflect?

A

the value of goods and services an employee produces in a job.

17
Q

What is exchange value?

A

What ever wage the employer and employee agree on for a job.

18
Q

What does job-based structure look at?

A

Work contenct:Task, behaviour, responsibilities

19
Q

What does person-based structure focus on

A

The employee: KSAs, competencies

20
Q

What are the factors that shape internal structures?

A
  1. External factors: ie. economic pressures; govt. policies, laws, regulations; stakeholders; cultures, customs
  2. Organization factors: ie. strategy; technology; human capital; hr policy; employee acceptance; cost implications.
  3. Internal structure; ie. structure; levels; differentials; criteria.
21
Q

What is marginal productivity theory?

A

That unless an employee can produce something of value from his/her job equal to the value received in wages, it will not be worthwhile for an employer to hire that employee.

22
Q

What is human capital?

A

The education, experience, knowledge, abilities and skills that people posses.

23
Q

How are organizations undergoing structural changes?

A

People who work at an org. are not employees (suppliers, temp staff, contractors)
Delayering: reduce unnecessary work that does not contribute to the org, and enlarge jobs.

24
Q

What are internal labour markets?

A

Rules and procedures that determine the pay for different jobs within a single organization and that allocate employees to those different jobs - combine external and organizational factors.

25
Q

The internal labour market refer to the rules and procedures that…

A
  1. determine pay for different jobs.

2. allocate employees to those jobs.

26
Q

What are the dominant influences on pay for entry jobs?

A

External factors.

27
Q

What are the strategic choices among structure options?

A

Tailored (well-defined jobs; small differentials) vs. loosely coupled (flexible jobs, adaptable, changing)
Egalitarian (Few levels; small differentials - flatter, teams, cooperation) vs. hierarchical (many levels; large differentials, tailored, supports individual performers, opportunities for promotion, more competitive)

28
Q

What is tournament theory?

A

Effects motivation and performance - how big the difference between pay steps effects how motivated employees to achieve that next step - the bigger the step, the bigger the motivation. - Not good for team work environments

29
Q

What is institutional theory?

A

Adoption of other company’s pay systems as best practices when they have little fit or value to the other company.

30
Q

What are the consequences of pay structures?

A

Efficiency
Fairness
Legal Compliance