Why Do Deming and Other Quality Experts Think PFP Is

question 60

Multiple Choice

Why do Deming and other quality experts think PFP is a bad idea?

• A)Performance appraisal diverts attention away from the systems related to the quality of the product or service.
• B)PFP places too much emphasis on getting employees to do their jobs right the first time.
• C)PFP links rewards valued by the employee to organizational outcomes valued by the employer.
• D)Performance appraisal decreases the intensity of competition among individual workers.
• E)PFP only enhances organizational performance.

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Definitions:

Unrestricted

Refers to funds or resources that are not subject to externally imposed restrictions and can be used by the organization for any purpose.

Donated

Items or assets that are given without any expectation of payment or benefit in return.

Endowment Fund

Financial assets donated to institutions or organizations with the stipulation that the funds are to be invested and the principal remains intact.

Restricted Fund

Denotes funds that are earmarked for a specific purpose by donors or grantors, limiting their use to certain activities or projects.