When an Organization's Performance Has Frequent Highs and Lows, but Individual

question 37

Multiple Choice

When an organization's performance has frequent highs and lows, but individual performance is fairly stable, and performance measures are clear, the most effective compensation mix is to offer _____.

• A)a base pay with low incentives and a variety of rewards
• B)monetary rewards with large incentives
• C)a large base pay and low-incentive pay
• D)a wide range of rewards and significant incentives

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Definitions:

Plant Expansion

The process of increasing the physical size or production capacity of a manufacturing facility or plant.

Monetary Resources

Financial assets or liquid assets available to a business or individual, including cash, bank deposits, and investments.

Operations Changes

Refers to alterations in the business processes or activities that can impact a company’s performance or strategy.

Reorganization Cost

Expenses associated with restructuring a company, which might include legal fees, severance pay, and costs for dismantling and reassembling departments.