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WorldatWork Regulatory Environments for Compensation Programs Sample Questions:

1. Which one of the following should be included in a compensation guide for managers?

A) Individual salary rates of employees in their department
B) Information on common management processes
C) The consequences of various disciplinary measures

2. Regarding fixed and variable costs, what are Finance's primary concerns?

A) Variable costs often have a heavier focus than fixed costs, which applies to all areas, including compensation.
B) Fixed costs are not a concern because they cannot be changed, so the focus is primarily on variable costs.
C) Fixed costs and variable costs are equally important and both should be kept to a minimum.
D) Fixed costs must be kept to a minimum, but variable costs can fluctuate since they tend to correlate with revenue.

3. What is one reason that it is important to perform a periodic audit of processes and results?

A) It determines what information and data sources will be used in the audit
B) It is required by the Department of Labor
C) It builds in a process of continuous improvement
D) It is required in determining increase budgets

4. The concept of bona fide occupational qualifications has most direct relevance to which of the following components of employee compensation programs?

A) Job specifications
B) Salary surveys
C) Job descriptions
D) Performance evaluations

5. What best describes the most effective tactic for getting stakeholders' attention and buy-in?

A) Explain in precise terms to each stakeholder how your position is the most realistic approach to the issue or concern
B) Talk to the individuals they report to in advance and gain their support so the stakeholders realize upper management already supports your position
C) Schedule a meeting of all stakeholders and make a strong case that overcomes all of their objections
D) Ask them to review or provide feedback, especially on something you have done for them

Solutions: