Download GTU (Gujarat Technological University) MBA (Master of Business Administration) 2015 Winter 3rd Sem 2830302 Compensation Management Previous Question Paper
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER 3? ? EXAMINATION ? WINTER 2015
Subject Code: 2830302 Date: 05/12/2015
Subject Name: Compensation Management
Time: 10.30 AM to 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. 6
Q.1 (a)
1.
Process of identifying the rates of pay in the labour market for comparable jobs are
known as
A. Job evaluation B. Market Rate Analysis
C. Pay Progression D. Basic Pay Fixation
2
The Concept of Total Reward Management is
A. It is the same as total
remuneration
B. About issuing statement to employees
setting out total value of their work
C. Rewarding the entire
team which works
D It is about ensuring that the provision of
rewards takes account of both financial and
non financial rewards
3.
Analytical job evaluation :
A. Provides a scientific base
of grading jobs
B. Breaks down jobs in to factors as a basis for
comparing levels of responsibility
C. Guarantees that equal pay
is achieved
D. Uses job analysis to determine internal
relativities
4.
A broad banded grade and pay structure haves
A. Limited numbers of
grades
B. Equal numbers of grades
C. Narrow grades D. All of the above
5.
Contribution related pay
A. Relates pay to
individual?s contribution
B. It is another name of ?Performance Related
Pay?
C. Relates pay to the
achievement of agreed
objectives
D. Relates pay to both (Results) output and
inputs (Competency)
6.
Which of the following is not Transactional Communal reward in Towers Perrin
Model ?
A. Pensions B. On job learning
C. Holidays D. Flexibility
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1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER 3? ? EXAMINATION ? WINTER 2015
Subject Code: 2830302 Date: 05/12/2015
Subject Name: Compensation Management
Time: 10.30 AM to 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. 6
Q.1 (a)
1.
Process of identifying the rates of pay in the labour market for comparable jobs are
known as
A. Job evaluation B. Market Rate Analysis
C. Pay Progression D. Basic Pay Fixation
2
The Concept of Total Reward Management is
A. It is the same as total
remuneration
B. About issuing statement to employees
setting out total value of their work
C. Rewarding the entire
team which works
D It is about ensuring that the provision of
rewards takes account of both financial and
non financial rewards
3.
Analytical job evaluation :
A. Provides a scientific base
of grading jobs
B. Breaks down jobs in to factors as a basis for
comparing levels of responsibility
C. Guarantees that equal pay
is achieved
D. Uses job analysis to determine internal
relativities
4.
A broad banded grade and pay structure haves
A. Limited numbers of
grades
B. Equal numbers of grades
C. Narrow grades D. All of the above
5.
Contribution related pay
A. Relates pay to
individual?s contribution
B. It is another name of ?Performance Related
Pay?
C. Relates pay to the
achievement of agreed
objectives
D. Relates pay to both (Results) output and
inputs (Competency)
6.
Which of the following is not Transactional Communal reward in Towers Perrin
Model ?
A. Pensions B. On job learning
C. Holidays D. Flexibility
2
Q.1 (b) Duncan Brown wrote that : ? The alignment of your reward practices
with employee values and needs is every bit as important as
alignment with business goals, and critical to the realization of the
later? ? How can this advice be put in to the effect in the
development and operation of reward system?
04
Q.1(c ) Differentiate between Narrow graded pay structure and Broad
graded pay structures.
04
Q.2 (a) Explain in details the Reward system components and their
interrelationships.
07
(b) Write a note on Towers and Perrin Model of the Total Rewards
Management.
OR
(b) Explain in details the Zingheim and Schuster Model of Total Reward
Management
07
Q.3(a) What is ?convergence and divergence? with respect to international
reward policies ?
07
(b) Differentiate between IES model of Employee Engagement Vs. Hay
group model of Employee Engagement
07
OR
Q.3 (a) What are the various factors affecting pay levels? Explain tournament
theory of Pay system with suitable example.
07
(b) Differentiate between analytical and non analytical job evaluation and
write a brief note on analytical job evaluation methods.
07
Q.4 (a) Why knowledge workers reward packages are considered specially?
What are the approaches can be used to reward knowledge workers?
07
(b) Write a note on Maternity Benefits Act, 1981 explaining it?s scope,
applicability , provisions , exclusions and major amendments.
07
OR
Q.4 (a) Write a brief note on various types of employee benefits HR
department choose to offer these days to the employees.
07
(b) Write a note on Income tax act provisions with respect to salaried
persons and also mention the prevailing income tax slabs at present.
07
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1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER 3? ? EXAMINATION ? WINTER 2015
Subject Code: 2830302 Date: 05/12/2015
Subject Name: Compensation Management
Time: 10.30 AM to 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. 6
Q.1 (a)
1.
Process of identifying the rates of pay in the labour market for comparable jobs are
known as
A. Job evaluation B. Market Rate Analysis
C. Pay Progression D. Basic Pay Fixation
2
The Concept of Total Reward Management is
A. It is the same as total
remuneration
B. About issuing statement to employees
setting out total value of their work
C. Rewarding the entire
team which works
D It is about ensuring that the provision of
rewards takes account of both financial and
non financial rewards
3.
Analytical job evaluation :
A. Provides a scientific base
of grading jobs
B. Breaks down jobs in to factors as a basis for
comparing levels of responsibility
C. Guarantees that equal pay
is achieved
D. Uses job analysis to determine internal
relativities
4.
A broad banded grade and pay structure haves
A. Limited numbers of
grades
B. Equal numbers of grades
C. Narrow grades D. All of the above
5.
Contribution related pay
A. Relates pay to
individual?s contribution
B. It is another name of ?Performance Related
Pay?
C. Relates pay to the
achievement of agreed
objectives
D. Relates pay to both (Results) output and
inputs (Competency)
6.
Which of the following is not Transactional Communal reward in Towers Perrin
Model ?
A. Pensions B. On job learning
C. Holidays D. Flexibility
2
Q.1 (b) Duncan Brown wrote that : ? The alignment of your reward practices
with employee values and needs is every bit as important as
alignment with business goals, and critical to the realization of the
later? ? How can this advice be put in to the effect in the
development and operation of reward system?
04
Q.1(c ) Differentiate between Narrow graded pay structure and Broad
graded pay structures.
04
Q.2 (a) Explain in details the Reward system components and their
interrelationships.
07
(b) Write a note on Towers and Perrin Model of the Total Rewards
Management.
OR
(b) Explain in details the Zingheim and Schuster Model of Total Reward
Management
07
Q.3(a) What is ?convergence and divergence? with respect to international
reward policies ?
07
(b) Differentiate between IES model of Employee Engagement Vs. Hay
group model of Employee Engagement
07
OR
Q.3 (a) What are the various factors affecting pay levels? Explain tournament
theory of Pay system with suitable example.
07
(b) Differentiate between analytical and non analytical job evaluation and
write a brief note on analytical job evaluation methods.
07
Q.4 (a) Why knowledge workers reward packages are considered specially?
What are the approaches can be used to reward knowledge workers?
07
(b) Write a note on Maternity Benefits Act, 1981 explaining it?s scope,
applicability , provisions , exclusions and major amendments.
07
OR
Q.4 (a) Write a brief note on various types of employee benefits HR
department choose to offer these days to the employees.
07
(b) Write a note on Income tax act provisions with respect to salaried
persons and also mention the prevailing income tax slabs at present.
07
3
Q.5 Case Study ? New Delhi Shopping Point
New Delhi Shopping Point (NDSP) has around 300 employees. 200
of them are permanent , while others are outsourced. About 50%
employees of total are females. Since it was new entrant in business,
the retail store preferred to adopt on going job evaluation practices ,
rather forming their own. As a result of which , they failed to take in
to account the cultural diversities and the same eventually lead to
disagreement of reward system and dissatisfaction among employees.
Eventually employees formed Unions with strong opposing political
affiliations.
Company then formed a task force with cross functional team
managers to educate employees on the methods of job correlation
and job pricing with a hope to reduce the conflict as well as to
develop mutually acceptable job evaluation scheme and rationalise
the pay structure. Though it helped to reduce dissatisfaction
fractionally , it failed to eliminate inequity, resulting in dissension
amidst a small section of employees.
In a retail store customer notice dissatisfied employees easily , at
NDSP too faced the same problems ? while employees started
ignoring customer queries, customers were left to guess the price etc.
started taking place. The business of the retail chain started suffering
, which resulted in to the substantial loss of business and reduction in
customers.
Facing successive business losses , the company ultimately decided to
discuss the pay parity issue and to arrive at a solution. It also agreed
to develop a suitable job evaluation scheme, aligned with the
compensation plan. All the Unions agreed to these propositions of
the company and promised to come out of win-win situation. Some
of the key issues suggested by the Unions for the discussion are :
Correctly capture some key feature of the work done by the female
employees , Differentiate between the quality of customer relations
offered by a male and female employees , Understand the success rate
( in terms of the percentage of the customer retention) of male and
female employees etc. A section of female employees also
complained that while their success rate were much better than male
employees they were still paid less compared to them. They also
threatened to refer the matter to the Human Rights Commission , if
conciliation failed.
As a team leader , representing the management , suggest a ways
for the company to achieve pay parity through mutual
consensus.
14
OR
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER 3? ? EXAMINATION ? WINTER 2015
Subject Code: 2830302 Date: 05/12/2015
Subject Name: Compensation Management
Time: 10.30 AM to 01.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. 6
Q.1 (a)
1.
Process of identifying the rates of pay in the labour market for comparable jobs are
known as
A. Job evaluation B. Market Rate Analysis
C. Pay Progression D. Basic Pay Fixation
2
The Concept of Total Reward Management is
A. It is the same as total
remuneration
B. About issuing statement to employees
setting out total value of their work
C. Rewarding the entire
team which works
D It is about ensuring that the provision of
rewards takes account of both financial and
non financial rewards
3.
Analytical job evaluation :
A. Provides a scientific base
of grading jobs
B. Breaks down jobs in to factors as a basis for
comparing levels of responsibility
C. Guarantees that equal pay
is achieved
D. Uses job analysis to determine internal
relativities
4.
A broad banded grade and pay structure haves
A. Limited numbers of
grades
B. Equal numbers of grades
C. Narrow grades D. All of the above
5.
Contribution related pay
A. Relates pay to
individual?s contribution
B. It is another name of ?Performance Related
Pay?
C. Relates pay to the
achievement of agreed
objectives
D. Relates pay to both (Results) output and
inputs (Competency)
6.
Which of the following is not Transactional Communal reward in Towers Perrin
Model ?
A. Pensions B. On job learning
C. Holidays D. Flexibility
2
Q.1 (b) Duncan Brown wrote that : ? The alignment of your reward practices
with employee values and needs is every bit as important as
alignment with business goals, and critical to the realization of the
later? ? How can this advice be put in to the effect in the
development and operation of reward system?
04
Q.1(c ) Differentiate between Narrow graded pay structure and Broad
graded pay structures.
04
Q.2 (a) Explain in details the Reward system components and their
interrelationships.
07
(b) Write a note on Towers and Perrin Model of the Total Rewards
Management.
OR
(b) Explain in details the Zingheim and Schuster Model of Total Reward
Management
07
Q.3(a) What is ?convergence and divergence? with respect to international
reward policies ?
07
(b) Differentiate between IES model of Employee Engagement Vs. Hay
group model of Employee Engagement
07
OR
Q.3 (a) What are the various factors affecting pay levels? Explain tournament
theory of Pay system with suitable example.
07
(b) Differentiate between analytical and non analytical job evaluation and
write a brief note on analytical job evaluation methods.
07
Q.4 (a) Why knowledge workers reward packages are considered specially?
What are the approaches can be used to reward knowledge workers?
07
(b) Write a note on Maternity Benefits Act, 1981 explaining it?s scope,
applicability , provisions , exclusions and major amendments.
07
OR
Q.4 (a) Write a brief note on various types of employee benefits HR
department choose to offer these days to the employees.
07
(b) Write a note on Income tax act provisions with respect to salaried
persons and also mention the prevailing income tax slabs at present.
07
3
Q.5 Case Study ? New Delhi Shopping Point
New Delhi Shopping Point (NDSP) has around 300 employees. 200
of them are permanent , while others are outsourced. About 50%
employees of total are females. Since it was new entrant in business,
the retail store preferred to adopt on going job evaluation practices ,
rather forming their own. As a result of which , they failed to take in
to account the cultural diversities and the same eventually lead to
disagreement of reward system and dissatisfaction among employees.
Eventually employees formed Unions with strong opposing political
affiliations.
Company then formed a task force with cross functional team
managers to educate employees on the methods of job correlation
and job pricing with a hope to reduce the conflict as well as to
develop mutually acceptable job evaluation scheme and rationalise
the pay structure. Though it helped to reduce dissatisfaction
fractionally , it failed to eliminate inequity, resulting in dissension
amidst a small section of employees.
In a retail store customer notice dissatisfied employees easily , at
NDSP too faced the same problems ? while employees started
ignoring customer queries, customers were left to guess the price etc.
started taking place. The business of the retail chain started suffering
, which resulted in to the substantial loss of business and reduction in
customers.
Facing successive business losses , the company ultimately decided to
discuss the pay parity issue and to arrive at a solution. It also agreed
to develop a suitable job evaluation scheme, aligned with the
compensation plan. All the Unions agreed to these propositions of
the company and promised to come out of win-win situation. Some
of the key issues suggested by the Unions for the discussion are :
Correctly capture some key feature of the work done by the female
employees , Differentiate between the quality of customer relations
offered by a male and female employees , Understand the success rate
( in terms of the percentage of the customer retention) of male and
female employees etc. A section of female employees also
complained that while their success rate were much better than male
employees they were still paid less compared to them. They also
threatened to refer the matter to the Human Rights Commission , if
conciliation failed.
As a team leader , representing the management , suggest a ways
for the company to achieve pay parity through mutual
consensus.
14
OR
4
Q.5 Case Study ? Compensation Strategy for Executives at Fortune
Furnitech (FF)
Fortune Furnitech is a state of art modular furniture manufacturer ,
started with an initial Rs. 500 Crore investment, by raising a term
loan from different financial institutions and about 65% contribution
from the traditional family business. The group has a traditional
family history of wood craft manufacturing. Leveraging the family
trend , the present owner Asim Singh and his wife Ragini ventured
into this business. According to Mr. Singh, India has top quality berg
woods in its North ?Eastern states, which are imported by countries
such as the US. However, Indians use them as firewood , because of
lack of awareness. The company launched an ambitious plan to
manufacture and sell hardwood furniture worldwide, as their study
indicated that the Indian market for furniture is still unorganized, and
that the affluent class used imported furniture made out of
concentrated wood dust or waste products.
To achieve this goal, the company recruited the best designers,
business heads, and production people worldwide. Many designers
were either , Italian ?born or trained in Italy. The biggest challenge
the company faced was in designing managerial compensation.
Management compensation received attention primarily because of its
performance implications and strategic fit in Fortune Furnitech. The
HR manager claimed that it had a positive effect on the company?s
financial performance and recommended the appropriateness of
different compensation for specific strategic situations. However, he
could not convince the top management of the need to formulate an
executive compensation packaged accordingly.
Asim Singh only considered such alignment for executives on board,
arguing that their achievement was traceable . The HR Manager
argued that , compensation cost in the company was the second
largest expense in the category following the cost of raw materials
and other implements. Hence, it had to be managed strategically ,
aligning with the performance of the organization and its fit with
overall organizational strategy. He supplied extensive literature to
support his argument. He complained that the organization did not
have a well documented compensation philosophy , despite this
evidence. Some incentives were also counter productive. He argued
that it is time to develop executive compensation , deemphasizing the
immediate financial gains and tagging it with long range strategy of
the organization . After listening to the HR head?s argument , the
CEO directed him to develop a model that may work in the
organization
Imagine you are the HR Manager . Design the appropriate pay
model for executives of the organization.
14
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This post was last modified on 19 February 2020