Take Home Exam on Compensation and Reward Systems: Instructions

Question Set

This final individual take home exam is to be completed without any assistance or discussion. You will be asked to submit an academic integrity pledge with your work. Please note that academic misconduct results in significant consequences, ranging from a mark of 0 on the evaluation component to failure of the course. Additional information is available in the course outline. Your submission should be typed, double-spaced, using 12 point Times New Roman font. You are expected to put all of your work into your own words. The only question that may require additional research is question 6, and standard referencing requirements will apply in that case. Please ensure that all of your answers are complete and are well thought out. There is no page limit for this examination. You are permitted to use your course text and course notes. Question Set: 1. You are a new Compensation Manager at ZtoM Company. The company’s President has recently had a candid conversation with you, stating, “I’m open to hearing your opinion; however, I’m not sure that compensation systems are really that important in our organization.” Take this opportunity to explain to the President about how effective reward and compensation systems align with the President’s overall goal of organizational success. 5 2. Review the vignette “Fun and Games at the Exhibition” on p. 134 of the course text. a. Use course concepts to explain what is happening at this CNE boothb. Use course concepts to recommend changes to address the identified issues3. Discuss why it is important for a compensation system to be viewed within the context of a “total rewards” system. In answering this question, assume the viewpoint of employer, prospective employee, and employee 4. Read the Alliston Instruments case on page 465-467 of the course text. Based on the poor results, management has decided to discontinue the current performance pay system and replace it with a better system. What would you recommend and why? For purposes of this question, assume that you have the authorization to implement a new system and do not limit your response to what you feel you could negotiate approval for.  5. An HR colleague has just stated “Flexible benefits plans are better for employers and employees, and should replace fixed benefits plans”. Do you agree or disagree with this statement? Explain why or why not. In answering this question, ensure that you address the viewpoint of both employer and employee. /6 6. Reward and compensation systems can have powerful effects on behavior, but the behavior we get is not always the behavior we want. There are three main types of reward problems that can occur in organizations. Select one of these types of reward problems, explain what it means, and use a personal example to illustrate the concept. If you’re not able to use a personal example, you can find a documented example to illustrate the concept; however my hope is that you don’t need to go to this level of effort to respond to the question. Lastly, provide your thoughts on how organizations can prevent this type of reward problem from occurring. /6 7. Zinzee Corp. is a medium-size organization that manufactures digital circuit boards. The technology and manufacturing processes Zinzee uses evolved at a rapid pace over the past few years, to support customers that require smaller batches of circuit boards, and given the number of new competitors that have entered the market. Zinzee hires primarily university graduates with leading edge skill sets to ensure that new technology and manufacturing practices are continuously adapted at the firm. Zinzee’s recruitment strategy also supports the organization in offering enhanced circuit board features at a faster pace than its competitors, which results in growing market share. Having employees work closely with customer representatives to ensure that the customer’s design concepts are executed in high quality and efficient manner has been a key reason for Zinzee’s success to date. a. With reference to the Strategic Framework for Compensation, identify the managerial strategy you feel is most appropriate for Zinzee Corp. A strong response will identify and assess several of the contextual factors identified in the framework, and utilize supporting evidence from the above company description, in justifying the choice of managerial strategy.  b. Based on the managerial strategy you identified in part a, what compensation mix would you recommend for Zinzee Corp.? Identify and explain each component of the mix, including specifying and justifying an appropriate percentage (totaling 100%) for each component of the mix 8. Why is communication such an important aspect of an effective compensation system? In responding to this question, use examples to illustrate specific aspects of the system that require effective communication and what can happen if communication is inadequate. Conversely, explain what positive outcomes can occur if effective communication is employed.  One of the learning objectives/outcomes for this course is to enhance professional communication skills, in written and verbal formats. Accordingly, an additional 6 marks will be allocated to the professionalism of communication utilized throughout your submission.