Deemed University 2010 M.B.A University: Lingayas University Term: IV Title of the : Compensation Management - Question Paper

Roll No. ..

 

Lingayas University, Faridabad

MBA 2^nd Year (Term IV)

Examination Nov, 2010

Compensation Management (BA - 226)

[Time: 3 Hours] [Max. Marks: 100]

 

Before answering the question, candidate should ensure that they have been supplied the correct and complete question paper. No complaint in this regard, will be entertained after examination.

 

Note: All questions carry equal marks. Attempt five questions. Question 1 is compulsory. Select two questions from Section B & two from Section C.

 

SECTION A

Part A

Q-1. Select the correct answer of the following multiple choice questions:

(1x10=10)
(i) Extrinsic rewards refer to

(a) payment of lump sum amounts (b) skill based compensation

(c) indirect compensation (d) non-financial rewards

(ii) Combination of time rate as well as piece rate is also known as

(a)   Gantt task plan (b) universal taste plan

(b)   Taylor task plan (d) combined task plan

(iii) Some business houses pay to sales people both _______ as compensation

(a)   wage & salary (b) wage & bonus

(b)   salary & non-monetary (d) salary commission

(iv) Deductions from salary, other than statutory deductions include

(a)   Deductions made towards making of the company losses suffered due to natural calaminities (b) Salary advance

(c) festival advance (d) housing loan advance

(v) Individuals are concerned about the money paid to them & also the relationship of this amount to what others are paid

(a) Budget approach (b) balance sheet approach

(c) equity approach (d) market approach

(vi) Incentives paid to the employee depend on

(a) loyalty exhibited by individual worker (b) productivity

(c) sales (d) cost reduction efforts

(vii) Which plan works on the principle of Choose your own reward system.
(a) employee stock option plan (b) Scanlon plan

(c) cafeteria compensation plan (d) Priestmans plan

(viii) View that assumes home countrys and ways of doing things are best

(a) ethnocentric attitude (b) cultural shode

(c) polycentric attitude (d) geocentric attitude

(ix) Defined benefits plan is

(a) medical benefits (b) retirement benefits

(C) fringe benefit (d) incentive plan

(x) Which pay commission recommended hike in HRA by 30%

(a) III pay commission (b) V pay commission

(c) IV pay commission (d) VI pay commission

Part B

(a) Compensation is effective motivational tool. Explain? (5)
(b) Write a short note on how to make benefits programs effective? (5)

SECTION B

 

Q-2. (a) Define compensation management & its role in development of the organizations. (10)

(b) Critically examine the economic wage theories & also their relevance in todays world? (10)

Q-3. (a) What do you understand by job evaluation? What are the various techniques for evaluating the job? (10)

(b) What is internal equity? Explain in detail the methods used in internal & external equity? (10)

Q-4. (a) Explain the various methods to measure the incentive plan. (10)

(b) Explain the situations in which cafeteria compensation plan is more effective. (5)

(c) Discuss the various components of the compensation package? (5)

 

SECTION C

Q-5. (a) Design the compensation package for executives that book like special package?. (10)
(b) Who are special groups? Discuss the various compensation strategy faced by special groups. (10)

Q-6. (a) Three tests for any source of competitive advantage are align, differentiate & add value. Discuss whether these tests are difficult to pass. Can compensation really be a source of competitive advantage? (10)

(b) What do you understand by compensation policy & its various objectives. (10)

Q-7. (a) What is expatriate pay? Using global guide explain its determinants & various approaches. (10)

(b) Write a short note on the (i) compensation of professionals & knowledge workers. (ii) compensation of R & D staff. (10)

Q-8. (a) Write a note on impact of trade unions on wage & salaries of the employees? (10)

(b) Explain the working of different institutions present in current scenario related to reward system? (10)