Asked by Protima Sarker on Sep 24, 2024
Verified
Straight line pay for performance
A) Provides incentives to increase performance
B) Eliminates the perverse incentive to hide information
C) Does not link compensation to where the performance is relative to the budget target
D) All of the above
Straight Line Pay
A method of compensation that is consistent and unchanging over a period, contrary to performance-based pay.
Performance Incentive
A reward system designed to encourage workers to achieve specific performance targets.
Perverse Incentive
A perverse incentive is an incentive that has an unintended and undesirable result that is contrary to the interests of the incentive makers.
- Identify strategies for mitigating budget gaming in performance compensation.
- Analyze the impacts of compensation strategies on organizational behavior and individual performance.
Verified Answer
MK
mumbi kinyua1 day ago
Final Answer :
D
Explanation :
Straight line pay for performance provides incentives to increase performance, eliminates perverse incentives to hide information, and does not link compensation to where the performance is relative to the budget target, making all of the provided options correct.
Learning Objectives
- Identify strategies for mitigating budget gaming in performance compensation.
- Analyze the impacts of compensation strategies on organizational behavior and individual performance.