CHAPTER 8
1. As defined in the text, job evaluation is
(a) measuring an employee’s performance
(b) management’s evaluation of the effectiveness of the job
(c) the extent to which a job description fits the actual tasks of the job
(d) the process of deciding the relative importance of one job as compared to another
2. A job evaluation program serves all but which of the following purposes for an organization?
(a) orders jobs based on worth
(b) assists in establishing an equitable and competitive pay structure
(c) establishes grounds for firing
(d) identifies promotional opportunities
3. Of the following, which one is not a major reason to implement a job evaluation program?
(a) to provide a rational basis for negotiating pay rates when bargaining collectively with a
recognized union
(b) to develop a base for a merit or pay-for-performance program
(c) to justify an existing pay structure or to develop one that provides for internal equity
(d) to take advantage of legislation that permits incumbents to have lower income taxes
4. Job evaluation methods can be categorized into two groups:
(a) market-pricing guideline methods and market-pricing method
(b) ranking methods and stub selection procedure
(c) point-factor comparison methods and general point-factor comparison methods
(NMTA, NEMA)
(d) whole job methods and compensable factor-based methods
5. Which of the following job evaluation systems is the easiest to implement but potentially the
most discriminating?
(a) ranking
(b) market guideline
(c) point factors
(d) classification
6. A major disadvantage of the ranking system is that it
(a) is difficult to use
(b) provides no yardstick for measuring the relative value of jobs
(c) is too easily understood
(d) is too flexible
7. Which of the following job evaluation methods is not one of the whole job method?
(a) ranking method
(b) market-pricing method
(c) factor comparison method
(d) position classification method
8. Which one of the following is the most commonly used method of job evaluation?
(a) market pricing
(b) point factor
(c) classification
(d) factor comparison
9. Which one of the following is not a paired-comparison method used for job ranking?
(a) deck of cards
(b) alternation ranking
(c) merit guide chart
(d) slotting
10. Which of the following is not a key element of the Smyth-Murphy guide line method of
market pricing?
(a) a guide line scale
(b) a job description containing scope data
(c) market pricing
(d) a vertical guide line display
11. Which one of the following statements best describes compensable factors?
(a) statements that define the specific attributes of a particular job more precisely
(b) relatively abstract and complex qualities and features that relate to all kinds of jobs
(c) skills used in solving growing related problems in jobs
(d) physical working conditions surrounding a job
12. When using compensable factors to evaluate jobs, it is common practice to classify the factors
into three major categories. Which of the following is not one of these categories?
(a) universal factors
(b) subfactors
(c) degrees or levels
(d) regional factors
13. To what job evaluation system did the National Metal Trades Association make special
contribution?
(a) point factor
(b) grade
(c) ranking
(d) factor comparison
14. When reviewing the objectives of the organization, it is often apparent that some compensable
factors are more important than others. When this occurs, each factor must be
(a) redistributed
(b) weighted
(c) amended
(d) classified
15. Compensable factors differentiate jobs by all but which one of the following?
(a) knowledge
(b) seniority
(c) difficulty
(d) responsibility
16. The experience, training, education, and ability required to perform a job under consideration—
not with the skills an employee possesses is the definition of
(a) skill
(b) effort
(c) responsibility
(d) working conditions
17. Possibly the most powerful use of a point-factor job evaluation method occurs when it
(a) recognizes market rates of pay in determining factor weights
(b) is used for a factor-comparison analysis
(c) separates exempt and nonexempt jobs
(d) identifies gender difference requirements
18. A job evaluation method has three factors: skill (S), effort (E), and working conditions (W) A
committee of employees stated that (S) was the most important or critical factor, (E) was worth
60 percent of (S), and (W) was worth 40 percent of (S) Using a normalizing procedure, what
would be the correct weight for the factor (W)?
(a) 40
(b) 60
(c) 20
(d) 30
19. The guide chart profile method for establishing salary standards uses all of the following except:
(a) know-how
(b) problem-solving
(c) accountability
(d) effort
20. The suggested percentage difference according to Weber’s Law regarding “just perceptible
differences” is
(a) 5%
(b) 10%
(c) 15%
(d) 20%
21. The job analysis method PAQ can also be used as a
(a) point-factor job evaluation method
(b) whole job ranking method
(c) classification method
(d) multiple regression-based evaluation method
22.
The maturity curve method of job evaluation and pay administration uses all but which one of the
following values for recognizing an incumbent’s rate of pay?
(a) years since baccalaureate degree
(b) performance appraisal rating
(c) age
(d) job evaluation scores
23. The maturity curve approach to job evaluation uses _______ to define the Y axis
(a) dollars
(b) years since degree
(c) experience
(d) kind of occupation
Questions 24 through 27 have to do with the data shown in the table below The data in that table indicate
the factor-by-factor evaluation of three executive jobs within Acme Industries
Job
VP VP
Factor President Sales Manufacturing
1 Training and Skills 120 100 100
2 Impact 100 80 70
3 Subordinate Population 80 50 70
TOTAL 300 230 240
24. Which of the following types of job evaluation methods was apparently used to evaluate the three
jobs?
(a) the “Guideline” method
(b) the Factor Comparison Method
(c) the Point Factor Method
(d) the Classification Method
25. How much weight was apparently (reasonable inferences are necessary) given in the evaluation
procedures to the adverse characteristics of the physical environment in which the three
executives work?
(a) none
(b) 5%
(c) 10%
(d) 15%
26. Which of the three factors actually carried the most weight in the evaluation of the three jobs?
(a) training and skills
(b) impact
(c) subordinate population
(d) none of these
27. Which of the three factors actually carried the least weight in the evaluation of the three jobs?
(a) training and skills
(b) impact
(c) subordinate population
(d) none of these
Match the definition of a specific compensable factor listed in the right-hand column with the appropriate
compensable factor listed in the left-hand column:
Compensable Factor Factor Definition
28. Working Conditions (a) The experience, training, education, and
ability required to perform a job under
consideration—not with the skills any
employee may possess
29. Responsibility (b) The measurement of the physical or
mental exertion needed for performance
of a job
30. Skill (c) The extent to which an employer
depends on the employee to perform the
job as expected, with emphasis on the
importance of job obligation
31. Effort (d) The physical surroundings and hazards
of a job, including dimensions such as
inside vs outside work, excessive heat or
cold, fumes, and other factors relating to
poor ventilation
Chapter 8