Total Quality Management Questions and Answers – Recognition and Reward

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This set of Total Quality Management Multiple Choice Questions & Answers (MCQs) focuses on “Recognition and Reward”.

1. The acknowledgement of an employee’s outstanding performance is known as _______
a) Recognition
b) Punishment
c) Reprimand
d) Rebuke
View Answer

Answer: a
Explanation: The acknowledgement of an employee’s outstanding performance is known as Recognition. Recognition helps in providing boost to the hard work put up an employee at work.

2. Which of the following option is incorrect with reference to recognition of an employee at work?
a) It is a form of positive motivation
b) The workforce feels accepted
c) The workforce feels they are in winning role
d) It will discourage the workforce
View Answer

Answer: d
Explanation: Recognition is an acknowledgement of an employee’s outstanding performance. It is a form of positive motivation. The workforce feels accepted and in a winning role.

3. Recognition is a way to sustain employee’s interest.
a) True
b) False
View Answer

Answer: a
Explanation: Recognition is a way to sustain employee’s interest. The workforce put a lot of effort in the organization’s progress. By recognizing them, it helps in sustaining their interest in the progress of the organization.
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4. Recognition is a way of making the workforce work for __________ of the organization.
a) Continuous improvement
b) Discontinuous improvement
c) Continuous downfall
d) Discontinuous downfall
View Answer

Answer: a
Explanation: Recognition is a way of making the workforce work for Continuous improvement of the organization. Continuous improvement is the prime motivation for succeeding in the competitive world.

5. Recognition in an organization can be __________
a) Financial or psychological
b) Financial only
c) Psychological only
d) Financial or psychological or both
View Answer

Answer: d
Explanation: Recognition in an organization can be financial or psychological or both. It is important to recognize the workforce to motivate them to work for the continuous improvement of the organization.
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6. Rewards provided in an organization are ______ in nature.
a) Tangible
b) Intangible
c) Corrupt
d) Corrupt and Intangible
View Answer

Answer: a
Explanation: Rewards provided in an organization are tangible in nature. Some of the examples of rewards provided in an organization are increased salaries, commissions, cash bonuses, and gain sharing.

7. Recognition is also a way in which a company shows its appreciation for better performance.
a) True
b) False
View Answer

Answer: a
Explanation: Recognition is also a way in which a company shows its appreciation for better performance. It helps in establishing mutual trust with the workforce. An empowered and motivated organization will always be successful.
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8. Which of the following are the types of reward system in an organization?
a) Interior and exterior
b) Intrinsic and exterior
c) Interior and extrinsic
d) Intrinsic and extrinsic
View Answer

Answer: d
Explanation: Intrinsic and extrinsic are the two types of reward system in an organization. Intrinsic rewards are related to feelings of accomplishment or self-worth. Extrinsic rewards are related to pay or compensation issues.

9. Which of the following is not a type of extrinsic reward?
a) Profit sharing
b) Gain sharing
c) Employment security
d) Quality based promotions
View Answer

Answer: d
Explanation: Profit sharing, Gain sharing, and Employment security are the types of extrinsic rewards provided in an organization. Quality based promotions belong to the category of intrinsic rewards.
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10. When the performance of an organization is driven by promoting awareness, alignment, teamwork, communication and involvement, it is known as ________
a) Gain sharing
b) Profit sharing
c) Loss sharing
d) Profit and Loss sharing
View Answer

Answer: a
Explanation: When the performance of an organization is driven by promoting awareness, alignment, teamwork, communication and involvement, it is known as Gain sharing. The plan commonly applies to single facility or site.

11. When an organization shares its financial success and encourages employee identity with organization’s success, it is known as __________
a) Gain sharing
b) Profit sharing
c) Loss sharing
d) Profit and Loss sharing
View Answer

Answer: b
Explanation: When an organization shares its financial success and encourages employee identity with organization’s success, it is known as Profit sharing. The plan typically applies organization-wide.

12. Which of the following is an incorrect way of providing recognition in an organization?
a) Create a ‘best ideas of the year’ booklet
b) Feature the quality team of the month
c) Develop a ‘behind the scenes’ award
d) Feature the worst performer of the month
View Answer

Answer: d
Explanation: To create a ‘best ideas of the year’ booklet, to feature the quality team of the month and to develop a ‘behind the scenes’ award are the best ways of providing recognition in an organization. If an employee is not performing well, it is the responsibility to help him align with the organization’s goals.

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Manish Bhojasia - Founder & CTO at Sanfoundry
Manish Bhojasia, a technology veteran with 20+ years @ Cisco & Wipro, is Founder and CTO at Sanfoundry. He lives in Bangalore, and focuses on development of Linux Kernel, SAN Technologies, Advanced C, Data Structures & Alogrithms. Stay connected with him at LinkedIn.

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