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Compare and contrast the PF and traditional models of validity Answer

Compare and contrast the PF and traditional models of validity.

Ans) Despite of the fact that psychology has got a long history in using standardized assessment instruments in order to quantify aptitude, attitude, achievement, personality, and psychopathology the publication of Cronbach and Meehl’s “Construct Validity in Psychology Tests” showed the research for the contemporary theory in the earnest of mid – 20th century. The traditional operation of validity followed a statistic concept related with the validity coefficient which being usually represented as r. This coefficient represented the magnitude of the relationship between that of a predictor(the test score) and some criterion(an outcome measure). In contrary to this effect the PF model approach has got its remarkable advantage to the traditional approach over the fact that the model conceptualizes validity as the degree to which respondents can be shown to engage in a predictable set of psychological processes during assessment with those processes dictated as a priori by the nature of the instruments used and the context in which the testing takes place.

The traditional approach not only differs with the PF approach with respect to how validity is conceptualized but also with respect to empirical emphasis. In contrary to the traditional approach wherein correlational methods are used to quantify the relationship between test score and criterion, the PF model uses experimental methods to manipulate variables that moderate test score – criterion relationships, enabling researchers to draw more definitive conclusions regarding the impact of underlying processes such as an autobiographical memory search in response to a self- report questionnaire item and moderating variables such as motivation, mood state on test scores.

Thus, it can be said in short that the Pf model shifts the emphasis of validity theory and research from outcome to a process and from correlation to experimentation. By complimenting traditional validity assessment with a process-driven approach we will not only improve psychology’s assessment procedures but also enhance researchers’ understanding of test bias and test score misuse by illuminating the underlying intra- and interpersonal dynamics that lead to differential performance in different groups.

A wide variety of criteria are predicted by psychological tests, some overt and readily observable, others hidden and only detectable indirectly. When an observable criterion is assessed, the validity coefficient is said to be an index of criterion validity, when an unobservable construct is assessed, the validity coefficient is an index of construct validity. The Pf framework reverses the usual procedure for dealing with extraneous variables that may alter psychological test scores rather than regarding them as problematic, the PF model conceptualizes variables that are seen as confounds in traditional validity assessment as opportunities for manipulation, exploration, and focused analysis – windows on underlying processes that would otherwise remain hidden.

To a substantial degree, the psychological activities in which people engage when responding to psychological tests are determined by the nature of the instruments themselves – by the types of questions asked and the tasks and activities required of the respondent.

The two models are integrated in some ways which can be determined with the help of few variables such as adequate outcome and process validity, adequate outcome but not process validity, adequate process but not outcome validity and inadequate outcome and process validity.

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The Correlation between Divorce and Social Problems Answer

Divorce has been the legal action among married people for terminating their marriage relationship. This may be called as the dissolution of marriage along with has been basically, legal action, which finishes marriage prior death of either spouse.

The Correlation between Divorce and Social Problems


Infidelity/extra marital affair like this can be named as the one of the main cause of increase in the divorce ratio. New age society has got several separate avenues that allow people for getting closely acquainted. There has been enhanced interaction within workplace. Routine clubs, gymnasiums and many more also give chances of greater interaction with rest of the people.

In day along with age of mobile telephony as well as Internet chatting, this has been much easier along with simpler to make friends along with remain in regular touch with them. All it has been combined can outcome in lesser time for anyone to spend with his/her spouse along with greater interaction with the outsiders. It has been one of the main causes for increment in the extra marital affairs along with their regular effect on rate of divorce.
Physical Abuse

Nowadays day lifestyle has been full of pressures on all the aspects of human social life. There can be pressures at workplace, peer pressures to have the best lifestyle along with so on and so forth. It can outcome in the individual leading the highly stressed out lifestyle. As stress accumulates, this automatically searches for avenues for letting out steam.

Easiest avenue has been one’s spouse. Therefore the smaller argument can turn in the big fight along with this can outcome in implementing violent techniques on part of husband/wife. Longer term physical abuse may be the main factor in decision to file for divorce.
Emotional Abuse

Emotional abuse has been different from their physical version. Nevertheless this may have far reaching consequences for sufferer. Scars of the emotional abuse cannot be visible however they may be quite deep so as to mar one’s personality for the lifetime. There may be many causes behind the emotional abuse.

This may be irritated personality about spouse/just jealousy owing towards few aspect. Irrespective of causes behind that, emotional abuse may be actually a traumatic experience. This has been the other main factor in breakup of the marriages.
Incompatible Personalities

At times there can be nothing wrong with marriage itself. This can be that both provided individuals have two actually best along with honest people. Yet differences can crop up. Let us not forget that individualism has been the hallmark of the age. Therefore lesser compatibility within husband along with wife has been turning out be the ever enhancing cause for the divorce.
Child Marriages

It has been a quite essential cause of committing divorce. Kids particularly females have been married in their younger age along with in addition with old person. Such a process outcomes in the mental along with physical pressure on the females as well as outcomes in divorce after sometime. Males in addition suffer as they have to work hard for earning when married in the younger age therefore negative impacts happens.
Some of the other causes may be;
• lesser commitment towards marriage
• lesser communication among spouses
• Alcohol Addiction
• Inability for managing or resolving the conflict
• lesser maturity
• Interference from the parents or the in-laws
• Intellectual Incompatibility
• Sexual Incompatibility
• Insistence about sticking towards the traditional roles along with not permitting room for the individual growth

Impact of divorce on the Family Structure

Decision of divorce causes major changes in lives of all the family members. Few disorders have been inevitable. Major trouble fields have been:

Money has been the bigger issue for several people. Cost of divorce has been very high along with 2 households cost more than 1.

Being lesser concentrated at work along with spending time away from job for the divorce associated appointments takes their toll.

Running home has been tougher as you no longer have the partner to help with the routine chores.

Several people have periods about depression, sadness, anger along with fatigue.
People who have been experiencing breakup of their marriage may expect of having the wider variety of feelings. Following complaints have been general:
• Bad concentration
• Night mares
• Sleep issues
• Fatigue
• Mood swings
• Feeling tense
• Nausea
• Gaining or losing weight
• Feeling nervous
• Somatic complaints

Impacts on Children

Divorce impacts the kid or children on several levels. While child has been impacted through divorce, few of the methods that the child may express impacts of divorce may be (Whitehead B.D., 2008):
– Larger volume of anger, directed both to rests along with themselves
– Regular breaking of the rules
– Drug along with alcohol abuse
– Destructive behavior
– Regular guilt
– Issues with defiance
– Enhancing isolation/withdrawal from the friends along with family
– Thoughts about suicide/violence
– Enhanced or initial sexual activity
–Failure towards acknowledge responsibility.

Divorce impacts few kids more than others. But, all children would be impacted through divorce. Things, which parents do and do not do, would greatly impact actually how much child has been affected through divorce. Additionally, gender, age, psychological health along with maturity of the child would in addition all affect how divorce impacts child (Amato, 2008).

Divorce impacts the structure along with operating procedures of the family. In few cases, the divorce would mean that the kid literally loses parent, just for seeing them once/twice in one year, or lesser. This may in addition cause child to lose contact with family of non custodial parent, like kid can be lesser along with lesser probably to see such grandparents, uncles, aunts/cousins. Basic logistics, like holidays, birthday parties along with school activities in addition have impacted through divorce.

Divorce rates in the United States

Divorce rates within US have held much steady along with even dropped somewhat since previous decade. Whereas new information has just been present by year 2011, trend has been clearer: CDC places rate at 3.6 per 1,000 people for the year 2011, in comparison with the 6.8 marriage rate. In the year 2000, divorce rate had been at 4.0, showing the overall lowering trend.

Psychological affects aspects of divorce

With women have been more educated, economically independent along with aware about their rights, divorce rates have been enhancing and related to the psychological ramifications (J. K. Trivedi, 2009). Fact, which widowed or divorced women suffer from differing psychological stressors, has usually been ignored.

This is concluded in several studies, which those stressors might be harbingers about psychiatric illnesses for instance, depression, anxiety, substance dependence, along with hence could be taken into consideration by the treating physicians, social workers along with rests who come for aiding of that women.

Psychological effects about divorce on the women have been far reaching however one of most common emotions has been guilt. It may be true when woman initiated divorce or not. Women in both the scenarios can feel at fault for not working hard sufficiently for making marriage work.

When woman initiated divorce, she can feel the sense about guilt for demise of marriage. It has particularly been true when there have been children included like women can feel like though they have been responsible for breaking up the family as well as causing the emotional trauma.

Finish of marriage has been devastating to both the parties. Women, particularly, can feel saddened through sudden loss of their marriage. Their dreams for upcoming years can be wrapped up in their marriage along with now that hope for future seems to be gone. Enhanced responsibility associated to the realization, which life they envisioned no longer presets correlates with fact, which women have more probably to suffer from depression 3 years after the divorce.

After the divorce, one can experience the greater deal of anxiety. Future has been uncertain along with thus, so has been one’s security. Women can experience more stress like they can have solely/mostly relied on their husbands for the financial support. Trying figuring out how to support themselves along with usually times the family can prove to be tough. In-spite this, there have been several things one may do to lessen the anxiety involving eating healthy, meditating along with exercising.

Life after the divorce may be tough transition for all the parties included, involving children, and close friends along with rest of the family members. Divorce shows the main life change as well as may take time to adjust also.

Being divorced after years of marriage has hardly been the easier experience for the currently divorced participant. Additionally dealing with its individual feelings of finish of the relationship, divorcees would usually have to tackle several of another problem after divorce.

From alimony as well as child support payments to child visitation schedules along with rest of the considerations such as property division, divorce may bring on the whole bunch about rest of the responsibilities, which needs few serious commitments about time along with adjustments of daily routines.

For the parent without legal as well as physical child custody, not seeing the child daily might be one of tougher adjustments after divorce. This has not been uncommon for divorcees to feel depressed, bitter along with angry, which they do not have the custody of their child/children.

Whereas those feelings have been general within divorcees, this has been essential to remember to not let those feelings affect time spent with the kids. Divorce has been tough enough like this has been on the children along with they must not need to serve like sounding boards for frustrations of one of the parent’s.

Spiritual aspects of divorce

Last phase of death about marriage, one the wise mentor would certainly be willing to address has been spiritual aspect about divorce. Learning from past, dealing with present along with planning for future should involve seeing for the God’s grace along with guidance.

Being the mentor, we would come to understand huge variety of thinking of people in regard to forgiveness along with repentance. When divorce has been seen like the sin, all the partners are required to seek the God’s pardon for his/her part in failure of marriage.

Most general reason divorced persons may not forgive their ex‐spouse has been as they find that tougher to claim the forgiveness of the God for themselves. They have been regularly counting their transgressions for seeing who has been the bigger sinner, self/spouse. They forget to see for both evils that they have suffered along with sins that they have committed.

Being the mentor, it has been a time to bring mentees steeped within guilt towards Psalm for grasping breadth of the grace of the God. King David had been the adulterer along with murderer however afterwards had been called as the man “after heart of God.” Jesus dealt with woman caught in adultery within John along with this can be where we take amentee for understanding their attitude to human failure as well as sin.

Expect 1 of 2 extreme positions: either the unrepentant heart/they have been too much burdened with the guilt along with anger that they may not grasp the judgment of the God about sin. Both requires God’s forgiveness one having the tough discipline about law as well as other having gentle wooing about grace of God.



Amato, P. R. (2008). Parental Divorce, Marital Conflict and Children’s Behavior Problems: A

Comparison of Adopted Behavior Problems: A Comparison of AdoptedBehavior Problems: A

Comparison of Adopted and Biological Children”. Social Forces, Volume 86, Number 3, M, Sociology Department, Faculty Publications .

  1. K. Trivedi, M. (2009). Psychological Aspects of Widowhood and Divorce. Medknow

Publications , 37-49.

Whitehead B.D., P. D. (2008). Life Without Children. The State of Our Unions- The Social

Health of Marriage in America .

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Dell uses the CR5 chip in some of its laptop computers. The prices for the chip during the past 12 months were as follows Answer

Dell uses the CR5 chip in some of its laptop computers. The prices for the chip during the past 12 months were as follows:

Month Price per Chip ($)
January 1.8
February 1.67
March 1.7
April 1.85
May 1.9
June 1.87
July 1.8
August 1.83
September 1.7
October 1.65
November 1.7
December 1.75
  1. Use a 2-month moving average on all the data and plot the averages and the prices.
  2. Ans:
Month Price per Chip ($) 2-month moving average
January 1.8
February 1.67
March 1.7 1.735
April 1.85 1.685
May 1.9 1.775
June 1.87 1.875
July 1.8 1.885
August 1.83 1.835
September 1.7 1.815
October 1.65 1.765
November 1.7 1.675
December 1.75 1.675
December + 1 Month 1.725


  1. Use a 3-month moving average and add the 3-month plot to the graph created in part (a).
  2. Ans:
Month Price per Chip ($) 3-month moving average
January 1.8
February 1.67
March 1.7
April 1.85 1.72
May 1.9 1.74
June 1.87 1.82
July 1.8 1.87
August 1.83 1.86
September 1.7 1.83
October 1.65 1.78
November 1.7 1.73
December 1.75 1.68
December + 1 Month 1.70




  1. Which is better (using the mean absolute deviation): the 2-month average or the 3-month average?
  2. Ans:
Month Price per Chip ($) 2-month moving average Error Absolute
January 1.8
February 1.67
March 1.7 1.735 -0.035 0.03
April 1.85 1.685 0.165 0.17
May 1.9 1.775 0.125 0.13
June 1.87 1.875 -0.005 0.00
July 1.8 1.885 -0.085 0.09
August 1.83 1.835 -0.005 0.00
September 1.7 1.815 -0.115 0.12
October 1.65 1.765 -0.115 0.12
November 1.7 1.675 0.025 0.03
December 1.75 1.675 0.075 0.08
MAD 0.08


Month Price per Chip ($) 3-month moving average Error Absolute
January 1.8
February 1.67
March 1.7
April 1.85 1.72 0.13 0.13
May 1.9 1.74 0.16 0.16
June 1.87 1.82 0.05 0.05
July 1.8 1.87 -0.07 0.07
August 1.83 1.86 -0.03 0.03
September 1.7 1.83 -0.13 0.13
October 1.65 1.78 -0.13 0.13
November 1.7 1.73 -0.03 0.03
December 1.75 1.68 0.07 0.07
MAD 0.09


The lower MAD is the more accurate, i.e. has lower error. So, forecast using the 2-month average is better.




  1. d) Compute the forecasts for each month using exponential smoothing, with an initial forecast for January of $1.80. Use α = .1, then α = .3, and finally α = .5. Using MAD, which α is the best?


Month Price per Chip ($) Forecast using exponential smoothing ( alpha = 0.1) Error Absolute
January 1.8 1.8 0.00 0.000
February 1.67 1.8 -0.13 0.130
March 1.7 1.79 -0.09 0.087
April 1.85 1.78 0.07 0.072
May 1.9 1.79 0.11 0.115
June 1.87 1.80 0.07 0.073
July 1.8 1.80 0.00 0.004
August 1.83 1.80 0.03 0.026
September 1.7 1.81 -0.11 0.106
October 1.65 1.80 -0.15 0.146
November 1.7 1.78 -0.08 0.081
December 1.75 1.77 -0.02 0.023
MAD 0.072




Month Price per Chip ($) Forecast using exponential smoothing ( alpha = 0.3) Error Absolute
January 1.8 1.8 0.00 0.000
February 1.67 1.8 -0.13 0.130
March 1.7 1.76 -0.06 0.061
April 1.85 1.74 0.11 0.107
May 1.9 1.77 0.13 0.125
June 1.87 1.81 0.06 0.058
July 1.8 1.83 -0.03 0.030
August 1.83 1.82 0.01 0.009
September 1.7 1.82 -0.12 0.124
October 1.65 1.79 -0.14 0.136
November 1.7 1.75 -0.05 0.046
December 1.75 1.73 0.02 0.018
MAD 0.070




Month Price per Chip ($) Forecast using exponential smoothing ( alpha = 0.5) Error Absolute
January 1.8 1.8 0.00 0.000
February 1.67 1.8 -0.13 0.130
March 1.7 1.74 -0.03 0.035
April 1.85 1.72 0.13 0.133
May 1.9 1.78 0.12 0.116
June 1.87 1.84 0.03 0.028
July 1.8 1.86 -0.06 0.056
August 1.83 1.83 0.00 0.002
September 1.7 1.83 -0.13 0.129
October 1.65 1.76 -0.11 0.114
November 1.7 1.71 -0.01 0.007
December 1.75 1.70 0.05 0.046
MAD 0.066


We see that MAD is lowest for Forecast using exponential smoothing (alpha = 0.5), and so this is better.

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A scheduling system for minimizing inventory by having components arrive exactly at the moment they are needed and finished goods Answer

A scheduling system for minimizing inventory by having components arrive exactly at the moment they are needed and finished goods shipped as soon as they leave the assembly line best describes a _____ strategy.






Answer: Just in Time

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What attributes would you have in a table to describe an entity called BOOK? What would you use as the primary key Answer

What attributes would you have in a table to describe an entity called BOOK? What would you use as the primary key? What would be the relationship between AUTHOR and BOOK? Assume that a book can only be written by one author. 



Attributes:  Book_Id, Book_Name, Author_Name, Book_Year of Publication, Published_By, Book_Description

Primary Key – Book_Id

Relationship – Author can have many books written by him. so, there is one to many relationship between author and Book.

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Discuss how the negotiation experience actually happened, then consider the negotiating techniques that you have learned about in the past 4 weeks of class Answer

Write a three- to five-page paper about any negotiation that you have been involved in. For this assignment, discuss a negotiation that did not result in the best possible solution for all parties. This negotiation can relate to a work experience, a family or friend experience, or any other experience where you were an active member of a negotiation.

Discuss how the negotiation experience actually happened, then consider the negotiating techniques that you have learned about in the past 4 weeks of class, and then offer an explanation of how you could have conducted the negotiation better. Explain where your new learning from the course might have been helpful in this previous negotiation.

Deliverable: A three- to five-page paper outlining your response to the above assignment


Negotiation Exercise

Negotiation is a process by which compromise or agreement is reached while avoiding argument. In any discussion or negotiation exercise, individuals aim to achieve the best possible outcome for them. Negotiating skills are required in day to day situations and circumstances between managers and subordinates, between different departments, between companies and their suppliers, customers, and unions, and in many other situations.

Couple of years back, I was involved in a negotiation process with one of our customers wherein we were trying to sell our company’s equipment to them to be used in their factory premises. There was couple of our competitors that were also bidding for the same and trying to under-cut us on the prices. Ours being a larger organization, we were not able to compete on the prices and instead we were trying to sell on our company’s strengths and competitive advantage. We had couple of rounds of discussions with the client’s purchase department and were finding it really tough to compete on the prices.

Our company’s vice president, sales and global head of the product management group had taken a personal interest in this sale as it affected the company’s performance and such deal also affected the company’s stock performance. Though, the market was growing every year, we still didn’t want to lose this customer because it is always more profitable to close and service one large customer than several of the smaller ones.

Internally, we brainstormed the proposal and revisited the product specifications, delivery and installation, ongoing maintenance, long-term support and maintenance. We had several validations meeting with influential managers on the customer side and we felt that we had come up with the best estimations given various constraints. Finally, we had the final negotiation in which we had our company’s vice president, sales and global head of the product management group, customer’s head buyer, their vice president of manufacturing, and vice president of finance, and technical support people from their side.

The whole negotiation started with the functional and technical comparisons of our product with that of the competitors. They had planned well in advance and the whole exercise seemed to us that they wanted to negotiate and get the lowest possible price from us. Though, we were all well prepared for the meeting, they kept on highlighting the lower specifications or the functionalities of our products, The main points that they brought to the negotiating table were:

Our machines were higher in short-term price in the year one and year two.

Competitor’s machine gave higher output and throughput.

There was less maintenance cost incurred from the competitor’s machine as compared to ours. In fact, they kept on bringing this point during the entire discussion.

Our competitor had a pretty good off-the-shelf solution as well as pretty good output for the type of the machine that we had quoted to them.


There was a lot of internal negotiation among them over which of the options is most preferable. They kept on telling us that we were more expensive and the total cost of ownership for our machines was higher as compared to the competitors. They tried to push us for discounts and kept us on back foot with their demands throughout the discussion. Our vice president, sales tried to present more rational data but they all had come prepared and kept their demand of deep discounts of 10-15 % till the end. For us, that deal was important as this would have impacted our quarter end results and so, without trading and negotiating further, our VP sales agreed to offer discount little less than what they were asking for. They immediately accepted the offer and the deal were completed. I, being part of the whole negotiation, felt that we conceded far too early and easily during the negotiation. We should have kept the pressure on them by providing as many factual information’s about the product as possible. We also had not prepared the facts and information comparison sheets about our products and competitor’s product prices. We all had these information’s in our mind and according to me, the way these were presented to our customers was a bit haphazard which worked to their advantage. Also, our VP Sales and products seemed very desperate to close the deals at any cost and so they gave in too easily.

I would start the negotiation on a very positive note by thanking them to take out time to answer all our questions prior to the negotiation. I would also admit to the fact that our competitors were offering a pretty good off-the-shelf solution and make a point that though our company offered a customized solution, it also gave the customers a flexibility to adapt the solution as per their needs and requirements. I would also stress the point related to installation. The machines that are easily customized also prove to be relatively easy to install. As far as maintenance was concerned, we had a huge advantage in terms of our machine’s reliability. Our competitor’s machine output was a bit higher than ours, but our machines’ uptime was higher and thus probably made up for the difference. In terms of upkeep, our machines break down much less frequently and as a result last longer because of how they were engineered.

Though our “price” was a bit higher, but because of the reliability and flexibility of our machines, they had less downtime, easier long-term upgrades, and longer shelf life. I would also start addressing each of their concern. It is important to understand that effective negotiations are built on trust and establishing a good relationship and trust early in the cycle of negotiation pays off. I would go about addressing their following questions in a systematic manner.

If I were to redo this negotiation once again, I would do couple of things differently than we did in this negotiation. I would send out an e-mail to the head buyer, vice president of manufacturing, vice president of finance, and all the other people in their organization we had been selling to, and ask them if they could provide us some time to answer our queries so that we could better understand their needs for the upcoming negotiation. We would also send the questions in advance so that they could prepare for those questions in advance. This would help us to remove lots of surprises during the negotiation process.

Their managers sounded as if we would lose the business if we didn’t reach agreement with the customer in this negotiation. In this case, losing the business meant loss of revenue to the tune of $2 M on a yearly basis and in the long run, it would cumulate to a loss of around $10 M over the next 5 years. In addition, by not closing this deal, our company would have incurred the costs associated with the 3 months’ preparations time that we had spent working on the proposal, understanding the RFP and other associated cost such as staff time, product demonstrations, and so on.

Is there an off-the-shelf solution that fits the customer’s needs?

Delivery and Installation Elements Questions

How long will the customer’s operation be down while the machine is being installed?

How often does the machine break down?

How difficult would it be to train the customer’s team to run it?

What do maintenance costs look like in years two, three, and four?

How easily upgradable is the machine?

What is the machine’s expected life?Finally, I would agree to the following price and conditions.Volume: Five machinesUpgrades: 35% discountWarranty – 2 years of warranty, maintenance and support    


References:Dietmeyer, Brian J., and Rob Kaplan. (2004). A Breakthrough 4-Step Process for Effective Business Negotiation. Kaplan Professional.

Business School Publishing (2003). Negotiation. Harvard Business Press. Books24x7. Web.

If we compare this negotiation process with the earlier ones, this negotiation was well structured and followed a systematic “question and answer” session to address each of the client’s concerns. Customer felt that they were getting value for the money spent and this negotiation ended with both sides coming away with more than they had anticipated at the beginning of the negotiation.

Installation support: 200 hours

Service: Five days x 24 hours

Price: $435,000 per machine with the customized solution as per the customer’s needs

They had the price as one of their primary concern. I would explain the rationale about the pricing that our company had followed. Also, I would compare the price performance parameters on each of the product’s attributes so that they get fairly a good idea about where our product stands vis-à-vis our competitors. Finally, to take care of their concern related to the machine pricing, we would give them a discount of 5 % based on the market condition and explain them that they were our valued customers and we were offering them the said discount for our long term business relationship in the past.

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How might both the manufacturer and the end-consumer be harmed utilizing this concept? Document your sources Answer

The agile supply chain utilizes the idea of “speed to market” in order to get the product to the end-consumer as quickly as possible as we often see happen when new technology becomes available (i.e. cell phones, flat screen TV’s, etc).  How might both the manufacturer and the end-consumer be harmed utilizing this concept?   Document your sources.  Respond to at least two of your fellow classmates’ postings.


One way to achieve this streamlined system is utilizing a time-based approach.  Time-based competition and “speed to market” can be a powerful competitive advantage.  However, as Harrison & van Hoek (2011) stated “speed for the sake of speed can create unnecessary costs, and can cut corners, leading to poor quality” (p. 183).  When implementing time-based competition, it should be implemented using the customer’s perception.  In many circumstance, companies might not need to change their speed because their P-time is less than their D-time.  However, if a change is needed, it is important to analyze your current process by constructing a flow chart of the actual process and activity times.  Then, eliminate non-value adding activities.

As Erb (2013) stated “while a configurable system offers faster speed to market, lower cost and eliminates maintenance headaches, it must be managed correctly.  Otherwise, you might be replacing old problems with new ones” (para. 1).  Brown & Karagozoglu (1993) stated “the key question is, just how does management “get it right,” without cutting corners and jeopardizing the total [improvement] process?” (para. 19).  If companies begin speed to market initiatives they need to do so in a structured and coordinated way.  Otherwise, companies might produce designs that do not meet the customer’s needs, build products that are too complex to manufacturer reliably, increase defects, spend unnecessary money expediting parts that are not needed yet, and the entire supply chain system can promote more non-value add time.


Harrison, A. & van Hoek, R. (2011). Logistics management and strategy: Competing through the supply chain (4th ed).  London, England: Prentice Hall Financial Times. ISBN: 978-0-273-73022-4

Brown, W. B., & Karagozoglu, N. (1993). Leading the way to faster new product development. The Executive, 7(1), 36. Retrieved from

Erb, L. (2013). An ongoing evolution. Best’s Review, (11), 74. Retrieved from


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Select and summarize an article on merit pay. What are the criteria for obtaining merit pay Answer

Select and summarize an article on merit pay. What are the criteria for obtaining merit pay? Do you think that merit pay can be fairly administered? How is favouritism prevented? Do you think that merit pay should be included as part of an organization’s compensation package? Why or why not? Give reasons.



 Article – Hansen, F. (2008). Merit-Pay Payoff? Workforce Management, 15475565, Vol. 87, Issue 18.


The article focuses on the emphasis and investments made by employers in merit pay as part of their organizational strategy to produce higher employee productivity and organizational performance. Most companies assume that merit pay and individual performance-based pay plans produce higher employee productivity and organizational performance but these companies not really test the actual impact of performance-based rewards on employee’s productivity and company’s financial results. There are few empirical studies from academic world that suggest that assumptions underlying merit pay are wrong. Individual pay for performance does not improve organizational performance except in very limited cases. This article also throws light on the need of separating correlation and causation of merit pay increases and organizational performance. Group bonuses, profit sharing and gain sharing plans are more effective forms of performance-based pay than merit pay or individual incentives. This article tries to emphasize that individual pay for performance may not have a direct correlation with the organizational performance and it is important for the companies to separate correlation and causation of merit pay increases and not look at the Merit Pay as a solution for all their problems.

Merit pay is a compensation system related to an individual’s wage or salary increase based on a measure of the person’s performance accomplishments during a specified time period. Merit pay plans fail to recognize the high degree of task interdependence among employees. Merit pay raises base salary based on employee’s performance. Merit Pay is used as a mechanism for motivating behaviours so as to improve employee’s performance and also to increase employee’s retention in organizations. In merit pay, employees receive an annual percentage increase in their pay, based on the outcome of a formal performance review (Lawler & Jenkins, 1992). In a merit pay system, employees who receive the most favourable performance reviews receive the greatest percentage increases. Organization believes that the employees will see the connection between performance and the size of their annual increase.

According to Lawler and Jenkins (1992), there is ample evidence that a well-designed and properly administered merit pay program can be highly effective in motivating employees. Merit pay systems, however, are often not effective because they are either poorly designed or administered improperly. A clear theme in the compensation literature is that pay systems should be designed to support the strategic objectives of an organization (Flannery et al., 1996; Lawler, 1990). Thus, if an organization’s strategy is driven by customer service, the merit pay system should encourage positive customer service behaviour. A common mistake that many organizations make is that they put very little thought on the analysis of what behaviours should be encouraged by the merit pay system.

For the proper administration of a merit pay system, an organization must be able to accurately measure performance differences among employees. At times, This becomes impossible to do with accuracy especially when jobs require a great deal of collaboration or interdependence. If performance cannot be accurately measured, a performance-based merit pay system doesn’t serve its purpose. Merit pay system also needs to be administered fairly. Employees must believe there is some validity to the performance-based pay decisions that result from the system (Scarpello & Jones, 1996). Fairness should be perceived by employees that merit increases reflect actual performance differences. Also, for merit pay system to work, the amount of fund allocated for merit pay increases has to be enough to allow the amount of the increases to be perceived as meaningful. According to Lawler (1990), a percentage increase needs to be large enough to be meaningful to employees.

According to me, the merit pay system is a good organizational strategy to produce higher employee productivity and organizational performance but it should be administered well and any kind of favouritism should be avoided at all cost. It should be well designed in all respects so that it can have a meaningful impact on employee performance. Company should also look at the timing of merit pay, so that the employees are able to draw connections between their increase and their performance.




Flannery, T. P., Hofrichter, D. A., & Platten, P. E. (1996). People, performance, and pay: Dynamic compensation for changing organizations. New York: Free Press.

Hansen, F. (2008). Merit-Pay Payoff? Workforce Management, 15475565, Vol. 87, Issue 18.

Lawler, E. E., & Jenkins, D. G. (1992). Strategic reward systems. In M. D. Dunnette & L. M. Hough (Eds.), Handbook of industrial and organizational psychology (2nd ed., Vol. 3, pp. 1009–1035). Palo Alto, CA: Consulting Psychologists Press.

Lawler, E. E. (1990). Strategic pay: Aligning organizational strategies and pay systems. San Francisco: Jossey-Bass.

Scarpello, V., & Jones, F. F. (1996). Why justice matters in compensation decision making. Journal of Organizational Behavior, 17, 285–299.

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What is required to implement an organization’s commitment to social responsibility Answer

What is required to implement an organization’s commitment to social responsibility? What are the main obstacles to implementing socially responsible policies? Name specific actions that can be taken toward increased social responsibility.

An organization’s commitment to social responsibility takes the form of policies or pronouncements on what the organization intends to do to address its social impact in the community where it operates, which includes its stakeholders, suppliers and the general public. Implementation involves the day-to-day operations, processes, activities, decisions and practices which will ensure that the organization’s socially responsible commitments and policies are carried out and met. Come up with ways for the organization to integrate socially responsible policies into day-to-day operations and individual activities. This can be done by involving middle managers, employees, and other key players in brainstorming sessions. Develop training programs geared toward understanding and clarifying socially responsible policies and how they relate to the organization’s goals, strategies, individual functions and activities.