What is a self-funded reward?
A)A reward that results from money the employee puts into the company in terms of stock purchases.
B)A reward that results from money the team saves the company as a result of the team's efforts.
C)A reward that comes out of the budget of the unit or division from which the team originates.
D)A reward that the company sets aside for the best performer for that period.

Question

Quizplus · Accepted Answer

A self-funded reward is a reward that is funded by the savings generated by the team's efforts or contributions. In other words, the reward is paid for by the money or resources that the team has saved the company or organization. Option A is incorrect because it refers to stock option plans in which an employee invests in company stocks, which is not a self-funded reward. Option C is incorrect because it implies that the reward is funded by the unit or division, which may not necessarily be true. Option D is also incorrect because it suggests that the company provides the reward independently of the efforts of the team or individual, which is not a self-funded reward.

What Is a Self-Funded Reward