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WGU Organizational Behaviors and Leadership Exam - Topic 3 Question 12 Discussion

A company decided to change their work organization from individuals working independently to production teams. However, they decided to continue their same approach to performance evaluation and salary adjustment, which had worked well since the performance evaluation process had been improved. After a year's experience with the new team structure, it was obvious that productivity had decreased. A consultant's conclusion was that the approach to performance appraisal and assigning rewards was a cause of the teams' failure to perform.Which approaches to performance evaluation and granting rewards would have been more effective in this situation?Select one.
C) Group performance evaluation with group rewards
A) Individual and group evaluation with individual and group rewards
B) Group performance evaluation with individual rewards
D) Individual performance evaluation with group rewards

WGU Organizational Behaviors and Leadership Exam - Topic 3 Question 12 Discussion

Actual exam question for WGU's Organizational Behaviors and Leadership exam
Question #: 12
Topic #: 3
[All Organizational Behaviors and Leadership Questions]

A company decided to change their work organization from individuals working independently to production teams. However, they decided to continue their same approach to performance evaluation and salary adjustment, which had worked well since the performance evaluation process had been improved. After a year's experience with the new team structure, it was obvious that productivity had decreased. A consultant's conclusion was that the approach to performance appraisal and assigning rewards was a cause of the teams' failure to perform.

Which approaches to performance evaluation and granting rewards would have been more effective in this situation?

Select one.

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Suggested Answer: C

When transitioning to a team-based structure, it is essential to align performance evaluations and reward systems with the new organizational setup. Group performance evaluation with group rewards would have been more effective in this situation because it fosters a sense of collective responsibility and encourages collaboration among team members. Individual rewards can create competition rather than cooperation, which can undermine team productivity and morale.


Hackman, J. R. (2002). Leading Teams: Setting the Stage for Great Performances. Harvard Business Review Press.

Katzenbach, J. R., & Smith, D. K. (1993). The Wisdom of Teams: Creating the High-Performance Organization. Harvard Business Review Press.

Contribute your Thoughts:

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I feel like option D could lead to issues since individual evaluations might not reflect the team's effort, but I can't recall the exact reasons we discussed for that.
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Sean
5 days ago
I practiced a similar question where group evaluations were emphasized, and I think option A could work too, but it might complicate things with mixed rewards.
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Dolores
10 days ago
I'm not entirely sure, but I think individual rewards might create competition within teams, which could be counterproductive. Maybe option B isn't the best choice?
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Emmett
15 days ago
I remember discussing how group dynamics can really impact performance, so I think option C could be effective since it aligns rewards with team success.
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