External competitiveness strategies

Correct Answer: Benchmarking salaries against regional and industry standards.

Benchmarking salaries against regional and industry standards is the best example of an external competitiveness strategy because it ensures that the company's compensation packages are aligned with the broader market. This approach helps attract and retain talent by offering salaries that are competitive relative to what other employers in the same region and industry are offering. The other options focus on internal factors such as performance-based bonuses, employee engagement through recognition programs, and aligning compensation with the company's internal hierarchy, which are more related to internal compensation strategies rather than external competitiveness.

Correct Answer: Utilizing industry salary benchmarking

The HR team is utilizing industry salary benchmarking, which involves referencing salary data from industry standards to ensure their compensation packages are competitive. Implementing a pay-for-performance system focuses on rewarding employees based on performance rather than market data. Conducting internal salary audits involves reviewing the organization's current pay structures internally without referencing external data. Adopting flexible benefit plans emphasizes meeting diverse employee needs rather than adjusting pay scales based on industry benchmarks.

Correct Answer: Enhancing the company's employer brand to attract external candidates.

Enhancing the company's employer brand to attract external candidates is an external competitiveness strategy because it focuses on positioning the company in the labor market to attract top-tier talent from outside the organization. This approach targets external candidates to gain a competitive advantage in hiring the best talentImproving internal communication channels to increase employee engagement is more related to internal competitiveness strategy, focusing on enhancing internal processes and employee relationsOffering comprehensive training programs to develop current employees' skills also falls under internal competitiveness, aiming to improve employee performance and development within the organizationRedesigning the performance appraisal system to better evaluate employee contributions is an internal strategy aimed at improving internal evaluation and management processes.