Methods of job evaluation pdf

Align your grade structures to your organisational goals and HR strategy, by learning how to implement an effective job evaluation and grading system. BSG Conferencing sheila bsgconferencing.

Rather than make changes, HR and reward professionals try to fit the ever changing needs of their employees into a grade system that may not have been reviewed for many years. In an increasingly competitive environment, when you want to attract and retain the best individual employees and high-performers, having an effective and fair job evaluation and grading system is crucial to underpin best-practice reward policies and deliver pay-for-performance Course Objective The aim of this course is to provide a sound knowledge of job evaluation skills and an understanding of how job evaluation fits into the broader context of human resources management, and to provide practical skills in the application of job evaluation systems.

Most employers want to ensure that they can attract, retain and motivate the best employees and teams, and this course will cover the key areas in job evaluation tools and techniques and best-practice processes for evaluating jobs and placing them accurately into your overall grade structure. This course will explore the different types of job evaluation systems that are used in South Africa and the rest of the continent today, and give you a detailed familiarization with the concept of job evaluation and an appreciation of the most commonly used best-practice approaches.

You will gain hands- on practice in evaluating jobs. This course is suitable for both HR generalists and remuneration specialists, and the aim of this course is to enable you to get a better understanding of how to evaluate jobs, and how to design a grade structure that will help you to attract, motivate and retain employees.

The course is also suitable for managers from HR, finance, administration and line managers interested in job design and job evaluation and grading. Course Methodology You will be provided with the information you need to establish a job evaluation system and make changes to your grading structure. You will have an opportunity to test various ideas and to establish what may work for you. This course will involve working in teams on practical case studies to gain detailed hands-on experience of evaluating jobs using the various tools and techniques that will be discussed throughout the course.

A degree Communication. He is currently conceptualizing his Doctor of Business Administration DBA thesis, focused on strategic learning and development. Its primary goal is to produce a systematic comparison between jobs in order to assess their relative worth, usually for the purpose of establishing a rational pay structure. Effective job evaluation methods can produce several managerial benefits for an organization.

The primary reasons for implementing a job evaluation system include:. This assessment of similarity can be useful when determining pay, promotions, lateral moves, transfers, assignments and assigned work projects , and even internal party issues.

It is important for all employees to perceive their workplace as a fair and equitable place, as well as a provider for equal opportunities for all employees. This means that the process for determining pay and promotional opportunities should remain transparent. Compensation is undoubtedly a significant factor in employee satisfaction in the workplace. Public employee pay is posted publicly, and employees discussing their pay amongst each other is unavoidable.

This means that should there be compensation inequities in your company pay system, word will travel quickly. Effective job evaluation aims to remedy the potential of this occurring by fairly evaluating the value of all jobs equitably. Particularly in larger companies, though required in all forms of an organization, all these factors must be equitable and not dependent on managers or departmental whims.

Employees will always compare notes, especially in terms of what is expected of them. When an employer keeps this in mind as they develop their employee systems, they are bound to win employee loyalty and commitment.

Employees highly value having a clear , well-defined career path and appreciate tangible opportunities for growth and development. Effective job evaluation takes this into consideration and outlines the responsibilities of each job with long-term succession planning in mind.

The ranking is allotted as per departmental level, means as per the importance of the job. Hence, they need to choose other methods of evaluation while for small companies, it is perfect as it will take less time, money, and other resources. In this process, job evaluation is done by considering common key elements of different jobs which are then weighted and ranked.

For the entire process, a monetary valve is allotted to every element of the job and as per these monetary values, individual jobs are weighted. After that, the evaluator becomes able to get the total value of each job. The factor Comparison method is more accurate as well as systematic as compared to the earlier method. It helps to evaluate the different jobs accordingly different factors. But it is complicated as well as expensive, which endow some organizations to keep away from it.

It is a better option for larger organizations as these can bear more expenses. But it has not been used by organizations, even the large because it is quite complicated to use as the application of weighted and monetary values may comprise bias of rankers. This method is well-appreciated.

In it, every job is considered individually on the basis of factors like effort, responsibility, skill, and working conditions. All those assembled into a single point score for every job.

The point ranting method has been used by many organizations for years as it ensures a quantitative value for every job. But again, it has disadvantages as it needs to regulate updating which requires extra more.

Thereafter, points are allocated to each of these factors. Weights are given to factors depending on their importance to perform the job.

Points so allocated to various factors of a job are then summed. Then, the jobs with similar total of points are placed in similar pay grades. The sum of points gives an index of the relative significance of the jobs that are rated. Determine the jobs to be evaluated. Jobs should cover all the major occupational and levels of responsibility to be covered by the method.

Decide on the factors to be used in analysing and evaluating the jobs. The number of factors needs to be restricted because too many factors result in an over-complex scheme with overlap and duplication between factors. Define the factors clearly in written. This is necessary to ensure that different job raters interpret a particular factor in the same sense. Finally, money values are assigned to points. For this purpose, points are added to give the total value of a job.

Its value is then translated into money terms with a predetermined formula. This method is a combination of both ranking and point methods in the sense that it rates jobs by comparing them and makes analysis by breaking jobs into compensable factors.

This system is usually used to evaluate white collar, professional and managerial positions. First of all, the key or benchmark jobs are selected as standards. The key jobs selected should have standards contents, well accepted pay rates in the community, and should consist of a representative cross-section of all jobs that are being evaluated-from the lowest to the highest paid job, from the most important to the least important—and cover the full range of requirements of each factor, as agreed upon by a Committee representing workers and management.

The factors common to all jobs are identified, selected and defined precisely. The common factors to all jobs are usually five, viz. Once the key jobs are identified and also the common factors are chosen, the key jobs are, then, ranked in terms of the selected common factors. The next step is to determine a fair and equitable base rate usually expressed on an hourly basis and, then, allocate this base rate among the five common factors as mentioned earlier. Following is a specimen of base rate and its allocation scheme: 5.