Job Evaluation: Group Eight
Job Evaluation: Group Eight
Job Evaluation: Group Eight
GROUP EIGHT
PRESESNTATION 1
JOB EVALUATION
INTRODUCTION
DEFINITIONS
PROCESSOF JOB EVALUATION
TECHNIQUES/METHODS
ADVANTAGES AND DISADVANTAGES
CONCLUSION
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INTRODUCTION
Meaning of the word job?
Why job evaluation?
conclusion
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Question1:
what do we mean by
the word ‘job’?
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Key definitions:
Job: a piece of work, especially a specific task done as part of
the routine of one's occupation or for an agreed price
(dictionary.com)
Evaluation: The process of examining a system or system
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Why job evaluation?
In an organization, different employees perform
different jobs and salary is also not the same. But
how do companies decide the importance and
hierarchy of jobs. The answer is job evaluation. Job
evaluation is done on the basis of the value of the
particular job and how important it is to the
organization. One cannot judge the worth of a job
unless it is evaluated to make visible the
distribution of rewards where credit is due in order
to bridge the discrepancies that occur in
organization in terms of remuneration and reward
system.
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Purpose of job evaluation
The purpose of job evaluation techniques is to
measure the relative worth of jobs so that the
relationship between the jobs can be
expressed in salary and wages scales, based
on logical, ordered system. ‘Job evaluation’ is
a term used in general way for a number of
techniques that are in different forms. These
techniques entail analyzing and assessing the
content of jobs so that they may be classified
in an order relating to one another and to the
marketplace.
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Question2:
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Objectives of job evaluation
To establish impartial judgement
To promote employee goodwill
To select employees more accurately
To establish satisfactory wage and salary
To determine the rate of pay for each job
To provide management with a basis for
proper control
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Principles of Job Evaluation
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PROCESS OF JOB EVALUATION
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METHODS OR TECHNIQUES
There are four basic methods of Job evaluation:
Ranking Method
Classification Method
Point method
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Ranking method:
This method is one of the simplest to administer.
According to this method, jobs are arranged from
the highest to lowest, in order of their value or
merit to the organisation. Jobs are compare to each
other based on the overall worth of the job to the
organization. The “worth” of the job is usually
based on the judgement of skill, effort (physical
and mental), responsibility (supervisory and fiscal )
and working conditions. Jobs are usually ranked in
each department and then the department rankings
combined to develop an organizational ranking.
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The following table is a hypothesis illustration
of ranking of jobs
Table: Array of jobs according to the
Ranking method
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advantages of RM
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Disadvantages Of RM
Difficultto develop in large and complex
organization.
Rank judgements are subjective.
Since there is no standard used for comparison,
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Classification method
According to this method, a predetermined number of job groups or
job classes are established and jobs are assigned to these
classifications. This method places groups of jobs into classes or
job grades. Separate classes may include office, clerical,
managerial, personnel, etc. following is brief description of such a
classification in an office.
Class I – Executives: further classification under this category may
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Advantages Of CM
comprises
This system can be effectively used for a
variety of jobs.
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Disadvantages Of CM
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Factor comparison method
This method is more scientific and systematic.
Though it is the most complex method of all,
it is consistent and appreciable. Under this
method, instead of ranking complete jobs,
each job is ranked according to a series of
factors. These factors include mental effort,
physical effort, skill needed, supervisory
responsibility, working conditions and other
relevant factors.
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Advantages of FCM
Analytical and objective
Money values are assigned in a fair way based
rating of a factor
Reliable and valid as each job is compared
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Disadvantage of FCM
Difficultto understand, explain and operate
The use of the same criteria to assess all jobs
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Point method
Point method is widely used currently in the
world and the best method according to
Microsoft. The point method techniques
entails the analysis and comparison of jobs
according to compensable factors, which are
represented by a number of points, the
amount depending on the degree of each
factor present. The number of points each
position is worth equals an assigned
monetary value.
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procedure
The procedure involved may be explained in
these steps.
Determine or Collect Information
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Factors employed in point system
Responsibility/Accountability
Effort
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diagram2.0
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Merits
It is superior and widely used method of
evaluating jobs
It faces rates to look into all key factors and
Expensive to implement
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benefits of job evaluation
transfers
Avoids injustice to employees
Removes grievances and disputes among
employees
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conclusion
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