Download - Unit1 Job Evaluation

BY-PROF.RASHMI GUPTA

Job Evaluation/Grade Structure

UNIT I


Job Analysis• Job analysis is a systematic investigation of the tasks,

duties and responsibilities necessary to do a job. • Job analysis is the process of collecting job related

information.

BY-PROF.RASHMI GUPTA 33

Job Analysis: A Basic Human Resource Management Tool

Tasks Responsibilities Duties

Job Analysis

Job Descriptions

Job Specifications

Knowledge Skills Abilities

Human Resource Planning

Recruitment

Selection

Training and Development

Performance Appraisal

Compensation and Benefits

Safety and Health

Employee and Labor Relations

Legal Considerations

Job Analysis for Teams


Objectives/Purpose of Job Analysis


Process of Job analysis


Types of Job analysis Information

Work Activities

Machines, Tools, Equipments and Work Aids used

Personal requirements

Job context


Outcomes of Job Analysis • The information obtained from job analysis is classified

into three categories.

–Job description

–Job specification

–Job evaluation


Job Description

• A job description is a written statement of the duties, responsibilities, required qualifications and reporting relationships of a particular job.

• Job description acts as an important resource for– Describing the job to potential candidates– Guiding new hired employees in what they are specifically

expected to do– Providing a point of comparison in appraising whether the

actual duties align with the stated duties.


Contents of job description

• Job title• Job summary• Job activities• Working conditions• Social environment


Example of Job DescriptionJOB TITLE:_____ OCCUPATIONAL CODE:

________REPORTS TO:___ JOB NO. :

___________________SUPERVISES:___ GRADE LEVEL:

_______________AS ON DATE :_________

FUNCTIONS: ______________________________________________________________________________________________________

DUTIES AND RESPONSIBILITIES: ______________________________________________________________________________________________________

JOB CHARACTERISTICS: ______________________________________________________________________________________________________


Job specification

• Job specifications specify the minimum acceptable qualifications required by the individual to perform the task efficiently. Based on the information obtained from the job analysis procedures, job specification identifies the qualifications, appropriate skills, knowledge, and abilities and experienced required to perform the job.

• Job specification is an important tool in the selection process as it keeps the attention of the selector on the necessary qualifications required for that job.


Example of Job SpecificationJOB TITLE: __________________________EDUCATION:_________________________PHYSICAL HEALTH:

________________________________________________________________________________________________________________________

APPEARANCE: ____________________________________________________________

MENTAL ABILITIES: _______________________________________________SPECIAL ABILITIES: _______________________________________________PREVIOUS WORK EXPERIENCE:

________________________________________________________________________________________________________________________

SPECIAL KNOWLEDGE & SKILLS:_____________________________________OTHER : ________________________________________________________


Job Evaluation

• Job evaluation provides the relative value of each job in the organization. It is an important tool to determine compensation administration.

• If an organization is to have an equitable compensation program, jobs that have similar demands on terms of skills, education and other characteristics should be placed in the common compensation groups.


Objectives of Job Evaluation•To determine equitable wage differential between different jobs in an organization.

•To eliminate wage inequities.

•To develop a consistent wage policy.

•To minimize wage discrimination on the basis of age, sex, caste, religion etc..

•To enable management to gauge and control the payroll costs.

•To establish a basis for incentives and bonus scheme.


Advantages of Job Evaluation Harmonious relations between labour and management.

Logical and objective technique of ranking jobs .

Clear and objective basis for wage negotiation and collective bargaining.

Simplifies wage administration by making wage rates more uniform.

Reduces the cost of recruitment and selection of workers.

Helps in fitting new jobs at their appropriate places in the existing wage structure.

It is a detailed analysis of a job which is helpful in selection, placement and training.


Principles of Job Evaluation

• Rate the job but not the employees• Easy to understand• Participation in rating• Cooperation by employees• Awareness about the programme.


Methods of Job Evaluation• Non- quantitative methods- These make no use of

detailed job factors. The job is treated as a whole and job descriptions rather than job specifications is used. Two types;-– Ranking of job or job comparison method– Job classification or grading method.

• Quantitative methods – These use a detailed approach. Different job factors are selected and measured in terms of job specifications. These are of following two types-– Factor comparison method– Point method


Ranking Method• This is the oldest and the simplest method of job

evaluation. In it , a committee constituted of several executives studies job descriptions and ranks them in order of importance beginning with the most important job to the least important job in the organization.

• Now the jobs are placed into different salary ranges more or less on a predetermined basis in their rank order.


Job classification or Grading method

• It involves the establishment of job classes or grades. It was evolved as an improvement over the ranking method.

• The committee of executives goes through each job description and carefully weighs it in the light of certain factors like skill, responsibilities, experience and type of work etc. thus, each job is assigned a grade or class and for each grade or class, there is a predetermined rate of wages.

• The system is widely used in government offices and departments.


Factor Comparison Method• A more systematic and scientific method of job

evaluation is the factor comparison method. Though it is the most complex method of all, it is consistent and appreciable.

• All the jobs are compared to each other for the purpose of determining their relative importance by selecting four or five major job elements or factors which are more or less common to all jobs.The five factors which are customarily used are-– mental requirement– skill– physical requirement– responsibilities– Working conditions.


Point Method

• This method is widely used as a system of job evaluation which involves a more detailed, quantitative and analytical approach to the measurement of job work.

• Jobs are expressed in terms of key factors. Points are assigned to each factor after prioritizing each factor in the order of importance. The points are summed up to determine the wage rate for the job. Jobs with similar point totals are placed in similar pay grades


Comparison of Job Evaluation Methods

Advantage Disadvantage

RankingRanking Fast, simple, easy to Fast, simple, easy to explain, suitable for small explain, suitable for small org, not expensive.org, not expensive.

Not very accurate , not Not very accurate , not useful for large org.,least useful for large org.,least used methodused method

ClassificationClassification Can group a wide range of Can group a wide range of work together in one work together in one system, simple, more system, simple, more accurate than raking accurate than raking method.method.

Not useful for large org, Not useful for large org, time consuming, not time consuming, not involved detailed job involved detailed job analysis.analysis.

PointPoint Compensable factors call Compensable factors call out basis for comparisons. out basis for comparisons. Compensable factors Compensable factors communicate what is communicate what is valued.valued.

Can become bureaucratic Can become bureaucratic and rule-bound.and rule-bound.


Comparison of Job Evaluation Methods

Advantage Disadvantage

Factor comparison Factor comparison methodmethod

Finds wages for a job, Finds wages for a job, wages can be calculated wages can be calculated speedily, greater speedily, greater consistency in the consistency in the judgment, size of jobs can judgment, size of jobs can be measured.be measured.

Expensive, time Expensive, time consuming, consuming,


Methods of Collecting Job Analysis Data

• Observation• Performing the job.• Critical incidents• Interview- individual & group• Panel of experts• Diary method• Questionnaire

– Structured– Unstructured


Methods of collection Job description data

• Diary/log books• Observation• Interview• Questionnaire:

– Structured – Unstructured


Which method to use ?

• Factors to be considered before choosing the method of collecting data are:

– No. of job/employees to be considered. – Time limit– Cost factors– Education levels of incumbents– Type of data required.


Thank You!!!!!