(a) Objectives of job evaluation (i) In basic terms, job evaluation is a process of comparing jobs with one another. Provides a rate for the job not for the man. No standard list of factors. These are then split into sub-factors and ordered in terms of value to the company. It is a systematic and quantifiable method for which detailed step by step instructions are available. The Objective of Job Evaluation The purpose of conducting job evaluation is to fairly determine the monetary value / worth of a job in relation to other jobs in an organization. Job evaluation is an assessment of the relative worth of various jobs on the basis of a consistent set of job and personal factors, such as qualifications and skills required. ... As you read job … This is considered the most reliable method and is also the most widely used. This ranking procedure is based on job descriptions and job specifications. This method is best for large companies with large and diverse teams. Outlining the job. To give a straight definition, it's the procedure of weighing up an employee's role and orientating it in the wider company structure. Each job in the organization is put into a class or grade according to the class description it matches best. It accounts for differences in wage rates for various jobs on the strength of job factors. If you get it right, however, a whole host of good PR and opportunities to boost the image of your company as forward thinking and fair, with good values. Content validity A test-validation strategy … The system results in more accurate job evaluation because weights are not selected arbitrarily. You can develop your teams, your employees, and their skills and experience, and incentivise each to develop themselves, by really shouting about the message that your pay structure sends. The usefulness of job evaluation is that it provides a framework for an exchange of views – open discussion and communication. The procedure of rating new jobs by comparing with other standards or key job is logical and not too difficult to accomplish. Werther, B.W and Davis, K (1998) point out that the factor comparison method involves the following steps: Preparing clear-cut job descriptions and job specifications. When the point matrix and manual are ready, the relative value of each job can be determined. Once the worth of a job in terms of total points is expressed, the points are converted into money values keeping in view the hourly/daily wage rates. All rights reserved, Download now: 360 degree feedback template + what you need to know, Attract, engage and retain the best talent. Ranking key jobs, according to wages assigned to each factor. The sub-factors of each key job must be given relative ranks, based on their individual contribution to the total job. This method is also subjective in ranking jobs because they are judged as a whole. The point method is complex. It considers the components of a job rather than the total job and is much more comprehensive than either ranking or classification method. Evaluation of clerical, technical, professional and supervisory jobs handled more or less on the principles that are used in evaluating manual or factory jobs. Job evaluation essentially seeks to (a) determine the relative worth of various jobs in an organization in monetary terms (b) evaluate the performance of employees on their respective jobs (c) evaluate the importance of various … It is important to offer insightful and constructive feedback in the evaluation to ensure your team members remain motivated and continue to develop valuable skills. This gives you the relative worth of a job relative to the rest of the roles in your company which leads you to your pay structure. Job evaluation as a personnel term has both a specific and generic meaning. The method’s problem is it is too broad in its classification of jobs. The job structure is divided into a number of classes. The factor comparison method permits a more systematic comparison of jobs than the non-analytical methods. This is also known as job analysis and its findings are what goes into a job description. No attempts are made to break down the jobs by specific weighted criteria. These factors are the job elements common to all the jobs being evaluated. It is costly to install, and somewhat difficult to operate for anyone who is not acquainted with the general nature of job-evaluation techniques. Each committee member usually makes this ranking individually and then a meeting is held to develop a consensus on each job. Valuable technique for management to … Job evaluations are performed for these reasons. In the ranking method of job evaluation, a whole job is compared with others and rank is provided on the basis of this comparison. Internal alignment may suffer with market-pricing because the intrinsic … These methods are discussed in the next section. Join our latest webinar to hear experts discuss what the pivotal HR movements will be in 2021 and how people leaders can make this year a success. But remember, there is a chance that the problem might instead be in your perception and not the evaluation. Finally, you can also represent your company as forward-thinking, fair and clear in its values. The pay system is very easy to understand which is of benefit when communicating it to your employees and it also takes into account all aspects of the job before assigning a job to a specific classification. The evaluation is requested as a means to reward high performance in the job. That is, all other jobs with similar responsibilities were assigned Dollar 250 for that criterion. It is more elaborate than the ranking method. There may be four levels namely, minimum, low, moderate and high. 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