Distinguishing differences among jobs may be overlooked or forgotten. About 10 to 20 jobs are selected, which include all the major departments and functions and cover all the grades. The differences between them are noted with respect to the key points selected for comparison. These are comparatively fewer than the point system but are nevertheless sufficient, because each factor is defined broadly. Internal consistency is concerned with the concept of relative wages within the firm, for example if a supervisor is paid less than a subordinate; it is inconsistency in wage rates. Ranking method is suitable for organisation of relatively smaller size. This class description broadly reflects level of education, mental skill, profit impact or some combination of these. Point-Ranking Method: Under this method, each job’s key factor is identified and then the subfactors are determined. Consistency must be the most essential characteristic of point determination. Point method . The rater determines which job in the series requires least amount of various characteristics used for comparison, and places that job in the lowest rank position. Review the choices of job evaluation methods such as job ranking, classification, factor comparison and point factor analysis and select the method most appropriate to meet the organization’s needs. The more skill, education and responsibility required in a job, the more is its worth. It is flexible also and has not upper limit on the rating that a job may receive on a factor. All the jobs in the same grade receive the same wage or range of rates. Actually speaking, every individual executive would like to stick to the tasks specifically associated with the job title. The usual process followed in this method is as under: 1. This comparison is usually made by having the raters meet as a committee and discuss with each other their respective rankings. (b) Select the key jobs — Key jobs serve as standard against which all other jobs are compared. It is a process which is helpful even for framing compensation plans by the personnel manager. In the case of … Job evaluation as a process is advantageous to a company in many ways: Reduction in inequalities in salary structure - It is found that people and their motivation is dependent upon how well they are being paid. The objective of job evaluation is to determine which jobs should get more … Analytical Job Evaluation Methods The major limitation of this method is that the jobs may differ with respect to their content and the complexity and by placing all under one category the results may be overestimated or underestimated. Human Resource Management, Functions, Job Evaluation, Methods of Job Evaluation. Training Methods in Human Resource Management. Privacy Policy 9. Non-quantitative Methods: (a) Ranking or Job Comparison. Job Evaluation and Position Classification Procedures The following information is provided to assist managers with understanding the processes for job evaluation as it relates to determining position classification and staff wage grade. Copyright 10. Account Disable 12. Ranking Method: This is the simplest and an inexpensive job evaluation method, wherein the jobs are ranked from he highest to the lowest on the basis of their importance in the organization. Under this system, a number of pre-determined grades or classifications are first established by a committee and then the various jobs are assigned within each grade or class. Job Analysis in HRM – Meaning and Definition Job analysis is a systematic and detailed examination of jobs. Responses Responses are listed below in the following order: response, author and … 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. It is difficult to explain to supervisors and employers. Jump to: Position Classification Staff Wage Grade Determination When is a Job Evaluation It is here that the job evaluation moves from general to the specific. But however it is not free from the limitations, it is subjective in nature due to which employees may feel offended, and also, it may not be fruitful in the case of big organizations. Week 5: HRM: Performance Management and Compensation - Discussion Methods of Job Evaluation (graded) Compare and contrast the following methods of job evaluation: ranking, classification, factor comparison, and point method. The advantage of this method is that it is less subjective as compared to the raking method and is acceptable to the employees. In the ranking method of job evaluation, a whole job is compared with others and rank is provided on the basis of this comparison. 4. Job evaluation is a process of determining the relative worth of a job. “These are the values for which an employer pays money”. Non-analytical Job Evaluation Methods Pricing the jobs can be done by any of the methods of job- evaluation taking into consideration the internal and external consistencies. In the point score system, assigning points is an important step. Workers fear that job evaluation will do away with collective bargaining. Method # 1. He has identified four major job factors viz., skill, and responsibility, effort and working conditions. It enables to make clear-cut demarcation of every specific job. (iii) As there is no standard for an analysis of the whole job position, different bases of comparison between rates occur. Here the job is not broken into the factors, an overall analysis of the job is done. The process is initially based on judgment and, therefore, tends to be influenced by variety of personal biases. The purpose of ranking is to determine whether a job involves the same level of duties, responsibilities and requirements as others in the series or a higher or lower level than they do. However, each factor which represents a certain characteristics of the job which management feels is worth compensating, can be selected with maximum care so that ambiguity can be minimised. The ranking is done at departmental level, for every department the job is ranked in order of importance. The evaluation of job under this method consists of following steps: (a) Select the factors and define them clearly. There are many options of training methods available hence it is important to conduct Training needs Analysisto select the suitable training method in a careful manner. The main advantage of the ranking method is, it is very easy to understand and is least expensive. There are four types of job evaluation methods: There can be divided into two categories: The first category covers the simple methods which apparently make no use of detailed job factors. Some of the methods of job evaluation are not easily understood by workers. Please direct all questions to your HR Manager. Report a Violation 11. Selecting a Method for Evaluation- This is the most important step in the Job Evaluation process in HRM. 2. A job factor, according to Flippo, is “a specific requirement levied upon the job holder, which she or he must contribute, assume, or endure”. The designate is chosen by the appellant, and must be trained in the evaluation … Before uploading and sharing your knowledge on this site, please read the following pages: 1. Job ranking . This method is very simple since the raters are fully familiar with the job and workers also understand the process, and installation of this system is not a difficult task. Jobs are often arranged according to the relative difficulty in performing them. Ranking Method: This is the simplest and an inexpensive job evaluation method, wherein the jobs are ranked from he highest to the lowest on the basis of their importance in the organization. This is nothing but a method of rating each job by assigning a certain number of degrees to each factor. Disclaimer 8. Thus, each job is compared against each other on this basis and is ranked accordingly.The advantage of this method … Internal and external consistencies be equally considerate to each job ’ s key factor is identified and the! 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