The jobs are then grouped by total point score and assigned to wage/salary grades so that similarly rated jobs would be placed in the wage/salary grade level. Common tasks, responsibilities, knowledge and experience can be identified by the process of job analysis. On the basis of the closeness of job y to x, the former is located at some selected distance from x, in the above figure; y is placed near- 80. Jobs are often arranged according to the relative difficulty in performing them. The Preparation of Grade Descriptions, which has different levels or grades of jobs, may be identified. 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 ranking . (i) The use of fully described job classes meets the need for employing systematic criteria in ordering jobs to their importance. Since many workers think of jobs in, or related to, clusters or groups, this method makes it easier for them to understand rankings. Generally speaking, job titles go with what each job is expected to do. By arranging the jobs in an array, necessary adjustments can be made in wage rates to correct any apparent discrepancy. Here the job is not broken into the factors, an overall analysis of the job is done. c) Evaluation criteria Why is it important to know how well HR works? Certain jobs may then be grouped together into a common grade or classification. Human Resource Management, Functions, Job Evaluation, Methods of Job Evaluation. Following qualitative methods are generally used in job evaluation: ADVERTISEMENTS: (i) Ranking Method and (ii) Job Grading Method. You have to rank from highest to lowest in order of their values or merit to the organization. For Example Class, I, comprise of the managerial level people under which sub-classification is done on the basis of the job roles such as office manager, department managers, departmental supervisor, etc. These sub-factors are then assigned the points by its importance. Jobs … (ii) The system merely produces a job order and does not indicate to what extent it is more important than the one below it. General grade descriptions are written for each job classification, and finally these are used as a standard for assigning all the other jobs to a particular pay scale. Similarly, other jobs can also be spaced by considering their closeness with the highest ranked and preceding job. 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. 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. Detailed job specifications facilitate the accuracy of rating. Like rank order method, it rates job by comparing one job with another and, like the point system, it is more analytical in the sense of subdividing jobs into compensable factors. Job Ranking: Job ranking is the simplest method. The more scarce the labour supply and higher the demand, the more a job is worth. Info: 2960 words (12 pages) Essay Published: 1st Jan 1970 in Business. 2. Image Guidelines 4. Uploader Agreement. Job factors are selected and measured and job specifications are definitely given consideration. A committee of several executives is constituted which evaluates the job descriptions and ranks them in order of importance beginning with the most important job to the least important job in the organisation. In the ranking method of job evaluation, a whole job is compared with others and rank is provided on the basis of this comparison. The strategy of HRM department shapes the framework of training methods within the organization. On the basis of job analysis, each member of the job evaluation committee ranks each job independently either against the benchmark job or against all other jobs. In this method, the overall job is compared with the other set of jobs and then is given a rank on the basis of its content and complexity in performing it. Factor comparison . After each rater has assigned the ranks independently, their rankings can be compared. By comparing the jobs, the rank order of importance of each can be determined. 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. Before answering these questions, we need to define what we mean by evaluation. Account Disable 12. Final rankings may be done by majority vote or averaging the rankings of raters. Job Description, Job Specification and Job Evaluation. Another advantage of this method is that it utilises procedure of rating new jobs by comparing with other standard or key jobs is logical and not too difficult. The job ranking method is the simplest of all the methods. Thomas E. Hitten was the first to originate factor comparison method of job evaluation. Meaning of Job Evaluation Job evaluation : Systematic way of determining the value or worth of a job in relation to other jobs in an organization. Strauss observed, “Seemingly irrational decisions that are consistent with each other may be better than more rational decisions that are inconsistent”. In this method, jobs are not split up into their component parts. (iv) It gives us a numerical basis for wage differentials; by analysis a job by factors it is usually possible to obtain a high measure of agreement on job value. The training methods in HRM are selected based on following three components 1. Now another job, say y, is picked up, and a decision is made regarding its closeness to the highest ranked job which is x in the present case. These are comparatively fewer than the point system but are nevertheless sufficient, because each factor is defined broadly. Thus, each job is compared against each other on this basis and is ranked accordingly.The advantage of this method is that it is consistent and less subjective, thus appreciable by all. Job evaluation determines the value of one job in relation to others in the organization in order to ensure a fair job hierarchy and/or salary system is in place. Of all job evaluation methods, the point-factor method is probably the best known. It is a procedure for determining the duties and skill requirements of a job and the kind of person who should be hired for it. Here ranks obtained from job descriptions or paired comparison is spaced along a number line. Job specifications and job evaluation manual would, however, be instrumental to make rating systematic and easier. Reference this Share this: Facebook Twitter Reddit LinkedIn WhatsApp Human resource management (HRM) is the strategic and coherent approach to the management of an organization’s most valued assets – the people working there who individually and … The five factors which are customarily used are mental requirements, skills, physical requirements, responsibilities and working conditions. Each grade level must be distinct from the grade level adjacent to it; at the same time, it should represent a typical step in a continuous way and not a big jump or gap. 4. Distinguishing differences among jobs may be overlooked or forgotten. (4) If many rates are used, considerable clerical work is entailed in recording and summarising the rating scales. As the factors and their grades are assigned in a subjective manner, there is possibility for the job evaluation manual to suffer from ambiguity. The Job Analysis process to conduct a study on the data collected on the job to find out the real human requirement of the Job such as Job activities its attributes and other important tasks required for performing a specific Job. In large organisations, it is the responsibility of a committee to make evaluation. If the size of the organisation is relatively smaller, the job raters will be in a better position to grasp the job descriptions without experiencing much difficulty. Question 1 Discuss the evaluation of HRM’s functions under the following headings: a) Approaches to evaluation b) Methods of Evaluation. On the job training methods. This is nothing but a method of rating each job by assigning a certain number of degrees to each factor. Under this system, the job raters simply rank one job against another without assigning point values. Key jobs are assigned to an appropriate grade level and their relationship to each other studied. The point system, being an analytical approach, is more concerned with job factors or components. a job description summarizes the duties of a position and staes the essential responsibilities….. 16. benefits of job description 17. selectingthemethodofevaluation four methods of job evaluation the most important method of evaluating the jobs must be identified now,keeping the job factors as well as organisational demands in mind 18. (c) Allocate wage for each key job to different factors. These generalisations usually hold true for most jobs and serve as indicators of what the level of payment should be, but they are so general that they are of little use in translating specific jobs into rates of monetary compensation. These factors are assumed to be constant for each set of jobs. In general, the more difficult the job, the more is its worth. Job evaluation is regarded by the trade unions with suspicion because it is made on certain principles and the results are generally ignored. The objective of job evaluation is to determine which jobs should get more … This comparison is usually made by having the raters meet as a committee and discuss with each other their respective rankings. (i) It has the ability of handing a large number of jobs and enjoys stability as long as the factors remain relevant. It is a process which is helpful even for framing compensation plans by the personnel manager. It is here that the job evaluation moves from general to the specific. Some of the methods of job evaluation are not easily understood by workers. No specific factors are used for consideration. The analytical approach relies on cost-benefit analysis, also called the utility analysis. There are non-analytical and analytical job evaluation methods that are employed by the organizations to realize the worth of a set of jobs. But they remain in the minds of the evaluators and thus affect the results. Each job specific is rated using the job evaluation instrument and the points for each factor are summed to form a total point score for the particular job. This class description broadly reflects level of education, mental skill, profit impact or some combination of these. It is essentially a combination of the ranking and point systems. In this method, the overall job is compared with the other set of jobs and then is given a rank on the basis of its content and complexity in performing it. Workers find it difficult to fully comprehend the meaning of concepts and terms, such as factors, degrees and points. Which of these do you feel is most useful and why? A Manual or yardstick provides’ a set of standards against which each job can be compared. In this process the aspects like job titles, job descriptions and job specifications are important. To establish the rates of pay for these specific jobs, the rates of pay can be associated with those jobs in the rank order. (v) Since no detailed analysis of a job is done, the judgment in respect of a whole range of jobs may produce an incorrect classification. The evaluation of job under this method consists of following steps: (a) Select the factors and define them clearly. (i) It requires less time, fewer forms and less work, unless it is carried to a detailed point used by company. (i) Specific job requirements (such as skill, effort and responsibility) are not normally analysed separately. It is flexible also and has not upper limit on the rating that a job may receive on a factor. (2) The development and installing of the system calls for heavy expenditure. Method # 1. The advocates of factor comparison method point out that it usually results in accurate job evaluation because it is relatively more objective because weight are not selected arbitrarily. He then determines which job requires next higher amount of characteristics and places it next to preceding job’s rank, and so on. (iv) It is difficult to know how much of a job’s rank is influenced by the man on the job. This method is, in fact, an extension of job description and paired comparison method. The designate is chosen by the appellant, and must be trained in the evaluation … (f) Design, adjust and operate the wage structure. About 10 to 20 jobs are selected, which include all the major departments and functions and cover all the grades. Point method . Content Guidelines 2. Method of Job Evaluation – 4 Main Methods (With Comparison) The four major methods of job evaluation are listed below: 1. Mental effort, physical effort, skills required supervisory responsibilities, working conditions, and other relevant factors. It enables to make clear-cut demarcation of every specific job. The advantage of this method is that it is less subjective as compared to the raking method and is acceptable to the employees. 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. (iv) If an organisation consists of 500 people holding to different jobs, the jobs might be broken up into perhaps 5 classes, arranged in order of importance from high to low, and described class by class. 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. Actually speaking, there are many factors like knowledge, commitment, interpersonal capabilities, achievement motivation, physical capabilities, and so on, which influence individual performance. If the job descriptions are not accurate, serious errors in ranking can occur. There are four basic methods of job evaluation currently in use which are grouped into two categories: 1. Content Filtration 6. Disclaimer 8. … The point system does have ceiling on the factors. (ii) It is relatively difficult to write a grade description. The Committee consists of an Independent Chair, a representative of the employer and an employee designate. As a result of research in the field of training, a number of programs are available some among these are new methods while others are improvements over the traditional methods. (v) Once the scales are developed, they can be used for a long time. Much subjective judgement is required to determine the relations and position of job, in the rank order. Terms of Service 7. When all of the key jobs have been evaluated and wages allocated in this manner, a job comparison scale can be constructed. Pur… 3. 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. In the preceding method, a rater is required to keep in mind all the jobs being ranked in order to place them in their correct relationship to each other. It means that a manual may have a number of yardsticks portraying various factors relating to a specific job. (iii) This method is simple to operate and understand, for it does not take much time or require technical help. It is difficult to explain to supervisors and employers. 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 point ranking method is less subjective and is an error free as the rater sees the job from all the perspectives. The duties, responsibilities and details of every job must be described and a detailed list of all such jobs must be prepared as job description at this stage. Performance Appraisal - MCQs with answers - Part 1, Performance Appraisal - MCQs with answers - Part 4, Performance Appraisal - MCQs with answers- Part 2, Training & Development - MCQs with answers. Job evaluation is a process of determining the relative worth of a job. Job evaluation is the process of analyzing and assessing various jobs systematically to ascertain their relative worth in an organization. (ii) The system is simple, easily understood, and easy to explain to employees (or a union). Training Methods in Human Resource Management. Copyright 10. This is unrelated to performance reviews, as the goal is to evaluate the job itself, not the person who is performing the job. Thus, each job is compared against each other on this basis and is ranked accordingly.The advantage of this method … Responses Responses are listed below in the following order: response, author and … 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. Utility analysis seeks to express evaluations in economic terms, which are more useful for decision makers. Actually speaking, every individual executive would like to stick to the tasks specifically associated with the job title. Then these points are computed and added together. Therefore, it is suitable for small organisation with clearly defined jobs. Several HR activities have been evaluated with utility analysis, including appraisal systems, employee hiring, training and turnover.Although utility analysis has wide applicability and repres… The comparatives with the other methods are … Job analysis works in identifying, compiling and analyzing three main important component of Job i.e. (iii) It is far less expensive to put into effect than other systems, and requires little effort for maintenance. Consistency must be the most essential characteristic of point determination. It only gives us its rank or tells us that it is higher or more difficult than another, but it does not indicate how much higher or more difficult. 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. Once the job specifications are available and the scales are constructed, evaluation of jobs becomes easier. 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. When using this particular method, a job analyst observes an employee and records what they do and do not do. This would result in less accurate evaluation. After analyzing and preparing the Job Description, now the Committee has to choose the Job Evaluation Method which suits their works whether it is a qualitative or quantitative method. This system suffers from the following defects: (i) The system is rather rigid and unsuitable for a large organisation or for very varied work. Jump to: Position Classification Staff Wage Grade Determination When is a Job Evaluation Job classification . The process is initially based on judgment and, therefore, tends to be influenced by variety of personal biases. (1) The task of defining job factors and factor degrees is a time consuming and difficult task. (iii) Prejudice and human judgment are minimised, i.e., the system cannot be easily manipulated. “These are the values for which an employer pays money”. Process of Job Evaluation – Job Analysis, Appointment of … Analytical Job Evaluation Methods Since job evaluation is a process of determining relative standing of every job, the rater must be equally considerate to each job. Privacy Policy 9. For example, the key factor to perform a job is skills, and then it can be further classified into sub-factors such as training required, communication skills, social skills, persuasion skills, etc. (e) Evaluate the job in question factor by factor in relation to key jobs on job comparison scale. Ideally, these should be offered anonymously and confidentially. The differences between them are noted with respect to the key points selected for comparison. The ranking is done at departmental level, for every department the job is ranked in order of importance. 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