UNIT I

Job Evaluation/Grade Structure

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Job Analysis
Job analysis is a systematic investigation of the tasks, duties and responsibili
ties necessary to do a job. Job analysis is the process of collecting job relate
d information.
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Job Analysis: A Basic Human Resource Management Tool
Human Resource Planning Recruitment Selection
Tasks
Responsibilities
Duties
Job Descriptions Job Analysis Job Specifications
Training and Development Performance Appraisal Compensation and Benefits Safety and
Health Employee and Labor Relations
Knowledge
Skills
Abilities
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Legal Considerations Job Analysis for Teams
3
Objectives/Purpose of Job Analysis
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Process of Job analysis
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Types of Job analysis Information
 Work Activities  Machines, Tools, Equipments and Work Aids used  Personal requirem
ents  Job context
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Outcomes of Job Analysis
The information obtained from job analysis is classified into three categories.
±Job description ±Job specification ±Job evaluation
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Job Description
A job description is a written statement of the duties, responsibilities, requir
ed qualifications and reporting relationships of a particular job. Job descripti
on acts as an important resource for ± Describing the job to potential candidates ±
Guiding new hired employees in what they are specifically expected to do ± Providi
ng a point of comparison in appraising whether the actual duties align with the
stated duties.
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Contents of job description

Job title Job summary Job activities Working conditions Social environment
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Example of Job Description
JOB TITLE:_____ REPORTS TO:___ SUPERVISES:___ AS ON DATE :_________ OCCUPATIONAL
CODE: ________ JOB NO. : ___________________ GRADE LEVEL: _______________
FUNCTIONS: ____________________________________________________________ ________
__________________________________ DUTIES AND RESPONSIBILITIES: ________________
____________________________________________ ___________________________________
_______ JOB CHARACTERISTICS: ___________________________________________________
_________ __________________________________________
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Job specification
Job specifications specify the minimum acceptable qualifications required by the
individual to perform the task efficiently. Based on the information obtained f
rom the job analysis procedures, job specification identifies the qualifications
, appropriate skills, knowledge, and abilities and experienced required to perfo
rm the job. Job specification is an important tool in the selection process as i
t keeps the attention of the selector on the necessary qualifications required f
or that job.
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Example of Job Specification
JOB TITLE: __________________________ EDUCATION:_________________________ PHYSIC
AL HEALTH: ____________________________________________________________ ________
____________________________________________________ APPEARANCE: _______________
_____________________________________________ MENTAL ABILITIES: ________________
_______________________________ SPECIAL ABILITIES: _____________________________
__________________ PREVIOUS WORK EXPERIENCE: ___________________________________
_________________________ ______________________________________________________
______ SPECIAL KNOWLEDGE & SKILLS:_____________________________________ OTHER :
________________________________________________________
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Job Evaluation
Job evaluation provides the relative value of each job in the organization. It i
s 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 co
mmon compensation groups.
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Objectives of Job Evaluation
To determine equitable wage differential between different jobs in an organizatio
n. To eliminate wage inequities. To develop a consistent wage policy. To minimize w
age discrimination on the basis of age, sex, caste, religion etc.. To enable mana
gement to gauge and control the payroll costs. To establish a basis for incentive
s and bonus scheme.
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Advantages of Job Evaluation
   
Harmonious relations between labour and management. Logical and objective techni
que of ranking jobs . Clear and objective basis for wage negotiation and collect
ive bargaining. Simplifies wage administration by making wage rates more uniform
.
 Reduces the cost of recruitment and selection of workers.  Helps in fitting new j
obs 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.
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Principles of Job Evaluation

Rate the job but not the employees Easy to understand Participation in rating Co
operation by employees Awareness about the programme.
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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 se
lected and measured in terms of job specifications. These are of following two t
ypes± Factor comparison method ± Point method
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Ranking Method
This is the oldest and the simplest method of job evaluation. In it , a committe
e constituted of several executives studies job descriptions and ranks them in o
rder 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 mo
re or less on a predetermined basis in their rank order.
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Job classification or Grading method
It involves the establishment of job classes or grades. It was evolved as an imp
rovement over the ranking method. The committee of executives goes through each
job description and carefully weighs it in the light of certain factors like ski
ll, responsibilities, experience and type of work etc. thus, each job is assigne
d 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. BY-PROF
.RASHMI GUPTA
Factor Comparison Method
A more systematic and scientific method of job evaluation is the factor comparis
on method. Though it is the most complex method of all, it is consistent and app
reciable. 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 facto
rs which are more or less common to all jobs.The five factors which are customar
ily used are± ± ± ± ± mental requirement skill physical requirement responsibilities Worki
ng conditions.
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Point Method
This method is widely used as a system of job evaluation which involves a more d
etailed, quantitative and analytical approach to the measurement of job work. Jo
bs are expressed in terms of key factors. Points are assigned to each factor aft
er 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 plac
ed in similar pay grades BY-PROF.RASHMI GUPTA
Comparison of Job Evaluation Methods
Advantage Ranking Fast, simple, easy to explain, suitable for small org, not exp
ensive. Can group a wide range of work together in one system, simple, more accu
rate than raking method. Disadvantage Not very accurate , not useful for large o
rg.,least used method Not useful for large org, time consuming, not involved det
ailed job analysis.
Classification
Point
Compensable factors call Can become bureaucratic out basis for comparisons. and
rule-bound. ruleCompensable factors communicate what is valued.
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Comparison of Job Evaluation Methods
Advantage
Factor comparison method
Disadvantage
Finds wages for a job, Expensive, time wages can be calculated consuming, speedi
ly, greater consistency in the judgment, size of jobs can be measured.
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Methods of Collecting Job Analysis Data

Observation Performing the job. Critical incidents Interview- individual & group
Panel of experts Diary method Questionnaire
± Structured ± Unstructured
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Methods of collection Job description data

Diary/log books Observation Interview Questionnaire:

± Structured ± Unstructured
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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.
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Thank You!!!!!
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