Prejudice and human judgment are minimised, i.e. The final job evaluation method is the point method, which measures performance through scales and job factors rather than focusing on entire job functions and ranking employees against each other. Content Filtrations 6. Its installation is expensive and small scale concerns cannot afford it. Principles of Job Evaluation. It is fairly easy method to explain to employees. Personal observation method is not a method of job evaluation. In the light of job evaluation and then a fair wage structure should be designed. 2. a. Job Evaluation: Job evaluation is described as a systematic process that involves identifying the value and worth of the job compared to other job positions. The method is best used for smaller organizations with fewer jobs (under 30‐40); it may be awkward and unwieldy for larger companies with a large number of different jobs. The scales developed in this method can be used for long time. b. Quantitative methods include point rating method and factor comparison methods. Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. Rank means ‘to arrange according to classes’. (ii) The job description is prepared for the job if it is not available. It is difficult to develop points for sub-factors. Which of the following is not one of the methods of job evaluation discussed in the text? (v) All jobs are classified by the pre-determined grades. Personal observation method is not a method of job evaluation. Non quantitative methods includes ranking method and grading method. There is no bias or prejudice in job evaluation. 4. Which of the following is not a typical source of job analysis data? 1. For this purpose, a committee comprising of certain executives is formed. d. This is non-quantifiable and subjective, but is a basic simple approach, says Strand. Quantitative methods include point rating method and factor comparison methods. In order to know the wages being paid in other similar concerns, a survey should be conducted. This method is different from point method only is respect of yardstick provided for evaluating jobs. (III) Construction of Factor-Scales or Allocation of Points: Each factor is given certain points and each point carries some value in terms of money. It is more objective method of job evaluation. In the above table, the total points for a job are 500. Under this method, only few jobs, called ‘Key Jobs’ are evaluated at the first instance. Perhaps the easiest method that Beth can use for job evaluation is the job ranking method. The general purpose for carrying out job evaluations using this or similar job evaluation methods is to enable organizations to map and align their roles/jobs. 1. A committee consisting of the foremen or the supervisor, the representative of the personnel department and the representative of the employees is generally formed for Job Evaluation. This can deliver the following key benefits: Excluding factors often associated with female dominated positions C. Biased job descriptions It is a complicated method and is not easily explainable to employees. A simple example, ranked high to low: 1. Different persons may give different rankings if job evaluation is entrusted to more than one person. The _____ is an excellent job analysis method for obtaining the physical abilities needed to perform a job. The method is flexible as there is no upper limit on the rating of a factor. (a) market pricing (b) point factor (c) classification (d) factor comparison 9. Services, Four Methods of Job Evaluation: Ranking, Classification, Point & Factor Comparison, Working Scholars® Bringing Tuition-Free College to the Community. In fact, much has to be done afterwards (for eliminating wages controversies). Process. The accuracy of the results will mainly depend upon the correctness of the definitions of the job grades. In the ranking method of job evaluation, a whole job is compared with others and rank is provided on the basis of this comparison. If the determination is not handled in a well balanced effort the job evaluation method assessment can be negative and taking appropriately action is necessary. Being the systematic method, workers of the organisation favour this method. Its installation is expensive and small scale concerns cannot afford it. Further, education may be classified as ability to read or write, school education, graduation, post-graduation, special education etc. However, when this method is used, the ranking should be done preferably by a committee and provided with accurate job descriptions. Which one of the following job evaluation methods involves determining the relative worth of each job being evaluated and then assigning each job to a specific job level? Hay Job Evaluation is a method used by corporates and organizations to map out their job roles in the context of the organizational structure. Under this method all jobs in an organisation are arranged according to their worth or importance. Department Manager 2. The job grading method of job evaluation is a _____ method. 3. b. analyze the questionnaire data. The job evaluation process defines a systematic and definite way of working for the workers as well as the management, which works as the backbone of the success of the company. The factors comparison method was developed in 1926 by E.J. Being the systematic method, workers of the organization favor this method. Content Guidelines 2. A. a. - Definition & Types, Why Do Workers Join Unions? C Management by objectives (MBO) D Case study method. Advantages of Job Evaluation: Job Evaluation Results into Following Advantages: Section Supervisor 3. Which of the following is not method of off the job training. 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. Under this method specific factors are not considered, but the committee does keep in mind certain factors e.g. First of all, Total points for a job are determined and then these points are allocated to various factors. A great care should be takes while framing questions for different grades of employees. Evaluation helps determine the extent to which _____ have been achieved Plagiarism Prevention 4. 1. Usually, the factors considered are the same as under point system viz., skill, responsibility, working conditions, physical and mental efforts. This method works by identifying key job factors and then assigning points based on importance. It is not unusual to find wage differentials in case of highly specialised jobs because of the competitions from other concerns that are ready to pay more. The following are the advantages of point system: It is an objective method and wages differentials are numerically explained. Thereafter, wages for each job are fixed on the basis of total points. (ii) This method requires multiple systems for different types of jobs. c. Typically, a related group of jobs is used for evaluation. 2. It is hard to measure whole jobs. Scales once developed can be used for a long time. (iii) Selection of key jobs. It involves considerable clerical work and is time consuming Small scale concerns cannot afford to install this system. Our experts can answer your tough homework and study questions. Job evaluation. The scales developed in this method can be used for long time. Which of the following is NOT true of the usage of multiple plans versus single job evaluation plans? Which of the following is not method of off the job training. 5. Job Ranking. It is a complicated method and is not easily explainable to employees. It is the most comprehensive and accurate method of job evaluation. Job evaluation, as a scientific approach, is based upon certain sound principles. Each factor is given precise definition as to what it means. Evaluation helps determine the extent to which _____ have been achieved Therefore, this system is suitable for small scale concerns only. (v) All jobs with same (more or less) points are classified into one grade. 7. Benge. Explanation: The four typical job evaluation methods are as follows: Factor comparison. It requires leadership by a competent manager. Team Leader and … A job classification is prepared on the basis of ranking. Job evaluation reviews the job rates. Generally 8 to 12 classifications are considered sufficient. Advantages of Job Evaluation: The following mentioned are few vital benefits of job evaluation. Under this method, yardstick is provided in the form of job classes or grades. No weight or points are specified for these factors. Each job will be given a rank in relation to job factors. Employers rarely evaluate all jobs in the organization at one time. Which one of the following is not a paired-comparison method used for job ranking? Which of the following is NOT a source of gender bias associated with developing a point method job evaluation process? With this approach, the job analyst actually performs the job and to gets first hand exposure. Suppose five key jobs are selected. Kress, there are eight principles of job evaluation. Workers insist that few more should be added viz., supervision received, amount of over time, incentive plans etc. © copyright 2003-2021 Study.com. 32. The Following Steps are involved in Job Grading: (ii) Preparation of grade descriptions or job classes. The methodology and decision making plays a pivotal role in how the specific job duties assist in the job evaluation method to use appropriately methods for the process. First of all, certain key jobs of major departments are rated: For establishing the position of the job in the ranks, it is compared with the key jobs. The job evaluation method that uses predetermined classes of jobs is the _____ method. 1. Many employers design different evaluation plans for different types of work. These Steps Are Explained In Detail Below: Different jobs involve different skills. The jobs may be graded as skilled, unskilled, routine, administrative, etc. Job evaluation is described as a systematic process that involves identifying the value and worth of the job compared to other job positions. 1. 4. 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. In a larger organization, it is more complex to use, but sometimes it can still work if jobs are grouped by job families—professional level, etc. This system requires the services of experts. However, this method also suffers from personal biasness. type of work, responsibilities involved, working conditions and supervision required. (d) Working conditions (bad, normal and good) and hazards. Points evaluation is the most commonly used method of job evaluation. ‘Just as inches are a basic unit in determining length, so degrees are the basic unit in measuring importance of any one factor in a given time’. Under the point method, a detailed analysis of job’s worth is made for determining the fair wages. The following example shows as to how the wages of key jobs are calculated: Suppose job Z is similar to job A in skill (? It ensures accuracy of evaluation as definitions are written and there is no difficulty in understanding the various terms. Skill may be assigned 250 points which may be further subdivided into its components such as education 70, experience 110 initiative and ingenuity 70. (ii) It is acceptable to management as well as employees. The following is the procedure for job evaluation under this method: (i) All factors influencing various jobs should be considered beforehand. 3. All other trademarks and copyrights are the property of their respective owners. Thus weightage given to them as well as their reliability becomes questionable. 1350), job B in effort 450), job C in responsibility 255) and job D in working conditions 540), then correct wage will be 2595 (Rs 1350 +Rs450 +Rs 255 +Rs 540). Moreover, this method is well-appreciated in speeding up the process of job evaluation. Prejudice and human judgement are minimized. - Benefits & Reasons, Direct, Indirect & Non-Financial Compensation Strategies, Common Appraisal Methods 1: Critical Incident, Graphic Rating Scale & BARS, Employee Performance Appraisal: Methods, Process & Examples, Introduction to Human Resource Management: Certificate Program, PHR Certification Exam Study Guide - Professional in Human Resources, DSST Human Resource Management: Study Guide & Test Prep, Human Resource Management: Help and Review, UExcel Human Resource Management: Study Guide & Test Prep, Human Resource Management: Skills Development & Training, Senior Professional in Human Resources - International (SPHRi): Exam Prep & Study Guide, Business 306: Strategic Human Resources Management, California Sexual Harassment Training: Supervisors, aPHR Certification Exam Study Guide - Associate Professional in Human Resources, Employee Performance Management & Evaluations, Inclusion in Performance Review & Management, English 103: Analyzing and Interpreting Literature, Biological and Biomedical There are different rates of wages for different grades of jobs. a. true *b. false According to A.R. C) The committee needs training in job evaluation … A) The terms of reference must be spelled out for the committee. Group discussion b. 9,000. Employers rarely evaluate all jobs in the organization at one time. C Management by objectives (MBO) D Case study method. Compensable Job The first step in evaluating a job is to decide what factors differentiate the … In this method, a point system is made based on the overall monetary value of a position within the company. The correct option is: D) Paired comparison. Job evaluation may be subjective as the jobs are not broken into factors. c. Typically, a related group of jobs is used for evaluation. The ranking is provided to the job on the basis of this comparison. (iii) Since only judgment is used for all jobs, it may prove to be incorrect. Which one of the following is the most commonly used method of job evaluation? Which of the following is NOT true of the usage of multiple plans versus single job evaluation plans? This method ranks jobs in order based on each job’s perceived value in relation to the others, says Neelman. (iv) It is unsuitable for large scale enterprises. (c) Wages already being paid on the jobs will affect the job evaluation. The committee goes through the job description of each job and assigns it a particular grade. This system requires the services of experts. d. scale the factors. In order to increase the reliability of ranking, this exercise is undertaken twice or thrice b… This method enjoys the following merits: 1. 2. The method is very expensive and can be installed only by large concerns. 8 The following is not a on the job training method A Understudies. Usually the factors selected are skill, responsibility, effort and working conditions. Point method. a. It requires leadership by a competent manager. The number of factors should be fewer because studies have shown that results are almost same if 2 or 3 factors used instead of 40 factors. (iii) All factors are evaluated in terms of points. Group discussion b. 8. Job evaluation deals with the job and not with the employee holding the position. Privacy Policy 8. Copyright 10. (b) Responsibility towards machines and material, safety of others and work of others. The computer-assisted job evaluation method is worthwhile as it helps to ensure greater consistency. 3. Before publishing your articles on this site, please read the following pages: 1. Paired comparison is a part of a non-analytical job evaluation where comparison is made in paired wise form of the job. The job evaluation method that determines the relative worth of jobs on the basis of their parts, including skill, mental, physical, responsibility, and environmental requirements, is the _____ method. This method is a combination of point method and rank method. Disclaimer 9. May work well for smaller companies. A) Check that benchmark jobs are equivalent to market comparator jobs. (iii) Any dispute relating to wages can be easily settled by referring it to the job evaluating committee. (d) The arbitrary ranking of jobs may be resented by the employees. A) Jobs are typically ranked based on the whole job. 2. There is no resistance from employees or their unions as this method is free from manipulations. The usual process followed in this method is as under: 1. 2. Generally, the Following Factors Are Considered: (a) Skill, education, experience, initiative and ingenuity. Any of the following methods may be followed: a. All jobs within one grade are treated alike in the matter of salary. The use of limited number of factors (usually five) ensures less chances of overlapping and over-weighting of factors. (b) multi person evaluation method Different techniques are used to elicit job analysis information, although not all are as easy to access as others. 5. Reed have given a list of many factors viz., strength; energy; learning time ; education ; responsibility; analysis ; foresight ; judgement ; management ability ; alertness ; steady nerves ; initiative; originality ; adaptability ; memory; application ; accuracy of calculation measurement; danger; eye strain ; contact of body, dirt, wet, fumes, noise ; monotony ; heat of air, contact and radiation ; effect on clothing ; cost of tools owned by workers. Each grade should be sufficiently large to include a number of jobs. If the determination is not handled in a well balanced effort the job evaluation method assessment can be negative and taking appropriately action is necessary. Which of the following conditions will have a negative impact on the success of the job evaluation committee? It is a complicated method and is not easily explainable to employees. The method may be applied to combination of manual and supervisory positions. 4. 6. They are: 1. (iv) With technological changes, job contents also change. 8 The following is not a on the job training method A Understudies. the system cannot be easily manipulated. Factors applied, though presumed to be independent, usually overlap. (iv) It is suitable to small scale concerns. B) Several compensable factors are commonly used to rank jobs. Rate the Job and Not Man. Stigers and E.G. Prohibited Content 3. c. test the system. 3. Non quantitative methods includes ranking method and grading method. 9. Sciences, Culinary Arts and Personal The main objective of job evaluation is to determine the job's worth to establish an equitable salary structure. The following steps, (as given by Edwin B Flippo) are involved: (e) Allocate the correct rate of each key job among the job factors, (f) Evaluate all other jobs in terms of these factors (use it as yardstick), (g) Design, adjust and operate the wage structure. Job-grading Method. The process of job evaluation involves the following steps: Gaining acceptance: Before undertaking job evaluation, top management must explain the aims and uses of the program to managers, emphasizing the benefits.Employees and unions may be consulted, depending on the legal and employee relations environment and company culture. The first step in a points evaluation is determining what skills a group of jobs is expected to possess. No employee should get a reduction in his pay as a result of the job evaluation. B) Technical and clerical support resources need to be provided. Forced choice method is_____ (a) used to correct the tendency of a rater to give consistently high or low ratings to all the employees. Advantages of Job Evaluation #1. (c) It can be installed without any delay as it requires lesser time. What determines the relative value of a job and, thus, its position on the hierarchy of jobs using the point method of job evaluation? Its installation is expensive and small scale concerns cannot afford it. 1. b. On account of these disadvantages, this method is not very popular now a day although in the past, it was frequently used. The method has the following merits: 1. (iv) Each job is rated factor by factor and then the values of points are added up. Questionnaire Method: Another commonly used job analysis method is getting the questionnaires filled from employees, their superiors and managers. 2. This among the followings is not a method of Performance Appraisal, (a) Self-appraisal (b) Rating scale (c) Group Appraisal (d) 360-degree (e) None of these . As in job ranking, the classification method does not call for a detailed or quantitative analysis of individual parts of the job, but is based on the job as a whole. Job evaluation has to do with determining the monetary value of a job, whereas job analysis has to do with analyzing a job to determine the tasks it entails. It gives a false impression about the accuracy of fixation of wages. It requires leadership by a competent manager. Job Evaluation Results into Following Advantages: (i) The wages differentials are rationally and systematically established. A job evaluation is an external method of determining pay and compensation for a particular job. 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. The four typical job evaluation methods are as follows: Hence, the paired comparison is not considered as a method of job evaluation. Wages for any unlike jobs can be calculated. 5. The method can not be manipulated. Does not consider market compensation rates. Job rotation (Ans: c) 23. Excessive range in the degree statements B. For example, there may be too much difference between an office and factory job description. (a)deck of cards … The accurate information will get every time as this scheme is based on algorithms which offer consistent results only. A business assessment helps you to achieve your company's goals, to expand and grow your business in a smart and strategic way. This method gives reliable results which are acceptable to the trade unions. All rights reserved. Job rotation (Ans: c) 23. The last step is to evaluate the jobs by assigning points to various factors as laid down in the job specifications. Advantages of Job Evaluation: Job Evaluation Results into Following Advantages: This method is suitable for small concerns because the rater can measure each job in comparison with other jobs without experiencing any difficulty. There should be separate evaluation programme for executive and clerical jobs as both require different factors. It introduces inflexibility in wage structure. Which is not one of the steps in the development of a point method job evaluation plan? While selecting Key jobs, the analysts must see that job descriptions of key jobs are available. a. identify the compensable factors. The method has several drawbacks. This method is not suitable for the jobs that are hazardous in nature and quite inappropriate for jobs that require extensive training. The effectiveness of a job may differ for the workers, though the jobs are equal on the basis of various factors. (b) It fails to tell the differences between different jobs as various factors effecting jobs are not separately considered. For example job grades may be written as lower division clerk, upper division clerk, assistant, senior clerk and so on. These five jobs may be ranked as follows: The correct pay is then allocated among the factors for each key job and wages are determined. Skill carries 50% points and these are further subdivided into education, experience, initiative and ingenuity. The wages paid for all jobs in one class will be same. 4. 6,000, the job carrying 600 points must get Rs. The total points of a job indicate wages. A job can be easily evaluated in terms of money and money values are assigned to total points. (III) Construction of factor-scales or allocating of points. This is the most widely used method of job evaluation. They are. For example, if a job having 400 points is paid? C) The ranking method is typically more time consuming than other methods. The demand and supply of labour is responsible for wage differentials to a great extent. Excluding factors often associated with female dominated positions The Different Kinds of Job Evaluation Methods Job evaluation is a systematic and objective process used by companies to compare jobs within their organization to assess the relative value or worth of each job. Excessive range in the degree statements B. Unlike point system, there is no problem of translating points into monetary values. - Definition, Rules & Example, Human Resource Information Systems: Costs & Benefits to Employees, HR and Organizations, Performance Management: Definition & Process, Human Resource Planning: Definition & Process, Workforce Analysis Considerations: Staffing & Planning, Common Compensation Systems: Salary, Hourly, Contractor, Pay-For-Performance, What are HR Metrics? Top 8 Objectives of Job-Evaluation – Explained. As in the ranking method, the job-grading method (or job-classification method) does not call for a detailed or quantitative analysis of job factors. (v) It helps in bringing uniformity in wage structure. For example M.F. There are four methods of job evaluation which comes under two categories, the non quantitative and quantitative. The Following Steps are involved in This System: Although ranking can take place without job description, it is better if a job description is prepared beforehand. D) Ranking is usually appropriate for large employers because of the method's cost. It is the most comprehensive and accurate method of job evaluation. 2. This method is an improvement over ranking method in the sense that pre­determined yardstick is available. The jobs are ranked by considering one factor at a time. C) Adjust the point totals of the outlier jobs to improve the correlation coefficient. The job evaluation method that uses predetermined classes of jobs is the _____ method… Many employers design different evaluation plans for different types of work. Methods for Job Evolution: 1.Non-Quantitative and 2.Quantitative! Job-evaluation cannot be scientific though it is claimed to be so because it is based on judgment. As the company owner, you have to be aware of the strengths and weaknesses of … It often takes time and a lot of patience but a good job evaluation scheme can form the basis of a fair pay system. 3. Its usefulness is restricted only to big concerns as its installation requires time and finance. A. Few jobs are selected from different departments for this purpose. Job instruction c. Role play d. Case Study (Ans: b) 24. It is not automatic and is subject to all human limitations. 2. Methods of Job Evaluation – Ranking, Grading, Factor and Point Rating Method. TOS 7. B Job rotation. This system requires the services of experts. B Job rotation. Image Guidelines 5. Which of the following is not one of the typical methods used by job evaluation committees to determine the worth of a job? It restricts the right of the trade unions to negotiate with the management in respect of fixation of wages. Since few factors are selected, there is no overlapping of factors. Report a Violation, Quantitative and Qualitative Methods of Job Evaluation. Job instruction c. Role play d. Case Study (Ans: b) 24. 3. To elaborate the program further, … Job ranking. a. 2. Job classification. Ans. 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. Solution (By Examveda Team) The Assessment method is not a job evaluation method. Which of the following is NOT a source of gender bias associated with developing a point method job evaluation process? Selection of factors is a difficult task. Education points may be allocated as follows: The table of National Metal Traders Association (NMTA) of the U.S.A. is given here for understanding the allocation of points to various factors: Table showing degree value points in National Metal Traders Association of U.S.A. Compensation Equity: Definition & Importance, Compensation & Benefits: Laws & Regulations, Organizational Incentive Programs: Profit Sharing, Gain Sharing, and Employee Stock Ownership, HR Compensation & Benefits: Definition & Policies, Compensation Management: Theories & Challenges, Job Analysis & Evaluation: Definition, Process & Methods, Incentive Compensation Plans: Merit Pay, Piece Rates, Commissions, Bonuses & Skills-Based, What is a Profit-Sharing Plan? d. 5. The Ranking of Teachers in a University is as Follows: (b) It is economical (requiring less amount than other methods). (a) There is no pre-determined yardstick. The number of factors to be used in this method is generally restricted to 7. (II) Selection of Factors (Or Characteristics): The number of factors to be considered for job-evaluation will depend upon the job. B) Determine if the wrong factors have been included in the job evaluation system. a. ranking method b. forced distribution method c. factor comparison method d. statistical/policy capturing method ANS: B PTS: 1 REF: 271 OBJ: 4 BLM: Remember 18. (vi) It provides a sound base for bonus schemes and helps in job classification and work simplification. You arrange all jobs in rank order of their relative duties, responsibilities, qualification requirements, that is, their “importance” to the organization, he says. In exploring solutions to job evaluation problems, which is NOT one of the main steps? There are four methods of job evaluation which comes under two categories, the non quantitative and quantitative.

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