SlideShare a Scribd company logo
4
Most read
6
Most read
20
Most read
JOB EVALUATION
Job Evaluation
Job evaluaton is a
systematic way of
determining the
value/worth of a job
in an organisation.
Process of Job evaluation
Decide which jobs are to be evaluated
Job Analysis and preparing job
description.
 systematically rate each job based on the
job evaluation factors selected. The points
assigned for each of the factors are
totalled for each job.
A Job is evaluated in the following three
categories
 1. Know-how
 Know-how is the sum total of every kind of knowledge and
skill however acquired, e.g. experience, education, etc.
needed for accept-able job performance. Know-how
includes three elements:
 A. Specialized, technical or practical know-how: the basic job
knowledge needed.
 B. Managerial know-how: The degree with which the job
deals with planning and organizing the employee’s activities
and coordinating with others.
 C. Human relations skills: The persuasion and communication
skills for motivating, training, and developing others.
2. Problem Solving
Problem solving is the amount of original self-starting
thinking required by the job for analyzing, evaluating,
creating, reasoning, arriving at and coming to
conclusions. Problem-solving has two elements:
A. Thinking environment – defines the degree to which
the incumbent is free to develop answers to problems,
ranging from the day-to-day decisions based on
simple memory to those which require creative
thinking or long-range strategies.
B. Thinking challenge – defines the complexity and
uniqueness of problems and may range from
Accountability is the answerability for action
and for the consequences of that action.
Accountability has three elements:
a) Freedom to act is the degree to which the
position can take action without consulting
a higher authority.
b) Impact on end results- advisory or
decision
c) Magnitude is the size of the area in
which the job functions, i.e, whole
organization, single department, etc.
Compare and see how much value does
this job have in the industry .
Decide the amount of compensation to
be given
Process of Job evaluation
Selecting the method of evaluation.
Classifying jobs.
Installing the programme.
Reviewing periodically.
Features of Job Evaluation
It tries to assess jobs, not people.
The standards of job evaluation
are relative, not absolute.
The basic information on which
job evaluations are made is
obtained from job analysis.
Features of Job Evaluation
Job evaluations are carried out by groups, not by
individuals.
Some degree of subjectivity is always present in job
evaluation.
Job evaluation does not fix pay scales, but merely
provides a basis for evaluating a rational wage
structure.
Benefits of job evaluation
It tries to link pay with the requirements of the job.
It offers a systematic procedure for determining the
relative worth of jobs.
An equitable wage structure is a natural outcome of
job evaluation
An unbiased job evaluation tends to eliminate salary
inequalities by placing jobs having similar
requirements in the same salary range.
Benefits of job evaluation
Employees as well as unions participate as members
of job evaluation committee.
Job evaluation, when conducted properly and with
care, helps in the evaluation of new jobs.
It points out possibilities of more appropriate use of
the plant’s labour force by indicating jobs that need
more or less skilled workers than those who are
manning these jobs currently.
1- RANKING METHOD
2-CLASSIFICATION METHOD
3-POINT METHOD
4-FACTOR COMPARISON METHOD
RANKING METHOD
It is the simplest method of job evaluation.
In this method, jobs are arranged from highest to lowest, in
order of their value or merit to the organisation.
Jobs can also be arranged according to the relative difficulty
in performing them.
Jobs are usually ranked in each department and then the
department rankings are combined to develop an
organisational ranking.
JOB CLASSIFICATION
According to this method, a predetermined number of
job groups or job classes are established and jobs are
assigned to these classifications.
This method places groups of jobs into job classes or job
grades.
Separate classes may include office, clerical, managerial,
personnel, etc.
JOB CLASSIFICATION
Following is a brief description of classification in an
office:
 Class 1- Executives: Office manager, deputy office
manager, department supervisor, etc.
 Class 2- Skilled workers: Purchasing assistant, cashier,
receipts clerk, etc.
 Class 3- Semiskilled workers: Stenotypists, machine
operators, switchboard operator, etc.
 Class 4- Semiskilled workers: file clerks, office boys,
etc.
POINT METHOD
This method is widely used currently.
In this method jobs are expressed in terms of key
factors.
Points are assigned to each factor after priortising each
factor in order of importance.
The points are summed up to determine the wage rate
for the job.
Jobs with similar point totals are placed in similar pay
grades
Factor Comparison Method
It is more systematic and scientific method of job
evaluation.
Though it is the most complex method of all, it is
consistent and appreciable.
Under this method, instead of ranking complete jobs,
each job is ranked according to a series of factors.
These factors include:
>mental effort.
>physical effort.
>skills needed.
>responsibility.
>working conditions.
>know-how.
>problem solving abilities.
>accountibility, etc.
Wages are assigned to the job in comparison to its
ranking on each job factor.
Comparison of Job Evaluation Methods
Advantage Disadvantage
RankingRanking Fast, simple, easy toFast, simple, easy to
explain, suitable forexplain, suitable for
small org, not expensive.small org, not expensive.
Not very accurate , notNot very accurate , not
useful for large org.,leastuseful for large org.,least
used methodused method
ClassificationClassification Can group a wide rangeCan group a wide range
of work together in oneof work together in one
system, simple, moresystem, simple, more
accurate than rakingaccurate than raking
method.method.
Not useful for large org,Not useful for large org,
time consuming, nottime consuming, not
involved detailed jobinvolved detailed job
analysis.analysis.
PointPoint Compensable factors callCompensable factors call
out basis forout basis for
comparisons.comparisons.
Compensable factorsCompensable factors
communicate what iscommunicate what is
valued.valued.
Can becomeCan become
bureaucratic and rule-bureaucratic and rule-
bound.bound.
Comparison of Job Evaluation Methods
Advantage Disadvantage
Factor comparisonFactor comparison
methodmethod
Finds wages for a job,Finds wages for a job,
wages can be calculatedwages can be calculated
speedily, greaterspeedily, greater
consistency in theconsistency in the
judgment, size of jobsjudgment, size of jobs
can be measured.can be measured.
Expensive, timeExpensive, time
consuming,consuming,
Job evaluation its methods and advantages & dis-advatages

More Related Content

PDF
Compensation management
PPTX
Job evaluation ppt
PPTX
Job Evaluation PPT
PPTX
Techniques for Forecasting Human Resources
PPTX
Job design
PPTX
Selection process, features and examples
PPTX
HRM Interventions
PPT
Job evaluation methods
Compensation management
Job evaluation ppt
Job Evaluation PPT
Techniques for Forecasting Human Resources
Job design
Selection process, features and examples
HRM Interventions
Job evaluation methods

What's hot (20)

PPTX
Training and development
PPTX
Human resource information systems (1)
PPTX
RECRUITMENT AND SELECTION
PPT
Assessment of HRD Needs
PPTX
PPTX
Training & Development HRM
PPTX
HUMAN RESOURCE PLANNING
PPT
Selection Process In Human Resource Management - HRM
PPTX
Human Resource Management: Reward and compensation
PDF
Strategic Human Resource Management
PPTX
JOB ANALYSIS - PROCESS
PPT
Job evaluation-ppt
PPTX
Executive development l12
PDF
Top 5 steps of human resource planning process
PPT
Job Analysis Methods In HRM
PPTX
Job evaluation
PPTX
Hrm job evaluation
PPTX
Purposes and objectives of human resource mangement
PPTX
Compensation and reward management-types of compensation
PPT
Performance Management and Performance Appraisals
Training and development
Human resource information systems (1)
RECRUITMENT AND SELECTION
Assessment of HRD Needs
Training & Development HRM
HUMAN RESOURCE PLANNING
Selection Process In Human Resource Management - HRM
Human Resource Management: Reward and compensation
Strategic Human Resource Management
JOB ANALYSIS - PROCESS
Job evaluation-ppt
Executive development l12
Top 5 steps of human resource planning process
Job Analysis Methods In HRM
Job evaluation
Hrm job evaluation
Purposes and objectives of human resource mangement
Compensation and reward management-types of compensation
Performance Management and Performance Appraisals
Ad

Similar to Job evaluation its methods and advantages & dis-advatages (20)

PPTX
Job Evaluation_Parakramesh Jaroli_MBA_HR
PPTX
Job evaluation and wage plan
PPTX
Job Evaluation.pptx
PPT
Job evaluation
PPTX
Job evolution ppt
PDF
hrm-jobevaluation-130310080142-phpapp01.pdf
PPT
job_evaluation HUMAN RESIRCE MANAGEMENT. ppt
PPTX
Job evaluation - Module 2 - MG University - Manu Melwin Joy
PPT
Job evaluation
PPTX
Job evaluation - compensation management - Manu Melwin Joy
PPTX
KMB202 (HRM) unit 4 job evaluation
DOCX
Compensation
PPTX
Module 3 - Recruiment and selectionJob Evaluation. ppt
PPT
Compensation Management 1
PPT
Job evaluation l 11
PDF
Human resources management ppt. Master of business administration
PPT
Compensation
DOCX
Performance appraisal introduction
PPT
HRM-Job Evaluation.ppt
PPTX
Performance Appraisal & Job Evaluation
Job Evaluation_Parakramesh Jaroli_MBA_HR
Job evaluation and wage plan
Job Evaluation.pptx
Job evaluation
Job evolution ppt
hrm-jobevaluation-130310080142-phpapp01.pdf
job_evaluation HUMAN RESIRCE MANAGEMENT. ppt
Job evaluation - Module 2 - MG University - Manu Melwin Joy
Job evaluation
Job evaluation - compensation management - Manu Melwin Joy
KMB202 (HRM) unit 4 job evaluation
Compensation
Module 3 - Recruiment and selectionJob Evaluation. ppt
Compensation Management 1
Job evaluation l 11
Human resources management ppt. Master of business administration
Compensation
Performance appraisal introduction
HRM-Job Evaluation.ppt
Performance Appraisal & Job Evaluation
Ad

More from university of education (11)

DOC
Applications of computers to society
PPT
Industrial Relations & Labour laws A brief overview
PDF
Factories act 1934
PPT
Organizational Change and Stress Management
PPT
Stress management
PPT
how to determine return on training ang development
PPTX
7c's of effective business communication #mba #communication
PPT
Hris and its application software (Human Resource Information System)
PPTX
Human resource management audits
PPT
Foundations of group behavior
PPTX
conflict and negotiation = bargaining
Applications of computers to society
Industrial Relations & Labour laws A brief overview
Factories act 1934
Organizational Change and Stress Management
Stress management
how to determine return on training ang development
7c's of effective business communication #mba #communication
Hris and its application software (Human Resource Information System)
Human resource management audits
Foundations of group behavior
conflict and negotiation = bargaining

Recently uploaded (20)

PDF
Reconciliation AND MEMORANDUM RECONCILATION
PDF
Power and position in leadershipDOC-20250808-WA0011..pdf
PDF
Stem Cell Market Report | Trends, Growth & Forecast 2025-2034
PDF
Elevate Cleaning Efficiency Using Tallfly Hair Remover Roller Factory Expertise
PPTX
Belch_12e_PPT_Ch18_Accessible_university.pptx
DOCX
unit 1 COST ACCOUNTING AND COST SHEET
PDF
Nidhal Samdaie CV - International Business Consultant
PPTX
Probability Distribution, binomial distribution, poisson distribution
PDF
MSPs in 10 Words - Created by US MSP Network
PDF
Laughter Yoga Basic Learning Workshop Manual
PDF
IFRS Notes in your pocket for study all the time
PDF
DOC-20250806-WA0002._20250806_112011_0000.pdf
PDF
Types of control:Qualitative vs Quantitative
PPTX
job Avenue by vinith.pptxvnbvnvnvbnvbnbmnbmbh
PPTX
The Marketing Journey - Tracey Phillips - Marketing Matters 7-2025.pptx
PDF
Deliverable file - Regulatory guideline analysis.pdf
PPTX
Lecture (1)-Introduction.pptx business communication
PPTX
HR Introduction Slide (1).pptx on hr intro
PPTX
AI-assistance in Knowledge Collection and Curation supporting Safe and Sustai...
PPTX
ICG2025_ICG 6th steering committee 30-8-24.pptx
Reconciliation AND MEMORANDUM RECONCILATION
Power and position in leadershipDOC-20250808-WA0011..pdf
Stem Cell Market Report | Trends, Growth & Forecast 2025-2034
Elevate Cleaning Efficiency Using Tallfly Hair Remover Roller Factory Expertise
Belch_12e_PPT_Ch18_Accessible_university.pptx
unit 1 COST ACCOUNTING AND COST SHEET
Nidhal Samdaie CV - International Business Consultant
Probability Distribution, binomial distribution, poisson distribution
MSPs in 10 Words - Created by US MSP Network
Laughter Yoga Basic Learning Workshop Manual
IFRS Notes in your pocket for study all the time
DOC-20250806-WA0002._20250806_112011_0000.pdf
Types of control:Qualitative vs Quantitative
job Avenue by vinith.pptxvnbvnvnvbnvbnbmnbmbh
The Marketing Journey - Tracey Phillips - Marketing Matters 7-2025.pptx
Deliverable file - Regulatory guideline analysis.pdf
Lecture (1)-Introduction.pptx business communication
HR Introduction Slide (1).pptx on hr intro
AI-assistance in Knowledge Collection and Curation supporting Safe and Sustai...
ICG2025_ICG 6th steering committee 30-8-24.pptx

Job evaluation its methods and advantages & dis-advatages

  • 2. Job Evaluation Job evaluaton is a systematic way of determining the value/worth of a job in an organisation.
  • 3. Process of Job evaluation Decide which jobs are to be evaluated Job Analysis and preparing job description.  systematically rate each job based on the job evaluation factors selected. The points assigned for each of the factors are totalled for each job. A Job is evaluated in the following three categories
  • 4.  1. Know-how  Know-how is the sum total of every kind of knowledge and skill however acquired, e.g. experience, education, etc. needed for accept-able job performance. Know-how includes three elements:  A. Specialized, technical or practical know-how: the basic job knowledge needed.  B. Managerial know-how: The degree with which the job deals with planning and organizing the employee’s activities and coordinating with others.  C. Human relations skills: The persuasion and communication skills for motivating, training, and developing others.
  • 5. 2. Problem Solving Problem solving is the amount of original self-starting thinking required by the job for analyzing, evaluating, creating, reasoning, arriving at and coming to conclusions. Problem-solving has two elements: A. Thinking environment – defines the degree to which the incumbent is free to develop answers to problems, ranging from the day-to-day decisions based on simple memory to those which require creative thinking or long-range strategies. B. Thinking challenge – defines the complexity and uniqueness of problems and may range from
  • 6. Accountability is the answerability for action and for the consequences of that action. Accountability has three elements: a) Freedom to act is the degree to which the position can take action without consulting a higher authority. b) Impact on end results- advisory or decision c) Magnitude is the size of the area in which the job functions, i.e, whole organization, single department, etc.
  • 7. Compare and see how much value does this job have in the industry . Decide the amount of compensation to be given
  • 8. Process of Job evaluation Selecting the method of evaluation. Classifying jobs. Installing the programme. Reviewing periodically.
  • 9. Features of Job Evaluation It tries to assess jobs, not people. The standards of job evaluation are relative, not absolute. The basic information on which job evaluations are made is obtained from job analysis.
  • 10. Features of Job Evaluation Job evaluations are carried out by groups, not by individuals. Some degree of subjectivity is always present in job evaluation. Job evaluation does not fix pay scales, but merely provides a basis for evaluating a rational wage structure.
  • 11. Benefits of job evaluation It tries to link pay with the requirements of the job. It offers a systematic procedure for determining the relative worth of jobs. An equitable wage structure is a natural outcome of job evaluation An unbiased job evaluation tends to eliminate salary inequalities by placing jobs having similar requirements in the same salary range.
  • 12. Benefits of job evaluation Employees as well as unions participate as members of job evaluation committee. Job evaluation, when conducted properly and with care, helps in the evaluation of new jobs. It points out possibilities of more appropriate use of the plant’s labour force by indicating jobs that need more or less skilled workers than those who are manning these jobs currently.
  • 13. 1- RANKING METHOD 2-CLASSIFICATION METHOD 3-POINT METHOD 4-FACTOR COMPARISON METHOD
  • 14. RANKING METHOD It is the simplest method of job evaluation. In this method, jobs are arranged from highest to lowest, in order of their value or merit to the organisation. Jobs can also be arranged according to the relative difficulty in performing them. Jobs are usually ranked in each department and then the department rankings are combined to develop an organisational ranking.
  • 15. JOB CLASSIFICATION According to this method, a predetermined number of job groups or job classes are established and jobs are assigned to these classifications. This method places groups of jobs into job classes or job grades. Separate classes may include office, clerical, managerial, personnel, etc.
  • 16. JOB CLASSIFICATION Following is a brief description of classification in an office:  Class 1- Executives: Office manager, deputy office manager, department supervisor, etc.  Class 2- Skilled workers: Purchasing assistant, cashier, receipts clerk, etc.  Class 3- Semiskilled workers: Stenotypists, machine operators, switchboard operator, etc.  Class 4- Semiskilled workers: file clerks, office boys, etc.
  • 17. POINT METHOD This method is widely used currently. In this method jobs are expressed in terms of key factors. Points are assigned to each factor after priortising each factor in order of importance. The points are summed up to determine the wage rate for the job. Jobs with similar point totals are placed in similar pay grades
  • 18. Factor Comparison Method It is more systematic and scientific method of job evaluation. Though it is the most complex method of all, it is consistent and appreciable. Under this method, instead of ranking complete jobs, each job is ranked according to a series of factors.
  • 19. These factors include: >mental effort. >physical effort. >skills needed. >responsibility. >working conditions. >know-how. >problem solving abilities. >accountibility, etc. Wages are assigned to the job in comparison to its ranking on each job factor.
  • 20. Comparison of Job Evaluation Methods Advantage Disadvantage RankingRanking Fast, simple, easy toFast, simple, easy to explain, suitable forexplain, suitable for small org, not expensive.small org, not expensive. Not very accurate , notNot very accurate , not useful for large org.,leastuseful for large org.,least used methodused method ClassificationClassification Can group a wide rangeCan group a wide range of work together in oneof work together in one system, simple, moresystem, simple, more accurate than rakingaccurate than raking method.method. Not useful for large org,Not useful for large org, time consuming, nottime consuming, not involved detailed jobinvolved detailed job analysis.analysis. PointPoint Compensable factors callCompensable factors call out basis forout basis for comparisons.comparisons. Compensable factorsCompensable factors communicate what iscommunicate what is valued.valued. Can becomeCan become bureaucratic and rule-bureaucratic and rule- bound.bound.
  • 21. Comparison of Job Evaluation Methods Advantage Disadvantage Factor comparisonFactor comparison methodmethod Finds wages for a job,Finds wages for a job, wages can be calculatedwages can be calculated speedily, greaterspeedily, greater consistency in theconsistency in the judgment, size of jobsjudgment, size of jobs can be measured.can be measured. Expensive, timeExpensive, time consuming,consuming,

Editor's Notes

  • #2: MAGNETIC CONTACTORS