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GOOD MORNING

JOB
AGGREGATION OF TASKS,DUTIES AND RESPONSIBILITIES WHICH AS A WHOLE,ARE REGARDED AS A REGULAR ASSIGNMENT TO INDIVIDUAL EMPLOYEES.

JOB EVALUATION
Job evaluation is the output provided by Job Analysis.
Job Analysis describes the duties of a job,authority
relationship,skills required,conditions of work & additional relevant information.

Job Evaluation involves a formal & systematic


comparison of jobs in order to determine the worth of one job relative to another,so that a wage or salary hierarchy results. It is a process by which jobs in an organization are evaluated. It is adopted to help mgt. to maintain high levels of employee productivity & employee satisfaction.

JOB EVALUATION
JOB EVALUATION IS A PROCESS OF DETERMINING THE RELATIVE WORTH OF VARIOUS JOBS WITHIN THE ORGANIZATION,SO THAT DIFFERENT WAGES MAY BE PAID TO JOBS OF DIFFERENT WORTH.

FEATURES OF JOB EVALUATION


Tries to assess jobs,not people. Basic information on which job evaluations are made is obtained from job analysis.
Job evaluation is carried out by groups, not by individuals. Job Evaluation does not fix pay scales,but merely provides a basis for evaluating a rational wage structure.

Process of Job Evaluation

Gaining Acceptance
Creating job Evaluation Committee Finding the jobs to be evaluated Describing the jobs Selecting the method of evaluation Classifying jobs Installing the programme

Periodic review

BENEFITS OF JOB EVALUATION


It tries to link pay with the requirement of the job. It offers a system and procedure for determining the worth of jobs. It helps to improve industrial relations by reducing employee doubts n grievances arising out of wages. Employees as well as union participate as members of job evaluation committee while determining rate grades for diff. jobs It helps in increasing employees productivity.

Methods of Job Evaluation

Ranking Method

Factor Classification Comparison Method Method

Point method

Ranking Method
Each job as a whole is compared with others jobs. Then jobs are arranged from the highest to lowest in order to their value. . Jobs are ranked in each department and then the dep. Ranking are combined to develop organization ranking. This method is simple to understand and best to small organization

Array of Jobs according to the Ranking Method


Rank
1.Accountant 2.Accounts clerk 3.Purchase assistant 4.Machine-operator 5.Office boy

Monthly Salaries
Rs.3000 Rs.1800 Rs. 1700 Rs.1400 Rs.900

Classification Method
A predetermined no. of job groups or job classes are established. Jobs are assigned to these classification. Separate classes may include offices, clerical, managerial and personnel.

This method takes into acc all the factors that job comprises.

DESCRIPTION OF JOB GRADES Grades Description

Unskilled Involve manual work. Little mental ability is required. No formal education is essential.
Skilled Include clerical jobs. Little physical effort. High school certificate is required

Supervisory This grade require ability to apply established procedures and to guide others. Graduate degree is essential. Executive This grade involve decision-making and administration work. Professional qualification is essential.

Factor Comparison Method: In this each job is ranked acc to the series of factors like mental and physical effort, skill needed, response. Etc. Pay is determined by comparing weights of factors

Point Method
Factors are arranged in orders of their Imp.
Points are assigned to each factor. Points are summed up to determine wage rate for the job.

WAGE
In narrow sense- wages are the price paid for the services of labour. In broader sense- it includes family allowance, relief pay, financial support and other benefits.

WAGE DIFFERENTIALS
WAGES DIFFER IN DIFFERENT OCCUPATIONS, INDUSTRIES AND LOCALITY AND ALSO BETWEEN PERSONS IN THE SAME EMPLOYMENT OR GRADE AND ARE TERMED AS WAGE DIFFERENTIALS.

(2) Inter industry Diff.

(3) Occupational Differential

(4) Personal Wage Diff (5) Inter area of Regional Diff

(1)
Inter- firm Differential

Reasons for Differences

COMPENSATION
IT IS WHAT EMPLOYEE RECEIVE IN EXCHANGE FOR THEIR CONTRIBUTION TO THE ORGANIZATION. IT IS A COMPREHENSIVE TERM WHICH INCLUDE PAY, INCENTIVES, BENEFITS OFFERED BY THE EMPLOYER FOR HIRING THE SERVICES OF EMPLOYEES. THESE BENEFITS ARE INSURANCE, MEDICAL, RECREATIONAL, RETIREMENT ETC.

(3) Prevailing Wage rate (2) Ability to pay (1) Productivity

(4) Job Requirements

(5) Union Pressure (6) Cost of living

(7)
State Regulation (8) Demand & Supply

Factors Affecting Compensation Levels

WAGE INCENTIVES
WAGE INCENTIVES ARE THE EXTRA FINANCIAL MOTIVATION. THEY ARE DESIGNED TO STIMULATE HUMAN EFFORT BY REWARDING THE PERSON, OVER AND ABOVE THE TIME RATED RENUMERATION, FOR IMPROVEMENTS IN THE PRESENT OR TARGETTED RESULTS

Incentive Plans
Incentives- These are extra compensation given to

efficient workers on basis of their performance in terms of time, costs and quality.

Under incentive plans, the employer as well as the employee share the benefit of time saved. The various incentive plans have benefited both workers and employers, as they result in higher wages, lower labour turnover and better industrial relations and morale.

ADVANTAGES OF INCENTIVE PLANS


OPPORTUNITY FOR HARDWORKING & AMBITIOUS EMPLOYEES TO EARN MORE INCOURAGES INNOVATION IMPROVES DISCIPLINE REDUCES THE COST OF SUPERVISION IMPROVES PRODUCTIVITY SPIRIT OF TEAM WORK

LIMITATIONS OF INCENTIVE PLANS


SACRIFICE QUALITY MANAGEMENT MAY FACE RESISTANCE WHILE REVISING WORKERS MAY SACRIFICE THEIR HEALTH INCREASE THE COST & TIME OF CLERICAL WORK JEALOUSY & CONFLICTS

ESSENTIALS OF A SOUND INCENTIVE PLAN


PROPER CLIMATE WORKERS PARTICIPATION SCIENTIFIC STANDARDS GURANTEED MINIMUM WAGES SIMPLICITY EQUITABLE ECONOMICAL FLEXIBILITY PROMPT PAYMENT CEILING ON HIGHER SIDE GRIEVANCE MACHINERY

Types of Wage Incentive Plans

Individual incentives

Group incentives

Plant wide incentives

Time Based 1. Halsey Plan 2. Rowan Plan 3. Bedeaux Plan

Output Based 1. Taylor 2. Gantt. 3. Merrick

1. Priestman 2. Scanlon

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