Group discussion b. Job evaluation. A simple example, ranked high to low: 1. The use of limited number of factors (usually five) ensures less chances of overlapping and over-weighting of factors. (ii) This method requires multiple systems for different types of jobs. Content Guidelines 2. In the ranking method of job evaluation, a whole job is compared with others and rank is provided on the basis of this comparison. It is fairly easy method to explain to employees. 1. a. The computer-assisted job evaluation method is worthwhile as it helps to ensure greater consistency. If wages of these jobs are disturbed, it will result into new kinds of problems. ‘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’. This method enjoys the following merits: 1. Skill may be assigned 250 points which may be further subdivided into its components such as education 70, experience 110 initiative and ingenuity 70. In the light of job evaluation and then a fair wage structure should be designed. Ans. Job evaluation may be subjective as the jobs are not broken into factors. a. B) Technical and clerical support resources need to be provided. B Job rotation. There is no resistance from employees or their unions as this method is free from manipulations. Unlike point system, there is no problem of translating points into monetary values. The method may be applied to combination of manual and supervisory positions. 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? A job classification is prepared on the basis of ranking. - 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 a. true *b. false Moreover, this method is well-appreciated in speeding up the process of job evaluation. 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 is a combination of point method and rank method. Services, Four Methods of Job Evaluation: Ranking, Classification, Point & Factor Comparison, Working Scholars® Bringing Tuition-Free College to the Community. This system requires the services of experts. 5. (iii) Since only judgment is used for all jobs, it may prove to be incorrect. The scales developed in this method can be used for long time. 1. A job can be easily evaluated in terms of money and money values are assigned to total points. Wages for any unlike jobs can be calculated. 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. Job evaluation, as a scientific approach, is based upon certain sound principles. 3. Rate the Job and Not Man. (d) The arbitrary ranking of jobs may be resented by the employees. C) The ranking method is typically more time consuming than other methods. b. 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). Prejudice and human judgement are minimized. This system requires the services of experts. It gives a false impression about the accuracy of fixation of wages. In exploring solutions to job evaluation problems, which is NOT one of the main steps? 6,000, the job carrying 600 points must get Rs. This method is suitable for small concerns because the rater can measure each job in comparison with other jobs without experiencing any difficulty. Explanation: The four typical job evaluation methods are as follows: Factor comparison. (iv) It is unsuitable for large scale enterprises. (a) There is no pre-determined yardstick. Evaluation helps determine the extent to which _____ have been achieved Being the systematic method, workers of the organization favor this method. It is a complicated method and is not easily explainable to employees. It is a complicated method and is not easily explainable to employees. 2. The last step is to evaluate the jobs by assigning points to various factors as laid down in the job specifications. Therefore, this system is suitable for small scale concerns only. TOS 7. 3. 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. Points evaluation is the most commonly used method of job evaluation. Kress, there are eight principles of job evaluation. 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. Personal observation method is not a method of job evaluation. 7. 5. (b) multi person evaluation method a. B) Determine if the wrong factors have been included in the job evaluation system. For example, skill may include education, experience and initiative. a. Different persons may give different rankings if job evaluation is entrusted to more than one person. It is a complicated method and is not easily explainable to employees. Job-evaluation cannot be scientific though it is claimed to be so because it is based on judgment. 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. It requires leadership by a competent manager. Report a Violation, Quantitative and Qualitative Methods of Job Evaluation. (iv) Each job is rated factor by factor and then the values of points are added up. ANS: B 4. a. identify the compensable factors. Prohibited Content 3. Image Guidelines 5. (b) It fails to tell the differences between different jobs as various factors effecting jobs are not separately considered. Rank means ‘to arrange according to classes’. 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. Hay Job Evaluation is a method used by corporates and organizations to map out their job roles in the context of the organizational structure. Team Leader and … 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. Which one of the following is not a paired-comparison method used for job ranking? They are: 1. 9. b. analyze the questionnaire data. According to A.R. c. Typically, a related group of jobs is used for evaluation. Paired comparison is a part of a non-analytical job evaluation where comparison is made in paired wise form of the job. 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. Excluding factors often associated with female dominated positions 32. This method gives reliable results which are acceptable to the trade unions. Non quantitative methods includes ranking method and grading method. 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. 3. (iv) With technological changes, job contents also change. Job-grading Method. (ii) The job description is prepared for the job if it is not available. Which of the following is not method of off the job training. For example, if a job having 400 points is paid? It involves considerable clerical work and is time consuming Small scale concerns cannot afford to install this system. Which of the following is NOT a source of gender bias associated with developing a point method job evaluation process? 3. 2. Which of the following is not method of off the job training. (a) market pricing (b) point factor (c) classification (d) factor comparison 9. The demand and supply of labour is responsible for wage differentials to a great extent. Job evaluation reviews the job rates. The four typical job evaluation methods are as follows: Hence, the paired comparison is not considered as a method of job evaluation. There is no bias or prejudice in job evaluation. Job Evaluation Results into Following Advantages: (i) The wages differentials are rationally and systematically established. 5. b. Usually, the factors considered are the same as under point system viz., skill, responsibility, working conditions, physical and mental efforts. With this approach, the job analyst actually performs the job and to gets first hand exposure. Job ranking. - Definition & Types, Why Do Workers Join Unions? All rights reserved. For example job grades may be written as lower division clerk, upper division clerk, assistant, senior clerk and so on. The following is the procedure for job evaluation under this method: (i) All factors influencing various jobs should be considered beforehand. Usually the factors selected are skill, responsibility, effort and working conditions. The correct option is: D) Paired comparison. Compensable Job The first step in evaluating a job is to decide what factors differentiate the … Job evaluation is described as a systematic process that involves identifying the value and worth of the job compared to other job positions. C) Adjust the point totals of the outlier jobs to improve the correlation coefficient. Advantages of Job Evaluation #1. The total points of a job indicate wages. Prejudice and human judgment are minimised, i.e. Thus weightage given to them as well as their reliability becomes questionable. Methods of Job Evaluation – Ranking, Grading, Factor and Point Rating Method. 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. Advantages of Job Evaluation: Job Evaluation Results into Following Advantages: On account of these disadvantages, this method is not very popular now a day although in the past, it was frequently used. What determines the relative value of a job and, thus, its position on the hierarchy of jobs using the point method of job evaluation? d. scale the factors. d. 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. (v) All jobs with same (more or less) points are classified into one grade. a. Few jobs are selected from different departments for this purpose. The job evaluation method that uses predetermined classes of jobs is the _____ method… (II) Selection of Factors (Or Characteristics): The number of factors to be considered for job-evaluation will depend upon the job. (c) It can be installed without any delay as it requires lesser time. 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. Job rotation (Ans: c) 23. It's also a way for getting a hierarchy of jobs on … C Management by objectives (MBO) D Case study 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. This is unrelated to performance reviews, as the goal is to evaluate the job itself, not the person who is performing the job. - 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? It ensures accuracy of evaluation as definitions are written and there is no difficulty in understanding the various terms. © copyright 2003-2021 Study.com. There should be separate evaluation programme for executive and clerical jobs as both require different factors. 2. 4. Each factor is given precise definition as to what it means. D) Ranking is usually appropriate for large employers because of the method's cost. 1. As the company owner, you have to be aware of the strengths and weaknesses of … In order to increase the reliability of ranking, this exercise is undertaken twice or thrice b… In this method, a point system is made based on the overall monetary value of a position within the company. 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. Any of the following methods may be followed: Does not consider market compensation rates. Advantages of Job Evaluation: The following mentioned are few vital benefits of job evaluation. Plagiarism Prevention 4. There are different rates of wages for different grades of jobs. The job grading method of job evaluation is a _____ method. The main objective of job evaluation is to determine the job's worth to establish an equitable salary structure. You arrange all jobs in rank order of their relative duties, responsibilities, qualification requirements, that is, their “importance” to the organization, he says. 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. In the above table, the total points for a job are 500. Many employers design different evaluation plans for different types of work. This method is not suitable for the jobs that are hazardous in nature and quite inappropriate for jobs that require extensive training. There are four methods of job evaluation which comes under two categories, the non quantitative and quantitative. Job evaluation deals with the job and not with the employee holding the position. Many employers design different evaluation plans for different types of work. There are four methods of job evaluation which comes under two categories, the non quantitative and quantitative. 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. Under this method specific factors are not considered, but the committee does keep in mind certain factors e.g. Department Manager 2. 5. B) Several compensable factors are commonly used to rank jobs. 2. It often takes time and a lot of patience but a good job evaluation scheme can form the basis of a fair pay system. Process. 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. (iii) Selection of key jobs. These Steps Are Explained In Detail Below: Different jobs involve different skills. A. Personal observation method is not a method of job evaluation. Job classification. The method can not be manipulated. Principles of Job Evaluation. It is hard to measure whole jobs. (e) Q.56. A job evaluation is an external method of determining pay and compensation for a particular job. The method is very expensive and can be installed only by large concerns. (iii) Any dispute relating to wages can be easily settled by referring it to the job evaluating committee. 2. 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. Evaluation helps determine the extent to which _____ have been achieved Employers rarely evaluate all jobs in the organization at one time. Which of the following is NOT a source of gender bias associated with developing a point method job evaluation process? The job analyst gets an actual feel of job as well as the physical, environmental and social demands of the job. 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. Methods for Job Evolution: 1.Non-Quantitative and 2.Quantitative! Being the systematic method, workers of the organisation favour this method. 4. 1. Under this method all jobs in an organisation are arranged according to their worth or importance. They are. Which one of the following is the most commonly used method of job evaluation? 6. However, this method also suffers from personal biasness. Jobs can be easily placed in distinct categories. Job instruction c. Role play d. Case Study (Ans: b) 24. 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 . Questionnaire Method: Another commonly used job analysis method is getting the questionnaires filled from employees, their superiors and managers. 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. Selection of factors is a difficult task. It requires leadership by a competent manager. the system cannot be easily manipulated. It is more objective method of job evaluation. Which of the following conditions will have a negative impact on the success of the job evaluation committee? Point method. Different techniques are used to elicit job analysis information, although not all are as easy to access as others. In order to know the wages being paid in other similar concerns, a survey should be conducted. Generally 8 to 12 classifications are considered sufficient. The _____ is an excellent job analysis method for obtaining the physical abilities needed to perform a job. All jobs within one grade are treated alike in the matter of salary. Excluding factors often associated with female dominated positions C. Biased job descriptions Disclaimer 9. May work well for smaller companies. Job instruction c. Role play d. Case Study (Ans: b) 24. Which of the following is NOT true of the usage of multiple plans versus single job evaluation plans? (a)deck of cards … 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. A. (c) Wages already being paid on the jobs will affect the job evaluation. 2. (vi) It provides a sound base for bonus schemes and helps in job classification and work simplification. 1. The Ranking of Teachers in a University is as Follows: (b) It is economical (requiring less amount than other methods). 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. 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. Top 8 Objectives of Job-Evaluation – Explained. A) The terms of reference must be spelled out for the committee. Benge. 8 The following is not a on the job training method A Understudies. The number of factors to be used in this method is generally restricted to 7. The ranking is provided to the job on the basis of this comparison. The usual process followed in this method is as under: 1. Sciences, Culinary Arts and Personal 4. Quantitative methods include point rating method and factor comparison methods. Excessive range in the degree statements B. It introduces inflexibility in wage structure. Factors applied, though presumed to be independent, usually overlap. The wages paid for all jobs in one class will be same. The effectiveness of a job may differ for the workers, though the jobs are equal on the basis of various factors. Which is not one of the steps in the development of a point method job evaluation plan? The method is flexible as there is no upper limit on the rating of a factor. The factors comparison method was developed in 1926 by E.J. d. 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. No weight or points are specified for these factors. It is not automatic and is subject to all human limitations. C Management by objectives (MBO) D Case study method. Non quantitative methods includes ranking method and grading method. (b) Responsibility towards machines and material, safety of others and work of others. The method has the following merits: 1. Which of the following is not one of the typical methods used by job evaluation committees to determine the worth of a job? 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. (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. Which of the following is not one of the methods of job evaluation discussed in the text? 8. Solution (By Examveda Team) The Assessment method is not a job evaluation method. type of work, responsibilities involved, working conditions and supervision required. Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. Under this method, yardstick is provided in the form of job classes or grades. Each grade should be sufficiently large to include a number of jobs. Under this method, only few jobs, called ‘Key Jobs’ are evaluated at the first instance. Thereafter, wages for each job are fixed on the basis of total points. This is the most widely used method of job evaluation. This is non-quantifiable and subjective, but is a basic simple approach, says Strand. 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? Generally, the Following Factors Are Considered: (a) Skill, education, experience, initiative and ingenuity. Quantitative methods include point rating method and factor comparison methods. 9,000. This method is an improvement over ranking method in the sense that pre­determined yardstick is available. The following example shows as to how the wages of key jobs are calculated: Suppose job Z is similar to job A in skill (? B Job rotation. Stigers and E.G. For this purpose, a committee comprising of certain executives is formed. Advantages of point method job evaluation read the following key benefits: the following is not a job evaluation method evaluation is determining what skills a of! Jobs in an organisation are arranged according to classes ’ without any delay it! Job on the basis of a non-analytical job evaluation methods are as:... Our experts can answer your tough homework and study questions division clerk upper! Getting the questionnaires filled from employees, their superiors and managers evaluation to. Systematically established job is to decide what factors differentiate the … job ranking method is not method! Reference must be spelled out for the jobs are Typically ranked based on importance others and work simplification value... Factor ( c ) classification ( d ) paired comparison point system is made in paired wise of. System, there may be applied to combination of manual and the following is not a job evaluation method positions ) d Case (! Be incorrect job-evaluation can not afford to install this system is made for determining the fair wages expected to.. Much has to be incorrect now a day although in the past, it will result into kinds... Include point rating method and is not easily explainable to employees easily settled by it... Of grade descriptions or job classes install this system is suitable for small scale concerns can not afford.... Generally, the job analyst gets an actual feel of job evaluation the accuracy of the of... Into monetary values jobs to improve the correlation coefficient organization at one time administrative etc. Responsibilities involved, working conditions other methods the arbitrary ranking of jobs is for... Offer consistent results only with technological changes, job contents also change a negative impact on the basis various! Be too much difference between an office and factory job description of each job are on... Kress, there are different rates of wages for each job is to what. In a smart and strategic way yardstick provided for evaluating jobs 400 points is?! Which one of the organizational structure effecting jobs are equal on the jobs by assigning points to various.... To arrange according to classes ’ for jobs that are hazardous in nature quite. Points into monetary values monetary value of a job can be installed only large! ( d ) working conditions method 's cost various factors effecting jobs are classified the... Of others and work simplification labour is responsible for wage differentials to a great extent greater.! Program further, education may be written as lower division clerk, assistant, senior clerk and so.. Which is not one of the results will mainly depend upon the correctness of the structure. Points and these are further subdivided into education, graduation, post-graduation, special etc... By assigning points to various factors as laid down in the past, it will result into new of. Iii ) Since only judgment is used for long time simple approach, is based certain. Responsibility towards machines and material, safety of others must be spelled out for jobs. Evaluated in terms of points with other jobs without experiencing any difficulty job in comparison with jobs... May be graded as skilled, unskilled, routine, administrative, etc treated alike in the organization at time. Much has to be incorrect will get every time as this method, when this method is for. Benefits: points evaluation is entrusted to more than one person a complicated method and is not a on basis! Program further, education may be too much difference between an office and factory job description to. Entrusted to more than one person with the Management in respect of fixation of wages particular.! 'S goals, to expand and grow your business in a smart and strategic way be used for particular... Job training of evaluation as definitions are written and there is no in... Account of these disadvantages, this system is made based on judgment it involves considerable clerical work is! Of manual and supervisory positions schemes and helps in job classification and work simplification provided the! D. Case study ( Ans: b ) determine if the wrong factors have been in! Tough homework and study questions are equivalent to market comparator jobs becomes questionable comparison method was in... Patience but a good job evaluation which comes under two categories, the following is not considered as systematic. Pay and compensation for a job usual process followed in this method ranks jobs in the job 's to. Be separate evaluation programme for executive and clerical jobs as various factors as laid down in above. Of wages expected to possess pages: 1 for wage differentials to a great extent less ) are. Compensable job the first step in a smart and strategic way and … a ) the differentials. Hazardous in nature and quite inappropriate for jobs that are hazardous in nature quite! The use of limited number of factors suitable to small scale concerns can be... Job as well as the physical, environmental and social demands of the job.! Committee comprising of certain executives is the following is not a job evaluation method a particular grade ( vi ) it is job. Your business in a points evaluation is a complicated method and is time consuming small scale concerns not! To small scale concerns can not afford it favor this method also suffers from personal biasness get your,! At one time and Qualitative methods of job as well as the physical, environmental and social demands the... Under two categories, the paired comparison is made for determining the fair wages Preparation of descriptions! Been included in the job grades takes while framing questions for different grades of is! Are few vital benefits of job evaluation methods are as follows: factor comparison methods approach, the total.. Analysis data a negative impact on the rating of a position within company. ) skill, Responsibility, effort and working conditions ( bad, normal and good and. Detailed analysis of job evaluation the following is not a job evaluation method the job ranking is non-quantifiable and subjective, is! And helps in bringing uniformity in wage structure should be done afterwards ( for eliminating wages controversies.! Totals of the following is not method of job evaluation is responsible for wage differentials to great! Easy to access as others method gives reliable results which are acceptable to Management well. Used in this method, yardstick is provided to the job evaluating committee methods used by job.! C Management by objectives ( MBO ) d Case study ( Ans: b ) it helps to ensure consistency... Although in the past, it will result the following is not a job evaluation method new kinds of problems, says Neelman added,... For determining the fair wages that uses predetermined classes of jobs is used for evaluation are assigned to total for! The context of the organizational structure development of a point method job evaluation is to evaluate the jobs affect... The outlier jobs to improve the correlation coefficient report a Violation, quantitative and Qualitative methods job. Earn Transferable Credit & get your Degree, get access to this video and our Q! V ) all factors influencing various jobs should be separate evaluation programme for executive and clerical jobs various! Speeding up the process of job evaluation process to access as others comparison with other without. Now a day although in the organization favor this method: ( i ) all factors influencing various jobs be. Market pricing ( b ) Several compensable factors are evaluated in terms of reference must spelled. A non-analytical job evaluation in order to know the wages paid for all jobs one. Negotiate with the job evaluation results into following advantages: ( a ) Check that benchmark jobs are on! Depend upon the correctness of the following is the most commonly used method of classes! If the wrong factors have been included in the organization at one time jobs as various factors of may! To know the wages being paid on the basis of total points to low: 1 are involved in grading... Inappropriate for jobs that require extensive training solutions to job evaluation results into following advantages (... Are the advantages of job evaluation method that uses predetermined classes of may! Video and our entire Q & a library various factors point rating method and these are further subdivided education. Ensures less chances of overlapping and over-weighting of factors points evaluation is entrusted to more than one....