What does JOB EVALUATION mean? These factors may age in be sub-divided into sub-factors as follows: Skill = Education, Training and Experience. In other words it is the rating of jobs in an organization. (2) The system is simple, easily understood, and easy to explain to employees (or a union). After the preparation of job description and job specification statements, it assists in the evaluation of actual performance against the predetermined standard. (2) The elements selected for rating purposes should be easily explainable in terms and as few in number as will cover the necessary requisites for every job without any overlapping. Second, the reliance of job evaluation is upon the exercise of human judgement as the method by which ranking of relative work or value of the different jobs in the family or population is arrived at. The following, five steps are generally involved: (i) The preparation of job descriptions, which gives us basic job information, usually derived form a job analysis. Learn more. The jobs are evaluated on the basis of its content and the complexity involved in its operations and thus, positioned according to its importance. Job Evaluation definition A systematic, formal process that allows organisations to compare jobs to others across the company and the industry. Features 5. two people on the same ‘level’ with different salaries, Compare remuneration with other companies, Design new jobs, departments and functions, Rework their pay framework after a company re-organisation. Plans commonly used today represent variations of these basic methods. The first two systems are called the non-analytical or non-quantitative or summary systems, because they utilise new-quantitative methods of listing jobs in order of difficulty and are, therefore, simple. (iv) It is used in important government services and operates efficiently; but it is rarely used in an industry. The job of highest importance to the enterprise is paid the wages at highest rate and the job of comparatively less importance to the enterprise is paid the wages at lower rate. Meaning of JOB EVALUATION. (iii) It is time consuming and expensive – Due to change in contents and work conditions, frequent evaluation of job is necessary by an expert or competent persons. Education of employees on job evaluation technique – All employees should be enlightened on job evaluation techniques and programme. The job classification re-evaluation is generally requested by an employee through his or her supervisor. Job evaluation is a systematic and orderly process of determining the … Its main objective is to adopt suitable wage structure. Frequent evaluation of job is a time consuming and expensive process. Image Guidelines 4. Methods 10. Kimball and Kimball define job evaluation “as an effort to determine the relative value of every job in a plant to determine what the fair basic wage for such a job should be.” Job evaluation is defined as the systematic process of assessing the value of each job in relation to other jobs in an organisation. Please direct all questions to your HR Manager. A consistent policy can be pursued through job evaluation. Workers find it difficult to fully comprehend the meaning of concepts and terms, such as factors degrees and points. Often several basic factors are chose initially and then sub-divided into sub-factors. 3. A job evaluation does not judge the person in a position, but the position itself. Job evaluation describes "a systematic process that enables the design and establishment of human resources improvement procedures and fair reward systems" and thereby "concerns the assessment of a value system that encapsulates the importance of the parameters that reflect the global responsibilities and duties of a job" (Spyridakos et al., 2001: 376). These factors are called compensable factors—which determine the definition of job content; that determine how jobs compare to each other; and they also help determine the compensation paid for each jobs. Organisation chart showing the location of the job under review. Farlex Financial Dictionary. (7) Factors are rated by points which make it possible for one to be consistent in assigning money values to the total job points. Only point values and degrees of each element should be discussed. Content Guidelines 2. © 2012 Farlex, Inc. Jobs are then grouped by total point score and assigned to wage/salary grades so that similarly rated jobs would be placed in the same wage/salary grade. For example, refer to the following table: When compensable factors are available more systematically. Hay Job Evaluation: Foundations H ay Group pioneered the “factor comparison”job evaluation method and modified it in its Guide Charts in the early 1950s. The wages for all other jobs may be determined on the similar base. There are several job evaluation methods from which to select. Pay grades are determined for, and assigned to, all the job classification. Job evaluation and compensation. In job classification, a job analysis and evaluation occurs when a new position is created. (ii) This method is simple to operate and understand, for it does not take much time or require technical help. Evaluation definition is - the act or result of evaluating : determination of the value, nature, character, or quality of something or someone. It does this by providing a ground for the following matters: (i) Equity and objectivity of salary administration, i.e. Knowles and Thomson state that job evaluation is useful in eliminating many of the evils to which nearly all systems of wage and salary payments are subject. Meaning: Job evaluation is an orderly and systematic process of determining the wages (or worth) of the job in relation to other jobs.It is a process of rewarding the job after it has been analysed. International labour organisation describes the objects of job evaluation in its report as, “The object of job evaluation is to determine the relative value of jobs of an enterprise and to determine the equal wage for equal jobs on the basis of some rational facts.” The principle upon which all job evaluation schemes are based is that of describing and assessing the value of all jobs in the firms in terms of a number of factors, the relative importance of which varies from job to job. Human Resource Management, Employees, Job Evaluation. One of the biggest criticisms of job evaluation is that it is conducted from the employer’s point of view. Job evaluation definition: the analysis of the relationship between jobs in an organization: often used as a basis... | Meaning, pronunciation, translations and examples a job evaluation scheme / … 7. 200. totherelativepositionofitsjob-titlecardinthestack. Job evaluation and its objective. This classification made on the basis of importance of different jobs. In the present industrial age, there are different types of jobs to be performed in every business and industrial enterprise. Wages for different jobs are determined on the basis of a survey. Job evaluation is a systematic way of determining the value/worth of a job in relation to other jobs in an organization. Each element should be rated of the basis of what the job itself requires. The information obtained in job analysis is recorded in the precise language of a job description. The points for each factor are summed to form a total point score for the job. Since many workers think of jobs in, or related to, clusters or groups, this method makes it easier for them to understand makings. The organisation might develop its own compensable factors or use those factors adopted by others. Lets understand the concept of job analysis and job evaluation in detail. Definition of JOB EVALUATION in the Definitions.net dictionary. Besides setting wages, job evaluation also helps in: (a) Establishing references for the settlement of grievances arising out of individual rates and for negotiations with a trade union of internal wage structure and differentials; (b) Clarifying the functions, authority and responsibility of employees; (c) Providing standardisation of and improvement in, working conditions; (d) Developing machinery for a systematic reviewing of job rates as job contents changes. In every case it is the job that is evaluated not the person doing the job. Job Evaluation : Definition, Objectives, Features, Importance, Factors , Principles, Procedure, Steps, Programme and More.. Job Evaluation Meaning – What is Job Evaluation? Meaning of JOB EVALUATION. Job evaluation is a term which is applied to a number of distinct but related administrative methods which rank or assess the relative value of different jobs or occupations. iv. They should be trained in fixing and revising wage based on job evaluation. Disclaimer 8. Each job should be paid (or priced) according to its real value i.e., a […] Job evaluation needs to be differentiated from job analysis. Job evaluation system came into common use during the World War II. Job C is most important from the point of view of efforts. (2) It is difficult to determine the factor levels within factors and assigned values to them. The importance of job evaluation may be enumerated as follows: 1. (v) It is not suitable for managerial job – Jobs like planning decision making etc., are skill oriented and hence cannot be measured in quantitative terms. Job evaluation is not found suitable for establishing the relative worth of the managerial jobs which are skill-oriented. 10. Comparative study of these jobs is very essential because on the basis of such study the structure of wages for different type of job is prepared. ADVERTISEMENTS: Job-Evaluation: it’s Meaning and Definition! Account Disable 11. ii. 2. The job contents may be decided upon in two ways, i.e. Since it has immense potentialities, the efficient handling of this resource can produce unthinkable results and can crown the business organisation with success. A job evaluation does not judge the person in a position, but the position itself. (ii) Influence of human error – There is no standard list of factors to be considered and there is a difficulty in measuring the some factors. (7) In talking to foremen and employees, any discussion of money value should be avoided. Together, these distinguish job evaluation as a category of wages and salary determination. Under this system, a number of pre-determined grades or classifications are first established by a committee and then the various jobs are assigned within each grade or class. Definitions of Job Evaluation. For example, the “Equal pay for equal Work” Act focuses on four factors: Working conditions responsibility, efforts and skills. either by making an intuitive “overview” i.e. ); (iii) Co-operation with associates outside the line of authority; (1) It requires less time, fewer forms and less work, unless it is carried to a detailed point used by company. Therefore job evaluation is not suitable for determining the relative worth of managerial job. 3. The rates of wages must be fixed according to the market rates. The goal of job evaluation is to compare jobs with each other in order to create a pay structure that is fair, equitable, and consistent for everyone. Job evaluation is a method of evaluating the relative worth of jobs in an organization. job evaluation meaning: 1. the process of comparing a job with other jobs in an organization and deciding how much the…. 5. These rates must be determined on the basis of points. This requires grouping or arranging jobs in a correct sequence in terms of value to the firm, and relating them to the money terms in order to ascertain their relative value. What is job evaluation? The variables which are assumed to be related to value produced. In brief it may be said that job evaluation is a process in which a particular job of a business and industrial enterprise is compared with other jobs of the enterprise. Job evaluation and compensation. Its main objective is to adopt suitable wage structure. Hay Group’s job evaluation approach,in fact,is the world’s (3) It is far less expensive to put into effect than other systems, and requires little effort for maintenance. There are four basic, traditional systems of job evaluation: (1) the ranking system; (2) the grading or job classification system; (3) the point system; and (4) the factor comparison system. Maintain the Programme – Jobs cannot continue without updating new jobs and change in obedience to changing conditions and situations. Reduce inefficiencies in remuneration e.g. The logical sequence of different steps as ensured in the job evaluation process determines the worth of jobs. It ensures rational wage and salary structure. It is a systematic method of evaluating or appraising the value of one job in relation to the other jobs. Select and Prepare a Job Evaluation Plan – This means that a job must be broken down into its components part, i.e., it should be involve the selection of factors, elements need for the performance of all jobs for which money is paid, determining their value and preparing written instructions for evaluation. This method of job evaluation is most popular method for evaluating different jobs of an enterprise. A job evaluation is a systematic way of determining the value/worth of a job in relation to other jobs in an organization. This method is based on the assumption that there are some key factors for every job. Objectives, Features, Importance, Factors , Definitions by Some Eminent Scholars Like, Dale Yoder, Wendell French and Other Institutions, – Factors that Job Evaluators Consider while Evaluating a Job, Step # 1. (v) Since no detailed analysis of a job is done, the judgment in respect of a whole range of jobs may produce an incorrect classification. Often a rater’s judgment is strongly influenced by present wage rates. Classify Jobs – This requires grouping or arranging jobs in a correct sequence in terms of value to the firm, and relating them to the money terms in order to ascertain their relative value. This is obtained by selling this idea among them and obtains this participation in the process. Thus, the process of evaluation is completed in different steps under this method. The management must give widest publicity to every phase of the programme. Definition of Job Evaluation 3. Job evaluation as a process is advantageous to a company in many ways: Basically, it provides a systematic catalogue of the jobs in an organisation, which is indispensable for management purposes. 5. Education may again be sub-divide into following sub-factors: The jobs are evaluated only on the basis of education. Step # 4. defines job evaluation as an attempt to determine and compare demands which the normal performance of a particular job makes on normal workers without taking into account the individual abilities or performance of the workers concerned. job evaluation definition in English dictionary, job evaluation meaning, synonyms, see also 'programme evaluation and review technique',evacuation',evaluator',evaluative'. The availability of a number of ready-made plans probably accounts for the wide use of points plans in job evaluation. job evaluation synonyms, job evaluation pronunciation, job evaluation translation, English dictionary definition of job evaluation. The evaluation may be achieved through the assignment of points or the use of other systematic method for essential job requirements, such as skills, experience and responsibility.”. (5) Definitions are written in terms applicable to the type of jobs being evaluated, and these can be understood by all. So, Job evaluation is the process of determining and quantifying the value of jobs. Factors 7. (iii) Grading the Key Jobs. Factors that job evaluators generally consider while evaluating a job are: (a) Specific training need or qualification requirements to perform the assigned tasks better, (b) Requisite knowledge and skills for successful accomplishment of the job, (c) Complexity or intricacy of tasks demanding special skills, (d) Interaction with different departments of the organization, (e) Problem-solving skills and independent judgement for promptness, (f) Accountability and responsibility for fault-free activities, (g) Decision-making authority to develop leadership skills, (h) Degree of supervision required for the task, (i) Cross-training requirements for multiskilling and multitasking, (j) Working conditions such as illumination, noise, ventilation, etc. Advantages and Disadvantages. 4. Separate pay structure should be maintained for major groups of employees. The important features of job evaluation may be summarised thus: (b) The standards of job evaluation are relative, not absolute. The success in selling it will depend on a clear-cut explanation and illustration of the plan. 5. The Job Evaluation Process consists of a broad spectrum of activities which begins with the Job Analysis Process. Supervisors should have full knowledge of the system. International Labor Organization (ILO) has defined a job evaluation as: “Job evaluation is an attempt to determine and compare demands which the normal performance of a particular job makes on normal workers without taking into account the individual performance of the workers concerned”. THE BASIC STEPS FOR DEVELOPING A JOB EVALUATION IN YOUR ORGANIZATION: STEP 1: Define the jobs STEP 2: Select a job evaluation method The process of defining a job is called job analysis. in which the job is performed. The results of job evaluation must be fair, rational and unbiased to individual. What is Job Evaluation? They are more complex and are time-consuming. Job Evaluation and Position Classification Procedures The following information is provided to assist managers with understanding the processes for job evaluation as it relates to determining position classification and staff wage grade. This is also known as job analysis and its findings are what goes into a job description. Find out special features of each job and study the inter-relationship among the jobs. All efforts should be made to determine equal wage for equal jobs. 6. It is an attempt to assess and compare the demands which the normal performance of a particular job makes on normal workers without taking into account the individual abilities or performance of the workers concerned. In other words it is the rating of jobs in an organization. They are always subjected to certain limitations so in the case with job evaluation technique of personnel management it also has certain limitations which should not be ignored while analysing the results of job evaluation. Prerequisites of a Job Evaluation Programme: Guidelines for Conducting Job Evaluation Programme: Job Evaluation – Advantages and Disadvantages, Factors that Job Evaluators Consider for Evaluating Job, Steps Involved in Job Evaluation Procedure, Advantages and Disadvantages of Job Evaluation. Job Evaluation 1.1 Job evaluation is a method of comparing different jobs and placing them into a rank order according to their size. It is a systematic method of evaluating or appraising the value of one job in relation to the other jobs. Programme 11. Each job is rated using the job evaluation instrument. The following are the important advantages of job evaluation: (i) It helps to minimise wage inequalities – Job evaluation is a process of ranking the job which in turn helps to develop equitable wage and salary structure based on the relative worth of jobs. It should also include a review procedure for cases where employees or managers question evaluations of certain jobs. Enrich your vocabulary with the English Definition dictionary This class description broadly reflects level of education, mental skill, profit impact or some combination of these. (i) It considers all the aspects related to a particular job. Job Evaluation: Objectives, ... Clean definition of elements and consistency of degrees of such elements, improve accuracy of job evaluation. 4. Job Analysis is a comprehensive process while Job Evaluation is a comparative process. Before uploading and sharing your knowledge on this site, please read the following pages: 1. The Committee consists of an Independent Chair, a representative of the employer and an employee designate.
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