职务评估-Jobuation.ppt

COMPENSATIONMANAGEMENT JOBEVALUATION DA 1 AGENDA DefineCompensation ElementsofCompensationSystem CONCEPTSOFWAGEANDDIFFERENTKINDSOFWAGES ObjectivesofCompensationSystem HowCompensationSystemisused METHODOFCALCULATINGBASICPAYANDITSUSEINDESIGNINGSALARYSTRUCTURE WhatarethecomponentsofCompensationSystem DifferenttypesofCompensationSystem CompensationPlans FinancialandNonFinancialIncentiveSchemes 2 BASICTERMSUSEDINHR Acriticalcomponentofbothcompensationandselectionsystems jobdescriptionsdefineinwritingtheresponsibilities requirements functions duties location environment conditions andotheraspectsofjobs Descriptionsmaybedevelopedforjobsindividuallyorforentirejobfamilies JOBDESCRIPTION Theprocessofanalysingjobsfromwhichjobdescriptionsaredeveloped Jobanalysistechniquesincludetheuseofinterviews questionnaires andobservation JOBANALYSIS Asystemforcomparingjobsforthepurposeofdeterminingappropriatecompensationlevelsforindividualjobsorjobelements Therearefourmaintechniques RankingClassificationFactorComparisonPointMethod JOBEVALUATION JOBEVALUATIONMETHODS DEFINITION Asetofcompensablefactorsareidentifiedasdeterminingtheworthofjobs TypicallythecompensablefactorsincludethemajorcategoriesofSkillResponsibilitiesEffortWorkingConditions FACTORECANBEFURTHERDEFINED SKILLLExperienceEducationAbilityRESPONSIBILITIESFiscalSupervisory CONT EFFORTMentalPhysicalWORKINGCONDITIONLocationHazardsExtremesinEnvironment POINTMETHOD AdvantagesHighlystableovertimePerceivedasvalidbyusersandemployeesLikelytobereliableamongcommitteethatassessesthejobsProvidesgooddatatopreparearesponsetoanappeal DisadvantagesTime money andeffortrequiredtosetupReliesheavilyonkey benchmark jobs soifkeyjobsandcorrectpayratesdon texist thepointmethodmaynotbevalid FACTORDEGREESANDPOINTSYSTEMS WHATISADEGREELEVEL ItisascalethatreflectsdifferingquantityorqualityofthefactorItisusedtodifferentiatejobsonthefactorItisadefinitionthatisclearandunambiguousItcontainsexplicitlanguagethatspellsoutthebehaviors skills orperformanceexpectationsforthatfactoratdifferentlevelsofthefactor HOWDOYOUASSIGNPOINTVALUESTOTHEENTIRESYSTEM Themaximumnumberofpointsassignedisafairlyarbitraryjudgment 500 3000iscommon Thenumbermustbelargeenoughtoallowsufficientdifferentiationamongthejobstobeevaluated Ifthereisaverywidespreadbetweenthecurrentwagesofthehighestpaidjobandthelowestpaidjob themaximumnumberofpointswillneedtobehigherIfyouchoosemorethanonepaysystem thenumberofpointsortheactualfactorsthemselvesdonothavetobethesameineachone SUGGESTIONFORYOURPROJECT Havenofewerthan1000pointsandnomorethan2000 POINTVALUESTOFACTORSALONGASCALE PointvaluesforDegreesTotalFactor1234Skill4590135180450Physicaleffort255075100250Mentaleffort3570105150360Responsibility255075100250Workingconditions20406080200Maximumtotalpointsofallfactorsdependingontheirimportancetojob 1510 RESPONSIBILITY Eachemployeeisresponsibleforconservingthecompany sequipmentandmaterial Level 1Employeereportsmalfunctioningofequipmentordefectivematerialstotheimmediatesuperior Level 2EmployeemaintaintheappearanceofequipmentororderofmaterialandhasresponsibilityforthesecurityofsuchequipmentormaterialLevel 3EmployeeperformpreventivemaintenanceandminorrepairsonequipmentorcorrectsminordefectsinmaterialLevel 4Employeeperformmajormaintenanceoroverhaulsofequipmentorresponsiblefordecidingtype qualityandquantityofmaterialtobeused JobEvaluation Concept 17 Thispotentialtoblendinternalforcesandexternalmarketforcesisbothastrengthandaopportunitytojobevaluationsystem JobEvaluation Objectives 18 Jobevaluationisusedtodeterminetherelativevalueofeachjobinrelationtoalljobswithintheorganization Immediateobjective toobtaininternalandexternalconsistencyinwagesandsalaries Ultimateobjective employeeandemployersatisfactionwithwagesandsalariespaid HISTORY 1865 KarlMarxwroteinDasKapitalthatthevalueofgoodsandservicesisbasedontheamountoflaborthatgoesintothem1885 FrederickWinslowTaylorstatedthatthecontentoflaborinlabordeterminesthepriceoflabor1935 EdwardHaydevelopedtheHaypointfactorsystem1963 TheEqualPayActprohibiteddiscriminationonthebasisofsex forequalworkonjobs theperformanceofwhichrequiresequalskill effort andresponsibilityandwhichareperformedundersimilarworkingconditions TheEPAformalizednon marketbasedpayplans 1 Thus Rankingeachjobrelativetoallotherjobs usuallybasedonsomeoverallfactor Stepsinjobranking Obtainjobinformation Selectandgroupjobs Selectcompensablefactors Rankjobs Combineratings CommonMethodsofJobEvaluations Rankingmethod thegradeconsistsofalljobsthatfallwithintwoorthreeranks Importanceofjobevolution 1 Toinvolvethepeopleoccupyingthepositionsunderevaluation Thisisespeciallysoifyouthinkyourorganizationsjobdescriptionsarepoorlywrittenoroutofdate Thepeopleinpositionsandtheirimmediatesupervisorshavethebestideaofwhatthejobisreallyabout 2 Jobevaluationismosteffectiveasaparticipativeexerciseandthisinitselfcanimproveemploymentrelations Itisthereforerecommendedthatjobevaluationisintroducedorrevisedjointlybyallowingmanagementandemployeerepresentativestodiscussrelevantissuesinitiallyinanon negotiatingforum 3 Toensureintegrationofinternalfairnessandexternalcompetitiveness Uptodate accuratejobdescriptionsareabsolutelyessentialandshouldbereviewedforaccuracywiththecurrentincumbentbeforeevaluation Morecomplexjobevaluationtechniquesrequiremoreinformationandoftentheprimarysourceofthisisjobdescriptions sothemorecomplexthejobevaluationscheme themoredetailedthejobdescriptionneedstobe Keepaccuraterecordsofdecisionstaken toensureopenness andtransparency BuildconfidenceintheprocessandoutcomesbybriefingpeopleManyorganizationschoosetoengageconsultantstomanagepartsortheentireprocess Theseconsultantsoftenhaveaccesstotheexpensivebutcomprehensivedatabasescontainingdetailedinformationaboutremunerationlevelsindifferentsectors jobevaluationmethodsarenottobeconfusedwithperformancemanagementorappraisal wheretheprimaryconcerniswithhowwellajobisperformed Aspectsofjobevolution The4majorfactorsonwhichthismethodaremeasured basedare CompanysizeStrategiclevelImpactComplexityandProblemSolving ManagerialJobs Characteristics 24 CommunicationTeamwork motivationLiaison networkingServicedeliveryDecisionmakingPlanning organisingInitiative problemsolvingAnalytical researchskillsSensory physicaldemandsWorkenvironmentPastoralcareTeamdevelopmentTeaching learningKnowledge experience JobevaluationprocessThemajorobjectivityofjobevaluationprocessistoestablishsatisfactorywageandsalarydifferentials sojobanalysisshouldprecedetheactualprogrammeofevaluation Objectiveofjobevaluation Jobdescription Jobanalysis Jobevaluation Jobspecification Wagesurvey Employeeclassification JobEvaluationMethods 26 JobRankingMethodExaminesjobdescriptionandarrangejobsaccordingtovaluetocompanye g highesttolowest JobClassificationMethodClassesorgradesaredefinedtodescribeagroupofjobse g governmentorganisations PointMethodBreakingdownjobsonidentifiablecriteriaandthedegreetowhichthesecriteriaexistonthejob JobEvaluationMethods 1 5 2008 27 Manager KeyEvaluationFactors 28 DecisionmakingandproblemsolvingResponsibilityAccountabilitySkills Hay sMethod 3Factors 29 Hay sMethod Process 30 Depth RangeofKnow HowPlanning OrganisingCommunicating Influencing FreedomtoActNatureofImpactAreaofImpact Magnitude ThinkingEnvironmentThinkingChallenge KNOW HOW PROBLEMSOLVING ACCOUNTABILITY JobSize CompensationPlanofExecutives 31 Broadbanding payingexecutivesatpresetlevelsbasedontheirlevelofcompetency Goldenparachute afinancialprotectionplanfortopexecutivesincasetheyareseveredfromtheorganisation Implications 32 PurposeofevaluationshouldbeclearlydefinedAdoptionofappropriatetechniqueAllocationofsufficientresources Criticism 33 SystematicratherthanscientificReliablebutvalidityisdeterminedbyascertainingtheimpactuponemployeesatisfaction Conflictonvalueofthejob Usefulforstandardizingcompensationpractices Mostpaystructuresincludeseveralgradeswitheachgradecontainingaminimumsalary wageandeitherstepincrementsorgraderange Payforeachjobispre determinedthroughcollectivebargaining PAYSTRUCTURE Contd SourcesofCompensation CompensationMethods CompensationStructure AdministrationOfcompensationFinancialandNonFinancialIncentivesWagesActN H P C ConclusionReferences 35 WhatisCompensationSystem Compensationisasystematicapproach Compensationisatool CompensationSystemisflexible 36 ELEMENTSOFACOMPENSATIONSYSTEM Objectivesofcompensationsystem AcquirequalifiedpersonnelRetainpresentemployeesEnsureequityRewarddesiredbehaviorControlcostsComplywithlegalregulationsFacilitateunderstandingFurtheradministrationefficiency 38 HowCompensationSystemisused Compensationisusedto Recruitandretainqualifiedemployees Increaseormaintainmorale satisfaction Rewardandencouragepeakperformance Achieveinternalandexternalequity Reduceturnoverandencouragecompanyloyalty Modify throughnegotiations practicesofunions 39 Componentsofcompensationsystem JobDescriptions defineinwritingtheresponsibilities requirements functions duties location environment conditions andotheraspectsofjobs1 JobAnalysis Theprocessofanalyzingjobsfromwhichjobdescriptionsaredeveloped 2 Jobevaluation forcomparingjobsforthepurposeofdeterminingappropriatecompensationlevelsforindividualjobsorjobelements Continue PayStructures basedonseveralgradespaystructureisdeterminedthroughcollectivebargaining unions SalarySurveys Mayincludeaveragesalaries inflationindicators costoflivingindicators salarybudgetaverages Differenttypesofcompensationsystem BasePayCommissionsOvertimePayBonuses ProfitSharing MeritPayStockOptionsTravel Meal HousingAllowanceBenefitsincluding dental insurance medical vacation leaves retirement taxes CompensationPlans Developaprogramoutline Designateanindividualtooverseedesigningthecompensationprogram Developacompensationphilosophy Conductajobanalysisofallpositions Evaluatejobs Determinegrades Establishgradepricingandsalaryrange 43 Continue Determineanappropriatesalarystructure Developasalaryadministrationpolicy Obtaintopexecutives approvalofthebasicsalaryprogram Communicatethefinalprogramtoemployeesandmanagers Monitortheprogram 44 SourcesofCompensationData LabourEmployerInformationEmployerAssociationProfessionalAssociation 45 CompensationMethods Therearebasicallytwocompensationsystemviz BasisTimeRateandPieceRate Itsismeantformakingpayment whichshouldadequatecompensatetheworkerforhisefforts 46 CompensationSystem 47 TimeRateSystem 48 PieceRateSystem 49 CompensationStructure CompensationSystemConsistsofthefollowing Salary BasicSalaryorConsolidatedSalary GradewiseflatAllowance Reimbursementsofexpenses Annualpayments Benefits Employeestockoptionschemes TotalcosttotheCompany concept Retiralbenefits PerformanceBonus 50 CompensationAdministration Themajorfunctionsofanadministrationconsistofthefollowing Approvaland orrecommendationofmanagementonjobevaluationmethodsandfindings Reviewandrecommendationofbasicwageandsalarystructure Co ordinationandreviewofrelativedepartmentalratestoensureconformity Reviewofbudgetestimatesforwageandsalaryadjustmentsandincreases 51 PrinciplesofAdministrationofCompensation Thereshouldbeadefiniteplantoensurethatdifferencesinpayforjobsarebaseduponvariationsinjobrequirements Promptandcorrectpaymentsoftheduesoftheemployees Theplanshouldcarefullydistinguishbetweenjobsandemployees Equalpayforequalwork 52 Continue Thewageandsalarystructureshouldbeflexible Theemployeesandthetradeunion ifthereisone shouldbeinformedabouttheproceduresusedtoestablishwagerates Thewageshouldbesufficienttoensurefortheworkerandhisfamilyreasonablestandardofliving 53 FinancialandNonFinancialIncentives Anincentiveschemecanofferemployeesextrapayaccordingtoindividualorgroupperformancetargets Examplesinclude profit relatedandshareoptionschemesbonusescommission 54 Continue Non financialExampleinclude vouchersextraholidaysgiftscompanycars 55 AdvantagesandDisadvantages 56 ReasonsForIntroducingAnIncentiveScheme 1 Increaseinearningsforemployees 2 Increaseinoutput 3 Improvementinquality 4 Bettermobilityoflabour 5 Moreefficientmethodsofworking 6 Improvementinsafety 7 Higherhousekeepingstandards 8 Reductioninabsenteeism 9 Reductioninlabourturnover 10 Reductioninovertimeworking 57 WhatTypeOfWorkNeedsAnIncentiveScheme Doestheworknecessitateskilled semi skilledorunskilledlabour Canindividualskillbefullyappliedwhenmanipulatingmachinesetc oristheemployee squantityandqualityofoutputregulatedtoalargeextentbyfactorsoutsidehis hercontrol Doesthelevelofoutputremainsteadythroughouttheyearorisitsubjecttoseasonalvariations 58 Continue Isproductionorganizedonaprocess flowline batchorjobbingbasis Haveyourcurrentproductionmethodsbeenrecentlyreviewedformaximumefficiency Isanynewmachineryorplant tobeintroducedinthenearfuture likelytoupsetthestandarduponwhichanincentiveschememightbebased 59 ACT SGOVERNINGWAGEADMINISTRATIONININDIA TheWagesActdeterminesthelegalregulationoftheremunerationofpersonswhoworkunderanemploymentcontract thegrantofguaranteesandpaymentofcompensationrelatingtoremuneration PAYMENTOFWAGESACT 1936 ThePaymentofWagesAct 1936isacentrallegislationwhichappliestothepersonsemployedinthefactoriesandtopersonsemployedinindustrialorotherestablishmentsspecifiedinsub clauses a to g ofclause ofsection2ofthisActThisActdoesnotapplyonworkerswhosewagespayableinrespectofawageperiodaverageRs 1600 amonthormore SALIENTFEATURES ThisActhasbeenenactedwiththeintentionofensuringtimelypaymentofwagestotheworkersandforpaymentofwageswithoutunauthorizeddeductionsThesalaryinfactories establishmentsemployinglessthan1000workersisrequiredtobepaidby7thofeverymonthandinothercasesby10thdayofeverymonth Continue Aworker whoeitherhasnotbeenpaidwagesintimeoranunauthorizeddeductionshavebeenmadefromhis herwages canfileaClaimeitherdirectlyorthroughaTradeUnionorthroughanInspectorunderthisAct beforewiththeAuthorityappointedunderthePaymentofWagesAct 63 MINIMUMWAGESACT 1948 Thisactprovidesforfixingminimumratesofwagesincertainemployment TheinspectoratestaffoftheLabourDepartmenttakesactiononcomplaintsreceivedfromworkmen Unions Suomotoactioncanalsobetaken Continue ApartfromtheactionbytheInspectorateintheDepartment ifaworkergetslesspayment hecanalsofileaclaimbeforetheCompetentAuthorityappointedundertheAct whichareDeputyLabourCommissionersfortherespectivedistricts Theauthoritycanimposepenaltyupto10timesthedifferenceinminimumwagesthatwasdueandpaid 65 PaymentofGratuityAct 1972 Gratuityisalumpsumpaymentmadebytheemployerasamarkofrecognitionoftheservicerenderedbytheemployeewhenheretiresorleavesservice TheActisapplicabletoeveryfactory shoporanestablishment inwhichtenormorepersonsareemployed orwereemployedonanydayoftheproceedingtwelvemonths Anemployeeiseligibleforreceivinggratuitypaymentonlyafterhehascompletedfiveyearsofcontinuousservice N H P C NationalHydroelectricPowerCorporation N H P C wasincorporatedundertheCompany sAct1956inNovember1975 ACentralGovernmentEnterprisewiththeinitialauthorisedsharecapitalofRs 2000millionforhydropowerdevelopmentinCentralSector 67 Compensationstructure Basicsalary Savings CPF LIC PPF NSC MISBonusArrearsMedicalallowanceEducationallowancePriceStocksSalaryofanemployee Methodsofcompensationsystem TimerateSystemOrdinarylevelHighwagelevelGraduatedtimerateContractsYearlyMonthlyQuarterly Administrationofcompensation EntrustedtojobexecutivesSupportedbytheadviceoftechnicalstaffFinalapprovalbytopexecutivesPerformanceappraisalbyvariousmanagersFinaldecisionbyChairman Executiveplansforcompensation Levelofindividualperformance Levelofcompanyperformance Performanceeffectiveness Completeinformationontherelationshipbetweenbonusandperformance Satisfactionandmotivationaleffect DIFFERENTTYPESOFCOMPENSATIONPLANS BasePayCommissionsOvertimePayBonuses ProfitSharing MeritPayStockOptionsTravel Meal HousingAllowanceBenefitsincluding dental insurance medical vacation leaves retirement taxes PROCESSOFDESIGNINGACOMPENSATIONPLAN Developaprogramoutline Designateanindividualtooverseedesigningthecompensationprogram Developacompensationphilosophy Conductajobanalysisofallpositions Evaluatejobs Determinegrades Establishgradepricingandsalaryrange Determineanappropriatesalarystructure Developasalaryadministrationpolicy Obtaintopexecutives approvalofthebasicsalaryprogram Communicatethefinalprogramtoemployeesandmanagers Monitortheprogram CRITERIAOFDEVELOPINGACOMPENSATIONPLAN InternalVsExternalEquity Willthecompensationplanbeperceivedasfairwithinthecompanyorwillitbeperceivedasfairrelativetowhatotheremployersarepayingforthesametypeoflabor FixedVsVariablePay Willthecompensationbemademonthlyonafixedbasis throughbasesalaries orwillitfluctuatedependingonsuchpre establishedcriteriaasperformanceandcompanyprofits Continued PerformanceVsMembership Willthecompensationemphasizeperformanceanditspaytoindividualorgroupcontributions orwillitemphasizemembershipintheorganization logginginaprescribednumberofhourseachweekandprogressinguptheorganizationalladder JobVsIndividualPay Willcompensationbebasedonhowthecompanyvaluesaparticularjob orwillitbebasedonhowmuchskillandknowledgeanemployeebringstothatjob Continued MonetaryVsNon monetaryAwards Willthecompensationplanemphasizemotivatingemployeethroughmonetaryawardsrewardslikepayandstockoptions orwillitstressnonmonetaryrewardssuchasinterestingworkandjobsecurity OpenVsSecretPay Willemployeeshaveaccesstoinformationaboutotherworkerscompensationlevelsandhowcompensationdecisionsaremade openpay orwillthisknowledgebewithheldfromemployees secretpay CentralizationVsDecentralizationOfPayDecisions Willcompensationdecisionsbemadeinatightlycontrolledcentrallocation orwilltheybedelegatedtomanagersofthefirm sunit Continued EgalitarianismVsElitism Willthecompensationplanplacemostemployeesunderthesamecompensationsystem egalitarianism orwillitestablishdifferentplansbyorganizationalleveland oremployeegroup elitism Below MarketVsAbove MarketCompensation Willemployeesbecompensatedatbelow marketlevels atmarketlevels oratabove marketlevels DETERMINANTSOFCOMPENSATION CategoryofEmployeesBargainingpoweroftheemployeeandhistradeunionDemandandsupplymanpowerforthespecificcategoryofpositionorjobGoodpaymenttotheemployeesFirm sabilitytopayeconomicallyviableandhealthycorporatecitizensThesalaryofitspeopleproductivi