point ranking method of job evaluation

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Point ranking method of job evaluation Presented by: A.Losa Kayina

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Page 1: Point ranking method of job evaluation

Point ranking method of job

evaluation

Presented by:

A. Losa Kayina

Page 2: Point ranking method of job evaluation

Job Evaluation

Analytical

Point ranking

Factor compariso

n

Non- analytical

Ranking Grading

Page 3: Point ranking method of job evaluation

Job Evaluation ? ? . .

AnalyticalUses detailed analysis of job

Non-analyticalNo detailed analysis of job

Job evaluation is the technique to systematically determine the worth of each job and help in establishing basic wage

rates of jobs.

Page 4: Point ranking method of job evaluation

What is point ranking method??..

• widely used method

• Points are assigned to each factor in order of importance.

• Points are summed up to determine the wage rate for the job.

• Jobs with similar point totals are placed in similar pay grades

• Merill Lott developed this method in 1925.

• Uses a point scheme based on the compensable job factors of skill, effort, responsibility and working conditions

Page 5: Point ranking method of job evaluation

Steps in point method

Listing of jobs

Number of factors Definition of

factors

Determination of degrees

Allocation of points to

degrees

Evaluation of jobs

Designing the wage

structure

Adjusting the existing wage

structure

Page 6: Point ranking method of job evaluation

Hay group and point method of job evaluation..??..

Page 7: Point ranking method of job evaluation

About Hay GroupGlobal human resources management consulting firm

Guide charts in existence since 1951

2000 employees world wide

9000 clients in various industries

Partners with client to implement human resources strategies which align with business objective

Leader in compensation assessment and design

Page 8: Point ranking method of job evaluation

The Guide-Chart Profile method :

This method was first developed by Dr. Edward N. Hay in the early 1950s, concerned with decision making and responsibility.

There are 3 factors each having its own guide chart.

Page 9: Point ranking method of job evaluation

Hay Factors

Know-how

Problem solving

Accountability

Page 10: Point ranking method of job evaluation

What is ‘Know-How’ ??• DefinitionAll the amount of knowledge, skills, aptitudes, independent of how it was obtained, needed for a standard performance, acceptable for the job

•Know-How has three dimensions:• Technical and specialized knowledge •Managerial Know How• Human Relationship Skills

Page 11: Point ranking method of job evaluation

38 43 50 50 57 66 66 76 87 87 100 115 115 132 15243 50 57 57 66 76 76 87 100 100 115 132 132 152 17550 57 66 66 76 87 87 100 115 115 132 152 152 175 20050 57 66 66 76 87 87 100 115 115 132 152 152 175 20057 66 76 76 87 100 100 115 132 132 152 175 175 200 23066 76 87 87 100 115 115 132 152 152 175 200 200 230 26466 76 87 87 100 115 115 132 152 152 175 200 200 230 26476 87 100 100 115 132 132 152 175 175 200 230 230 264 30487 100 115 115 132 152 152 175 200 200 230 264 264 304 35087 100 115 115 132 152 152 175 200 200 230 264 264 304 350100 115 132 132 152 175 175 200 230 230 264 304 304 350 400115 132 152 152 175 200 200 230 264 264 304 350 350 400 460115 132 152 152 175 200 200 230 264 264 304 350 350 400 460132 152 175 175 200 230 230 264 304 304 350 400 400 460 528152 175 200 200 230 264 264 304 350 350 400 460 460 528 608152 175 200 200 230 264 264 304 350 350 400 460 460 528 608175 200 230 230 264 304 304 350 400 400 460 528 528 608 700200 230 264 264 304 350 350 400 460 460 528 608 608 700 800200 230 264 264 304 350 350 400 460 460 528 608 608 700 800230 264 304 304 350 400 400 460 528 528 608 700 700 800 920264 304 350 350 400 460 460 528 608 608 700 800 800 920 1056264 304 350 350 400 460 460 528 608 608 700 800 800 920 1056304 350 400 400 460 528 528 608 700 700 800 920 920 1056 1216350 400 460 460 528 608 608 700 800 800 920 1056 1056 1216 1400

EI+3264

A. PRIMARY:

B. ELEMENTARY VOCATIONAL :

C. VOCATIONAL:

D. ADVANCED VOCATIONAL :

E. BASIC SPECIALIZED:

F. SPECIALIZED SEASONED :

G. SPECIALIZED MASTERY:

H. UNIC AUTHORITY:

ManagementAreaHuman Relationship Skills

TechnicalKnow-How

0 Task

I ACTIVITIE

S

II HOMOGENOU

S

III DIVERSE

IV INTERGATION

COMPLET

B B B B BI I IIIC CCCC

Example of Know-how computation

Page 12: Point ranking method of job evaluation

Explaination of know how computation:

• Know-How points are derived from the matching of the three dimensions described above.

• For example, a Cognitive scoring of “E”, combined with a Managerial scoring of “I” and Human Relation skills of “3”

provides a total Know-How ranking.

Page 13: Point ranking method of job evaluation

What is “Problem Solving”??• Definition“Self intiated” thinking required for the job to evaluate, analyze, develop, think, identify and conclude.

• Problem Solving has two dimensions:• Thinking Environment•Analytical Challenge

Page 14: Point ranking method of job evaluation

1. REPETITIVE

2. PATTERNED

3. INTERPO-LATIVE

4. ADAPTIVE

5. UNCHARTED

A. STRICT ROUTINE:

B. ROUTINE:

C. SEMI-ROUTINE:

D. STANDARDIZED

E. CLEARLY DEFINED

F. BROADLY DEFINED

G. GENERALLY DEFINED:

H. ABSTRACT DEFINED:

10% 14% 19% 25% 33%

12% 16% 22% 29% 38%12% 16% 22% 29% 38%

14% 19% 25% 33% 43%14% 19% 25% 33% 43%

16% 22% 29% 38% 50%16% 22% 29% 38% 50%

19% 25% 33% 43% 57%19% 25% 33% 43% 57%

22% 29% 38% 50% 66%22% 29% 38% 50% 66%

25% 33% 43% 57% 76%25% 33% 43% 57% 76%

29% 38% 50% 66% 87%29% 38% 50% 66% 87%

33% 43% 57% 76% 100%

Analytical Challenge

AnalyticalEnvironmentE

I+3264

D+3(33)87

Example of Problem solving computation

i.e. 33% of 264 = 87

Page 15: Point ranking method of job evaluation

Explaination of Problem solving computation:

• Problem Solving points are derived from the matching of the two dimensions described

above.

• For example, a Thinking Environment scoring of “D”, combined with a Thinking Challenge

scoring of “3” provides a percentage.

• To find Problem Solving points, match the Know-How total score and the Problem

Solving %. This provides the total Problem Solving ranking.

Page 16: Point ranking method of job evaluation

What is “Accountability”??

• DefinitionAccountability is the factor utilized to quantify the jobs results.

• Accountability has three dimensions: • Freedom to Act• Impact• Magnitude

Page 17: Point ranking method of job evaluation

(0) NOT QUANTIFIED

(1) VERY SMALL

(2) SMALL

(3) MEDIUM

(4) MEDIUM-BIG

ll IMPACT

A B C D R C S P R C S P R C S P R C S

A. PRESCRIBED: 8

9

10

10

12

14

14

16

19

19

22

25

10

12

14

14

16

19

19

22

25

25

29

33

14

16

19

19

22

25

25

29

33

33

38

43

19

22

25

25

29

33

33

38

43

43

50

57

25

29

33

33

38

43

43

50

57

B. CONTROLED: 12

14

16

16

19

22

22

25

29

29

33

38

16

19

22

22

25

29

29

33

38

38

43

50

22

25

29

29

33

38

38

43

50

50

57

66

29

33

38

38

43

50

50

57

66

66

76

87

38

43

50

50

57

66

66

76

87

C. STANDARDIZED: 19

22

25

25

29

33

33

38

43

43

50

57

25

29

33

33

38

43

43

50

57

57

66

76

33

38

43

43

50

57

57

66

76

76

87

100

43

50

57

57

66

76

76

87

100

100

115

132

57

66

76

76

87

100

100

115

132

D. GENERAL REGLEMENTED: 29

33

38

38

43

50

50

57

66

66

76

87

38

43

50

50

57

66

66

76

87

87

100

115

50

57

66

66

76

87

87

100

115

115

132

152

66

76

87

87

100

115

115

132

152

152

175

200

87

100

115

115

132

152

152

175

200

E. DIRECTED: 43

50

57

57

66

76

76

87

100

100

115

132

57

66

76

76

87

100

100

115

132

132

152

175

76

87

100

100

115

132

132

152

175

175

200

230

100

115

132

132

152

175

175

200

230

230

264

304

132

152

175

175

200

230

230

264

304

F. GENERAL DIRECTED: 66

76

87

87

100

115

115

132

152

152

175

200

87

100

115

115

132

152

152

175

200

200

230

264

115

132

152

152

175

200

200

230

264

264

304

350

152

175

200

200

230

264

264

304

350

350

400

460

200

230

264

264

304

350

350

400

460

G. GUIDED: 100

115

132

132

152

175

175

200

230

230

264

304

132

152

175

175

200

230

230

264

304

304

350

400

175

200

230

230

264

304

304

350

400

400

460

528

230

264

304

304

350

400

400

460

528

528

608

700

304

350

400

400

460

528

528

608

700

H. STRATEGIC GUIDED 152

175

200

200

230

264

264

304

350

350

400

460

200

230

264

264

304

350

350

400

460

460

528

608

264

304

350

350

400

460

460

528

608

608

700

800

350

400

460

460

528

608

608

700

800

800

920

1056

460

528

608

608

700

800

800

920

1056

Impact Area

Freedom to ActEI+3264

D+3(33)87

D2-P115

ImpactNature

Example of Accountability computation

264+87+115 = 466

Page 18: Point ranking method of job evaluation

Explaination of Accountability computation:

• Accountability points are derived from the matching of the three dimensions described above.

• For example, a Freedom to Act scoring of “D”, combined with a Magnitude scoring of “2” and an

Impact scoring of “P” provides a total Accountability ranking of D2P.

Page 19: Point ranking method of job evaluation

Problems of hay method• Complicated scoring matrix

• Sex bias

• Not concerned with responsibility taking

• Not suitable for colleges and team based education sector

• emphasis on management know how

• Bias reflects Heirarchy and Budget-holding

Page 20: Point ranking method of job evaluation

Partners with hay groups

Page 21: Point ranking method of job evaluation

Merits and demerits of point method

Advantages

(1) Numerical basis for wage differentials by analysing a job by factors thereby obtaining a high measure of agreement on job value.

(2)Can be used for a long time.

(3) Terms and definitions understood by all.

(4) Jobs easily placed in district categories.

Page 22: Point ranking method of job evaluation

Merits and demerits of point method

Disadvantages

(4) Difficult to determine the

factor levels within factors and assign

values to them

(3) If many rates are used, considerable clerical work is needed in recording and summarizing the rating scales

(1) heavy expenditure in development and installing .

(2) Time consuming and difficult task.

Page 23: Point ranking method of job evaluation

• point method of job evaluation is more effective because even the major factors are sub-divided which insures accuracy of evaluation.

• The possibility of inaccuracy of job evaluation is likely to arise if the predetermined point values do not exhibit true values.

• In contrast to ranking and grading methods, which measures jobs as whole jobs , the point system is more analytical in approach

Conclusion:

Page 24: Point ranking method of job evaluation