A short presentation on job description from simple ranking to factor analysis.

1. Evaluating jobs to gain equity
when paying staff
By John Berry
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

2. What is Job Evaluation?
The process of systematically determining the
relative value of different job roles within a firm.
Evaluates the job NOT the
person
Determines worth of one job in
relation to another
Supports establishment of fair
and equitable reward system
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

3. Non-analytical:
Job Ranking
Method 1
Receptionist Sales Manager
Bought Ledger Controller
Sales Manager
Bought Ledger Controller Customer Services Officer
Customer Services Officer Accounts Ledger
Accounts Ledger Secretary
Marketing Assistant Marketing Assistant
Secretary
Computer Operator
Computer Operator
Receptionist
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

4. Non-analytical: Method 2
Paired Comparison Ranking
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

5. Non-analytical:
Job Classification
Sales &
Administration Accounts
Marketing
Sales
Assistant AD1 SM1 AC1
Admin Director Sales Director Finance Director
Post Room AD2 SM2 AC2
Office Manager Sales Manager Account Manager
Operative
AD3 SM3 AC3
Bought Ledger
Secretary Marketing Officer Controller
AD4 SM4 AC4
Receptionist Marketing Assistant Accounts Ledger
Method 3
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

6. Analytical:
Factor Comparison
Job Hourly Skill Effort Responsibility Working
Rate Conditions
Admin.
Asst. £9.00 £4.50 £2.00 £2.00 £0.50
Secretary £11.00 £5.50 £2.50 £2.50 £0.50
Supervisor £15.00 £6.00 £3.50 £4.00 £1.50
Manager £21.00 £9.00 £3.50 £7.00 £1.50
The hourly rate is divided into pay for each of the above factors.
Method 4
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

7. Analytical:
Point Factor Rating
• Technical Knowledge
Know How • Management Breadth
• Interpersonal Skills
Problem • Thinking Environment
Solving • Thinking Challenge
• Freedom to Act
Accountability • Magnitude
• Impact
Wage(£) = f(PKH + PPS + PA) * k
Method 5
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

8. Summary
• In aiming for equity in pay, what matters is that there’s a system
• Various approaches exist
– which to use depends on the firm and the environment
• For more, call us or see our other publications published on our
website and blog from time to time
© Copyright TimelessTime 2011
“driving competitive advantage through people…”

9. For more information:
Browse www.timelesstime.co.uk
Or visit www.blog.timelesstime.co.uk
Or call 01825 724179
© Copyright TimelessTime 2011