Working out a point scale and selecting degrees are not simple jobs. Too often, job evaluation is seen by managers and employees as some mysterious, incomprehensible process that has a considerable impact on their wages.
Method 2. Job requirements are identified by qualification, experience, training, mental and physical efforts, nature, and degree of responsibilities. Method 1. Job evaluation determines the value of job.
Several methods such as job ranking, job grading, and factor comparison are employed in job evaluation. This method is very successful in small organizations; however, it is not suitable for large organizations. If process is uniformly applied to evaluate each job, then it will make determination of wage differentials for various jobs quite easy.
For instance, the maximum points assigned to an officer's job in a bank come to Essentials 7.
The techniques which have been commonly used tend to fall into one of the two main categories: Non-analytical or Non-quantitative or summary methods Analytical or quantitative methods.
It is a quantitative technique of job evaluation.