ADMS 3490 Study Guide - Final Guide: Peer Pressure, Central Tendency, Employee Benefits
23 Mar 2017
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Chapter 7: briefly explain the purpose of job evaluation and the nature of relative worth. Job evaluation is a systematic process used to determine the relative worth of jobs within the organization. The end result of job evaluation is a hierarchy of jobs, where all jobs determined to be similar in value to the organization are located at the same level in the hierarchy. This hierarchy shows the internal alignment of jobs and provides the foundation for the development of pay grades and ranges. The worth of jobs evaluated is relative to the specific organization. The value added by the same work may be more (or less) in one organization than in another. The four main methods are: (a) observation, (b) interviews, (c) questionnaires, and (d) functional job analysis. Used in conjunction with other methods, observation involves watching the employee as the job is performed and noting all of the necessary information needed for evaluating jobs.
