MHR 749 Lecture Notes - Lecture 4: Organizational Architecture, Workflow, Absenteeism

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Skill based pay structures: link pay to depth or breadth of skills, abilities and knowledge a person acquires that are relevant to the work. The advantage is that people can be developed in a way that better matches the flow of work, thus avoiding bottlenecks as well as idle hands. Skill plans can focus on depth or breadth. Skill-based structures have managers that focus on providing training rather than promoting. Multiskilled-based system is one where pay increases come with certification of new abilities. Determining the internal skill-based pay structure: skill analysis: a systematic process to identify and collect information about skills required to perform work in an organization. Collects information on foundation skills, core elective skills, optional elective skills and establish certification methods: skill blocks, skill certification once these procedures are in place, they are difficult to change, skill-based pay structure. Competencies: underlying, broadly applicable knowledge, skills and behaviours that form the foundation for successful work performance.

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