Job Design Research and Compensation Structure

Solution Preview

The response addresses the queries posted in 2194 words with references.

//The mentioned query is related with job design & compensation structure of various positions. For this purpose, one must have an idea about job analysis & compensation structure. This will prove to be helpful in deciding the salary structure. //

Job Design Research and Compensation Structure

Introduction:

By Job analysis, we mean a formal and detailed study of jobs. It is related to a scientific and methodical analysis of a job in order to acquire all the relevant facts regarding a particular job (Gupta, 2007). Job analysis is a process of collecting and analyzing data related to a job. It is necessary to understand the terminology before studying job analysis in detail.

Job: It is a group of position involving the same duties, responsibilities, knowledge and skill. Each job has definite tittles and is different from other jobs. For example: store manager, cashier, Salesman and typist (Gupta, 2007).
Position: it implies a collection of tasks and duties regularly assigned to one person. Several people may be sub-divided under the same job but each may perform different work. For example: one mail clerk may sort out the incoming mails, another may prepare the outgoing mails and so on (Gupta, 2007).
Occupation: An occupation implies a group of jobs which is similar as to the type of work and which contains common characteristics. For example: business is an occupation consisting of several types of jobs like production and sales (Gupta, 2007).
Job classification: It means grouping of jobs into certain categories on some specified basis e.g. nature of work performed or the level of pay.
Job Evaluation: It implies determining the worth of a job to an organization by comparing it with other within the organization and with the job market outside (Gupta, 2007).
//In the following paragraph, I am going to tell you about the components of job analysis. //

Components of Job Analysis:

Job analysis is an organized procedure to analyze the requirements for the job role and job profile. Job analysis could be further categorized into following sub components (Job Analysis, 2007):

1. Job Position: Job position refers to the designation of a job and employee in the organization. Job position forms an important part of the compensation strategy as it determines the level of a job in the organization (Job Analysis, 2007).

2. Job Description: Job description refers to the requirements an organization look for a particular job position. It states the key skill requirements, the level of experience needed, level of education required, etc. It also describes the roles and responsibilities attached with the job position (Job Analysis, 2007).

3. Job Worth: Job Worth refers to estimating the job worthiness i.e. how much a job contributes to the organization. It is also known as job evaluation. Job description is used to analyze the job worthiness. (Job Analysis, 2007).

Therefore, job analysis forms an integral part in the formulation of compensation strategy of an organization. Job analysis could be used for setting up the compensation packages, for reviewing the employees' performance with the standard level of performance, determining the training needs for employees who lack in certain skills (Job Analysis, 2007):

A conceptual incorporation of job design and compensation draws on interdisciplinary job design, job evaluation, and labor economic theory (Campion & Berger, 1990). It is argued that the job design influences the number and level of skills required and the degree to which jobs are physically hazardous (Campion & Berger, 1990). Job evaluation links job design and market forces by ...