Job Evaluation INTERNAL STRUCTURE Person Based Job Based Skills Competencies Job analysis Job descriptions Skill Analysis Core Competencies Determine what to value Job Evaluation Classes/Comp factors Skills blocks Competency sets Assess value Factor degrees & weighting Certification Process Behavioral Descriptors Translate into structure Job-Based structure PURPOSE Collect, summarize Work information Person-based structure p. 1 Person based vs Job based Structures based on knowledge pay individuals for all the Competencies, Knowledge, Skills & Abilities (KSA) for which they have been certified, regardless of whether the work they are doing requires all or just a few of those particular skills or competencies. In contrast, a Job-Based plan pays employees for the job to which they are assigned, regardless of the skills or competencies they possess. p. 2 Person based vs Job based Knowledge, Skills, Abilities (KSA) and Competencies, rather than jobs are compensable Mastery of KSA and Competencies are measured and certified Pay changes do not necessarily accompany job changes, since a different job does not necessarily mean more or different KSA and Competencies Little emphasis is placed on seniority in pay determination p. 3 Person Based Today employees are told they must go beyond the tasks specified in their job description Person based systems claimed to be essential for achieving competitive advantage. p. 4 Person based Skill plan can focus on : • Depth – Specialist in corporate law, finance, welding and hydraulic maintenance, etc. • Breath – Generalist in operational phases, incl. marketing, manufacturing, finance, HR, etc. p. 5 Knowledge-Skills-Abilities : Examples Knowledge • Administration and Management: knowledge of business and management principles involved in strategic planning & resource allocation. • Reservation System: knowledge of reservation system software, transaction handling and exceptions treatment. Skills • Speaking — Talking to others to convey information effectively. • Time Management — Managing one's own time and the time of others. • Languages — Speaks fluently Chinese and Japanese Abilities • Typing Manual Proficiency — The ability to quickly move your hand, your hand together with your arm, or your two hands to grasp, manipulate, or assemble objects. • Number Facility — The ability to add, subtract, multiply, or divide quickly and correctly. p. 6 Whom to involve Employee involvement is almost built into skill-based plans Employees and managers are the source of information on: – Defining the KSAs – Arranging them into a hierarchy – Bundling them into skill blocks – Certify actual skills p. 7 Technician Skill-based structure Basic requirements – Quality course – Shop floor control – Material handling Etc… Skills: – Panel fabrication – Shell Fabrication – End casting welding – Finishing pain Etc… 10 15 15 20 pts pts pts pts Optional Electives – Maintenance – Logistics – Computer dBase – Administration Etc… p. 8 Technician Skill-based structure Euro Optional electives 17.00 - 14.50 - Optional electives 13.00 Optional elective 10.00 - 40 Core electives 140 Core electives 240 Core electives 365 Core electives Basic Basic Basic Basic requirements requirements requirements requirements Entry Tech 1 Tech 2 Tech 3 Tech 4 p. 9 What is a Competency What is a Competency? • Personal attributes that contribute to and predict superior performance and success within a particular job, function and/or organization. • Personal attributes : – – – – – – motives traits self-image Social role Knowledge Skills • Distinctive to an organization • Independent of a job or position • An employee can transport them from one job to another p. 10 What is a Competency Competencies are what superior performers: • Possess as underlying attributes • Demonstrate in more situations • Apply with better results p. 11 Types of Attributes Motives Recurrent thoughts that drive behaviors Traits A general disposition to behave in a certain way Social Role The image one projects to others (“outer-self”) Self Image A person’s sense of identity Technical Skills Behavioral demonstration of expertise Knowledge Information that a person has in a particular area p. 12 Competencies Performance Social Role Motives Power - Affiliation Achievement Rarely changes in lifetime Personality Energy Traits Difficult if not possible to influence Leadership or followup role Could be influenced Professional Knowledge Creativity IQ Could be influenced Self Image Image perception Technical Skills p. 13 Degree of Competency The more complex and the wider the scope of work, the more important the competencies. Importance Competencies Task Mastery Job Complexity p. 14 Some Basic Assumptions about Competencies In every job, some people perform more effectively than others. These people also approach their job differently from typical workers. These differences in approach relate directly to specific attributes or competencies of the outstanding performers that are often absent in typical performers. Cultural differences can effect the way in which people solve problems, respond to authority figures, learn skills, deal with conflict, etc. However, the attributes of superior performers cut across these cultural differences. In short, the most effective do not “do more” of the same thing, they do different things. p. 15 The Competency Model Concentrate on attributes of top performers in job analysis Attributes of Top Performers Attributes of Average Performers Shared Attributes p. 16 Some Examples of Competencies Achievement Orientation Initiative Planning & Organizing Customer Orientation Analytical Thinking Self-Control Self-Confidence Technical Expertise Tenacity Organizational Awareness Interpersonal Sensitivity Teamwork Use of Influence Strategies Developing Others Directing Others Leadership Relation Building Flexibility p. 17 An Example of a Competency Customer Service Orientation DEFINITION Demonstrates concern for meeting internal and external customers' needs in a manner that provides satisfaction for the customer within the resources that can be made available. BEHAVIORAL INDICATORS: – Asks questions to identify customer's needs or expectations. – Checks understanding by stating what he/she understands are the customer's needs or expectations and asks the speaker to verify or clarify. – Demonstrates close concentration on the message being verbalized. – Stays calm in the face of a customer's anger or lack of control. – Keeps own emotions from interfering with responding effectively to customer's needs. – Takes a variety of actions to meet a customer's needs, as required until need is met. – Responds quickly to a problem when it comes up. – Asks questions of customers to assess satisfaction with service being provided. p. 18 An Example of a Competency Attention to Detail DEFINITION Thoroughness in accomplishing a task through concern for all the areas involved, no matter how small. BEHAVIORAL INDICATORS: – Provides accurate, consistent numbers on all paperwork. – Provides information on a timely basis to others who need to act on it. – Provides information in a useable form. to others who need to act on it. – Maintains a checklist, schedule, calendar, etc., to ensure that small details are not overlooked. – Double-checks the accuracy of information and work product. – Carefully monitors the details and quality of own and others' work. – Expresses concern that things be done right, thoroughly, or precisely. p. 19 Competency Models Individual competencies can be grouped together to form “Competency Models” for specific jobs, roles, functions, or organizations. Responsibilities Competency Model Behaviors needed to perform these responsibilities p. 20 Competency Models Example : SUPERVISOR Responsibilities Competency Model Planning Daily/Weekly Tasks Team Leadership Cost Control Conceptual Thinking Quality Initiative Mgmt development Organizational Awareness Results Achievement Orientation Meeting Schedules Self Confidence Performance Management Planning & Organizing Developing Team Members Developing Others Behaviors needed to perform these responsibilities p. 21 Competencies Most Predictive of Success Part of the Job Executive Manager Individual Contributor Not Required l t e s s s e n g g p ce i ty ng ng ro is ie iv io ac in er in hi es c t t n t s g z s ki ki r p d h n a n e i l a r t a e m i e i n n e n n t i i e m id e u O it Co ar xp Bu ra Te lI ga nf rs Th Th ad n ev ft In E r i i l w a e o e l p S i h n P A O ic L C a al op Se p sh & Ac so lfic ce al eg ct tic el r n t u e n n n e y v g l a e S e io ir ro Pe ch in tr tio D lu D na G r at e n f a S l A o T f iz In an Re f n Pl an r o g e r se O nc U o C t en p. 22 Competencies Difficult to Train or Develop Achievement Drive Interpersonal Awareness Concern with Personal Impact Tenacity Context/Environment has an impact on some of the listed Competencies Flexibility Analytical/Conceptual Thinking Self Confidence p. 23 COMPENSATION How should jobs be valued? JOB DESIGN How should jobs be structured? PERFORMANCE MANAGEMENT How should performance be evaluated? COMPETENCIES SUCCESSION PLANNING What are the succession requirements of our jobs? SELECTION How should qualified employees be identified? TRAINING & DEVELOPMENT What are the development requirements of our jobs? p. 24 How to Identify Competencies Strategic Requirements Job Task Requirements Organization Culture Job Competencies p. 25 Contrasting Approaches Job based Skill based Competency based Pay structure Promotion Skills acquisition Competency development Advantages Clear expectation Continuous learning Continuous learning Sense of progress Flexibility Flexibility Pay based on value Reduced work force Lateral movement Potential bureaucracy Potential bureaucracy Potential bureaucracy Potential inflexibility Requires costs controls Requires costs controls of work performed Limitations p. 26 Job Evaluation : Wrap-up Job-Based Knowledge-Base What is valued Job features and compensable factors Skill and competencies block Quantify the value Factor degree weights Skill and competencies level Mechanisms to translate into pay Assign points that reflect criterion pay Certify skills and competencies and structure price competencies and skills in external market Pay structure Based on job performed/market Based on skills and competencies certified/ market. There is little emphasis on seniority in pay determination. Pay increases Promotion Skill acquisition and competency development. Pay changes do not necessarily accompany job changes Manager’s focus Link employees to work Utilize skills efficiently and make sure Promotion and placement competencies add value Cost control via pay for job and budget Provide training and competency – increase developing opportunities. Control costs via training, certification, and work assignments p. 27 What System for which Organization Mature 1 - 300 empl. Start-up Mature Market Salary Surveys Structure & & Job Slotting Organisation Classical Job Description Evaluation Start-up 300 - 1000 empl. Job Description Mixed & Competency Evaluation Assessment >1000 empl. Individual Competencies Competency Evaluation Assessment p. 28