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CompensationManagement:ToolsandTechniquesLeeKokWaiLectures4and5Day-to-DayOperationalFocusFuture/StrategicFocusPeopleProcessesStrategicHRPlanningHRasBusinessPartnerCultureandImageStrategicPartnerStaffingOrganizationalDesignSuccessionPlanningPerformanceMeasurementTraining&DevelopmentEmployeeRelationsLaborRelationsEnvironment,Health,Safety&SecurityVOWSurveyActionPlanCompensationBenefitsHRInformationSystemsComplianceAdministrativeExpertEmployeeRelationsExpertChangeAgentHR’s4Roles&KeyAccountabilitiesManagingHumanResourcesinCOMPAQCompensationMgt.T-Compphilosophy&designT-Compplanning&admin.Incentiveplans(MIPs/LTB)Profit-sharingschemeReward&recognitionprog.Expatriatemgt.ManpowerMgt.HeadcountmanagementRecruitmentstrategiesSourcesoflaborsupplySelectionprocess&toolsRetentionstrategies&plansStaffdeploymentStafforientationEmployeeRelationsMgt.BenefitsadministrationCodeofconductðicsEmployeedisciplineEmployeecommunicationsStaffsocial,sports&recreationCommunityservices&relationsEHS&SMgt.Environmentmgt.EmployeewellnessEmployeehealthservicesLosspreventionAssetmanagementSafetymgt.Culture/ValuesMgt.CorporatevisionCorporatemissionCulturebuildingTeambuildingHabitsbuildingPerformanceMgt.(HRD)Stafftraining&developmentSuccessionplanningCareerplanningCoaching&counselingAppraisalreview/rankingOrganizationdevelopmentLeadershipdevelopmentHumanResourceAdmin.Records&informationmgt.PersonnelresearchHRpolicyreviewHRprocessimprovementsHRperformancestds&auditLegalcomplianceDocumentcontrol
StrategicComponentsofHumanResources
COMPENSATIONMANAGEMENTWebelieveinpayingcompetitivewagesthatcommensuratewithjobsizeandindividualperformanceWELFAREMANAGEMENTWebelieveinbeingafirm,fairandcaringemployer.Westrivetomakeemployeesvaluetheirjobsandwanttoremainintheorganizationbasedontheirabilitiestocontributeandgrow.
PERFORMANCEMANAGEMENTWebelieveinequippingemployeeswiththenecessaryskillstodoagoodjob,providingthemwiththetools,theenvironment,thesupportandtheinformationneededtoexcelintheirjobs.
CAREERMANAGEMENTWebelieveinmatchingemployees’strengthsandaptitudestoavailablejobs,developingthemtotheirhighestpotentialandofferingthemopportunitiestoadvanceintheircareers.
CULTURE/VALUEMANAGEMENTWebelieveininstillingourcorporatecorevaluesandpromotingacorporateculturethatemphasizesresults,teamwork,learning,sharing,servicequalityandworkexcellence.
InternalequityExternalequityEmployeeequityAdministrationConceptsCompensationTechniquesPlanning,Budgeting,Monitoring,EvaluatingJobAnalysisJobDescriptionJobEvaluationJobGradesMarketDefinitionsSalarySurveysPolicyLinesPayStructuresSeniorityIncreasesPerformanceEvaluationIncreaseGuidelinesCompensationObjectivesRoleclarityandaccountability.Facilitatesadministrationandperformancemanagement.Competitivewagepoliciesandpractices.Influenceemployees’workattitudesandbehaviour.Attracttalents.Retaintalents.Motivateemployees.Complywithregulations.Consistencyinpolicyadministration.TheStrategicCompensationModelWhatisJobEvaluation?Jobevaluationisadecisionprocessofcomparingonejobwithanotherjobwiththeaimofestablishingtherelativeimportanceofjobswithintheorganization.Jobevaluationwillprovideaninternallylogicalrankingofalljobswhichwillformthebasisofthecompany’ssalarystructure
PrinciplesForJobEvaluationEvaluatingthejob,notthejob-holderEvaluatingthepresentjob,notthefuturejobJobisbeingcarriedoutinafullyacceptableandcompetentmannerProcessofevaluationisbasedongivenfactsinthejobdescriptions.Evaluatethejobbasedonthe“primaryresponsibilities〞andignorethe“specialpersonal-to-holderresponsibilities.〞
JobEvaluation:3MainMethodsQualitativeMethod(anexampleistheJobClassificationMethodandtheJobComparisonMethod)QuantifyingtheQualitativeMethod(anexampleisthePointMethod)QuantitativeMethod(anexampleistheGuideChartProfileMethod)
JobClassificationMethodadoptedbyAcademicInstitutionssuchasUniversitiesJobClassA:DoctorateDegreewithatleast10yearspostdoctoralexperienceplusrelevantmanagementexperience(FacultyHead)JobClassB:DoctoralDegreewithatleast5to10yearspostdoctoralexperience(FullProfessor)JobClassC:DoctoralDegreewithlessthan5yearspostdoctoralexperienceorMastersDegreewithover10yearspostgraduateexperience(AssociateProfessorandSeniorLecturer)JobClassD:MastersDegreewith5to10yearspostgraduateexperience(Lecturer)JobClassE:MastersDegreewith3to5yearsexperience(AssistantLecturer)JobClassF:MastersDegreewithlessthan3yearsexperience(TeachingorResearchAssistant)
JobEvaluation:ThePointMethodJobEvaluationProcess1.FormaJobEvaluationSteeringCommittee2.Drawupaworkplanfortheexercise3.Decideonthebenchmarkjobs4.Decideonthejobfactorsfortheevaluation5.Determinenumberofdegreesforeachfactor6.Preparejobdescriptionsbasedonjob-factorformat7.Analyseeachbenchmarkjobintermsoffactorsanddegrees8.Decideontheweightsofeachfactor9.Determinetheweightedscoreforeachbenchmarkjob10.SlotinallotherjobsintothejobgradesThePointMethodFormtheJobEvaluation(JE)SteeringCommitteea.TheSteeringCommitteeshouldbechairedbytheCEOwithfunctionalManagers/Headsasmembers.TheHRManagershouldbetheSecretaryoftheJESteeringCommittee.b.Ifanexternalconsultantisemployedtoassistintheexercise,thenheshouldbedesignatedastheadvisortotheSteeringCommittee.TheHRManagershouldthendouble-upasthecounterpartforinternalskillstransfer.JobFactorScoreSheet:Job#12FactorABCDEEducation20406080100Experience306090120150InterpersonalSkills1020304050ProblemsEncountered306090120150Sizeofunitsupervised1020304050DecisionMaking306090120150WorkEnvironment1020304050Impactoferrors306090120150Contacts/Committees1020304050AssetsControlled($)20406080100TotalScore=440pointsThePointMethodSlotallotherjobsintothejobgradesa.Fromtheclusters,decideonthenumberofjobgradestoadopt.b.Slotinallotherjobsintothejobgradesadopted.TheGuide-ChartProfile:HayMethodThismethod,firstdevelopedbyDrEdwardN.Hayintheearly1950s,isessentiallyconcernedwithdecisionmakingandresponsibility.GuideChartswerecreatedin1951inclientsituations.Emphasiswasplacedonanswerabilityfortheconsequencesofdecisions,thedegreeoffreedomtotakedecisionsandbringthemtofruition,thedegreetowhichthereisprimeaccountability,ascomparedtosharedorcontributoryaccountabilityinajob.
TheGuide-ChartProfile:4CriticalObservationsThemostsignificantfactorcouldbegroupedasrepresentingtheknowledgerequiredtodoajob,thekindofthinkingneededtosolvetheproblemscommonlyfaced,andtheresponsibilitiesassigned.Jobscouldberankednotonlyintheorderofimportancewithintheorganization,butthedistancesbetweentherankscouldbedetermined.ThefactorsappearedincertainkindsofpatternsthatseemedtobeinherenttocertainkindsofjobsThefocusoftheprocessofjobevaluationmustbeonthenatureandrequirementsofthejobitself,notontheskillsorbackgroundorcharacteristicsorpayofthejobholder.TheGuide-ChartProfile:HayMethodThereareThreeFactorswithatotalofeightelementswhichdeterminethevalueofdifferentjobs.Theyare:
1.Know-How 2.Problem-Solving 3.Accountability
TheGuide-ChartProfileMethod:Know-HowWhatisKnow-HowKnow-Howisthetotalofeverykindofskillrequiredforaverageacceptablejobperformance.Itisknowledgeandexperienceinprofessional,managerialandhumanRelationsactivitiesnecessarytofulfillthejob.Know-Howismeasuredindepthbyeightdegreesandinbreadthbyfivedegrees
TheGuide-ChartProfileMethod:Know-HowThethreedimensionsofKnow-Howare:Practicalprocedures,specializedtechniquesandknowledgewithinoccupationalfields,commercialfunctions,andprofessionalorscientificdisciplines.ThisiscommonlyreferredtoastheDepthofKnow-How.Integratingandharmonizingsimultaneousachievementsofdiversifiedfunctionswithinmanagerialsituationsoccurringinoperating,technical,supportoradministrativefields.ThisisreferredtoastheBreadthofKnow-HowActive,practicingperson-to-personskillsinworkwithotherpeople.ThisisreferredtoastheHumanRelationsSkill.
DepthOfKnow-HowA.Educationtopost–primarylevelB.Practicedinstandardworkroutinesand/oruseofsimpleequipmentandmachinesC.ProceduralorsystematicefficiencyanduseofspecializedequipmentD.Specializedskillgainedbyon-the-jobexperienceorthroughpartprofessionalqualificationE.Understandingoftheoreticalprinciplesnormallygainedthroughprofessionalqualificationorthroughadetailedgroupofinvolv
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