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1、177PARTFOURCOMPENSATIONCHAPTERTElevenEstablishingStrategicPayPlans1111LectureOutlineStrategicOverviewDeterminingPayRatesCpatePoliciesCompetitiveStrategyEquityItsImpactonPayRatesEstablishingPayRatesStep1.TheSalarySurveySt
2、ep2.JobEvaluationStep3.GroupSimilarJobsintoPayGradesStep4.PriceEachPayGrade—WageCurvesStep5.FineTunePayRatesPricingManagerialProfessionalJobsCompensatingManagersCompensatingProfessionalEmployeesCompetencyBasedPayWhatisCo
3、mpetencyBasedPayWhyUseCompetencyBasedPayCompetencyBasedPayinPracticeCompetencyBasedPay:ProsConsResultsOtherCompensationTrendsBroadbingStrategicCompensationComparableWthInBrief:Thischaptercoversthebasicsofcompensation.Inc
4、ludedarebasicconsiderationsindeterminingpayratesestablishingpayratescurrenttrendsincompensationpricingmanagerialprofessionaljobscurrentissuesincompensationmanagement.InterestingIssues:Thischapterlistsdiscussesmanycurrent
5、controversialissuesincompensationmanagement.Youmaywanttoincpateadiscussionofthecurrentissuesdescribedinthechapter.179II.EstablishingPayRatesA.Step1.TheSalarySurveyIntroduction–Virtuallyallemployersconductatleastaninfmalt
6、elephonenewspaperIntersalarysurveytopricebenchmarkjobsbenefits.1.CommercialProfessionalGovernmentSalarySurveys–Manyemployersusesurveyspublishedbyconsultingfirmsprofessionalassociationsgovernmentagencies.TheBureauofLabSta
7、tistics(BLS)annuallyconductsareawagesurveysindustrywagesurveysprofessionaladministrativetechnicalclerical(PATC)surveysinarecentlyganizedNationalCompensationSurvey.2.UsingtheIntertoDoCompensationSurveys–Arapidlyexpingarra
8、yofInterbasedoptionsmakesitfairlyeasyfanyonetoaccesspublishedcompensationsurveyinfmation.Severalexamplesofsourcesofsalarydataareprovided.B.Step2.JobEvaluationPurposeofJobEvaluationistodetermineajob’srelativewththroughafm
9、alsystematiccomparisonofjobstodeterminethewthofonejobrelativetoanother.Thebasicprincipleisthatjobsthatrequiregreaterqualificationsmeresponsibilitiesmecomplexjobdutiesshouldbepaidhigherthanjobswithlesserrequirements.1.Com
10、pensableFacts–determinethedefinitionofjobcontentestablishhowthejobscomparetoeachothersetthecompensationpaidfeachjob.Someemployersdeveloptheirowncompensablefactswhilemostusefactspopularizedbypackagedjobevaluationsystemsby
11、federallegislation.2.PreparingftheJobEvaluation–JobevaluationamostlyjudgmentalprocessdemsclosecooperationamongsupervissHRspecialistsemployeesunionrepresentatives.Themainstepsincludeidentifyingtheneedftheprogramgettingcoo
12、perationchoosinganevaluationcommitteetoperfmtheactualjobevaluation.3.JobEvaluationMethods:Ranking–isthesimplestmethodwhichrankseachjobrelativetoallotherjobsonsomeoverallfact(seeTable111).Thestepsoftherankingmethodinclude
13、:1)obtainingjobinfmation2)ingratersjobs3)ingcompensablefacts4)rankingjobs5)combiningratings.4.JobEvaluationMethods:JobClassification(grading)–isasimplewidelyusedmethodinwhichyoucategizejobsintogroups(seeFigure112).Thegro
14、upsarecalledclassesiftheycontainsimilarjobsgradesiftheycontainjobsthataresimilarindifficultybutotherwisedifferent.5.JobEvaluationMethods:Thepointmethod–amequantitativetechniqueinvolvesidentifying(1)severalcompensablefact
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