Job evaluation forms the part of every organization in order to measure the level of performance of each and every employee of the organization. Evaluation of jobs can be done by various techniques and the techniques can be decided upon on the basis of the policies and procedures of the organization laid down by the management. it is very necessary to evaluate the performance of the jobs of the employees and also very helpful in deciding the level of rewards that needs to be given to the employees in the organization so as to motivate the best performers of the organization whose valuable contribution leads to the growth of the organization by enhancing its productivity as well as profitability. Job evaluation is the necessary step in the process of reward management in the organization. The evaluation of the jobs is done on the basis of the baseline or the standards that are set or established by the organization. The employee who performs above the established standards or criteria is considered as best performer and the others who perform below the set standards are considered as poor performers and on the basis of such evaluations, rewards are given to the employees.
The policy may determine how a formal job evaluation should be used. The choice is between evaluating every job or allocating a support role to job evaluation, which, after the grade structure has been designed, is only used when grading need to be done, validated or in special circumstances, which would need to be defined, e.g. for new jobs, for appeals against grading or in equal pay reviews.
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