The Job Classification Or Grading Method

Published Date: 02 Nov 2017

This is an improvised method over the ranking method. But both the methods assign neither points nor money values to classify the jobs. Procedures followed are not complicated. Basically uses Job descriptions and job specifications. The committee of executives goes through each job description in detail and carefully weights the job basing upon factors like skills, responsibilities, experiences and types of work etc.

This method establishes a pre-determined number of job groups or job classes and assigns jobs to these job groups. In other words, first job classes or grades of jobs are established and then various jobs are fitted into these pre-determined, established classes or grades. Generally the job classes range between 7 and 15, or as deemed appropriate by the rankers. It assigns each job to a particular grade or class and for each grade or class, rates of wages are different.

Example of job classification :

Grade

Description of Job

   Unskilled/ semi skilled

These types of Jobs are very much routine and procedural in nature may include, Nurse’s aide, Hotel room waiter, Carpenter

Highly Skilled

This covers jobs with the nature of clerical work. This may include typist, draftsman, ledger man, laboratory assistant etc.

  Grade Interpretative

This job requires a special skill to do the jobs. Both clerical and non-clerical nature of jobs fall in this class and includes foreman, layout draftsman etc. job class is non-supervisory nature.

Supervisors

This class demands high degree of creativity and special knowledge. Engineers, salesman, staff supervisor, designers fall in this group.

Executive

Job covers supervisory and creative jobs and covers the managers of different departments.

Administrative

Job needs a great sense of responsibility .It includes division manager, district sales managers, works engineers and treasurer etc. They are also related with policy formulation and implementation.

    Policy

Job position is of the top in a concern. They formulate policies of a company. This cover top management posts like directors, managers etc.

Advantages:

1. It is simple to understand and operate.

2. Evaluation by this method can be more accurate since the analysis is based on job descriptions.

3. grouping of jobs under different class or grade makes pay determination and administration problems easier.

4. When a new job is introduced, it is easy to associate it with a class or grade.

5. It is most suitable to the government departments.

Disadvantages:

Since job classes and grades are established by personal evaluations by executives and they place the jobs into the grade of its best fit, this is also a subjective method.

Jobs are classified by considering total of its contents and factors that comprise it. For which it is difficult to compile comprehensive class specification for a large scale organisation with a number of complex jobs.

If job Analysis is not made in very detail, the judgement in respect of total range of jobs may lead to incorrect results and classification.

Writing of a grade description is also a very difficult task. It becomes more difficult if the number of jobs increases in a concern.

The Factor Comparison Method

Thomas E. Hitten has originated factor comparison method of job evaluation. This method involves ranking of jobs in respect of certain job factors and assigning of money wages to the job depending upon the ranking. This is more systematic and scientific method. Under this method, jobs are evaluated by some standards. In this method, instead of ranking complete jobs, each job is ranked according to series of factors. All jobs are compared to each other to determine their relative importance by selecting four or five important job elements. These job elements are selected on the basis of job Analysis and are either more common or less common to all jobs. The basic five factors which are commonly used are (ij mental requirement (ii) skill (iii) physical requirement (IV) responsibilities and (v) working conditions. The number of factors selected can be more than five also. By comparing the weights of the factor required for each job pay is assigned. The present wages paid for key jobs may be divided among the factors weighted by importance. So the wages are assigned to all other jobs in accordance of their ranking on each job factor. The following are the steps involved in factor comparison method.

Selection of job factors: Selection of important job factors includes skill, mental and educational requirements, physical requirements, responsibility and working conditions. The persons write job specifications, generally perform this within a set of specified job dimensions provided to him.

Selection of key jobs: Few key jobs are selected that serve as standard against which all other jobs are compared. Generally a key job is one whose contents have become stabilized over a period of time and whose wage rate is satisfactory and acceptable by the management and union. The key jobs should be a good sample representing the entire range.

Ranking of Key jobs: The members of the job evaluation committee rank the selected jobs under each factor independently. Ranking is made individually and then a consensus is arrived at.

Assign money value: Money value is assigned to each factor to determine the wage rate for each key job. The basic pay for each 'key' job is allocated to each factor. It range from the lowest to the highest.

Compare all jobs with key jobs: All other jobs are compared with the list of key jobs. This is done to know their relative importance and position in the scale of jobs.

Point Rating Method

This method is most commonly used for job Evaluation. It involves a quantitative and analytical approach to the measurement of job worth. Jobs are expressed in terms of key factors. Different points are assigned to each and every job factor in order of their importance. Then the assigned points are summed up to determine the wage rate for the job. Jobs with similar total point are placed in similar pay grades. The point rating method follows a clear cut procedure from the beginning. By and large the procedure follows preparing and evaluation plan and scheduling by defining and weighting factors and grading jobs with reference to the schedule. This involves the following steps:

Listing of Jobs: The cluster of jobs that requires evaluation need to be identified and enlisted first. This covers all the categories of jobs. It could be skilled, unskilled, semi-skilled, technical or professional types of job.

Selecting and defining factors: The common factors to all the enlisted jobs are identified. It could be skill, effort, responsibility, job conditions so on and so forth. The identified factors much depend upon the nature of the jobs but need to be comprehensive enough to evaluate all aspects of the jobs.

Assign degree to the factors: Degrees are assigned to the selected factors. The point method generally uses four to six degrees for each factor. Always even numbers of degrees are preferably used in the development of point method. Again the same number of degrees needs to be used for each factor to avoid inconsistencies and maintain consistency in the job evaluation process.

Assign weight to the factors: Different weights are assigned to selected factors taking into consideration of their relative importance. There is no scientific or readymade method to assign weights to different factors. It is generally done pragmatically with the knowledge of the work of the enterprise and basically depends upon and the objectives and policies of the enterprise.

Allocations points to each degree by assigning numerical value: Once the relative importance of the factors has been established and the factors are divided into degrees, each degree is assigned a numerical value. That will help to calculate the total point values of jobs.

Evaluation of Jobs: once factor plan is established, usually job evaluation is done with handbook explaining all the procedure to be followed and summarising all the elements required for evaluation.

Assign money value: At this stage, points are added to obtain the total value of a job then translated into money with a pre-determined formula.

Advantages:

The point method is considered as superior method and widely used. It justifies wage differentials on numerical basis. Since the method analyses a job by its factors, usually there is possibility of obtaining a high measure of agreements on job value.

It can be used for a long period of time after the rating scale is developed.

3. Since wage is fixed in accordance with the strength of job factors, this method accounts for differential wage rates for various jobs. The rating scale established under the point method remains unaffected or very little affected if the job changes over time.

4. Large number of jobs can be evaluated by this method. It also maintains stability as long as the factor remains relevant.

Disadvantages

This method is costly and incurs for heavy expenditure for the development and installation of the system.

This method is complex. For which adoption of the whole procedure is very difficult and time-consuming process.

Fluctuations in compensable factors may occur with the change in technology, values of employees etc.

Employees, union representatives, management and other interested parties may differ from the evaluation committee in selecting compensable factors, in assigning weights and so on.

JOB DESIGN

Developing appropriate job design is the outcome of the job Analysis process. Job Analysis provides basic inputs to the design of jobs so that it is able to meet the requirements of both the organization in terms of efficiency and productivity as well as the employees in terms of job satisfaction and need fulfilment. It is a systematic attempt to organize tasks, duties and responsibilities into a unit of work to attain certain objectives. Job Design integrates the job content and human qualifications required for each job to satisfy the needs of employees and the organization goals. Job Design makes the job highly specialized as a result of which well designed jobs are instrumental in attracting and retaining a motivated work force.

According to Michael Armstrong, "Job Design is the process of deciding the contents of a job in terms of its duties and responsibilities, the methods to be used in carrying out the job, the terms of techniques, the systems and procedures, and the relationships that ought to be there between the job holder and his superior, subordinates and colleagues".

Job Design involves the organization of tasks and the structuring of jobs in a way that provides satisfaction for job holders and consequently increases their effectiveness. Job Analysis helps to develop job design that matches the job requirements with the human qualities to perform it efficiently. Job design is affected by organizational factors behavioural factors, environmental factors.

Organizational Factors: The organizational factors that affect job design are characteristics of task, work flow, ergonomics and work practices.

Characteristic of task: Job design involves the assembling of a number of tasks into a job or a group of jobs. A job demands an employee to perform a wide variety of connected task. All these characteristics and attributes of jobs need to be taken into consideration for job design. A single job may demand many duties when the company is not in a position to appoint many people.

Workflow: Workflow refers to the order in which jobs are performed in a company. The company’s follow certain order. Company may wishes to combine similar job and assign it to one person. This can be done, if all the jobs come one after the other in a sequence. Basically, the nature of the product and service determines the work flow in an organization. This product and service usually defines, determines, suggests and sets the sequence of work order so that the work can be completed efficiently.

Ergonomics: Ergonomics is concerned with the designing and shaping the job in accordance with the physical ability and characteristics of the individuals who are going to perform it and providing with an appropriate office environment that will be conducive enough to complete the job comfortably and effectively.

Work Practices: Work practices are the set of methods of performing work. Every organization has different work practices. The method of doing the same job differs from company to company. Work practice of the organisation affects job design.

Environmental Factors: Environmental factors of the business affect job design. Environmental factors include employees’ abilities & availability and social & cultural expectations.

Employee Abilities & Availability: Abilities and availability of people plays an important role while designing jobs. Due attention needs to be given to the employee who will actually perform the job.

Social and Cultural Expectations: Jobs should be designed keeping the employees in mind and their cultural and social need. Due to increase in literacy rate and knowledge, employees prefer to perform jobs that match with their profile and likeness. Therefore while designing job a sensible approach towards the social and cultural conditions of the people need to be taken care of.

Behavioural Factors: Behavioural factors are related to human needs. These needs need to be taken care of while designing the job. It broadly includes:

Feedback: Job design is normally done on the basis of job Analysis. Job analysis requires employee feedback. Basing upon this employee feedback, all other activities take place. Since, many of the employees feel reluctant in providing true feedback because of fear and insecurity, job design gets affected by it. Again employees should also be given proper feedback about his job performance in a positive and constructive manner.

Autonomy: Every worker desires a certain level of freedom to perform his job effectively which is known as autonomy. The absence of autonomy may lead to poor performance on the part of employees for which while designing a job required amount of autonomy is to be provided to the worker so that he carries his job effectively.

Variety: A repetitive job may leads to boredom and monotony. This leads to lack of interest and carelessness on the job. Therefore, while designing the job certain degree of variety must be provided to avoid boredom and keep the person interested in the job.

Methods and Techniques of Job Design

Job Design is basically work arrangement or rearrangement aimed at reducing or overcoming job dissatisfaction and employee alienation arising from repetitive and mechanistic tasks. Through job Design, organizations try to raise productivity levels by offering non-monetary rewards such as greater satisfaction from a sense of personal achievement in meeting the increased challenges and responsibility of one's work. Job enlargement, job enrichment, job rotation, and job simplification are the various techniques used in a job Design exercise.

Job Simplification: - job Simplification technique make the job more simplified or specialized one. A given job is divided into small parts and subparts. Then each part is assigned to one individual employee. Job Simplification is introduced when job designers feel that the jobs are not specialized enough.

Job Rotation:--Job Rotation implies systematic movement of employees from one job to the other. Job remains unchanged but employees performing them shift from one job to the other. With job rotation, an employee is given an opportunity to perform different jobs, which enriches his skills, experience and ability to perform different jobs.

Job Enlargement: -Job Enlargement means expanding the scope of the job. Many tasks and duties are aggregated and assigned to a single job. Job Enlargement involves combining various activities at the same level in the organization and adding them to the existing job. It increases the scope of the job. It is also called the horizontal expansion of job activities and involves the addition of tasks at the same level of skill and responsibility. Small companies may have limited opportunities for promotions, for which they try to motivate employees through job Enlargement.

Job Enrichment: - Job Enrichment is a term given by Fredric Herzberg. According to him a few motivators are to be added to a job to make it more rewarding, challenging and interesting. According to Herzberg the motivating factors enrich the job and improve performance. In other words job enrichment is a method of adding some motivating factors to an existing job to make it more interesting. Job Enrichment implies making the job rich in its contents, so that an employee will derive more satisfaction while performing that job. Job enrichment means upgrading of responsibility, scope and challenge. The motivating factors could be:

Giving more freedom and encouraging participation.

Giving employees the freedom to select the method of working.

Allowing employees to select the place at which they would like to work.

Allowing workers to select the tools that they require on the job.

Allowing workers to decide the plant layout or office layout.

Although Job Enrichment increases the responsibility at the same time it gives a lot of freedom to the employees. Job Enrichment caters the psychological needs and necessities of employees.

Advantages of job Enrichment

When a fair degree of power and autonomy is given to employees, it makes the job more challenging for them. It can be rightly said that job enrichment is a method of employee empowerment.

Job Enrichment helps in improving decision making ability of the employees by asking them to decide on factory layout, method and style of working and so.

Job Enrichment provides opportunities to the employees to take decisions. By which the organisation can able to identify decision making skill of their employees and mark them for future promotion.

This method identifies higher order needs of the employee. These higher order needs like ego and esteem needs, self-actualization need etc, can be achieved through job Enrichment.

Job Enrichment reduces the work load of senior staff. When decisions are taken by juniors, the seniors work load may be reduced.

Disadvantages of job Enrichment

Job Enrichment is based on the assumptions that workers have complete knowledge to take decisions and they have the right attitude as well. In reality this might not be the case due to which there can be problems in working.

Job Enrichment may have negative implications on the employees in the sense that some of them may feel overburdened when they are required to take decisions.

Superiors may feel that power is being taken away from them and given to the junior’s leading towards ego clashes.

This method will only work in certain situations and will not work for such jobs which already have lot of freedom and responsibility.

People who are internally dissatisfied with the organization, no amount of job enrichment can solve the problem.

JOB ASSESSMENT

It is the state at which lot of Job information is already with the assessors. Every job whether manual or not is closely observed and inspected by the assessors and if required further more details about the job can be collected by asking questions to the operators and their supervisors. To keep pace with the changing job content, due to technological changes, it is necessary to make periodic re assessment of the job keeping in view the existing Job Description. Methods of job assessment are broadly fall into:

Pricing Job Value

Work Study

Pricing Job value:

Job Evaluation gives us the relative job value within the organisation in terms of points or rankings and in terms of pay levels. The next step is to translate these data into a pay structure through job-co-relation. This is developed by deciding the pay grades and then developing pay ranges for each grade. To start pricing the job and fitting them into a pay structure calls for translating the points into different job grades. Thereafter jobs have to be grouped as per different pay grades and the result is related with comparable jobs with other companies. Once jobs are grouped properly, it becomes easier to price each such job group. After pricing each job group, pay structure can be developed on the mathematical principle that ‘things which are equal to the something are equal to each other’. However, this may not be possible for jobs which are unique in nature.

Work Study:

Work study literally implies study of Human works. It concerns itself with better ways of doing things and control over the output of those things by setting standards with respect to time. British Standards Institute 3138: 1969 defined work study as "A management service based on those techniques, particularly method study and work measurement, which are used in the examination of human work in all its contexts and which lead to the systematic investigation of all the resources and factors which affect the efficiency and the economy of the situation being reviewed, in order to effect improvement". It is a generic term for two interdependent techniques, i.e Method Study and Work Measurement.

Method Study as per British Standard is defined as "the systematic recording and critical examination of the factors and resources involved in existing and proposed way of doing work as means of developing and applying easier and more effective methods and reducing costs". The means of improving ways and means of doing things is called method study. The primary purpose of improving methods is to save time, and therefore effort to labour and machinery. Work Measurement on the other hand is defined by the British standard Institute as "the application of techniques designed to establish the time for a qualified worker to carry out a specified job at the defined level of performance". Hence measurement of work involved in any job and the setting of the standards of the time for the purpose of control normally expected and the effort involved will be necessary. This aspect of setting work standards for comparison, control and other managerial action purposes is termed as work measurement. Work measurement is otherwise known as Time study. Method study and time study together comprise work study.

British Standard Institute define work study as a procedure for understanding and determining the truth about the activities of the people, plant and machineries, identifying the factors which affect their efficiency and achieving economy through their optimum utilisation. Most of the productivity improvement technique, on the other hand, ensures productivity by using existing resources. In work study, human element is emphasised and importance is given to operation rather than to technical process. Hence the primary objectives of work study are as follows:

Effective use of plant and machinery

Effective use of Human effort

Evaluation of Human work

Method Study

Method Study is the technique of systematic recording and critical examination of existing and proposed ways of doing work and developing an easier and economical method. Method Study is the principal technique primarily aims at eliminating unnecessary movement on the part of material or operatives and by substituting good methods for poor ones to increase productivity. It is a productivity improvement steps, which helps to produce more with a proportionately less increase in inputs. Method Study ensures creativity, innovativeness, optimal decision making power, good organisational practices and better communication. These are the essential factors should kept in mind while carrying out a Method Study.

Economic factors

Technical factors

Human factors

Objectives of Method Study

Improvement in use of all inputs i.e men, machines, material money, and also time and information.

Economy of human effort and elimination of unnecessary fatigue

Lay out improvements

Improvements in design of plant and equipments

Improvement in safety, standards and procedure

Development of better working environment

Process of Method study

1. Define existing method: To start with it is necessary to gain information about and understanding of the existing process, men carrying out the process and their work, the tools, and the working conditions.

2. Record existing method: All the details about the existing method are recorded. This is done by directly observing the work. Symbols are used to represent the activities like operation, inspection, transport, storage and delay. Different charts and diagrams are used in recording information and understanding is to be sought in detail about the various components of process and human, material and machine movement. This is preferably put in a graphic or visually simple to understand fashion for further analysis.

3. Examine existing method: Critical examination is done by questioning technique. This step comes after the method is recorded by charts and diagrams. The activities of individuals are examined by putting a number of questions on purpose, place, sequence, person and means. Information and facts collected is scrutinised in this stage and each part of the job critically examined to determine whether any part needs elimination altogether, or requires to be combined with other parts or any change in sequence is urgent of the need or some of the parts demand simplification of its content of the work.

4. Develop new method: After critical examination; improved alternative new methods lay out is chalked out or it may require test run procedure to determine their feasibility. Preferably, test run of this type may be carried out away from the worksite. At this point, departmental involvement may be sought. However, the end result must be an improved method and must be acceptable to the Departmental staff and workers. It must meet all the practical requirements and technical specifications.

5. Install new method: To install new method, decision must be taken on ordering of new plants or materials if any , phasing in changes in production process, deciding the extent of redeployment, training, introducing new documentation procedures, setting new quality standards and test procedures. It is good to have a detailed time-table for effecting such changes. The end product of the installation stage is that the new method is in operation at the work site, the line management is in complete control and finally that all members of the department are fully conversant with the method.

6. Maintain new method: The work study man must see that the new method introduced is followed. After much the production is undertaken, a re-evaluation and maintenance of the method is necessary. After installation of a method, the operators and supervisors may ask for some alteration. The reactions and suggestions from workers and supervisors are noted. This may lead to further improvement. A reference standard or a job instruction sheet is needed against which the job can be compared to detect any alterations. Similarly, a corresponding document for an incentive scheme, which also contains details of the standard time for each job called job specification, is prepared. With these data, changes in method can be detected. If changes are considered to be useful, the instruction sheet can be amended accordingly to incorporate the changes and if not, they can be removed through line management.

Work measurement

Work measurement is a technique to establish the time required for a qualified worker to carry out a specified job at a defined level of performance. ILO defined work measurement as "the application of techniques designed to establish the work content of a specified task by determining the time required for carrying it out at a defined standard of performance by a qualified worker". Conventionally it was known as Time Study, which is primarily carried out to determine the standard time to perform a specific task. Such time standard is used for planning and scheduling work, for estimating or for labour cost control or it may serve as the basis for a wage incentive plan. In other words, it provides management with a means of measuring the time taken in the performance of an operation or series of operations in such a way that ineffective time is shown up and can be separated from effective time.

Objectives of work measurement

1. To reduce or eliminate non-productive time.

2. To fix the standard time for doing a job.

3. To develop standard data for future reference.

4. To improve methods.

Techniques of work measurement

The following are the principal techniques by which work measurement is carried out:

1. Time study

2. Activity sampling

3. Predetermined motion time systems

4. Synthesis from standard data

5. Estimating

6. Analytical estimating

7. Comparative estimating

Of these techniques time study is the basic technique of work measurement. Some of the other techniques either derive from it or are variants of it.

Time Study

Time Study consists of recording times and rates of work for elements of a specified job carried out under specified conditions to obtain the time necessary to carry out a job at a defined level of performance. In this technique the job to be studied is timed with a stopwatch, rated, and the Basic Time calculated.

One of the most critical requirements for time study is that of elemental breakdown. Elements should be easily identifiable, with definite beginnings and endings so that, once established, they can be repeatedly recognised. These points are known as the break points and should be clearly described on the study sheet. Elements should be as short as can be conveniently timed by the observer. As far as possible, elements particularly manual ones should be so chosen that they represent naturally unified and distinct segments of the operation. Requirements for effective Time Study are as follows:

Co-operation and goodwill

Defined job and method

Correct normal equipment

Quality standard and checks

Experienced qualified motivated workers

Method of keeping time

Method of assessing relative performance

Elemental breakdown

Definition of break points

Recording media

ERGONOMICS:

Ergonomics is derived from two Greek words, ergon, meaning work and nomos, meaning natural laws. Traditionally Ergonomics was another name of human factor but today Ergonomics refers to designing of work environments for maximising safety and efficiency. Thus Ergonomics is an approach which puts human needs and capabilities at the focus of designing technological system. The aim is to ensure that humans and technological work in complete harmony with the equipment and tasks aligned to human characterstics. It is the study of the effect of work system on workers and it aims at fitting the work to the men to increase their efficiency, comfort and satisfaction. ILO defined Ergonomics as "the application of human biological sciences in conjunction with engineering sciences to the worker and his working environment, so as to obtain maximum satisfaction for the work which, at the same time, enhances productivity".

Contextual analysis of the ILO definition, therefore, provides a more meaningful basis for understanding Ergonomics. An Ergonomist for effective accomplishment of work tries to integrate the work system which broadly includes the tasks, working equipment, working conditions and working space with the capabilities, need, preferences, limitations and requirements of work. In this process, he therefore tries to ensure job satisfaction for the workers, which increases their productivity. Ergonomics combines the knowledge of a psychologist, physiologist, anatomist, engineer, anthropologist and biometrician. The objectives of the study of ergonomics are to optimize the integration of man and machine in order to increase work rate and accuracy. It involves:

1. The design of a work place befitting the needs and requirements of the worker.

2. The design of equipment, machinery and controls in such a manner so as to minimize mental and physical strain on the worker thereby increasing the efficiency.

3. The design of a conductive environment for executing the task most effectively.

Both work study and Ergonomics are complementary and try to fit the job to the workers. However Ergonomics adequately takes care of factors governing physical and mental strains.

MOTION ECONOMY

Motion Economy is the process of minimizing the physical and perceptual loads imposed on people engaged in any type of work, whether it can be in the office, the shop-floor, the kitchen or at the driving wheel. It leads to better design of equipment, jigs and fixtures, hand tools, furniture and labour saving devices. Also it facilitates better layout of offices, warehouses, plants and operating areas like office desk, workbench, aircraft, cockpit, and crew compartments of armoured fighting vehicles. The principles of Motion Economy form a set of rules and suggestions to improve the manual work in manufacturing and reduce fatigue and unnecessary movements by the worker, which can lead to the reduction in the work related trauma. There are a number of principles concerning the economy of movements which form the basis for improved methods at the workplace. Three aspects are evident:

Use of human body

Arrangement of the work place;

Design of tools and equipment

HUMAN ENGINEERING:

Method study seeks to determine the effective combination of the man, the machine and the working environment. In doing so it is necessary to determine which functions are better performed by men and which functions are better performed by machines. Both men and machines can surpass each other in certain ways. The question of economy again influences the man-machine combination. The term Human Engineering is more appropriately used to solve man-machine problems in design, operation, and maintenance of plants and machineries and in fact, it broadly comes under the purview of Ergonomics. McCormick defined it as "the mechanism for the adoption of human tasks and working environment to sensory, perceptual, mental, physical and other attributes of people". This adoption for human use applies to such functions as the design of equipment, instruments, man-machine systems and consumer products and the development of optimum work methods and work environment.

VALUE ANALYSIS/ VALUE ENGINEERING:

Value Analysis (VA) is considered to be a process because it is an organized approach to improving the profitability of product applications and it utilizes many different techniques in order to achieve this objective. The Value Analysis technique was developed after the Second World War in America at General Electric during the late 1940s. Value Analysis and Value Engineering is a systematic, formal and organized process of analysis and evaluation of the existing product design in order to compare the function of the product required by a customer to meet their requirements at the lowest cost consistent with the specified performance and reliability needed. The Value Analysis process is also a means of learning from past mistakes and constantly refining the ability to create ‘right first time’ designs in less time for the business which is a source of competitive advantage.

The Value Analysis approach is almost universal and can be used to analyze existing products or services offered by manufacturing companies and service providers as well. For new products, the Value Engineering (VE) approach is applied with the same principles and many of the Value Analysis techniques to pre-manufacturing stages such as concept development, design and prototyping. The Value Analysis process is used to offer a higher performing product or service to the customer at a minimal cost as opposed to substituting an existing product with an inferior solution. This basic principle, of offering value at the lowest optimal cost of production, is never compromised. It is the principle that guides all actions within the Value Analysis process and allows any improvement ideas to be translated into commercial gains for the company and its customers.

The Value Analysis process is therefore one of the key features of a business that understands and seeks to achieve Total Quality Management (TQM) in all that it does to satisfy customers. The reasons for conducting Value Analysis exercises include:

Products with known problems

Customer’s Demands.

Safety and Compliance Requirement

Improvement of Product Margins.

Corrective Action

Pricing strategy of the product and service

Compliance with Quality Regulations.

New Technology and Materials.

Environmentalism.

In today’s scenario Value Analysis is having a renewed popularity as competitive pressures are forcing companies to re-examine their product ranges in an attempt to offer higher levels of customization without incurring high cost penalties. There are many major corporations which are using the Value Analysis process with their suppliers to extend the benefits of the approach throughout the supply chain also. However, businesses, whether big and small, benefit from understanding and applying the Value Analysis process.

SUMMARY:

Job Analysis is the process of collecting job-related data. The data collected useful for preparing job description and job specification. Job description lists job title, duties, machines and equipment involved, working conditions surrounding a job and the like. Job specification lists the human qualifications and qualities necessary to do the job. Job analysis is useful for HRP, recruitment and selection, training and development, job evaluation, remuneration, performance appraisal, personnel information and safety and health programmes. It also aides analysis of the organisation structures and the work systems/procedures and contribute towards improving the productivity of the organisation. A logical sequence to job analysis is job design which is nothing but organisation of tasks, duties and responsibilities into a unit of work.

QUESTIONS AND ANSWERS