- Job Evaluation and Remuneration System
The company implements the computerized Job Evaluation Manager (JE Manager) as its preferred method of job evaluation and remuneration system. The JE Manager system is an expert, computerized job evaluation system which was originally developed by Old Mutual Consulting and is now owned by Renwick Reward, a division of Logical Options Consulting, and represented in Namibia by The Management Advantage Consultancy.
In Namibia, organizations operate in an environment that is changing continuously at an increasing pace. These changes demand the following from an organisation.
- Re-alignment in the environment to become market driven and customer oriented, leading to restructuring
- Development of flexible remuneration structures and practices
- Greater involvement and participation by employees in determining career structures
- Decentralization of decision making, and
- Strengthening the personnel component.
To achieve this, companies have to change the way in which work is defined and structured, which in turn influences the way in which work is valued and rewarded. The current remuneration paradigm, where pay is linked to a relative job complexity is subjected to increasing pressure to change, because of the rigidity of job evaluation systems and practice. Therefore, the logical conclusion is that job evaluation practices needs to become more flexible.
The employer, therefore, requires the following characteristics from a job evaluation system
- Little or no paperwork to be prepared in advance
- Full participation by job holders and their line managers
- Ensured consistency in evaluation
- Reduced management time and training
- Correlation with the existing system
- More flexibility in evaluation
- Savings in administration and other associated costs
To this end, the JE Manager can meet these stated requirements.
- The JE Manager (How it works; theoretical application)
The JE Manager system is based on the three factors of input, processing and output measured in a job – as is the case in most job evaluation systems. These three factors are again divided into six factors that determine the value of the job, viz.
- Input
- Theoretical knowledge
- Practical experience
- Processing
- Leadership and planning
- Judgment (decision making)
- Output
The JE Manager system poses questions to the incumbent and immediate supervisor and allows them to answer from a series of choices. By means of a question and answer tree, the incumbent is taken to the next question. (The system has approximately 270 questions and a normal job evaluation requires approximately 30 – 40 questions) The answers to the questions are in turn evaluated on a computerized matrix system and the job is awarded a specific value expressed in JE points. These JE points can be used as the evaluation process or they can be correlated to any other evaluation system (Paterson, Peromnes, Hay, etc)
- The JE Manager (how it works; practical application)
The job incumbent and his/her immediate supervisor are guided through the evaluation process by the JE Manager facilitator. Because the questions are on the computer with the choice of answers, no job description is necessary. Involving the incumbent directly in the evaluation process, ensures a participative process and the evaluation is not done by a committee which may or may not understand the job as well as the incumbent does. The questions and answers are stored on the computer as a data base and can be recalled at any given time if and when a re-evaluation is called for. This ensures a minimum number of paperwork and/or storage of paperwork.
Because the JE Manager is a computerized system, it can be installed at a number of different sites and the 18 level password control will ensure that the necessary control and confidentiality is maintained. The advantage is, however, that the evaluation process can be decentralized and the evaluation can be done by any person accredited as a facilitator. It does not have to be the human resources department only.
Evaluated jobs are thereafter being audited by a qualified internal audit committee who will ensure consistency and internal equity with regard to the evaluation process.
- Benefits of the JE Manager
- Flexibility
- Provides flexibility in terms of accommodating for rapid changes in organizational structures
- Questions, answers and help screens can be customized to personalize the system for the company
- Factors can be added or amended to suit the organisation’s needs
- JE Manager points can be correlated to any grading system
- The entire system is available in Afrikaans and English
- Cost Effectiveness
- Manual systems require formal committees and time consuming discussions
- Under ideal circumstances it takes 30 minutes or less to evaluate one job
- JE Manager only requires the facilitator, the incumbent and the immediate supervisor
- Results are audited by a small in-house audit committee
- Empowerment
- The incumbent is involved in the evaluation of the job and plays an active part in determining the value to the organisation
- This enhances the credibility of the system
- Ease of use
- The system operates under Windows 95, 98, and NT
- All screens are clear and easy to read
- Training period is short and minimum involvement of consultants thereafter
- Reduced subjectivity
- The JE Manager is more objective than most evaluation systems because it is computerized
- Ensures consistency through consistent probing and consistent logic
- Administration
- Difficulties with record keeping is eliminated as all information is stored on the computer
- No job descriptions are necessary
- Enables the organisation to audit results and benchmark positions
- Who can provide references?
The JE Manager is still fairly new in Namibia (only introduced since the beginning of 2002) but the following companies have implemented the system to date
- NamWater
- Namibia Breweries
- Hangana Seafood
- Namibia Dairies
- Namibia Sun Hotels
- Manica Group of Companies
- Ohlthaver and List Head Office (and subsidiaries)
For further information feel free to contact The Management Advantage Consultancy at :
e-mail : omalin@iafrica.com.na
Cell : 081 127 5115
Tel/Fax : 061 230610
PO Box 11781, Windhoek
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