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Name Muhammad Shabbir Roll No. 508194950Course: Compensation Management (823) Autumn, 2009

Assignment No. 01

Q. No. 1 The design of the wage and salary administration programis a particularly important project for any organization. Discuss thebasic development steps of a wage and salary program.

Ans: there are two aspects of responsibility in the wage and salaryadministration function. The first aspect is to provide solutions to internalcustomers those staff members who approach the unit for assistance in aspecific matter. These customers seek answers to their problems and look for aquick solution that will not make more problems for themselves. They may not bemindful of the organizations interest in building a new (or revamped), wage andsalary administration program and may not be concerned, even if they know.

When these interruptions occur it is essential for us to give attention to thatparticular issue or concern and work towards a solution. This maintenanceaspect of the function is crucial to the success of any new program that isdeveloped because the services provided during the operational phase of theproject will be helpful in developing the credibility of the staff. As the program isdeveloped and moves forwards now for assistance.

The second aspect of the function consist of the projects or programsalluded to above. In many ways, the wage and salary administration functionoperates as a set of wagon wheels(as in figure below).

While goal of the entire unit (the wagon, in the analogy ) is to go forward, it is theindependent turning of the wheels that give the wagon motion.

Any ongoing wage and salary administration project (such as revampingthe performance appraisal system or the introduction of an incentive program )should include an analysis of the current state of affairs in the organization,consideration/ development of new programs and revision of existing programs.Eacho of thse elements (wheels) may each be progressing at its own pace, and ifthere are the resources to do so, they may all be spinning at different ratesconcurrently. Even if a project ends later that anticipated, it is better to continuea business as usual only better attitude. The outcome of the project will thenbe far more likely to succeed because staff members will have developed acredibility for the wage and salary administration unit through their dailyroutines. Staff members throughout the organization will be more likely to see

the benefit to time of the recently introduced wage and salary administration

1

ANALYSIS OF

CURRENT

SITUATION

REVISION

OF OLD

PROGRAM

MAINTENANC

E OF CURRENT

PROGRAM

SERVICES

DEVELOPMENT

OF NEW

PROGRAM

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program and to anticipate its benefits- and that is the primary objective of theprogram.

Wage & Salary program Development Steps

2

AUDIT &

REVIEW

CURRENT

PROGRAM

ANALYZE

PROGRAM

DATA

BUILD AN

INFORMATION

BASE

COMPILE JOB

DISCRIPITION

DEVELOP PAY

POLICY

DEVELOP WASGE

& SALARY POLICY

& PROCEDURE

DOCUMENT

PERFORM JOB

EVALUATION

ESTABLISH

COMPENSATION

COMMITTEE

INVENTORY JOB

DESCRIPTION

BUILD PAY

STRUCTURE

PROVIDE A

MANUAL

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AUDIT & REVIEWING THE CURRENT WAGE & SALARY PROGRAM

When any organization starts, it often commences as a small entity with only a

few essential staff members. Initially, salaries and wages are determined by theentrepreneurs who have taken the risk to start the business. As for the rest of theorganization, as strapped as any start-up is for cash, they will pay salaries at asufficient level to attract the employees that they want and thy will pay based ontheir experiences, intuition, negotiation skills, and ability to pay. As theorganization establishes itself in the marketplace, functions will be formallyestablished and systems developed to support the growing organization.

BUILDING AN INFORMAITON BASEWith all the information gathered on the review worksheet, we now have a

portrait of the organizations existing wage and salary function; now it isappropriate to go forward.

There are actually two distinct, major elements of the information baseupon which the program is to be developed. The first is the installation ofpractices that will allow immediately for the accumulation, storage and retrievalof data to allow for effective implementation of current pay demands while theformal pay program is being developed.

When building the data required for establishment of a sound informationbase, two things happen. First the professional established a systematicapproach, using the organizations current resources to ensure that heunderstands how the organization is accustomed to dealing with pay issues. Thisprocess allows the professional to determine the resources available (equipment,

priorities, and competence of staff in issues regarding pay matters) that willprove invaluable in determining any new program.

JOB DESCRIPTION COMPILATIONThe major aspect in the building of the information base is the compilation

of job description. Here the pay professional should standardize and completethe job description. that were found to be lacking or missing during the initialaudit and review. If senior managers of the organizations determine that jobdescriptions are not required and question their utility the organizations jobdescriptions will serve as an anchor for the pay professional. They will provide acomprehensive understanding of the organizations and will serve as the initial

basis for job evaluation.

Current issue and concernsThere are several circumstances that warrant immediate attention. They

are to be considered windows of opportunity, that is , they are snapshotsituations that allow us the chance to gain important insight into theorganization, its values, practices, and needs and the perceptions of its staff. Theyare often day to day matters that present problems to the line person who needshelp now. These situations are to be seen as part of the new system that is beingdeveloped and as opportunities for taking a one step at a time approach whileproviding new direction, leader ship and expertise. Among the situations that

provide opportunities to grow as a member of the organization and increaseprofessional credibility are following.

A job description may be required for a new position that a line managerwishes to fill. Recruitments needs a job description to start the process and/ or the position needs to be priced.

A supervisor wishes to promote an employee and seeks our adviseregarding title and amount of increase.

An employee is annoyed that he isnt receiving overtime pay.

A group of employees has complained to their supervisor that they arebeing paid less that their colleagues in the market place.

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A senior manager complains that the organization is not attracting the bestemployees.

A salary increase recommendation is submitted for an employee whosetitle appears to be quite high for his current salary level.

Planning for the future

To build an inventory of job descriptions, starts the process of compiling acomplete set of job descriptions there are three approaches to consider:

Hiring outside support. This can include either a consultant, a pert timeemployee, or a student intern.

Creating an in house project team. This option can create an opportunityfor the organization to increase the number of staff members possessingjob description skills and to develop standardized job descriptionsthroughout the organization in one fell swoop while gaining a greaterorganizational buy in for this laborious process.

Doing it your self.this is a golden opportunity to get to know a lot ofpeople throughout the organization, but the task may be arduous, if not

impossible to complete. This first effort is tough enough, but to maintainthe inventory of job descriptions and keep them current is an even moreformidable task in all but the smallest and most static organizations.

Defining the job description process

May organizations and senior members of management envision a jobdescription project like any other project- it has a beginning, a middle, and anend. The end of the project probably comes with the presentation of a large,unwieldy, already out of date volume.

At the same time that the congratulations go around, the perception alsopermeates the organization that the project has been completed so now every one

can move on to something else.The job description project is a never ending process. Job descriptions areupdated regularly, new ones are added, and obsolete ones dropped. Jobdescriptions are constantly being reviewed for accuracy and improved whereverpossible because they are being used for:

Recruitment

Transfers

Promotions

Performance management

Career planning

Staff planning

Training and Development Wage and salary Administration Research

DETERMINING THE ORGANIZATION PAY POLICYDetermine the organizations philosophy toward the payment of its staff

members. Even if not formally stated, by virtue of what the organization does andwhen and how it pays its employees, an attitude is projected. This organizationalpay philosophy takes several different issues into consideration. Informationgathered on the wage and salary Administration program review worksheetaddresses where issues and calls for specific information regarding the existingpay environment. Do not confine this information to a question and answer

format;After reviewing all the information, discuss with senior management the

current state of the organizations pay policy and the direction the organizationshould take going forward. Bits of the pay policy may have evolved without aclear, cohesive pay philosophy. By bringing together all the various elements, wecan present a complete picture to management, thus allowing an actual paypolicy philosophy to emerge.

DEVELOPING WAGE AND SALARY ADMINISTRATION PROGRAMPOLICIES AND PROCEDURES

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From the information gathered from job descriptions, pay policy review,the review work sheet, and discussions with senior management, we can nowbegin developing a set of wage and salary administration policies and procedures.

Developing a Draft Document

Our first step is to draft a package of statements that provides an overview of theprogram for the senior members of management to consider. These statementsshould be considered a working document and a departure point for determiningthe mission and objectives of the wage and salary administration procedures- asevery organization is unique, we must choose those statements and topics in thesample that apply to the particular organization for which we are drafting theprocedures and practices.

Creating a compensation committeeAnother decision to be made is whether the organization wishes to establish astanding compensation committee to review and approve various salary actionsand other matters. If the organizational commitment is there, the committeecould be a valuable part of the wage and salary administration program. It canenable the role and function of the wage and salary administration unit to beunderstood by a representative body of the organization, which will help tocommunicate issues effectively.

On the other hand, the committee might become a bottleneck that coulddelay actions and set up barriers to sound wage and salary decisions. It alldepends on the values of the organization and the skills of the people serving onthe committee.

PROVIDING AN INVENTORY OF JOB DESCRIPTIONS TO USE IN

THE JOB EVALUATION PROCESSIf senior management supports the use of job descriptions the next step in

the process is to create an inventory of job description. The issue is importantwhen discussing the development of wage and salary policies and proceduresbecause it is the approach that is taken toward job descriptions by theorganization that must be established before the inventory process can begin.

While the use of job descriptions can create problems- they can be toolimiting and they create a lot of paper work- the advantages far outweigh thedisadvantages. Some of the advantages are :

Helps to define the job for recruiting, performance planning, pay,

transfer, promotion, training, staff planning and career purposes. Uses a standard format that allows for consistent application.

Gives employees a definition of their job in writing.

Provides a reliable source when comparing salary surveys in otherorganization.

Helps organizations to move swiftly to increase or replace staff due toincreased business or turn over.

Helps those responsible for work flow to perform a systematic analysisof each organizations work process from start to finish.

Evaluating jobs based on job descriptions for pay purposes.A primary purpose for having job descriptions is to evaluate each job in theorganization for pay purposes. Job evaluation allows the organization to establisha hierarchy of jobs and to determine internal and external equity. It also helps toensure that the organization is meeting the statutory requirement of providingequal pay for equal work.

Job evaluations can be performed by wage and salary administrationprofessionals, managers and supervisors or job holders. The choice depends onthe extent to which organization wide understanding and acceptance is anobjective. A compensation committee, if created, could be an effective body forjob evaluations. An invitation could be extended to the manager of the unit whohas the job to include his/her expertise and to provide an opportunity to build

consensus for the program.

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DETERMINING THE APPROPRIATE METHOD OF JOB EVALUATION

the job evaluation process determines the relative worth of each position (job) inthe organization by establishing a hierarchy of positions. This is essential to

determine the price the organization is willing to pay for each of the postions thatit fills. There are two approaches to evaluating jobs, quantitative and qualitative.

Qualitative Methods of job Evaluation:There three qualitative methods of job evaluation are ranking,

classification, and market pricing.

Ranking Process:1. determine jobs and units to be included.2. conduct job analysis and prepare job description.3. select evaluators.4. define contribution /value5. rank either by alternate listing or paired comparison6. merge unit rankings

classification process:1. determine jobs and units to be included.2. conduct job analysis and prepare job description.3. select evaluators.4. define classes5. identify and establish benchmark jobs in the structure.6. apply system to all other (non benchmark ) jobs.

Market pricing process:

1. determine jobs and units to be included.2. conduct job analysis and prepare job descriptions.3. select benchmark (key) jobs to enable comparisons.4. identify organizations to inititate surveys with.5. identify off the shelf surveys that will provide relevant pricing for

comparable jobs.6. conduct the surveys.7. perform an analysis of results.8. apply the scale to all other jobs.

QUALITATIVE MEHTODS:

Point plan process:1. determine jobs and units to be included.2. conduct job analysis and prepare job descriptions.3. choose compensable factors.4. derive factor weights (only two ways: by committee or statistically ).5. prepare evaluation manual.6. identify and establish benchmark jobs in structure.7. apply process to all other (non benchmark) jobs.

Factor comparison process:

1. determine jobs and units to be included.2. perform job analysis and prepare job descriptions.3. select benchmark (key) jobs to enable comparisons.4. rank benchmark jobs on each factor.5. allocate benchmark salaries (wages) across factors.6. compare factor and salary (wage) allocation ranks.7. construct the job comparison scale.8. apply the scale to all other (non benchmark) jobs.

BUILDING THE PAY STRUCTUREAfter the organizations jobs have been evaluated, the next step in the

process is to build the pay structure. This is a two step process that includedesigning pay ranges and developing grades. A pay range is required to

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determine the actual pay rate for each job. It is a range and not a specific priceto allow for contingencies and the particular characteristics of each of thepersons occupying each job.

Designing pay ranges.

In situations where there is no collective bargaining agreement that has setpay rates, it I necessary to have a range or spread that an employer is willingto pay for job because of the differences that people bring with them to a joband the differences in ability and performance from different employees onthe job. There should be a level below which the organization will not pay- adifficult concept for some in management to accept, especially if there is aperson willing to take less.

Ranges should be revised periodically to accommodate salary actions andto remain competitive. Revising them once a year in periods of low inflationshould be adequate. Twice a year may be necessary during periods of severeinflation.

Setting mid points, minimums, and maximums.The mid point is the key pay level in the determination of each range and

is the point at which the organization is meeting the market in either a lead,lag, or match role. The minimums and the maximums are established bydecreasing that level from 10 percent to 50 percent, with a spread of 20percent to 30 percent the most common. Thus, if 100 percent is consideredthe mid point and 20 percent is determined to be the spread, then the rangewould be from 80 percent to 120 percent of what was determined to be themid point (or market price) level.

Determining overlap between ranges.There should be a degree of overlap between ranges to accommodate

movement from one range to the next but also to allow for continuing salary

growth while staying in the same range. A large overlap between ranges willbe an indication of very little difference in the value of jobs in adjoininggrades, while a small overlap will indicate the opposite.

Developing grades (classes)Designing ranges is not a science and not difficult to do. If the reason for thegrades is kept in mind- they are to provide a systemic ranking consistent withthe organizations hierarchy in relevant worth of positions-and if similarlyweighted jobs are grouped in the same range, then all the jobs considered tobe roughly equivalent in value will be placed in the same range, designated bythe same grade. Jobs of different value will be placed in different ranges. The

number of grades depends upon the variety of jobs and organizationaltraditions as well as the hierarchical spread of the organization. Career pathsalso help to determine the number of ranges.

Determining internal and external EquityEvery organization is unique and therefore must determine the extent to

which external factors are relevant in the organizations job hierarchy. Forsome positions the organization may wish to pay at a higher level than otherorganizations in the marketplace. For other positions the determination maybe identical. Every determination of pay level should be one in which bothinternal and external data are considered, with the unique needs of theorganization being the final determinant.

CREATING A WAGE AND SALARY BUDGETIf the organization currently has an ongoing budget process, the detail will

have been discovered during the program review. Armed with all the dataregarding job descriptions, salary (wage) ranges, and classes we are now in aposition to participate in the budget process- forecasting both salary costs andstaffing needs for the next fiscal period. We will also be establishingprocedures for auditing and reviewing the program, comparing actual resultsto budgeted figures, and monitoring compliance with policies and procedures.

Implementing an ongoing system of standardized procedures tokeep program current.

Attention must be given to the development and implementation of anongoing system of regular procedures that includes:

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utilization of procedures for monthly salary actions.

Job description updates at each promotion, transfer, termination.

The generation of management reports including monthly salaryplan to actual comparisons and periodic reviews to ensurecompliance with internal guidelines.

PROVIDING A MANUAL FOR THE PROGRAM TO ENSUREORGANIZAITON WIDE UNDERSTANDING AND COMPLIANCEWe should provide a manual to supervisors and managers. This will ensure thatthey understand the mechanics of the wage and salary administration program sothat they can effectively process salary actions for the members of their ownstaffs. Also, the more they know about the system, the more they will buy into itsprocesses and the overall program.

Include the following information in the manual.

Statements of policy and its relationship to organization objectives.

Steps required for processing salary actions. Discussion of an audit element to guarantee organization-wide

coordination of implementation.

Explanation of the job classification system and the wage and salarystructure.

Mission and role of the wage and salary administration unit

Legal ramifications.

Q. No. 02

Job analysis is an activity that is required not only to perform all the

activities of wage and Salary administration effectively but also for avariety of other organizational needs. There are three major steps inthe job analysis process namely planning the process, collecting dataand documenting the findings explain each in detail ?

Ans: there are three major steps in the job analysis process.1. planning the process.2. collecting the data3. documenting the findings

in preparing for the job analysis process, there are a number of questions wemust answer:-

for what purpose is the job being analyzed?

Will there be other purposes for which the results will be used?

What job analysis method will be selected?The job analysis plan should identify:

The method to be used.

The specific tasks to be completed.

The sources of job information.

The individuals responsible for conducting the analysis.

The required resources.As part of the wage and salary program, for instance, job evaluation may have

to conduct to determine a jobs worth in the organization and to ensure internalpay equity. The job evaluation method might require a specific format andcriteria or dimensions for analyzing the jobs, such as:

Accountability

Responsibilities

Use of judgment and problem solving

Skill requirements

Mental and physical demands

Working conditions.How to use the functional job analysis (FJA) method

There are number of job analysis methods. One of the most popular is thefunctional job analysis method.

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This process focuses on :

The elements of a job, that is, tasks as they effect data, people, and things

The skills and competencies required to perform these tasks.

Scales are the frame of reference used in this approach to indicate the degree

of an incumbents involvement with things, data, and people and the scales arebased on the premise that:

In the execution of their jobs, workers are always involved in aninteraction with three elements- regardless of job namely things, data, andpeople.

Workers are also required to utilize physical, mental, and interpersonalskills in the execution of their jobs.

The execution of any job activity reflects a hierarchy of skills levels;

Selecting the three highest activities or function very accurately describeswhat workers do in their jobs.

A task orientation:In this approach, the emphasis is on the tasks to be performed rather than

the title assigned to the job titles are considered unreliable. From research it wasdetermined that the same tasks showed up repeatedly in different jobs and taskelements could therefore be determined to be the basis for job relation ships. Thetasks were then presented in a cause and effect relationship.

The scales themselves- A Brief ExplanationThe data function scale describes the workers involvement with

information and ideas in the performance of a task.

The people function scale describes the workers involvement in theperformance of a task that requires communication and interaction with otherpeople such as customers, clients and co-workers.

The things function scale describes the workers involvement in theperformance of a task with tangibles for examples, machines, tools, equipment,and work aids.

Graduation within the scales are meaningful but usually not betweenthem. Thus a medium weight level for the people function or the data function isnot necessarily equivalent to a medium weight level for the things functions .

How to use the position Analysis Questionnaire

The second most commonly used job analysis method for wages and salaryadministration is the position analysis (PAQ) unlike FJA which focuses on jobelements, PAQ focuses on the behavior required to perform a job. This approachprovides a great deal of insight into the behaviours that enables an incumbent tosucceed on the job.

The PAQ has been described as an attempt to identify six job dimensions:

Information sources critical to job performance.

Information processing and decision making critical to job performance.

Physical activity and dexterity required by the job.

Physical working conditions and the reactions of individuals to the

conditions. Other characteristics such as work schedule and work responsibility.COLLECTING DATA FOR THE JOB ANALYSIS PROGRAM

Collecting information about a job is the second key step in the job analysisprocess. Information concerning jobs may be obtained from incumbents,supervisors, and other management employees in the same unit or department.

These sources of information my be referred to as job content experts.Tools such as questionnaires, interviews, and observation are used to facilitatethe data collection process.

How to select job content Experts:The selection of job content experts depends on a number of considerations. It is

clearly preferable to obtain information fro mal lthe incumbents, theirsupervisors. However, there may not be sufficient time and resources to do this.

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If there are several incumbents in the job to be analyzed, select a fewrepresentatives to act as job content experts.Using Questionnaires, interviews and observations in job AnalysisThere are several tools that a job analyst can use in collecting job data. The threemost commonly used are questionnaire, interviews, and observations.

QuestionnairesThe questionnaire provides a systematic and structured tool for collecting

information about a job. Before designing the questionnaire the wage and salaryprofessional should speak with the job content experts and observe someexamples of tasks performed on the job to obtain pertinent information.

Some examples of questions that incumbents may be asked are:

What activities take up most of your work day? Describe each one briefly?

How do you decide which task has to performed first?

What steps do you take to complete?

What responsibilities do you have?

In selecting or designing a questionnaire, it is critical that the instrumentselected be easily understood by the employees who will be asked to completeit. It must serve as a useful tool in the gathering of the data required, andshould be able to be completed in a timely and accurate manner.

Interviews: We may conduct face to face interviews in lie of the questionnaire to

collect information about jobs. The type of questions we choose for thequestionnaire may provide the script for an interview.

A structured interview will provide consistency of approach and ensurethat all the required information is obtained. It has the advantage of allowing theinterviewer to obtain clarification as needed, on information provided. Theexchange that takes place during an interview allows a good interviewer to probefurther into the job content. If there are several jobs to be analyzed, however, theinterview process may not be the most efficient method to use because it is timeconsuming and could be expensive to conduct.

The interview method is, however, an excellent supplement toquestionnaires. We could interview the job content experts to clarify or verifysome of their responses to the questionnaires, to fill in gaps, or to resolveinconsistencies in their responses.

Observations:Direct observations can generate information that would ordinarily be

difficult to obtain through questionnaires or interviews, and they offer a numberof advantages. They enable us to determine the amount of time spent to performan activity, the frequency of an activitys occurrence, the context of the job, andthe interactions between the incumbent and other individuals. In addition,observation may be he only effective way to understand the operation ofequipment or the process involved in a complex technical task. However, ifobservation is only method used for collecting job data, it may be a very timeconsuming and expensive method, especially if there are several jobs to beanalyzed in a short period of time.

ANALYZING THE JOB DATAAfter the job information has collected, the data must be analyzed through aseries of a activities. The analysis phase is the value added portion of theexercise, where we evaluate all the information collected from the various sourcesto provide a concise, accurate, and coherent report.

Ranking the activities by frequency and criticallyThe activities could be ranked according to the frequency of their occurrence byusing the scores obtained in the questionnaires. Using the rates or scoresassigned by the job content experts for each activity, identify the activities that

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have high frequency and critically and eliminate those with relatively lowfrequency and critically.

Grouping activities into major tasks:The result of the ranking and grouping of activities is used to identify the major

or essential component of the job, which in turn will be used to evaluate its worthto the organization.

Listing the requirement of the job:Using the information provided by the job content experts, list the

requirement for ach group of activities.Defining the job context from data collected.This analysis may be performed manually or as part of the Human Resourceinformation System (HRIS). There are computerized statistical packages that canassist us in grouping and ranking the activities or tasks. There is also automatedjob analysis software available in the market.

Reviewing the completed job analysis:Review the completed job analysis with the supervisors responsible for the

job analyzed. This will ensure accuracy of job information as well as managementacceptance of job analysis results. The analysis of the job content, requirement,and context will be used to prepare the job description, evaluate the job, anddetermine its pay rate.

Q. No. 03:

Answer:Definition:

Job descriptions are written statements that describe the:

duties, responsibilities, most important contributions and outcomes needed from a position, required qualifications of candidates, and reporting relationship and coworkers of a particular job.

Ajob description is a list of the general tasks, or functions, and responsibilitiesof a position. Typically, it also includes to whom the position reports,specifications such as the qualifications needed by the person in the job, salaryrange for the position, etc. A job description is usually developed by conducting ajob analysis, which includes examining the tasks and sequences of tasksnecessary to perform the job. The analysis looks at the areas of knowledge andskills needed by the job. Note that a role is the set of responsibilities or expectedresults associated with a job. A job usually includes several roles. The jobdescription might be broadened to form a person specification. An alternateterminology used under the UN system is Terms of reference (TOR).

1 Purpose 2 Possible job description items

o 2.1 Job titleo 2.2 Job dutieso 2.3 Roles and responsibilitieso 2.4 Job specifications or qualificationso 2.5 Key role interactions

Salary and benefits Purpose

The objective of a job description is to have a clear outline of duties andresponsibilities to make the screening process as direct and focused as possible.

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http://en.wikipedia.org/wiki/Job_description#Job_titlehttp://en.wikipedia.org/wiki/Job_description#Job_dutieshttp://en.wikipedia.org/wiki/Job_description#Roles_and_responsibilitieshttp://en.wikipedia.org/wiki/Job_description#Job_specifications_or_qualificationshttp://en.wikipedia.org/wiki/Job_description#Key_role_interactionshttp://en.wikipedia.org/wiki/Job_description#Job_titlehttp://en.wikipedia.org/wiki/Job_description#Job_dutieshttp://en.wikipedia.org/wiki/Job_description#Roles_and_responsibilitieshttp://en.wikipedia.org/wiki/Job_description#Job_specifications_or_qualificationshttp://en.wikipedia.org/wiki/Job_description#Key_role_interactions

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Job descriptions may have the following elements:

improvement cooperation by giving all members of the organizationinsight in existing responsibilities/roles

enabling career moves within the organization

determination of amount of pay per function increase of results by specification of responsibilities and key performance

indicators development of job owner by specification of competences may include the phrase "perform other duties as assigned"

Possible job description items

Job title

A specific designation of a post within an organization, normally associated with

a job description that details the tasks and responsibilities that go with it. Withthe rise of online job search engines, job titles became increasingly important. Inmany cases, this causes job title inflation.

Job duties

may also be called Tasks Performed; may be as lengthy as necessary to fullydescribe each essential duty or responsibility which comprises the employee'sfunctions, generally starting with principle duties.

Roles and responsibilities

This includes supervisory level, managerial requirements, and any workingrelationships and may also include your corporate/individual objectives.

Job specifications or qualifications

Key role interactions

Salary and benefits

Describes the compensation type, hourly or salary, and amount. In addition it

includes both standard benefits and any fringe benefits associated with theposition.

Sample job description:

Title of the positionSenior Mailroom Clerk

DepartmentOperations

Reports toBuilding Services Supervisor

Overall responsibilitySupervise mailroom staff and interface with all levels of management regardingmail and supply deliveries

Key areas of responsibility

Maintain established shipping/receiving procedures Sort and distribute mail on a timely basis Maintain all photocopiers, fax machines, and postage meters Order, store, and distribute supplies

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Facilitate all off-site storage, inventory, and record management requests Document current policies and procedures in the COS Department as well

as implement new procedures for improvement Oversee the use of a company van when needed Ensure that water and paper is available for customers on a continuous

basis

Consults with

Building Services Supervisor Mailroom staff All levels of management

Term of employment12 months

Qualifications

Strong sense of customer service Good organizational skills Ability to lift a minimum of 25 pounds Supervisory experience in a corporate mailroom environment Good driving record

Tips:

Dont rely solely on a jobs history as youre putting together a jobdescription for today. Focus instead on what the job needs to be in light ofthe organizations current needs and long-term objectives.

A task is what the person in the job will actually do. Qualifications are theskills, attributes, or credentials a person needs to perform each task.Clarify the actual tasks and responsibilities before you start thinking aboutwhat special attributes will be needed by the person who will be fulfillingthose responsibilities.

A well-written job description consists of more than a laundry list of thetasks and responsibilities that the job entails. It reflects a sense ofpriorities.

Credentials (such as degrees and licenses) are absolute necessities in somejobs. The thing you want to make sure of, however, is that whatever

credentials you establish have a direct bearing on the candidates ability tobecome a top performer.

The job you describe must be truly doable. When youre lumping severaltasks into the same job description, make sure that youre not creating ajob that very few people could fill.

Use specific language. For example:

Too General Specific

Computer literateProficient with Microsoft Word, Excel,QuickBooks

Good communication skillsAbility to communicate technicalinformation to nontechnical audiences

Handles administrative choresReceives, sorts, and files monthlypersonnel action reports

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Project Job Description

This Project Manager Job Description template lists all of theresponsibilities of a Project Manager role within a project.

Although it has been completed for a Project Management role, you can use thistemplate to write a Job Description for any role within an organization.

Completing aProject Job Description is actually a time consuming andchallenging task, as it defines the targets for a role. It also defines how thosetargets are going to be measured and how the performance of the role will beassessed. This template will help you to create Job Descriptions for yourorganization, faster than ever before.

This Job Description template will help us to:

Define the real purpose of the role

List the key responsibilities of the role

Define who this role will be reporting to

Create a detailed Organizational Chart

List the skills and experience needed

Define any relevant qualifications

Set out the key performance criteria

Identify the salary and working conditions

To help us complete these tasks, this template will provide you with:

A complete worked example of a Job Description

Instructions for every section within the document

A sample list of skills and experience needed

An Organization Chart diagram

Examples of key performance criteria

Lots of helpful hints and practical tips

This comprehensive template describes how to complete a detailed JobDescription for any role in your organization, with very little effort. It alsoincludes lots of practical, real-life examples to help you to fill-in the gaps,saving you time and energy.

Whether we need to create a management, project or team role, this templatehas all of the relevant sections and procedures needed to create a professionalJob Description today.

Q. No. 04

Discuss the Budget process and how effective it is to achieveorganizational goals in a better way?

A budget process refers to the process by which governments create andapprove a budget. The Financial Service Department prepares worksheets toassist the department head in preparation of department budget estimates TheAdministrator calls a meeting of managers and they present and discuss plans forthe following years projected level of activity.The managers can work with theFinancial Services, or work alone to prepare an estimate for the departmentscoming year. The completed budgets are presented by the managers to their

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Executive Officers for review and approval. Justification of the budget requestmay be required in writing. In most cases, the manager talks with theiradministrative officers about budget requirements. Adjustments to the budgetsubmission may be required as a result of this phase in the process

The Nonprofit Budgeting ProcessA budget is a plan that identifies the financial resources required to

achieve programmatic objectives. Once constructed, this plan assists staff and board in managing the organization both programmatically and financiallythroughout the year.

Establishing a schedule of key action and decision points in the process allowsadequate time for information gathering and decision making. How long theprocess should take and who should be involved varies depending on themanagement style and complexity of the organization. Typically the budgetingprocess should begin at least four months before the end of the fiscal year to

ensure the budget is approved by the Board before the start of the new year.THE BUDGETING PROCESS

Step 1: Planning the Process

Identify who will coordinate the budgeting process and

which staff, board members and committees need to be

involved;

Agree upon key definitions, assumptions and document

formats;

Set timelines and key deadlines;

Determine and schedule any training or key meetings.

Step 2: Communicating about the Process

Clearly communicate responsibilities, expectations and

deadlines to everyone involved;

Explain and distribute forms and assumptions.

Step 3: Programmatic Goal Setting

Determine program goals and objectives;

Project staffing requirements and salary and benefit

assumptions based on program goals;

Get board agreement on goals and assumptions.

Step 4: Information Gathering Research and gather information about income and expenses based on program

goals and assumptions; Construct budget details by program; Communicate regularly to avoid duplication of effort and to share informationand assumptions.

Step 5: Compilation and Revision Have one person compile all information, review it for consistency andredistribute to everyone involved; Leave plenty of time for review and revisions.Step 6: Committee Review Have the finance committee and other appropriate staff and board committees

review a budget draft and key assumptions;

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KEYS TO A SUCCESSFUL BUDGETING PROCESS

1. Clearly identify programmatic objectives that are aligned with the mission andstrategic plan.

2. Determine the financial resources needed and available to achieve program

goals.3. Involve staff and board members in the process to improve accuracy ofinformation and commitment to the plan.

4. Document! Dont rely on memory. Write down assumptions and formulas.This will be very important in managing the budget throughout the year.

5. Customize your process. The steps each organization takes will be somewhatdifferent.

BUDGET PREPARATION SCHEDULE

July/August

Step 1: Planning the Process Executive Director meets with financial staff andfinance committee to plan budgeting process and set timelines. Budget worksheetand template formats updated.

September

Step 2: Communicating about the Process Staff meeting held to communicateprocess, responsibilities and deadlines to all participants. Report made to boardabout process, timelines and assumptions.

Step 3: Programmatic Goal Setting Board and committees review strategic goalsand identify priorities; Staff meet within programs/departments to brainstorm

and plan for programmatic goals for next year.

September/October

Step 4: Information Gathering Managers draft program or department budgetsbased on plans and assumptions.

November

Step 5: Compilation and Revision Designated coordinator compiles informationto prepare an initial organizational budget draft. Managers review and reviseinitial draft.

Step 6: Committee Review Finance committee meets to review budget draft and

assumptions and make recommendations.

December

Step 7: Final Approval Board meeting held and budget proposal andprogrammatic and fundraising assumptions are presented for approval.

December/January

Step 8: Implementation and Management Staff meeting held to discuss budget,program goals and timelines for new year.

Be sure to allow enough time between committee meetings and the final

approval deadline to address questions and recommendations and makerevisions.

Step 7:Final Approval

Distribute information to the board prior to the board meeting, includingbudget draft, program goals and other supporting information;

Have program and development committees play a role in making aninformative presentation to the board based on the opportunities, challenges andresources behind the budget numbers;

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Have the finance committee or treasurer present the budget proposal to theboard.

Step 8:Implementation and Management

The real work begins once the budget is approved:

Communicate budget, program goals and timelines for the next year to staff;

Review actual income and expense compared to the budget on a monthly basis;

Update and revise the budget as there are changes during the year. Dependingon the significance of changes, the board may need to approve revisions.

HOW TO ACHIEVE EFFECTIVE BUDGETINGThe budget is the primary tool local governments use to make decisions

about service priorities and fiscal policies. The quality of the decisions forallocating scarce resources depends on the quality of the process employed. Byadopting best practices in budgeting, an organization can improve decision-makingand operations while enhancing public accountability.

In budgeting, as in other aspects of local government operations, theorganization must adopt a process well suited to its particular circumstances.While some variation is inevitable, there are four commonly recognized best

practices or components of effective budgeting:

Incorporating long-term planningDeveloping clear budget guidelinesEstablishing a link between the budget process, goals and objectivesInvolving and enhancing communication throughout the budget process

Incorporating long-term planninginto the annual budget is the firstcomponent of effective budgeting. An annual budget should reflect themunicipalitys plan for the future. Before the annual budget process begins, acareful financial status analysis should be completed. This analysis, based onfinancial forecasts, should include an assessment of the current, near, and long-term financial outlook of the organization. This financial status serves as theframework within which the budget is developed by determining the level ofservices that can be sustained now and in the future.

A budget process involves multiple departments, decision-makers andstakeholders. Clear budget guidelinesare crucial to ensure that the process iscompleted in a timely and effective manner, and toenhance departmentinvolvement in the budget process. The guidelines should be developed annually,based on the financial outlook of the organization, and should identify financialconstraints, provide policy direction, and identify assumptions for departmentsto use in compiling budget requests.

Another key to successful budgeting is to incorporate departmental goalsand objectives into the budget process. Goals should be general statementsdescribing a desired state. Objectives should representtime-defined and quantifiable statements of what is to be accomplished.Improvements in organizational efficiency can best be attained when a system ofmutually understood goals and objectives is in place and when policies areestablished to achieve those goals and objectives. These policies drive theresource allocation decisions made during the budget process.

Finally, the budget process should involve and enhance communication

with stakeholders including citizens and the governing body. Opportunities

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should be sought to enhance input throughout thebudget process. In addition,the budget document itself should serve as a communication tool.

Effective budget documents include a summary that identifies majorservice level changes or shifts in priorities, major financial factors impacting the

budget, and provides multi-year financial summary information.

A BUDGET TIMELINESqueezing the lofty goals of the accompanying article into the reality of local

budget writing is the worthwhile challenge that faces local officials every day. To

help you, Manchester Manager Jeff Wilson shares below his towns schedule for

budget preparation. Manchester is on a July 1 fiscal year; towns that are on a

calendar fiscal year, or who have a different town meeting date, may need to

adjust it to suit their needs.

April Capital Improvement Program (CIP) memo to Department Heads.

May Deadline for departmental capital requests.

June Town Manager develops CIP proposal and submits same to Selectboard.

July Selectboard holds public hearing on CIP.

August Selectboard approves CIP.

October Annual budget memo to Department Heads.

November Deadline for departmental budget requests.

Town Manager meets with Department Heads.

December Town Manager develops budget proposal and submits it to

Selectboard.

Selectboard holds budget hearing.

Selectboard approves budget.

January Selectboard warns Town Meeting.

February Selectboards budget proposal mailed to voters.

March Town Meeting approves budget.

Two Fundamental Budgeting Principles

There are two fundamental budgeting principles: 1) a budget isa tool for planning and monitoring; and 2) for the budget to beaccurate, effective, and uniting, the process must be inclusive.

Lets look at each of these principles more closely.

A tool for planning and monitoringThe act of determining what the organization wants toaccomplish, how much that will cost, and how the necessaryresources will be generated, is a form of strategic planningifdone thoughtfully. In fact, a lot of strategic thinking andreflection should happen before you begin setting specificincome and expense targets. This is a healthy and necessarytime of annual reflection and one of the primary reasons thatthe budgeting process should begin several months before year-end.

Typical opportunities include:

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expansion of a program into a new geographic area partnership with another nonprofit to improve services or impact initiation of a capital campaign; and pursuit of a new funding stream

Typical threats include:

the loss of a major funding source a new competitor in your mission area unfavorable political changes at the local, state, or national levels

Heres an example of one organizations goals and objectives:

2008-09 Budget: Goals and Objectives (as of April 15, 2008)

Overall Goal 2008-09 Objective

Stabilize programs and

ensurehighest quality

Salary increases to all staff Replace computers and

equipment

Increase direct client support

Improve on key financialhealthindicators

Build liquid operating reserve Reduce overhead rate

Obtain line of credit

Maximize fundraising

effectiveness

Increase endowment income Increase board role in

fundraising Build temporarily restricted

balance

Maximize cost recovery infoundation grants

An inclusive processThe second guiding principle of budgeting is that to be accurate,effective, and uniting, the budgeting process must be inclusive.Staff will feel accountable to a plan they helped develop.

So what roles do all the players have in an inclusive budgeting process?

Board members provide big picture direction and oversight to theprocess; they also approve the final budget.

Program managers plan for the costs needed to accomplish objectives;in some cases, they are also the best people to plan for program-generatedincome.

Development staffplan for the contributed income that can realisticallybe included as well as the costs they will incur to raise it.

The finance manager serves as budget manager collecting input,building the Excel budget workbook, and updating and distributing drafts.

The executive director provides overall strategic direction.

A cautionary note to executive directors: dont pull an all-nighter to whip up thebudget the day before the board meeting (or ask your finance manager to do so).Youre almost guaranteeing a less-than-accurate plan and a useless tool forcontrolling financial activity throughout the year. And good luck holding staffaccountable to the budget.

Q. No. 05

A performance appraisal, employee appraisal, performance review, or(career) development discussion is a method by which the job performance

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of an employee is evaluated (generally in terms of quality, quantity, cost, andtime) typically by the corresponding manager or supervisor. A performanceappraisal is a part of guiding and managing career development. It is the processof obtaining analyzing and recording information about relative worth of anemployee to the organization.

Contents

1 Aims 2 Methods 3 Criticism 4 See also 5 References 6 Sources 7 External links

Aims

Generally, the aims of a performance appraisal are to:

Give an employees feedback on performance Identify employee training needs Document criteria used to allocate organizational rewards Form a basis for personnel decisions: salary increases, promotions,

disciplinary actions, bonuses, etc.

Provide the opportunity for organizational diagnosis and development Facilitate communication between employee and administration Validate selection techniques and human resource policies to meet federal

Equal Employment Opportunity requirements

Methods

A common approach to assessing performance is to use a numerical or scalarrating system whereby managers are asked to score an individual against anumber of objectives/attributes. In some companies, employees receiveassessments from their manager, peers, subordinates, and customers, while also

performing a self assessment. This is known as a360-degree appraisalandforms good communication patterns.

The most popular methods used in the performance appraisal process include thefollowing:

Management by objectives 360-degree appraisal Behavioral observation scale Behaviorally anchored rating scales

Trait-based systems, which rely on factors such as integrity andconscientiousness, are also commonly used by businesses. The scientificliterature on the subject provides evidence that assessing employees on factorssuch as these should be avoided. The reasons for this are two-fold:

1) Because trait-based systems are by definition based on personality traits, theymake it difficult for a manager to provide feedback that can cause positive changein employee performance. This is caused by the fact that personality dimensionsare for the most part static, and while an employee can change a specific behaviorthey cannot change their personality. For example, a person who lacks integritymay stop lying to a manager because they have been caught, but they still havelow integrity and are likely to lie again when the threat of being caught is gone.

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http://en.wikipedia.org/wiki/Performance_appraisal#Aimshttp://en.wikipedia.org/wiki/Performance_appraisal#Methodshttp://en.wikipedia.org/wiki/Performance_appraisal#Criticismhttp://en.wikipedia.org/wiki/Performance_appraisal#See_alsohttp://en.wikipedia.org/wiki/Performance_appraisal#Referenceshttp://en.wikipedia.org/wiki/Performance_appraisal#Sourceshttp://en.wikipedia.org/wiki/Performance_appraisal#External_linkshttp://en.wikipedia.org/wiki/Performance_appraisal#Aimshttp://en.wikipedia.org/wiki/Performance_appraisal#Methodshttp://en.wikipedia.org/wiki/Performance_appraisal#Criticismhttp://en.wikipedia.org/wiki/Performance_appraisal#See_alsohttp://en.wikipedia.org/wiki/Performance_appraisal#Referenceshttp://en.wikipedia.org/wiki/Performance_appraisal#Sourceshttp://en.wikipedia.org/wiki/Performance_appraisal#External_links

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2) Trait-based systems, because they are vague, are more easily influenced byoffice politics, causing them to be less reliable as a source of information on anemployee's true performance. The vagueness of these instruments allowsmanagers to fill them out based on who they want to/feel should get a raise,rather than basing scores on specific behaviors employees should/should not be

engaging in. These systems are also more likely to leave a company open todiscrimination claims because a manager can make biased decisions withouthaving to back them up with specific behavioral information.

Criticism

Performance appraisals are an instrument for social control. They are annualdiscussions, avoided more often than held, in which one adult identifies foranother adult three improvement areas to work on over the next twelve months.You can soften them all you want, call them development discussions, have themon a regular basis, have the subordinate identify the improvement areas instead

of the boss, and discuss values. None of this changes the basic transaction... If theintent of the appraisal is learning, it is not going to happen when the context ofthe dialogue is evaluation and judgment.

Benefits of Appraisal

Perhaps the most significant benefit of appraisal is that, in the rush and bustle ofdaily working life, it offers a rare chance for a supervisor and subordinate to have"time out" for a one-on-one discussion of important work issues that might nototherwise be addressed.

Almost universally, where performance appraisal is conducted properly, both

supervisors and subordinates have reported the experience as beneficial andpositive.

Appraisal offers a valuable opportunity to focus on work activities and goals, toidentify and correct existing problems, and to encourage better futureperformance. Thus the performance of the whole organization is enhanced.

For many employees, an "official" appraisal interview may be the only time theyget to have exclusive, uninterrupted access to their supervisor. Said one employeeof a large organization after his first formal performance appraisal, "In twentyyears of work, that's the first time anyone has ever bothered to sit down and tell

me how I'm doing."

The value of this intense and purposeful interaction between a supervisors andsubordinate should not be underestimated.

Motivation and SatisfactionPerformance appraisal can have a profound effect on levels of employeemotivation and satisfaction - for better as well as for worse.

Performance appraisal provides employees with recognition for their workefforts. The power of social recognition as an incentive has been long noted. In

fact, there is evidence that human beings will even prefer negative recognition inpreference to no recognition at all.

If nothing else, the existence of an appraisal program indicates to an employeethat the organization is genuinely interested in their individual performance anddevelopment. This alone can have a positive influence on the individual's sense ofworth, commitment and belonging.

The strength and prevalence of this natural human desire for individualrecognition should not be overlooked. Absenteeism and turnover rates in someorganizations might be greatly reduced if more attention were paid to it. Regular

performance appraisal, at least, is a good start.

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Training and DevelopmentPerformance appraisal offers an excellent opportunity - perhaps the best that willever occur - for a supervisor and subordinate to recognize and agree uponindividual training and development needs.

During the discussion of an employee's work performance, the presence orabsence of work skills can become very obvious - even to those who habituallyreject the idea of training for them!

Performance appraisal can make the need for training more pressing andrelevant by linking it clearly to performance outcomes and future careeraspirations.

From the point of view of the organization as a whole, consolidated appraisal datacan form a picture of the overall demand for training. This data may be analysedby variables such as sex, department, etc. In this respect, performance appraisalcan provide a regular and efficient training needs audit for the entireorganization.

Recruitment and InductionAppraisal data can be used to monitor the success of the organization'srecruitment and induction practices. For example, how well are the employeesperforming who were hired in the past two years?

Appraisal data can also be used to monitor the effectiveness of changes inrecruitment strategies. By following the yearly data related to new hires (andgiven sufficient numbers on which to base the analysis) it is possible to assesswhether the general quality of the workforce is improving, staying steady, ordeclining.

Employee EvaluationThough often understated or even denied, evaluation is a legitimate and majorobjective of performance appraisal.

But the need to evaluate (i.e., to judge) is also an ongoing source of tension, sinceevaluative and developmental priorities appear to frequently clash. Yet at its mostbasic level, performance appraisal is the process of examining and evaluating theperformance of an individual.

Though organizations have a clear right - some would say a duty - to conductsuch evaluations of performance, many still recoil from the idea. To them, theexplicit process of judgment can be dehumanizing and demoralizing and a sourceof anxiety and distress to employees.

It is been said by some that appraisal cannot serve the needs of evaluation anddevelopment at the same time; it must be one or the other.

But there may be an acceptable middle ground, where the need to evaluateemployees objectively, and the need to encourage and develop them, can bebalanced.

Workforce Diversity

One of our greatest strengths is the diversity of our workforce, with men andwomen of many nationalities and backgrounds working together and sharingcommon objectives. Schlumberger does not have a 'nationality' which describesits culture, but operates in a truly global fashion throughout the world. As acompany, we encourage fair employment practices worldwide and offer equalopportunities to all our employees. We also try to take family considerations intoaccount in any decisions about personnel matters or assignments.

Workplace Diversitydeveloping human resources for the future

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Our customers, suppliers and shareholders are increasingly global and diverse.They expect us to understand, respond and deliver services that meet theirunique expectations.

We must attract and retain top performers worldwide from the full depth of the

talent pool and address the evolving needs of our workforce in terms of quality oflife and dual career expectations. By creating a variety of perspectivesgenderand culturethat stimulate productive creativity and innovationwe maintainour competitive edge.

Three prerequisites upon which we will proceed with our diversity efforts:

We are a publicly traded corporation concerned with profitability andshareholder return.

Meritocracy drives our actions, decisions and employee advancement. While it is a competitive advantage that our workforce communicates in a

multitude of languages, English is the common language of our internalmanagement communication.

Gender Diversitya commitment to actOur gender diversity focus began in 1994 and we have made progress since thattime. Looking forward, our goal is to continually increase the percentage ofwomen we recruit worldwide, ensure proper career development for high-performing women, and increase our organizational flexibility to accommodate awider range of personal situations.

Nationality Diversityleveraging the human resources of all nationsSchlumberger has been successful in attracting and developing nonwestern

nationalities or nationalities from emerging countries, now integrated into alllevels of the work force, including senior management.

Family and Work Life-mobility initiatives that workOur people, men and women worldwide, are our main asset. The change in thecomposition of our workforce necessitates an adjustment in our attitude towardrecruitment, retention and mobility of our employees.

Dual Careersmoving across functions, technologies and geographiesOne of the most significant changes in our society in the last several decades hasbeen the entry and continued presence of women in the working population.

Families in marriages in which both spouses work are now the largest singlegroup of families in the workplace.

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