Job Evaluation Software: Features, Benefits and Examples
Job evaluation is an essential part of human resource management. It helps organizations to ensure that jobs are paid fairly according to their value, responsibility, and complexity. Job evaluation software automates traditional, manual job evaluation processes, making it an efficient means of job evaluation. In this article, we will take a closer look at job evaluation software, its features, benefits, and examples.
Who Uses Job Evaluation Software?
Job evaluation software is used by HR professionals, compensation managers, and employers who want to ensure their employees’ salaries are aligned with job market rates. It is also used by consulting firms that provide job evaluation services to clients.
Benefits of Job Evaluation Software
Easy Comparison of Job Roles: Job evaluation software helps compensation managers and HR professionals to compare job roles in a more organized manner. It assists in defining and assessing job roles’ relative worth and creating equitable wage structures.
Efficient Performance Management: Job evaluation software can help organizations identify any performance gaps within a job description. This ensures that the correct skill sets are employed, and employees have a defined career progression path.
Accurate and Consistent: The software provides accurate and consistent job evaluations, taking into account various factors such as job complexity, required experience, knowledge, and skill levels. This accuracy eliminates bias that can arise from manual job evaluation processes.
Features of Job Evaluation Software
Job Description Management: With job evaluation software, employees can develop comprehensive job descriptions that cover all the significant duties and qualifications for each position within the organization.
Point, Factor, or Whole Job Ranking: The software allows users to choose between various job evaluation methods such as point, factor, or whole job ranking, depending on an organization’s specific requirements.
Compensation Analysis: Job evaluation software helps in compensation analysis by providing insights into job roles, compensation rates, and other relevant data that help make informed compensation decisions.
Examples of Job Evaluation Software
1. SAP SuccessFactors (successfactors.com) – This software provides end-to-end HR solutions, including job evaluation. It features compensation management, job classification, and analysis of job-market data.
2. Mercer Job Evaluation (mercer.com) – This software assists HR professionals in aligning their jobs and career frameworks with their overall business strategy. It provides customized job descriptions, workforce analytics, and access to compensation data.
3. Towers Watson Job Evaluation (towerswatson.com) – This software provides HR professionals with analytical tools that help evaluate jobs, benchmark salaries, and develop job descriptions. It also includes a range of customizable reports.
4. Hay Group’s Job Evaluation (haygroup.com) – This software uses a “Points Factor” system. It measures jobs on six factors – knowledge, problem-solving, accountability, contacts, working conditions and physical demands – to develop a consistent framework for evaluation.
Pros and Cons of Job Evaluation Software
Job evaluation software offers many benefits such as an efficient performance management system, easy comparison of job roles and accuracy, and consistency in the job evaluation process. It saves time, can be customized as per an organization’s needs, provides relevant data, and reduces the margin for human errors.
Job evaluation software is not a substitute for human intelligence and intuition. It cannot measure some of the “soft skills” that might be valuable to job roles but do not obtain a quantitative value. It requires regular monitoring and updating to ensure accuracy. Also, the cost implication might be a factor for SMEs and even some larger organizations with limited HR budgets.
Job evaluation software is a valuable tool in HR management. It enhances accuracy, improves consistency and provides relevant job market salary data, improving decision-making processes. While it might not completely replace the conventional method of manual job evaluation, it remains an efficient way to evaluate job roles. Before selecting a job evaluation software, it is important to understand the features, benefits and costs to ensure it aligns with organizational needs.