Depth of skillsdepth of knowledge level of specialization or expertise an

Depth of skillsdepth of knowledge level of

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Depth of skills/depth of knowledge: level of specialization or expertise an employee brings to a particular job Ex: expert, novice, etc. Competencies: uniquely combined characteristics for the person, including personality, attitudes, knowledge skills, and behaviors that enable an employee to fulfill job requirements well Core competencies are derived from company’s strategic statements Shrm.org/HRcompetencies/Documents/CompetencyModel ° ° Typical Settings Skill-based pay plan in a manufacturing setting increased plant productivity by 58% Reasons to Adopt Person-Focused Pay Programs Technological Innovation Technology is always improving, requiring the employees to be able to keep up with the necessary skills ° ° Increased Global Competition Competition from other countries has forced the United States to become more productive °
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Computing ability: everyone needs to be able to interact with digital equipment Trained up: even with all of the classic skills and computing skills together, workers need to keep up to date to the manufacturers needs Team skills: must be able to work as a team. More important now than it ever was ° ° Varieties of Person-Focused Pay Programs ° ° Stair-step model: resembles a flight of stairs. Steps represent jobs from a particular job family that differ in complexity. Jobs that require more skills are more complex compared to jobs that require fewer skills Employees progress increasingly to more complex jobs ° ° Skill blocks model: applies to jobs from within the same job family Just like the stair step model (the employees more to more complex jobs) but the skills do not build upon each other. ° ° Job-point accrual model: encourages employees to learn different skills and how to perform jobs outside of their job family Physically get points for all of the skills you accrue ° ° Cross-departmental models: promote staffing flexibility by training employees in one department with critical skills they would need to perform effectively in other departments Contrasting Person-Focused Pay with Job-Based Pay Person-Focused Pay vs. Job-Based Pay
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Pay level determination: o P: skills o J: jobs completed Base pay: o P: awarded on how much the employee knows/skill level o J: awarded on compensable factors Base pay increases: o P: gain in skills/knowledge o J: attained after completing a goal Job Promotion: o P: past work o J: exceeding job performance standards Key Advantages to Employees: o P: Job variety and enrichment o J: perform work and receive pay for a defined job Key Advantages to Employers: o P: Work scheduling flexibility o J: easy pay system administration ° Advantages of Person-Focused Pay Programs Skill variety employee has multiple skills, abilities and talents
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Task identity enables a person to complete an entire job from start to finish Autonomy amount of freedom, independence and discretion the employee enjoys in determining how to do the job
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  • Fall '12
  • Davison
  • Management, Employment compensation, FLSA, ADEA, Traditional Pay

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