Before understanding the terms job ranking and job grading it is essential to understand the job evaluation as both

are the methods of job evaluation JOB EVALUATION: Job evaluation is the process of determining the worth of one job in relation to that of the other jobs in a company so that a fair and equitable wage and salary system can be established. It evaluates the job and not the job holder. The job is evaluated before the job holder is appointed to perform the job. Once the job evaluation is done, it is applicable over a number of years. Evaluation is done by a committee consisting of specialists in a relevant area. Job evaluation is not adopted by all organizations, even the large ones. They may follow the generally accepted prevailing practices 1. Ranking Method In the ranking method, a whole job is compared with others and rank is provided on the basis of this comparison. There are several steps in job ranking method: 1. Obtain job information: Job analysis is the first step: job description for each job is prepared and the information they contain about the jobs duties is usually the basis for ranking jobs. 2. Select and group jobs: It is often not practical to make a single ranking for all jobs in an organization. The usual procedure is to rank jobs by department or in clusters (such as factory workers or clerical workers). This eliminates the need for direct comparison of, say, factory jobs and clerical jobs. 3. Select compensable factors: In a ranking method it is common to use just one factor( such as job difficulty) and to rank jobs based on the whole job. Regardless of the number of factors you choose, it is advisable to explain the definition of the factor(s) to the evaluator carefully so that they evaluate the job consistently. 4. Rank jobs. For example, give each rater a set of index cards, each of which contains a brief description of the job. Then they rank these cards from the lowest to the highest. Some managers use alteration ranking method for making the procedure more accurate. After ranking, it is possible to slot additional jobs between those already ranked and to assign an appropriate wage rate. 5. Combine ratings: Usually several raters rank the job independently. Then the ranking committee simply average the rankings. For example: Job ranking by abc company Ranking Order Office manager Chief Nurse Bookkeeper Nurse Cook Nurses aide Orderly Annual pay scale Rs 430000 Rs 425000 Rs 340000 Rs 325000 Rs 310000 Rs 285000 Rs 255000

Merits 1. The method is comparatively simple, easy understandable, and mostly acceptable by labour unions. It is suitable for comparatively smaller organizations which may not like to undertake more labourious exercises. 2. The method is less costly to undertake and maintain as compare to other systems

Demerits Since ranking methods of job evaluation is qualitative and non-analytical, it suffers from the following limitations: 1. Ranking method is judgemental and therefore, it is affected by personal preferences of job evaluators. 2. This method ranks various jobs in order of their relative worth. It does not specify the real difference between two jobs. For example, the exact difference between job ranked at first and the job ranked at second cannot be specified 2. Grading Method Job grading method is also known as Job Classification method, establishes various grades for different categories of jobs. For example, jobs of an operative may be classified as unskilled, semi skilled, skilled and highly skilled. The process followed in this method is as under: i. At the initial stage, a number of job classes or grades are decided on the basis of job analysis. Job grades can be determined on either of two bases. First, all jobs may be first be ranked and their natural classes may be determined. The description of each job class is prepared covering all jobs falling in a class. Second, the job evaluation committee is prepared a series of job class description in advance on the basis of which various jobs may be graded. ii. Different characteristics of each job are matched with description of job class and a job is placed in the class with which it matches best Merits: Grading system of job evaluation particularly in government jobs is quite popular as this has certain merits over the ranking method. These are as follows: i. The job classification method is less subjective when compared to the earlier ranking method. ii. The system is very easy to understand and acceptable to almost all employees without hesitation. iii. One strong point in favor of the method is that it takes into account all the factors that a job comprises. iv. This system can be effectively used for a variety of jobs

Demerits: 1. Even when the requirements of different jobs differ, they may be combined into a single category, depending on the status a job carries. 2. It is difficult to write all-inclusive descriptions of a grade. 3. The method oversimplifies sharp differences between different jobs and different grades. When individual job descriptions and grade descriptions do not match well, the evaluators have the tendency to classify the job using their subjective judgment Isra university perspective Isra University is a private organization i think grading method should be used as Isra is not a small organization .First Isra should define categories and then place the jobs according to characteristics of each category. Example: Category 1 Executive: Board of Directors, Chancellor, Vice Chancellor Category 2 Skilled: Professor, Surgeon Category 3 Semi Skilled: Assist Lecturer Category 4 Unskilled : Peon , Helper