Exploring Grading Systems Beyond Hay: How Do Competency-Based Models Work in Traditional Industries?

shailakoppal
Hi all,

I wanted some information on grading systems that are currently being used in traditional industries. Specifically, what other systems other than the Hay system are predominantly in use? Are there any grading systems based on competencies?

How can an organization build and maintain a competency-based grading system?

Regards,
Shaila
nitinsagar
Dear Shaila,

First, prepare the J.D.'s & Job specifications for all posts, then assign the marking for the skills you require in that position. For example:

Position: Manager
Accountability: Department
Skills:
Computer - 50 out of 50 (Marks)
Communication Skills - 40 out of 50
Qualification: 90
Relevant Experience: 100
Etc.

Prepare the competencies required for each and assign marks to them accordingly. You will then get a grade structure with weightage for each position.

Hope this will help you.

Regards,
Nitin
mrv_raj
Hi Nitin,

Can you further elaborate on the subject mentioned, or do you have some documentation in PDF or Word format for a clearer understanding? If yes, please post it.

Regards, Maneesh
iperform
The iPERFORM Job Evaluation System

The iPERFORM Job Evaluation System was developed to address the challenges associated with existing job evaluation systems. We have conducted 10 years of research to develop the iPERFORM system, and some of our findings were:

- Most job evaluation systems were difficult to understand in terms of terminology.
- Many systems gave skewed grade outcomes, impacting pay and de-motivating employees.
- Most systems were outdated (some from the 60s) and had never been enhanced to meet the challenges of the modern employment world.
- Many systems are very costly, with an over-reliance on consulting companies for expensive ongoing consulting.
- In South Africa, it has taken one sector over 12 years to implement a job evaluation system.

The iPERFORM Job Evaluation System is a modern, computerized system that can be used in any industry, organization, local government, and public sector institutions. The method is simple, easy to understand and implement, and cost-effective.

Advantages of the iPERFORM System

- It does not take a fragmented approach to organizational development. It has seven inter-linked sub-systems, meaning a job evaluation can only be undertaken if the job descriptions are of high quality and aligned with the organizational structure.
- It is competency-based and has five broad bands.
- It has fewer job grades (20) compared to other systems, flattens organizational structures, and reduces skill gaps.
- It attempts to create skills flexibility and career paths.
- It achieves greater workforce mobility.
- It is inter-linked to Performance Management and Performance-Based Pay, which forms part of the iPERFORM Package.
- It is cost-effective (60% - 80% cheaper than current systems).
- Takes a maximum of 15 minutes to evaluate a job. Newly qualified HR graduates evaluated our job descriptions using our JE System, achieving an accuracy rate above 95%.
- It has a computerized formula to calculate salary scales for each job grade.

Competency-Based Job Factors

The iPERFORM Job Evaluation System uses competency-based job factors common to all jobs and clearly defined. There are five competency levels with the following common factors:

- Qualifications and Experience
- Physical/Mental Effort
- Decision Making
- Communication
- Key Performance Areas/Competencies

The system provides a higher level of objectivity and validity, ensuring job descriptions are of the highest quality to cover all factors adequately. It does not rely on comprehensive salary surveys but is linked to its own unique formulae for developing in-house salary scales and performance-based pay.

For more information, visit our website at www.iperform.org.za or contact us at [Email Removed For Privacy Reasons].

Regards,
[Username]
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