Banding and grading can be approached from three perspectives:
- Nature of job
- Education
- Professional experience
The nature of job would further have components such as the cost of the delivery which also includes the cost of creating a mistake, time taken to train, span of control and so on. Here's more on
Job grading and
Job families
Education is almost self explanatory.
Professional experience counts the number of years spent in the industry delivering at the role.
It is likely to create a pyramid than a web , as the responsibility increases with each level. Please read this document on Bands and level to understand the pyramid structure
Employee banding for a small firm
The first few levels will include almost 70%-80% of your employees who are into production and support services. Rest of the ones would be the management team and organisation owners.
There are many document and discussions that you can find in here. Please consider reading these discussion, that can offer you a better view.
Flow chart for salary structure
Grading XL file for a logistic firm
Compensation guide through grading