4.3.3 Point MethodThe point method

4.3.3 Point MethodThe point method is the most frequently used job evaluation method because it is not very difficult to administer after it has been established and the decisions are defensible. The Point method consists of analyzing the content of jobs from the written job descriptions and then allocating points for specific factors. The number of points assigned to each job determines a range of pay for that job as illustrated in Exhibit 8. The procedure for developing the point method consists of six steps:1.identify key jobs: A list of 12 to 20 key jobs needs to be identified. By definition, key Jobs (sometimes called benchmark jobs) are jobs that are equitably paid They are not necessarily the most important jobs in the organization, but they should be jobs that are stable and well-defined There should be a consensus of opinion that these jobs are equitably paid because the wage structure for the entire organization will be based on these key jobs. Wage surveys help to identify key jobs.