, PLEASE USE THIS DOCUMENT AS A GUIDE TO ANSWER YOUR ASSIGNMENT
Please also note that the author of this document will not be responsible for any plagiarism you
commit.
TABLE OF CONTENT
Question 1 Page 3
Question 2 Page 6
Question 3 Page 9
Question 4 Page 12
, Question 1
1. CheckSmart Retail is a national retail chain operating across South Africa. It recently
merged with another retail group and now needs to standardise job levels across all 150 stores.
Two similar roles, “Customer Service Supervisor” in the original stores and “Floor Team
Leader” in the new ones, have different pay grades despite similar responsibilities. Explain how
CheckSmart could use a point-factor job evaluation system [2 marks] to address inconsistencies
in pay between these roles. In your answer, describe the key steps in the evaluation process [3
marks], what compensable factors may apply in retail [2 marks], and how this system
promotes internal consistency [2 marks]. Use examples where appropriate [3 marks].
Using a Point-Factor Job Evaluation System to Address Pay Inconsistencies at CheckSmart
Retail
Following its recent merger with another retail group, CheckSmart Retail—an established national
retail chain—faces the challenge of standardising job levels across its 150 stores. Among the
inconsistencies that have emerged is the disparity in pay between two similar roles: “Customer
Service Supervisor” in the original CheckSmart stores and “Floor Team Leader” in the newly
integrated stores. Despite having comparable responsibilities, these roles are assigned different pay
grades, potentially leading to perceptions of unfairness and dissatisfaction among employees. To
address this issue, CheckSmart can apply the point-factor job evaluation system, a structured and
objective method that evaluates jobs based on a set of compensable factors.
Overview of the Point-Factor Job Evaluation System
The point-factor job evaluation method is an analytical approach used to assess the relative worth of
different jobs in an organisation. It involves assigning point values to various compensable factors,
such as skill, responsibility, effort, and working conditions, based on their relevance to the job and
organisational goals (HRM3705, Study Guide, 2021). This method enables a fair comparison of jobs
with different functions by reducing subjectivity and promoting transparency in compensation
decisions. In CheckSmart’s case, applying this method can help ensure that jobs with similar
responsibilities, such as the Customer Service Supervisor and Floor Team Leader, are compensated
equitably, regardless of their historical or geographic origins within the company.
Key Steps in the Evaluation Process
The implementation of a point-factor job evaluation system involves several critical steps, each of
which ensures a thorough and equitable assessment of job roles.
1. Conducting a Job Analysis
The first step is to conduct a detailed job analysis to understand the duties, responsibilities, required
qualifications, and working conditions associated with each role. This process typically involves
gathering data through interviews, questionnaires, and observations. For instance, both the Customer
Service Supervisor and Floor Team Leader roles may include responsibilities such as supervising
frontline staff, resolving customer complaints, managing shift operations, and handling cash
transactions. A job analysis ensures that the evaluation process is grounded in accurate and
comprehensive job information (Coetzee, Bezuidenhout, Furtak & Lee, 2020).
2. Identifying Compensable Factors
Once job data is collected, the next step is to identify the compensable factors that will be used to
evaluate the jobs. These are job attributes that the organisation values and that differentiate one job
from another in terms of contribution and complexity. In a retail environment, typical compensable
factors include skill, responsibility, effort, and working conditions.
Please also note that the author of this document will not be responsible for any plagiarism you
commit.
TABLE OF CONTENT
Question 1 Page 3
Question 2 Page 6
Question 3 Page 9
Question 4 Page 12
, Question 1
1. CheckSmart Retail is a national retail chain operating across South Africa. It recently
merged with another retail group and now needs to standardise job levels across all 150 stores.
Two similar roles, “Customer Service Supervisor” in the original stores and “Floor Team
Leader” in the new ones, have different pay grades despite similar responsibilities. Explain how
CheckSmart could use a point-factor job evaluation system [2 marks] to address inconsistencies
in pay between these roles. In your answer, describe the key steps in the evaluation process [3
marks], what compensable factors may apply in retail [2 marks], and how this system
promotes internal consistency [2 marks]. Use examples where appropriate [3 marks].
Using a Point-Factor Job Evaluation System to Address Pay Inconsistencies at CheckSmart
Retail
Following its recent merger with another retail group, CheckSmart Retail—an established national
retail chain—faces the challenge of standardising job levels across its 150 stores. Among the
inconsistencies that have emerged is the disparity in pay between two similar roles: “Customer
Service Supervisor” in the original CheckSmart stores and “Floor Team Leader” in the newly
integrated stores. Despite having comparable responsibilities, these roles are assigned different pay
grades, potentially leading to perceptions of unfairness and dissatisfaction among employees. To
address this issue, CheckSmart can apply the point-factor job evaluation system, a structured and
objective method that evaluates jobs based on a set of compensable factors.
Overview of the Point-Factor Job Evaluation System
The point-factor job evaluation method is an analytical approach used to assess the relative worth of
different jobs in an organisation. It involves assigning point values to various compensable factors,
such as skill, responsibility, effort, and working conditions, based on their relevance to the job and
organisational goals (HRM3705, Study Guide, 2021). This method enables a fair comparison of jobs
with different functions by reducing subjectivity and promoting transparency in compensation
decisions. In CheckSmart’s case, applying this method can help ensure that jobs with similar
responsibilities, such as the Customer Service Supervisor and Floor Team Leader, are compensated
equitably, regardless of their historical or geographic origins within the company.
Key Steps in the Evaluation Process
The implementation of a point-factor job evaluation system involves several critical steps, each of
which ensures a thorough and equitable assessment of job roles.
1. Conducting a Job Analysis
The first step is to conduct a detailed job analysis to understand the duties, responsibilities, required
qualifications, and working conditions associated with each role. This process typically involves
gathering data through interviews, questionnaires, and observations. For instance, both the Customer
Service Supervisor and Floor Team Leader roles may include responsibilities such as supervising
frontline staff, resolving customer complaints, managing shift operations, and handling cash
transactions. A job analysis ensures that the evaluation process is grounded in accurate and
comprehensive job information (Coetzee, Bezuidenhout, Furtak & Lee, 2020).
2. Identifying Compensable Factors
Once job data is collected, the next step is to identify the compensable factors that will be used to
evaluate the jobs. These are job attributes that the organisation values and that differentiate one job
from another in terms of contribution and complexity. In a retail environment, typical compensable
factors include skill, responsibility, effort, and working conditions.
