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MBA, PHD
Phoniex
Jul-2007 - Jun-2012
Corportae Manager
ChevronTexaco Corporation
Feb-2009 - Nov-2016
Respond to the following with a minimum of 250 words
Compare Job Based and Person Based Structures as to which approach appears to have a stronger motivational effect on employees?
Job based structure compensates employees for jobs they perform regardless of any unique skills they might have. It has some advantages because for employees they can expect to receive job promotion if they exceed job performance standards. On the other hand, the person-based structure focuses on compensating employees based on his/her gain in knowledge and skills.
The person based structure appears to have a stronger motivational effect on employees because it promotes a flexible environment where they can learn new skills and competencies in order to move up in the organization. As stated by Martocchio (2015), “employees usually like person-focused pay systems because they can provide both job enrichment and job security” (p.111)
Which approach do organizations tend to use more and why?
Job-based structure are the approach organizations tend to favor because it is easier to administer. In this structure, employees have well-defined tasks they must accomplish and get rewarded on successfully accomplishing them. The well-defined hierarchical system along with clear career paths this structure offers a simple pay system administration. In addition, since most companies use job pay structures, comparison can be easily made between companies structure.hu
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