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Chapter I
INTRODUCTION
1.0 Introduction
Job evaluation is a method for comparing different jobs to provide a basis for grading and pay structure.
It is an assessment of the relative worth of various jobs on the basis of a consistent set of job and
personal factors, such as qualifications and skills required and it aims at determining which jobs should
get more pay than others. Several methods such as job ranking, job grading and factor comparison are
used in job evaluation. Research indicates, however, that each method is nearly as accurate and reliable
as the other in ranking and pricing different jobs. Job evaluation forms the basis for wage and salary
negotiations.
Job evaluation intends to evaluate the job, not the job holder, and to provide relatively objective means
of assessing the demands of a job. It can be beneficial when the existing grading structure is in need of
review and establishing or maintaining the credibility and acceptability of a grading system. Job
evaluation also facilitates the accommodation of new or revised jobs into the grading structure and can
be used by organizations as a basis for job matching and external pay comparisons. It is also a
mechanism for establishing agreed differentials within organizations and is broken down into non-
analytical and analytical schemes.
Under analytical schemes of job evaluation is the point factor method used by most institutions around
the world. Developed in 1921 as the first quantitative technique of evaluation, point factor is intended
to put structure to a job or job class’s value or relative pay worth, from a particular organization or
employer’s point of view. Point factor systems therefore do not evaluate people, they evaluate positions.
The point factor method was thus adopted by the job evaluation committee to assess/evaluate the job
structure of Spurs Telecom Limited, a medium sized telecommunications company located in Kampala,
Uganda; because in this method, the value of the job can easily be expressed in monetary terms. It is
also easy to apply point factor method to a wide range of jobs and also to newly created jobs and hence
the reason why it was preferred by the committee.
1.1 Background
Spurs Telecom Limited is one of the world's leading providers of internet and multimedia solutions
in Uganda, launched on 20th
October 2000 located in Wandegeya, a suburb of Kampala. Spurs is

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dedicated to providing high quality digitalized products and services and has since grown to become
a leading telecommunications company in Uganda, providing excellent services and servicing in
excess of 2million subscribers and still growing.
1.1.1 Mission and Vision
The mission of Spurs Telecom is “To create unequalled loyalty by providing customer service that
results in Spurs Telecom becoming the natural choice for telecommunications solutions."
Spurs’ vision is “To delight our customers in every interaction, thereby creating lasting profitable
relationships ".
1.1.2 Objectives
The company practices formal organizational/personnel management practices; and in pursuit of
their mission and vision, Spurs telecom is directed by a number of objectives. Spurs
Telecommunications Company strives to;
a) Be a successful company that is respected in the market place, by our customers, partners,
employees and communities where we deliver services.
b) Be the industry leader as the next generation telecommunications provider
c) Have the highest client retention rate in the telecom industry.
d) Create an environment where our employees will grow, learn and prosper and want to create
a client-centric environment.
1.1.3 Goals
The main goal of Spurs Telecom is to provide cost effective telecommunications services to every
nook and corner of the country.
1.1.4 Values
As part of its core values, Spurs Telecom believes in;
a) Integrity
b) Teamwork
c) Professionalism
d) Customer satisfaction
e) Relationship
f) And Innovation

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1.2 Formation of a job evaluation committee
Spurs Telecom hired the services of an Evaluation Committee to assess the current job and
salary structure of the company. The committee was constituted out of a class UMI discussion
group and it composed of six (6) members as listed below;
1. Atama Perez
2. Yeko Barbra Kisa
3. Kirabo Esther
4. Mukebezi Prossy
5. Muhanguzi Caroline
6. Maiteki Moses
It agreed to evaluate jobs from one of the job families of Spurs Telecom’s organizational
structure (See Appendix), and adopted the point factor method of job evaluation.
1.2.1 Benchmark Jobs
The following jobs were selected for evaluation;
a) General Manager, Sales and distribution
b) Senior Sales and Marketing Manager
c) Sales Supervisor
d) Sales Representative
1.2.2 Time line
The evaluation exercise will take 3 weeks, from 30th
April 2014 to 21st
May 2014 and duties
will be assigned to the different committee members after which members will participate in
preparing the job evaluation report.

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Chapter II
METHODOLOGY
2.0 Introduction
This chapter discusses the methodology used by the evaluation committee in the job evaluation process
after carrying out a job analysis, including reviewing the job description and person specifications of
the selected jobs (see appendix). It is also in this chapter that compensable factors were discussed in
relation to the sampled jobs from Spurs Telecom’s organizational structure.
2.1 Compensable factors
Point factors are also called “compensable factors.” A compensable factor is any particular skill,
responsibility, effort or physical demand for which an employer is willing to pay an employee. These
factors are typically attuned to an employer’s vision, mission and goals; and an employer/organization
must first know what they want to pay for in the work they will ask their employees to perform, or what
attributes they value most, so that they can set their compensation rates.
The jobs below were seen to be in the same job family, however in the organizational structure, they
are rated differently and hence the need to justify the difference amongst them.
General Manager Sales and Distribution
Senior Sales and Marketing Manager
Sales Supervisor
Sales Representative
In analyzing the above jobs, questionnaires were employed as a method of analysis/evaluation (see
appendix). The first step here was to get job descriptions and person specifications of the above jobs
through advertisements and schedules of duties of various jobs and also from direct engagement with

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employees and the employer, after which the committee would identify atleast four (4) compensable
factors in relation to the above jobs.
2.3 Choice of compensable factors
The committee having selected a job family that includes General Manager Sales and Distribution,
Senior Sales and Marketing Manager, Sales Supervisor and Sales Representative, the following were
identified as compensable factors;
Decision Making
This factor is measured in terms of the opportunity for independent action, the level of direction and
supervision received, as well as the variety, type and frequency of decision making. It is concerned
with working outside of established guidelines, working independently and coming up with creative
solutions at a strategic and policy level. It is primarily subjective and the committee sought to explore
the extent to which job holders work independently, without precedence, have to solve problems, make
decisions and contribute to changes in policy and procedure.
Level of contacts
Here, the committee assessed the extent to which the job holder is required to have formal contact with
others within and outside the department/organization. In assessing this factor, the committee took into
consideration the type of contact, level of contact and reason for contact with persons within and outside
the company. Unofficial contacts were excluded and the committee chose appropriate information that
could affect the nature of the business. This might include, for example, dealing with people who are
skeptical, uncooperative, unreceptive, or hostile; or, settling controversial issues or arriving at
compromise solutions with people who have different viewpoints, goals, or objectives.
Complexity of duties
The three parts of this factor consider:
 The nature of the assignment;
 What the employee considers when deciding what must be done; and
 How difficult and original are the employee's actions or responses.
Evaluators characterized the work in terms of the nature and variety of the tasks, methods, functions,
projects, or programs carried out. Some employees have little or no choice about how to perform the

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work. Others may have to develop, analyze, or evaluate information before the work can progress. The
level of difficulty in carrying out the work varies depending on whether the facts or conditions are
clear-cut and apply directly to the problem or issue; vary according to the nature of the subject matter,
phase, or problem handled; or involve unusual circumstances and incomplete or conflicting data. In
some situations the work is mastered easily, and the employee takes the obvious course of action. The
level of difficulty and originality increases as the employee considers differences in courses of action
and refines methods or develops new techniques, concepts, theories, or programs to solve problems.
Education
This factor identifies the minimum position requirements in terms of formal education which are
required of the position in order for it to be performed satisfactorily. Knowledge may have been
acquired through a formal diploma/degree program, training, or a combination of both. This is a
measure of the level of education for the position and not necessarily a measure of the incumbent's own
level. This factor therefore considered not the actual qualification of the job holder but only the
minimum level of education required for the performance of the job.
The committee was also tasked to determine the relative weights/degrees of each point factor for the
organization. For employers, factors are weighted according to their significance to the organization,
and this allows the pay system to be linked, as has been noted, to the organization’s strategy/mission.
The above factors were therefore broken down as follows;
Degree Decision Making
1 Follows clearly prescribed standards and readily understood rules
2
Follows prescribed standards/rules with managerial supervision and exercises relative
independent judgment
3
Exercises independent judgment in making decisions involving non routine problems
with general guidance from top management
4 Uses independent judgment in making decisions that are not subject to review

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Degree Contacts
1 Contacts extend to persons in the immediate work unit on l
2 Usual purpose of contacts is to exchange information and settle specific problems and
customer feedback encountered in the course of daily work
3 Usual purpose of contacts is to discuss problems and possible solutions, to secure
corporation/coordination of efforts and get agreement and action
4 Contacts here are vital in reviewing policies and settling business strategies
Degree Complexity of duties/tasks
1 Little or no independent action or judgment. Duties are so standardized and simple
2 Performs duties working from standard procedures or generally understood rules
3 Performs work for which only general methods are available, with relative
independence and minimal guidance from top management
4 Independent action and judgment are required in carrying out tasks
Degree Education
1 The job requires diploma level of education in addition to experience and any other
formal education
2 A degree is required in addition to field experience and market intelligence
3 A degree is a major requirement but post graduate qualification is an added advantage
4 Masters qualification is a prerequisite in addition to extensive managerial experience,
job knowledge and market intelligence
The next step was to divide each factor into levels or degrees and then assign it points. Each job was
rated using the point evaluation method/instrument and the points for each factor were summed to form
a total point score for each job as shown below;
The committee awarded degrees to each factor depending on its significance or how it applies to the
jobs selected in percentages first, before converting it out of 400 points.
Decision Making 85%
Contacts 100%
Complexity of duties 75%
Education 60%
Total 320%

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And in order to get the percentages out of 100%, the formula below was used;
Decision making 85
/320 x 100 = 27%
Contacts 100
/320 x 100 = 31%
Complexity of duties 75
/320 x 100 = 23%
Education 60
/320 x 100 = 9%
Making it a total of 100%
The next step was to award points to each of the factors selected, and in order to do so, the committee
employed the following formula;
Decision making 27
/100 x 400points = 108points
Contacts 31
/100 x 400points = 124points
Complexity of duties 23
/100 x 400points = 92points
Education 19
/100 x 400points = 76points
Hence totaling up to 400 points
Last but not least, the points above were divided amongst the four different positions being evaluated
in relation to the compensable factors as will be shown.
The above information represents the difference in points for the different positions as displayed in the
table below;
Position
Decision
making
Contacts
Complexity
of duties
Education
Total
Points
Per
position
General Manager Sales
and Distribution
108 124 92 76 400
Senior Sales and
Marketing Manager
81 93 69 57 300
Sales Supervisor 54 62 46 38 200
Sales Representative 27 31 23 19 100

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2.4 Pay structure
Pay structures, also known as salary structures, set out the different levels of pay for jobs, or groups of
jobs, by reference to their relative internal value, as established by job evaluation, external relativities,
via market rate surveys, where appropriate, negotiated rates for the job.
Below are some of the types of pay structure recommended/proposed by the committee in relation to
the jobs evaluated;
a) Graded pay structure
A sequence of overlapping job grades into which jobs of broadly equivalent size are allocated. Each
grade has a range, the maximum of which is usually 20 to 50% above the minimum.
Shs.
Human Resource Management Michael Armstrong 8th
edition pg 665

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b) Broad banded pay structure
Similar to conventional graded structures, but with far fewer and far wider bands. The maximum of the
band can be 100% or more above the minimum.
Human Resource Management Michael Armstrong 8th
edition pg 666
c) Job family structures
Each job family has a different graded structure. Jobs are allocated to a job family based on activities
carried out; skills and competencies.
Human Resource Management Michael Armstrong 8th
edition pg 668
6
5
4
3
2
1
5
4
3
2
1
4
3
2
1

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1.3 Conclusion
A total point score was added for all the jobs above in order to assign wage/salary grades, and
similarly, all jobs rated together with the above jobs in the organizational structure would be
placed together in the same wage/salary grade with them, and thus the point factor method
managed to effectively rate the jobs selected in relation to their compensable factors.

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Chapter III
FINDINGS, RECOMMENDATIONS AND CONCLUSION
2.0 Introduction
This chapter explains the findings of the job evaluation exercise and offers recommendations from
the view of the job evaluation committee, after which a conclusive remark will be reached.
2.1 Findings
After finding a total point score for all the jobs (job family) selected, the position of General
manager was found to have the highest number of points at 400, followed by Senior Sales and
Marketing Manager at 300, Sales Supervisor at 200 and Sales Representative earned 100 points,
and it is from this point of view that Spurs Telecom can design a pay structure that cuts across the
jobs selected as per the organizational structure in relation/comparison to the prevailing market
prices.
2.2 Recommendations
We have recommended a variety of strategies for improving the job evaluation process and for
addressing broader salary/wage payment and job evaluation issues at Spurs Telecom Ltd. The
Committee believes that these recommendations can lead to significant positive change. There is
also need to re-establish a stable job evaluation benchmark system to guide pay and structural
issues for new jobs.
2.2.1 Maintenance
Job evaluation is not a once and for all exercise and procedures must be devised to keep the scheme
up to date. It is essential for someone in the organization to have a continuing knowledge of the
scheme. If the scheme is not regularly maintained, the initial problems which gave rise to the need
for job evaluation may re-emerge and the scheme will fall into decay and disrepute. If maintenance
is carried out, the scheme will last longer and should continue to be acceptable. A prerequisite for
setting up a maintenance program is the provision of a written job evaluation manual which sets
out the background and history, rules and results of the scheme, allocation of responsibility and
details of how the scheme will be kept up to date.

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It is also the committee’s experience that the ongoing maintenance of a scheme requires that:
 Responsibility for the job evaluation scheme is clearly allocated.
 Job descriptions are prepared for new or altered jobs.
 A program for carrying out those reviews should be considered in advance, and
 Replacement committee members are identified and trained.
2.2.2 Re-evaluation of jobs
There should be a separate procedure for dealing with the evaluation of new jobs or the re-
evaluation of an existing job which has changed. The following procedure is suggested:
 The employee should apply to his or her immediate line manager, using a standard form
which sets out the reasons why the grading is not, or no longer, thought appropriate.
 The line manager, after discussion with the employee as necessary, should submit the
application to the Personnel Department, indicating whether or not it is supported.
 The Human Resources Department should arrange for a current updated job description
to be prepared and agreed by the employee and line manager, and
 The joint evaluation committee should consider the job description and give its decision
within an agreed time-scale
2.3 Conclusion
A number of recommendations have been offered to resolve the structural job issues in Spurs
Telecom Ltd. The Committee believes that these recommendations can lead to significant positive
change in terms of pay issues, structural adjustment among others. Much of this work necessarily
falls to the Human Resources Department of the organization. However, the job evaluation system
cannot function optimally unless all constituent groups; staff members, leaders and managers
across the institution take responsibility for the integrity and effective functioning of that system.

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APPENDIX A
JOB PROFILES
Job Description
Title: General Manager Sales and Distribution
Reports to: The C.E.O
Salary Scale: SP2
Location: Kampala
Job Purpose: To oversee and coordinate sales operations of the company
Key Result Areas
 To review, develop, analyze and recommend strategies that will build a strong sales portfolio.
 Strategic planning and policy formulation in regard to the sales of the company.
 Oversee the development of the commercial business plans and products/services positioning
in the market.
 Provide sales management with testing strategies vs expectations of the business
 Have input to the annual sales budget process
 Ensure compliance to statutory requirements
 Champion the sales team in leadership and successful communication
Person Specifications:
Education
Minimum requirement is a Master’s in Business Administration.
Experience
10 years’ experience, preferably in a managerial position of a sound business oriented organization.
Skills
 Leadership
 Analytical and conceptual skills
 Innovation and creativity
 Communication skills
 Tolerance and Patience
 Market Intelligence

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Job Description
Title: Senior Sales and Marketing Manager
Reports to: The General Manager, Sales and Distribution
Salary scale: SP3
Location: Wandegeya, Kampala.
Job Purpose
To input into the development and implementation of the market strategy and sales plans of the
company.
Key Result Areas
 To monitor and evaluate performance targets of the sales department
 To develop and lead a strong motivated sales team
 To develop, implement and monitor sales budgetary allocations
 To conduct market research on customer preferences
Person Specifications
Education
Degree in Business Administration. Post graduate qualification with a bias in marketing will be an
added advantage.
Experience
5 years’ experience in a managerial position preferably in a business oriented organization.
Skills
 Leadership and managerial skills
 Interpersonal skills
 Problem solving and conflict resolution
 Team building
 Communication skills
 Market Intelligence

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Job Description
Title: Sales Supervisor
Reports to: The Senior Sales and Marketing Manager
Salary scale: SP4
Location: Kampala
Job Purpose
To supervise day to day sales activities of the company/department
Key result Areas
 To coordinate field sales
 To handle customer complaints and feedback
 To monitor daily sales targets of the department
 To prepare daily sales reports
Person Specifications
Education
A degree in Business Administration or Marketing
Experience
3years experience in sales and marketing; with atleast 1 year at supervisory level
Skills
 Interpersonal skills & Communication skills
 Team building skills
 Customer Relations
 Report writing
 Market intelligence

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Job Description
Title: Sales Representative
Reports to: The Sales Supervisor
Salary Scale: SP5 and commission
Location: Kampala
Job Purpose
To maximize day to day sales for the department/company
Key Result Areas
 To market and sell company products as per daily targets
 Promote new products on the market
 To collect customer feedback
 Prepare daily field sales reports
 Any other duties assigned
Person Specifications
Education
A diploma in a business field, preferably marketing. A degree is an added advantage
Experience
One year experience in field sales
Skills
 Communication skills and Interpersonal skills
 Sales sensitization and mobilization
 Knowledge of atleast 2 local languages
 Team player
 Must be aggressive and self-driven
 Must be able to work under pressure
 Report writing

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APPENDIX B
JOB ANALYSIS QUESTIONNAIRE
SPURS TELECOM COMPANY LIMITED
NAME ……………………………………………………… JOB TITLE ………………………
DEPARTMENT ………………………………………… JOB NUMBER ……………………
SUPERVISOR ……………………………… SUPERVISORS TITLE ………………
1. SUMMARY OF DUTIES: State in your own words briefly your main duties if you are responsible
for filling out/ records also complete section B
………………………………………………………………………………………………………
………………………………………………………………………..................……...………
2. EDUCATIONAL QUALIFICATIONS: List any licenses, permit, certificate etc required to
perform duties assigned to your position.
…………………………………………………………………………………………….………
………………………………………………………………………….......………….……
3. REGULAR DUTIES; in general term, describes duties you regularly perform. Please list theses
duties in descending order of important and percent of time spent per month. List as many duties
as possible and attach additional sheet if necessary.
………………………………………………………………………………………………………
………………………………………………………………………………………………………
……………………………………………………………………………...............................
4. CONTACTS: Does your job require any contact with other person department personnel, other
departments, outside companies or agencies? If yes , please define the duties requiring contacts
and how often
………………………………………………………………………………………………………
…………………………………………………………………………………………............…
5. SUPERVISION: Does your position have supervisory responsibilities? ( ) yes ( )No if yes please
fill out a supplemental position Description Questionnaire for superiors and attach it to this form
if you have responsibility for the work of other but do not directly supervise them please explain
…………………………………………………………………………………………………
…………………………………………………………………………………………………
…………………………………………………………………………………………………

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6. DECISION MAKING: Please explain the decisions you make while performing the regular
duties of you job.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
…………………………………………………………………………………………………
a. What would the probable result of you making (a) poor judgment (s) or decision (s) or (b)
improper action?
………………………………………………………………………………………………
………………………………………………………………………………………………
7. RESPONSIBILITY FOR RECORDS: List the reports and files are required to prepare or
maintain state, in general, for whom each report is intended.
a. REPORT INTENDED FOR………………………………….................……………
................................................................................................................
b. ………………………………………………………………………………………………
c. FILE MAINTAINED
…………………………………………………………………………………………………
…………………………………………………………………………………………………
8. FREQUENCY of SUPERVISON: How frequently must you confer with supervisor or other
personnel in making decision in determining the proper course of action
( 1) frequently (2 ) occasionally ( 3) Seldom (4 ) Never
9. WORKING CONDITIONS: Please describe the conditions under which you work – inside,
outside, air conditioned area etc. Be sure to list any disagreeable, complex or unusual working
conditions
…………………………………………………………………………………………………
…………………………………………………………………………………………………
…………………………………………………………………………………………………
10. Job requirement please indicate the minimum requirements you believe are necessary to
perform satisfactory in your position.
a. education
Minimum schooling ………………………………………………………....…………
Number of years …………………………………………………………...……………
Specialization or major ………………………………………………..………………

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b. Experience :
Type ……………………………………………………………………………………..…
Number of Years ………………………………………………………………………..
c. Special training
Type .........................................................................................................
Number of years ..............................................................……………………
11. ADDITONAL INFORMATION Please provide additional, not included in any of the previous
items, which you feel would be important in description of your position.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
…………………………………………………………………………………………………
EMPLOYEE’S SIGNATURE: ...........................................………………………
DATE: ……….........................................................…………………………..

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REFRENCES
Armstrong, M. (2002). Employee reward (3rd ed)
London, CIPD.
Armstrong, M & Baron, A. (1995). The job evaluation handbook
London, CIPD.
Armstrong, M & Murlis, H. (1998). Reward management: a handbook of remuneration strategy and
practice
(4th ed). London, Kogan Page.
Armstrong M. (2001). Pay Structures: a handbook of Human Resource Management Practice
(8th
ed.) London
http://www.acas.org.uk/media/pdf/4/0/B01_1.pdf

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SPURS TELECOM LIMITED
ORGANIZATIONAL STRUCTURE
GM
Customer
Experience
Chief Technical
Officer
Chief Financial
Officer
GM
Sales and
Distribution
C. E. O
GM
Human Resource
Senior
Manager Sales
and Marketing
Departmental Supervisors/Line Managers
Senior
Manager
Finance
Senior Technical
Manager
Senior Manager
Customer
Experience
Senior Manager
Human
Resources
Operations