Review the SHRM case, “Designing a Pay Structure.”

Assessment

Prepara�on for Performance and Rewards

This Competency Assessment assesses the following outcome(s):

Analyze Human Resource considera�ons to business decision making.

Review the SHRM case, “Designing a Pay Structure.”

You will prepare the SHRM case analysis on Designing a Pay Structure which consists of

your comple�on of Tasks A-J that simulates the crea�on of a compensa�on system for an

organiza�on in mee�ng its goals and suppor�ng its mission. You are to complete this case

analysis using Excel in a spreadsheet analysis format. In your analysis, respond to the

following TASKS found in the case study.

Your case analysis should consist of:

Task A: Create a complete job descrip�on for the Benefits Manager posi�on using

O*NET.

Task B: Calculate the job evalua�on points for the administra�ve assistant, payroll

assistant, opera�onal analyst, and benefits manager jobs. Provide a ra�onale for

assigning specific degrees to the various jobs.

Task C: If there were any outliers (i.e., extreme data points) in these data, what

would you recommend doing with them? From this point forward, assume no

extreme data points exist in the dataset.

Task D: Conduct a simple regression in Excel to create a market pay line by

entering the job evalua�on points (on the X axis) and the respec�ve weighted

average market base pay (on the Y axis) for each benchmark job.

Task E: What is your R squared (variance explained)? Is it sufficient to proceed?

Task F: Calculate the predicted base pay for each benchmark job.

Task G: Because your company wants to lead in base pay by 3 %, adjust the

predicted pay rates to determine the base pay rate you will offer for each

benchmark job.

Task H: Create pay grades by combining any benchmark jobs that are substan�ally

comparable for pay purposes. Clearly label your pay grades and explain why you

combined any benchmark jobs to form a grade.

Task I: Use your answer to Task H to determine the pay range (i.e., minimum and

maximum) for each pay grade.

Task J: Given the pay structure you have generated, consider the following: Does

this pay structure make good business sense? Do you think it is consistent with the

organiza�on’s business strategy? What are the implica�ons of this pay structure for

other HR systems, such as reten�on and recrui�ng?

Your analysis of this case and your wri�en submission should reflect an

understanding of the cri�cal issues of the case, integra�ng the material covered in

the text, and present concise and well-reasoned jus�fica�ons for the stance that

you take. You are to complete this case analysis using Excel in a spreadsheet

analysis format.

Case analysis �ps: Avoid common errors in case analyses, such as:

● Focusing too heavily on minor issues.

● Lamen�ng because of insufficient data in the case and ignoring crea�ve alterna�ves.

● Rehashing of case data — you should assume the reader knows the case.

● Not appropriately evalua�ng the quality of the case's data.

● Obscuring the quan�ta�ve analysis or making it difficult to understand.

Typical “minus (–)” grades result from submissions that:

● Are late.

● Are not well integrated and lack clarity.

● Do not address �ming issues.

● Do not recognize the cost implica�ons or are not prac�cal.

● Get carried away with personal biases and are not per�nent to the key issues.

● Are not thoroughly proofread and corrected.

Make sure your document includes:

• Your name

• Date

• Course name and sec�on number

• Unit number

• Case name

• Page numbers

Be sure to review the Competency Assessment Checklist Rubric in order to understand

the criteria on which you will be evaluated.

Assessment Checklist:

Create job descrip�ons for mul�ple jobs.

Conduct a regression analysis that results in a market pay line that supports the

validity of the pay ranges in the case study.

Calculate the predicted base pay for each benchmark job.

Create pay grades by combining any benchmark jobs that are substan�ally

comparable for pay purposes.

Make sure your document includes:

• Your name

• Date

• Course name and sec�on number

• Unit number

• Case name

• Page numbers

Minimum Submission Requirements

This Assessment should be a Microso� Excel spreadsheet.

This Assessment should be a minimum of 10–15 slides, with analysis notes, in

addi�on to the �tle and reference slides.

Respond to the ques�ons in a thorough manner, providing specific examples of

concepts, topics, defini�ons, and other elements asked for in the ques�ons. Your

paper should be highly organized, logical, and focused.

Your analysis must be wri�en in Standard English and demonstrate excep�onal

content, organiza�on, style, and grammar and mechanics.

Your analysis should provide a clearly established and sustained viewpoint and

purpose.

Your wri�ng should be well ordered, logical and unified, as well as original and

insigh�ul.

A separate slide at the end of your spreadsheet analysis should contain a list of

references, in APA format. Use your textbook, the Library, and the internet for

research.

Be sure to cite both in-text and reference list cita�ons were appropriate and

reference all sources. Your sources and content should follow proper APA cita�on

style. Review the APA forma�ng and cita�on style found in the Wri�ng Center.

The Wri�ng Center can be found within the Academic Support Center under

Academic Tools in the le� naviga�on of your course. (It should include a cover

sheet, paper is double spaced, in Times New Roman 12-point font, correct

cita�ons, Standard English with no spelling or punctua�on errors, and correct

references at the bo�om of the last page.)

If work submi�ed for this competency assessment does not meet the minimum

submission requirements, it will be returned without being scored.