Sop Managerial Accounting - PowerPoint by xig13985


More Info
									     Career-Banding –
     A Competency Based
     Human Resources System

     Employee Orientation
North Carolina State Government

                Human Resources System

 Workforce                          Compensation

Training and                        Recruitment
Development                         and Staffing
                    Management &
   March 2006                                  2
             What is Career-Banding?
  • Collapsing of classes into more generic titles
  • Wider pay ranges
  • Pay movement based on the development
    and demonstration of competencies
    (knowledge, skills, and abilities)
  • Emphasis on career development

March 2006                                       3
             Career-Banding Philosophy
  To positively impact the state’s ability to:
       • Promote proven successful work
       • Emphasize competencies and
        demonstrated proficiency on the job
       • Promote career development

March 2006                                   4
             Career-Banding Features
       • Introduces new concepts of pay: above market,
         at market, and below market
       • Eliminates restrictive salary rules and promotes
         appropriate pay based on contribution and market
       • Gives management decision-making flexibility and
         assigns accountability for pay decisions and
       • Pay is managed to the Journey Market Rate
         versus the Salary Grade Maximum
       • Greater use of working titles

March 2006                                             5
             Why the Change?
  • Base employee pay on level of contribution
    and labor market information
  • Simplify the administrative process for
    personnel and management
  • More efficient response to changing labor
    market data
  • Greater involvement by management in pay
  • Encourage employees to develop those skills
    necessary for the organization to succeed
March 2006                                       6
                      Old to New….
 Narrowly defined classes       Broadly defined classes

 Many class levels              Few class levels

                                 Emphasis on pay/market
 Emphasis on classification
                                 Align salaries w/ market avg.
 Pay based on longevity
                                 Career growth in current pos.
 Career growth thru promotion
                                 Budget at market; adjust
 Budget at minimum
                                  band as necessary
 Minimal budget planning for HR Emphasis on advanced and

  issues                          continual budget planning

      March 2006                                           7
        Ten Job Families
1. Administrative and Managerial
2. Information Technology
3. Law Enforcement and Public Safety
4. Information and Education
5. Human Services
6. Medical and Health
7. Institutional Services
8. Operations and Skilled Trades
9. Engineering and Architecture
10. Natural Resources and Scientific   8
                 Job Family Structure
                       Job Family
                      Admin & Mgr

                     Admin Support

Banded Class         Banded        Banded   Banded Class
   Admin          Class Admin   Class Admin  Executive
  Support           Support       Support     Assistant
 Associate         Specialist    Supervisor

    March 2006                                       9
             Graded to Banded System
Current Class Title        Banded Title
 Office Asst II – V
 Process Asst II – V       Admin
                           Support Assoc
 Accounting Clerk III

 Accounting Tech I         Admin
 Accounting Clerk IV - V

March 2006                                 10
             Broad Salary Ranges
  Current Class Title    Banded Title
 Office Asst II – V
 Grade 54, 57, 59, 61   Admin
                        Support Assoc
 $20,112 – $35,412
 Grade 57               $20,112 -
 $20,955 - $30,276
 Grade 59
 $22,426 - $32,689
March 2006                              11
                     Example of a Pay Band
                     Administrative & Managerial Job Family
Administrative Support Associate Banded Class
          $20,112             $23,478              $27,000             $31,050             $39,600
                               CRR                  JRR                 ARR

          $20,112                                  $27,081
  SG 54

                    $20,955                                  $30,276
  SG 57

                              $22,426                                  $32,689
  SG 59

                                        $24,101                                  $35,412
  SG 61
Entire band = $20,112 to $57,000 and includes 4 banded classes                       (not to scale)
              3 Step Process
   Blueprinting
       Identify branches and banded classes within Job
   Transition Work
       Develop concepts and competency profiles; validate
        with agency/university focus groups
   Implementation
       Fine tune profiles for specific agency/university use
       Allocate graded positions to banded classes

March 2006                                                 13
             Who is affected when?
     It is planned that all jobs will be banded by 2008.

     Info Technology and campus police classes were
      banded first.

     Several other banded concepts have been developed:
      Research, Administrative Support, Facility
      Maintenance, Vehicle/Equipment Operation and
      Institutional Services.

     OSP is working to develop concepts for the remaining
March 2006                                                  14
   Typically cost neutral on implementation
        Impact is assessed during market development

   Funded through redistribution of promotion,
    reallocation, in-range and other increases
    currently being awarded

        March 2006                                  15
                 Competencies –
                    what are they?
   Sets of knowledge, skills, abilities and/or
   The attainment of competencies increases the
    potential level of work for an employee
   An increase in functional competencies which are
    needed by the organization, applied on the job,
    and necessitated by job change can be used as a
    basis for an increase in pay
   Pay based on competencies rather than longevity

    March 2006                                    16
             Competency Levels
• Contributing: knowledge, skills, abilities
  and work behaviors minimally necessary to
  perform work in a banded class from entry up
  to journey
• Journey: fully applied body of knowledge,
  skills, abilities and successful work behavior
  required for a banded class
• Advanced: the highest or broadest scope
  of knowledge, skills, abilities and work
  behavior required in the banded class
March 2006                                     17
             Types of Competencies

                   Functional

                   Behavioral

March 2006                           18
             Functional Competencies
     Tied to demonstrated knowledge, skills,
     Can be observed and measured
     Developed by Transition Teams and validated
      within A/U, both using focus groups
     Have DISTINCT Contributing, Journey, and
      Advanced levels established for roles within a
      banded classification
     Market related
March 2006                                       19
             Functional Competencies:
                Data Analysis
                Problem Solving
                Equipment Operation
                Leading Work Teams

March 2006                             20
                  Behavioral Competencies
   Similar to Performance Evaluation
    Dimensions; more behavior-based
   Not as closely tied to particular learned skills
   Not defined at all 3 levels
   Do NOT determine pay
   Examples: initiative, creativity, integrity,

     March 2006                                  21
             Competency Assessment
   Management determines what knowledge,
    skills, abilities are needed
   Management determines the competency level
    of work
   How are competencies demonstrated on the
   How are they observed and tracked?
   Generally, if most competencies are
    contributing, overall level should be contributing

March 2006                                         22
                Pay Based on Competencies
                           Competency Assessment Form
           Contributing               Journey                    Advanced
 Comp A           X
 Comp B           X
 Comp C           X
 Overall         X
                            Employee’s Pay
                                                     Career-Banded Class Rates

Min                                                                              Max
            Contributing                     Journey              Advanced
             Reference                       Market               Reference
      March 2006 Rate                         Rate                  Rate         23
                    Pay Based on Competencies
                           Competency Assessment Form
           Contributing               Journey                  Advanced
 Comp A                                       X
 Comp B             X
 Comp C             X
 Overall            X
                             Employee’s Pay

                                                     Career-Banded Class Rates

Min                                                                              Max
            Contributing                  Journey               Advanced
             Reference                    Market                Reference
                   Rate                       Rate                Rate
      March 2006                                                                 24
                    Pay Based on Competencies
                           Competency Assessment Form
           Contributing                Journey                Advanced
 Comp A                                     X
 Comp B                                     X
 Comp C                                                           X
 Overall                                    X
                           Employee’s Pay
                                                      Career-Banded Class Rates

Min                                                                               Max
            Contributing                    Journey            Advanced

             Reference                      Market             Reference

                   Rate                      Rate                Rate
      March 2006                                                                  25
                     Pay Factors
   Financial Resources
    The amount of funding that a manager has available when making pay

   Appropriate Market Rate
    The market rate applicable to the functional competencies demonstrated by
    the employee.

   Internal Pay Alignment
    The consistent alignment of salaries for employees who demonstrate similar
    required competencies in the same banded class within a work unit or

   Required Competencies
    The functional competencies and associated levels that are required based
    on organizational business need and demonstrated on the job.
                Pay Factors
1. Financial Resources
   (1) Agency business need (budget)
2. Appropriate Market Rate
   (2) Journey market rate guidelines/market reference rate guidelines
   (3) Market dynamics
3. Internal Pay Alignment
   (4) Internal pay alignment (equity)
   (5) Current salary and total compensation
4. Required Competencies
   (6) Minimum qualifications for class
   (7) Knowledge, skills, and competencies
   (8) Related Education and experience
   (9) Duties and responsibilities
   (10) Training, certifications, and licenses                      27
                   Career Development
   What is the organizational need?
   What employee attributes could be developed
    to accomplish the above?
   What area(s) does employee wish to improve?
   Are these required of current position/work
   Are training resources available within a
    reasonable time frame?

      March 2006                             28
             Employee’s Role
     Take a greater responsibility for career

     Develop competencies and skills that are
      valued by the organization

     Contribute to the accomplishment of the
      organization’s mission through continued
      demonstration of competencies

March 2006                                       29
                  Good for the Employee….
   Rewards for competencies developed and
    demonstrated on the job
   Focus on achieving personal growth in
    competency rather than moving to higher
   More opportunity for salary increases as
    needed competencies are demonstrated
   Better opportunity to develop a career path
    within state government
     March 2006                               30
                   Management’s Role
   Provide opportunities for employees to develop
    competencies and skills that are valued by the
   Assess employee competencies
   Apply the pay factors in determining and managing
    employees’ pay
   Base pay decisions on business needs of the organization
   Justify and document pay decisions ensuring fairness
   Advise employees on career development opportunities
   Recruit and select based on needed competencies
      March 2006                                         31
                   Good for the Manager….
   Workforce planning to suit business needs
   Flexibility when recruiting and staffing
   Ability to better plan for training needs
   Budget planning is based on real market data
   Employees paid above/below market are obvious
   Compensation decisions are based on employees’
    relative market value
   Responsible and accountable for pay decisions
   Focus on appropriate pay versus justifying a
    classification level
      March 2006                                 32
             HR’s Role
   Orient management and employees
   Train and consult with managers on
    competency and compensation issues
   Guide management in implementing
   Evaluate changes in labor market
   Monitor the management of pay
   Establish and communicate a dispute
    resolution process
March 2006                                33
             OSP’s Role
               (In conjunction with Agencies and Universities)

  •   Lead and manage the Career-Banding process
  •   Establish job family structure and banded pay
  •   Establish market rates and salary guidelines
  •   Provide labor market information to A/U’s
  •   Monitor for fairness and consistency in Career
      Banding implementation
  •   Provide training and consultation
March 2006                                                       34
             Helpful Hints for
     When completing an application be sure
      your work history includes examples of
      work demonstrating the required
      competencies posted.
     Co-create a meaningful work plan with
      your manager in order to enhance your
      abilities as they relate to the business
      need of the work unit.
March 2006                                 35
             For More Information….

     Visit the OSP Website

     Talk with your manager or supervisor

     Contact your Human Resources Office

     Click here to link to some Frequently Asked
March 2006                                      36

To top