Download - Stanford Job Classification Initiative
Job Classification Initiative
UHR Compensation Team
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Contents
• Initiative Background
• HR Efficiency Task Force & Provost
• Recommendations
• Successful Outcomes
• Who’s Working on the Initiative
• Projected Timeline
• Roles/Responsibilities by Project Phase
• Example – New Job Classification Process
Background/Goals/
Roles by Project Phase
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• Current Classification and Pay System (Non-Academic, Non-Bargaining Unit )
• In place since 2000, designed to allow maximum flexibility to determine
employee’s job classification and administer pay accordingly
• Feedback from HR Efficiency Task Force & Provost
• Current system & its administration viewed as complex and bureaucratic
• Inconsistent job classification decisions
• Lack of understanding and trust in current approach
• Tough for employees to navigate their careers
• No perceived connection to competitive market pay
• Job Classification Initiative
• Multi-year initiative to improve current system launched in Nov. 2011
Background– Why Are We Doing This?
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• Job Descriptions
• Standardize job descriptions and predetermine salary grade for each job description
across the University
• Successful Outcome - Improve efficiency by eliminating time spent writing
individualized job descriptions and ensuring consistent salary grade application
across University
• Job Classification System
• Implement a new system whereby each job will be assigned to a salary grade based on
the midpoint that is closest to the job’s market rate
• Successful Outcome - Simplify system and its administration to be clear and
straightforward
• Salary Range Structure
• Replace our current salary range structure with a structure based on midpoints tied to
the external job market
• Successful Outcome - Provide clear connection to competitive market pay
• Clarity/Transparency of Career Levels/Progressions
• Increase understanding of career paths
• Successful Outcome - Improve employee engagement
Recommendations – HR Efficiency Task Force & Provost
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Who’s Working On This Initiative?
Job Classification
Initiative
UHR Compensation Project Team
Member SoM Compensation
Staff Project Team
Member
SLAC Compensation
Staff Project Team
Member
Managers (Subject Matter
Experts)
HR Managers
Advisory Group
Towers Watson
Consulting
Project Team Senior
Leadership
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New Features • Standardized job descriptions
with predetermined salary grades
for consistency
• Standardized job descriptions will
be available in an on-line library
for easy access
• Salary grade of the job will be
predetermined and indicated on
the job description
• Salary ranges with midpoints
representing external job market
• More career path tools and
information available to
employees and managers
Discontinued Features • Position Summary Form
• A,P, M job grades and ranges
• HRMs grading jobs; will continue
to consult with managers on staff
placement in jobs
Note: • No decrease in salary due to
implementation
• Working titles can remain the
same
Once Implemented–What Can Employees/Managers Expect?
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Job Classification Initiative Timeline (Projected)
Phase 1
Job Description Development
Nov 2011 –
Nov 2012
Phase 2
Set Market Analysis
Foundation
Sept - Dec 2012
Phase 3
Conduct Market Analysis
Dec 2012 -
May 2013
Phase 4
Design Salary Structure & Career Path Descriptions
May - Nov 2013
Phase 5
Prepare to Implement
Nov 2013 -
Feb 2014
Phase 1
Job Description
Development
Nov 2011 – Nov 2012
R O L E S
A C C O U N T A B I L I T I E S
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Project Team/Consultants • Develop job description
template, writing guide
• Draft job descriptions and
collaborate on revisions
• Facilitate focus group meetings
• Finalize job descriptions based
on feedback from managers, HR
staff and team members
Managers • Review draft job descriptions
• Validate job descriptions at focus group
meetings
• Validate final job descriptions
Phase 1: Roles and Accountabilities
Advisory Group • Hold initial meeting, discuss
role and validate project plan
and communication plan
HR Staff • Forward existing job descriptions to
Compensation
• Recommend managers for focus groups
• Validate job descriptions at focus group
meetings
• Keep managers and employees informed
of initiative
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Job Purpose • Overall purpose of job, why the
job exists
Core Duties • Those that are essential to
perform job and take 10%+ time
in job
Minimum Requirements • Education, experience,
knowledge, skills, abilities,
certificates, licenses
Working Conditions • Typical work environment for the
job
Physical Requirements • Aligned with essential
duties/functions of the job
Work Standards • Required standards (e.g.,
expected to comply with all
applicable University
policies/procedures)
New Job Description Template Features
Phase 2
Set Market Analysis
Foundation
Sept – Dec 2012
R O L E S
A C C O U N T A B I L I T I E S
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Project Team/Consultants
• Facilitate and participate in
meetings to review and confirm
Stanford’s compensation
philosophy and market pricing
guidelines
• Draft compensation philosophy
and market pricing guidelines
• Present compensation philosophy
and market pricing guidelines to
senior leaders for approval
Advisory Group
• Participate in the review and
validation of Stanford’s compensation
philosophy and market pricing
guidelines
HR Staff
• Keep managers and employees
informed of initiative
Phase 2: Roles and Accountabilities
Phase 3
Conduct
Market Analysis
Dec 2012 – May 2013
R O L E S
A C C O U N T A B I L I T I E S
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Project Team/Consultants
• Develop materials in support of
market matching sessions
• Facilitate market matching meetings
• Gather market competitive data for
matched jobs
• Review results of market data and
determine implications for salary
range structure design
Advisory Group
• Provide advice on process for market
matching sessions and assist in
driving participation as needed
Phase 3: Roles and Accountabilities
Managers
• Representative managers participate
in market matching sessions
HR Staff
• Recommend managers to attend
market matching sessions
• Representative HR Staff participate
in market matching sessions
• Keep managers and employees
informed of initiative
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What is Market Matching and Why Do It?
• Market Matching
• Employers match their jobs to similar jobs in salary surveys to gather market
data for their jobs
• Market data is then used to set pay to compete in the job market to attract and
retain staff
• Market Matching Meetings
• As part of this initiative, we will facilitate meetings with managers and HR Staff
to match Stanford jobs to similar jobs in salary surveys
Matching Stanford Jobs to Market (Salary Surveys)
Phase 4
Design Salary Structure
& Career Path
Descriptions
May – Nov 2013
R O L E S
A C C O U N T A B I L I T I E S
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Project Team/Consultants • Develop new salary ranges and
assign jobs to new grades
• Determine impact of new salary
ranges on employee pay
• Develop career path descriptions
• Facilitate working sessions to validate
grade assignments and career path
descriptions
Managers • Participate in working sessions to
validate grade assignments and
career path descriptions
Phase 4: Roles and Accountabilities
Advisory Group • Provide feedback on salary range
structure, grade assignments and
validate career path descriptions
HR Staff • Participate in working sessions to
validate grade assignments and
career path descriptions
• Keep managers and employees
informed of initiative
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• Salary Structure
• Salary ranges based on market
data collected for Stanford job
matches to similar jobs in salary
surveys in Phase 3
• Each job assigned to salary grade
with midpoint that is closest to
market rate
• Grade Levels
• Determined centrally for each
Stanford job based on market data
Example – New Salary Structure and Grade Levels
Salary Structure (Illustration Only)
Grade Minimum
$
Midpoint
$
Maximum
$
12 177,000 239,000 301,000
11 151,000 196,000 242,000
10 125,000 163,000 200,000
9 105,000 136,000 168,000
8 87,000 113,000 139,000
7 74,000 94,000 115,000
6 63,000 80,000 98,000
5 54,000 68,000 81,000
4 47,000 59,000 71,000
3 41,000 51,000 62,000
2 35,000 44,000 53,000
1 30,000 38,000 45,000
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• Each job assigned to salary
grade with midpoint that is
closest to market rate
(Illustration Only)
Salary Structure (Illustration Only)
Grade Minimum
$
Midpoint
$
Maximum
$
12 177,000 239,000 301,000
11 151,000 196,000 242,000
10 125,000 163,000 200,000
9 105,000 136,000 168,000
8 87,000 113,000 139,000
7 74,000 94,000 115,000
6 63,000 80,000 98,000
5 54,000 68,000 81,000
4 47,000 59,000 71,000
3 41,000 51,000 62,000
2 35,000 44,000 53,000
1 30,000 38,000 45,000
Example – Assigning Grades to Jobs Based on Midpoints
Travel Agent 3
Market Rate = $90,000
Salary Grade = 7
Travel Agent 2
Market Rate = $60,000
Salary Grade = 4
Travel Agent 1
Market Rate = $46,000
Salary Grade = 2
Phase 5
Prepare to Implement
Nov 2013 – Feb 2014
R O L E S
A C C O U N T A B I L I T I E S
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Project Team/Consultants • Develop and finalize pay
administration guidelines,
implementation plan, and rollout
materials
• Partner with HR Staff to deliver
rollout materials to employees and
managers
• Update HRIS to reflect new job
codes, grades, and salary ranges
Managers
• Participate in focus groups to review
program guidelines and communication
materials
• Partner with HR Staff to deliver
communications to employees
• Provide employees with new job
descriptions and job grades
Phase 5: Roles and Accountabilities
Advisory Group • Give advice on draft pay
administration guidelines and
rollout materials
• Validate implementation plan
HR Staff
• Participate in focus groups to review
program guidelines and communication
materials
• Deliver communications/training to
managers and employees
• Keep managers and employees informed
of initiative