Compare Job Based and Person Based Structures as to which ap

Compare Job Based and Person Based Structures as to which approach appears to have a stronger motivational effect on employees?

Solution

Job-based structure pays employees for the job they do and are assigned regardless of what skills they possess. On the other hand person based structure pays for the skills acquired by the individual even if the job he is assigned to does not require those skills. In the job-based structure the employees seeks promotion for increase in the pay whereas in the person-based structure the employee will seek to get new skills and competencies to make them more competitive and get a hike in pay. The advantage of job-based structure is that employees have clear expectations and a sense of progress and they are paid on the value of work performed. On the other side person based structure provides employees continuous learning, flexibility, lesser workforce and lateral movement between different processes. The stronger motivational effect will depend on the system and environment. Though the employee will expect continuous growth according to the work value performed by him but he also wants to be differentiated on the basis of skills possessed.