Salary survey methods: Comparability problems

Snelga , R. J. A icle Sala y su ey me hods: Compa abili y p oblems Sou h A ican Jou nal o Business Managemen P o ided in Coope a ion wi h: Uni e si y o S ellenbosch Business School (USB), Bell ille, Sou h A ica Sugges ed Ci a ion: Snelga , R. J. (1986) : Sala y su ey me hods: Compa abili y p oblems, Sou h A ican Jou nal o Business Managemen , ISSN 2078-5976, A ican Online Scien i ic In o ma ion Sys ems (AOSIS), Cape Town, Vol. 17, Iss. 3, pp. 169-173, h ps://doi.o g/10.4102/sajbm. 17i3.1052 This Ve sion is a ailable a : h ps://hdl.handle.ne /10419/217939 S anda d-Nu zungsbedingungen: Die Dokumen e au EconS o dü en zu eigenen wissenscha lichen Zwecken und zum P i a geb auch gespeiche und kopie we den. Sie dü en die Dokumen e nich ü ö en liche ode komme zielle Zwecke e iel äl igen, ö en lich auss ellen, ö en lich zugänglich machen, e eiben ode ande wei ig nu zen. 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Snelga Depa men o Indus ial and O ganiza ional Psychology, Uni e si y o Po Elizabe h, Po Elizabe h Mos o ganiza ions ega d he accu a e de e mina ion o p e ailing labou ma ke a es as being o p ima y impo ance o decisions ega ding he se ing o compe i i e wage and sala y le els. The echniques in ol ed in es ablishing hese a es a e augh wi h p oblems, mainly e ol ing a ound e o s a ob aining compa abili y. Jus i ica ion has been p o ided o o ganiza ions using ailo -made su ey app oaches in p e e ence o p o essional o 'comme cial' su eys, as his allows educ ion o a minimum o such compa abili y p oblems as hose associa ed wi h job desc ip ion esponsibili ies, and compensa ion mix. This s udy e eals he ex en o which a single pay s uc u e ecei ed di e ing adjus men s as a esul o analysis o da a ob ained om a ailo -made su ey app oach as opposed o ha ob ained om a 'comme cial' su ey. Resul s indica e signi ican di e ences in adjus men s o e a h ee-yea su ey pe iod, a ibu able essen ially o he wide ange o compa abili y di icul ies associa ed wi h use o 'comme cial' su ey da a. S. A . J. Bus. Mgm . 1986, 17: 169-173 Die mees e onde nemings beskou 'n akku a e bepaling an bes aande a beidsmag a iewe as an p ime e belang i beslissings akende die s el an mededingende loon- en sala is lakke. Die egnieke be okke by die ass elling an hie die a iewe is belaai me p obleme wa hoo saaklik sen ee om pogings om e gelykbaa heid e bekom. Daa bes aan eg e diging i onde nemings wa sel on wikkelde opnames bo 'komme siele' opnames e kies. Die ede hie oo is da sel on wikkelde opnames e gelykbaa heids- p obleme in e band me posbesk ywings e an woo delik- hede en e goedingsmoon likhede o 'n minimum bepe k. Hie die s udie oon die ma e waa oe e skillende aanpassings aan 'n enkele be alings uk uu gemaak is, geg ond op on ledings an da a bekom ui 'n sel on wikkelde opname in eens elling me da a e k y me 'n komme siele opname. Be indinge oon beduidende e skille in aanpassings oo 'n d ie-jaa -opnamepe iode wa hoo saaklik oegesk y kan wo d aan die wye eeks e gelykbaa heidsp obleme wa e band hou me geb uik an da a e k y me 'n 'komme siele' opname. S.-A . Tybk . &ld y sl. 1988, 17: 189-173 R.J,Snelp Depa men o Indus ial and O ganiza ional Psychology, Uni e si y o Po Elizabe h, P .0. Box 1600, Po Elizabe h, (l(XX) Republic o Sou h A ica Accep ed Feb ua y 1985 The eliance on sala y su ey da a as an aid in shaping compensa ion policies is inc easingly ecognized as being a highly p oblema ic me hod by compensa ion specialis s. Al hough 'compa able a es' a e a basic ac o i an o ganiza ion is in e es ed in ex e nal equi y as a pay c i e ion, p oblems wi h job compa isons, sala y a e ages, di e en sampling me hods, and widely di e ing me hods o analysing and in e p e ing sala y su ey da a can lead o unnecessa y pay s uc u e adjus men s (Belche , Fe is & O'Neil, 1982; Pe lin, Kaplan & Cu cia, 1979; Snelga 1984). Acco ding o Conway ( 1984), his is especially he case when o ganiza ions ely on sala y su ey da a p o ided by p o essional associa ions o consul ing i ms, due o he ange and a ie y o sala y da a p o ided o each job. The objec i e o any sala y su ey is o ensu e ha he o ganiza ion is paying compe i i e a es ha will enable managemen o a ac and e ain quali y indi iduals needed o be success ul. Howe e , he e a e many ac o s o he han pay which a ec abili y o a ac and e ain employees. These ac o s include p es ige, secu i y, g ow h oppo uni ies, and loca ion o men ion a ew. Thus, he alidi y o he su ey depends en i ely on he deg ee o job compa abili y, no only in e ms o pay, bu many o he ac o s anging om co po a e cul u e o objec i es o pay policy. Wi hou hese i al compa abili y ac o s aken in o conside a ion he su ey eally becomes meaningless (Be g, 1976). The p oblem o ob aining compa abili y is complica ed by di e si y in analysis and in e p e a ion o su ey da a (Milko ich & Newman, 1984). This may e lec he absence o a single co ec app oach, o ha compensa ion p o es- sionals ha e adjus ed hei analysis o deal wi h a a ie y o ci cums ances. Ce ainly, di e en app oaches o analysing and in e p e ing da a will p oduce a wide ange o possible esul s. A u he ac o which adds o he complexi y o he issue is ha i a la ge elemen o sampling, eco ding, and o he measu emen e o s a e added o he di icul ies o achie ing compa abili y, an o ganiza ion may jus as well se i s le els based on in o ma ion a ailable om i s expe ience in hi ing people. Some execu i es a gue ha pa ial in o - ma ion is be e han none. A coun e a gumen is ha inaccu a e sala y su ey da a a e wo se han none, because inaccu a e in o ma ion may esul in unwise pay policy s a egy. Fo example, a biased sample may use only da a om lowes paying o ganiza ions, and i pay policy is based on such a s udy wi hou aking his bias in o accoun , i will undoub edly se i s pay le el oo low (Nash & Ca ol, 1975). Resea ch in o hese compa abili y and ela ed p oblems has sugges ed ha he e a e e ec s on he o ganiza ion's 170 in e nal pay s uc u e and le els, and he me hods used o de ennine necessa y adjus men s. A Sou h A ican s udy e ealed ha an o ganiza ion's in e nal pay s uc u e ecei ed signi ican ly di e en adjus men s as a esul o applying h ee di e en su ey me hods o he same labou ma ke , o e a se en-yea pe iod (Snelga , 1984). O he s udies ha e e ealed ha o ganiza ions a e ecognizing he imp ac icali y o ying o ob ain accu a e, compa able da a on all a iables o be included, and a e a emp ing o a oid compa isons o speci ic jobs by looking a he en i e compensa ion pic u e o all jobs in pa icula unc ional o occupa ional a eas (Adelbe g, 1960; Elde , 1968; Fos e , Wajda & Lawson, 1961; Snelga , 1982). This app oach ecognizes ha em- ploye s may ailo jobs o he o ganiza ion o indi idual employee; a ely do se e al o ganiza ions ha e iden ical jobs. This esea ch has hus sugges ed ha mos sala y su ey sys ems do no p o ide enough con olled in o ma ion on all ele an a iables so ha hey can be elied on o aid in compe i i ely adjus ing indi idual job a es o o e all sala y le els. A pauci y o in o ma ion on he eliabili y and alidi y o su ey in o ma ion ends o suppo his conclusion. Wha does exis is qui e da ed and indica es ha less han 10% o su eys used ield in e iews o collec in o ma ion (Tolles & Raimon, 1952). Only 50% used job desc ip ions o ensu e compa abili y. Ano he s udy sugges ed ha when he ange o a es o a pa icula job exceeds 50% , he e is cause o be suspicious abou he quali y o in o ma ion (Ha ke , 1952). Howe e , in e iews wi h Sou h A ican compensa ion specialis s ha e e ealed ha mos o ganiza ions conduc ing hei own su eys use bo h ield in e iews and job desc ip- ions o ensu e a deg ee o job compa abili y. 'Comme cial' su eys ely on job desc ip ions as ield in e iews wi h all clien s would p o e oo ime-consuming and cos ly. Howe e , i is a ac ha he compa abili y p oblem exis s as a esul o di e ences in no only app oaches o how o es ablish job compa abili y, bu also di e ences in company compa abili y, compensa ion 'mix' compa abili y, unc ional compa abili y, and iming (Conway, 1984). These p oblems a e agg a a ed by he ac ha each di e en su ey me hod sugges s a di e en se o guidelines as o how o deal wi h each p oblem. I has ecen ly been sugges ed ha his compa abili y dilemma s ems om he sho comings o p o essional o 'comme cial' sala y su eys (Conway, 1984; Milko ich & Newman, 1984). By unde s anding hese sho comings, he compensa ion specialis can de ise cus om su eys ha p o ide ealis ic compa isons. The esul o his ailo -made app oach may be a su ey wi h much less da a o each su ey job, and which will compa e compensa ion in i s en i e y, and p o ide a basis o annual e inemen . A s ong a gumen in a ou o his app oach has been p o ided by Belche , e al. (1982) who, in hei esea ch conce ning he analysis o da a ecei ed by o ganiza ions om 'com- me cial' su eys, ound no commonali y in me hods o analysis by indus y, company size o union p esence. Belche , e al. concluded ha his di e si y in analysis o su ey da a is a esul o he di e si y and amoun o da a p esen ed o analysis. This p oblem is compounded by he numbe o su eys conduc ed, which b ings o mind wo ds such as 'deluge' (G igsby & Bu ns, 1962) and 'su eyi is' (Engelke, 1972). ~owe e , he ailo -made app oach en ails high cos s (G ipby & Bu ns, 1962), and may be imp ecise and poo ly :S.·A . Tydsk . Bcd y sl. 1986, 17 (l) designed, which in um could lead o inadequa e in e p e. a ion o da a. Conway (1984) a gued in a ou o he ailo - made app oilch on cos g ounds, sugges ing ha su ey cos s may well be o se by he possibili y o cos s linked o unwise pay s uc u e adjus men s as a esul o 'comme cial' su eys. Fu he , he majo ad an age o he ailo -made app oach is ha i can be ailo ed o accommoda e he company's unique needs comple ely. Les e 's s udy (1967) indica ed ha o e 50% o esponding o ganiza ions used he ailo -made app oach, bu o en as a supplemen a ion o o he s. S ock on (1959) ound ha size, loca ion, and plan ype we e ela ed o whe he o ganiza ions conduc ed hei own su eys o had su eys made by ou side associa ions. S a is ics ela ing o he numbe o Sou h A ican o ganiza ions pa icipa ing in one 'comme cial' su ey e eal ha da a a e supplied by 211 o ganiza ions, 32 o hem in he Financial Mail's op hund ed companies (Biesheu el, 1985). An ea lie Sou h A ican epo (FSA, 1984) has e ealed ha du ing 1984 o e 700 o ganiza ions emb acing a a ie y o indus ies and geog aphical a eas submi ed da a o one pa icula 'comme cial' su ey o ganiza ion, and used such su ey esul s o possible compe i i e adjus men s o pay s uc u es. O hese o gani- za ions only 25% used a ' ailo -made' app oach o ensu e indi idual o ganiza ional compa abili y in conjunc ion wi h 'comme cial' app oaches. Ul ima ely hen, a ious esea ch has led o he ques ioning o su ey me hods in e ms o p o isions o eliable sala y da a due o lack o job compa abili y o indi idual o gani- za ions. The Sou h A ican s udy ha e ealed he ex en o which h ee basic su ey me hods we e used o ga he and analyse da a ha led o signi ican di e ences in he al e a ion o one o ganiza ion's pay s uc u e, lends s ong suppo o his c i icism (Snelga , 1984). This s udy aims a highligh ing he abo e-men ioned su ey and compa abili y p oblems e en u he by assessing he ex en o which 'comme cial' su ey da a di e ed in i s e ec on pay s uc u e adjus men s when compa ed wi h adjus men s acco ding o a ' ailo -made su ey' app oach. In sho , his s udy emphasizes he di icul ies associa ed wi h selec ing om a 'comme cial' su ey sala y da a which may be ega ded as ep esen a i e o jobs which a e compa able wi h hose su eyed by a ailo -made su ey app oach de eloped o a pa icula o ganiza ion. Me hod Adjus men s o he pay s uc u e o a la ge na ional o ganiza ion we e made acco ding o sala y su ey da a p o ided by bo h a ' ailo -made' su ey me hod and da a ob ained om a 'comme cial' su ey. The ' ailo -made' su ey me hod has been de eloped o he o ganiza ion in ques ion a e ex ensi e esea ch in o a ailable su ey me hods and he compa abili y needs o his pa icula o ganiza ion had been comple ed (Snelga , 1979; 1982.) In o de o de elop his me hod i was necessa y o mo~e away om indi idual job compa isons. This would esul JD a mo emen away om su eying o ac ual sala ies. Ra he , a echnique was de eloped which elied on compa isons. o comple e indi idual o ganiza ional pay s uc u es which would ensu e compa ison o all ele an 'going a es' in he o m o pay ange midpoin s applicable o espec i e ~y s uc u e g ades o hose o ganiza ions ega ded as bemg compe i i e wi hin he labou ma ke . In o de o make compa isons on his basis, i was n~ o 's anda dize' he pay s uc u es o all pa icipabDg S. A . J. Bus. Mgm . 1986, 17(3) o ganiza ions acco ding o he s uc u e o he su ey o ganiza ion. In his way each o ganiza ion's numbe o pay anges was eadjus ed in o de o ensu e ha he e was a uni o m numbe o anges o each o ganiza ion. This ensu ed ha he e was ange ma ching, and he e o e ange- o- ange compa isons which in um allowed midpoin compa isons. This was so because he midpoin is ecogniz.ed as he o ganiza ion's 'going- a e' o he g oup o posi ions, o jobs alling wi hin ha pa icula pay ange. As his is he case i becomes e iden ha midpoin compa isons hus allow, in e ec , compa isons o g oups o posi ions alling wi hin hose pa icula pay anges as ep esen ed by hose midpoin s. Compa isons o midpoin s o e o al pay s uc u es hus allow compa isons o going a es e lec ing all posi ions wi hin each o ganiza ion. Sala y da a collec ion in ol es colla ion o pa icipa ing o ganiza ions' midpoin alues a he han key job ac ual sala ies. Ma ke pay ange going a es a e hen calcula ed as a e ages o hese s anda dized pay ange midpoin s. Sala y su eys we e conduc ed acco ding o his 's anda - dized' pay s uc u e compa ison app oach du ing yea s 1982 and 1984, and ma ke pay cu e end lines es ablished acco ding o sala y da a hus ob ained. O ganiza ions pa icipa ing in he su eys we e he 16 o ganiza ions o ming he su ey communi y applicable o he o ganiza ion conduc ing such su eys. The 'co e' o his su ey communi y was o med by he ou majo oil indus y o ganiza ions, all compe ing o labou skills on a na ional labou ma ke basis. The o ganiza ion conduc ing abo e-men ioned su eys was one o hese o ganiza ions, and selec ed he emaining pa - icipan s on he basis o labou skills equi emen s on a na ional le el. In sho , hese o ganiza ions compe ed o simila labou skills om he na ional labou ma ke , and we e u he mo e compa able in e ms o compensa ion 'mix' ac o s ( di e ences in sala y e sus bene i s compensa- ion), size and asse conside a ions, and unc ional ac o s (di e ences in esponsibili ies o ma ching jobs). Sala y da a we e also d awn om su eys conduc ed o he same pe iod by a comme cial su ey o ganiza ion, and co esponding ma ke pay cu e end lines es ablished acco dingly. Ca e was aken o ensu e ha su eys co es- ponded in e ms o iming. These su ey o ganiza ions conduc su eys on behal o clien s, and ga he da a on a na ional basis, d awing om o ganiza ions in all indus ies, and co e ing all possible 'key' jobs wi hin he hypo he ical posi ion hie a chy. Sala y de ails a e collec ed o each posi ion acco ding o 'key' job desc ip ions p o ided by he comme cial o ganiza ion. These key jobs ha e been de ined as e e ence poin s ep esen ing he en i e job s uc u e unde s udy, wi h a sizable p opo ion o he wo k o ce being employed in hem. The con en s o hese jobs a e ela i ely s able and well known, wi h ma ke supply and 171 demand also ela i ely s able. Da a a e p esen ed o clien s in a bi-annual epo , b oken down o basic and o al pay acco ding o sex and ace o wo ke s, indus ial sec o , indi idual jobs, as well as main unc ional ca ego ies, on a na ional basis as well as egional a eas, wi h means, medians, s anda d de ia ions, and quan- i ies gi en. Key jobs a e de ined o compa ison pu poses, and job e alua ion is used o i he jobs in o a hie a chy o g ades o e e ence pu poses. Sala y da a ep esen ac ual sala ies o indi idual key jobs, a he han midpoin s. The sala y da a p o ided by he comme cial su ey we e analysed o he sample o key jobs used in he ailo -made su eys, d awn om he s anda dized pay anges. This sample anged om unskilled o senio managemen le els, hus d awn om he en i e job s uc u e ange. The analysis p ocedu e used o es ablish he ma ke pay cu e, ange midpoin s, and p og ession a es was iden ical o ha used in he ailo -made su ey. This was done o ensu e ha disc epancies in ma ke pay cu e end lines could no be a ibu ed o di e en app oaches o da a analysis. The ma ke pay cu e end line alues we e used o calcula e pay ange midpoin alues o he numbe o g ades applicable o he ailo -made su ey o ganiza ion. This o ganiza ion has a pay s uc u e consis ing o 24 pay g ades. Resul s In o de o acili a e compa ison o indi idual job disc e- pancies, aw sco e sala y da a ep esen ing a e ages o each ange o key jobs pe g ade ha e been p o ided in Table 1. These aw sco e a e ages a e p o ided as i is no p ac ical o p o ide sala y da a o each job o each su ey. Howe e , Table 2 p o ides examples o such indi idual key job da a d awn om di e en le els o he pay s uc u e. This able allows compa ison o deg ee o disc epancy due o indi idual job incompa abili y. The midpoin s o each sala y ange/g ade calcula ed acco ding o his aw da a o each su ey a e ep esen ed in Table 3. These midpoin alues ep esen he ma ke pay cu e alues as de i ed om each se o sala y da a p o ided by espec i e su eys. In o de o p o ide a compa ison o deg ee o a iance, o de ia ion, be ween espec i e pay cu es o each su ey yea , pe cen age di e ences a e ep esen ed in Table 4. Adjus men s o pay cu es a h ee di e en le els a e compa ed acco ding o each su ey and each yea . These compa isons in e ec allow a compa ison o di e en adjus men s o he o ganiza ion's pay s uc u e as a whole, as necessi a ed by each su ey. These ma ke pay cu es a e compa ed on h ee di e en le els, as pe calcula ed p og ession a es, and basically ep esen lowe , middle, and uppe le els o he posi ion hie a chy. Table 1 Pay g ade aw sco e da a: a e age mon hly base sala y in and Su ey Su ey Payg ade Yea Type 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Mean 1982 T-M 260 322 331 429 499 551 693 771 910 1027 1069 1294 1333 1569 1671 1693 1731 2055 2263 2495 2639 3100 3969 4201 1536 COM 295 340 420 465 555 673 729 831 / 7 1111 1210 1301 1501 1553 10 1999 2234 2365 2546 3111 3599 4244 459"2 5130 1817 1!184 T-M 390 465 520 563 666 744 834 970 1113 1200 1301 1490 1650 1750 2101 2153 2494 2605 2763 2991 3777 4360 480'2 5425 1964 COM 423 501 sss 636 701 865 951 1201 1300 1414 1S1S 1699 1798 20!10 2200 2550 2891 2990 3426 3926 4499 5155 SW1 67~ 2331 T-M • Tailo -made; COM • Comme cial 172 Such p~ion a es indica e a e o p og ession om one pay ange midpoin o he nex , and wi hin hemsel es p o ide a u he basis o compa ison. Compa isons o hese p og ession a es a e p o ided in Table 5, wi h di e en le els ep esen ing pay g ades 1 o 9 (labou e o cle ical), g ades 9 o 18 ( cle ical o supe iso y and lowe manage- men ), and g ades 18 o 24 (middle managemen o senio managemen ). A inal compa ison e ealing he cumula i e e ec s o adjus ing he pay s uc u e acco ding o ' ailo -made' e sus 'comme cial' su eys is ep esen ed in Table 6. This able e eals ex en o desc epancies in e ms o o e all upwa d mo emen o e he en i e pay cu e om 1982 o 1984, using he same pay cu e in 1982 as a base, and adjus ing such cu e acco ding o espec i e su ey da a. Discussion The analysis o aw sco e da a clea ly e eals widely di e ing a es ob ained by he espec i e su eys o many o he key jobs. These disc epancies a e pa icula ly no ice- Table2 Compa ison o indi idual job sala y da a: mon hly base sala y in and Su ey me hod/Su ey yea Sala y Posi ion 1982 1984 g ade i le T-M COM T-M COM 1 Labou e 200 210 265 286 2 A isan's helpe 300 313 3'17 425 3 Chau eu 329 415 435 564 4 Copy ypis 420 434 556 590 5 ae k 500 540 662 734 6 S o eman 562 604 744 821 7 Senio cle k 693 729 917 991 8 P og amme I 771 831 1020 1130 9 P og amme II 904 912 11'17 1240 10 Sales ep esen a i e 1020 1212 1276 1555 11 Analys 1069 1292 1337 1657 12 D augh sman 1291 1403 1615 1800 13 Dis ic manage 1402 1559 1754 2000 14 Legal Ad iso 1570 1692 1964 2170 15 Pe sonnel manage 1699 1799 2125 2308 16 Da a p ocessing manage 1798 1999 2249 2564 17 P ojec enginee 1731 2234 2165 2866 18 T easu e 2055 2365 2571 3034 19 Sys ems manage 2263 2546 2903 3774 20 Assis an inancial manage 2495 3111 3201 4044 21 Regional manage 2639 3698 3386 ~ 22 Accoun ing manage 3100 4123 3977 53(i() 23 Managemen manage 3969 4693 5()CJ2 6101 24 Ma ke ing manage 4201 5130 5390 6669 T-M = Tailo -made; COM = Comme cial S.-A . Tydsk . Bed y sl. 1986, 17 (3 ) able a he highe le els o he job hie a chy, ep esen ed by pay g ades 9 o 18, and in pa icula pay g ades 18 o 24 which ep esen uppe managemen posi ions. Disc epancies a he lowe le els o he job hie a chy a e also e iden bu a e no as p ominen and a ying. This may be as a es ili o he ela i ely easie p ocess o desc ibing and ma ching SUCh jobs. The abo e-men ioned disc epancies ha e led o signi ican di e ences in he midpoin alues applicable o he espec i e su ey ma ke pay cu es. These midpoin alues ha e been ob ained o each pay ange subsequen o end line analysis o each su ey sca e g am. These calcula ions ha e educed he impac o widely di e ing indi idual job pay a es e idenced in Tables 1 and 2 as he pay cu es mus ha e ela i ely uni o m p og ession a es om one pay ange Table4 Compa ison o ma ke pay end line alues: pe cen age a iance Su ey yea G ades 1982 1984 1- 9 10,9 12,6 9-18 12,2 15,7 18-24 19,1 20,7 Table5 G ade- o-g ade p og ession a es: pe - cen age p og ession Su ey yea / su ey me hod 1982 1984 G ades T-M COM T-M 1- 9 17,0 16,3 14,0 9-18 9,5 10,3 9,9 18-24 12,7 13,8 13,0 T-M = Tailo -made; COM = Comme cial Table& Compa ison o ma ke pay cu e mo emen s: pe cen- age mo emen 1982-1984 Su ey ype G ades T-M COM 1- 9 32,4 36,0 9-18 25,l 28,3 18-24 28,3 30,0 T-M = Tailo -made; COM = Comme cial COM 15,1 9,7 14,6 Table3 Ma ke pay cu e end line alues: midpoin mon hly base sala y in and s-, Su ey Pay g ade Yea Type 2 3 4 s 6 7 8 9 10 11 12 13 14 1S 16 17 18 19 20 21 22 23 24 Mean 1982 T-M 2 iO 3u4 3S6 416 487 S68 664 m 910 996 l(IIJ() 1193 1306 1430 1S65 3310 3729 47D1 1544 1713 1875 2055 2315 2608 2938 COM 295 343 399 464 S40 628 730 849 987 1~ 1199 1321 1456 1604 1768 3964 4S10 5130 l'l!lO 1948 2147 2365 2690 3060 3484 1984 T-M 390 445 sm S78 659 751 856 976 1113 1223 1344 1477 1623 1784 2605 2944 3327 37S9 4248 ~ 5425 1971 19<JO 2155 2368 COM 423 487 5'iO 644 741 853 982 1130 1300 1426 1S64 1716 1882 2065 2990 3102 3969 4233 4991 6304 67(/J 2317 2265 2485 m , T-M • Tailo -made; COM• QJmmen:w s. A . J. Bus. Mgm . 1986, 17(3) midpoin o he nex . Howe e , he e ec s o hese posi ional aw da a disc epancies on midpoin s is clea ly e iden in Table 3. Once again he g ea es e ec s a e e iden a he highe le els o he pay s uc u e, which will p o e mos cos ly o he o ganiza ion. As men ioned, midpoin calcula ions p o ide p og ession a es o each ma ke pay cu e, ep esen ing he slope o such cu es o a e o p og ession om midpoin o midpoin . The pe cen age di e ences calcula ed o e he h ee le els o he pay cu e, and he di e ences in he p og ession a es hemsel es, u he highligh he p oblem o di e ing adjus men s o he o ganiza ion's pay cu e p edica ed by each su ey. Ine i ably hese disc epancies will a ec he cumula i e e ec s on he o ganiza ion's base wage bill. We may de e mine, o example om Table 6, ha wide disc epancies exis ed in ma ke pay cu e adjus men s om 1982 o 1984. The o ganiza ion would ha e had a much highe basic wage bill should i ha e chosen o adjus i s own pay cu e acco ding o ma ke pay cu es de i ed om he 'comme cial' su ey da a analysis as opposed o hose de i ed om i s own ailo -made app oach. Conclusion The esul s o his s udy ha e emphasized he possible e ec s associa ed wi h compa abili y p oblems in sala y su eying by e ealing he ex en o disc epancies be ween su ey da a ob ained om comme cial su eys e sus da a ob ained om ailo -made su eys, and esul an e ec s on a single pay s uc u e. These disc epancies sugges he need o an app oach which allows as much con idence in s uc u e adjus men s as is possible h ough educ ion o compa abili y p oblems. Some esea ch has sugges ed ha in o de o educe hese p oblems o a minimum, an al e na i e o comme cial su eys is o he o ganiza ion o design and conduc i s own sala y su ey (Conway, 1984; Fielde , 1982; Milko ich & Newman, 1984). This ailo -made app oach educes pos- sibili y o compa abili y p oblems o a minimum because he scope, de ini ions, and me hodology o he su ey would be de e mined on he basis o he o ganiza ion's own pa icula equi emen s and he cha ac e is ics o a eal compe i i e job ma ke . Such su eys will hen on his basis be able o compa e compensa ion in i s en i e y, co e ele an managemen g oups in compa able o ganiza ions, and p o ide a basis o annual e inemen and con inuing su eys o many yea s. The esul o his ailo -made app oach may be a su ey wi h much less da a; pe haps a dozen o ganiza ions ins ead 173 o he hund eds su eyed by majo 'comme cial' su ey o ganiza ions, wi h less 'dis o ing' ac o s associa ed wi h a o emen ioned compa abili y ac o s. The su eying o pay g ade midpoin s which ep esen se ies o job clus e s may u he alle ia e he job compa abili y p oblem associa ed wi h su eying he many ac ual sala ies, as is he p ac ice by 'comme cial' su eys. 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