What are the tools, steps and purpose of job grading?

The tool is the Organization chart highlighting jobs to be evaluated.

The steps are: Documenting the jobs using the job evaluation tool, conducting an internal comparison of jobs to identify jobs which are similar nature, Identifying,obtaining approvals for the review as required by the company in question, communicating on the approvals from senior level managements, once all approvals are obtained the huma resources representative will make a formal communication to management, the company`s compensation department will review the information and generally provide a response within 10 working days.

The purpose of job grading to determine the value or worthiness of a job in relation to other jobs in an organization. It tries to make a systematic comparison between jobs to assess their relative worth for the purpose of establishing a rational pay structure.