Directorate of distance education master of business administration


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HR Management-230113

Objectives of Merit Rating 
 
ӹ Administrative 
 
ӹ Personnel Development 


49
Administrative objectives 
 
ӹ Wage increase 
 
ӹ Promotion 
 
ӹ Selection and special assignment 
 
ӹ Training 
 
ӹ Transfer 
 
ӹ Discharge 
 
Personnel Development
a) 
Merit rating reveals deficiencies and gives opportunity to remove 
these defects.
b) 
Helps motivation by knowing one’s own performance and 
achievements 
c) 
Encourages persons to do better by getting recognition and 
reward of his good performance
d) 
Encourages a spirit of competitiveness to perform better.
e) 
Opportunity for self-development. 
JOB – EVALUATION AND MERIT RATING – DIFFERENCE 
1.  Job evaluation evaluates the job, merit rating the job-holder. 
2.  Job evaluation determines the relative worth of the job, whereas 
the merit rating determines the relative worth of the worker. 
3.  Job evaluation is made before selection procedure, whereas 
merit rating is done after placement. 
4.  Main objective of job evaluation is to establish equitable wage 
rate, whereas that of merit rating is the development of each 
worker. 

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