Job evaluation is an important exercise in any organization today which determines the value/worth of a job in totality with respect to other jobs in an organization. One of the most basic and simple method of doing it is the ranking method.
In a ranking method, jobs are arranged in order of their value or merit to the organization. Accordingly the jobs at the top of the list provide more value to the organization and its relative importance keeps decreasing as we move down the list.
The 'worth' of a job is usually based on judgments of:
Effort (physical and mental)
It has often been seen that due to its simplistic nature, this method works well for small organizations but is not very effective for big organizations where the jobs are large in number and thus this becomes a complex process.