How would you relate skill variety, job rotation, and skill-based pay?
These represent three ways in which the organization can promote development of relevant skills among its employees.
Skill variety refers to the degree to which a job requires a variety of different activities tapping different abilities and skills. This primarily involves the relationship between the employee and his or her job and is an individualistic method of enhancing intrinsic motivation.
Job rotation involves the periodic shifting of an employee from one task to another with similar skill requirements at the same organizational level. The strengths of job rotation are that it reduces boredom, increases motivation, and helps employees better understand how their work contributes to the organization. An indirect benefit is that employees with a wider range of skills give management more flexibility in scheduling work, adapting to changes, and filling vacancies.
Skill-based pay is an alternative to job-based pay that bases pay levels on how many skills employees have or how many jobs they can do. For employers, the lure of skill-based pay plans is increased flexibility of the workforce: staffing is easier when employee skills are interchangeable. Skill-based pay also facilitates communication across the organization because people gain a better understanding of each other's jobs. However, people can earn all the skills the program calls for them to learn and then become frustrated when the challenges, learning, growth, and continual pay raises come to an end.