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This document explains why managing employee data in Excel is difficult, the benefits of managing employee data, and key points for selecting a system to improve HR operations. It provides a detailed explanation of topics such as "the limitations of managing data on paper or in Excel" and "the benefits of centralizing employee data management." This is a useful read, so please take a look. 【Contents】 ■ Limitations of data management on paper or in Excel ■ The "three barriers" to employee data management ■ Benefits of centralizing employee data management ■ What to do in employee data management ■ Points to consider when choosing a system *For more details, please download the PDF or feel free to contact us.

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This document explains that the key point for improving the efficiency of personnel transfers is achieving "optimal placement." It provides a detailed explanation of "why personnel transfers are necessary" and "why personnel transfers take an enormous amount of time." The information is presented clearly by topic, making it a useful reference. We encourage you to read it. 【Contents (partial)】 ■ Concerns regarding personnel transfers ■ Why are personnel transfers necessary? ■ Why do personnel transfers take an enormous amount of time? ■ Reasons why personnel transfers are not efficient ■ Solutions for improving the efficiency of personnel transfers *For more details, please download the PDF or feel free to contact us.

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The main calculation logic for bonus decisions consists of three types: calculation method, point system, and fixed amount system. As a premise, the decision of whether to give a bonus or not, and how to determine the bonus, is entirely at the discretion of the company. Therefore, while I will introduce these three methods of bonus determination, there is no problem at all in using completely different methods for determining bonuses. On the other hand, the purpose of providing bonuses, or the objectives behind bonus distribution, is important. ▼If you want to know more about the personnel evaluation system▼ Please download the '【Complete Edition】HRBrain's Personnel Evaluation System Design Manual' from the link below!

• Personnel Information System

Performance-based pay and results-based pay are compensation methods known as "commission-based" that determine salaries based on performance and results. Performance and results are evaluated and reflected in the base salary. One advantage is that it increases motivation towards achieving results. A disadvantage is that it can make life less stable compared to job-based or role-based pay. ▼If you want to learn more about the principles of determining base salary▼ Please download the "Complete Guide to HRBrain's Personnel Evaluation System Design Manual" from the link below!

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Job-based and role-based pay are concepts associated with the job grade system and role grade system within a grading system. Since the base salary is determined by the job or role being undertaken, individuals in the same job or role will receive the same base salary. One advantage is that it creates motivation to aim for higher grades. A disadvantage is that, unlike age or length of service pay, it can make it slightly more difficult to achieve stability in living conditions. ▼If you want to learn more about the concept of base salary determination▼ Please download the "Complete Guide to HRBrain's Personnel Evaluation System Design Manual" from the link below!

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The functional salary is fundamentally a concept associated with the functional grading system, similar to age-based and length-of-service salaries within the grading system. However, instead of being based solely on age, it determines the base salary based on functional abilities, meaning that as job performance capabilities improve, the base salary increases. The functional salary needs to evaluate the individual's capabilities and reflect them in the base salary. Generally, a salary range is set for each grade, and the base salary is increased by the predetermined salary increment based on the level of evaluation. ▼ If you want to learn more about the concept of determining base salary ▼ Please download the "Complete Guide to HRBrain's Personnel Evaluation System Design Manual" from the link below!

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Age-based pay and length-of-service pay are concepts associated with the job grade system in the competency-based grading system, determining the base salary based on age and years of service. Since age-based pay and length-of-service pay are determined by the accumulation of age and years of service, independent of performance evaluations, there is no need to consider a connection with the evaluation system. One advantage of having age-based pay and length-of-service pay is that it contributes to a more stable living, which leads to long-term talent retention. A disadvantage is that salaries increase without any effort, and regardless of performance, age-based pay and length-of-service pay do not rise, making it difficult to motivate employees. ▼If you want to know more about the concept of determining base salary▼ Please download the "Complete Guide to HRBrain's Personnel Evaluation System Design Manual" from the link below!

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The main point is how to handle the base salary, bonuses, allowances, retirement lump-sum payments, and corporate pensions. In short, it can be summarized into one point: how to structure the components of wages. Within this, the main points in designing the personnel evaluation system are the base salary and bonuses. This is because the components of wages that may be linked to the grading system and evaluation system are the base salary and bonuses. This document will explain the main types of base salary determination and the types of bonus determination. ▼If you want to know more about personnel evaluation systems▼ Please download the '【Complete Edition】HRBrain Style Personnel Evaluation System Design Manual' from the link below!

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Even if you are designing an employee evaluation system in-house, we recommend consulting with a consulting firm or labor and social security attorney for the compensation system alone. This is because, in cases where salary reductions may occur as a result of designing the employee evaluation system, there is a risk of litigation, and if proper salary simulations are not conducted, it may become difficult to control labor costs. Our company offers consulting services for the design of compensation systems on their own, as well as consulting to identify concerns related to the system through salary simulations. ▼If you want to learn more about employee evaluation systems▼ Please download the "Complete Guide: HRBrain's Employee Evaluation System Design Manual" from the link below!

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"360-degree evaluation" is a method of assessing an individual from multiple perspectives, not only from their supervisor but also from subordinates, colleagues, and evaluations from other departments. It is mainly used for behavioral and emotional evaluations. Since it allows for the assessment of everyday behaviors that may not be visible to supervisors alone, it broadens the range of behaviors that can be evaluated. Additionally, because evaluations are conducted by multiple people, fairness and objectivity are generally enhanced. ▼ If you want to learn more about personnel evaluation systems ▼ Please download the '【Complete Edition】HRBrain's Personnel Evaluation System Design Manual' from the link below!

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In "Competency Evaluation," evaluation criteria based on behavioral traits are established, and the level of proficiency in those behavioral traits is assessed. It is mainly used for behavioral evaluation, ability evaluation, and emotional evaluation. There are two methods for creating evaluation criteria based on behavioral traits: one method uses the common behavioral traits of high performers as the evaluation criteria, while the other method involves creating a theoretical model for achieving results and using the necessary behavioral traits for executing that model as the evaluation criteria. ▼If you want to learn more about personnel evaluation systems▼ Please download the "Complete Guide to HRBrain's Personnel Evaluation System Design Manual" from the link below!

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Once you have decided what and how you want to evaluate, the next step is to select the evaluation method, which is "how to evaluate." Here, we will explain three representative evaluation methods. There is the "Management by Objectives (MBO)" method, which involves setting goals as a group or individually and evaluating based on the achievement rate and the process of achieving those goals. Additionally, there is the "Competency Evaluation," which sets evaluation criteria based on behavioral characteristics and assesses how well those characteristics are demonstrated. Furthermore, there is the "360-degree evaluation," which evaluates from multiple perspectives. ▼If you want to learn more about personnel evaluation systems▼ Please download the '【Complete Edition】HRBrain's Personnel Evaluation System Design Manual' from the link below!

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Regarding evaluation weights, if the desired behaviors for employees and the company culture we want to create are clear, we can decide without much hesitation. It is common to increase the evaluation percentage of results as one moves up the ranks, but if the intention is for higher levels to focus more on management, we could either raise the evaluation weight for management-related behaviors or incorporate the achievements of subordinates into the evaluations of their superiors, thereby increasing that evaluation weight. ▼If you want to learn more about the personnel evaluation system▼ Please download the '【Complete Edition】HRBrain Style Personnel Evaluation System Design Manual' from the link below!

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What kind of corporate culture do you want to create? This means envisioning the future behaviors you want from your employees. Considering what kind of company culture you want to build based on the actions of each individual employee is the key point in designing a personnel evaluation system that permeates the organization. There are several frameworks for thinking about organizational culture, and we select them according to our clients' needs. 【Competitive Values Framework】 ■ Innovation Culture: A culture that values cultural transformation and creativity. ■ Market Culture: A culture that values market competition (winning in the market). ■ Family Culture: A culture that values familial intimacy and a sense of camaraderie. ■ Bureaucratic Culture: A culture that values organizational stability and control. ▼ If you want to learn more about the evaluation system ▼ Please download the '【Complete Edition】HRBrain Personnel Evaluation System Design Manual' from the link below!

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The evaluation system is a management tool with strong authority. Employees generally perform their duties with the expectation of being evaluated, so the purpose of "what kind of behavior we want from employees" is clearly defined and reflected in the evaluation system. For a typical employee, two evaluation criteria can be considered: sales figures and KPIs (such as number of visits, number of proposals, number of orders) that contribute to generating sales. [Example for Sales Positions] ■ If you want them to generate sales figures through creative methods, - Focus on sales figures. ■ If you want them to visit each client properly and conduct sales according to a specific method, - Focus on KPIs that contribute to generating sales. ▼ If you want to know more about the evaluation system ▼ Please download the "Complete Guide to HRBrain's Personnel Evaluation System Design Manual" from the link below!

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The evaluation criteria can be broadly divided into four categories. To determine what to evaluate, two perspectives to consider are clarifying "what kind of behavior we want employees to exhibit" and "what kind of corporate culture we want to create." The "evaluation target" is created from "employee behavior" and "corporate culture," and we think about the "evaluation target" by working backward from the "employee behavior" and "corporate culture" we want to create. 【Evaluation Items】 ■ Performance Evaluation ■ Behavior Evaluation ■ Ability Evaluation ■ Emotional Evaluation ▼ If you want to learn more about the evaluation system ▼ Please download the '【Complete Version】HRBrain Style Human Resource Evaluation System Design Manual' from the link below!

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There are mainly two types of definitions for promotion: the graduation method and the admission method. For lower grades, the graduation method is often used, while for higher grades, the admission method is generally applied. Regarding demotion, situations such as "no improvement seen despite multiple improvement guidance from the company" or "being significantly inappropriate" can be considered. It is also important to determine the process by which the above judgments are made. If the decision is made solely by management, there may be dissatisfaction due to a lack of understanding from the field. Therefore, it is common to incorporate both field judgment and management judgment into the process. **[Definition of Promotion]** ■ Admission Method - Partially meets the expected roles of the next higher grade + fully meets the expected roles of the current grade ■ Graduation Method: Fully meets the expected roles of the current grade ▼ If you want to know more about the grading system ▼ Please download the '【Complete Version】HRBrain Style Human Resource Evaluation System Design Manual' from the link below!

• Personnel Information System

In the case of a competency-based grading system, it will specify "has the ability to do 〇〇"; in the case of a job-based grading system, it will specify "performs the job of 〇〇"; and in the case of a role-based grading system, it will specify "takes on the role of 〇〇." When specifying these details, it is necessary to choose words that are easy for employees to understand and that do not allow for different interpretations. It is also important to devise ways to avoid ambiguous interpretations. If the terms are not common language, there are options to either describe them more concretely or to deepen the understanding of each term through training and other means. 【Items to Specify】 ■ Competency-based grading system: has the ability to do 〇〇 ■ Job-based grading system: performs the job of 〇〇 ■ Role-based grading system: takes on the role of 〇〇 ▼If you want to learn more about grading systems▼ Please download the '【Complete Edition】HRBrain's Manual for Designing Performance Evaluation Systems' from the link below!

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As criteria for categorizing levels, there are factors such as seniority, skills, and roles. Let's define the classification of levels according to the grading system used. The number of levels is generally considered to be between 7 and 13, depending on the size of the company. Consider the hierarchical structure of positions in the current company along with the anticipated structure of positions in the future company, and choose the best number for your organization now and in the future. 【Levels】 ■ Less than 100 employees: 7-8 levels ■ 100 to less than 1000 employees: 9-11 levels ■ More than 1000 employees: 10-13 levels ▼ If you want to know more about grading systems ▼ Please download the '【Complete Version】HRBrain's Manual for Designing Performance Evaluation Systems' from the link below!

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The job grading system is a grading system based on the difficulty level of the tasks performed. It is known as a job-based grading system, which was originally mainstream in American companies, but has been increasing in Japan in recent years. Since it evaluates based on the type of job performed rather than abilities, salaries are the same if the same job is undertaken. Compensation is determined by the difficulty of the job, making it easier to establish, and it is suitable for developing specialists. 【Advantages】 ■ There is little fluctuation in labor costs ■ It is easier to hire talented individuals because the roles are clearly defined ▼ If you want to learn more about the job grading system ▼ Please download the '【Complete Edition】HRBrain's Manual for Designing Performance Evaluation Systems' from the link below!

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The competency level system is a grading system based on the job performance abilities acquired through years of service. The content of the requirements definition states "the ability to perform XX." To evaluate the ability to carry out various tasks developed through multiple departmental transfers, there may be differences in salary even if the same job is held. In terms of compensation, this system tends to follow a seniority-based structure and is suitable for developing generalists. It has advantages in securing talent for the long term and facilitating departmental transfers. 【Advantages】 ■ Long-term talent retention ■ Ease of departmental transfers ▼ If you want to know more about the competency level system ▼ Please download the '【Complete Edition】HRBrain's Manual for Designing Personnel Evaluation Systems' from the link below!

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This is an introduction to the risks that arise when a personnel evaluation system is not in place. In cases where there are more than 20 employees, there may not be immediate risks, but as the company grows, the risk of employee turnover arises. During organizational changes, the reform may only be superficial (soft aspects), and the changes do not become institutionalized. In the relationship between supervisors and subordinates, there is a risk that a system for responsibly developing subordinates will not be established. 【Risks】 ■ Risk of employee turnover ■ Reforms not being institutionalized ■ Lack of a development system ▼ If you want to learn more about personnel evaluation systems ▼ Please download the '【Complete Edition】HRBrain Personnel Evaluation System Design Manual' from the link below!

• Personnel Information System

If you want to create a hierarchical structure within an organization consisting of superiors and subordinates, establishing a personnel evaluation system is important. In the relationship between seniors and juniors, the act of taking care of juniors depends on the goodwill of the superior. By creating a framework of superiors and subordinates as a system, the responsibility to support subordinates arises. Additionally, by building relationships as a system, it becomes possible to establish a relationship where troubles that were previously dealt with individually can be discussed before they escalate. [Key Points] - Establish a framework as a system - Responsibility to support subordinates arises - A relationship where troubles can be discussed before they escalate ▼If you want to know more about personnel evaluation systems▼ Please download the '【Complete Version】HRBrain Style Personnel Evaluation System Design Manual' from the link below!

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Introducing or revising the personnel evaluation system is effective when transitioning from mid-career recruitment to new graduate recruitment, or during changes in employees' job responsibilities and behaviors. When implementing changes within an organization, it is necessary to address both hard aspects (such as organizational systems and rules) and soft aspects (such as fostering a development mindset and ensuring time for managers to invest in development). To achieve this, it is important to clarify "who will conduct the development" and "how the development will be evaluated," while simultaneously establishing a development framework. Additionally, we should implement changes on the soft side, such as creating value in development that employees want to engage in and reducing other tasks. 【Key Points】 ■ Hard aspects: Organizational systems and rules ■ Soft aspects: Development mindset and ensuring time for managers to invest in development ▼If you want to learn more about the personnel evaluation system▼ Please download the '【Complete Edition】HRBrain Personnel Evaluation System Design Manual' from the link below!

• Personnel Information System

If a company with more than 50 employees does not have a personnel evaluation system, there is a high possibility of dissatisfaction with employee evaluations and discrepancies in evaluations by supervisors. We believe it is necessary to design a system before that happens, and we advise, "Consider designing a personnel evaluation system once you have more than 20 employees." 【Points】 ■ A personnel evaluation system is not something that can be mastered immediately; it takes time to get used to its usage. ■ It should be regularly reviewed and developed alongside the company. ■ To maintain the company's growth speed, it is important to design the system early. ▼ If you want to know more about personnel evaluation systems ▼ Please download the '【Complete Version】HRBrain's Personnel Evaluation System Design Manual' from the link below!

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The compensation system refers to the system that determines employees' salaries and bonuses based on established criteria. The criteria in the compensation system are defined by the grading system and evaluation system. When designing it, it is important to refer to the average salaries in the industry, sector, and region, but it is crucial to envision employees' lives, including how many years it will take for them to be promoted and what their salaries will be, when setting compensation. [Key Points] ■ Criteria are defined by the grading system and evaluation system ■ Set salaries with an image of employees' lives in mind ▼ If you want to know more about the compensation system ▼ Please download the '【Complete Edition】HRBrain's Manual for Designing Performance Evaluation Systems' from the link below!

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An evaluation system is a framework that establishes a method for quantifying the work performed and the results produced by employees based on specific criteria. The evaluation system is important not only for the proper operation of the grading and compensation systems but also from the perspective of talent development and fostering corporate culture. When designing an evaluation system, it is essential to envision the purpose of the evaluation and the type of organization you want to create. 【Quantification】 ■ Work performed by employees ■ Results produced by employees ▼ If you want to learn more about the evaluation system ▼ Please download the '【Complete Edition】HRBrain's Manual for Designing Employee Evaluation Systems' from the link below!

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A grading system is a framework that categorizes and ranks employees based on their abilities, duties, roles, etc., serving as the basis for authority, responsibility, and treatment when performing tasks. In other words, it can be said that "employees" are "distinguished" into "multiple levels" based on "certain criteria." Typical grading systems include the competency qualification system, job grade system, and role grade system. Additionally, when designing a grading system, it is necessary to define the promotion and demotion system in addition to the content of the grading system. [Grading System] ■ Competency Qualification System ■ Job Grade System ■ Role Grade System ▼ If you want to learn more about grading systems ▼ Please download the '【Complete Edition】HRBrain Style Personnel Evaluation System Design Manual' from the link below!

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The personnel evaluation system is a system that evaluates employees based on their contributions to performance and the tasks they carry out, reflecting the results in their treatment. The personnel evaluation system mainly consists of three elements: "evaluation system," "grading system," and "compensation system." In a broader sense, the personnel evaluation system includes all systems based on evaluation, such as job rotation, succession planning, and development frameworks. 【Personnel Evaluation System】 ■ Grading System ■ Evaluation System ■ Compensation System ▼ If you want to learn more about the personnel evaluation system ▼ Please download the '【Complete Version】HRBrain Personnel Evaluation System Design Manual' from the link below!

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We offer the "HRBrain Organizational Diagnosis Survey," which can achieve improvements in engagement, reduction in turnover rates, and reform of organizational culture and philosophy dissemination. We comprehensively collect strengths and challenges from all experiences and interactions employees have with the organization. We define the entire process from hiring to resignation across 8 areas and 16 items. By understanding not only employee satisfaction but also expectations, we can implement measures with appropriate priorities. 【Features】 ■ Understanding Expectation/Reality Gaps: Prioritization of issues ■ Customizability: Question modifications/group settings for distribution ■ Cross-analysis: Department × Age × etc. ■ Individual Dashboard: Detailed analysis such as turnover trends ■ Comparison with Average Scores of Other Companies: Possible comparisons with companies of similar size/industry *For more details, please download the PDF or feel free to contact us.

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We provide "HRBrain Talent Management," which enables centralized management of human resource data and seamless utilization of that data. You can freely build your own original database. Flexible permission settings are available, allowing for information sharing with the field. Additionally, it is possible to streamline and visualize a vast amount of operational management tasks in the cloud, as well as to centrally manage and visualize skills and qualifications for the purpose of talent development. 【What can be achieved (partial list)】 ■ Analysis and utilization of human resource data ■ Streamlining of evaluation operations ■ Skill management and talent development ■ Onboarding and offboarding procedures, year-end adjustments ■ Employee satisfaction surveys and engagement improvement ■ Improvement of turnover and leave rates *For more details, please download the PDF or feel free to contact us.

• Personnel Information System