BSS004-1: Report on Questionnaire Design for Business Pay Structure

This report analyzes the pay structure of The Furniture Practice Ltd., a company experiencing employee dissatisfaction related to its compensation system. The study investigates issues like pay scales, gender pay gaps, and age distribution concerns. The report reviews the company's pay structure a...Read More

Using Data to Build Business
Practice BSS004-1
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TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
Review of company' pay structure...............................................................................................3
Suitability of questionnaire as a method of data collection.........................................................4
Type of data needed to be collected.............................................................................................5
Designing questionnaire...............................................................................................................5
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
Pay structure is also known as salary structure that defines compensation, given by
manager to employees (Sauer, Rodgers and Becker, 2018). This present study is going to discuss
problems that employees of The furniture practice LTD is facing related to pay structure. It will
further discuss effectiveness or importance of designing questionnaire and how it can help in
providing better data. It will also discuss the type of questions that will be developed in this
study by designing questionnaire.
Review of company' pay structure
In regard to pay structure it can be said that it refers the hierarchy within an organization
that sets the amount that is being paid to each level of employment. It plays a vital role in HRM
as it creates a basis for pay decisions. It is important to make sure that pay level for group of jobs
are competitive. There are different types of pay system that are being used as per the size of
company (Gima and Cheahb, 2020). Pay or wages are the one main key or thing that motivates
and attracts employees. It is the one main thing for which employees work or perform functions
of organization. There are several situations arise within an organization and employees turnover
is one of them. One of the main reason of employees' turnover is dissatisfied employees, and
they got dissatisfied because of unfair salary structure and pay system. In regard to The furniture
practice Ltd have 100 people and provide qualitative furniture related services to architects and
designers for corporate clients. It is found that employees of this company are not satisfied with
its pay structure as they did not talk about this directly with management but heard by senior
staff that employees are dissatisfied.
So, in the context of problems of pay structure it is found that employees do not prefer or
seek for age distribution in different roles, pay scales and other age distribution. Some challenges
that employees of this company are facing include:
Pay-scale: Pay scale refers a system that determines amount that need to be paid to
employees as a wage or salary. This pay scale mainly is based on employees' experience,
qualification, level, rank and status. When employees get salary on the basis of these factors then
it makes them satisfied and make them feel valued (Cai and et.al., 2018). But when it is paid
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equally to all whether some employees have 2 years of experience, whether they have 6 months
of experience. It dissatisfies them and it is the problem with The furniture practice Ltd.
Gender gap: As per the data from US census bureau, average gender pay gap in the year
of 2018 in the US was around 18.9%. But this gender gap and when salary is being distributed or
decided on the basis of gender then it also dissatisfies employees. It is found that some
employees including this also decide pay scale on the basis of gender and it is found that women,
as compared to men get less amount if even they are efficient or qualified as like men (Salon,
Sclar and Barone, 2019).
Suitability of questionnaire as a method of data collection
For collecting data it is important to select ways or sources. But selection of sources of
data collection mainly depends on the type of data collection. There are mainly 2 types of data
collection such as: primary and secondary. In primary type of data collection, brand-new data are
being collected. Whereas, in secondary type of data collection, managers focus on collecting
second hand data that have been published before. Selection of type of data depends on the type
of study as well. As this study is based on The furniture practice LTD and it wants to know all
challenges that its employees are facing. One of the main reasons of gathering or collecting data
is to develop the best strategy for improving pay structure. So, for this it will require opinion and
answers from employees as what they feel about current pay structure and system of company.
What they want company to do for satisfying with wage or pay structure. So, for this purpose,
primary data has been gathered. There are some sources of collecting primary or brand-new data
such as survey, interviews, questionnaire and others. For this study or for knowing challenges as
well as improving pay structure questionnaire has been developed.
Effectiveness of designing questionnaire
One of the main reasons of making use of questionnaire or designing questionnaire is it is
comparatively quick and affordable way of gathering data to the large extent. In this source of
data collection, both open and close ended questions can be asked. In open-ended type, selected
or target people are being given full freedom and opportunity to share their views as they are not
limited with specific answers or options (Asante, Yahaya and Yabowaah, 2020). On the other
hand, in close ended type, some options are being given and selected people are limited to give
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answers by choosing option given to them. For this study both open and close ended questions
have been asked from employees of this company in order to get detailed information and their
views regarding pay structure (Zhou, Bao and Parmanto, 2017). Along with this, suggestions can
also be asked from them as it can help this company out in making improvements and satisfying
employees. Some other reasons and advantages of using or designing questionnaire for this study
are:
 Questionnaire is inexpensive.
 Questionnaires are practical
 Scalability
 Easy analysis
 Quick way of getting results
 Offers actionable data
Type of data needed to be collected
There are 2 form in which data are being collected such as: qualitative and quantitative.
As it is already stated that type of questions asked in questionnaire and survey depend on the
main research type. In qualitative research, data are being collected in the form of non-numerical
or in the form of words and feelings. Whereas, in quantitative research, non-numerical data are
being gathered. When questionnaire is being conducted or designed then both types of data can
be gathered by developing both open and close-ended questions (Vraga and et.al., 2019). With
close ended questions, quantitative data can be analysed and with open-ended qualitative data
can be analysed. For this study 20 employees of this company is being taken for gathering data
and knowing their views regarding current pay structure of The furniture practice LTD.
Designing questionnaire
1. Which type of pay is being given to you by your company?
 Hourly
 Monthly Salary
2. What type of main problem you have experienced with current pay system of your company?
 Low pay scale
 Gender gap
 Age distribution
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3. Are you satisfied with your current salary or wages?
 Highly satisfied
 Dissatisfied
 Highly dissatisfied
4. Does your company focus on equity or equality while deciding salary or wages?
 Equity
 Equality
5. What do you want to recommend to your company for better improvement?
….....
Theme 1: Type of pay is being given by
your company?
Outcome
Hourly 4
Monthly salary 16
6
Hourly
Monthly salary
0 2 4 6 8 10 12 14 16
Column B

Interpretation: On the basis of above data it can be said that majority of employees or
16 said that they are being paid as a monthly salary that have been decided while selection.
Whereas, 4 employees said that they are being paid hourly or on the basis of working hours. So,
on this basis it can be said that company should pay hourly basis salary for motivation and
satisfaction.
Theme 2: Type of main problem you have
experienced with current pay system of your
company?
Outcome
Low pay scale 11
Gender gap 5
Age distribution 4
7
Low pay scale Gender gap Age distribution
0
2
4
6
8
10
12
Column B

Interpretation: It can be interpreted on the basis of above graph that 11 employees of
The furniture practice LTD company are facing low pay scale or salary problem. Whereas, 5
employees said that gender gap is the main challenge with current pay structure. The least
number of employees or 4 said that for them age distribution in pay structure is the main
problem. So, on this basis it can be said that current pay structure is not fair.
Theme 3: Are you satisfied with your
current salary or wages?
Outcome
Highly satisfied 2
Dissatisfied 10
Highly dissatisfied 8
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Interpretation: On the basis of above data it can be said that majority of employees of this
company are dissatisfied with the amount they are being paid currently. Whereas, 8 employees
said that they are highly dissatisfied as they are not getting pay as per their experience and
qualification level. Only 2 employees said that they are highly satisfied with their current salary.
Theme 4: Does your company focus on
equity or equality while deciding salary or
wages?
Outcome
Equity 5
Equality 15
9
Highly satisfied
Dissatisfied
Highly dissatisfied

Interpretation: In the regard to basis of paying wages it is found that this company pay equal
salary that is good but it has some limitations. 15 employees said that their company pay equal
salary whether all employees have different qualification and different experience level. 5
Employees said that their company consider some factors such as level of employees so, they
provide equity.
Interpretation: In this open-ended question, all employees were given equl chance and some
employees said that they should be paid on the basis of their performance and experience level.
Other employees said that by providing hourly salary on the basis of working hour rather than
permanent monthly salary, pay structure can be improved. It can increase employees satisfaction
level.
CONCLUSION
It has been summarized from the above study that pay structure plays a vital role in an
organization as it motivates and satisfy employees if it is fair and clear. It has discussed some
problems and challenges, associated with pay structure such as gender gap, pay scale, age
distribution in different roles and others.
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