INTERNATIONAL JOURNAL OF SOCIAL SERVICE AND RESEARCH ANALYSIS OF JOB VALUE-BASED COMPENSATION SYSTEM IMPLEMENTATION ON MSME PT BANEEX INDONESIA

One of the most significant contributors to the economy in the Republic of Indonesia is SMEs. SMEs are a pretty good means for forming and providing employment opportunities. There must be someone who has an entrepreneurial spirit and empathy for their environment in environment. SMEs are one of the actual evidence of the nation's economic development from educated people who want income and help people around them by creating jobs. Small and Medium Enterprises (SMEs) have an excellent opportunity to become a pillar of the people's economy. SMEs can be a good forum for job creation, with an average contribution to Indonesia's Gross Domestic Product (GDP) of 50% in the last three years. For a business to run correctly and adequately, work management is needed to regulate the rights and obligations of employers and workers. Entrepreneurs have the right to get income from their business, not apart from their obligation to pay for the hard work of their employees. Workers or employees have the right to be rewarded for their obligations, namely work. For a harmonious relationship for both parties, both employers and workers, good management of employees is required, including the payment of wages or salaries. Decent wages for workers can make them comfortable in a job and give their best effort. Compensation management is developing and implementing strategies, policies, and compensation systems that help an organization achieve its goals by obtaining and retaining the necessary people and increasing their motivation and commitment. The purpose of the establishment of compensation management is to respect employee performance, ensure fairness of employee salaries, retain employees or reduce employee turnover, obtain quality employees, control costs, and comply with regulations. Considerations regarding compensation management include pay for position, pay for a person, and pay for performance.


ition, pay fo
a person, and pay for performance.

Introduction

One of the most significant contributors to the economy in the Republic of Indonesia is SMEs.SMEs are a pretty good means for forming and providing employment opportunities.There must be someone who has an entrepreneurial spirit and empathy for their environment in environment.SMEs are tangible evidence of the nation's economic development from educated people who want income and help people around them create jobs.Small and Medium Enterprises (SMEs) have an excellent opportunity to become a pillar of the people's economy.SMEs can be a good forum for job creation, with an average contribution to Indonesia's Gross Domestic Product (GDP) of 50% in the last three years (Soetjipto, 2020).Entrepreneurs have the right to get income from their business, not apart from their obligation to pay for the hard work of their employees.Workers or employees have the right to be r

Introduction
One of the most significant contributors to the economy in the Republic of Indonesia is SMEs.SMEs are a pretty good means for forming and providing employment opportunities.There must be someone who has an entrepreneurial spirit and empathy for their environment in environment.SMEs are tangible evidence of the nation's economic development from educated people who want income and help people around them create jobs.Small and Medium Enterprises (SMEs) have an excellent opportunity to become a pillar of the people's economy.SMEs can be a good forum for job creation, with an average contribution to Indonesia's Gross Domestic Product (GDP) of 50% in the last three years (Soetjipto, 2020).Entrepreneurs have the right to get income from their business, not apart from their obligation to pay for the hard work of their employees.Workers or employees have the right to be rewarded for their obligations, namely work.
warded for their obligations, namely work.


Analysis of Job Value-Based Compensation Syste

Analysis of Job Value-Based Compensation System Implementation on MSME PT Baneex Indonesia
Implementation on MSME PT Baneex Indonesia

For a business to run correctly and adequately, work management is needed to regulate the rights and obligations of employers and workers.For a harmonious relationship for both parties, both employers and workers, good management of employees is needed, including in the payment of wages or salaries.Decent wages for workers can make them comfor For a business to run correctly and adequately, work management is needed to regulate the rights and obligations of employers and workers.For a harmonious relationship for both parties, both employers and workers, good management of employees is needed, including in the payment of wages or salaries.Decent wages for workers can make them comfortable in a job and give their best effort.
able in a job and give their best effort.

Compensation management is developing and implementing strategies, policies, and compensation systems that help an organization achieve its goals by obtaining and retaining the necessary people and increasing their motivation and commitment, Cahayani (2005:77--78).The purpose of the establishment of compensation management is to respect employee performance, ensure fairness of employee salaries, retain employees or reduce employee turnover, obtain quality employees, control costs, and comply with regulations.Considerations regarding compensation management include pay for position, pay for a person, and pay for performance.This research was conducted to study and evaluate the payroll system by PT Baneex Indonesia with a system design based on job value.The most important thing is to ensure mapping the workload, job risks, and compensation that accompanies the job analysis.Information related to job grading (position level) will be raised from this job analysis activity.Compensation system analysis is also based on salary mapping, job evaluation, the point system method, minimum wage, and decent l Compensation management is developing and implementing strategies, policies, and compensation systems that help an organization achieve its goals by obtaining and retaining the necessary people and increasing their motivation and commitment, Cahayani (2005:77--78).The purpose of the establishment of compensation management is to respect employee performance, ensure fairness of employee salaries, retain employees or reduce employee turnover, obtain quality employees, control costs, and comply with regulations.Considerations regarding compensation management include pay for position, pay for a person, and pay for performance.This research was conducted to study and evaluate the payroll system by PT Baneex Indonesia with a system design based on job value.The most important thing is to ensure mapping the workload, job risks, and compensation that accompanies the job analysis.Information related to job grading (position level) will be raised from this job analysis activity.Compensation system analysis is also based on salary mapping, job evaluation, the point system method, minimum wage, and decent living needs at PT Baneex Indonesia.Formulation of the problem 1.What are the characteristics of PT Baneex Indonesia?2. What is the salary structure of PT Baneex Indonesia 3. How is the West Java Province Minimum Wage and Bekasi City Minimum Wage, along with their graphs of the basic salary 4. How is the compensation factor at PT Baneex Indonesia 5. What is the Job Value and Job Grading at PT Baneex Indonesia 6.How is the salary mapping of PT Baneex Indonesia using the adhered method?7. How is the salary mapping of PT Baneex Indonesia using the overlapping method 8. What are the Decent Living Needs (KHL) of PT Baneex Indonesia's workers 9. How to determine compensation using the Eckenrode system method at PT Baneex Indonesia

ing needs at PT Baneex Indonesia.Form
lation of the problem 1.What are the characteristics of PT Baneex Indonesia?2. What is the salary structure of PT Baneex Indonesia 3. How is the West Java Province Minimum Wage and Bekasi City Minimum Wage, along with their graphs of the basic sa

ry 4. How is the compensat
on factor at PT Baneex Indonesia 5. What is the Job Value and Job Grading at PT Baneex Indonesia 6.How is the salary mapping of PT Baneex Indonesia using the adhered method?7. How is the salary mapping of

Baneex Indonesia using th
overlapping method 8. What are the Decent Living Needs (KHL) of PT Baneex Indonesia's workers 9. How to determine compensation using the Eckenrode system method at PT Baneex Indonesia


B. Benefits of research

The benefits of this research are the impact of achieving the goals, namely: 1.For companies, research results can be used as input related to providing more rational compensation and improving company welfare 2. For researchers and academics, get more information and knowledge related to compensation management Imam Firdaus Nugroho, Alief Ibadurrahman, Tubagus Yopi Ramadhan, Dhafa Adriansyah, Fadhil Utama H


Method


A. Place and time of research

The data used in this study are primary data obtained from PT Baneex Indonesia through surveys and interviews and secondary data in literature studies such as journals, theses, research results, and books.Research activities began in September.


B. Data Types and Sources

In this study, the data used are primary data obtained from interviews and surveys with all employees of PT Baneex Indonesia and secondary data obtained from journals, books, theses, and research results.


C. Data Processing Method

The data that has been collected will then be analyzed and processed using quantitative analysis methods.The data will be processed using Microsoft Excel 2016 software.The processed data will be analyzed using job analysis, system method analysis, and salary map

B. Benefits of research
The benefits of this research are the impact of achieving the goals, namely: 1.For companies, research results can be used as input related to providing more rational compensation and improving company welfare 2. For researchers and academics, get more information and knowledge related to compensation management Imam Firdaus Nugroho, Alief Ibadurrahman, Tubagus Yopi Ramadhan, Dhafa Adriansyah, Fadhil Utama H

A. Place and time of research
The data used in this study are primary data obtained from PT Baneex Indonesia through surveys and interviews and secondary data in literature studies such as journals, theses, research results, and books.Research activities began in September.

B. Data Types and Sources
In this study, the data used are primary data obtained from interviews and surveys with all employees of PT Baneex Indonesia and secondary data obtained from journals, books, theses, and research results.

C. Data Processing Method
The data that has been collected will then be analyzed and processed using quantitative analysis methods.The data will be processed using Microsoft Excel 2016 software.The processed data will be analyzed using job analysis, system method analysis, and salary mapping.Based on table 1, it is found that superiors have a relatively sufficient or mature age, such as above 30, to lead a division or unit.The top brass is also given a minimum of educational requirements that must be taken, such as a diploma for Engineering Functional Manager and production SPV, for the deputy to other manager positions are required to obtain a bachelor's degree.However, the minimum education taken is a high school / high school for staff positions themselves.Forage, it can be concluded from the table data above that all supervisors are over 30 years old, while for staff and operators, there are also employees under 30 years old.The holders of leadership positions have also been in this company for a long time, generally above six years have worked until they can get a top position.Still, for the levels below it varies from under three years to above six years there are also available.Each division's distribution or distribution of employees is determined according to work needs.Therefore some divisions only contain one person because it is enough to be done by one person, and some contain up to 10 people because of such needs.

s found that superiors have a rela
ively sufficient or

ture age, such as above 30, to lead a division or un
t.The top brass is also given a minimum of educational requirements that must be taken, such as a diploma for Engineering Functional Manager and production SPV, for the deputy to other manager positions are required to obtain a bachelor's degree.However, the minimum education taken is a high school / high school for staff positions themselves.Forage, it can be concluded from the table data above that all supervisors are over 30 years old, while for staff and operators, there are also employees under 30 years old.The holders of leadership positi

s have also been in th
s company for a long time, generally above six years have worked until they can get a top position.Still, for the levels below it varies from under three years to above six years there are also available.Each division's distribution or distribution of employees is determined according to work needs.Therefore some divisions only contain one person because it is enough to be done by one p

son, and s
me contain up to 10 people because of such needs.


Results and Discussion


A. MSME Overview


C. Salary Analysis of UMK and UMP

The following is a Imam Firdaus Nugroho, Alief Ibadurrahman, Tubagus Yopi Ramadhan, Dhafa Adriansyah, Fadhi

Figure 1 Comparison graph of basic salary, UMP, UMK
1 Comparison graph of basic salary, UMP, UMK

Based on table 2 and the picture above, it can be seen that there is only one person who gets a salary below the West Java UMP, namely a Production Operator, because his working time there has not been up to a year.Meanwhile, 34 other employ Based on table 2 and the picture above, it can be seen that there is only one person who gets a salary below the West Java UMP, namely a Production Operator, because his working time there has not been up to a year.Meanwhile, 34 other employees have received salaries above the West Java UMP.To compare the salaries of PT Baneex employees with the Bekasi City UMK, there are still many who get salaries below the Bekasi City UMK.Therefore, it is necessary to improve the compensation system so that employees at PT Baneex can get a decent salary.

s have receive
salar

s above the
West Java UMP.To compare the salaries of PT Baneex employees with the Bekasi City UMK, there are still many who get salaries below the Bekasi City UMK.Therefore, it is necessary to improve the compensation system so that employees at PT Baneex can get a decent salary.


D. Compensable Factor

This study uses ten types of compensable factors in the form of education, work experience, communication, initiative, flexibility, analytical thinking, conceptual thinking, analysis and problem sol

D. Compensable Factor
This study uses ten types of compensable factors in the form of education, work experience, communication, initiative, flexibility, analytical thinking, conceptual thinking, analysis and problem solving, impact and influence, and integrity.(Source: Colleges of Applied Arts and Technology-Job Evaluation Manual and Hay's Dictionary).The following is a description of the ten components:

ng, impact a
d influence, and integrity.(Source: Colleges of Applied Arts and Technology-Job Evaluation Manual and Hay's Dictionary).The following is a description of the ten components:


Education

This section identifies the minimum level of formal education required to carry out the position's responsibilities.It consists of four levels, including level 1: No School, level 2: High School, level 3: Diploma, and level 4: Bachelor.


Work Experience

This refers to the minimum tim

Education
This section identifies the minimum level of formal education required to carry out the position's responsibilities.It consists of four levels, including level 1: No School, level 2: High School, level 3: Diploma, and level 4: Bachelor.

Work Experience
This refers to the minimum time required in a previous position to learn the techniques, methods, and practices required to perform this job.It consists of four levels, including level 1: No experience, level 2: Minimum one year, level 3: Minimum 2 years, and level 4: Minimum 5 years.

required in a previo
s position to learn the techniques, methods, and practices required to perform this job.It consists of four levels, including level 1: No experience, level 2: Minimum one year, level 3: Minimum 2 years, and level 4: Minimum 5 years.


Communication

This factor measures how well the existing soft communication skills are needed to carry out the position's responsibilities

Communication
This factor measures how well the existing soft communication skills are needed to carry out the position's responsibilities effectively.
ffectively.


Initiative

This factor measures the level of motivation of employees to do something that exceeds the demands of the task, do things that are not asked by anyone, which can improve work results a

Initiative
This factor measures the level of motivation of employees to do something that exceeds the demands of the task, do things that are not asked by anyone, which can improve work results and prevent problems, or find/create new opportunities.It consists of five levels covering levels including level 1: Act on current opportunities or problems, level 2: Act quickly in a crisis, level 3: Act for the next three months, level 4: Act for 4 -12 months forward, level 5: Acting for one year ahead.

prevent problems, o
find/create new opportunities.It consists of five levels covering levels including level 1: Act on current opportunities or problems, level 2: Act quickly in a crisis, level 3: Act for the next three months, level 4: Act for 4 -12 months forward, level 5: Acting for one year ahead.


Flexibility

This competency requires understanding and appreciating different and conflicting views on an issue and adapting approaches for environmental changes.It can readily accept changes in the organization or job requirements.It consists of four levels, including level 1: Accept the need to be flexible, level 2: Apply rules and procedures with flexibility, level 3: Adjust tactics according to needs or situations, Level 4: Adjust strategy acc

Flexibility
This competency requires understanding and appreciating different and conflicting views on an issue and adapting approaches for environmental changes.It can readily accept changes in the organization or job requirements.It consists of four levels, including level 1: Accept the need to be flexible, level 2: Apply rules and procedures with flexibility, level 3: Adjust tactics according to needs or situations, Level 4: Adjust strategy according to needs and situations.

ding to needs and situations.
Analytical Thinking

It is the ability to understand a situation/problem by breaking it down into logically small parts or tracing the implications of the problem or situation in stages.It consists of four levels including level 1: Breaking down a problem or situation into a list of simple tasks or activities, level 2: Analyzing the most important things from a problem or situation, level 3:

Anticipating obstacles that will arise and thinking ahead for steps next, level 4: Identify the parts of a complex problem and break it down into detailed parts, and show the causal relationship for each part.


Conceptual Thinking

It is the ability to identify patterns or relationships between situations unrelated to one another.This includes the ability to identify underlying issues in complex problems, summarize mixed and incomplete information into something clear, and create new concepts.It consists of five levels, including level 1: Usi

Analytical Thinking
It is the ability to understand a situation/problem by breaking it down into logically small parts or tracing the implications of the problem or situation in stages.It consists of four levels including level 1: Breaking down a problem or situation into a list of simple tasks or activities, level 2: Analyzing the most important things from a problem or situation, level 3: Anticipating obstacles that will arise and thinking ahead for steps next, level 4: Identify the parts of a complex problem and break it down into detailed parts, and show the causal relationship for each part.

Conceptual Thinking
It is the ability to identify patterns or relationships between situations unrelated to one another.This includes the ability to identify underlying issues in complex problems, summarize mixed and incomplete information into something clear, and create new concepts.It consists of five levels, including level 1: Using simple rules, reasoning, and experience in recognizing a problem or situation.Level 2: Drawing conclusions based on similarities and differences between one situation and another, level 3: Applying knowledge from theories or future trends than in looking at the current situation, level 4: Explaining a complex problem or situation, level 5: Thinking about something in a completely new way (Breakthrough thinking).

simple rules, reason
ng, and experience in recognizing a problem or situation.Level 2: Drawing conclusions based on similarities and differences between one situation and another, level 3: Applying knowledge from theories or future trends than in looking at the current situation, level 4: Explaining a complex problem or situation, level 5: Thinking about something in a completely new way (Breakthrough thinking).


Analysis and Problem Solving

This factor measures the complexity involved in analyzing situations, information, or problems of varying degrees of difficulty; and developing other options, solutions, or actions.It consists of three levels, including level 1: Analysis and problem solving are carried out according to the instructions and procedures that have been set.Solutions may require selecting the most appropriate and predetermined alternative.Level 2: Situations and problems are q

Analysis and Problem Solving
This factor measures the complexity involved in analyzing situations, information, or problems of varying degrees of difficulty; and developing other options, solutions, or actions.It consists of three levels, including level 1: Analysis and problem solving are carried out according to the instructions and procedures that have been set.Solutions may require selecting the most appropriate and predetermined alternative.Level 2: Situations and problems are quickly identified.Analysis or problem solving is elementary.Solutions may require modifying existing alternatives or past practices.Level 3: Situations and problems can be identified but may require further investigation to define Imam Firdaus Nugroho, Alief Ibadurrahman, Tubagus Yopi Ramadhan, Dhafa Adriansyah, Fadhil Utama H them precisely.Solutions require analysis and gathering of information, which may be obtained from areas or resources not usually used by the position.

ckly ident
fied.Analysis or problem solving is elementary.Solutions may require modifying existing alternatives or past practices.Level 3: Situations and problems can be dentified but may require further investigation to de ine Imam Firdaus Nugroho, Alief Ibadurrahman, Tubagus Yopi Ramadhan, Dhafa Adriansyah, Fadhil Utama H the precisely.Solutions require analysis and gathering of information, which may be obtained from areas or resources not usually used by the position.


Impact and Influence

This competency is based on the desire to influence or impact others with specific personal goals, certain impressions he wants to display, and specific actions he wants others to take.Including is the most appropriate approach to obtain support and cooperation to achieve specific business goals.It consists of six levels, including level 1)Expressing

Impact and Influence
This competency is based on the desire to influence or impact others with specific personal goals, certain impressions he wants to display, and specific actions he wants others to take.Including is the most appropriate approach to obtain support and cooperation to achieve specific business goals.It consists of six levels, including level 1)Expressing the desire to influence but not take action, level 2: Persuade directly in the discussion or presentation, level 3: Performing dual or more actions (persuasion measures) to persuade without trying to match the level and interests of the audience, level 4: Tailoring the discussion or conversation to suit the interests and level of the audience, level 5: Taking action to influence, each step tailored to the audience, level 6: Develop strategies to influence certain parties such as lobbying, building support 'behind the scenes.

e discussion or
presentation, level 3: Performing dual or more actions (persuasion measures) to persuade without trying to match the level and interests of the audience, leve

4: Tailoring the dis
ussion or conversation to suit the interests and level of the audience, level 5: Taking action to influence, each step tailored to the audience, level 6: Develop strategies to influence certain parties such as lobbying, building support 'behind the scenes.


Integrity

It The table shows that the p

Integrity
It The table shows that the position with the highest position value is Deputy Director, with a total score of 38.In contrast, the position with the lowest position value is Security, with a total score of 21.Job Grading and Job Value Job Grading is the process of compiling a salary table following a predetermined salary mapping.This table describes the class of each position and data and information about the available salaries.

ition with the highest position
alue is Deputy Director, with a total score of 38.In contrast, the position with the lowest position value is Security, with a total score of 21.Job Grading and Job Value Job Grading is the process of compiling a salary ta le following a predetermined salary mapping.This table describes the class of each position and data a d information about the available salaries.


Metode Min/Max

Two methods can be used in determining job grading, namely the given system method or

Metode Min/Max
Two methods can be used in determining job grading, namely the given system method or the min-max method.The explanations of the two methods are as follows: he min-max met od.The explanations of the two methods are as follows:


Given System method

This method determines the distance between grades to get th

Given System method
This method determines the distance between grades to get the desired grade.Based on the results using the min/max method, grade I is worth [(320 x 17.6%) + 320] = 376.32.And so on for other grades until the maximum value obtained has exceeded the current position value.
desired grade.Based on the results using the min/max method, grade I is worth [(320 x 17.6%) + 320] = 376.32.And so on for other grades until the maximum value obtained has exceeded the current position value.


Distance between grades=


Salary Mapping (Salary Mapping)

• Salary mapping is a step carried out to find out the percentage of the range spread and mid to mid salary from one position to another.The following are some of the formulas needed in salary mapping, namely:

• Average: Average or the average is used to determine the average salary of employees at that grade.

• Spread: Range Spread is used to determine the distribution of employee salaries on the grade of a job and adjusted to the company's financial capabilities.

• Mid to Mid: Mid to mid used to see the midpoint or the median value of employees' salary at that grade, which is used in fixing the salary structure.

The condition of a good salary structure is when the mid to mid-value is not great

Salary Mapping (Salary Mapping)
• Salary mapping is a step carried out to find out the percentage of the range spread and mid to mid salary from one position to another.The following are some of the formulas needed in salary mapping, namely: • Average: Average or the average is used to determine the average salary of employees at that grade.
• Spread: Range Spread is used to determine the distribution of employee salaries on the grade of a job and adjusted to the company's financial capabilities.
• Mid to Mid: Mid to mid used to see the midpoint or the median value of employees' salary at that grade, which is used in fixing the salary structure.
The condition of a good salary structure is when the mid to mid-value is not greater than the range spread value or the mid to midis smaller than the range spread.If the mid to mid is more remarkable, it can be said that the salary structure is less structured and needs to be improved.Improving the salary structure can be done using the Adhered and Overlapping methods.This step is carried out to achieve ideals within a company so that employees feel satisfied and performance increases and reduce jealousy between workers.Based on the calculation results, the salary mapping results show that the current salary conditions are not ideal because there are still conditions where the mid to midvalue has a value greater than the range spread value.In addition, the difference in salary between grades is still too far from the stipulated intervals, so it is not relevant.Therefore, there is an improvement in the new salary structure to achieve optimal working conditions.In the table, it can be seen that the spread has been corrected with the spread values for grades I, II, III of 77%, 76%, and 75%, respectively, which are optimal for the position structure of the company.Next is to determine the appropriate initial minimum salary of IDR 2,000,000.The next step is to determine the maximum salary with the formula [minimum salary + (minimum salary*spread)].After that, determine the salary midpoint with the formula [(minimum salary + maximum salary)/2].In the Adhered method, the maximum value in the previous grade will be the minimum value for the next grade.The last step is to determine the midto-mid value with the formula [(midpoint value above it -midpoint value below it)/midpoint value below it].After the results are obtained, the compensation system is ideal because the spread value is greater than the mid to mid-value.The following is an illustration of the adhered method compensation system.The table shows differences in salary improvements using the overlapping method.The difference is that the maximum value of the previous grade is greater than the minimum value of the following grade (overlapping).The first step for improving salaries with the overlapping method is to determine the initial minimum salary of Rp.Two million with a spread of 73%, and the spread rate increases for each position, which is 74% for grade II and 75% for grade III.The second step is to determine the maximum salary for grade 1 with the formula Because the spread value is greater than the mid-to-mid value, the following is an illustration of the compensation system for the overlapping method: The analysis results based on the data in the table above show that all SME employees of PT Baneex Indonesia have expenses below the UMK.This can be seen in the comparison of average salaries which vary from Rp. 400,000 to Rp. 6,627,625, this can be said to be safe and not detrimental because the average employee receives wages below KHL expenses except for one person.

dis smal
er than the range spread.If the mid to mid is more remarkable, it can be said that the salary structure is less structured and needs to be improved.Improving the salary structure can be done using the Adhered and Overlapping methods.This step is carried out to achieve ideals within a company so that employees feel satisfied and performance increases and reduce jealousy between workers.Based on the calculation results, the salary mapping results show that the current salary conditions are not ideal because there are still conditions where the mid to midvalue has a value greater than the range spread value.In addition, the difference in salary between grades is still too far from the stipulated intervals, so it is not relevant.Therefore, there is an improvement in the new salary structure to achieve optimal working conditions.In the table, it can be seen that the spread has been corrected with the spread values for grades I, II, III of 77%, 76%, and 75%, res

ctively, which are optimal for the position structure of
he company.Next is to determine the appropriate initial minimum salary of IDR 2,000,000.The next step is to determine the maximum salary with the formula [minimum salary + (minimum salary*spread)].After that, determine the salary midpoint with the formula [(minimum salary + maximum salary)/2].In the Adhered method, the maximum value in the previous grade will be the minimum value for the next grade.The last step is to determine the midto-mid value with the formula [(midpoint value above it -midpoint value below it)/midpoint value below it].After the results are obtained, the compensation system is ideal because the spread value is greater than the mid to mid-value.The following is an illustration of the adhered method compensation system.The table shows differences in salary improvements using the overlapping method.The difference is that the maximum value of the previous grade is greater than the minimum value of the following grade (overlapping).The first step for improving salaries with the overlapping method is to determine the initial minimum salary of Rp.Two million with a spread of 73%, and the spread rate increases for each position, which is 74% for grade II and 75% for grade III.The second step is to determine the maximum salary for grade 1 with the formula Because the spread value is greater than the mid-to-mid value, the following is an illustration of the compensation system for the overlapping method: The analysis results based on the data in the table above show that all SME employees of PT Baneex Indonesia have expenses below the UMK.This can be seen in the comparison of average salaries which vary from Rp. 400,000 to Rp. 6,627,625, this can be said to be safe

nd not detrimental because the average emp
oyee receives wages below KHL expenses except for one person.


No


Adherent Compensation System (Squash)

In addition, the wages received by PT Baneex UKM employees compared to their KHL expenses can be met with a minimum wage requirement of IDR 2,000,000, which is the average expenditure of 5 respondents to meet their daily needs.Although employees' average salary/wages are below the minimum wage

Adherent Compensation System (Squash)
In addition, the wages received by PT Baneex UKM employees compared to their KHL expenses can be met with a minimum wage requirement of IDR 2,000,000, which is the average expenditure of 5 respondents to meet their daily needs.Although employees' average salary/wages are below the minimum wage, the KHL expenditures adjust the wages they get so that there are no difficulties in meeting their needs.

the KHL expenditures
djust the wages they get so that there are no difficulties in meeting their needs.


Eckenrode Evaluation

The next stage is to do the weighting with the Eckenrode system method.The weighting is done using ten compensable factors: education, experience, communication, initiative, flexibility, analytical thinking, conceptual thinking, analysis and problem solving, impact and influence, and integrity.The weighting of factor values is carried out to determine the priority level between factor values , as seen in the following table.In the table above, the highest points are on the work experience factor, and the lowest points are on impact, influence, and integrity.Points are obtained by multiplying the points from each sequence by the value below it (points x value) of all the columns in the factor.In this way, points are obtained for each factor.Then determine the weight of each factor obtained by dividing the points by the total points of all factors.Then allocate the

Eckenrode Evaluation
The next stage is to do the weighting with the Eckenrode system method.The weighting is done using ten compensable factors: education, experience, communication, initiative, flexibility, analytical thinking, conceptual thinking, analysis and problem solving, impact and influence, and integrity.The weighting of factor values is carried out to determine the priority level between factor values , as seen in the following table.In the table above, the highest points are on the work experience factor, and the lowest points are on impact, influence, and integrity.Points are obtained by multiplying the points from each sequence by the value below it (points x value) of all the columns in the factor.In this way, points are obtained for each factor.Then determine the weight of each factor obtained by dividing the points by the total points of all factors.Then allocate the weight to each factor and then to each lowest level.For a more detailed explanation, see the Based on the table above, the calculations using the Eckenrode system method are obtained by weight for each factor.The highest weight is found in the work experience factor of 0.183, while the lowest is found in the impact and influence factor and integrity with 0.28.Then determine the lowest and highest numbers in each table.The lowest number is the product of the weights by 100 and is placed in the column at the lowest level.In contrast, the highest number is the product of the weights with 10000 and is placed in the column at the highest level in each factor.Then to determine numbers other than the lowest and highest numbers, the way is to determine the interval first by subtracting the highest number from the highest number in each factor and then dividing by the result of the number of levels by deducting one.

Figure 2
Figure 2 graph of adhered compensate compensation system )].The third step is to determine the grade 1 midpoint value with the formula [minimum salary + (minimum salary*spread)].The fourth step is to determine the midpoint value for grades above it following company policies and capabilities.The last step is to determine the minimum value with the formula [midpoint / (1 + (0.5*spread in the row)) and determine the maximum value with the formula [minimum salary + (minimum salary*spread)].After the results are obtained, the compensation system is ideal.
Figure 3 graph of overlap compensation system PT Baneex Indonesia is a company engaged in Manufacturing Spring and Assembly, established in January 2007 at Jl. Toyogiri RT. 002 RW.03 -Kp.Legon Ex.Jatimulya District.South Tambun.
table illustrating the comparison of salaries for PT Baneex Indonesia employees with the Bekasi City Minimum Wage and West Java UMP.

Table 3 Skala pairwise comparisons
Analysis of Job Value-Based Compensation System Implementation on MSME PT Baneex Indonesia Tabel