Benefits-Drawbacks

The major benefits or advantages of job satisfaction can be highlighted as follows:

1. Promotes Employee Motivation

The main advantage of job satisfaction is that it creates positive feeling towards jobs. It minimizes stress and anxiety which encourages employees to perform better. So, there is direct relation between job satisfaction and employee motivation. It means satisfied employees are always motivated to perform their tasks properly and efficiently.

2. Lowers Employee Absenteeism

Employee absenteeism is very serious concern for many organizations. Stress, harassment in the workplace, lack of motivation are major causes of absenteeism. Job satisfaction helps to eliminate it by inspiring employees and by creating proper working environment .

3. Helps To Increase Production

Because of motivation and better working condition employees can boost their performance. Better performance leads to increase in the productivity of the firm.

4. Minimizes Supervision Cost

Satisfied and dedicated employees become loyal towards the organization. They are self motivated and try to do their best to achieve the goals of the organization. There is a less chance of fraud and mistake in the operational activities. So, more supervision and monitoring is not required and supervision costs can be reduced.

5. Promotes Employee Retention

Skilled, experience and loyal employees are valuable assets for the company. If they are not properly behaved they can leave the organization at any time. But job satisfaction helps to minimize employee turnover  and encourages retention by providing better working environment and by fulfilling their required needs and expectations. Therefore, employee retention is another notable advantage of job satisfaction.

6. Minimizes Re-hiring Cost

As we know that job satisfaction promotes employee retention, it helps to reduce recruitment and re-hiring costs related to advertisement , recruitment , interview, selection etc. It saves both cost and effort of the management.

 Benefits Or Advantages Of Job Enrichment

The main advantages of job enrichment can be explained as follows:

1. Provides Learning Opportunity

Job enrichment is a vertical expansion of tasks and duties that increases the responsibility and authority to existing employees. It helps them to learn managerial skills and knowledge.

2. Reduce Monotony And Boredom

It adds duties and responsibilities to workers that helps them to divert their mind from day-to-day routine tasks. It helps to minimize monotony and boredom.

3. Less Burden To The Management

In job enrichment, jobs of to management are shared with middle and lower lever employees. So it reduces the workload of managers and they can give time for other important organizational activities.

4. Employee Motivation And Satisfaction

It enhances employees' skill, provides learning opportunity and helps to gain new experience. So, employees are motivated to improve their performance. Employee motivation leads to job satisfaction.

5. Increased Productivity

Motivation, better working environment and job satisfaction helps to boost employees performance. Increase in performance leads to increase in productivity and profitability of the organization.

6. Lower Rate Of Employee Turnover

Motivated and satisfied employees become loyal and do not want to leave the company. So, job enrichment lowers the rate of employee turnover.

7. Suitable For

Job enrichment is suitable for semi-skilled and skilled manpower. They can learn managerial skills and can develop decision making power.

Drawbacks Or Disadvantages Of Job Enrichment

The main disadvantages of job enrichment can be explained as follows:

1. It Increases Workload

Although job enrichment reduces the burden of to level management by sharing jobs with other employees, it increases the workload of lower level managers and subordinates. Employees may face difficulties to perform more tasks in limited time.

2. Costly Affair

It requires special skill and knowledge to perform increased jobs because jobs are expanded vertically. So, the organization needs extra cost and effort to conduct training programs and other development activities. 

3. More Supervision And Control

Normal employees have to perform challenging tasks. So, more monitoring and supervision and control is needed. 

     Also Read: 

Advantages And Disadvantages Of Job Rotation

Advantages And Disadvantages Of Job Enlargement

Advantages Of Job Satisfaction

4. Not Possible For All Jobs

Job enrichment is not possible for some jobs that require special knowledge and skills. For example, normal worker cannot perform the job technicians and machinery works.

5. Poor Performance

Because of workload and lack of skill, employees face difficulties to handle given task properly. It may decrease their performance which leads to decrease in productivity.

6. Not Suitable For

Job enrichment is not suitable for unskilled employees because they cannot perform challenging jobs due to the lack of education and skills.

Pros And Cons Of Job Enrichment In Short

Pros:

- It reduces the work burden of top level management

- It helps employees to enhance their skills and gain knowledge

- It reduces boredom, monotony and absenteeism 

- It improves employees motivation and leads to job satisfaction

- It improves the productivity of the firm

- It helps to create good environment in the workplace

Cons:

- It increases the work load of lower level employees

- Employees' performance may be decreased because of overburden

- It requires more training, supervision and monitoring costs

- It is not suitable for all kinds of jobs

 Benefits Or Advantages Of Job Enlargement

The main advantages of job enlargement can be studied as follows:

1. Proper Utilization Of Human Resources

Because of enlarged tasks and responsibilities employees can use their skills and abilities (both mental and physical) more efficiently. So, job enlargement ensures better utilization of human resources in the organization.

2. Minimization Of Boredom

In job enlargement, roles and responsibility are added to the existing job level. Increased duties and tasks helps to reduce monotony, boredom and fatigue among the employees.

3. Employee Motivation

Additional responsibilities and variety of activities help workers to improve their skills, knowledge, talents and experience . It motivates them for better performance.

4. Learning And Growing Opportunity

Variety of tasks provide learning opportunity to the employees. It is very helpful in personal growth and career development.

5. Responsible And Accountable

Because of the expansion of job, employees become more responsible and accountable. It also helps to maintain proper discipline in the organization.

6. Job Satisfaction

Job enlargement minimizes boredom, ensures proper utilization employees' talent and knowledge, increases motivation and provides learning opportunity, it helps to increase job satisfaction among the workers. Job satisfaction leads to increase in productivity and profitability of the firm.

7. Less Operation Cost

It provides additional jobs to the existing employees. So, more tasks can be completed by suing less manpower. It helps to reduce operational costs in the organization.

8. Suitable For

Job enlargement is suitable for unskilled and semiskilled workers to boost their performance.

Drawbacks Or Disadvantages Of Job Enlargement

The main disadvantages of job enlargement can be described as follows"

1. Workload 

Job enlargement increases workload but level of responsibility remains the same which may create frustration among employees.

2. Lower Efficiency And Quality

Job enlargement does not encourage specialization and division of labor. It only increases jobs and roles. Because of less specialization and overload of tasks, workers' efficiency and quality of output may decrease.

It takes time to handle more tasks and to adjust with new system. So, it may reduce productivity for a short period of time.

       Also Read: 

Advantages And Disadvantages Of Job Enrichment

Advantages And Disadvantages Of Job Rotation

Advantages Of Job Satisfaction

4. More Training And Development Costs

Because of increased tasks, it may require more training and development programs to enhance employees' performance. So, it is a costly method of job design.

5. Additional Pay

Workers may argue for additional pay for enlarged jobs. It may create misunderstanding and conflict between employees and management.

6. Not Suitable For

It is a horizontal enlargement of tasks which does not provide additional authority and responsibility.. So, job enlargement is not suitable for skilled and specialist manpower. 

 Benefits Or Advantages Of Market Segmentation

The main advantages of market segmentation can be highlighted as follows:

1. Market Identification 

It is the process of dividing the market into different segments and grouping the potential customers on the basis of demography, psychography, geography and behavior. It helps the marketer to identify the proper market and the right group of customers.

2. Market Specialization

Market segmentation helps to understand the needs, wants and desire of the customers. Marketers try to offer suitable products and services by developing right products, right price, suitable promotional techniques and better distribution channel to satisfy targeted customers. So, it promotes market specialization.

3. Market Expansion

Market expansion is possible with the help of geographic segmentation. So, it provides an opportunity to break into new market.

4. Customer Retention

Products and services are designed as per the needs and interests of the customers. So, market segmentation leads to customers satisfaction. Satisfied customers become loyal to the company. Therefore, it promotes customer life cycle and customer retention.

5. Better Strategies

It helps the marketers to design better marketing strategies, proper utilization of resources and better allocation of budget to satisfy the needs of the market. Better marketing strategy also help to deal properly with the competitors also.

6. Suitable For

Market segmentation is suitable for small and newly established firms because they cannot compete with large companies in the entire market.

Disadvantages Of Market Segmentation

The main drawbacks or disadvantages of market segmentation can be highlighted as follows:

1. Increased Costs

It requires more efforts, time and money for research and development, promotion and distribution. Costs also increase because of different marketing strategies in different market segments. Inventory costs also increase because of larger inventory of goods. So, market segmentation increases overall costs of the company.

It works properly if right and relevant market segments are selected . There may exist a chance of selection of wrong, irrelevant and very small segments . In such situation, company fails to identify right group of customers and cannot sell its products or services properly.

3. Change In The Market

Characteristic of market changes according to the change in the behavior, buying habit and income of the customers. Marketers may face difficulties because of these changes in the market. 

Merits Or Advantages Of Process Costing

The main advantages of process costing can be highlighted as follows:

1. Simple Method Of Costing

Process costing is very simple method of computing costs of each stage or process of production. Because of homogeneous products, average cost of product can be calculated easily in less time.

2. Periodic Calculation Of Cost

Cost of each process and per unit cost of finished products can be determined periodically at short intervals with less clerical and paper works. 

3. Suitability

Process costing is suitable for standardized products, large scale production, identical or homogeneous products etc.

4. Better Managerial Control

Cost and performance of each process or department can be evaluated regularly at short intervals. With the help of standard costing, management can take appropriate steps to minimize unnecessary costs and wastage. So, process costing facilitates the management for better control.

Manufacturing firms can add or remove process as per their needs and requirements in order to control the cost of production. So, process costing facilitates flexibility in the production process.

Demerits Or Disadvantages Of Process Costing

The main disadvantages of process costing can be highlighted as follows:

1. Historical Value

This costing method uses historical or past cost data. So, it may not provide accurate cost information for better control.

      Also Read:

Advantages And Disadvantages Of Activity Based Costing

Advantages And Disadvantages Of Job Order Costing

Advantages And Disadvantages Of Standard Costing

2. Inaccuracy

There exists a chance of inaccuracy or error while estimating the cost of work in progress or finished goods because it is based on average cost.

3. Unsuitability

Process costing is not suitable for diverse products. It is suitable only for identical products.

4. Difficulty In Average Cost

It is very difficult and complex to find out average cost if the company manufactures more than one type of products.