The second step is matching our external benchmarks.
This is our process of going off into the market and figuring out what are some
of the comparable job descriptions out there and how much do those houses cost?
How much did they recently sell for?
Or in the case of the labor market, for example, we're looking for
an administrative assistance, we go off into the labor market, find a similar
job description, and figure out how much administrative assistants are being paid.
Step three is to make adjustments.
Typically when your benchmarking something, whether its a house or a job,
you're not going to find the perfect benchmark.
And so we're going to talk about the different methods that we can use for
adjusting our benchmarks to our particular situation.
So the first step is to start off with our job description.
Once again, the job description is going to tell us what jobs we're looking for,
all right.
So this is kind of like if you are in a scavenger hunt,
this is the list of things that you're looking for.
And where are you going to search for it?
Well, there's a lot of different resources.
One of the government websites such as the Bureau of Labor Statistics.
The Bureau of Labor Statistics goes through a lot of effort to administer
surveys all over the country for all sorts of jobs in all sorts of industries.
And they generate information regarding the pay and
forecasted future pay of different jobs.
Another option is to go through different websites such as jobstar.org,
salary.com or glassdoor.com.
These websites also compile information about what people are paid in
the labor market.
Another source of data are trade association surveys.
Trade association surveys will typically cover their different members.
Their members would submit data on how they pay their workers.
The trade association will compile these and
disseminate this information back to their members.