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A COMPETENCY APPROACH
  TO HUMAN RESOURCE
     MANAGEMENT
What do we mean when we say
    “COMPETENCY” ?
COMPETENCY?

• A Competency is an underlying
  characteristic of a person which enables
  him /her to deliver superior performance
 in a given job, role or a situation.
COMPETENCY?

• Competencies are seen mainly as inputs.
  They consist of clusters of knowledge,
  attitudes and skills that affect an
 individual’s ability to perform.
COMPETENCY?

• Hayes (1979) - Competencies are generic
 knowledge motive, trait, social role or
 a skill of a person linked to superior
 performance on the job.
COMPETENCY?

• Albanese (1989) - Competencies are
  personal characteristics that contribute
  to effective managerial performance.
COMPETENCY?

• UNIDO (2002)- A Competency is a set of
 skills, related knowledge and attributes
 that allow an individual to successfully
 perform a task or an activity within a
 specific function or job
What is Common in the definitions?
          Competencies                           Job
•   underlying characteristic       • superior performance in a
    of a person                       given job, role or a
                                      situation
•   inputs.                         • individual’s ability to
•   clusters of knowledge,            perform.
    attitudes and skills            • linked to superior
•   generic knowledge                 performance on the job.
    motive, trait, social role or   • contribute to effective
    a skill                           managerial performance
•   personal characteristics        • successfully perform a
•   set of skills, related            task or an activity within a
    knowledge and attributes          specific function or job
KNOWLEDGE
                     Relates to
                    information
                 Cognitive Domain




Set of SKILLS                              Attribute
                                          Relates to
Relates to the
                                          qualitative
ability to do,
                                           aspects
  Physical
                                          personal
  domain
                                        Characteristics
                                           or traits
                 COMPETENCY


                      Outstanding
                 Performance of tasks
                      or activities
Behaviour Indicators
• A Competency is described in terms of key
  behaviours that enables recognition of that
  competency at the work place.
• These behaviors are demonstrated by
  excellent performers on-the-job much more
  consistently than average or poor
  performers. These characteristics generally
  follow the 80-20 rule in that they include
  the key behaviors that primarily drive
  excellent performance.
Example of a Competency
Analytical Thinking

• The ability to break problems into
  component parts and consider or organize
  parts in a systematic way; the process of
  looking for underlying causes or thinking
  through the consequence of different
  courses of action.
Key Behaviour Indicators
• Independently researches for information and solutions to
  issues
• Ability to know what needs to be done or find out
  (research) and take steps to get it done
• Ask questions when not sure of what the problem is or to
  gain more information
• Able to identify the underlying or main problem
• Shows willingness to experiment with new things
• Develops a list of decision making guidelines to help
  arrive at logical solutions
What is a Competency Model?
Competency Model
• A competency model is a valid, observable,
  and measurable list of the knowledge,
  skills, and attributes demonstrated through
  behavior that results in outstanding
  performance in a particular work context.
• Typically A competency model includes
  – Competency titles
  – Definitions of those titles
  – Key Behaviour indicators
Competency - Broad Categories

• Generic Competencies
  – Competencies which are considered essential
    for all employees regardless of their function or
    level. - Communication, initiative, listening etc.
• Managerial Competencies
  – Competencies which are considered essential
    for employees with managerial or supervisory
    responsibility in any functional area including
    directors and senior posts.
Competency - Broad Categories

• Technical / Functional
  – Specific competencies which are considered
    essential to perform any job in the organisation
    within a defined technical or functional area of
    work. E.g.: Finance, environmental
    management,etc
• COMPETENCY MODELING BEGINS
  THE PROCESS OF BUILDING TOOLS
  TO LINK EMPLOYEE PERFORMANCE
  TO THE MISSION AND GOALS OF THE
  ORGANISATION
Why Competencies ?
Traditional Job Analysis Vs
      Competency Approach
Job Analysis leads to           Competency model leads to
• long lists of tasks and the   • a Distilled set of underlying
  skills / knowledge              personal characteristics
  required to perform each      • Data generation from
  of those tasks                  outstanding performers in
• Data generation                 addition to subject matter
  fromsubject matter              experts and other job
  experts; job incumbents         incumbents
• Effective Performance         • Outstanding Performance
Distinguish Superior From Merely
      Satisfactory Performance
• The approach allows executives and
  managers to make a distinction between a
  person's ability to do specific tasks at the
  minimum acceptable level and the ability to
  do the whole job in an outstanding fashion
Behaviour Indicators Based upon what
 outstanding individuals actually do
• The competency definitions are based upon
  outstanding current performance in the
  organization. These competencies do not
  reflect someone's management theory or an
  academic idea of what it takes to do the job
  well, but rather are based on what works
  within the organization and most directly
  contributes to top performance.
The Competencies are Behaviour
            Specific
• It is one thing, for example, to ask whether
  an employee "takes initiative," a very
  general concept, open to interpretation, but
  it is quite another to ask, "Was it typical of
  this manager to carry out tasks without your
  having to request that they be done?," a
  question which has only two answers,
  "Yes" and "No".
Holistic Application

• Competencies
  – help companies ‘raise the Bar’ of performance
    expectations
  – help teams and individuals align their
    behaviours with key organisational strategy
  – each employee understand how to achieve
    expectations
Alignment of HR systems
                  n   d




                             Pe ana
               ta




                               rfo ge
                          M
           m en n




                                  rm me
       ruit ectio




                                    an nt
     ec sel




                                      ce
   R


                Competency
                  Model
   t
           g & en




                                       Co
       in lopm




                                  pe   m
   Tr eve
         in




                                 s   n
     D




                             a
     a




                               t io
                                   n
Competency based recruitment

• Competency based interviews reduce the
  risk of making a costly hiring mistake and
  increase the likelihood of identifying and
  selecting the right person for the right job
Competency based Performance
           Appraisal
• Competencies enable
  – establishment of clear high performance
    standards
  – Collection and proper analysis of factual data
    against the set standards.
  – Conduct of objective feedback meetings
  – direction with regard to specific areas of
    improvement
Competency based Training
• Competency based appraisal process
  leading to effective identification of training
  needs
• Opportunity to identify/ develop specific
  training programmes - Focused training
  investment
• Focused Training enabling improvement in
  specific technical and managerial
  competencies
Competency based Development
• Competencies
  – contribute to the understanding of what
    development really mean, giving the individual
    the tools to take responsibility for their own
    development
  – give the line managers a tool to empower them
    to develop people
Competency based Pay
• Provide an incentive for employees to grow
  and enhance their capabilities
Methodology?
Steps in Model Building
• Background information about the organisation
• Decide on the Occupation / Job Position(s) that
  require competency Model(s)
• Discuss the application of the competency model
• Select a data collection method and plan the
  approach
• Organize Data collected
• Identify main themes or patterns
• Build the model - Defining specific behaviour
  Indicators
• Review the model
Data Collection Methods
• Resource / Expert Panels
  – Structured process to get the participants (Job
    holders, managers HR / training staff) to think
    systematically about the job, skills and personal
    characteristics needed for success.
• Critical Event Interviews
  – Structured interviews with superior performers
    which involves in-depth probing of a large
    number of events and experiences.
Data Collection Methods
• Generic competency Dictionaries
  – Conceptual frameworks of commonly
    encountered competencies and behaviour
    indicators
  – Serve as a starting point to the model building
    team
  – Can be used in resource panel by asking the
    participants to select a set of generic
    competencies related to the job and rate the
    importance
Competency model building

     A detailed approach
A Detailed Approach
• Info about the company
• Decision on the job position(s)
• Discussion on the CM application
• Basic data collection on the job
  responsibilities(using customized menu)
• Focus group
    –   Review job description
    –   understand performance criteria
    –   Discuss specific behaviours
    –   List top ten competencies
A Detailed Approach
• Critical incident technique - interviewing top
  performers
   –   incidents that lead to effective performance
   –   incidents that lead to in effective performance
   –   Discuss specific behaviours
   –   List behaviours
   –   List competencies
A Detailed Approach
• Content Analysis
  – Group behaviours
  – Match behaviours to competencies using competency
    dictionary as a guideline
  – Evolve new set of competencies if any
  – Match behaviour indicators identified through CIT to
    the top 10 competencies identified by the focus group
  – Review the model and make corrections

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Best competency mapping

  • 1. A COMPETENCY APPROACH TO HUMAN RESOURCE MANAGEMENT
  • 2. What do we mean when we say “COMPETENCY” ?
  • 3. COMPETENCY? • A Competency is an underlying characteristic of a person which enables him /her to deliver superior performance in a given job, role or a situation.
  • 4. COMPETENCY? • Competencies are seen mainly as inputs. They consist of clusters of knowledge, attitudes and skills that affect an individual’s ability to perform.
  • 5. COMPETENCY? • Hayes (1979) - Competencies are generic knowledge motive, trait, social role or a skill of a person linked to superior performance on the job.
  • 6. COMPETENCY? • Albanese (1989) - Competencies are personal characteristics that contribute to effective managerial performance.
  • 7. COMPETENCY? • UNIDO (2002)- A Competency is a set of skills, related knowledge and attributes that allow an individual to successfully perform a task or an activity within a specific function or job
  • 8. What is Common in the definitions? Competencies Job • underlying characteristic • superior performance in a of a person given job, role or a situation • inputs. • individual’s ability to • clusters of knowledge, perform. attitudes and skills • linked to superior • generic knowledge performance on the job. motive, trait, social role or • contribute to effective a skill managerial performance • personal characteristics • successfully perform a • set of skills, related task or an activity within a knowledge and attributes specific function or job
  • 9. KNOWLEDGE Relates to information Cognitive Domain Set of SKILLS Attribute Relates to Relates to the qualitative ability to do, aspects Physical personal domain Characteristics or traits COMPETENCY Outstanding Performance of tasks or activities
  • 10. Behaviour Indicators • A Competency is described in terms of key behaviours that enables recognition of that competency at the work place. • These behaviors are demonstrated by excellent performers on-the-job much more consistently than average or poor performers. These characteristics generally follow the 80-20 rule in that they include the key behaviors that primarily drive excellent performance.
  • 11. Example of a Competency
  • 12. Analytical Thinking • The ability to break problems into component parts and consider or organize parts in a systematic way; the process of looking for underlying causes or thinking through the consequence of different courses of action.
  • 13. Key Behaviour Indicators • Independently researches for information and solutions to issues • Ability to know what needs to be done or find out (research) and take steps to get it done • Ask questions when not sure of what the problem is or to gain more information • Able to identify the underlying or main problem • Shows willingness to experiment with new things • Develops a list of decision making guidelines to help arrive at logical solutions
  • 14. What is a Competency Model?
  • 15. Competency Model • A competency model is a valid, observable, and measurable list of the knowledge, skills, and attributes demonstrated through behavior that results in outstanding performance in a particular work context. • Typically A competency model includes – Competency titles – Definitions of those titles – Key Behaviour indicators
  • 16. Competency - Broad Categories • Generic Competencies – Competencies which are considered essential for all employees regardless of their function or level. - Communication, initiative, listening etc. • Managerial Competencies – Competencies which are considered essential for employees with managerial or supervisory responsibility in any functional area including directors and senior posts.
  • 17. Competency - Broad Categories • Technical / Functional – Specific competencies which are considered essential to perform any job in the organisation within a defined technical or functional area of work. E.g.: Finance, environmental management,etc
  • 18. • COMPETENCY MODELING BEGINS THE PROCESS OF BUILDING TOOLS TO LINK EMPLOYEE PERFORMANCE TO THE MISSION AND GOALS OF THE ORGANISATION
  • 20. Traditional Job Analysis Vs Competency Approach Job Analysis leads to Competency model leads to • long lists of tasks and the • a Distilled set of underlying skills / knowledge personal characteristics required to perform each • Data generation from of those tasks outstanding performers in • Data generation addition to subject matter fromsubject matter experts and other job experts; job incumbents incumbents • Effective Performance • Outstanding Performance
  • 21. Distinguish Superior From Merely Satisfactory Performance • The approach allows executives and managers to make a distinction between a person's ability to do specific tasks at the minimum acceptable level and the ability to do the whole job in an outstanding fashion
  • 22. Behaviour Indicators Based upon what outstanding individuals actually do • The competency definitions are based upon outstanding current performance in the organization. These competencies do not reflect someone's management theory or an academic idea of what it takes to do the job well, but rather are based on what works within the organization and most directly contributes to top performance.
  • 23. The Competencies are Behaviour Specific • It is one thing, for example, to ask whether an employee "takes initiative," a very general concept, open to interpretation, but it is quite another to ask, "Was it typical of this manager to carry out tasks without your having to request that they be done?," a question which has only two answers, "Yes" and "No".
  • 24. Holistic Application • Competencies – help companies ‘raise the Bar’ of performance expectations – help teams and individuals align their behaviours with key organisational strategy – each employee understand how to achieve expectations
  • 25. Alignment of HR systems n d Pe ana ta rfo ge M m en n rm me ruit ectio an nt ec sel ce R Competency Model t g & en Co in lopm pe m Tr eve in s n D a a t io n
  • 26. Competency based recruitment • Competency based interviews reduce the risk of making a costly hiring mistake and increase the likelihood of identifying and selecting the right person for the right job
  • 27. Competency based Performance Appraisal • Competencies enable – establishment of clear high performance standards – Collection and proper analysis of factual data against the set standards. – Conduct of objective feedback meetings – direction with regard to specific areas of improvement
  • 28. Competency based Training • Competency based appraisal process leading to effective identification of training needs • Opportunity to identify/ develop specific training programmes - Focused training investment • Focused Training enabling improvement in specific technical and managerial competencies
  • 29. Competency based Development • Competencies – contribute to the understanding of what development really mean, giving the individual the tools to take responsibility for their own development – give the line managers a tool to empower them to develop people
  • 30. Competency based Pay • Provide an incentive for employees to grow and enhance their capabilities
  • 32. Steps in Model Building • Background information about the organisation • Decide on the Occupation / Job Position(s) that require competency Model(s) • Discuss the application of the competency model • Select a data collection method and plan the approach • Organize Data collected • Identify main themes or patterns • Build the model - Defining specific behaviour Indicators • Review the model
  • 33. Data Collection Methods • Resource / Expert Panels – Structured process to get the participants (Job holders, managers HR / training staff) to think systematically about the job, skills and personal characteristics needed for success. • Critical Event Interviews – Structured interviews with superior performers which involves in-depth probing of a large number of events and experiences.
  • 34. Data Collection Methods • Generic competency Dictionaries – Conceptual frameworks of commonly encountered competencies and behaviour indicators – Serve as a starting point to the model building team – Can be used in resource panel by asking the participants to select a set of generic competencies related to the job and rate the importance
  • 35. Competency model building A detailed approach
  • 36. A Detailed Approach • Info about the company • Decision on the job position(s) • Discussion on the CM application • Basic data collection on the job responsibilities(using customized menu) • Focus group – Review job description – understand performance criteria – Discuss specific behaviours – List top ten competencies
  • 37. A Detailed Approach • Critical incident technique - interviewing top performers – incidents that lead to effective performance – incidents that lead to in effective performance – Discuss specific behaviours – List behaviours – List competencies
  • 38. A Detailed Approach • Content Analysis – Group behaviours – Match behaviours to competencies using competency dictionary as a guideline – Evolve new set of competencies if any – Match behaviour indicators identified through CIT to the top 10 competencies identified by the focus group – Review the model and make corrections