What is a Competency Model?

A competency model is a guideline developed by a Human Resource department

that sets out the specific skills, knowledge and behavioral requirements that
enable an employee to perform their job successfully.

Competency models define what performance success should look like within the
organization for each individual job. The model is applied to recruitment
practices, talent management, training and performance assessment.

What is the difference between a job description and a

competency model?
A job description and a competency model sound almost alike because they both
seem to describe what an employee is required to do in the job. What is the
difference?

The difference is that a job description is a general summary of the skills required
for a job, whereas a competency model provides specific behaviors that an
employee must do on the job in order to be successful.

What are the benefits of using a competency model?

Greater performance success has been attributed to organizations with
thoroughly defined competency models. In a competency survey by the
Society for Human Resource Management (SHRM), 93% of 500 C-suite
executives claimed that competency models were important to their
organization’s performance success.

Here are some of the ways that implementing the competency model
benefits organizations:

 Sets a concrete direction for workforce performance that aligns

with organizational goals and strategies.
 Enables HR to have a concrete understanding of all employee
abilities and skills.
 Enables HR and Training to more accurately identify learning &
development (L&D) needs.
 Allows employees to take ownership of the skills and behaviors
required of them in their roles.
  Empowers organizations to keep track of what skills employees
have so that strategy and planning can work towards that future
skills may be needed.
 Provides a consistent and fair system of measurement for
performance evaluation.

Competency model Pyramid

A competency model pyramid is a framework used by organizations to outline

and categorize various competencies required for their employees to succeed in
their roles. These competencies are typically divided into different levels or tiers,
with each level building upon the one below it. Here's an explanation of each
competency level you've mentioned within the context of a competency model
pyramid:

1. Technical Competencies:

• Technical competencies refer to the specific skills and expertise necessary

to perform job-related tasks effectively. These can include knowledge of software
applications, programming languages, engineering techniques, or any other
technical skills relevant to a particular job or industry. Technical competencies are
foundational for many roles and serve as the basis upon which other
competencies are built.

2. Business Competencies:

• Business competencies encompass the knowledge and skills related to

understanding and thriving within an organization's business environment. This
level includes competencies related to understanding financial concepts, business
strategy, project management, and problem-solving. Business competencies help
employees make informed decisions that align with the organization's goals.

3. Knowledge Management Competencies:

• Knowledge management competencies involve the ability to effectively

capture, organize, store, and disseminate knowledge within an organization.
These competencies can encompass data analysis, information sharing,
knowledge sharing platforms, and best practices for knowledge preservation and
utilization. Effective knowledge management is crucial for innovation and
continuous improvement.

4. Leadership and Supervisory Competencies:

• Leadership and supervisory competencies are crucial for individuals in

management or leadership positions. These competencies cover skills such as
team building, decision-making, conflict resolution, and communication.
Leadership competencies are essential for guiding and motivating teams,
managing resources, and achieving organizational goals.

5. Social Competencies:

• Social competencies, often referred to as "soft skills," involve interpersonal

and communication skills. These include skills like active listening, empathy,
adaptability, and cultural awareness. Social competencies are vital for effective
collaboration, building relationships, and navigating the social aspects of the
workplace.

6. Interpersonal Competencies:
• Interpersonal competencies build upon social competencies and include
skills specific to one's ability to interact with others on a deeper level. This may
involve emotional intelligence, negotiation, conflict resolution, and relationship
management. These competencies are essential for fostering strong working
relationships, resolving complex interpersonal issues, and creating a positive work
environment.

In a competency model pyramid, the idea is that as an individual progress in their

career or role within an organization, they should continually develop and
demonstrate competencies at each level. The foundation of technical
competencies provides the necessary skills and knowledge to excel in a specific
job. As one moves up the pyramid, they add business acumen, knowledge
management abilities, leadership and supervisory skills, and finally, social and
interpersonal competencies, which are often critical for success in leadership
roles. By using a competency model pyramid, organizations can assess and
develop their employees in a structured manner, ensuring that they possess the
necessary skills and attributes to excel in their current roles and advance in their
careers.

Application of model of competency model in various

HRM functions

A competency model is a framework used in Human Resource Management (HRM)

to identify and define the skills, behaviors, knowledge, and abilities required for

employees to perform effectively in their roles. Competency models can be applied

across various HRM functions to enhance recruitment, selection, performance

management, training and development, and career planning. Here's how

competency models can be applied in detail to each of these HRM functions:

1. Recruitment and Selection:

• Job Descriptions: Competency models help in creating more accurate and

comprehensive job descriptions. By specifying the competencies required for a role,

HR professionals can attract candidates who possess the necessary skills and

abilities.

• Candidate Assessment: Competency-based interviews and assessments are

used to evaluate candidates against the competencies relevant to the job. This leads

to more objective and effective hiring decisions.

• Behavioral Event Interviewing (BEI): BEI questions are often derived from

competency models. They ask candidates to provide examples of past behaviors

that demonstrate the competencies required for the job.

2. Performance Management:
• Goal Setting: Competency models provide a basis for aligning employee goals

with the competencies they need to develop or demonstrate. Managers can set

goals for employees to improve specific competencies.

• Performance Appraisals: Competencies can be used as evaluation criteria in

performance appraisals. Employees are assessed on how well they exhibit the

required competencies.

• Feedback and Development Planning: After assessments, employees can

receive feedback about their competencies. This feedback informs development

plans to enhance competencies that may be lacking.

3. Training and Development:

• Identifying Skill Gaps: Competency models help in identifying gaps in the

workforce's competencies. HR can then design training programs to address these

gaps.
• Training Content Design: Competency models guide the development of

training content, ensuring it is directly related to the competencies required for a

job or career progression.

• Individual Development Plans: Employees can use competency models to

create personalized development plans, focusing on enhancing competencies

relevant to their current role and future career aspirations.

4. Career Planning:

• Succession Planning: Competency models are valuable in identifying high-

potential employees and potential successors for key positions. HR can groom and

develop individuals based on the competencies required for these roles.

• Career Pathing: Competency models can guide employees in understanding

what competencies are needed to progress in their careers within the organization.
• Promotion and Talent Management: Competency models help in making

decisions about promotions, transfers, and talent management by ensuring that

individuals possess the necessary competencies for their new roles.

5. Employee Development:

• Feedback and Coaching: Competency models serve as a foundation for

providing feedback and coaching. Managers can provide guidance on how

employees can improve specific competencies.

• Mentoring Programs: Mentoring programs can be designed to help

employees develop the competencies needed to advance in their careers.

• Job Rotations: HR can use competency models to structure job rotation

programs that expose employees to roles that develop their competencies.

In summary, competency models are versatile tools that can be applied across

various HRM functions to create a more strategic and effective approach to

managing talent within an organization. They help in aligning HR processes with the
organization's strategic goals and ensuring that employees have the skills and

behaviors required to contribute to the company's success.

How are competency models used?

Competency models are used for a variety of HR practices, including:

Recruitment – Fully developed competency models are often used for the
development of job postings. When they are well-defined and clear, organizations
have a better chance of finding more closely matched candidates.

Talent/Performance Management – Defining what success should look like

within the organization boils down to the performance of the workforce; a
competency model can define what performance success should look like for
each role within an organization. This benchmark helps HR to connect the
function of each job with organizational goals and also ensure that the talent of
employees is developed.

Performance Appraisal – Competency models provide the framework needed to

properly assess employees during a performance review; both the employee and
employer have a clearly defined list of behaviors and skills to work from.

Benefits of using competency mapping model in organization

Competency mapping is a process that helps organizations identify and define the
key competencies and skills necessary for success in various roles and functions.
Implementing a competency mapping model in organizations can provide several
benefits, including:
1. Improved Hiring and Selection: Competency mapping helps organizations
identify the specific skills and attributes required for different roles. This enables
more effective candidate selection, reducing the risk of hiring mismatches and
increasing the likelihood of recruiting the right talent.

2. Better Training and Development: Once competencies are defined,

organizations can design targeted training and development programs to help
employees acquire and strengthen these competencies. This can lead to a more
skilled and capable workforce.

3. Performance Management: Competency mapping can be used as a basis

for performance appraisal and management. Employees can be evaluated based
on their proficiency in the required competencies, making the evaluation process
more objective and meaningful.

4. Succession Planning: By identifying the competencies needed for various

roles, organizations can better plan for succession and leadership development.
This ensures that there are individuals within the organization ready to take on
key positions when needed.

5. Enhanced Communication: A well-defined competency model provides a

common language for discussing skills and capabilities within the organization.
This can improve communication between employees, managers, and HR
departments.

6. Career Development: Competency mapping can guide employees in their

career paths by making it clear which competencies they need to acquire to
progress within the organization. This can increase employee engagement and
satisfaction.

7. Resource Allocation: Organizations can allocate resources more efficiently

by identifying which competencies are most critical for their success. This can help
in deciding where to invest in training, development, and recruitment.
8. Reduced Turnover: When employees are hired and developed based on a
well-defined set of competencies, they are more likely to be satisfied with their
roles and perform well. This can lead to reduced turnover and associated costs.

9. Strategic Alignment: Competency mapping can ensure that the skills and
attributes of employees are aligned with the organization's strategic goals and
objectives. This alignment is crucial for achieving success and staying competitive.

10. Innovation and Adaptability: Competency mapping can highlight areas

where the organization may lack certain skills, promoting a culture of continuous
learning and adaptability. It can help identify areas where new competencies are
needed to keep up with changing market dynamics.

11. Legal Compliance: In some industries, competency mapping can help

organizations comply with legal or regulatory requirements for training and
qualification standards.

12. Data-Driven Decision Making: Competency mapping provides data and

insights that can inform HR and management decisions. It enables data-driven
decisions on hiring, training, and other HR-related activities.

competency mapping is a valuable tool for aligning an organization's workforce

with its strategic goals, improving performance, and enhancing talent
management processes. It can lead to a more efficient and effective organization
by ensuring that employees possess the skills and attributes needed for success in
their roles

Benefits of using competency based performance appraisal systems

Competency-based performance appraisal systems offer several benefits for

both employees and organizations. These systems focus on evaluating an
individual's skills, knowledge, and behaviors relevant to their job. Here are
some of the advantages of using competency-based performance appraisal
systems:
1. Objective Evaluation: Competencies are defined and measured
objectively, making it easier to assess an employee's performance based on
specific criteria rather than subjective judgments.
2. Alignment with Job Requirements: Competencies are typically aligned
with the requirements of the job, ensuring that the evaluation is directly
relevant to the employee's role and responsibilities.
3. Clear Expectations: Competency-based systems help establish clear
expectations by outlining the skills, behaviors, and knowledge required for
success in a particular role. This can reduce ambiguity and improve employee
understanding of their job requirements.
4. Development Focus: These systems encourage a focus on employee
development. By identifying areas where employees may need improvement,
organizations can provide targeted training and development opportunities to
help individuals grow in their roles.
5. Continuous Feedback: Competency-based appraisals can facilitate
ongoing feedback and coaching. Employees and managers can discuss progress
in relation to specific competencies and set goals for improvement.
6. Fairness and Equity: By using a standardized set of competencies and
criteria, these systems can help ensure a fair and consistent evaluation process,
reducing the potential for bias and favoritism.
7. Talent Management: Competency-based appraisals can be valuable for
identifying high-potential employees and future leaders within the organization.
This information can inform succession planning and talent development
efforts.
8. Performance Improvement: Employees are more likely to improve their
performance when they have a clear understanding of the specific areas where
they need to develop, rather than receiving vague or general feedback.
9. Data-Driven Decision-Making: Competency-based systems generate
valuable data that organizations can use to make informed decisions about
training, promotions, and performance-related matters.
10. Accountability: Employees and managers are held accountable for
performance in terms of specific competencies, which can enhance
responsibility and motivation to meet job requirements.
11. Customization: Organizations can tailor competency frameworks to their
specific industry, company culture, and strategic objectives, ensuring that
evaluations align with the organization's unique needs.
12. Legal Compliance: Competency-based performance appraisals may help
organizations demonstrate that their evaluation processes are job-related and
non-discriminatory, reducing legal risks.
13. Employee Engagement: When employees see that their evaluations are
based on objective criteria, they may feel more engaged and motivated,
knowing they have a clear path to improvement and career progression.
While competency-based performance appraisal systems offer numerous
benefits, it's essential to design and implement them thoughtfully and ensure
that they are regularly updated to reflect changes in job roles, industry
standards, and organizational goals.

Behavioral Event Interview

A Behavioral Event Interview (BEI) is a type of structured job interview that

focuses on eliciting specific examples from a candidate's past experiences to

assess their qualifications for a job. BEIs are designed to gain insight into how a

candidate has behaved in certain situations in the past, as past behavior is often

considered a good indicator of future behavior. This approach is based on the

belief that past actions and behaviors can predict how a candidate is likely to

respond to similar situations in a new job.

Here are the key components and steps in conducting a Behavioral Event

Interview:
1. Identify Competencies and Behaviors: Before the interview, the interviewer

identifies the key competencies and behaviors that are important for the job in

question. These competencies might include problem-solving skills, teamwork,

leadership, communication, adaptability, and more.

2. Develop Questions: For each competency or behavior, the interviewer

formulates specific questions that prompt the candidate to provide examples

from their past experiences. These questions typically begin with phrases like:

• "Can you tell me about a time when..."

• "Give me an example of..."

• "Describe a situation where..."

3. Interview Format: The BEI is typically conducted in a structured format,

with the interviewer asking the same set of questions to all candidates for

consistency.
4. Probe for Details: Interviewers are encouraged to probe for details during

the candidate's responses. This helps in gaining a deeper understanding of the

candidate's actions, thought process, and the outcomes of their actions in the

past.

5. Assessment: After the interview, the interviewer assesses the candidate's

responses and rates them based on predetermined criteria or a scoring system.

This assessment helps in comparing candidates objectively.

6. Decision Making: The information gathered from the BEI is often used in the

decision-making process, helping employers make informed hiring choices based

on the candidate's past behavior and performance.

Behavioral Event Interviews are used for a variety of purposes, including hiring,

promotions, and performance evaluations. They provide a structured and

systematic approach to evaluating a candidate's qualifications and can be more

reliable than traditional interviews that rely on hypothetical questions.

Candidates preparing for a BEI should be ready with a range of specific examples

from their past experiences that demonstrate their competencies and behaviors

relevant to the job they are applying for.

Process for writing competencies

Writing competencies involves identifying and defining the skills, knowledge, and

behaviors necessary for success in a specific role or job. Competencies help

organizations assess, develop, and manage their employees effectively. Here's a

step-by-step process for writing competencies:

1. Identify the Purpose: Define the purpose and objectives of creating

competencies. Determine whether you are writing competencies for a specific job

role, department, or the entire organization.

2. Gather Information: Collect relevant information, including job descriptions,

performance expectations, and feedback from subject matter experts, managers,

and employees. This information will help you understand the key responsibilities

and requirements of the role.

3. Define Competency Categories: Categorize the competencies into groups,

such as technical, soft, leadership, or managerial competencies. This will help

organize your competencies effectively.

4. Identify Key Competencies: Identify the specific competencies required for

the job or role. Competencies are typically divided into two main categories: a.

Core Competencies: These are essential for all employees in the organization and

are not role-specific. b. Job-Specific Competencies: These are specific to a

particular job or role.

5. Create Competency Statements: For each competency, write clear and

concise statements that describe what it means to possess that competency. Use

action-oriented language that is observable and measurable. For example:

• "Communication: The ability to convey ideas clearly and effectively through

verbal, written, and non-verbal means."

• "Teamwork: The capacity to work collaboratively with others to achieve

common goals."

6. Define Proficiency Levels: Specify different proficiency levels or scales for

each competency to help assess an individual's competence. For instance, you

could use a scale like "Novice," "Intermediate," "Advanced," or "Expert."

7. Include Behavioral Indicators: Provide specific behavioral indicators or

examples for each proficiency level. These indicators help employees and

managers understand what's expected at each level. For example:

• "Novice: Requires regular supervision and support to complete tasks."

• "Advanced: Routinely mentors and guides team members in their work."

8. Review and Validation: Share the draft competencies with relevant

stakeholders, including employees, managers, and subject matter experts. Collect

their feedback and make necessary revisions.

9. Finalize the Competencies: Based on feedback and validation, finalize the

competency framework. Ensure that it aligns with the organization's values,

culture, and strategic goals.

10. Implement and Communicate: Introduce the competencies to employees

and managers. Explain their importance, and provide guidance on how to use

them for performance management, development, and talent acquisition.

11. Training and Development: Provide training and development

opportunities for employees to enhance their competencies. This could include

workshops, courses, coaching, and mentoring.

12. Performance Management: Use the competencies to evaluate and measure

employee performance, set performance goals, and provide feedback and

coaching.

13. Continuous Review and Update: Periodically review and update the

competency framework to ensure it remains relevant to the organization's

changing needs and industry standards.

Writing competencies is an ongoing process that requires collaboration and

feedback from various stakeholders to ensure they effectively contribute to the

organization's success.

Extra information

How to develop effective competency models

1. Determine what kind of process works for your organization
The research and development involved in creating well-defined
competencies for a position can be lengthy; it takes time to understand
what is needed for each position. Due to today’s fast-paced and ever-
changing business environment, it could be beneficial for some
organizations to have a shorter and more intensive method of
development. Competency models that are also designed as flexible
can likewise accommodate future changes.

2. Research available competency information

Developing competencies requires more than vague statements about

what the job position will entail. As well, the functional competencies
need to reflect what “great” performance should be, not just the
baseline skills for “acceptable” performance. Previously developed
competencies for similar roles should be identified and used as a
guideline, as well as related role documentation, background
information and organizational core competencies.
3. Interview relevant business units and executives

Interviews with relevant stakeholders provide the insight needed for

the role’s required competencies. Executives can provide the key
organizational core competencies needed for the role that reflect both
the values, philosophy and goals of the organization. Managers and
high-performers from relevant business departments can be
interviewed to find out the key skills and behaviors that are necessary
and successful for those roles. When interviewing, the focus should be
on what skills and behaviors make for a top-performing employee in
that role.

4. Establish the core competencies

The core competencies should reflect the baseline behaviors and skills
required by the organization. How should employees act and contribute
as part of the organization so that they can integrate into the
company’s work culture and philosophy? Utilize the research and
interview content from executives and relevant organizational
stakeholders.

5. Establish job-specific competencies

Job-specific competencies should reflect the unique role skills and

behaviors as outlined by departmental managers and top-performers at
the research stage. What did these individuals need to know and do to
perform well in their role?

6. Establish leadership competencies, where needed

When management-related competencies need to be drafted, it should

be assumed that the individuals are already familiar with the core
competencies set out by the organization. The focus should be on
unique leadership attributes and skills. These can be determined by the
executive and senior management level at the research stage.

1. Finalize the competency list

Organize the findings, but avoid being unrealistic with narrowing

down competencies. If the list is too far-fetched, it could hinder
recruitment initiatives and scare away potential applicants. If the
list is too vague or not specific-enough, it could result in an influx
of candidates that are not perfectly suited to the position; it will
also not help employees to achieve organizational goals.

Validate the competency list with all stakeholders involved in the

process, including executives and management. Signing off on
competencies is important to ensure that that all levels of the
organization’s needs are being met.