Professional Documents
Culture Documents
There are various definitions given for the term competency. Combining the basic ideas
embedded in all definitions, competency can be defined as:
!: the things a person consistently thinks about or wants that cause action.
Motives ³ drive, direct, and select´ behavior toward certain actions or goals and away
from others.
E.g. Achievement-motivated people consistently set challenging goals for themselves and
use feedback to do better.
"! physical characteristics and consistent response to situation or information.
E.g. reaction time and good eyesight are physical trait competencies of combat pilots.
The type or level of a competency has practical implications for human resource
planning. Knowledge and skills tend to be visible and relatively surface, characteristics of
people. But attitude, trait and motive competencies are more hidden ³deeper´ and central
to personality. Surface knowledge and skills are relatively easy to develop. But core
motive and trait competencies are at the base of the personality iceberg and are more
difficult to assess and develop as shown in the figure on the next page:
visible
hidden
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A competency model is a set of success factors (competencies) that include the key
behaviors required for excellent performance in a particular role excellent performers on
the job demonstrate these behaviors much more consistently than average or poor
performers.
A Competency model provides a ³*/&´ for the range of behaviors that produce
excellent performance.
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ë They make Ô the clusters of knowledge, skills, and personal attributes that
lead to high performance in specific jobs and roles. This information can be
transmitted to employees.
ë They embody the core values of a business, aiding in the communication of these
values throughout the organization and helping to shape a business culture and
identity worldwide.
ë Competency models are rÔ
rÔ
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Ô
against which
people and units can be measured. They provide a behavioral vision for the kinds
of performance necessary to successfully implement worldwide business
strategies
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Competencies are used as the ³,2´ for implementing each application.
Therefore, competencies can be used as a tool to produce results in each of the above
areas. All the Integrated Human Resource Practices can be based on competencies.
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Competency based selection can be a way to gain competitive advantage. The market for
human talent is imperfect. A firm that knows how to assess competencies can effectively
hire the best at a reasonable price, for example hire under priced but highly
entrepreneurial MBA¶s from lesser-known business schools.
There is a need for competency based selection because:
ë The person employed performs poorly in a critical job for he lacks the
competencies required for that role.
ë There is high turnover due to high failure rate among new hires.
ë The organization needs to identify new hires with the potential to become future
managers or leaders.
ë A gap between the competencies needed and what the organization can hire for
indicates the training new hires will need.
ë A lengthy training period may transpire before new hires become productive.
New hires with the competencies to do a job become fully productive faster.
Therefore if the selection is based on competencies i.e. if the selection interviews are
competency based then the above mentioned, commonly faced problems by
organization can be taken care of.
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Performance has two dimensions
a) Achieving business results
b) Developing individual competencies
Competency based PMS shift the emphasis of appraisal from organization results to
employee behaviors and competencies demonstrated and hence help identify
development gaps.
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If the training programs can be aligned to the development needs emerging out of the
appraisal system and to the market led training needs they can contribute better to both
individual and business objectives.
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Competency based compensation is compensation for individual characteristics, for
skills and competencies over and above the pay a job or organizational role
commands.
Various elements are considered for arriving at compensation increase. Enhancement
in competencies has to be one of them.
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Ë Establish expectations for performance excellence
Ë Improved job satisfaction and better employee retention
Ë Increase the effectiveness of training and professional development programs by
linking them to success criteria
Ë Provide a common understanding of scope and requirements of a specific role
Ë Provide a common, organization wide standards for career levels that enable
employees to move across business boundaries
%+
Ë Identify performance criteria to improve the accuracy and ease of the selection
process
Ë Provide more objective performance standards
Ë Easier communication of performance expectations
Ë Provide a clear foundation for dialogue to occur between the managers and
employees and performance, development and career-oriented issues
/&2
Ë Identify the behavioral standards of performance excellence
Ë Provide a more specific and objective assessment of their strengths and the tools
required to enhance their skills
Ë More clear on career related issues
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The data to form the competency model for the three positions of ,7/%,
and %+ at c.1 were collected from various
sources. The sources included:
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During the visits the behaviors of superior as well as average performers were observed,
which helped determine the behaviors required for a particular position.
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The 0
%%) is the heart of the Competency Assessment Process
A behavioral event interview is a method to identify the competencies to do a particular
job well. The objective of the BEI is to get very detailed descriptions of how a person
goes about his or her work. The interviewer asks the interviewee to focus on the most
critical situations they have faced to describe the specific behaviors, thoughts and actions
he has shown in actual situation.
The main reason why behavioral interviews were conducted for the following reasons:
Ë To come out with behaviors demonstrated which were later clustered to form a
competency
Ë Precision about how competencies are expressed i.e. how they have been used at
work
Ë Empirical identification of competencies beyond or different from those generated
by other data collection methods
The interview included questions like ³Can you cite an incident which has led to an
improvement in your performance?´
A copy of the questions asked during the BEI is given in the annexure
An extract of one of the interviews and how it was used to identify behaviors is given
below:
Statement made by a SO
³)/2/2%+%*&/´
On the same lines, other behaviors, which were similar, were clustered together to form a
competency.
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In this method of collecting data the respondent was asked to identify the best and an
average employee under him at that level and then asked to compare both in terms of
what differentiates the two.
Through this approach we were again able to identify the behaviors of the best and the
average employees at each level.
An extract from one of the interviews for the level of an ASM is given below:
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Able to handle strong team members, They love to work with yes men
strong in terms of independent kind of people; nobody
challenging
thinking ± able to work with them their authority
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Made a few SOs, RMs and ASMs fill a questionnaire where they were asked to rate
certain competencies in the order of importance for a particular position.
2. /&%2-%2 of c&%+
This approach was used to identify top competencies for the levels mentioned below and
later use them to validate the competencies arrived at in the competency model that was
developed.
Behaviors from the above mentioned sources were clustered and leveled for three levels:
Area Sales Manager, Sales Officer and Stockist¶s Salesman.
The following competencies were identified:
U Client service
U Team Building
U Specialist Knowledge
U Planning
U Initiative
U Problem solving
U Self Confidence
U Achievement Orientation
U Drive
U Persuasiveness
U Oral Communication skills
U Innovation
Kew of these competencies have been described below with definitions, positive and
negative indicators.
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Understands client¶s needs, their expectations by building good interpersonal relationship
with them and provides them with regular service and reasonable solutions to address
their needs.
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ËUnderstands client categories and
modifies own behavior
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. Ë Initiates conversation with the
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clients (retailers and distributors)
Ë High visibility through frequent
visits
Ë Develops contacts
Ë Develops trust with the
retailers and distributors
Ë Understands non verbals
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Ë Öistens to clients perspective
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patiently
Ë Updates the retailers with the
changing schemes
Ë Does regular follow up
Ë Presents reasonable solutions to
the retailers/ distributors
--
3-
.1 Ë oes beyond routine to address
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their issues
Ë Takes personal responsibility to
address their issues
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Ë Complaining customers
Ë Öow frequency of visiting the market
Ë etting into fights with distributors
Ë Not responsive to client issues and requests
Ë Öeaves the retailers uninformed of changing schemes
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ë Initiates ë High visibility ë Develops
conversation with with the retailers credibility
the retailers and distributors with the
0*+* ë Builds trust with ë Makes retailers distributors
%&% the retailers and aware of ë Builds good
%&) distributors changing rapport with
% ë High visibility with schemes the
the retailers ë Initiates distributors
ë Understands client conversation with and other
category and the retailers external
modifies own ë Develops clients
behavior contacts
03.-1
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Clearly delegates responsibilities to the team; provides the team with proper assistance,
resources, feedback and training to achieve targets; invites ideas, suggestions from the
team; and promotes excellence in the team by rewarding performers and setting high
standards for the team.
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Ë Provides team with suggestions and
support to meet their targets
Ë Provides them with practical
"!
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3-
assistance
3
Ë Personally monitors their
performance
Ë Keeps their morale high
Ë ives them regular feedback
Ë Sensitive to individual issues
Ë Takes responsibility for team¶s
performance
Ë Invites ideas from the team
Ë Shares information with the team
Ë Involves them in decision making
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Ë Tries to implement the suggestions
#! given by the team
Ë Respects them and gives them
enough independence
Ë Able to handle strong team members
Ë Shares the credit for success with
team
Ë Identifies performers in the team
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Ë Appreciates the effort put in by the
team
'! Ë Rewards the performers
Ë Sets examples for the team
Ë Coaches and trains them
Ë Updates them on products, industry
Ë Promotes team work
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Ë Keeps decision making to himself; doesn¶t delegate
Ë Öoves to work with yes men who don¶t challenge his authority
Ë Threatens the team to meet targets; doesn¶t motivate
Ë Criticizes team¶s performance
Ë Exposes the team to superiors
Ë Non supportive in terms of giving assistance / resources
Ë ives inappropriate/ critical feedback
Ë Makes no effort to train people
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-+ ë Assigns duties clearly to
&% SSMs
2
/
ë Personally monitors teams ë Provides the team with the
performance resources required to meet
ë ives them practical support the targets
&/ and assistance ë Takes responsibility for
%*& ë Sensitive to individual issues the team¶s performance
ë ives them regular feedback
ë Keeps their morale high
ë Sets examples for the team ë Tries to implement
ë Invites ideas from the team suggestions given by the
ë Shares information with the team
team ë Respects and gives them
independence
3
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Is assertive in approach and has the ability to influence others opinion and ideas; is
skillful at negotiation.
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! 0.3
1 Ë Assertive in approach
(.. Ë Able to get people on his side with conviction
Ë Exerts subtle pressure on distributors/retailers
"!
1(.. to convince him
Ë Makes parties arrive at consensus through
negotiation
1
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Ë Very soft while making sales pitch
Ë Unable to influence the client
Ë Unable to close an issue through negotiation
Ë Öacks conviction
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Ë Aggressive in Ë Aggressive in
0%%%+, approach approach
Ë Able to get
people on his side
with conviction
+%, Ë Exerts subtle Ë Exerts subtle Ë Makes
pressure on pressure on external parties
distributors and retailers and come to
retailers to distributors to conclusion
convince them convince them through
negotiation
Other competencies have also been defined in a similar way.
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INITIATIVE INITIATIVE
PÖANNIN
Therefore it was found that most of the competencies identified in questionnaires did
appear in some form in the model developed