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HR Competency Model A presentation to MBA (HR)students Bangalore by Dr Pallab Bandyopadhyay Chief people Officer

HR CHALLENGES FOR THE MILLENNIUM

Globalization All pervasive Technology The pangs of mergers & acquisitions Leveraging human capital Diversity/managing people paradoxes

WHAT HAS CHANGED?

The 90s : Shifts in strategy, markets, structure and the workforce have reshaped the business landscape and in turn, compensation
Linkage with the business strategy Redefinition of jobs more (global) assignments and roles, fewer prescribed jobs Growing performance orientation A greatly reduced focus on internal equity

PERCEIVED NEED FOR HR COMP MODEL

The constant dilemma Cost effectiveness or value creation Denominator or Numerator At the Table or on the Table Do-ables or Deliverables Reactive or Proactive? Results thro people or People thro results

ORGANIZATION MODELS
CMM P-CMM European Foundation for Quality Movement Malcolm Balridge JRD Tata CII EXIM Award for Biz Excellence Golden Peacock

CONTEXT OF COMPETENCIES
Experience

+
HR Compt.

World class HR Competencies

+
Lship Compt.

TASKFORCE
Ranjan Acharya, C Mahalingam, Pallab Bandyopadhyay,R Vidyasagar (1st Phase) and Arvind Agarwal (2nd Phase) 15 months Mandate Early thinking in terms of association with NHRD

APPROACH
Review of Literature Study of best practices Consultation with academia/CEO-s/Line managers/HR professionals old and new economy Presentation to CII regional subcommittees Initial framework-competencies, levels, behaviours Validation process/HR workshop Birth of Version 1.0

APPROACH

Employee Relationship Execution Excellence

OVERARCHING COMPETENCY

HR COMPETENCY MODEL

LEADERSHIP COMPETENCY

Service Orientation Strategic Thinking & Alignment Financial Perspective

Relationship Management Diversity Management Change Management

HR Process Expertise Personal Credibility Business Knowledge

HR FUNCTIONAL COMPETENCY

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OPERATIONAL DEFINITIONS
1. Business Knowledge: Ability to understand business including customers and markets. 2. Personal Credibility: Ability to demonstrate high integrity in personal & professional transactions. 3. HR Process Expertise: Ability to apply current technologies/tools for designing & deploying the latest HR systems and processes. 4. Change Management: Ability to diagnose, design and deliver change processes for organizational culture transformation and individual development

OPERATIONAL DEFINITIONS. . . . . CONTD

5 Diversity Management: Ability to leverage differences in thinking styles, gender, race, culture, orientation etc for greater organizational performance. 6 Relationship Management: Ability to develop effective relationships with internal and external forums and bodies on an ongoing basis. 7 Financial Perspective: Ability to understand & demonstrate financial acumen in all HR and business transactions.

8. Strategic Thinking & Alignment: Ability to make directional choices and balance between present & the future - takes a long term perspective into account 9. Service Orientation: Ability to imbibe, demonstrate and role model readiness to respond with empathy 10. Execution Excellence: Ability to consistently deliver on time on commitments to internal and external customers. 11. Employee Relationship: Ability to harmonize conflicting interests for organizational effectiveness.

OPERATIONAL DEFINITIONS. . . . . CONTD

COMPETENCY LEVELS
Expert (E) : Role model and a thought leader for identified competencies and has ability to develop innovative practices & applications Advanced (A) : Demonstrates in-depth mastery of identified competencies and wide level of implementation experience Competent (C) : Develops and implements advanced level of identified competencies with some implementation experience

Basic (B) : Exhibits appreciation of identified competencies; limited or no implementation experience

ILLUSTRATIVE MAPPING OF COMPETENCIES AT VARIOUS EXPERIENCE LEVELS

Competencies 1 2 3 4 5 6 7 8 9 10 11 HR Exe 0 - 2 Yrs Senior H R Exe/Manager 2 - 5 Yrs Sr. HR Mgr 6 - 10 Yrs -B B -C ---B C --

--

--

Head of Dept > 10 Yrs

A/E

ASSESSMENT TOOLS MULTI-RATER APPROACH

Measure InCompetency Business Knowledge
Personal Credibility

Basket

Case Study

Role Play

PresentaGroup Quiz Discussion tion

Instruments

HR Process Expertise Change Management Diversity Management Relationship Management Financial Perspective Strategic Thinking & Alignment Service Orientation Execution Effectiveness Employee Relationship

Dictionary of Behaviours

WHY DICTIONARY?
Three options Bespoke, Instrument and Tailored Chose tailored option best of both worlds Dictionary advantage
Internally consistent across levels Easy to update and change Mapped more closely to actual roles Easier to customize

COMPETENCIES
Assumptions:
This dictionary of competencies is about HR Functional Competencies Basic behavioral competencies that underlie some of the functional competencies are embedded into them These competencies do not talk of leadership competencies, as they are more organizational defined. However, some of these functional competencies may lead to developing leadership in the HR function.

BASIC BEHAVIORAL COMPETENCIES

List of 9 generic behavioral competencies that we have embedded into HR competencies Communication Initiative Drive Creativity Self Confidence Team Work Influencing skills Problem Solving Interpersonal skills

LIST OF EMBEDDED COMPETENCIES

Functional Competencies

List of generic behavioral competencies that we have embedded into HR competencies

Communi cation Initiative Drive Creativitiy SelfConfidence Team Work Influence Problem Solving Interperso nal Skills

Business Knowledge Change Management Diversity Management Employee Relationship Execution Excellence

Financial Perspective HR Process Expertise Personal Credibility Relationship Management

Strategic Thinking

1. BUSINESS KNOWLEDGE
Ability to understand business including customers , markets and business models Basic Understands markets catered by business Shows an overview knowledge of products & services Names a handful of key customers serviced by the firm Demonstrates a limited or no understanding of the business model Competent Advanced Expert Helps create competitive advantage for the firm Facilitates understanding of firms strategic intent behind product portfolio. Participates in customerrelated business reviews Influences moving up the value chain along the business model Articulates the markets Understands the and rationale behind competitive pressures operating in the market Understands the business logic behind the Differentiates the value choice of products & proposition behind the service portfolio products & services portfolio vis--vis what Recognizes the complete customer base competition offers being serviced by the firm Understands business needs of customers as Understands the business model adopted relevant to firms business by the firm Supports business model effectively

2. PERSONAL CREDIBILITY
Ability to demonstrate high integrity in personal and professional transactions Basic Meets deadlines Demonstrates emotional control Accepts mistakes Avoids exaggeration Prepares well before communication Competent Meets team targets Accepts responsibility for teams mistakes Avoids bringing personal bias Represents both sides of a conflict Advanced Ability to withstand pressure from supervisor / peer group Balances employee advocacy with organizational needs Demonstrates mastery over functional knowledge Demonstrates .. Flexibility Expert Creates a culture of openness Role model for organizational values Willing to advocate and push unpopular initiatives

3. HR PROCESS EXPERTISE
Ability to apply current technologies/tools for designing & deploying the latest HR systems and processes. Basic Demonstrates understanding of basic HR theories and concepts Motivation models Compensation fundamentals Recruitment and selection Utilizes generic software for HR processes- such as spreadsheets, power point Continuously updates himself/herself on HR process Knowledge Competent Advanced Expert Demonstrates understanding of HR processes and their impact on business processes Continuously innovates people practices to introduce new E-HR applications Introduces HR processes and frameworks for measurement against world class standards Demonstrates Demonstrates understanding of understanding of implementation of HR interdependence of all HR knowledge to a sub-systemsub-processes with each such : other Compensation Recruitment Provides valuable inputs for the design of new HR Performance IT applications and Management processes Able to utilize specific HR Constantly benchmarks process application with best HR processes in packages such as the industry compensation, performance management etc Creates team learning forums for HR expertise updation

4. CHANGE MANAGEMENT
Ability to diagnose, design and deliver change processes for organization culture transformation and individual development Basic Competent Advanced Enlists support for new initiatives from top management Effectively manages resistance to change Encourages out-of box creative thinking through instituting forums for brainstorming etc Nurtures new ideas and steers them from vested interests to prevent infantile mortality Expert Creates blue print for organization change management Constantly tracks inflection points in the environment like sudden dip or upsurge in people demand, legal requirements etc Creates self-aligning and quick correcting HR systems and processes Understands the core Leads change initiatives business processes and at the departmental level need for change Questions status quo for Demonstrates familiarity team processes with change management Encourages teams to principles and concepts proactively identify issues Demonstrates willingness Equips teams with to change at a personal problem solving tools and level techniques Re-orients self quickly to Exhibits tolerance for new situations errors in new endeavors

5. DIVERSITY MANAGEMENT
Ability to leverage differences in thinking styles, gender, race, culture, orientation,etc., for greater organizational performance Basic Fulfills legal requirements Appreciates diversity Recognizes need for cross-cultural skills Appreciates & assimilates differences in points of view Competent Advanced Expert

Encourages diversity Redefines outlook Champions diversity initiatives towards diversity and inclusiveness Understands business Creates processes and Creates best practices benefits from diversity forums for facilitating Demonstrates business diversity Practices inclusiveness results from diversity Take diversity goals for Rewards diversity Integrates diversity in practitioners achievement the organizational fabric Makes diversity part of business planning

6. STRATEGIC THINKING
Ability to make directional choices and balance between present and future - takes a long term perspective into account Basic Understands organizational Vision and Values Demonstrates sufficient domain knowledge for catering to immediate business needs Invests time in building expertise for future business needs Competent Appreciates the wider business context of the present and future Invests in building future competencies needed in the team Ignores short terms gains that can have consequences in the long terms, like recruiting numbers at the cost of quality Advanced Able to discriminate between strategic investment and discretionary expenses Participates actively in development initiatives as a trainer/ advisor Measures and tracks people competencies at an organizational level Expert Articulates key building block initiatives for the future with action plans Willing to take calculated risks for future gains Tracks environmental trends to take urgent immediate survival measures and long term sustenance.

7. FINANCIAL PERSPECTIVE
Ability to understand and demonstrate financial acumen in all HR and business transactions Basic Has a feel for numbers Spends within budget Understands financial terms used in business Competent Participates in budget exercises for HR. Has good understanding of financial parameters Does cost-benefit analysis for discussions Advanced Focuses on value creation Translates HR policies as value drivers. Compares industry benchmarks for employee costs Expert Participates in organizational scorecard exercise Creates top line impact through HR policies Sets industry benchmarks in employee costs

8. SERVICE ORIENTATION
Ability to imbibe, demonstrate and role models readiness to respond with empathy Basic Participates willingly in problem-solving Uses standard Operating procedures Takes feedback for improvement Fixes problems when approached. Competent Advanced Expert Reengineers processes to add value. Institutionalizes the moments of truth Sets and improves benchmark for service excellence Creates many customer champions Offers to be part of the Leverages technology solution when problem to expedite processes surfaces Inculcates a serviceContinuously improves mindset in people procedures and Continually researches processes for process Invites feedback and improvement makes corrections Rewards and Takes ownership for reinforces service delivering value mindset

Ability to develop effective relationships with internal and external forums and bodies Basic Expresses views openly Demonstrates sensitivity to others by listening without interrupting, acknowledging etc Discusses to resolve issues Networks with peers and team Does not defend/attack in meetings Competent Advanced

9. RELATIONSHIP MANAGEMENT
Expert Creates a culture of collaboration through specific reward mechanisms Leads integration activities in mergers/acquisitions Creates early warning systems and mechanisms like regular surveys and company wide indexes to spot relationship breakdowns Able to influence policy decisions by leading industry forums Interacts with other Utilizes business functions/ teams relationships for new Harmonizes relationshipsopportunities advantage within own team by Leads initiatives for surfacing and resolving breaking organizational silos conflicts Creates teaming awareness Leverages partnerships and role clarity across the in increasing HR organization effectiveness Establishes contacts and Participates in cross relationships at functional projects industry/functional forums

10. EXECUTION EXCELLENCE

Ability to consistently deliver on time on commitments to internal and external customers Basic Demonstrates ability to effectively track routine jobs Able to prioritize multiple jobs Clarity on objectives Shows attention to detail Constantly works on cost reduction Participates in Quality projects improving execution Competent Comprehensively prepares project plan Sets up / implements review mechanism Deals firmly with underperformance Rewards / motivates team members Leads Quality projects on improving HR execution Advanced Expert Balances multiple Creates an projects organization culture of execution excellence by Optimizes between emphasizing importance resources and gains Benchmarks with the in all internal forums Focuses on few key best on execution initiatives. parameters like recruitment cycle times, Innovates new HR cost of recruitment, service delivery response times for processes and employee queries mechanisms that crash Selects and champions cycle times areas within HR Reviews and guides processes that need Quality initiatives in Quality projects improving execution at all levels

11. EMPLOYEE RELATIONSHIP

Ability to harmonize conflicting interests for organizational effectiveness Basic Has theoretical knowledge of the legal framework including Industrial Disputes Act, Shops and Establishment Act, Law of Contracts etc Demonstrates concern for other peoples feelings Awareness of group dynamics Demonstrates high emotional control in the face of criticism Competent Practical knowledge of collective bargaining and negotiated settlements Appreciation of case laws and precedents Advanced Builds synergies among various groups Expert

Pro-actively creates a positive industrial climate for productivity Creates processes and Introduces practices forums for escalation of such as Kaizen to utilize employee issues and knowledge repository with workers their redressal Builds a sense of pride Ability to see both sides of belonging to the of the issues Builds worker organizations participation Ability to carry team Ensures actions on through tough situations employee satisfaction surveys Sets and achieves high standards of safety, productivity and retention.

IMPLEMENTATION PLAN
eVangelize

Evaluate &
Review

Assess

Leverage Universalize

HR COMPETENCY MODEL DEVELOPMENT

By XLRI, Jamshedpur

FINAL STAGE OF HR COMPETENCY MODEL

Focus
The range of competencies required to play the multiple roles of HR Changing nature of HR profession Technology that will help to shape the work of HR professionals in their new roles To define excellence and value they bring to organizations

COMPETENCY TYPOLOGY
GENERIC BEHAVIORAL
Generic Behavioral Generic behavioral competencies (more essential at senior levels)

FUNCTIONAL
Functional Behavioral Behavioral competencies (More critical to Hr professionals)

TECHNICAL Generic Technical Generic

competencies that are technical in nature

Functional Technical Specific functional knowledge and skills (for delivering results)

HR COMPETENCIES
Earlier
Business Knowledge Personal Credibility HR Process Expertise Change Management Diversity Management Relationship Management Financial Perspective Strategic Thinking and Alignment Service Orientation Execution Excellence Employee Relationship
Now
Functional Behavioral
Service Orientation Personal Credibility Execution Excellence

Generic Behavioral
Strategic Thinking and Alignment Change Orientation Networking Management

Generic Technical
Business Knowledge Financial Perspective

HR COMPETENCIES ADDITION
Functional Technical
HR Planning and Staffing Performance Management Training and Development Talent Management Compensation and Benefit Managing Culture, Design and Change ER and Labor Laws Building HR Strategy International HRM

PHASES OF DEVELOPMENT
CONCEPT DEVELOPMENT PHASE 2004-06

Classified HR Competencies
2006

FUNCTIONAL TECHNICAL & Staffing HR Planning Performance Management Training & Development Talent Management Compensation & Benefit Managing Culture, Design & Change ER & Labour Laws Building HR Strategy International HRM GENERIC TECHNICAL Business Knowledge Financial Perspective

FUNCTIONAL BEHAVIOURAL Service Orientation Personal Credibility Execution Excellence

GENERIC BEHAVIOURAL Strategic Thinking & Alignment Change Orientation Networking Management

Thank You