Competency-Based HR Management 747

1
Saturday, August 02, 2014

Group No. 2
Hitendra Singh Akash Agarwal
Sourabh Khare Richa Jha
Anjali Kumari Aman Sinha
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Agenda
Introduction to Competency Based HRM
Competency Modeling
Competency Based Interview Methods
Competency Based Training and Development
Competency Based Performance Management
Competency Based Career & Succession Planning
3
Competency-Based
HR Management :
An Introduction
4
Skill
Job Attitude
Knowledge

Observable Behavior

Job Performance

Competency
Understanding Competency
5
Competency
A combination of skills, job attitude,
and knowledge which is reflected in
job behavior that can be observed,
measured and evaluated.
Competency is a determining factor
for successful performance
The focus of competency is
behavior which is an application of
skills, job attitude and knowledge.
Definition of Competency
6
Competency and Job Description
JOB DESCRIPTION
Looks at what to do
Studies the elements
of the jobs
Defines the job into
sequences of tasks
necessary to perform
the job
COMPETENCY
Looks at how to do
Studies the people
who do the job well
Defines the job in
terms of the
characteristics and
behaviors of these
people
7
Types of Competency
Managerial Functional
8
Managerial competency (Soft Competency)
This type of competency relates to the ability to
manage job
Develop an interaction with other persons
Example : problem solving, leadership,
communication, etc
Types of Competency
9
Types of Competency
Functional competency (Hard Competency)
This type of competency relates to the functional
capacity of work
It mainly deals with the technical aspect of the
job.
Examples: market research, financial analysis,
electrical engineering, etc.
10
Competency Identification Process
Clarify
Organizational
Strategy and
Context
Competency
Identification
Analyze Work Role and
Process
Gather Data through
Behavior Event Interview
and Focus Group
Conduct Benchmark
Study
Generate
Competency
Models
Validate,
Refine and
Implement
11
Examples of Competency
Adaptability
Maintaining effectiveness when priorities
change and new tasks are encountered, and
when dealing with individuals who have
different views and approaches.
Effectively performing in different
environments, cultures, and locations, and
when working with different technologies and
levels of individuals.

12
Seeking Understanding:
Makes efforts to better understand changes in
the environment
Actively seeks information or attempts to
understand nature of individual differences,
logic, or basis for change in tasks and situations.
13

Embracing change:
Approaches change or newness with a positive
orientation
Views change or newness as a learning or
growth opportunity.

14

Making accommodations:
Makes accommodations in approach, attitudes,
or behaviors in response to changing
environmental requirements.
15
Analysis/Problem Assessment:
Securing relevant information
Identifying key issues and relationships from a
base of information
Relating and comparing data from different
sources
Identifying cause-effect relationships.

16
Identifying issues and problems:
Recognizing major issues; identifying key facts, trends,
and issues; separating relevant from irrelevant data.
17
Seeking information:
Identifying/Recognizing information gaps or the need
for additional information
Obtaining information by clearly describing what needs
to be known and the means to obtain it
Questioning clearly and specifically to verify facts and
obtain the necessary information.
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Seeing Relationships:
Organizing information and data to
identify/explain trends, problems, and their
causes
Comparing, contrasting, and combining
information
Seeing associations between seemingly
independent problems or events to recognize
trends, problems, and possible cause-effect
relationships.
19
Performing Data Analysis:
Organizing and manipulating quantitative
data to identify/explain trends, problems, and
their causes.

20
Recruitment &
Selection
Training &
Development
Performance
Management
Reward
Management
Career
Management
COMPETENCY
FRAMEWORK

BUSINESS
STRATEGY

BUSINESS
RESULTS

Competency based People Strategy
HR Management Framework Based on
Competency
The competency framework will be the basis for all HR functions and
serve as the "linkage" between individual performance and business
results
21
Benefits of Using Competency Based
HRM
Identify performance criteria to improve the accuracy
and ease of the hiring and selection process.
Clarify standards of excellence for easier
communication of performance expectations to direct
reports.
Provide a clear foundation for dialogue to occur
between the manager and employee about
performance, development, and career-related
issues.
22
Identify the success criteria (i.e., behavioral
standards of performance excellence) required to be
successful in their role.
Support a more specific and objective assessment of
their strengths and specify targeted areas for
professional development.
Provide development tools and methods for
enhancing their skills.
Benefits of Using Competency Based
HRM
23
Alignment
Integration
Distribution
Acculturation
Self Direct Application

Characteristics of Successful Implementation
24
Alignment: Competencies impact systems
that actively support the organizations vision,
strategy, and key capabilities.
Integration: Competency initiatives that
produce the most significant change are
applied systemically across a range of HR
development processes.
25
Distribution: Competency standards alone
produce little effect. They must be actively and
relentlessly communicated and installed with
users.
Acculturation: In competency systems that
work, they become part of the culture and the
mindset of leaders through repeated application
and refinement over a significant period of time.
26
Self-Directed Application: Competency
systems frequently fail because they are too
complex or require an unsustainable level of
sponsorship or program support.
Implementations that work best focus on the
development of tools that can produce results
for users with relatively little ongoing
support.
27
Our Discussions with the Industry
28
Discussing CB-HRM with Infosys
Competency given importance at all sub
functions of HRM
The Organizational Efficiency Team defines
competencies for all positions
Competency based selection applicable to
senior management positions
Competency Profiler is attached to the
resume of a candidate
29
The Competency Profiler used throughout
the career even during the appraisals (Twice in
a year)
Appraisals also allow exchange of two way
expectations
Training modules are on the basis of
competencies defined by the Organizational
Effectiveness Team
30
A portal Lakshya aimed at letting the
employees express there career goals, Infosys
tries to help them meet these goals
Succession planning involves extensive use of
Competency Profiler

31
Discussing CB-HRM with Tech-Mahindra
Positional Competencies defined by the
Corporate HR team
Recruitment and Support HR teams need to
follow competency models
Recruitment strictly on the basis of competency
Senior management positions filled with internal
sources notwithstanding the competencies
exhibited
Competencies integral part of training and
appraisals
32
Agenda
Competency Modeling
33
Competency Modeling
34
Competency Modeling
A process that defines the skills, knowledge, and
organizational values that drive leadership
effectiveness
The outcome of this process is a set of
competency models that represent the
intersection of business strategies,
organizational culture, and leadership
requirements
35
Importance of Competency Modeling
Provides a basis for evaluating how people
accomplish results in an organization
It helps an organization address key questions,
including:
How does it measure how its employees
achieve results?
How does it accurately differentiate
between top, medium, and bottom
performers?
How does it provide employees with
performance feedback in a productive way?
36
Best Practices in Competency Modeling
Competency models should be developed for
each major job or job family
It should be defined based on input from experts
and high performers in the job
Should be unique to each organization and
reflect its culture
Should be incorporated into all relevant
organizational systems

37
The PCMM Model for Competency
People Capability Maturity Model
The primary objective is to improve the
competency of the entire workforce
Consists of five maturity levels
Each maturity level is an evolutionary stage at
which one or more domains of the organization's
processes are transformed to achieve a new
level of organizational competency level

38
PCMM Maturity Level 1: Initial
At Level 1, an organization has no consistent
way of performing workforce practices.
Most workforce practices are applied without
analysis of impact

39
At Level 2, organizations establish a foundation
on which they deploy common workforce
practices across the organization
The goal of Level 2 is to have managers take
responsibility for managing and developing their
people. For example, the first benefit an
organization experiences as it achieves Level 2
is a reduction in voluntary turnover
The turnover costs that are avoided by improved
workforce retention more than pay for the
improvement costs associated with achieving
Level 2.
PCMM Maturity Level 2: Managed
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At Level 3, the organization identifies and
develops workforce competencies and aligns
workforce and workgroup competencies with
business strategies and objectives
For example, the workforce practices that were
implemented at Level 2 are now standardized
and adapted to encourage and reward growth in
the organization's workforce competencies
PCMM Maturity Level 3: Defined
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At Level 4, the organization empowers and
integrates workforce competencies and
manages performance quantitatively
For example, the organization is able to predict
its capability for performing work because it can
quantify the capability of its workforce and of the
competency-based processes they use in
performing their assignments

PCMM Maturity Level 4: Predictable
42
At Level 5, the organization continuously
improves and aligns personal, workgroup, and
organizational competency
For example, at Maturity Level 5, organizations
treat continuous improvement as an orderly
business process to be performed in an orderly
way on a regular basis

PCMM Maturity Level 5: Optimizing
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Other Competency Models
Hay Mcber Model:
Proponents of this model believe that behaviors
are the driving force behind an individual's ability
to perform and therefore, behavioral assessment
becomes important indicators in employee
selection, development and rewards
44
Campions Model:
Suggests that teams composed of individuals
with complementary competencies are more
effective and have higher levels of job
satisfaction than teams whose members have
the same competency sets. This is especially
true for work that is complex and varied in
scope. For routine work, the benefit of
heterogeneous team member competencies is
less noticeable.
45
Traditional Person-Job Match Model:
This model assumes that employees have jobs
with specific and identifiable tasks. Job-based
staffing is measurement and assessment driven.
This model works best with organizations
defined by stable environments.

46
Strategy Based Model:
This model assumes that employees have roles
defined by the organization's strategic goals.
Role-based staffing is strategy driven. Work is
flexibly defined and often carried out in a
flattened, decentralized or matrix structure. This
model functions most effectively in organizations
in competitive, complex or highly stressed
environments
47
The Strategy Development Model:
This model assumes that employees with broad,
potentially strategic "attributes" will create their
own roles which interact to produce the
organization's strategy. Work is constantly
evolving within a network of organizational
relationships. This model is described in terms of
organizations in chaotic, unpredictable, or very
rapidly changing environments
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Agenda
Competency Modeling
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Agenda
Competency Modeling
50
Competency-based
Interview for Selection
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Competency Based Selection Process.
Steps in a good selection process
Selection centre
Types of interviews

52
Steps in a Good Selection Process
Develop competency model for the target job.
Selected or develop assessment methods.
Train Assessors in the assessment method.
Validate the selection system
Assess the competencies of candidates for jobs.
Maintain DBMS of candidates
53
Steps in a Good Selection Process
Test exercises and interviews
Job interview
Leaderless group exercises
Business production games
Role play
Peer coaching and counseling exercises
54
Selection Centre
Interviews. (1 to 1 & panel )
Group discussions.
Written examination & calisthenics.<exercises>
Example:- (aptitude & personality test,
In-Tray & Drafting exercise.)
It is a real achievement to get an assessment
center and it means you have a good chance of a
job offer. The following gives some vital information
about the situations one is likely to face.
It covers :
55
Types of Interview
Competency Based Conventional
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Conventional Interview
Unstructured :

Is a type of interview where the questions are not
designed systematically and not properly
structured.
There is no standard format to follow, therefore the
process of interviewing can go in any direction
57
Has low reliability and validity there is no
accuracy in predicting performance
Susceptible to bias and subjectivity (gut
feeling)
Conventional Interview
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Competency-based Interview (CBI)
Is a structured type of interview. The questions are
focused on disclosing examples of behavior in
the past.

The process of interview is intended to disclose
specifically and in detail examples of behavior in
the past.

Is designed based on the principle : past behavior
predicts future behavior (Candidates are most
likely to repeat these behaviors in similar
situations in the future).
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Has a high level of validity and
reliability.

Equipped with a standard scoring
system which refers to behavior
indicators
Competency-based Interview
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Approach in Competency-based Interview
S What was the Situation in which you were
involved?
T What was the Task you needed to
accomplish?
A What Action(s) did you take?
R What Results did you achieve?
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Situation
Can you explain the situation?
Where and when did the situation happen?
What events led up to it?
Who was involved in the situation (work
colleagues, supervisor, customers)?
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What tasks were you supposed to do at that time?
What did you actually do at that time?
How did you do it?
What specific steps did you take?
Who was involved?
Tasks/Actions
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What was the outcome?
Can you tell me the results of taking such action?
What specific outcome was produced by your
action?
Results
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Sample Questions in CBI

Competency: Persistence
Sample Question:
In the process of selling, we are sometimes not successful
in securing a new transaction. Can you tell me about one
or two situations where you repeatedly failed to get a new
client? What specific steps did you take? What was the
result?

65

Competency: Influencing Others
Sample Question:
Can you describe one or two cases in your effort to obtain
new customers? What did you do What was the result?
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Competency: Interpersonal Understanding
Sample Question:
Can you tell me about a situation where you faced a client
who was disappointed with your product? What was the
situation like? What specific steps did you take? What was
the result?
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Competency: Planning and Organizing
Sample Question:
In working, we often face a number of priorities that must
be tackled at the same time. Can you tell me about one or
two actual cases where you had to face such a situation?
What did you do? What was the consequence?
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Bias in the Interview Process
First
Impressions
An interviewer might make a snap
judgement about someone based on
their first impression - positive or
negative - that clouds the entire
interview.
For example, letting the fact that the
candidate is wearing out-of-the-
ordinary clothing or has a heavy
regional accent take precedence over
the applicant's knowledge, skills, or
abilities.
69
Halo
Effect
The "halo" effect occurs when an
interviewer allows one strong point
about the candidate to overshadow or
have an effect on everything else.
For instance, knowing someone went
to a particular university might be
looked upon favorably. Everything the
applicant says during the interview is
seen in this light.
70
Contrast
Effect
Strong(er) candidates who interview
after weak(er) ones may appear more
qualified than they are because of the
contrast between the two.
Note taking during the interview and a
reasonable period of time between
interviews may alleviate this.
71
Competency-based
Career Planning
72
Competency-based
Training & Development
73
Competency-Based Training Framework
Required
competency
level for certain
position

Competency
Gap

Competency
Assessment

Current
competency
level of the
employee

Training and
Development
Program

74
Steps in Competency Based Training
1. Compare skills to other job titles to see what
a person has to improve:
The database of job profiles will help the
individual to assess where he needs to improve;
what competencies are required for the next
level.
This will also motivate him to learn newer skills
by himself and nominate himself for additional
training needs.
The competence management system needs to
be open enough to be able to allow the
employees to understand what is expected of
them for being promoted
75
2. Development Plan Summaries showing all of
the skills people need to work on:
Provides a measurable rationale for training
budgets and a means to identify people to attend
course openings.
Provide individuals with the ability to view and
enroll in training and development courses as
well as books, developmental activities, etc. This
will help individuals to be able to plan their work
accordingly.
The schedules of training dates and
prerequisites need to be displayed so as to allow
the individual to take cognizance of the same.
76
3. Predict Training Demand:
The above step will help the HR department to
calculate the training staff required based on the
summation of individual plans which have come
in.
77
4. Identify individuals who are eligible to be
considered for promotion:
A good competence management system has to
be able to determine which competencies need
to be promoted and who has them so that the
overall competence level of the organization can
grow.
Also on the other hand, we also need to know
who potential replacements for an unexpected
vacancy are so that planning can be done
accordingly
78
5. Succession planning:
The competencies required for the top
management should be completed in the job
profiling, but further who should be groomed;
what competencies will be needed and how to
develop the same would require a good system
79
Competency Profile Per Position
80
Competency Profile Per Position
81
Training Matrix for Competency
Development
V =compulsory training
Training Title
82
Agenda
Competency Modeling
83
Competency-based
Performance Management
84
Competency Based Performance
Management
A system for effective performance management
starts with the identification of critical positions,
agreement on the top hard and soft skills
required for those positions
It then provides the hiring, promotion, training
and evaluation practices necessary to put the
right people in the right job
85
Elements in Competency Based
Performance Management
Establishing performance expectations for
incumbents based on the competencies
identified for that position
Providing on-going feedback, coaching,
evaluation and recognition
86
Individual Performance
elements
has two main
categories:

1. Performance Results: Hard or
quantitative aspects of
performance (result)
2. Competencies: It represents
soft or qualitative aspects of
performance (process)
Individual Performance Element
87
1. Performance Results Score

2. Competencies Score

Individual Performance Element

Overall Score

Will determine the employees
career movement, and also
the reward to be earned

88
Target should be measurable and specific
Element # 1 : Performance Results
89
Element # 2 : Competencies
[ Intermediate Advanced Expert
Actively listens, and clarifies
understanding where required, in
order to learn from others.
understanding where required, in order to
learn from others.
Empathise with audience and
formulates messages
accordingly.
formulates messages
accordingly.
formulates messages
accordingly.
Empathise with audience and formulates
messages accordingly.
Shares resources and
information.
information.
information.
Shares resources and information.
Responds promptly to other
team members needs.
Balances complementary
strengths in teams and seeks
diverse contributions and
perspectives.
Actively builds internal and
external networks.
Builds internal and external networks and
uses them to efficiently to create value.
Involves teams in decisions that
effect them.
Uses cross functional teams to
draw upon skills and knowledge
throughout the organization.
Uses cross functional teams to draw upon
skills and knowledge throughout the
organization.
Encourages co-operation rather
than competition within the team
and with key stakeholders.
Builds and maintains
relationships across The
company.
Drives and leads key relationship groups
across The company.
Manages alliance relationships through
complex issues such as points of
competing interest.
Ensures events and systems, eg IT, for
collaboration are in place and used.
Draws upon the full range of relationships
(internal, external, cross The company) at
critical points in marketing and
negotiations.
Competency : Collaboration
90
Assessing Competency through
Assessment Center
Assessment Center Characteristics:
A standardized evaluation of behavior based on
multiple inputs.
Multiple trained observers and techniques are used.
Judgments about behaviors are made, in major part,
from specifically developed assessment simulations.
These judgments are pooled in a meeting among the
assessors or by a statistical integration process
91
Types of Test in Assessment Center
In-trays or in-baskets involve working from the
contents of a managers in-tray, which typically
consists of letters, memos and background
information. You may be asked to deal with
paperwork and make decisions, balancing the
volume of work against a tight schedule.
In-Basket
Exercise
In a role play, you are given a particular role
to assume for a certain task. The task will
involve dealing with a role player in a certain
way, and there will be an assessor watching
the role play.
Role
Simulation
92
In a fact-finding exercise, you may be asked
to reach a decision starting from only partial
knowledge. Your task is to decide what
additional information you need to make the
decision, and sometimes also to question the
assessor to obtain this information.

Fact-Finding
Exercise
You may be required to make a formal
presentation to a number of assessors. In some
cases this will mean preparing a presentation in
advance on a given topic. In other cases, you
may be asked to interpret and analyse given
information, and present a case to support a
decision.
Presentation

93
Group exercises are timed
discussions, where a group of
participants work together to tackle a
work-related problem. Sometimes you
are given a particular role within a
team, for example sales manager or
personnel manager. Other times there
will be no roles allocated. You are
observed by assessors, who are not
looking for right or wrong answers,
but for how you interact with your
colleagues in the team.

Group
Discussion
94
Competency Assessment and Rating

Competency Score

Results of Observation
Through the
Assessment Center

95
Agenda
Competency Modeling
96
Competency-Based
Career and Succession
Planning
97
Career Path in a Hierarchical Organization
98
Career Path in a Flattened Organization
99
Career Planning Flow
Career Planning
System

Career Path
Design
Analysis of Employees
Future Plan
Implementation of
Development Program
100
Defining Career Path
Career Path is a series of
positions that one must go
through in order to achieve a
certain position in the company.
The path is based on the position
competency profile that an
employee must have to be able to
hold a certain position.
What Is
Career
Path?
101
Analyzing a
position or job
based on the
competency
required

Categorizing
the positions
that require
similar
competencies
into one job
family
Identifying
career paths
based on the
job family
Competency
profile
(Functional and
Managerial
Competency)
Per Position
Categorizing the
positions into a
Job Family

Career Path :
Vertical, Lateral
and Diagonal
Mandatory
training

Defining Career Path
102
Assessing Employee Career Plan
Employee
Career Needs
Assessment of the
career type of the
employee
Assessment of the
employee
competency level
(for example through
assessment center)

Organization
Career Needs
Assessment of the
competency profile
required by the
position
Assessment of the
organizations need
of manpower
planning

Match?
103
Employee Development Program
Employee
Career Needs
Organization
Career Needs
Match?
Special Assignment

Mentoring

Executive
Development Program
Job Enrichment

On the Job
Development
Apprenticeship in Other
Company
Presentation
Assignment
Training/Workshop

Desk Study

Development Programs and Interventions
104
Succession Planning
A logical step by step process of identifying,
evaluating and developing organization
leadership to enhance the overall performance
of the organization
105
Steps in Succession Planning
Identify critical jobs that the organization needs
to fill
Develop a competency model from critical jobs,
determining the competencies needed at each
step of the job family ladder
Develop the most appropriate assessment
methods (assessment centre, screening,
interviewing, etc) and assess people against the
competency model of the job
106
Make the decision whether to:
- Promote from inside
- Now or after competencies x, y, z have
been developed
- Not promote but consider
- Possible lateral transfer
- Keeping in current job de-selection
- Recruit from outside if no one in the
organization is ready or can be developed
in time
107
Feed the human resource management
information system to track:
- Promotable employees, for future
competencies monitoring
- Competency requirements of target jobs
108
Legitimate Questions
What were you trying to accomplish?
What was the first key thing you did?
How exactly did you do it?
Who else was involved at this stage?
Do you recall any conversation you had at this
stage?
What exactly did you say?
109
Legitimate Questions
What were you thinking at this stage?
What were you feeling at this stage?
Do you recall anything significant that happened
at this stage?
How did it turn out?
Is there anything at this stage that you would
wish to add that we have missed out?
What was your role?
110
Agenda
Competency Modeling
111
Question Hour
Questions are the way to
wisdom
-Confucius
112
!

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Saturday, August 02, 2014

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