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Reading ThreeWHAT IS A COMPETENCY?
There are various definitions given for the term competency. Combining
the basic ideas embedded in all definitions, competency can be defined
as:
A combination of knowledge, skills, attitude and personality of an individual as applied
to a role or job in the context of the present and future environment, that accounts for
sustained success within the framework of Organizational Values.
Sometimes competencies are also defined as cluster of successful behaviors.
FIVE TYPES OF COMPETENCY CHARACTERISTICS:
1. Motives: the things a person consistently thinks about or wants that cause action.
Motives drive, direct, and select behavior toward certain actions or goals and awayfrom others.
E.g. Achievement-motivated people consistently set challenging goals for themselves and
use feedback to do better.
2. Traits: physical characteristics and consistent response to situation or information.
E.g. reaction time and good eyesight are physical trait competencies of combat pilots.
3. Self-concept:A persons attitude, values, or self-image.
E.g. Self-confidence, a persons belief that he can be effective in any situation is a part ofthat persons concept of self.
4. Knowledge: Information a person has in specific content areas
E.g. A surgeons knowledge of nerves and muscles in the human body.
Skill: The ability to perform a certain physical or mental task.
E.g. A dentists physical skill to fill a tooth without damaging the nerve.
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 ofpeople. But attitude, trait and motive competencies are more hidden deeper 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:
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WHAT IS A COMPETENCY MODEL?
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 road map for the range of behaviors that produceexcellent performance.
BENEFITS OF COMPETENCY MODELS
Competency models have strategic value as performance improvement vehicles. Benefits
include...
They make explicitthe clusters of knowledge, skills, and personal attributes that
lead to high performance in specific jobs and roles. This information can be
transmitted to employees.
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.
visible
hidden
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Competency models are behavior-based performance standards against whichpeople and units can be measured. They provide a behavioral vision for the kinds
of performance necessary to successfully implement worldwide business
strategies
NEED FOR A COMPETENCY MODEL
Organizations are using competencies in virtually every human resource domain.
STAFFING ASSESSMENT PERFORMANCE DEVELOPMENT
TRAININGAND DEVELOPMENT CAREER MANAGEMENT
Competencies are used as the key criteria 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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WHAT IS COMPETENCY MAPPING?
Competency Mapping is a process of identifying key competencies for an organization
and/or a job and incorporating those competencies throughout the various processes (i.e.
job evaluation, training, recruitment) of the organization.
BUILDING COMPETENCY BASED PEOPLE PROCESSES
1. COMPETENCY BASED SELECTIONCompetency 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 MBAs from lesser-known business schools.
There is a need for competency based selection because:The person employed performs poorly in a critical job for he lacks the
competencies required for that role.
There is high turnover due to high failure rate among new hires.
The organization needs to identify new hires with the potential to become future
managers or leaders.
A gap between the competencies needed and what the organization can hire for
indicates the training new hires will need.
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.
2. COMPETENCY BASED PERFORMANCE MANAGEMENTPerformance has two dimensions
a) Achieving business resultsb) Developing individual competencies
These days performance appraisal is seen by managers and employees as a bureaucratic
paperwork exercises that they do not take seriously because it has little impact on
employee development. Performance appraisals do not address the employees questionsabout skill development or career advancement.
Competency based performance management would
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Focus on HOW of performance and not on WHAT of performance i.e. noton results but how the results are achieved
Link to development of the individual and not just rewards
Competency based PMS shift the emphasis of appraisal from organization results to
employee behaviors and competencies demonstrated and hence help identify
development gaps.
3. COMPETENCY BASED TRAINING AND DEVELOPMENTIf 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.
Firstly there is a need to determine the competencies for a particular position
Secondly identify the competencies of the person holding that positionBy mapping the competencies, gaps can be identified in terms of the
competencies for that role and the competencies of the person doing that role to
diagnose the training and development needs.
Identify the most appropriate training and development methodology for each
trainable competency
Accordingly, the person can be trained on those competencies only.
Competency based training programs clearly tell what should be the competency level of
the person entering the program. This would drastically reduce the training cost for the
organization
It is also helpful in career planning. Employees can match their proficiency in
competencies with the competencies requirements of various jobs. Based on the match
employees can apply for a job or consider other job opportunities.
4. COMPETENCY BASED COMPENSATIONCompetency 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.
There is a need for competency based compensation system
To attract more competent than average employees
To reward for results and competencies developed
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To motivate employees to maintain and enhance their skills and competenciesregularly
By rewarding employees who develop relevant competencies the organization
can benefit by improving its own capability to face the future
BENEFITS OF IMPLEMENTING A COMPETENCY-BASED APPROACH
For the company Establish expectations for performance excellence Improved job satisfaction and better employee retention Increase the effectiveness of training and professional development programs bylinking them to success criteria
Provide a common understanding of scope and requirements of a specific role Provide a common, organization wide standards for career levels that enableemployees to move across business boundaries
For Managers
Identify performance criteria to improve the accuracy and ease of the selectionprocess
Provide more objective performance standards Easier communication of performance expectations Provide a clear foundation for dialogue to occur between the managers andemployees and performance, development and career-oriented issues
For employees
Identify the behavioral standards of performance excellence Provide a more specific and objective assessment of their strengths and the toolsrequired to enhance their skills
More clear on career related issues
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WIPRO CONSUMER CARE AND LIGHTING (WCCLG), BANGALORE
At Wipro Consumer Care and Lighting, Bangalore a competency framework was
developed for the sales force to ensure that all the people processes at WCCLG are
competency driven. The methodology adopted to identify competencies was as follows:
METHODOLOGY
1. Collection of data by way of: Observations (Sales Visits) Questionnaires Behavioral Event Interviews Other Interviews
2. Identify behaviors from the data collected through the above mentioned sources3. Forming clusters for similar behaviors and putting them together to define
competencies
4. Validate the competencies with other Sales Models and the results obtained fromquestionnaires.The data to form the competency model for the three positions ofStockists Salesman,
Sales Officer and Area Sales Manager at WCCLG were collected from various
sources. The sources included:
1. OBSERVATIONS2. BEHAVIORAL EVENT INTERVIEWS3. OTHER INTERVIEWS (Comparing the best and the worst employees)4. QUESTIONNAIRES
OBSERVATIONS
Observations were made in the form ofSALES VISITS. These market visits were done
to understand the nuances of the sales process followed at WCCLG and the behaviors
displayed by an SO and SSM in the market while making a sales call.
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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BEHAVIORAL EVENT INTERVIEWS
The Behavioral Event Interview 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 actionshe has shown in actual situation.
The main reason why behavioral interviews were conducted for the following reasons:
To come out with behaviors demonstrated which were later clustered to form acompetency
Precision about how competencies are expressed i.e. how they have been used atwork
Empirical identification of competencies beyond or different from those generatedby other data collection methods
The Behavioral Event Interviews were conducted at the level of: Stockists Salesman Sales Officer Area Sales Manager
The interview included questions like Can 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 SOI show my team the outlets they can go to and help them sell
Behaviors identified from this statement are as follows:
Personally monitors the teams performance Gives practical assistance and support to the team Gives them suggestions to improve their performance Sensitive to individual issues
On the same lines, other behaviors, which were similar, were clustered together to form a
competency.
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OTHER INTERVIEWS (BEST VS WORST)
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:
BEST WORST
Able to handle strong team members, They love to work with yes men
strong in terms of independent kind of people; nobody
challenging
thinkingable to work with them their authority
This clearly helped identify behaviors for various competencies.
QUESTIONNAIRES
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.
In the questionnaire competencies from two validated models were used:
1. Competency Model for Salespeoplefrom the book COMPETENCE ATWORK by Spencer & Spencer
2. Competency Dictionary ofWipro Technologies
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 Stockists Salesman.
The following competencies were identified:
Client service Team Building Specialist Knowledge Planning Initiative Problem solving
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Self Confidence Achievement Orientation Drive Persuasiveness Oral Communication skills Innovation
Few of these competencies have been described below with definitions, positive and
negative indicators.
CLIENT SERVICE
DEFINITION
Understands clients needs, their expectations by building good interpersonal relationship
with them and provides them with regular service and reasonable solutions to address
their needs.
DESCRIPTION POSITIVE INDICATORS
1.
BUILDS GOOD INTERPERSONAL
RELATIONSHIP WITH THE CLIENTS
Understands client categories andmodifies own behavior
Initiates conversation with theclients (retailers and distributors)
High visibility through frequentvisits
Develops contacts Develops trust with theretailers and distributors
2.
UNDERSTANDS CLIENT BEHAVIOR
AND EXPECTATIONS
Understands non verbals Listens to clients perspectivepatiently
Updates the retailers with thechanging schemes
Does regular follow up
3.ADDRESSES THEIR UNDERLYING
ISSUES
Presents reasonable solutions tothe retailers/ distributors
Goes beyond routine to addresstheir issues
Takes personal responsibility toaddress their issues
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NEGATIVE INDICATORS
Complaining customers Low frequency of visiting the market Getting into fights with distributors Not responsive to client issues and requests Leaves the retailers uninformed of changing schemes
DESCRIPTION SSM SO ASM
Builds good
interpersonal
relationship with
the clients
Initiates
conversation with
the retailers
Builds trust with
the retailers and
distributors
High visibility with
the retailersUnderstands client
category and
modifies own
behavior
High visibility
with the retailers
and distributors
Makes retailers
aware of
changing
schemes
Initiatesconversation with
the retailers
Develops
contacts
Develops
credibility
with the
distributors
Builds good
rapport with
the
distributorsand other
external
clients
Understands
client behavior
and expectations
Updates retailers
with the changing
schemes
Listens to clients
(retailers)
perspective
patiently
Follows up with the
retailers
Understands non
verbals
Listens to clients
(distributors/
retailers)
perspective
patiently
Follows up with
the retailers
Addresses their
underlying
issues
Takes personal
responsibility to
solve their
problems
Goes beyond
routine address
their issues
Provides the
retailers with
options to solve
their problems
Takes personal
responsibility to
resolve their
problems
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TEAM BUILDING
DEFINITION
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 highstandards for the team.
DESCRIPTION POSITIVE INDICATOR
1.
DELEGATES
RESPONSIBILITIES CLEARY TO
THE TEAM
2. HELPS TEAM UNDER
PRESSURE
Provides team with suggestions andsupport to meet their targets
Provides them with practicalassistance
Personally monitors theirperformance
Keeps their morale high Gives them regular feedback Sensitive to individual issues Takes responsibility for teamsperformance
3.
EMPOWERS THE TEAM
Invites ideas from the team Shares information with the team Involves them in decision making Tries to implement the suggestionsgiven by the team
Respects them and gives themenough independence
Able to handle strong team members Shares the credit for success withteam
4.
PROMOTES EXCELLENCE IN
THE TEAM
Identifies performers in the team Appreciates the effort put in by theteam Rewards the performers Sets examples for the team Coaches and trains them Updates them on products, industry Promotes team work
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NEGATIVE INDICATORS
Keeps decision making to himself; doesnt delegate Loves to work with yes men who dont challenge his authority Threatens the team to meet targets; doesnt motivate Criticizes teams performance Exposes the team to superiors Non supportive in terms of giving assistance / resources Gives inappropriate/ critical feedback Makes no effort to train people
DESCRIPTION SO ASM
Delegates
responsibilities
clearly to the
team
Assigns duties clearly to
SSMs
Helps the team
under pressure
Personally monitors teamsperformance
Gives them practical support
and assistance
Sensitive to individual issues
Gives them regular feedback
Keeps their morale high
Provides the team with theresources required to meet
the targets
Takes responsibility for
the teams performance
Empowers the
team
Sets examples for the team
Invites ideas from the team
Shares information with the
team
Tries to implement
suggestions given by the
team
Respects and gives them
independence
Open to ideas from the
team
Includes the team in
decision making
Able to handle strong team
members
Shares the credit for
success with the team
Promotes
excellence in the
team
Appreciates the effort put inby the team
Trains and coaches them
Sets examples for the team
Sets high standards for them
Identifies performers
Rewards the performers
Appreciates the efforts putin by the team
Updates the team with
products, industry
Promotes the team work
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PERSUASIVENESS
DEFINITION
Is assertive in approach and has the ability to influence others opinion and ideas; is
skillful at negotiation.
DESCRIPTION POSITIVE INDICATOR
1. BASIC INFLUENCING
SKILLS
Assertive in approach Able to get people on his side with conviction
2. NEGOTIATION SKILLS
Exerts subtle pressure on distributors/retailersto convince him
Makes parties arrive at consensus throughnegotiation
NEGATIVE INDICATORS
Very soft while making sales pitch Unable to influence the client Unable to close an issue through negotiation Lacks conviction
DESCRIPTION SSM SO ASM
Basic influencing skills
Aggressive inapproach
Able to getpeople on his side
with conviction
Aggressive inapproach
Negotiation skills Exerts subtlepressure on
distributors and
retailers to
convince them
Exerts subtlepressure on
retailers and
distributors to
convince them
Makesexternal parties
come to
conclusion
through
negotiation
Other competencies have also been defined in a similar way.
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CHAPTER- 3 VALIDATION OF COMPETENCIES
QUESTIONNAIRE
COMPETENCIES MODEL COMPETENCIES
ACHIEVEMENT ORIENTATION ACHIEVEMENT ORIENTATION
INITIATIVE INITIATIVE
SELF CONFIDENCE SELF CONFIDENCE
CUSTOMER SERVICE ORIENTATION CLIENT SERVICE
PROBLEM SOLVING PROBLEM SOLVING
RELATIONSHIP BUILDING TEAM BUILDING
INTEGRITY PERSUASIVENESS
ORAL COMMUNICATION ORAL COMMUNICATION
SPECIALIST KNOWLEDGE SPECIALIST KNOWLEDGE
DEVELOPING STAFF DRIVE
EFFECTIVE DELEGATION INNOVATION
PLANNING
Therefore it was found that most of the competencies identified in questionnaires did
appear in some form in the model developed
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This competency framework has been put in the Recruitment Manual of WCCLG,
which is used by them as a guide to select employees on the basis of the competencies
defined for each level.
They are working to include the concept of competencies in other HR processes so that
they are aligned to each other and speak to each other using a uniform language called
COMPETENCIES.