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  • 8/6/2019 Reading Three for ADHRM - Competency Based Assessment

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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.


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