Every job requires individuals to possess a defined set of competencies so that they can do justice to it. The interesting part of the term, competency, is that it puts emphasis on what a person can learn rather than what a person can do. Competencies with their behavioral indicators allow for the projection of appropriate skills and behavior while incorporating self-knowledge, motivation, and a desire to show effective performance.
With new and diversified challenges coming into play, a major shift in human resource management practices is now steadily visible. The competitive advantage acquired through the introduction of new products, technology, and information system is ephemeral. Nowadays, employee skills and their contribution matter, as it has a direct impact on an organization’s people and performance. In order to adopt an organized approach towards the changing human resource management, it is essential for organizations to have a structured and uniform competency framework.
A competency framework is a comprehensive structure that explains different competencies with its definite set of behavioral indicators and measurement criteria. A majority of organizations have their unique set of competency frameworks, which are aligned to their visions and missions, as well as long- and short-term organizational goals.
Some of the major aspects that need to be considered in developing a competency framework are:
Whether organizations intend to develop the competency framework from scratch or expand their existing framework to make it more useful, it would be of great help to take the following points into consideration.
It is also essential for an organization to have a competency-based assessment, once it has built a well-defined competency framework. Such an assessment will provide the objective evaluation of an employee’s performance.
Types of competency assessments
Some of the common types of competency assessments are as follows:
It allows individuals to evaluate themselves against behavioral indicators, behavioral anchors, or work outputs. If an organization completes its job-specific competency models, an individual will be able to choose from a library of assessments.
It’s the evaluation of the report coming directly from managers. These results are helpful in framing specific individual development plans and allotting current and future work assignments. The plus point about this assessment is that it requires minimal or nil administrative effort and can be done quickly.
360-degree assessment gathers data in a full circle around an individual and is sometimes also called as a full-circle assessment. The assessment is based on either a general or job-specific competency model. It has turned to be a widely used and well-accepted measure of competency, as it is easier to develop as compared to skill tests, certifications etc.
180-Degree assessment gathers data in a half circle around an individual. The assessment requires the individual to self-rate them using competencies as estimated by behavioral indicators or work outputs, an immediate supervisor ad subordinates are also invited to rate their competencies. It takes less time and administrative effort as compared to 360-degree assessment but there also exists a risk of leaving out an important perspective.
Organizations ask the subject matter experts and supervisors to verify the competencies by providing them the proper verification tools. In the initial step desired learning outcomes are defined where learners are required to understand some specific terminologies, identify different components or know the reporting requirements. When the learners are prepared to be evaluated the observers watch and assess the performance with the help of pre-developed rating sheet.
Competency framework and assessment provides a comprehensive picture of the skill map of the organization, its potential future leaders and the development needs which acts as a guide for taking an effective approach towards talent management.