COMPETENCY MODEL

MARIO MARTIN ARAMBULA MERAZ

Competencies: Understanding and
Application for Business Success

Performance Management
In the Next Millennium
 What Are Competencies?
?“Skills and abilities described in behavioral terms
that are coachable, observable, measurable, and
critical to successful individual or corporate
performance.”

?The pieces of the puzzle that form

a common language about success
 PERFORMANCE MANAGEMENT
THE MANAGEMENT PROCESS REQUIRE THE CORE COMPETENCIES FOR GETTING A SUCCESFUL
CONECTION IN THE CHANGING AND INNOVATING ENVIROMENT

STRATEGY

HUMAN
CAPITAL

TECHNOLOGY PROCESS
What are Competencies vs. Job Descriptions?
?Competencies are:
– Skills and abilities described
in behavioral terms that are
coachable, observable,
measurable, and critical to
successful individual or
corporation performance
– There are typically three types
of competencies:
• Universal: Applicable to all
employees
• Transferable: Applicable
to several roles in varying
degrees of importance and
mastery
• Unique: Applicable to a
specific role or job
?Job Descriptions are:
– Summaries of the most
important features of a job,
including the general nature
(duties and responsibilities)
and level of the work
performed
– They typically include job
specifications, which are
employee characteristics
required for competent
performance of the job. A job
description should describe
and focus on the job itself and
not any individual who might
fill the job
Why Competencies vs. Job Descriptions?
?Competencies:
– Identify the “how” of
performance by characterizing
the necessary requirements of
persons in a given role
– Reinforce business strategy by:
• Communicating what the
company values
• Building the appropriate
culture for success
• Rewarding the person, not the
job, for superior performance
in roles that have a critical
impact on organization success
?Job Descriptions:
– Identify the “what” of
performance by describing the
essential functions of a given
job
– Are reference tools useful in:
• Job evaluations
• Determining the status of a job
(exempt vs. non-exempt)
• Salary surveys/position
matching
• Job posting
• Dealing with legal issues (e.g.,
ADA, FLSA)
Competencies: Bridge between personal
characteristics to job requirement

? Personal ? Specific
Characteristics Job
Requirement

? Competencies: ? Specific
? Personal
Characteristics – Bridge the Gap Job
– Help to Make Requirement
Better Matches
? Personal ? Specific
Characteristics Job
Requirement
 Linking Competencies to Strategy
– Business strategy drives competencies
– Competency applications reinforce strategy by:
• Communicating values to workforce
• Building the appropriate culture for success
– Competencies integrate HR management systems
around factors that contribute to organizational
success
Organization
Organization
Results
Results Employee
Employee
Organization
Organization Needs
Needs
Strategy
Strategy
People Employee
People Employee
Requirements
Requirements Values
Values

Human
Human
Resources
Resources
Strategy
Strategy

Human
HumanResources
Resources
Practices,
Practices, Policies,Programs,
Policies, Programs,Profile
Profile
Different Competencies for Different
Strategies

?Examples
Product Leadership Customer Intimacy
• Innovation • Relationship Building
• Flexibility • Interpersonal Skills
• Conceptual Thinking • Partnering
• Continuous Improvement • Negotiation
• Technical Expertise • Organizational Savvy

Operational Excellence
• Analytical Thinking
• Continuous Improvement
• Attention to Detail
• Teamwork
• Resourcefulness
 Integrated HR Management Systems
• Organization gap analysis
• Planning for future • Headcount required
leadership needs
• Talent development
Workforce
Planning • Position profiles
Succession
Planning • Interview questions
• Competency Survey
Selection
• Leadership
competency
profiles Leadership
• Strategic Development
• Competencies linked to
orientation
Competencies Performance
goals
Management • Management process

Training
• Development
activities linked Compensation
Career • Pay increase based on
to competencies Development competency development
• Competency • Recognition for demonstrating
assessment tools competencies
• Competency • Competencies as roadmap • Career bands based on
development for career development competencies
program • Competencies certification • Job valuation
Key Factors for Success Model

Working with people

Developing Others Communicating and Sharing
Information
Stablishing Relations
o f Job Strength Influencing in Actions and Decitions

Conflicts Solutions
Takind Correct Decitions Making That Things
Continuos Learning Awarness in Results Happening
Flexibility and Accesibility Teamwork Promoting Change Management Business and Finantial Perspective

Situations Survey Key Factors for Success Planning and Organization

Solving the Complexity Built a climate of confidence Resources Administration

Understand the Market and
Atention in details Customer Perspective Responsabilities Taking

Solving Problems
Business Knowledgement

Functional Experience

Product and Service Knowledgement

Industry Knowledgement

Technical and Profesional Skills Applying

 Competency Model
?“A group of related competencies that together describe
successful performance for a particular job or role, or in a
particular organization.”

Improving Relations and Understanding

Labor Relations Leadership

Technical Writing Negotiation/Diplomacy
Multimedia Presentation Foreign Language
Retail Marketing Training Ability/Facilitation
Cultural Sensitivity
Meeting Planning
Servicing Our Customers Focusing our Efforts
Dealer Operations Communication Analytical Skills
Policy and Contract Administration Teamwork Systemic Thinking Time Management/Prioritization
Warehousing/Distribution Adaptability Project Management
Internal Technology Standards Competitive Analysis
Contracting Living Our Value Financial Analysis/Budgeting
Consumer Laws
Market Representation/Dealer Strategy Thinking
Development Customer Focus Responsibility
Parts Inventory Management
Distribution Practices Continuous Improvement
Business Process
Reengineering Financial Accounting Methods Technical Applications
Testing Methods Industry/Functional Knowledge Money Rates Principles
Company Product Knowledge Financial Consulting
Computer Applications Planning (Fin, Tax, etc.)
Parts Application Knowledge Engineering Principles
Parts Application Knowledge Telecommunications Applications
Logistics/Material Handling Audit Applications
Purchasing Methodology

Applying Knowledge
 Competency Description Diagram

C
C SELECTION
O CUSTOMER INTERVIEW ROLE SELECTION
O ROLE AND HIRING
M AND HIRING
M DESCRIPTION
DESCRIPTION
P
P
A
A Duties
N COMPETENCIES Duties
N EXPERT PANELS Responsabilities
Y REQUIRED Responsabilities DEVELOPEMNT
Y Competencies DEVELOPEMNT
Competencies AND TRAINING
S AND TRAINING
S Knowledge •Individual Plans
T •Individual Plans
T Skills •Training Budget
R ONE ON ONE INTERVIEW JOB
JOB •Training Budget
R Abilities
A Behavior
DESCRIPTION
DESCRIPTION
A
T
T
E Profile PERFORMANCE
E Profile
G AND
G BEST PRACTICES
Y COMPENSATION
Y

LENS WHEN JOB

IS DONE VERY WELL
 Competency Process
ANALYSIS COMUNICATION PERFORMANCE IDENTIFICATION
STRATEGIC STANDAR
STEP I • Top Management • Competencies
STRATEGY • Planning • Proyect and Plan • Personal Goals • Dictionary
• Process • Participation • Survey Tools • Competencies
• Culture • Involving • People Training Matrix

JOB PROFILE PERSONAL COMPATIBILITY IDENTIFYING

PROFILE MATRIX
STEP II • Profile Design • Job-Personal
IMPLEMENTATION • Profile • Personal Survey • Gap • The Bests
Validation • Competencies Ranking
Identification • Factors Ranking

IDENTIFYING BEHAVIORAL RECRUITMENT FEEDBACK

OPORTUNITIES • Individual
STEP III • Learning Contribution • Selection • Personal
DIAGNOSTIC • Development • Team • Integrating • Oportunities
• Training Membership • Attrition • Development Plan
• Promotion • Leadership • Compromise

PERFORMANCE CAREER PLAN PERFORMANCE COMPENSATION

REVIEW • Individual Plan STABLISHING
STEP IV • Annual • Collective Plan • Job Valuation
ALIGNING Performance • Certification • Next Period • Bands
• Gap • Development • Aligning with • Dynamic
• Results Feedback Matrix Company results Compensation
 Competency Design Process
Phase I: Plan Project/Conduct Environment Scan
• Project planning
• Executive interviews
• Employee focus groups and survey
• Present results and gap analyses
• Define philosophy, strategies, and success measures
COMMUNICATION
Phase III: Link the Model to HR Applications
• Staffing/workforce planning
• Career development and training
• Performance management
• Compensation
Phase II: Build the Competency Model
• Choose appropriate level(s) for the model
• Identify and define competencies
• Consolidate and validate data
• Establish measurement method
Phase IV: Plan for Implementation
• Rollout strategy
• Communication strategy
• Training
• Measure results
 Identifying Competencies
Business Strategy • Other than actually selling, what is the most important
contribution the sales staff can make to the Company?
• How will the new organization be structured?

Customer Requirements • Can you describe who your customers are?

• Will these be the same type of customer you will
have in five years?
• How do customers differ? Urban versus
rural differences?

Expected Results • If you were the customer, what words would you
Competencies use to describe the services you expect from an XYZ
Required sales person?

Capabilities Needed to • What know-how, skills, and behaviors are necessary

to deliver superior results or carry out the job/
Deliver Expected Results process effectively?
• What capabilities are required to do a “good job”? A high
performer must be “able to”...
 Classifying Competencies
Universal
Transferable

?Types of Competencies Unique

– Universal
• Reflections of the company’s values, culture, and
business imperatives that should be exhibited by
all employees
– For example, guiding behaviors such as cost effective
service delivery, customer focus, teamwork, communication
skills, initiative
– Transferable
• Skills and abilities needed within several roles in
varying degrees of importance and mastery
– For example, managerial and leadership skills
– Unique
• Specialized know-how or abilities required within a
specific role or job
– For example, technical skills
 Competencies: What They Look Like

? Universal ? Teamwork
Committed to helping the team achieve all of its
short- and long-term goals and tasks

? Transferable ? Negotiation
Makes effort to understand all sides of the issue; is
willing to give and take for the overall good of the
project
or organization without minimizing overall
effectiveness

? Unique ? Marketing Strategy

Develop marketing strategies across a product
category and/or the entire company, thus leading
to a sustainable competitive advantage
Sample Competency Classifications

Marketing Sales
Manager Manager
Persuasiveness
Sales Forecasting
Visioning
Distribution Channels
People Development Product Development
Advertising Promotion Communication Competitor Product

Marketing Media Customer Focus

Ownership

Research Skills Teamwork

Negotiation
Resourcefulness
Time Management Stress Management

Empathic Listening
Company Knowledge

Policy Administration

Telephone Etiquette

Warranty Policy Universal

Customer Transferable
Unique
Service Rep.
 Case Study 1:
An Overview of the Process

Business Assessment People Assessment Gap Analysis and Closure

External Pivotal roles Future requirements vs.

environment Required current assessment
Regulatory competencies Quantities
Technical Universal Qualifications
Educational Transferable Competencies
Industry Leadership Diversity
Demographics Functional/Technical Plans for addressing gaps
Business plans Demographics Education/development
and strategies Age, Service Redeployment
People requirements Education Succession planning
Culture/values Diversity Mobility between units
Value disciplines Turnover Selection/deselection
 Key Learnings In Design

– Focus on identifying the few competencies critical for

success
– Competencies should be communicated as business-
driven,
not HR-driven
– Line management should participate in
implementation
– HR management systems must deliver messages that
support the competency model
– Shift thinking to “continuum of development” rather
than “achieved” versus “not achieved” dichotomy