SPE 81117
Competency Systems – A Task Based Learning and Development Method
Carlton H. Abder, SPE, Halliburton Trinidad Limited and Bruce D.Thomas, SPE, Halliburton Energy Services Group
Copyright 2003, Society of Petroleum Engineers Inc.
This paper was prepared for presentation at the SPE Latin American and Caribbean Petroleum
Engineering Conference held in Port-of-Spain, Trinidad, West Indies, 27–30 April 2003.
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Abstract
This paper is based on the field application of competency
systems within an oilfield service company. It defines
competency systems, reviews and summarizes literature on
Competency Systems, and demonstrates the shift from
traditional classroom training to a competency based approach
within the service sector of the petroleum industry.
The paper defines the need for knowledge, skills,
behaviors,m and experience necessary for an individual to
achieve competence and explains the method by which people
can achieve competence.
The paper also discusses the five essential elements and
the advantages and limitations of a competency based training
and development system.
Introduction
The energy industry is shifting towards a competency based
approach. This approach provides a “job blueprint” that
systemically identifies the critical characteristics that cause or
predict outstanding job performance. The focus is mainly on
one’s competence to carry out a particular task as compared
the completion of abstract training or one’s
academic qualifications.
The competency based system includes the knowledge,
skills, behaviors, and experience required for the performing
the various tasks. The greater the risk, the more important are
the competencies.
Traditional Educational System versus Competency
Based Training and Development
Every day students go to school to study subjects such as
science, mathematics, engineering, languages and other
disciplines. These subjects are scheduled to last the duration of
the school term. Progression through the various subjects in
school is time based1. The teacher or lecturer is supposed to
deliver or cover a specific amount of material at specific
points in time. Although each student may not learn at the
same rate, this schedule requires every one to advance at the
same rate. Tests are administered periodically to ensure that
students understand the concepts and principles. The test
scores determine the grades of the students. The teacher must
progress with the curriculum although some students may not
do well in the tests since he or she must adhere to the
established time schedule. This type of teaching is referred to
as the traditional time based approach to education. This
approach is successful for some fields, but ineffective when
the goal is to train individuals to perform specific job
related tasks.
Traditional education can be considered as inputs to the
system. Competency based training can be looked at as
outputs from the system. Traditional education provides a
generalized approach to problem solving and designing
whereas the competency based approach provides a specific
task based approach to jobs. For example, engineers or service
supervisors straight from universities or high school work with
mentors in role based applications prior to actually doing jobs
by themselves. This mentoring and on the job training
provides the necessary outputs to ensure that individuals are
equipped to perform the task at hand. This type of training
integrates the traditional education system with the practical
training necessary for performing specific tasks. And can be
compared to the training found in the legal, medical or
aviation industries.
Definitions
Competency. Competency is defined as the knowledge, skills,
behaviours or attitudes assessed to a set of company defined
global standards. Competency system can also be defined as a
quality assurance system for workers. It is what workers must
be able to do and do consistently in a safe and efficient
manner with respect to their job role. Focus is on everyday
activities so that we can learn and prevent recurrent problems.
It is focused on the individual and is the most direct means of
measuring and improving our day to day activities.
Competency systems also focus on the performance of
workers. Performance is based upon the goals and measures
agreed upon between a worker and his or her supervisor.
Knowledge. Knowledge involves the access and recall of
information. For example, a wellsite specialist can recall and
utilize information about the tools, products, or processes that
govern the delivery of a particular service. Knowledge is
generally obtained by a combination of on-the- job and formal
2 SPE 81117
instructor-led or on-line training and can be assessed
by examination.
Skills. Skills involve a task or a group of tasks performed to a
specific level of proficiency and typically requires the
manipulation of instruments or equipment and the application
of mechanical or scientific principles. For example, a tool
operator may be skilled in operating or manipulating a down
hole tool; or a pump operator may be skilled in operating a
particular pump. Skill development may take place under field
conditions or in combination with simulators and are formally
evaluated by an assessor.
However, there are some skills such as coaching and
mentoring that are knowledge and or attitude based.
Behaviours. Behaviours refers to the way that people are
expected to act in a work situation. Personnel should be
health, safety, environmentally and quality conscious and
perform in a professional manner.
Behaviours are driven to a high degree by personality.
While personal traits might not be adaptable, it is important to
influence the way a person responds to situations by having
clear and unambiguous procedures and polices for them to
follow. Their behaviour could then be measured against how
well they follow these procedures.
Standard. This is a group of related tasks required to fulfil the
requirements of a particular job. The standard can be national
or company specific.
Experience. Experience refers to the time frame or number of
repetitions or tasks that an employee performs in preparation
for training, competency assessment or to the time frame after
they have been assessed and are routinely performing the tasks
in routine or unique situations and environments.
Assessment. Assessment is the key element in the competency
system. The system provides people with the competency
standard for a particular role. The assessor then measures how
that role or portions of it is performed against the standard.
Assessments are performed by assessors who are trained,
qualified experts in the assessment process. Assessors are
generally individuals who are subject matter experts in the
specific discipline or are supervisors in the role to be assessed.
Assessment can be achieved through observation, questioning,
witness testimony, records, or simulation. There is, also,
considerable responsibility of the individual to provide
evidence to demonstrate competence. Individuals are
confirmed as having achieved competence or are determined
to be not yet competent. There is no pass or fail in the system.
Should deficiencies or gaps be determined, the participant is
deemed not competent for that specific task or tasks. A plan is
then prepared and discussed to develop the appropriate skills,
knowledge or behaviour in preparation for re-assessment.
Competency Model
Five essential elements of any competency model1 are:
• The competencies to be achieved are carefully
identified, verified, and made public.
• The instructional program provides the individual
development and evaluation of each competency.
• The criteria for assessing achievement and the
conditions under which assessment will be achieved
are explicitly stated and made public in advance.
• An assessment of competency involves a
combination of theoretical and practical knowledge.
The actual job performances will be the primary
source of evidence that will be the validation of the
given skills.
• Participants progress through instructional program at
their own rate of learning or by company’s
performance management process by demonstrating
the attainment of specified competencies.
The model described in this paper incorporates the above
elements. However, it has its own unique features. It is
built around:
• The Company’s internal management systems that
determine “How the business is run and managed.”
• A set of defined company owned global standards.
These standards define “How the employees within
the company work.”
• The ability to add local details. In other words, “How
do we work here?”
The system uses the United Kingdom National Vocational
Qualifications and the Scottish Vocational Qualifications
models as a guide.
The competency model is depicted in Fig. 1. The
definitions of the terms used in the model are:
• Unit of Competence- A broad description of
workplace activity comprised of elements,
performance criteria, and range statements. Units are
a breakdown of the entire job into logical/manageable
units of work activities. The internal management
system uses seven mainstay work processes to
identify the various units. These are:
1. Develop Solutions.
2. Prepare Resources.
3. Mobilize Resources.
4. Perform Services/Deliver Products.
5. Demobilize Resources.
6. Complete Reports and Field Tickets
7. Review Performance
SPE 81117
Competency Model Layout
Company Global Minimum Standard
Unit Unit Unit
Element
Performance Criteria Range Statements
Element
Performance Criteria Range Statements
Element
Performance Criteria Range Statements
Essential Knowledge Evidence Requirements
Fig. 1
Presently the model emphasizes the last four
activities within the seven mainstay processes, since
these are the areas that can severely impact service
quality within the company.
• Element- The step(s) that have to be done to
accomplish the activity(s) described in the Unit. The
level at which a person is deemed competent.
Competencies are assessed and recorded as
“competent" or "not yet competent", i.e., in
binary format.
• Performance Criteria- The specific procedure or task
that a person has to accomplish to complete each step
described in the Element.
• Range Statement- The specific information that
defines the accomplishment of the Performance
Criteria. This is accomplished by assessment and the
gathering of evidence: The level at which a person is
assessed for competency.
• Essential Knowledge- The broad information /
knowledge that is needed to accomplish the tasks in
the job that generally comes from experience,
training, and education. Note that essential
knowledge has range statements and is assessed in
the same way as performance criteria.
• Evidence- Information and relevant data gathered to
illustrate that a person accomplished a particular task.
It supports the assessment process.
• Assessment- Assessment is the process that measures
the capability of a person to perform against the
standard of a particular role in a competent and
consistent manner. Assessors are personnel from
within the organization that are trained and qualified
to utilize the assessment process in an objective, fair,
and effective manner.
Building the required Competencies
A formalized team process is utilized to build the
competencies for the various business lines.
3
The teams consist of:
• Global coordinators from the business lines as
team leaders.
• Subject matter experts (SME) in the various
business lines.
• Field personnel currently working in the job role.
• Health, Safety, Environment and Quality personnel
for the relevant input.
• Human Resource Development personnel to support
and facilitate the process.
• A review team of field personnel.
The competencies are built around standards of the
business lines and the management system employed within
the company.
The Drivers of theCompetency System
The drivers of the competency system are:
1. Operator viewpoint. It is expected that competent
employees are sent to job sites. This provides the
operator with a certain assurance that the person is
knowledgeable about the job and will be capable of
making intelligent decisions in non routine matters.
2. Legislation. This is to comply with local legislation
and laws. In some cases these laws dictate that
companies have a competency system in place and
that workers are trained and assessed, most
commonly in health, safety and environmental areas.
3. Part of the employee’s performance review and
evaluation process. The performance review is an
interview and is based on an assessment and
achievement of the goals of the individual. It is
important to determine whether the skills, knowledge
or abilities – competence - existed which impacted
negatively or positively on the individual(s)
performance. New targets or goals can be mutually
agreed upon and set for the next evaluation period.
4. Gap Analysis. The competency of the entire
workforce can be mapped to identify gaps within the
system. Training and/or development plans can then
be put in place to close the gaps. In other words,
developmental activities can now match
the objectives.
5. More knowledgeable workforce. Participants achieve
competencies required for the performance of their
jobs. Participants may be able to progress from one
level to the next by achieving or acquiring the
necessary competencies.
Competency, Performance, Proficiency
and Efficiency
Competency assurance is needed to meet industry demand.
With increasing frequency, competency assurance is a
requirement to work on specific locations. Essentially,
operators do not pay for competence alone, they pay
for performance.
4 SPE 81117

Performance is a base for using competencies to meet or and records, requirements, certifications, or performance
exceed operator expectations. The differences between reviews, evaluations, and goals
performance and competency are shown in Fig. 2 and Fig. 3. Participants can also complete a Candidate Assessment
Record (CAR), which is one portion of the assessment
process. The CAR details the participant’s field experiences
Competency Vs Performance and tests their theoretical knowledge of the subject. On
completion of the CAR, the participant forwards the CAR to
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Competence==Knowledge,
Knowledge,Skills
Skills& &Behavior
Behavior Benefits to the Individual
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The benefits of a competency system to the employees are:
•Performance A ctu al Pe rf or m an ce

Con ditions Motivatio n • Employees can determine the skill sets required for a
F eed back
Capacity
particular job.
Measu reme nt Stand ards • Employees can find it easier to cross train in
different roles.
Kno wledge & Skill
• Employees can upgrade their skills, receive focused
training, mentoring, or development programs.
Figure 2
• Employees build confidence as they master
specific competencies.
An individual’s performance is a combination of his/her • Employees are owners of their competencies. They
competencies plus all the other pieces in the above pie. It is can receive transcripts or a list of the competencies
believed that a competent person will demonstrate higher they have achieved.
performances over time as shown in Fig. 3. • The performance evaluation process can now be
objective rather than subjective. Competencies and
performance measures are defined interactively and
measured for every role.

Competency Based Learning Benefits to the Company

Performance The following are the benefits to the company:

• The company can map the workforce and select the

Competency
right person for the job.
Behavior
• The company can identify existing competencies and
Learning

Skills
plan key competencies to meet business and strategic
plans to meet customer needs.
• The company can establish a global and mobile work
Knowledge
force using standardized training
development methods.
Time • The company can establish a more competent
Figure 3 workforce that can improve profit margins through
performance management.
Competence is not about “how long a person works on a • The company can create a foundation for
particular task.” It is about the outcome of the task. Knowing organizational change thereby improving business
about the task and performing the task are two performances through the alignment of strategic
different outcomes. planning and performance management.
Proficiency refers to one’s expertise in performing the • The company can now provide a human resource
task. The fact that one person may do the task better than the development system that appears to be fair and
next does not preclude the former from being classified as equitable to the employees.
competent. The person’s competence is a function of his/her
assessment to the global standards set forth by the company.
Efficiency is a measure of the person obtaining the desired
result for the given task within an acceptable or agreed period.

System Access to Employees

The competency system is a web based application that is
easily accessible to employees. Participants can view their
assessment record to determine their competency status as
well as access other on-line applications for training catalogs
SPE 81117 5

Conclusion References:

• Traditional time based approach to education is
ineffective when the goal is to train individuals to
perform specific job tasks.
• Training and development must be aligned directly
to competencies.
• A clear cut, understandable, and fair process is
presented to the workforce; and participants know the
level of performance, skills, and knowledge that is
expected for a given task.
• The system is based upon continuous learning and
achievement with the one output of the system being
quality performances.
• The individual is the owner of his or her
competencies; and, once assessed, such competencies
become transferable to other global operations.
• Learning and progression can be self paced with
opportunities for mastering the given skills.
• Competency systems are an important tool in
developing a competent global workforce.
1. “The Competency-Based Approach to Training,” JHPIEGO
Strategy Paper, September 1995, Rick Sullivan, PhD.
General References
SPE 50114, Competence Skills Portfilio for Technical Staff-A Career
Development Focus, D.R. Adams
SPE 50864, The Advancement of the Petroleum Engineering
Professional: Establishment of Professional Competency Guidelines,
James E. Bobo and Cindy Reece.
The Authors
Carlton H. Abder is a Technical Advisor with Halliburton
Trinidad Limited. He is a Certified Quality Engineer with the
American Society for Quality and holds a BSc. Hons. in
Natural Sciences and an MSc. in Engineering Management
from the University of the West Indies, St.
Augustine, Trinidad.

Summary Bruce D. Thomas is Manager of Development in Human

There is a continuing need for a competent workforce in the Resource Development, Halliburton Energy Services Group in
energy industry. One such method of obtaining a competent Houston, Texas. He holds a BS from Marietta College.
workforce is through competency systems. Development of a
competency system requires a systematic approach that is
based upon workflow processes and standards that must be dk-jhj-SPE 81117.doc
clearly understood by all involved. Competency is the goal to
which training and development is aligned. The system must
be fair, equitable, accessable, and usable to the entire
workforce. Having attained competencies, individuals should
demonstrate higher levels of performance.

Acknowledgements
The authors wish to thank Halliburton Energy Services for
permission to prepare this paper and the Human Resource
Development Department for their kind assistance.