12/16/2015 Competency­based management ­ Wikipedia, the free encyclopedia

Competency­based management
From Wikipedia, the free encyclopedia

Competency­based human resources planning serves as a link between human resources management and
the overall strategic plan of an organization. Competencies are defined as observable abilities, skills,
knowledge, motivations or traits defined in terms of the behaviours needed for successful job performance.

Competency­based management supports the integration of human resources planning with business
planning by allowing organizations to assess the current human resource capacity based on their
competencies against the capacity needed to achieve the vision, mission and business goals of the
organization. Targeted human resource strategies, plans and programs to address gaps (e.g., hiring and
staffing; learning; career development; succession management; etc.) are then designed, developed and
implemented to close the gaps.

Contents

1 Purpose

2 Connecting CBM to Organizational Execution

3 Competitive market

4 See also

5 References

5.1 Books

5.2 Articles

Purpose
While competencies are not new to most organizations, what is new is their increased application across
varied human resource functions (i.e., recruitment/selection; learning and development, performance
management, career development and succession planning, human resource planning). Organizations are
looking for new ways to acquire, manage and retain the precious talent needed to achieve their business
goals.

Properly designed, competencies translate the strategic vision and goals for the organization into behaviours
or actions employees must display for the organization to be successful. Competency­based Management
(CBM) standardizes and integrates all HR activities based on competencies that support organizational
goals.

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Connecting CBM to Organizational Execution

CBM solutions typically provide input
into and drive all aspects of employee
career development. This allows
organizations to improve productivity in
most areas of human capital management
human resources. CBM is typically
referred to as "strategic" in that it
attempts to link organizational planning
to job execution.

Strategic human resource planning

Competency architecture
Competency dictionary
Competency­based recruitment
Competency­based learning
Competency­based performance
management
Competency­based career
development

The role of CBM is to shape and guide employee behaviour from "hire to retire". CBM helps Talent
acquisition, Performance Management and Learning Management Systems to be more effective by
assessing employees' skills and competencies. CBM also facilitates gap discovery and suggests learning
methods (on the job, literature or formal courses) to help improve employee effectiveness.

Competitive market
The so­called war for talent has driven a marked increase of attention and investment in the talent
management space as new vendors continue to enter to support an ever­growing demand for strategic
human resources applications. Many of these competitors have entered via the software as a service (SaaS)
delivery model, affording small and medium business (SMB) new less­costly options. Competency­based
management systems define the job to be done and the consequent required skills to perform said job. The
outputs of CBM systems are parameters input into production talent management systems.

See also
Competency architecture
Competency dictionary
Human resource management systems
Learning management system
Talent management

References
Levensaler, Leighanne; Laurano, Madeline (2009), Talent Management Systems 2010, Bersin &
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12/16/2015 Competency­based management ­ Wikipedia, the free encyclopedia

Associates

Books

Dubois, D., & Rothwell, W. (2004). Competency­Based Human Resource Management. Davies­Black
Publishing

Spencer, L M. in Cherniss, C. and D. Goleman, eds. (2001) “The economic value of emotional intelligence
competencies and EIC­based HR programs”, in The Emotionally Intelligent Workplace: How to Select for,
Measure, and Improve Emotional Intelligence in Individuals, Groups and Organizations. San Francisco,
CA: Jossey­Bass/Wiley

Ulrich, D. and Brockbank, W. (2005) The HR Value Proposition. Boston: Harvard Business School Press

Articles

Bartram, D. (2005) The Great Eight competencies: A criterion­centric approach to validation. Journal of
Applied Psychology, 90, 1185–1203

Draganidis, F., & Mentzas, G. (2006). Competency­based management: A review of systems and
approaches. Information Management &Computer Security, 14, 51­64

Homer, M. (2001). Skills and competency management. Industrial and Commercial training, 33/2, 59­62

Horton, S. (2000). Introduction­ the competency­based movement: Its origins and impact on the public
sector. The International Journal of Public Sector Management, 13, 306­318

McEvoy, G., Hayton, J., Wrnick, A., Mumford, T., Hanks, S., & Blahna, M. (2005). A competency­based
model for developing human resource professionals. Journal of Management Education, 29, 383­ 402

Rausch, E., Sherman, H., & Washbush, J. B. (2002). Defining and assessing competencies for competency­
based, outcome­focused management development. The Journal of Management Development, 21, 184­200

Schmidt, F.L., & Hunter, J.E. (1998). The validity and utility of selection methods in personnel psychology:
Practice and theoretical implications of research findings. Psychological Bulletin, 124, 262­274

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