Some scholars see "competence" as a combination of practical and theoretical
knowledge, cognitive skills, behavior and values used to improve performance; or
as the state or quality of being adequately or well qualified, having the ability to
perform a specific role.
Benefits of competencies
Competency models can help organizations align their initiatives to their overall
business strategy. By aligning competencies to business strategies, organizations
can better recruit and select employees for their organizations. Competencies
have been become a precise way for employers to distinguish superior from
average or below average performance. The reason for this is because
competencies extend beyond measuring baseline characteristics and or skills used
to define and assess job performance. In addition to recruitment and selection, a
well sound Competency Model will help with performance management,
succession planning and career development.
Career paths: Development of stepping stones necessary for promotion and long
term career-growth
Identifying skill gaps: Knowing whether employees are capable of performing
their role in achieving corporate strategy
Performance management: Provides regular measurement of targeted behaviors
and performance outcomes linked to job competency profile critical factors.
Selection: The use of behavioral interviewing and testing where appropriate, to
screen job candidates based on whether they possess the key necessary job
competency profile
Succession planning: Careful, methodical preparation focused on retaining and
growing the competency portfolios critical for the organization to survive and
prosper
Training and development: Development of individual learning plans for
individual or groups of employees based on the measurable “gaps” between job
competencies or competency proficiency levels required for their jobs and the
competency portfolio processed by the incumbent.
Type of compentencies
Behavioral competencies: Individual performance competencies are more specific
than organizational competencies and capabilities. As such, it is important that they
be defined in a measurable behavioral context in order to validate applicability and
the degree of expertise (e.g. development of talent)
Core competencies: Capabilities and/or technical expertise unique to an
organization, i.e. core competencies differentiate an organization from its
competition (e.g. the technologies, methodologies, strategies or processes of the
organization that create competitive advantage in the marketplace). An
organizational core competency is an organization's strategic strength.
Functional competencies: Functional competencies are job-specific competencies
that drive proven high-performance, quality results for a given position. They are
often technical or operational in nature (e.g., "backing up a database" is a functional
competency).
Management competencies: Management competencies identify the specific
attributes and capabilities that illustrate an individual's management potential.
Unlike leadership characteristics, management characteristics can be learned and
developed with the proper training and resources. Competencies in this category
should demonstrate pertinent behaviors for management to be effective.
Organizational competencies: The mission, vision, values, culture and core
competencies of the organization that sets the tone and/or context in which the
work of the organization is carried out (e.g. customer-driven, risk taking and
cutting edge). How we treat the patient is part of the patient's treatment.
Technical competencies: Depending on the position, both technical and
performance capabilities should be weighed carefully as employment decisions are
made. For example, organizations that tend to hire or promote solely on the basis
of technical skills, i.e. to the exclusion of other competencies, may experience an
increase in performance-related issues (e.g. systems software designs versus
relationship management skills)