Benefits of an Integrated Competency Based HR System

ATTEND WORKITECT’S BUILDING COMPETENCY MODELS CERTIFICATION  WORKSHOP ON NOVEMBER 7-9 AND LEARN HOW TO CREATE TAILORED COMPETENCY MODELS AND AN INTEGRATED COMPETENCY-BASED HR SYSTEM.

There are many bottom-line benefits of a competency-based HR system. Employee motivation leads to increased productivity and higher profits.  But the real values of an integrated human resource system are more complex–and more powerful.  Focusing on competencies will renew your company.  You’ll uncover startling energies and synergies that can give you the responsive, competitive edge you need.  Here’s what you can expect:

Enhanced Management:  With corporate goals clearly defined and a system of employee rewards in place that supports those goals, managers feel empowered.  They communicate more effectively with subordinates and with each other. Work proceeds more efficiently.  Quality measures go up.

Motivated and Committed Employees:  By involving employees in building your new competency-based system, you  ensure their early engagement with it.  And because the new system rewards employees for overcoming real, daily challenges, workers develop a sense of appreciation and commitment.  Less time is lost to wasteful activities.  Employees put creative energy into completing their tasks.

Increased Organization Effectiveness:  As all levels of your organization align with company goals, overall effectiveness increases dramatically.  And the focus on adding and refining key competencies augments this increase continuously.  Individual employees become more effective and, as a whole, your company becomes more dynamic, more competent.

Easier Cultural Change and Organizational Improvement: 
A competency-based, integrated human resource system supports your company’s strategic direction.  Necessary change becomes simpler when both management and employee goals are defined in terms of the company’s success.  With little incentive to cling to older methods or attitudes, both management and employees participate more willingly when change is necessary.

Increased Resilience to Market Pressures:  Your company responds to outside stresses not as threats but as challenges.  At every level, the goal is not individual survival but group adaptation.  By linking employee well-being to corporate health, you tap the creativity and motivation you need to stay competitive.

Cost Savings and Increased Productivity:  An integrated human resource system cuts redundancy and waste.  It gives overlapping and competing departments incentive to cooperate and coordinate their work.  Individual employees see that they benefit by finding more efficient, effective ways to do their work.  Less time and material are wasted.  Productivity goes up.

Read a white paper on Integrating HR & Talent Management Processes.
Learn more about creating an integrated competency system for your organization.
Contact Workitect for information about our services and products.

Editor’s Note: This post was originally published in September, 2012 and has been updated for accuracy and comprehensiveness.

Share Button

Conduct an On-Site Building Competency Models Workshop

Building Competency Models workshop has been conducted on-site for Google, Air Canada, the U.S. Department of Defense, and other organizations. This workshop, and others, such as the Creating Technical Competencies workshop and Interviewing for Competencies workshop, are effective at training and certifying individuals and small teams to develop job competency models and HR applications. But, each organization has its own particular needs and situation that are difficult to address in a public workshop, even with an hour of individual consulting help that is a part of the BCM program. Onsite programs can be customized to the special needs of an organization. Consulting assistance can be a larger component, technical competencies can be included, or organizational issues addressed.

Other benefits include being able to:

  • Evaluate, and possibly modify, past or existing model building approaches,
  • Focus on strategy, planning, and implementation of specific applications
  • Achieve synergy; prepare implementation team members to collaborate and support each other
  • Ensure consistency in applying model building methodology
  • Obtain cost-savings; training more people with no travel costs

Here are a few examples of on-site workshops and planning sessions that have been conducted by Workitect:

Google:

This 3-day workshop was tailored and conducted for HR and non-HR staff responsible for rolling out a project for Google Fiber that involved the staffing of a new organization to install a fiber-optic high speed internet and TV service in major cities throughout the USA.

ac_white_stkAir Canada:

Our 3-day Building Competency Models workshop was modified to devote more time to plan the implementation of the various competency modeling approaches, and on the development of three high priority HR applications.

braskemBraskem (formerly Sunoco Chemical):

Tailored a 3-day workshop that combined the essentials of both the building competency models and building technical competencies sessions for the HR staff. The workshop also focused on developing a consistent approach for building models throughout the company.

“Workitect demystified the competency development process and gave us the confidence to move forward with our program.”

Kelly Elizardo
Director, Learning & Development

attachmentFranklin Templeton:

We developed and delivered a 2-day working session to review the essential of building competency models with the company’s HRD staff.  The second part of the program was to build expertise in how to explain and sell the benefits of competencies to clients and to facilitate a consistent process for building models throughout the company.

dod20ig20logoU.S. Department of Defense, Inspector General Office:

We delivered two 4-day on-site sessions for the staff who are charged with building models for their organization. The workshops included both building competency models and building technical models.

“This course is simultaneously practical, comprehensive, and intellectually rigorous. By providing the project methodology and modeling methodology, Workitect has given me all I need to succeed. I am ready to go!”

Deane Williams
Program Manager

Review a typical agenda for an on-site workshop.

To schedule an on-site workshop, contact Ed Cripe at 800-870-9490 or ec@workitect.com.

Editor’s Note; This post was originally posted in April, 2015 and has been updated for accuracy and comprehensiveness.

Share Button

The Strategic Importance of a Competency Framework

A business cannot excel and meet its strategic objectives without having a high percentage of superior performing employees at all levels. Consequently, talent management and development has become a critical challenge for organizations. Many organizations have embraced the concept of competence, competencies, and job competency models as a framework for the development of integrated talent management applications. Successful implementation of competency-based applications for assessment and selection, training and development, and performance management, raises the level of performance throughout an organization.

Definitions – a Review of the Major Components

Competencies are…

The skills and behaviors that outstanding performers demonstrate more often, more skillfully, and with better results than do average performers. Read more >

A Job Competency Model is…

A group of 8-12 competencies that together describe successful performance for a particular job or role, in a particular organization.  Read more >

A Competency Framework is…

A set of 25-40 non-technical competencies that reflect the organization’s culture and values, and have been determined to be essential to carrying out it’s vision, mission, and strategy. The competencies are described in a dictionary to ensure that skills and characteristics are described with the same competency names in the models and applications that are developed.

3_Step_Ident&ApplyCompetenciesCreating and Implementing a Competency Framework – Case Study

This company developed a comprehensive competency framework for its organization. Workitect provided consulting assistance for the project. Several of their HR staff received training for their role in the project through attendance at our Building Competency Models workshop.

A competency model was developed to identify what drives top performance in management/leadership roles today, and to recognize what will be required from our leaders in the future in order to achieve the organization’s strategic plan. The model established expectations for all managers and leaders going forward.

The Competency Framework established a common language to describe what superior performance looks and feels like. This enabled all employees, but especially those in leadership positions, to gain greater understanding of the requirements of their jobs, identify and maximize their strengths, and enhance their performance against their development needs. It also provided a link between behavioral expectations of success and the corporate strategy. The reason is that appropriate behavior leads to successful performance, which in turns helps the business reach the overall strategic objectives.

The Competency Framework was a key resource to align HR systems and programs to the overall corporate strategy. It provided a structure and consistency of approach that allowed the Human Resource function to better support leaders, and ultimately all employees, by improving the way behavior and superior performance was linked. It also helped create clearer development models and contributed to the way individuals integrate into our culture.

Having a Competency Framework enabled the HR function to better support the business by providing the following benefits:

  • A way to communicate and reinforce our core values and visualize the increasing importance of new strategies and ideas
  • Consistency in the use of competencies; avoidance of duplication and simplicity of approach
  • Alignment of HR policies and processes around a common language
  • Measures of individual and organizational capability
  • Role Clarity

 Contact us or visit our Competency System web page to review an edited version of the actual HR Implementation Guide.

Share Button

Creating Competency Based Talent Management Processes

Air CanadaCompetency modeling has received its fair share of criticism over the years, particularly with respect to the level of complexity involved in the process of adapting these models to the many HR-related needs of large organizations. There’s no denying that developing customized competency models that can be applied across many HR applications and a growing multitude of job roles is an arduous challenge; one that requires time, resources and commitment.

Yet, as many organizations continue to focus on education and experience when assessing candidates for a job role, more and more studies show that acquired skills and past experience no longer support organizations’ need to adapt to a modern, rapidly changing, global environment. As groundbreaking technologies make their way into our professional lives at a pace faster than most companies can adapt to, can the simple fact of having learned a certain skill – often years, if not decades, prior – guarantee a company’s future success?

Online resources and public workshops, such as our 3-day Building Competency Models workshop, are effective at educating and training individuals and small teams on the benefits and process of developing job competency models and HR applications. But large organizations tend to deal with very complex and unique issues, and each situation is difficult to address with generic documentation or in a public workshop.

A truly customized program caters to the special needs of an organization, with one-on-one or small group consulting, highly technical competencies, and solutions to address unique organizational issues.

Furthermore, a customized consulting approach can better evaluate and improve on past or existing model building approaches. By focusing on the strategy and implementation of specific applications, companies gain a superior edge in achieving synergy across teams, and ensure consistency in applying model-building methodology.

Case in Point: In late 2012, this large Canadian-based company looked for a consultative competency-modeling workshop that could be built upon its own internal data, and tailored to different segments of its HR department, for a variety of applications. It was also seeking guidance on current best practices for organizations with similar challenges.

Their performance management program already included competencies, but the company was hoping to use Workitect’s dictionary and resources to further refine its models by job role (individual contributor, manager, director level) and branches (sales, marketing, law, finance, human resources, etc.), in addition to separating competencies between generic levels and specialty jobs.

Their competency model had been developed for performance management applications, with 5 core and 17 branch competencies, through a 360-review process for leaders. The response from this process had however been slightly negative and as such, the HR team had been given the mandate to remove ‘behaviors’ from performance management. This eventually resulted in competencies being officially removed from all performance management assessments the following year.

A few years later, the company decided to re-introduce ‘behaviors,’ but this time by incorporating Leadership Competencies and Corporate Values into its performance management program. Competencies were developed in house, and some branches even launched their own competency-based initiatives. A specific group hired consultants to develop branch competencies by level and use assessments, while another moved to implement a series of workshops focused on the development of leadership skills, based on the Learning Organization theory (The Fifth Discipline, Peter Senge).

However, these leadership competencies were not correlated to the many HR applications, and the company was then looking for experienced consultants to help integrate its HR processes to all aspects of workforce management: recruiting, performance management, professional development, succession planning, etc.

When the company came to us at Workitect, the team was already equipped with a project plan and timeline. The company requested that the workshop be customized to ensure that its HR professionals gained a thorough understanding of various competency modeling approaches, but also that, from a recruiting perspective, they learned how to extract critical competencies required for positions from the intake session with hiring manager, as well as how to select the right behavioral competency questions for interviews.

In order of priority, the company wanted to focus on:

  1. Succession planning
  2. Leadership development
  3. Assessment and selection decisions
  4. 360° feedback instruments
  5. Training design and development
  6. On boarding
  7. Performance management, review and appraisal

The company also requested consulting on using competency models to the benefit of optimizing client consultations and interventions, e.g., rightsizing, learning programs, job descriptions, leadership development, employee/candidate assessment, etc.  The company needed to provide its key players with a ‘toolkit’ that could be used for designing processes and solutions for its clients.

Process Using the basis of our 3-day competency-modeling workshop, we modified the content to focus more on the implementation and integration of various competency-modeling approaches to different applications within the organization.

Twelve participants attended the workshop; 1/3 of which were HR advisors, 1/3 covered key areas such as recruitment and talent acquisition, and 1/3 focused on development and succession planning. This group covered the entry and employee lifecycle within a company.

Using select generic competencies from the Workitect dictionary, the team focused on defining key competencies that were suited to their needs and reality, including:

  • Providing motivational support
  • Fostering teamwork/empowering others
  • Managing change
  • Interpersonal effectiveness (influence)
  • Analytical/forward/Strategic thinking
  • Fostering innovation
  • Customer/Results orientation
  • Decisiveness and self-confidence
  • Adaptability
  • Flexibility
  • Personal accountability
  • Personal credibility

Implementation The implementation process was handled internally, with Workitect’s consulting advice and plan. The company began the process with live sessions to senior management teams, followed by “people manager” training, both with very positive feedback from attendees.

Let Us Help You

Workitect is a leading provider of competency-based talent development systems, tools and programs. We use “job competency assessment” to identify the characteristics of superior performers in key jobs in an organization. These characteristics, or competencies, become “blueprints” for outstanding job performance. Competencies include personal characteristics, motives, knowledge, and behavioral skills. Job competency models are the foundation of an integrated talent management system that includes selection, performance management, succession planning, and leadership development.

Share Button

Poor Talent Management Costing $Billions

Poor “Talent Adaptability” Costing $BillionsMost of us already know that high turnover rates can be extremely costly for companies – to the tune of some $10 billion a year in the U.S. alone. But a new study has revealed that poor “talent adaptability” – the ability for people to retrain for new skills or switch industries – is costing the global economy billions of dollars in lost productivity.

PwC had indeed conducted an extensive study, combining data from LinkedIn’s 277 million members with employer information from its database of people and performance metrics, which covers more than 2,600 employers across the globe, in order to determine how better alignment between talent and opportunity can drive economic growth.

Money talks: The facts aren’t always what they seem

According to Gallup, of the more than 100 million full-time workers in the U.S., only 30% are engaged and inspired at work, and roughly 20% are actively disengaged. It is in fact estimated that approximately 2 million Americans quit their jobs every month.

According to the Center for American Progress, the average cost to find a new employee for a non-specialized position that pays $50,000 per year can be as high as 20% of salary ($10,000. Not considering lost knowledge and productivity, it is clear that companies need to work intensely on retaining their staff, even if this means giving way to a 5% raise.

But is salary all that matters?

The most important question to ask yourself as an employer isn’t whether or not to acquiesce to a raise request from an average-performing employee, but rather to determine why your employees are quitting.

In its study, PwC found that out of all the reasons employees choose to leave their jobs, compensation only comes in third place, preceded by lack of career advancement opportunities and poor management/leadership. Other factors included boredom with responsibilities, work hours and lack of recognition.

Putting compensation aside, as it can be difficult for some companies to radically make a difference in that area, every one of the other reasons stated by exiting employees could have been avoided with the proper talent management strategy.

Remember: Talent doesn’t always come naturally. By investing in your workforce to develop their competencies, and rewarding them adequately for their achievements, you ensure your own success as a company.

The Millennial conundrum: Are your retention strategies tailored to your workforce demographics?

Data from the U.S. Bureau of Labor Statistics shows that the average tenure of employees – males and females, 25 to 64, combined – was approximately 5 years in 2012. This figure has been relatively stable over the past two decades, with slight variations along the way.

Yet, when we look at Millennials specifically, we see that this timeline drops to 1.5 years, despite the fact that most claim they would rather stay with their employers for 10+ years. Considering the wide gap between intent and reality, it is relatively safe to assume that if Millennials have earned a reputation of career instability, the blame may need to be shifted from employees to employers.

Last month, we discussed how to identify your employees’ real motivation to performance. The article mentioned how employers cannot assume that every employee aspires to an executive position and more and more, younger generations are instead looking for that perfect balance between professional accomplishment and personal well-being. But when it comes to retention strategies, Millennials do want to be boss; they want to have the power to choose rewards that are meaningful to them.

Where there’s a problem, there’s a solution

The real problem with turnover is that the majority of companies don’t really take the time to invest in their retention strategies until they suspect that key employees may be considering leaving. Too often however, it is by then too late to avoid the inevitable. And even if it did save you an employee, you have done nothing to rectify the situation for the future.

The solution to limit turnover entails a multi-step process that begins before recruiting takes place:

1.  Take a look around

Regardless of your short-term hiring intentions, it doesn’t mean that you cannot grow your workforce organically and plan for future hiring needs. As such, begin with a thorough assessment of your industry – trends, gaps, needs, etc. – and benchmark your company against your main competitors: What are you missing? What do you need to outperform? What advantages do they have over you? You over them? Once you have determined all of those elements, you will have a much clearer picture of the workforce you need to succeed looking forward.

2.  Design your path to success

Based on your findings, develop competency models for all the job roles across your company. In the process, sit down with your employees to discuss these models, and to take the pulse on areas that may need improvement. Not only are your employees your best source of data to accurately determine the competencies and behaviors required to succeed in their own jobs, but they will also feel appreciated and valued – a clear detractor to turnover.

3.  Recruiting, training and coaching

Even if you do not intend to hire more staff right away, your competency models are not wasted. Rather, use them against your latest performance evaluations to identify skill gaps and develop professional development programs for your employees. Remember that two of the main reasons workers leave their employers are boredom and lack of in-house opportunities. Your employees want to succeed and excel at what they do so give them the tools to better themselves and feel accomplished in their job.

*Note that while it may sound counterintuitive, research shows  the best way to keep them from leaving is to prepare them to do just that.

4.  Be the motivation

Good managers understand that their responsibilities don’t just reside in overseeing output and processes, but include all facets of leadership. If a great majority of workers who quit a job blame management, it is mainly because of a culture issue. To counter this, implement an executive program by which your managers are encouraged to help their subordinates achieve superior roles, and your recruiters are trained to identify workers who aspire to build a career, rather than just ‘fill a role’. The key is to motivate your employees to stay and plan their careers with your company; it is therefore crucial that you provide the tools and support to how they can achieve their goals with you.

5.  Get personal

As previously mentioned, newer generations of workers have voiced their desire for incentives and rewards that matter to them, and more and more ‘older’ workers have joined in, realizing how smaller things like an extra day off or flexible work arrangements can mean more than a 1% raise. But there’s an art to rewarding employees to improve performance, and the key is to make it personal. Why not offer a wide-ranging package of incentives, and let your employees chose what is most meaningful to them? You’d be surprised how much motivation can come from giving them the power to choose.

Of course, these steps have been simplified for the sake of space, but we have included several links to provide additional information on employee retention and talent management strategies. We also invite you to comment below or contact us with any question you may have.

Ready to take these first steps? Register to attend one of our upcoming workshops! Choose the location nearest you – Washington, Chicago or Fort Lauderdale – or let us come to you!

For a DIY solution, you’ll find a wide array of talent management tools and manuals on our website, as well as external links to studies and white papers that can further help you in the process.

Happy browsing, and hope to see you at one of our seminars!

Share Button

Modernizing competency models for millennials

Group of businesspeople having a meeting.Competency models are defined as blueprints of what an organization seeks from its workforce, based on its top-level objectives. As a result, competency models are typically used as a hiring tool to find those employees who meet the exact criteria set forth by the employer: culture fit, soft skills, abilities, interests, etc.

Yet, it appears that the roles have changed, and employers must now adapt to the expectations, styles and demands of new generations. More specifically, Millennials are known to demand a better work-life balance, as well as greater flexibility and diversity in their role. The benefits of this new reality can be argued at length, but what’s important for employers to understand is that Millennials are not afraid to move on to bigger and better things if they are not entirely pleased with your offer and current work conditions. In fact, 60% of Millennials leave their companies within three years of hire, at a cost of $20,000 per person for the organization[1].

This prompts the following question: Should an organization adapt to the output potential of its workforce, or should it focus on seeking only those employees who can deliver on its pre-established objectives?

The power of a growth-focused culture

The answer to the above question is ‘neither’. Knowing that each generation has different views and expectations of the workplace, employers – mainly managers and HR professionals – must instead seek to create a plan of action that will ensure that all employees, no matter their generation, work together to achieve the organizational goals for which they were hired in the first place.

This can be achieved by developing a talent management system that will:

  1. Define the goals and key culture elements sought by the organization
  2. Identify the skills and competencies required for each role within the organization
  3. Determine the skills and competencies that are lacking in the current workforce
  4. Develop a training and coaching program that will seek to bride that gap between steps 2 and 3

It is important to note that it’s the organization’s responsibility to ensure that such a program is communicated appropriately to its workforce. Without clearly defined benefits of following such an approach, even the best of programs may be set for failure, particularly with Millennials who are recognized for demanding a higher level of transparency and feedback.

The humanization and modernization of the model

A PwC & University of Southern California study has revealed that most organizations still embrace old models of talent management, which are inconsistent with Millennials’ expectations of the workplace.

Competency models are one of those systems often perceived as ‘old-school’ by many young leaders, mainly due to the fact that they are highly technical and focus primarily on current skills, instead of an individual’s potential for growth and development. In other words, they are considered too mechanical and impersonal, not factoring in the oft-overlooked benefits that a different perspective can bring to an organization.

Yet, competency modeling has also evolved over the years, and many experts in the field have since adopted a more modern and human approach. In fact, implementing competency models that match the needs of both the organization and the workforce fosters unity, a crucial element to motivation, teamwork and performance. It’s simply a matter of giving employees an active role and the freedom to understand the importance of that role in achieving the organizational goals. By using competency models to establish a clear path from hire to development to promotion, with explicit expectations at each step, employees are put in control of their professional success, all the while facilitating the performance assessment and succession planning process for managers.

At Workitect, we offer a wide array of tools and training opportunities to help you customize your competency model to your workforce. For more information, contact us or visit…

Share Button