Competency Models

Most organizations understand the need for job descriptions and periodic performance reviews of employees.  However, most organizations do not necessarily detail out competencies for their job categories and therefore lose various aspects of organizational effectiveness because they are unable to measure performance on a standardized baseline.  Also, talent attraction and retention is impacted due to hiring practices that are not based on measurable competencies.

So, what is a competency and what is a competency model?

• Competencies are the set of skills, knowledge and behaviours allowing an individual to effectively and efficiently carry out his or her role in an organization. Business Performance is achieved by building the right set of competencies in the workforce, and aligning and deploying these most effectively to the different job functions.
• A competency model identifies the competencies needed to perform a specific role in a job, organization, or profession. Simply put, a competency model helps define what people need to know and do to be successful.  (source)

Competency models are particularly useful to identify necessary skill gaps within an organization.  The Competency Model Clearinghouse defines 3 categories for competency definitions:

• Occupation Related Competencies
• Industry Related Competencies
• Functional Competencies

For example, this was a competency model generated by the Center for Energy Workforce Development:

In order for organizations to be cost effective and efficient - developing a competency model such as the example energy one; is a necessary exercise in order to identify specific gap areas, measure overall performance and ensure that talent acquisition is aligned with the organizational needs.