Competency based hr with aic model

Imagination Knowledge Skills

Competency-Based

HR Management

By: Atif Choudhary EastWestArabia Consultant

E-mail: [email protected]

HP: +966 50 978 5770

mailto:[email protected]

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Introduction

Electronics Engineer

MBA Marketing (CSU, Australia)

BBA Marketing

ADMM (Advanced Diploma in Marketing Management), University of Wales, UK

Marketing Development Manger, AHCSC – Olayan Group

Country Marketing Manager, FMS, Saudi and Gulf

Division Manager (MCC), FMS, Saudi Arabia

Business Manager, Academy Manager, General Electric Healthcare

Training Center Manager, Dräger Medical

Entire Contents © 2014, Atif Choudhary. All Rights Reserved 2014 Slide 2

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2014 Slide 3 Entire Contents © 2014, Atif Choudhary. All Rights Reserved

Imagination at work (GE)

Imagination is more important than knowledge (Einstein)

Knowledge is Power (Anonymous)

Competency is Knowledge, Skills and Imagination with Right Attitude

and Behavior. (AIC)

Why Imagination, Knowledge and Skills?

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“Live out of your IMAGINATION not your history”

-Stephen R. Covey-

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Agenda

Introduction

Framework for Building Competency-based HR Management

System

Developing competency Model

Competency-based Interview Method

Competency-based Career Planning

Competency-based Training & Development

Competency-based Performance Management

Entire Contents © 2014, Atif Choudhary. All Rights Reserved 2014 Slide 5

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HR Framework


I

FRAMEWORKS AND

CHALLENGES

II

PREPARATION

AND

SELECTION

III

DEVELOPMENT

AND

EVALUATION

IV

COMPENSATION

AND

PROTECTION

V

EMPLOYEE

RELATIONS AND

ASSESSMENT

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Vacant Position


http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=nRUY-LhYxTf5gM&tbnid=ZRTJta7A9zv0WM:&ved=0CAUQjRw&url=http://www.dsauk.org/index.php?id=213&ei=_x3yUpGOGsWb1AXX_oCwAw&bvm=bv.60799247,d.ZG4&psig=AFQjCNHwQx5Fh4Qo8Xq3hQeozTNj3DjpLg&ust=1391685478907959

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Vacant Position


What?

Why?

When?

Where?

Whom?

How?

Who?

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=eMyx6Jx8vgTqXM&tbnid=RtcmX_DtJpu3_M:&ved=0CAUQjRw&url=http://www.servitokss.com/question-marks/&ei=hx_yUt7NKoSo0AXf-oDoBQ&bvm=bv.60799247,d.d2k&psig=AFQjCNGLEuYQRGo9cn3g7RNIR3GeNHiyFQ&ust=1391685866568752

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Conventional Way

HR Planning

Compiling List

(Department Requirements)

Selection

Conventional Interview

(Looking Within the CV)

Job Description

Typical Copy Paste


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Challenges

What Kind Of People?

Where To Find Them?

How To Get The Right People?


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The Value Chain

Slide 11

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Opera

tion

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Logis

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Sale

s

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etin

g

Procurement

Technology Development

Human Resources Management

Firm Infrastructure

Gro

ss S

ale

s

Support Activities

Gross Sales

Primary Activities

Porter 1985

2014 Entire Contents © 2014, Atif Choudhary. All Rights Reserved

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The Value Chain

Slide 12

Inb

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nd

Logis

tics

Opera

tion

Ou

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un

d

Logis

tics

Sale

s

Mark

etin

g

Procurement

Technology Development

Human Resources Management

Firm Infrastructure

Gro

ss S

ale

s

2014 Entire Contents © 2014, Atif Choudhary. All Rights Reserved

Bu

sin

ess S

trate

gy B

usin

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esu

lts

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AIC Model

People Utilizing, Interacting and

Optimizing

Code of Conduct

Core Values

Bra

nd

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uit

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etw

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ing

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1- Competencies

2- Resources

3- Business Processes

People Makes it Happen


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Competency Based Selection

Business Model

Job Analysis

Job Design

Job Specification

Job Description

Interview Design

Building Blocks

Identify Competencies

Competencies Criteria

Matching

Competencies

Searching

Competencies

Specific Job Orientation and Further Development

HR Planning

Selection


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Business Model


VALUE

PROPOSITION

COST

STRUCTURE

CUSTOMER

RELATIONSHIPS

CUSTOMER

SEGMENTS

VALUE

CONFIGURATION

CORE

CAPABILITIES

PARTNER

NETWORK

REVENUE

STREAMS

INFRASTRUCTURE CUSTOMER OFFER

FINANCE

DISTRIBUTION

CHANNELS

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2014

Entire Contents © 2014, Atif Choudhary. All Rights Reserved

16

OG

QT

Tenders

BO/MP

Projects OF

OP

WH

BO/MP

PM

1 • Vision & Mission

2 • Business Strategy

3 • Products & Solutions

Service

Orders

Unique Value

Proposition/Innovatio

n/ Differentiation

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What do you think about this?

Business Model (Define Your Business Model)

Organizational Architecture (Building Blocks)

Job Analysis

Job Design

Job Objectives (With Set KPIs)

Job Specifications (Identify the Competencies Required to Perform Job)

Job Description (A broad, general, and written statement of a specific job, based

on the findings of a job analysis. It generally includes duties, purpose, responsibilities,

scope, and working conditions of a job along with the job's title, and the name or

designation of the person to whom the employee reports. Job description usually

forms the basis of job specification)

2014 Entire Contents © 2014, Atif Choudhary. All Rights Reserved Slide 17

(Roles and Responsibilities)

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A FRAMEWORK

Competency-Based HR Management


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Harvard HRM Framework


Shareholder Interests:

• Shareholders

• Management

• Employee

• Government

• unions

Situational Factors:

• Workforce

Characteristics

• Business strategy and

conditions

• Management

philosophy

• Labor market

• Unions

• Task technology

• Law and social values

HRM Policy

Choices:

• Employee

influence

• Human resources

flow

• Reward systems

• Work systems

Long-Term

Consequences:

• Individual well-

being

• Organizational

effectiveness

• Societal well-

being

HR Outcomes:

• Commitment

• Congruence

• Cost-

effectiveness

The Harvard Framework for Human Resources Management (1984)

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Performance Management as

an Integrating Force


Performance

Management

Employee

Development

Performance

Improvement

Commitment

Reward

Motivation

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Use of Competencies as an

Integrating Force


Use of

Competencies

Recruitment

Development Reward

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Competency-Based

HR Management Framework


Business

Results

Business

Strategy

Competency-Based People Strategy

Recruitment &

Selection

Performance

Management

Training &

Development

Competency

Framework

Reward

Management

Career

Management

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HR Framework


I

FRAMEWORKS AND

CHALLENGES

II

PREPARATION

AND

SELECTION

III

DEVELOPMENT

AND

EVALUATION

IV

COMPENSATION

AND

PROTECTION

V

EMPLOYEE

RELATIONS AND

ASSESSMENT

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What is Competency?


Competency

• A combination of skills, job attitude, and

knowledge which is reflected in job

behavior that can be observed,

measured and evaluated.

• Competency is a determining factor for

successful performance.

• The focus of competency is behavior

which is an application of skills, job

attitude and knowledge.

Competency is the ability of an individual to do a job properly. A competency is

a set of defined behaviors that provide a structured guide enabling the

identification, evaluation and development of the behaviors in individual

employees.

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Defining the Jargons


Attitude

Behavior

Competency

• The manner of conducting oneself

• Anything that an organism does involving action and response to stimulation

• The response of an individual, group, or species to its environment

• The way in which someone behaves; also: an instance of such behavior

• The way in which something functions or operates

•The arrangement of the parts of a body or figure: posture

•A position assumed for a specific purpose <a threatening attitude>

•A ballet position similar to the arabesque in which the raised leg is bent at the knee

•A mental position with regard to a fact or state <a helpful attitude>

•A feeling or emotion toward a fact or state

The position of an aircraft or spacecraft determined by the relationship between its

axes and a reference datum (as the horizon or a particular star)

Is the ability of an individual to do a job properly. A competency is a set of defined

behaviors that provide a structured guide enabling the identification, evaluation and

development of the behaviors in individual employees.

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What is Competency?


Skill

Job Attitude

Knowledge

Observable Behavior

Job Performance

Competency

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Competency and Job Description

Job description looks at what, whereas competency model focuses

on how.

Traditional job description analysis looks at elements of the job

and defines the job into sequences of tasks necessary to perform

the job.

Competency studies the people who do the job well, and defines

the job in terms of the characteristics and behaviors of these

people.


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Types of Competency

Managerial Competency (soft competency)

This type of competency relates to the ability to manage job and

develop an interaction with other persons. For example: problem

solving, leadership, communication, etc.

Functional Competency (hard competency)

This type of competency relates to the functional capacity of work. It

mainly deals with the technical aspect of the job. For example:

market research, financial analysis, electrical engineering, etc.


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Competency Identification Process


Clarify

Organizational

Strategy and

Context

Competency

Identification

Generate

Competency

Model

Validate,

Refine and

Implement

• Analyze Work Role and Process

• Gather Data through Behavior

Event Interview and Focus Group

• Conduct Benchmark Study

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Examples of Competency

Definition

Adaptability: Maintaining effectiveness when priorities change and new tasks

are encountered, and when dealing with individuals who have different views and

approaches. Effective performing in different environments, cultures, and

locations, and when working with different technologies and levels of individuals.

Key Behavior

Seeking understanding: Makes efforts to better understand changes in the

environment; actively seeks

Information or attempts to understand nature of individual differences, logic, or

basis for change in tasks and situations.

Embracing Change: Approaches change or newness with a positive orientation;

views change or newness as a learning or growth opportunity.

Making accommodations: Makes accommodations in approach, attitudes, or

behaviors in response to changing environmental requirements.


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Examples of Competency

Definition

Analysis/Problem Assessment: Securing relevant information and identifying

key issues and relationships from a base of information; relating and comparing

data from different sources; identifying cause-effect relationships.

Key Behavior

Identifying issues and problems: Recognizing major issues; identifying key

facts, trends, and issues; separating relevant from irrelevant data.

Seeking information: Identifying/Recognizing information gaps or the need for

additional information; obtaining information by clearly describing what needs to

be known and the means to obtain it; questioning clearly and specifically to verify

facts and obtain the necessary information.

Seeing relationships: Organizing information and data to identify/explain

trends, problems, and their causes; comparing, contrasting, and combining

information; seeing associations between seemingly independent problems or

events to recognize trends, problems and possible cause-effect relationships.

Performing data analysis: Organizing and manipulating quantitative data to

identify/explain trends, problems, and their causes.


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Benefits of Using Competency Model

For Managers, the benefits are:

Identify performance criteria to improve the accuracy and ease of the

hiring and selection process.

Clarify standards of excellence for easier communication of

performance expectations to direct reports.

Provide a clear foundation for dialogue to occur between the manager

and employee about performance, development, and career-related

issues.


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Benefits of Using Competency Model

For Employees, the benefits are:

Identify the success criteria (i.e., behavioral standards of performance

excellence) required to be successful in their role.

Support a more specific and objective assessment of their strengths and

specific targeted areas for professional development.

Provide development tools and methods for enhancing their skills.


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Key Characteristics of Successful

Implementation

1. Alignment: Competencies impact systems that actively support the

organization’s vision, strategy, and key capabilities.

2. Integration: Competency initiatives that produce the most

significant change are applied systemically across a range of HR

development processes.

3. Distribution: Competency standards alone produce little effect.

They must be actively and relentlessly communicated and installed

with users.


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Key Characteristics of Successful

Implementation

4. Self-Directed Application: Competency systems frequently fail

because they are too complex or require an unsustainable level of

sponsorship or program support. Implementations that work best

focus on the development of “tools” that can produce results for

users with relatively little ongoing support.

5. Acculturation: In competency systems that work, they become

part of the culture and the mindset of leaders through repeated

application and refinement over a significant period of time.


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COMPETENCY-BASED INTERVIEW FOR

SELECTION


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Types of Interview



Competency-Based Interview

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Unstructured:

Is a type of interview where the questions are not designed

systematically and not properly structured.

There is no standard format to follow, therefore the process of

interviewing can go in any direction.

Is seldom equipped with formal guidelines regarding the system of

rating/scoring the interview.

Has low reliability and validity—there is no accuracy in predicting

performance.

Susceptible to bias and subjectivity (gut feeling)


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Competency-Based Interview (CBI)

Structured:

Is a structured type of interview. The questions and focused on

disclosing examples of behavior in the past.

The process of interview is intended to disclose specifically and in detail

examples of behavior in the past.

Is designed based on the principle: past behavior predicts future

behavior (candidates are most likely to repeat these behaviors in similar

situation s in the future).

Has a high level of validity and reliability.

Equipped with a standard scoring system which refers to behavior

indicators.


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Approach in Competency-Based Interview


S

T

A

R

What was the Situation in which you were involved?

What was the Task you needed to accomplish?

What Action(s) did you take?

What Results did you achieve?

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Situation

Can you explain the situation?

Were and when did the situation happened?

What events led us to it?

Who was involved in the situation (work colleagues, supervisor,

customers)?


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Tasks/Actions

What tasks were you supposed to do at that time?

What did you actually do at that time?

How did you do it?

What specific steps did you take?

Who was involved?


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Results

What was the outcome?

Can you tell me the results of taking such actions?

What specific outcome was produced by your action?


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Sample Questions in CBI


Competency Sample Question

Persistence In the process of selling, we are sometimes not

successful in securing a new transaction. Can you

tell me about one or two situations where you

repeatedly failed to get a new client?

What specific steps did you take? What was the

result?

Influencing

Others

Can you describe one or two cases in your effort to

obtain new customers? What did you do? What was

the result?

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Sample Questions in CBI


Competency Sample Question

Interpersonal

Understanding

Can you tell me about a situation where you faced a

client who was disappointed with your product?

What was the situation like? What specific steps did

you take? What was the result?

Planning &

Organizing

In working, we often face a number of priorities that

must be tackled at the same time. Can you tell me

about one or two actual cases where you had to

face such a situation? What did you do? What was

the consequences?

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Bias in the Interview Process


First

Impressions

An interviewer might make a snap judgment

about someone based on their first

impression – positive or negative – that

clouds the entire interview.

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Halo

Effect

The “halo” effect occurs when an interviewer

allows one strong point about the candidate

to overshadow or have an effect on

everything else.

For instance, knowing someone went to a

particular university might be looked upon

favorably. Everything the applicant says

during the interview is seen in this light.

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Contrast

Effect

Strong(er) candidates who interview after

weak(er) ones may appear more qualified

than they are because of the contrast

between the two.

Note taking during the interview and a

reasonable period of time between

interviews may alleviate this.

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COMPETENCY-BASED CAREER PLANNING


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Career Planning Flow


Career Path Design

Analysis of Employees

Future Plan

Implementation of

Development Program

Career Planning

System

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What is Career Path?


Career Path is a series of positions that one

must go through in order to achieve a certain

position in the company.

The “path” is based on the position

competency profile that an employee must

have to be able to hold a certain position.

What is

Career Path?

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Defining Career Path


Analyzing a

position or job

based on the

competency

required

Categorizing the

positions that

require similar

competencies into

one job family

Identifying career

paths based on

the job family

Competency

profile (Functional

and Management

competency) Per

Position

Categorizing the

positions into a

job family

• Career Path:

Vertical, Lateral

and Diagonal

• Mandatory

Training

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Assessing Employee Career Plan


Employee

Career Needs

Organization

Career Needs

• Assessment of the

career type of the

employee


employee competency

level (for example

through assessment

center)


competency profile

required by the

position


organization’s need of

manpower planning

Match?

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Employee Development Program


Employee

Career Needs

Organization

Career Needs Match?

Special Assignment Training/Workshop Apprenticeship in

Other Company

Executive

Development Program

Presentation

Assignment

On the Job

Development

Monitoring Desk Study Job Enrichment

Development Program and Interventions

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COMPETENCY-BASED

TRAINING & DEVELOPMENT


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Competency-Based Training Framework


Current

competency

level of the

employee

Competency

Gap

Required

competency

level for certain

position

Training &

Development

Program

Competency

Assessment

Finding the Gap in the Competencies

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Competency Profile Per Position


Position Required Competency Reqired Level

1 2 3 4 5

Training & Development

Manager

Communication Skills

Public Speaking

Leadership

Training Need Analysis

Material Development

Training Evaluation

Recruitment Supervisor

Communication Skills

Interview Skills

Analytical Thinking

Understand Selection Tools

Teamwork

Customer Orientation

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Competency Profile Per Position


Position Competency Requirement

Relevant Training Module

Supervisor

Leadership

Leadership I

Communication Skill I

The Art of Motivating Employee

Providing Effective Feedback

Ahievement Orientation

Goal Setting Technique

Work Motivation

Planning & Organizing

Continuous Self Improvement

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Training Matrix for

Competency Development


Position Training Title /

Managerial Competency

Pro

du

ctiv

e

Co

mm

un

icat

ion

Ser

ies

On

Bec

om

ing

Effe

ctiv

e

Lea

der

1

On

Bec

om

ing

Lead

er 2

Ser

vice

Exc

elle

nce

fo

r

Cu

sto

mer

Ach

ieve

men

t

Mo

tiva

tio

n T

rain

ing

Cre

ativ

e P

rob

lem

S

olv

ing

Str

ateg

ic M

anag

emen

t

Bu

ildin

g P

rod

uct

ive

T

eam

wo

rk

Pro

fess

ion

al S

emin

ar

Ser

ies

Supervisor

Communication Skills V

Leadership V

Teamwork V

Achievement Orientation V

Customer Focus V

Job Functional Skills V

Manager

Communication Skills V

Leadership V

Teamwork V

Achievement Orientation V

Customer Focus V

Strategic Thinking V

Problem Solving & Decision Making

V

Job Functional Skills V

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COMPETENCY-BASED

PERFORMANCE MANAGEMENT


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Individual Performance Element


1. Performance Results: Hard or

quantitative aspects of

performance (result)

2. Competencies: It represents soft

or quantitative aspects of

performance (process)

Individual Performance

elements has tow main

categories:

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Individual Performance Element


1. Performance Results Score

2. Competencies Score

Overall Score

Will determine the

employee’s career

movement, and also the

reward to be earned

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Element # 1: Performance Results


No. Main Performance Target Target to be Achieved

1 Conduct an assessment of the employee's performance

All employees submit their performance assessment form on time

2 Improve the system for performance assessment

Target: completed 100%

3 Conduct training activitie Target: to conduct 6 training modules in one year

4 Carry out on the job training activities Target: 90% of the total employees who attend the training

experience an increase

in skill and knowledge

Target should be measurable and specific

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Element # 2: Competency


Basic Intermediate Advance Expert

Actively listen, and clarifies

understanding where required, in

order to learn form others.







Actively listen, and clarifies understanding

where required, in order to learn form

others.

Empathies with audience and

formulate message accordingly.





Empathies with audience and formulate

message accordingly.

Share resources and information. Share resources and information. Share resources and information. Share resources and information.

Responds promptly to other team

members’ needs.

Balance complementary strengths

in teams and seek diverse

contributions and perspectives.

Actively builds internal and

external networks.

Builds internal and external networks and

uses them to efficiently to create value.

Involves teams in decisions that

effect them.

Uses cross functional teams to

draw upon skills and knowledge

throughout the organization.

Uses cross functional teams to draw upon

skills and knowledge throughout the

organization.

Encourages co-operation rather

than competition within the team

and with key stakeholders.

Build and maintain relationships

across the company.

Drives and leads key relationship groups

across the company.

Manages alliance relationships through

complex issues such as points of competing

interest.

Ensures events and systems, e.g. IT, for

collaboration are in place and used.

Draws upon the full range of relationships

(internal, external, cross the company) at

critical points in marketing and negotiations.

Competency: Collaboration

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Assessing Competency through

Assessment Center

Assessment Center Characteristics:

A standardized evaluation of behavior based on multiple inputs.

Multiple trained observers and techniques are used.

Judgments about behavior are made, in major part, from specifically

developed assessment simulations.

These judgments are pooled in a meeting among the assessors or

by a statistical integration process.


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Types of Test in Assessment Center


In-Basket

Exercise

Role

Simulation

• In-trays or in-baskets involve working from the contents

of a manager’s in-tray, with typically consists of letters,

memos and background information. You may be asked

to deal with paperwork and make decisions, balancing

the volume of work against a tight schedule.

• In a play, you are given a particular role to assume for a

certain task. The task will be involve dealing with a role

player in a certain way, and there will be an assessor

watching the role play.

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Presentation

Fact Finding

Exercise

• You may be required to make a formal presentation to a

number of assessors. In some cases this will mean

preparing a presentation in advance on a given topic. In

other cases, you may be asked to interpret and analyze

given information, and present a case to support a

decision.

• In a fact-finding exercise, you may be asked to reach a

decision starting from only partial knowledge. Your task

is to decide what additional information you need to

make the decision, and sometimes also to question the

assessor to obtain this information.

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Group

Discussion

• Group exercises are timed discussions, where a group of

participants work together to tackle a work-related

problem. Sometimes you are given a particular role

within a team, for example sales manager or personnel

manager. Other times there will be no roles allocated.

You are observed by assessors, who are not looking for

right or wrong answers, but for how you interact with

your colleagues in the team.

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Competency Assessment Rating


Results of

Observation

Through the

Assessment Center

Competency Score

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Further Readings

Paul Green, Building Robust Competency, John Wiley and Sons

David Dubois, Competency-Based HR Management, Black

Publishing.


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Any Question?

Slide 71 2014 Entire Contents © 2014, Atif Choudhary. All Rights Reserved

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Competency based hr with aic model