Wednesday, September 17, 2014

MANAGERS’ COMPETENCY FRAMEWORK

Note of Disclaimer and Copyright

• This document is presented with thematic integrity only • The document is adapted from a real study, details however have been morphed in entirety • Data presented is not proprietary and has been changed • Statistical outputs are also not representative of the real data • Author doesn’t guarantee the integrity of data • Framework provided is not to be used without expressed permission of the author • All rights reserved.

• The author can be contacted at: shirshendupandey@gmail.com

Wednesday, September 17, 2014 1

Agenda : What is this all about?

Why Manager Competency Framework

Our Approach

What did we find

How to leverage the framework

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In the first place, Why did we take this up?

Why Manager Competency Framework

Our Approach

What did we find

How to leverage the framework

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MANAGER COMPETENCY FRAMEWORK IS AN UMBRELLA SOLUTION

Identify just the right talent

Reduce wrong hire risk

Person job fit ensures engagement

Better hire quality

Better understanding of Manager behaviour

Transform HR Practices to provide maximum impact

Legal compliance by most international standards

We started with a basic hypothesis Managers who are top performers, are differently competent as compared

to the ones that are not.

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If yes, what differentiates

them?

Can I identify a BE from EE while hiring?

Can we develop our Manager s

better?

Are some people by nature inclined

to be better Manager s than

others?

What skills should we most

focus on?

How to prove that the hypothesis is right?

Why Manager Competency Framework

Our Approach

What did we find

How to leverage the framework

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A four step approach to prove the hypothesis

Preparation • Job Study • Sampling • Calibration

BEI Interviews • Conduct

Interviews • Coding and

Scoring

Analysis • Regression

Analysis • Correlation

Analysis

Insights • Inferences from

the Analysis

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Before deciding what competence means at Manager ’s level, we decided to understand Manager ’s role

Scientific job analysis from

O*Net from DOL was studied to

derive at a list of skills necessary for Manager s. Click Here to

view.

A set of 20 skills and abilities were listed.

Knowledge

aspect of job was ignored.

Skills and abilities were

compressed into 3 clusters and 11 competencies as

identified by FYI’s

competency Dictionary.

Each competency was

defined by six behaviours as relevant to an Manager’s job.

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We zeroed in on an initial set of eleven competencies most critical in Manager ’s Role through Repertory Grids Drive

Action oriented

Perseverance

Drive for Results

Interpersonal

Compassion

Interpersonal savvy

Customer Focus

Negotiating

Personal

Composure

Learning Agility

Listening

Integrity

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30 Manager s were assessed on competencies using BEI to find differentiators using statistical tools like…

Regression • Regression tries to predict Manager

rating basis their competency scores • Helps understand the interaction of

multiple competencies and their cumulative impact on Manager rating

Correlation • Correlation tries to establish a

relationship between individual behaviours and Manager rating

• Correlation helps understand the impact of one competency at a time on Manager rating

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To see outputs go to Appendix.

Before we appreciate the analysis let’s first understand some key concepts

Validity

Reliability

Significance

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4 shots 10 shots

To be sure, we also used Psychometrics to see if personality traits were also differentiators

Agreeableness: Being positive, compassionate, cooperative and accommodating in interaction with others

Conscientiousness: Being dutiful, responsible, organized, disciplined and achievement oriented

Extraversion: Being outgoing, friendly, sociable, assertive and energetic

Neuroticism: Not in control of impulses, emotional instability and tendency to express negative emotions

Openness to Ideas: Being open to new experiences and ideas, inventive, adventurous and emotions

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• The Six Factor personality test was adapted from the famous IPIP NEO test based on the most researched Big Five Personality Theory

• Why IPIP NEO? Open Source, Accessible, Powerful

Psychometrics contd. • The adaptation was necessary due to number of items

(240 in the original one) and comprehension ability of the target audience

• The test’s adapted version is reliable at r = 0.78 as against r = 0.87 to 0.92 of the original one

• The adapted version has 110 question as against 240 in NEOPI-R

• Additional Social Desirability Scale was used to weed out highly desirable responses

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So what did we find after all?

Why Manager Competency Framework

Our Approach

What did we find

How to leverage the framework

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Our hypothesis was true: high performance Manager are indeed different from the others

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0

1

2

3

4

5

6

EE BE

AM Rating

Competencies 87%

Other Factors

13%

87% of performance difference between a BE and EE rated Manager is

manifestation of competency deficit. • BE=Low Performance; EE= High Performance

Four competencies have the maximum impact on Manager performance

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Negotiation Skills 25%

Composure 23%

Perseverance 21%

Interpersonal Savvy 13%

Action Oriented 8%

Integrity 5%

Compassion 4%

Customer Focus,

Learning, Listening, Drive

for Results 1%

Positive Impact of Competencies on Performance

By focusing on four competencies we can derive 90% of total impact on Manager Performance

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Acting With Perseverance

Composure in Action

Negotiating with

Consumers

Interpersonal Savvy

To see the competency definitions Click Here.

But what about impact of Personality traits on Manager Performance? Small but significant.

• Regression model shows 16% of significant contribution to Manager performance

• Agreeableness, Neuroticism and Conscientiousness impact the Manager performance the most

• Ranges and weights for each construct have been defined so that hiring decisions can be made by lowering risk

• Extraversion is a hygiene factor while others can be used to provide a complete picture of the candidate

• Openness to ideas was found irrelevant to Manager s’ performance

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Agreeableness, 8%

Conscientiousness, 39%

Extraversion, 13%

Neuroticism, 33%

Openness, 1%

Other Traits, 6%

Personality Trait Low Risk Ranges

Impact

Agreeableness 0 to 20 8%

Conscientiousness 10 to 40 39%

Extraversion -25 to 25 Hygiene

Neuroticism -25 to 5 33%

Other insights also emerged through our qualitative research

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27%

53%

0

10

20

30

40

50

60

BE EE

Events of Learning by Trying new things on call

73%

37%

0

10

20

30

40

50

60

70

80

BE EE

Attributing the responsibility of their learning to their GMs

82%

16% 0

102030405060708090

BE EE

Attributing Success/Failure to External Factors

45%

0% 0

10

20

30

40

50

BE EE

AMs High* on Drive for Results and Low* on Composure

• *High Scores are more than 5 for DFR while Low scores are less than 2 for Composure.

• BE=Low Performance; EE= High Performance

What do we do with all our insights

Why Manager Competency Framework

Our Approach

What did we find

Leveraging the framework

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The sum total of what we learnt through the mapping: Manager Behavioural Model

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• Easiest to develop. • Focus on immediate/tangible results • Internalised skills applied without

conscious discretion

• Can be developed over time by coaching and counselling

• Focus on sustainable results • Behaviours applied with conscious

discretion

• Can’t be changed much • Focus is internal to self concept • Are not controlled by conscious mind

• Can be reinforced but not actively learnt

• Are not controlled by conscious mind

This holistic understanding has implications on our people practices

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Screen For

Integrity (BGV) Traits (Personality Test) Drive for Results (Resume Screening, General Interaction) Language Skills (Telephonic Interview)

Hire For

Interpersonal Savvy Composure Perseverance (BEI, Group Discussion)

Train For

Negotiation Skills Technical Competence Job Specific Knowledge

Coach For

Perseverance Composure Negotiation Skills

To see the competency definitions Click Here. To see detailed competency based assessment BARS tool Click Here.

To make the best of the framework we recommend the following

Leadership Buy In • Getting leaders to adapt the framework • Seeking their influence in inspiring change

Hiring Well • Adding psychometric tests as apart of screening process • Adding aptitude, group discussions or situational judgement tests as a part of selection criteria • Introducing Structured BEI and coding for recruiters • Auditing and certifying the recruiting talent in partnership with Talent Acquisition Team

Training Better • Focusing on the key behaviours • Partnering with L&D team to add elements that emphasize and drive competencies in Manager s

Managing Behaviour in Action • Communicating the findings to the operations team and HRBP • Inclusion of competencies in performance improvement plan • Communicating and coaching Manager s on the framework and how it benefits and impacts them

Talent Orientation • Using the framework to make talent decisions like internal job postings

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Ultimately, these insights are an opportunity to grow

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“When the winds of change blow, some people build walls and others build windmills.” Chinese Proverb

Appendix I: Regression Model R Squared: 0.868 (0.76 adjusted) Sig: 0.018 ( 98.2%) Alpha = 0.68

N=30 Unstandardized Coefficients Standardized Coefficients

Model B Std. Error Beta t Sig.

1 (Constant) 0.734 1.025 0.716 0.494

Action oriented 0.13 0.058 0.348 2.255 0.054

Perseverance 0.214 0.049 0.907 4.35 0.002

Drive for Results -0.476 0.171 -0.809 -2.783 0.024

Compassion 0.059 0.066 0.195 0.891 0.399

IP Savvy 0.108 0.044 0.549 2.427 0.041

Customer Focus 0.013 0.037 0.06 0.364 0.725

Negotiation Skills 0.245 0.071 1.108 3.446 0.009

Composure 0.413 0.101 0.984 4.094 0.003

Learning Agility -0.065 0.031 -0.312 -2.091 0.07

Listening -1.772 0.393 -1.08 -4.51 0.002

Integrity 0.093 0.096 0.214 0.968 0.361

a. Dependent Variable: Pace rating

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Appendix II: Competency definitions

Acting with Perseverance (Weight = 30%)

Showing persistence and never ending conviction toward achieving breakthrough results. Pushing the bar higher by hard work, aspiration and challenging personal goals.

Negotiating with Consumers (Weight = 25%)

Negotiating with consumers to achieve a win-win situation for both the consumer and the company. In doing so, treating consumers with respect and fairness.

Composure in Action (Weight = 23%)

Showing great restraint and maturity in thoughts, words and action by acting with integrity. Responding to situations flexibly, adapting to challenges and finding learning opportunities in every difficult experience.

Interpersonal Savvy (Weight = 13%)

Winning by creating great relationships through collaboration at workplace with consumers, peers, supervisors and other stakeholders.

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Appendix III: Detailed Competency framework Acting with Perseverance (Weight = 30%)

BARS Beginner BARS Practitioner BARS Expert 1.2 Has a positive outlook/optimistic 2.2 Doesn't waste time 3.3 Takes control of situations

1.4 Doesn't give up easily 2.5 Bears a sense of urgency 3.5 Holds oneself accountable for meeting objectives

1.5 Motivates him/her self 2.7 Doesn't compromise on goals 3.9 Sets challenging personal goals

1.7 Shows resolve in dealing with challenges 2.9 Enjoys working hard

Negotiating with Consumers (Weight = 25%)

BARS Beginner BARS Practitioner BARS Expert 1.2 Believes in creating win-win situation 2.2 Gains consumers' trust 3.3 Acts both submissive and assertive flexibly 1.7 Controls the tone of conversations 2.6 Reads people well 3.5 Knows when to say what 1.9 Is truthful in negotiating with others 2.7 Is tactful while negotiating with others 3.8 Customises approach for different consumers

Composure in Action (Weight = 23%)

BARS Beginner BARS Practitioner BARS Expert

1.3 Handles stress positively 2.2 Doesn't become defensive when faced with criticism 3.2

Doesn't get frustrated when things don't go as expected

1.4 Maintains cool under pressure 2.5 Is open to change 3.5 Signals positivity to others 2.8 Learns and adapts proactively

Interpersonal Savvy (Weight = 13%)

BARS Beginner BARS Practitioner BARS Expert 1.3 Gets along with all kinds of people 2.2 Builds profitable relationships 3.3 Embraces conflicts and defuses tension 1.4 Builds rapport with ease 2.4 Demonstrates empathy with others 1.9 Cares about others 2.9 Is diplomatic in conversations

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Appendix IV: Psychometric analytical Model (Predicted cut offs and hit rates)

Weights A = 8% C = 39% N = 33% n = 109 (100 clean responses)

Constructs A (0 - 20) C (10 - 40) E (-25 - 25) N (-25 - 5) All Criteria

Ratings In Range

Out Range

In Range

Out Range

In Range

Out Range

In Range

Out Range In Out

BE (20) 90% 10% 75% 25% 85% 15% 65% 35% 35% 65%

PM (10) 70% 30% 60% 40% 90% 10% 80% 20% 50% 50%

ME (20) 80% 20% 95% 5% 100% 0% 85% 15% 75% 25%

PE (20) 95% 5% 90% 10% 100% 0% 90% 10% 80% 20%

EE (30) 97% 3% 90% 10% 100% 0% 94% 6% 85% 15%

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Appendix V: Manager Behavioural Model

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