Competencies are typically captured in Roles and/or Job Profiles, which allows you to define target levels and assess gaps. Having defined your set of competencies you can work with them across all HR Processes: Competencies for Performance and Compensation can be part of the performance form and used as a rating element. For Learning and Development competencies can be used to define development goals and allow mapping of these goals to LMS trainings. Competencies also support Workforce Analytics as it allows identification of current and future gaps providing standard reports to assess gaps and take necessary action. For Succession and Recruiting competencies are a key element, allowing the search and identification of high potentials and definition of career paths.
Competencies are typically used in two very different variations:
For Performance Management they are used to capture the “How” component, complementing the “What” component captured in goals. In the Performance Management context, competencies are utilized as “behavioral goals” for a specific job. The “more the better” for the overall performance score, including Bonus. For Talent/Succession/Development purposes, competencies are used as a more general description of the requirements of human beings in organizations and communities. They are the same across hierarchies and job levels. This enables a fit/gap analysis for other jobs. In this context, “more is better” is not true, as it only depends on the job’s requirements, which can be low, medium or high.