Benefits of a Competency Model in a Global Company

Competency model facilitates a strategic approach and a binding method for all HR systems in a global organization. It is essential to place the right people in the right job, promote the high performers and create a climate that ensures people put in their best every day. A competency model acts at various levels and delivers a host of benefits in integrating a company’s processes and measures and propagating a unique culture.

Hiring System All interviewers look for the same set of abilities. Personal discretion and biases are avoided.
Learning & Development Provides a methodical way to focus the investment into the behaviors and skills necessary for achieving success across job roles.
Succession Planning & Internal Mobility Maps the attributes required to be successful in a job and ensures that everyone looks for the same set of skills and attributes necessary for the success in the job role in question.
Performance Management Provides a predictable, transparent and objective narrative for what is expected of an individual in a job role.
Appraisal System Provides a road map for success and a measurable scale for making rewards and recognition decisions objective and transparent.

Talent Acquisition
By juxtaposing the requirements of a job to the competencies of the available pool of candidates (employees or aspiring employees), an organization can hire the best fit people. Making the process of selection and rejection based on well calibrated scales.

Enhancing Productivity
By focusing people’s effort and behaviors that have the greatest impact on business, competency models help organization improve productivity at all levels. By ensuring that the skill gaps are methodically quantified, they ensure that training budgets are aptly spent.

Making the best of feedback process
Companies greatly rely on a 360-feedback process specially for development of managerial and leadership staff – project managers, team leaders and even business unit heads. By relating the feedback collected from peers, direct reports, supervisors and others, to the competency model, organizations can conceive development actions in an effective way.

Making organization future ready
Competency models articulate the required skills and competencies of the future and by ascertaining the gap between the current level of skills and what is important for the future success of the organization, the contribute towards making the organization future ready. The skill gap identified contributes towards training need identification and making the right hiring decisions. Skills, knowledge and attributes that have driven success in the past may not necessarily assure success in the future. In a fast-changing business environment, it is necessary to keep the competency model “current” and map the future needs methodically into the competency model.

Aligning workforce
One of the ley roles of a leader is to align people to company’s vision. In doing so, they need to structure messages, clarify reasons for various initiatives and create a dialogue to build create powerful conversations within the system. Competency models provide a sense of standardization so that all leaders talk in the same tune and clarify to the employees what is needed to be successful. They may clarify what behaviors and skills are necessary for the future and where the gaps are.