Everything you wanted
to know about
competencies…
(but were afraid to ask)
Presented by
Lorraine McKay,
Senior VP,
Professional Services
Human Resource Systems Group, Ltd
6 Antares Drive, Phase II Suite 100
Ottawa, Ontario, K2E 8A9, Canada
www.competencycore.com
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Everything you wanted to know about competencies
How to Participate Today
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Everything you wanted to know about competencies
About our Presenter, Lorraine McKay
Ms. McKay has over 30 years experience as a human resources professional,
and is well known for her expertise in developing competency-based human
resource management programs and tools such as assessment, interviewing,
competency-based human resource planning and development, and
performance management.
She co-authored HRSG’s CompetencyCore program, defining the
methodology for developing competency frameworks and using
competencies in Talent Management.
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Everything you wanted to know about competencies
Agenda
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Talent management and competencies
Why organizations use competencies
3 competency vignettes
How to get started
Q&A
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Everything you wanted to know about competencies
Return on Investment
– 92% greater ability to “respond to changing economic
conditions”
– 156% greater ability to “develop great leaders”
– 40% lower turnover among high performers
– 87% greater ability to “hire the best people”
– 26% higher revenue per employee
» Bersin 2010
– 19% improvement in employee performance
– 12.5% increase in sales and profits
» Spencer 2001
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Everything you wanted to know about competencies
Why Do Organizations Turn to
Competency-based Talent Management?
Strategic
Vision
Employee
Behaviours
Improved
Business
Results
For organizations that seek to align their workforce with business objectives,
competency management is critical.
Aberdeen Research
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Everything you wanted to know about competencies
What are Competencies?
Observable abilities, skills,
knowledge, motivations or
traits defined in terms of
the behaviors needed for
successful job performance.
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Everything you wanted to know about competencies
Using Competencies in Talent Management
Competencies are used
throughout the TM process as the
common criteria for
 making hiring decisions,
 explaining job expectations,
 measuring and managing
performance
 facilitating career development
#1 business / HR process that will drive the highest level of
impact is a sound competency management program. - Bersin 2006
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Everything you wanted to know about competencies
3 Vignettes
 Poor hiring decision
 Loss of a good employee
 Hiring a well aligned candidate
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Everything you wanted to know about competencies
Vignette #1: Poor Hiring Decision
 Meet Joe…
– 6 years experience in product
development with related
education and credentials
– Hired as a Product
Development Manager
– Hiring method focused on
education and experience
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Everything you wanted to know about competencies
Vignette #1: Poor Hiring Decision
After 6 months, had to fire Joe due to
lack of performance.
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Everything you wanted to know about competencies
Why didn’t things work our with Joe?
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Poor fit
Slow learning curve
 Personality conflicts
 Difficulty adapting
 Didn’t have the skills
needed to learn quickly
Lack of engagement
Poor performance
 No clear understanding of
expectations and role
 Didn’t meet targets
 Couldn’t motivate team to
perform
Everything you wanted to know about competencies
Organizational Impacts
Spent time and money hiring an employee who didn’t stay
Affected morale and performance of team
Risk of litigation
Failed to meet goals: delayed product launch
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Everything you wanted to know about competencies
Let’s try it again!
Hiring methods focused on key
competencies required
 Teamwork & Team Leadership
 Adaptability
 Competencies defined
 Structured competency-based
interview approach
 References focus on key
competencies
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Orientation & Coaching
 Clearly described behavioral
expectations
 On-job Coaching for key
competencies
 Used competencies to describe
expected behaviors
 Coached to key competencies
 Monitored behaviors &
performance
Everything you wanted to know about competencies
Vignette #2: Loss of a Good Employee
 Meet Jackie…
– 12 years experience as a Sales
Rep, strong track record and
major potential for growth
– Accepted position due to
company culture and
potential advancement
opportunities
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Everything you wanted to know about competencies
Vignette #2: Loss of a Good Employee
Once hired…
⁻ Manager did not communicate possible
career path opportunities
⁻ No mechanism in place to find the
information
After 18 months, Jackie left the company
to go to a competitor.
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Everything you wanted to know about competencies
Why Jackie left?
Lack of feedback
 Manager unable to provide
feedback on how to
develop career path
Lack of engagement
 Unable to take charge of
her career
 Wasn’t challenged in the
role
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Lack of management
competencies
 Manager didn’t have the
right competencies
required to empower his
employees
Poor job satisfaction
 Didn’t see where she fit in
the organization and was
unable to reach her full
potential
Everything you wanted to know about competencies
Organizational Impacts
Spent time and money hiring and training an employee who didn’t stay
Lost a high potential employee to the competition
Lost momentum in making sales
Sends a message to other employees: no career here!
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Everything you wanted to know about competencies
Let’s try it again Jackie!
Career Development Tools
Performance Coaching
 Key competencies recognized
by the organization
 Career development
discussion with manager
 Competency Profiles within
career path
 Competency assessment and
coaching
 Tools for self-assessment and
development
 Development assignments
 Policies and resources for
development of competencies
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Everything you wanted to know about competencies
Vignette #3: Hire a well-aligned candidate
 Meet Rebecca…
– 2 years retail sales experience
– Hired as a Customer Service Rep
based on alignment of personal
competencies to job requirements
– During interview process,
demonstrated:
• Achievement Orientation
• Initiative
• Client Focus
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Everything you wanted to know about competencies
Vignette #3: Hire a well-aligned candidate
After 16 months, Rebecca was promoted to
Customer Service Manager.
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Everything you wanted to know about competencies
Why did Rebecca succeed?
Good fit
Short learning curve
 Hired based on displaying
competencies needed for
success in the job AND the
organization
 Addressed skill and
knowledge gaps in a
targeted manner
High level of engagement
& job satisfaction
Excellent performance
 Was able to take charge of
her own career due to
clear development paths
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 Excelled in her position
 Manager reinforced and
recognized competencies
Everything you wanted to know about competencies
Organizational Impacts
Customer Service delivered effectively and consistently
High impact and replicable hiring practices in place
Engagement among high performing employees;
motivated to succeed
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Everything you wanted to know about competencies
Best Practices for Using Competencies
Hiring
Performance
Goals
Engagement
• Communicate
ideal candidate
profile
• Communicate
job
expectations
• Assess
competencies to
identify gaps
• Career
development
tools
• Select to key
competencies
• Coach to
competencies
• Learning plans
to address gaps
• Expected
behaviors
clearly defined
• Career
development
tools aligned
with
competencies
• Standardized
tools and
methods
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Development
Hire better
quality
employees
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Greater job
knowledge &
competence
Quick learning
curve and
targeted
development
• Reinforce key
competencies
Greater
employee
retention &
motivation
Planning
• Assess successors
against
competencies
(e.g. leadership
profile)
• Identify key
competencies
needed in
workforce
Build a high
performing
workforce
Everything you wanted to know about competencies
Getting Started with Competencies
How HRSG Can Help?
Know-how
Tools
1. Competency dictionary with general and technical
competencies
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2. Plan for implementation and roll-out
3. Enabling tools
• Software for competency management and
talent management
4. Training and communication
• For HR, managers, employees
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CompetencyCore
Libraries
CompetencyCore Engage
CompetencyCore 5
Software Tools
CompetencyCore
Certify
Everything you wanted to know about competencies
CompetencyCore
CompetencyCore is designed to make it easy for organizations
to utilize competencies as the basis of their Talent Management
processes:
Libraries: General & technical competencies
CompetencyCore 5: Competency
management tools
Engage: Competency-based Talent Management
consulting services
Certify: Training in Competency-based Talent
Management
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Questions
Contact Information
Tracy Trottier
Marketing Manager, HRSG
1-866-574-7041 x230
ttrottier@hrsg.ca
Lorraine McKay
Senior VP, Professional Services, HRSG
1-866-574-7041 x229
lmckay@hrsg.ca
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Everything you wanted to know about competencies