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    Nhrdn learning center 09.04.10 Nhrdn learning center 09.04.10 Presentation Transcript

    • NHRDN’s Learning Center – 9th April, 2010
      “Competencies : Concept and Framework”
      by:P. Dwarakanath Director – Group Human Capital Max India Ltd.
    • 2
      What will we cover ……..
      Understanding Competencies?
      Why Competencies?
      Developing a Competency Model
      Linking Competency Model to HR Systems
      A look at HR Competencies – HR Compass
      The Max Story !!
      The GSK Story !!
    • 3
      Understanding Competencies
    • 4
      What Are Competencies?
      Competency is an underlying characteristic of an employee (i.e., a motive, trait, skill, aspects of one’s self-image, social role, or a body of knowledge) which results in effective and/or superior performance. (Prof. Boyatzis, 1982)
      A Competency is a set of skills, related knowledge and attributes that allow an individual to successfully perform a task or an activity within a specific function or job. (UNIDO, 2002)
      Competencies are coachable, observable, measurable, and critical to successful individual or corporation performance.
      The pieces of the puzzle…..
      ……that form a common language about success
      …that reflect the values and culture of the organization
    • 5
      Related
      KNOWLEDGE
      relates to information, cognitive Domain
      ATTRIBUTE (or ATTITUDE)
      relates to qualitative aspects, personal characteristics or traits
      Set of SKILLS
      relates to the ability to do, physical domain
      COMPETENCY
      Outstanding Performance on tasks or activities
      JOB
      Competencies: The KSA Framework
      Source: UNIDO
    • 6
      Exhibition of Competencies?
      Outputs
      Products +
      Services
      Behaviors
      Results
      Actions +
      Thoughts +
      Feelings
      Capabilities
      Knowledge +
      Skill +
      Attitude
      Competencies are a person’s capabilities in the form of knowledge + skill + attitude, which gets reflected thorough a persons behavior in the form of actions + thoughts + feelings and finally manifests itself in outputs which are products and services
    • 7
      Let’s Have Few Examples of Competencies ……
    • 8
      Examples of Competency
      Innovation
      Team Work
      Coaching and Developing Others
      Customer Focus
      Strategic Thinking
      Result Orientation
    • 9
      Classifying Competencies
      Universal
      Reflections of the company’s values, culture, and business imperatives that should be exhibited by all employees
      For example, guiding behaviors such as cost effective service delivery, customer focus, teamwork, communication skills, initiative
      Transferable
      Skills and abilities needed within several roles in varying degrees of importance and mastery
      For example, managerial and leadership skills
      Unique
      Specialized know-how or abilities required within a specific role or job
      For example, technical/ functional skills (Marketing Strategy, Drug Discovery)
    • 10
      Why Competencies?
      Does it pay to integrate management systems around competencies?
    • FROM
      What business are we in?
      What capabilities do we bring to the businesses we are in now that can serve as foundation upon which future businesses can be built?
      TO
      Paradigm Shift
    • 12
      Managing Talent: Three Compelling Questions
      Align
      Do you have the right people, doing the right things to reach your business goals?
      Are you creating an environment where the right people want to be?
      How do you know ?
      Engage
      Measure
      ?
    • 13
      Importance of Competencies !! …. (1/2)
      • Competencies, when correctly identified and used, have proved to be one of the most powerful tools for an organization to meet its business results, through its most valuable resource – its people
      • Very effective for communicating about performance because they help people frame expectations and goals in clear behavioral terms - help companies ‘raise the Bar’ of performance expectations
      • Help in establishing common criteria for hiring, training, measuring, and rewarding people with the right capabilities to help the company gain competitive advantage
    • 14
      Importance of Competencies !! ….(2/2)
      • Remind employees how they do things is as important as what they do
      • Reward the person, not the job
      • Enable greater flexibility to move people laterally and encourages development
      • Help to identify gaps between current capabilities and future requirements
      • Help in focusing training and development efforts on areas with greatest need and/or impact
      • Facilitate organizational change and building desired culture
    • 15
      Developing a Competency Model
    • 16
      What is a Competency Model?
      A group of competencies that describe successful performance for a particular organisation, function, level, role or job
      A competency model consists of:
      Competencies
      Proficiency Levels and Behavioural Indicators
      Measurement approach
      Rating scale
    • 17
      Guidelines for Creating a Competency Model
      To Be Effective, a Competency Model Must:
      Be aligned with business & organization goals & needs
      Support the business strategy
      Be future focused
      Be established through a process that maximizes buy-in and validity
      Translate abstract concepts into observable behaviors and activities
      Be suitable for multiple applications (if necessary)
      Be selective, focused on a few competencies that are actually key for company or individuals performance
      Do not make so specific that it cannot be used elsewhere in the organization
      Source: Hewitt Associates
    • 18
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Alignment of the Competency Model with Business
      Business Results
      Clearly defined competencies integrate HR systems and business strategy
      Needed Capabilities
      People Requirements
      The Organizational Competency Model
      (Identifying, Defining & Scaling the required competencies)
      Competency profile
      Individual proficiency profile
      Integrated HR Strategy - Competency based People Systems
      Source: Hewitt Associates
    • 19
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Linking Competency Model to HR Systems
    • 20
      Staffing – Selection and Recruitment
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Why Use Competencies for “Staffing”?
      Establishes profiles outlining requirements for each job/role
      “Discovers” qualified candidates who do not fit the “stereotype”
      Competency based interviews reduce the risk of making a costly hiring mistake and increase the likelihood of identifying and selecting the right person for the right job
      Decreases unproductive downtime of new employees
      Decreases turnover among new employees
      Determines training needs at job entry
      Monitors performance of new employees
      Source: Hewitt Associates
    • 21
      Organizing
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Why Use Competencies for “Organizing”?
      Competency based profiling of roles within bands shows progression from level to level in the organization
      Roles can then be clustered into broad-bands where each band has a practical and clearly visible difference from others
      Helps reduce organizational hierarchy and establish a common framework for career development
      Using transferable competencies career tracks and the criteria for career transitions can be clearly defined by linking competencies to each career stage
      Actual role to role movement can be charted out and made available to employees to take career actions
      Source: Hewitt Associates
    • 22
      Learning – Training and Career Development
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Why Use Competencies for “Learning”?
      Captures the gap between current skill set of the workforce and required skill set
      Provides opportunity to identify/ develop specific training programmes by mapping them to competency gaps - identifies where the company should spend its training budget to achieve the greatest impact
      Puts career development responsibility and tools in the hands of the employee by making him responsible for his/ her own development - Required and achieved proficiency levels can be tracked by individual
      Gives the line managers a tool to empower them to develop people
      Source: Hewitt Associates
    • 23
      Performing
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Why Use Competencies for “Performing”?
      Links results, expectations, and behavioral objectives to the business plan
      Provides managers with guidelines and resources
      Provides employees with clear understanding of the behaviors and skills to use in accomplishing results - Agree on competencies to focus on as well as their desired proficiency levels during the performanceplanning process
      Establishes clear high performance standards - Competencies affect overall rating (along with achievement of results)
      Enables collection and proper analysis of factual data against the set standards
      Enables conducting of objective feedback meetings
      Provides direction with regard to specific areas of improvement
      Source: Hewitt Associates
    • 24
      Rewarding
      Staffing
      Rewarding
      Organizing
      Learning
      Performing
      Why Use Competencies for “Rewarding”?
      Aligns pay systems to the goals/values of the organization
      Rewards an individual for acquiring valued skills and behaviors
      Serves as an input to merit pay increase decisions
      When competency ratings result in a shift in role, there is a pay implication linked to the role
      Some organizations provide recognition bonus (separate from short term incentives) for exemplary improvement/ demonstration of competencies
      Specific hot skill areas (especially in IT) are sometimes linked to hot skills bonuses
      Source: Hewitt Associates
    • 25
      Linking it All: Competencies Help Integrate Key HR Systems
      • Talent & skill forecasting
      • Organization Gap Analysis based on Competencies
      • Identifying and Grooming Future Leaders based on Competencies
      • Competency-based Role Profiles
      • Competency-based Interviews
      WorkforcePlanning
      SuccessionPlanning
      Selection
      • Development Activities that Address Gaps
      • Hi Po Criteria
      LeadershipDevelopment
      • Competencies measured through the Performance Management Process
      Competencies
      PerformanceManagement
      Training
      Rewards &
      Recognition
      • Developmental Initiatives including Training, to Develop Competencies
      CareerDevelopment
      • Rewards and Recognition for Demonstrating and/ or Developing Competencies
      • Pay increase based on competency development
      • Career Bands and Career Paths (Vertical & Horizontal) based on Competencies
      Source: Hewitt Associates
    • 26
      In Short, The Promise of Competencies….
      Provides consistent selection criteria
      R aises the bar of performance
      O ffers data to tailor development
      M easures “how” intellect is deployed
      I ntegrates all HR systems with business strategy around factors that contribute to organizational success
      S upports self-directed career planning
      E mphasizes people (versus job) capabilities
      Noble & Hewitt
    • 27
      A look at HR Competencies –
      The HR Compass
    • 28
      5 Key HR Competencies
      Strategic Contribution
      Personal Credibility
      HR Delivery
      Business Knowledge
      HR Technology
      Investing in HR Professionals through Training and Development for enhancing the HR competencies
    • 29
      HR Competency Typology
      Behavioral
      Technical
      Functional
      Generic
      Source: NHRDN’s HR Compass Model
    • 30
      Classified HR Competencies - Functional Competencies
      Functional Technical Competencies
      HR Planning & Staffing
      Performance Management
      Talent Management
      Compensation and Benefit
      Managing Culture, Design & Change
      ER and Labor Laws
      Building HR Strategy
      International HRM
      Functional Behavioral Competencies
      Service Orientation
      Personal Credibility
      Execution Excellence
    • 31
      Classified HR Competencies - Generic Competencies
      Generic Behavioral
      Strategic Thinking & Alignment
      Change Orientation
      Networking
      Generic Technical
      Business Knowledge
      Financial Perspective
    • 32
      The Max Story!!
    • 33
      Multi-business corporate | Focused on people and service
      “ IN THE BUSINESS OF LIFE ”
      Life Insurance
      Protecting Life
      Healthcare
      Caring for Life
      Clinical ResearchImproving Life
      Health Insurance
      Enhances Life
      Vision:
      “To be one of India’s most admired corporates for service excellence”
      Max India: “In the Business of Life”
      Other Business
      Corporate Social Responsibility
      Focus on healthcare, children and the environment
      Niche high barrier polymer films & Leather Finishing Foils
    • 34
      Max India: Culture
      Max India Spirit: Driven by Enterprise; Built on Knowledge; Delivered through People
      Multiple Companies One Business - “Life”: The Flame of “Togetherness” that:
      • Unites us All, and
      • Brightens our Future
      Achieving Service Excellence through:
      • Strategic Focus on Talent (Attraction, Retention and Development)
      • Strategic Focus on Quality
      Achieving Business Excellence through:
      • Empowered, Self Directed Teams
      • Alignment of Individual Accountability with Business Results
      • Robust Performance Management
    • Classification of Competencies @ MNYL
      35
      Core Competencies
      Functional Competencies
      Leadership Competencies
    • 36
      The GSK Story!!
    • 37
      GSK Mission
      “Our global quest is to improve the quality of human life by enabling people to do more, feel better and live longer”
    • 38
      Our quest is to facilitate a culture that enables the realisation of human potential
      “As a strategic business partner we strive to attract, retain and develop talent, champion change and manage performance to achieve our goals”
      GSK’s HR Mission
    • 39
      GSK: Living the Spirit
      Performance with Integrity
      Organisational and individual trustworthiness
      People with Passion
      People are enabled and motivated to do their best work
      Innovation and Entrepreneurship
      Competitive advantage through well-executed ingenuity
      Sense of Urgency
      A nimble, focused, resilient and fast-learning organisation
    • 40
      GSK: Living the Spirit
      Everyone Committed, Everyone Contributing
      All employees have opportunity to make a meaningful contribution and to succeed based on merit
      Accountability for Achievement
      Clear expectations; focus on the critical few. Performance matters and will be rewarded
      Alignment with GSK Interests
      One team, in single-minded pursuit of our mission, reflecting a common spirit and integrated strategies
      Develop Self and Others
      A norm of career-long learning agility across the organisation
    • Scores for Leadership Essentials
      Scores for Leadership Essentials
    • Identifying Competency Gap : Illustration
      Role: XXX
      Incumbent : Mr. A
      Competency Gap
      Role Requirement V/s Incumbent Profile
      Competencies A B C D
      C1 1 2 3 4
      C2 1 2 3 4
      C3 1 2 3 4
      C4 1 2 3 4
      C5 1 2 3 4
      C6 1 2 3 4
      Required Proficiency Levels for the Role
      Actual Proficiency Levels of the Incumbent
      Identifying Competency Gaps
    • 43
      Leadership Development
      Clusters
      “Love ideas”
      (Innovative thinking)
      Be a leader
      (Leading people)
      Together
      (Engaging and developing
      others)
      Be bloody amazing
      (Achieving excellence)
      Source: GSK in collaboration with CHPD
    • 44
      12 high performance behaviours
      Cluster
      HPB
      Information search
      Creating business solutions
      Flexible thinking
      Innovative thinking
      Engaging and developing others
      Teamwork
      Building relationships
      Developing people
      Influence
      Building confidence
      Communication
      Leading people
      (Leading and inspiring people)
      Enable and drive change
      Continuous improvement
      Customer focus
      Achieving excellence
      Source: GSK in collaboration with CHPD
    • 45
      The Rating Scales
      GSK Competency Assessment Tool
    • 46
      Talent Management At GSK
      “Grooming future Business Leaders & Global Managers in addition to functional expertise”
      GSK philosophy
      “Grow your own Timber”
      Global Talent Pool “Fit for Future”
      “Build Bench Strength”
      “Develop Self & others”
      ‘Career Sans Frontiers’
      5 Key Principles for Recruitment:
      Street Smart
      High levels of energy
      Care for People
      Team Player
      Sense of Humor
    • 47
      Developing Talent : At GSK
      Talent Review
      Leadership Watch
      Expert Watch
      Ones to Watch
      Valued Solid Citizens
      Succession Planning
      Robust succession plan for IMT and their Direct Reports
      Integrated with Talent Review Feedback
      Key Talent : Mentoring By IMT members
      Executive Coaching
      360 Degree Feedback
    • 48
      Developing Talent : At GSK
      Executive Exchange Program
      CEO forum
      Development Programs
      Leadership Edge
      Accelerated Change Management
      Project-Based Assignments
      Global Assignments
      Cross-country postings
      Short term assignments
      Exchange programs
      2 + 2 +2
    • 49
      There are 4 kinds of people in this world:
      People who watch things happen…
      People who do not know what is happening…
      People to whom things happen…
      And a distinguished minority of…
      Winner Takes All…
      People who make things happen
    • Thank You