Similar to Asset Management, Competency Management is a tool used to assure an organization has what it needs, in this case the people and skills, to sustainably deliver services. By identifying and mapping the knowledge, skills, and behaviors needed for a sustainable asset management program, an organization can ensure that its staff are adequately qualified, suitably trained, and have sufficient experience to perform their work to the desired standard to achieve this success.
Use this page to become familiar with the subject of Competency Management. The page defines some common Competency Management terminology you will read in the rest of the Web Portal and describes how the various terms all fit together into a coherent whole. It then goes on to describe the four areas an organization uses competencies in and details some common benefits and challenges of Competency Management.
Competency Management Terms
Term |
Definition |
| Competency |
The integration of a group of related knowledge, skills, and behaviours that contribute to individual and organizational performance, i.e., the ability to perform a set of related tasks.
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| Competency Management |
The cataloging, management and development of competencies in an organization. Competency management links human resources (HR) management with the organization’s strategic needs. It gives an organization the ability to assess and manage the capacity of its people to achieve its vision, mission and goals. Competency management includes conventions and standards that form an organizational approach to three key components:
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| Competencies | A focus on an individual’s ability to achieve an outcome. They support performance across the multiple work tasks required and methods available to achieve that outcome. Competencies typically apply to a broad but defined audience (e.g., all employees, all leaders, or a job family, discipline or function). A competency description usually follows a well-defined structure consisting of a title, a definition, and statements that provide examples of effective behaviours. |
| Competency Elements |
The specific individual behaviours that demonstrate competency. In the AMCF they are described as “effective behaviours.” Good effective behaviours should be:
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| Competency Proficiency | A defined “level” at which an individual in a group should perform a competency at. These “proficiency levels” can be described in a generic and standardized way, like in the AMCF document, or by setting out the specific competency elements (i.e., effective behaviours) that demonstrate a degree of competency at each level |
| Competency Profiles | Outlines of the specific competencies and corresponding target proficiency levels required to be successful within a role or defined group. A job description describes work activities (duties), whereas a competency profile describes the knowledge, skills and behaviours required to carry out those duties. |
| Competency Assessment |
The process of measuring and judging evidence of an individual’s capability or proficiency relative to a defined standard. The integrity of the assessment is foundational to the success of a competency management program. The assessment must be based on a valid and reliable tool, and a well-defined and executed process. Key features of a quality competency-based assessment include:
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| Competency Model | A set of key competencies that define the required capabilities for superior performance in a job, job family, or functional area within an organization. To achieve this superior performance, it is necessary that the competencies are aligned with the organization’s vision, values and goals. |
| Competency Framework |
A broad conceptual structure for integrating, organizing, and aligning multiple competency models. A framework may align models across an organization’s various functional areas, or across many organizations who share a similar professional practice area. A competency framework will also include details of the governance of processes and data management. Competency models and frameworks have four main functions:
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How it All Fits Together
Competency Management Uses
Competency management provides a means to identify, assess and mitigate any current and future capability gaps that may exist within an organization. By clearly identifying and mapping the knowledge, skills, and behaviours needed to create and sustain an effective AM program, organizations can be sure that their staff are adequately qualified, suitably trained and have enough experience to perform their AM responsibilities to the desired standard.
Competency management can be used to build capability in the following ways:
Learning & Development
- To identify and develop strategies and programs for AM education and training, covering a mix of AM principles and practices together with the “soft” skills necessary to achieve success in AM.
- To select or develop relevant training material and align staff development initiatives with organizational competency gaps, by utilizing the organization’s competencies as a clear and verified set of requirements.
- To provide targeted development opportunities for individual staff to address competency gaps.
Recruiting & Selection
- To streamline and support the recruiting process, by crafting job postings, evaluating candidates, and making selections based on the required competencies.
- To identify those capacity and capability gaps within the organization that could be outsourced to an external service-provider or consultant.
- To build teams with the right mix of knowledge, skills, experience, attitude, and conduct to deliver AM services in the organization.
Performance Communication
- To give managers and staff clarity about the job responsibilities in a role.
- To support coaching around performance expectations by creating a shared language for defining objectives, measuring achievements, and delivering honest and constructive feedback.
- To provide a structure for easier identification of skill deficiencies and areas of strength.
Succession & Workforce Planning
- To provide information for understanding workforce capabilities and capacity: What an organization currently has, what it will need in the future, and what gaps that it needs to address, whether through internal or external means.
- To understand the current internal candidate pool and provide development opportunities that address skill gaps and prepare staff for long-term careers in the organization.
- To design and structure AM roles and responsibilities, and associated job descriptions.
Competency Management Benefits and Challenges
By incorporating competencies into its HR processes, an organization can benefit from an integrated, consistent, and strategic approach to its people management. This enables hiring, training, evaluation, and staffing decisions to all be made based on common, foundational competencies and criteria. However, competency management, just like AM, can be challenging to implement. It is important that an organization recognize and respond to these challenges early in the planning stages of their program.
Competencies are a tangible expression of the culture an organization wants
The benefits and challenges an organization may encounter include but are not limited to:
Benefits
Better strategic alignment
When competencies are derived from organizational values and objectives, they make organizational culture tangible, inherently reinforcing desired culture in both staff development and hiring.
Modular, but integrated development
Allows for the development of individual staff, while still applying consistently across the entire organization.
Clear communication of expectations
Competencies give managers and staff the language they need to discuss performance expectations and accountabilities, and where staff can focus to improve their performance.
Improved diversity, inclusivity and equality
With validated criteria which are measured uniformly and transparently throughout the organization, competencies create a more objective standard. This structured and objective basis for feedback and selection can make bias more identifiable and visible in an organization, leading to its reduction.
Consistent people management processes
Organizations able to target the required competencies in the recruitment and selection process increase their chances of hiring the best qualified people. Onboarding, performance communication and development planning are also more effective with information from competency assessments.
Improved resource and succession planning
Competency assessments give organizations high quality information about their staff and can provide a clear view of skill gaps across employee groups. Competency analysis is a powerful tool for staff allocation and career progression.
Challenges
Organizational culture and change management
Both the successful adoption of an organization-specific competency framework and the shift to a more collaborative, cross-functional AM model will necessitate change. This change will be both organizational and cultural. The effort to achieve and sustain cultural change in an organization should not be underestimated. Organizations should consider following a structured change management approach to ensure the benefits of these initiatives can be realized.
Ensure active and visible leadership support and top down buy-in. Consider engaging dedicated change agents, skilled in change management practices. Ensure there are supports in place to aid the transition and alleviate the emotional tension created by change. Develop a sound communication strategy, based on stakeholder impact, leveraging multiple methods of reaching staff, and with clear messaging for all levels of the organization, to create bottom up staff buy-in. Develop and sustain an effective support model to maintain the change after implementation.
The key to successful change management is changing behaviour on an individual level. Competency management can therefore be a strong enabler of organizational change. When individuals develop competencies that align with AM principles and organizational values and goals, they are also aligning their behaviour with the organization’s desired culture.
Union considerations
Given the impact on staff training, outsourcing, and potential changes to job descriptions, those working in unionized organizations should work with their HR department and union representatives to understand what the changes will mean to staff (and management) and ensure there are supports in place to help with the transition.
Ongoing use
A competency framework should be a living document that is used continually. This is important for effective change management. Make sure it is fit-for-purpose, it is useful for staff and contractors, and helps reach AM and organizational goals. Consider making it part of the organization’s performance review processes.
Training costs
An organization will also need to consider how their training budget can best be used to meet the staff training requirements. Employee development is a long-term process. Prioritize training in line with the AM roadmap and annual development plans.
