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By Isabelle Michele / Philippe Kopcsan / Lukas Ritzel

Competencies Concept in Human Resources Management

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Competencies in Human Resources Mansgement. A concept of Award winning Purple Cow company Prasena.com by Isabelle Michelet Philippe Kopcsan & Lukas Ritzel

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Page 1: Competencies Concept in Human Resources Management

By Isabelle Michele / Philippe Kopcsan / Lukas Ritzel

Page 2: Competencies Concept in Human Resources Management

Lukas Ritzel, Swiss, management• Professional Details: Mr. Lukas Ritzel currently is Manager ICT with DCT International Hotel

& Business Management School, responsible for all virtual and collaborative technologies on campus, as well as faculty lecturing on different management topics.

• Mr. Ritzel has been in international management since over 20 years, has done workshops and presentations in 40++ countries in 4++ languages.

• Further; Mr. Ritzel is Cofounder of Change Management consulting company Prasena (www.prasena.com), his company got in 2004 the Purple Cow award of companies who "make a difference" from the FAST company.

• Mr. Ritzel has been working for Accor Asia Pacific as a consultant to the group in the innovative usage of technologies for all their Asia Rim

• Mr. Ritzel is a specialist in Creativity, eLearning, Management of Change, Learning Organizations and Knowledge management . His own teaching site is at http://www.dct.ch/ict/dct.htm.

• Mr. Ritzel is Switzerland chapter President of the Digital Workforce Education Society (www.digibridge.org).

• Mr. Ritzel has been speaker (in real as well as virtual) at many international conferences, some of his best presentations can be seen at Prasena's Virtual_U (http://www.prasena.com/public/virtual_u.html). Google "Lukas Ritzel" for more digital footprints.

• Online CV available at http://www.prasena.com/public/cvlor.htm

Page 3: Competencies Concept in Human Resources Management

Competencies in HR

How to use the talent of your workforce

Page 4: Competencies Concept in Human Resources Management

.. And who is going?

• “Silent” Generation (born 1930-1945)– Born with the military technologies that were to lead to analog, digital

and virtual technologies

• “Baby-Boom” Generation (born 1945-1960)– Born with the analog and astronautic technologies

• Generation “X” (born 1960-1975)– Born among analog technologies (telephone, TV), witnessed and

participated in the development of digital technologies

• Generation “Y” (born 1975-1990)– Born with the first generation of digital technologies, witnessed and

participated in the development of networked technologies

• … and soon, Generation “e” (born 1990-2005)– Born in the midst of new technologies

Page 5: Competencies Concept in Human Resources Management

Efficient competencies management

Page 6: Competencies Concept in Human Resources Management

Competencies ManagementINVENTORY

Structure

Responsibilities

Costs

UTILIZATION

Objectives

Performance

Costs

Competencies

DEVELOPMENT

People Acquisition Restructuring

People Development Divestments

Costs

CONTROL

Value Costs

Return on Investments

The single most important resources

management challenge in our

knowledge-based, internet driven economy

Efficient HR management is about optimizing the inventory of resources. Such efficient HR management should allow to answer the question: “What are people capable of, and how does it help the organization?”. The competencies that are important for the organization’s corporate culture,

current and future competitiveness must be identified, the extent to which each employee has demonstrated these competencies must be evaluated and compared with the requirements of current and potential positions.

Page 7: Competencies Concept in Human Resources Management

Questions that HRM should be able to answer – traditional HR cannot!

- What positions do we have in the organization chart, and for what purpose?

- How do these positions relate to each other and what is their relative importance?

- What is each individual employee capable of, and how does it help the organization?

- What are the standing costs of the organization chart?- How do we optimally share business objectives among all individual

employees?- How do we measure corporate and individual business performance?- What are the utilization costs of the employees?- When and how should we restructure the organization over time?- Who should we recruit to fulfill tomorrow’s needs, and how?- How should we develop each of our individual employees over time?- What resources should we eliminate over time, and how?- What are the development costs of our employees?- How do we calculate and monitor total personnel costs at individual and

organization levels?- How do we measure and monitor the value generated by our

employees?- How do we evaluate return on our human investments?

Page 8: Competencies Concept in Human Resources Management

Process StepsDevelop a Dictionary of Competencies that contains all the behavioral, functional and technical competencies required for the organization to maintain its unique corporate culture and its competitiveness over time

For each position, develop a Position Profile showing the competencies that apply to the position, their level of importance for the organization, and the level required in each competency to be operational in the position

Evaluate each employee against all the competencies contained in the dictionary through a 360 degree approach for greater objectivity

CompetencyCompetencyDictionaryDictionary

Ste

p 1

PositionPositionRequirementsRequirements

Ste

p 2

CompetencyCompetencyEvaluationEvaluation

Ste

p 3

GapGapAnalysisAnalysis

Ste

p 4 Compare one or several Person Profiles with one or

several Position Profiles, analyze gaps and identify measures to take in terms of transfer, training, development, promotion, succession, etc.

Page 9: Competencies Concept in Human Resources Management

Competency Dictionary• Objectives

– Identify and define all the behavioral, functional and technical competencies required for the organization to maintain its unique corporate culture and its competitiveness over time

• Processes– Through working session with

corporate leadership– Identify the main competencies that

are required for the organization to remain unique and competitive

– Classify these competencies in relevant clusters

– Define each competency, and develop a five-level evaluation scale to facilitate evaluations

– Produce the Dictionary

Competency Competency DictionaryDictionary

Ste

p 1

Page 10: Competencies Concept in Human Resources Management

Sample of Competency Dictionary

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Sample of Scale

Page 12: Competencies Concept in Human Resources Management

Position Requirements• Objectives

– Identify the nature, importance and level of behavioral, functional and technical competencies required for a person to be operational in a position

• Processes– Through working sessions with middle

management committees and HR team– Identify and list down the existing or

expected positions, and analyze Position Descriptions

– For each position, select from the Competency Dictionary the competencies that are required for the position

– For each selected competency, determine the level of importance and the level of competency

– Produce Position Profiles

PositionPositionRequirementsRequirements

Ste

p 2

Page 13: Competencies Concept in Human Resources Management

Sample of Position Profile

Page 14: Competencies Concept in Human Resources Management

Competency Evaluation• Objectives

– Produce individual Person Profiles showing the level of competency demonstrated by the person for all the competencies included in the Dictionary

• Processes– Through 360 degrees process, with

optimally 5 evaluators each completing an evaluation questionnaire

– Produce an Evaluation Questionnaire from the Competency Dictionary

– Determine evaluation rules, including number and nature of evaluators, and method of selection of these evaluators

– Invite all evaluators to complete the questionnaire

– Consolidate evaluations et produce Person Profiles

CompetencyCompetencyEvaluationEvaluation

Ste

p 3

Page 15: Competencies Concept in Human Resources Management

Sample of Person Evaluation Questionnaire

Page 16: Competencies Concept in Human Resources Management

Competency Evaluation Approach• A 360° approach is chosen to ensure as much objectivity as possible

Subordinate Subordinate Subordinate Subordinate

PeerPeer Peer PeerExternal Peer

(Client)External Peer

(Supplier)

DirectSupervisor

Dotted LineReporting

Supervisor’sSupervisor

Dotted LineReporting

Organization360° means that the viewpoint of people all around the person (above, below, sideways) as well as the person’s own are considered

Page 17: Competencies Concept in Human Resources Management

Sample of Person Profile

Page 18: Competencies Concept in Human Resources Management

Gap Analysis• Objectives

– Understand competency gaps between people and positions so as to take measures aiming at ensuring optimal knowledge utilization and optimal employee contributions to organization performance over time

• Processes– Through analysis work on Position

Profiles and Person Profiles databases– Select one or several persons, and one

or several positions, and compare the profiles

– Identify and analyze overall and individual gaps, determine measures to take in terms of transfer, training, development, promotion, succession, recruitment, outsourcing, knowledge management, etc.

GapGapAnalysisAnalysis

Ste

p 4

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Sample of Gap Analysis

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Organization-Wide Gap Analysis

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System’s Applications• At Individual Level

– Succession Planning– Recruitment– Career Management– Promotion Planning– Person Development– Performance Problem Solving

• At Organization Level– Corporate Culture– Corporate Strengths– Restructuring– Training Policies– Knowledge Sharing– Human Capital Development

Benefits1. Successful and well integrated corporate culture2. The right person in the right position3. Sustainable employment of valuable individuals4. Zero-defect recruitment5. Prompt performance problem solving6. Careers aligned with organization’s needs and person’s aspirations7. Return on training investments8. Full employment at all times (no undue vacancies)9. Well prepared restructuring exercises (no undue lay-offs)10. Competitiveness through human capital development

Page 22: Competencies Concept in Human Resources Management

Sample of Candidate Selection Process

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Sample of Promotion Planning Process

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