FUNCTIONAL KNOWLEDGE

FUNCTIONAL KNOWLEDGE

•Production

•Maintenance and Utility

•Human Resources Management

•Finance and Marketing

•Chemical Operations Management

•Commercial Knowledge

•Cost / Benefit understanding

•Project Management

•Safety / Healthy / Environment

MEASURING OF COMPETENCIES

•Each identified Competency

Parameter for Position/Person profile

are assigned “Importance” and rated

on a five level scale as per the

Competency Directory.

•Competency Directory gives

definitions of each scale. Description

from one level to another clearly

showed a marked difference in the

requirements.

•Identified competencies are prepared, giving definitions of each competency and its five level scale documented.

•The final compilation is termed as competencies dictionary

•Competency Ratio-

Person/Position is determined.

-

Competency Profiling - Process

• Position Profiling - Scope, size and

responsibility of a Position is needed for

Competencies (KRAs).

• Person Profiling : Person is rated on

identified competencies on a five point scale.

Competency Profiling - Result

• Competency Ratio :Weighted value of person’s level of competencyWeighted value of Competency required by Position

• Median Person/ Position ratio of Executives on Individual competencies is calculated.

• Company average on each of the competencies with the number of employees above and below the average.

Competency Profiling - Interpretation

• Competence Ratio Interpretation indicates

the degree of fit between the person and the

position.

• Gap Analysis depicts the person competence

versus the position requirement.

• Individual and Group Training needs.

Who Does the Profiling ?

90o to 180o to 360o

-90o - Supervisors / Incumbents

-180o - Supervisors / Incumbents / Peers

-360o internal - Supervisors / Incumbents / Peers / Subordinates

-Full 360o - Supervisors / Incumbents / Peers / Subordinates / Customers

SELECTED POSITION PROFILE

PERSON PROFILE

PERSON VS. POSITION PROFILE

COMPETENCY RATIO

When to Change Profiles

TRIGGERS PROJECT STEPS

1.Changes in company

strategy, values, mission

Identify criteria, develop

scales

2.Changes in organisation work

units

Determine criteria

weightings, profile positions

3.

Changes in/new person,

changes in knowledge, skills,

aptitudes, attitudes

Profile person

4. Changes in any of the above Compare position profile and

person profile.

»The competencies are developed based on company requirement

»Vision:- a customer focussed company committed to leadership through quality. We strive for building trusting relationship , encouraging entrepreneurship and sharing prosperity”

»Mission:Company to build a multi-product company manufacturing chemicals, industrial raw materials and other products using modern technology and serving domestic and international markets.

»The quality of our products and services are of the utmost importance for continous achievement of business goals.

»Company. will harness the spirit, will and intelligence of its people for achieving: A reasonable return on equity for its investors

A safety and healthy environment at workA reputation for making a responsible corporate

body

ANALYSIS

»Person vs. Position Competency ratio.

The total number of points related to the position’s required competencies is correlated with the total number of points related to the person’s level of competency .

» If the Ratio is significantly below 100 (below 80) , it might be considered that the person should not be assigned to this position or a transfer may be considered.

»If the Ratio is between 80 to 100, the person may be assigned to, or confirmed in the position but a training program must be designed as some as possible for the person to catch up with the position requirements.

ANALYSIS

Customer Customer Supplier Supplier

Person Profile From 10º to 360º

THE POSITION AND THE PERSON

ACTUAL EXECUTION

A CASE STUDY

PROJECT OBJECTIVES

• Establish Core Competencies

• Establish Competencies Requirements

• Measure Competencies Level of each incumbents against the Competencies Requirements.

• Identify training needs and potential of every person under review.

PROJECT DEVELOPMENT

• Workshop for the Top Management Team on Developing Competency Definition, Scales and Dictionary.

• Validation of Competency Dictionary and Scales.

• Position / Person profiling with Top Management Team.

• Preparation of the Final Draft of the Competency Dictionary.

• Position – Person Profiling

PROJECT DEVELOPMENT

• Preliminary discussion of the analysis of the competency profiles.

• Submission of the draft of the Graphic and Gap analyses of the Position – Person Profiles.

• Draft Report Presentation.

METHODOLOGYCompetencies Dictionary

• In a focus group meeting with the Top Management Team the inventory of the core competencies are identified and selected.

• These core competencies are identifiable through an analysis of the key messages conveyed by the company on its vision, mission, motto etc.

• These competencies are the human capabilities that are required for the organization to maintain and develop its competitive advantage. They reflect the corporate culture, they are measurable and possible to develop.

METHODOLOGYCompetencies Dictionary

• Competencies are cut across functions and business lines and can generally be applied to all types of employees.

• Each identified competency is then defined and a five level scale is established to indicate what are the different levels of competency that can exist in the organization. Descriptions from one level to another should clearly showed a marked difference in the requirements.

• The final dictionary is then confirmed with the Top Management. Each competency is shown with its definition and its five-level scale.

METHODOLOGY (2)Position Requirements Profile

• The blank profiles and copies of the Competencies Dictionary and distributed them to the line managers.

• On the basis of the Competencies Dictionary, weightage is assigned to each competency to enhance the relative importance that the position gives them. The degree of importance for all criteria is set according to the following principle.– + 1/3 of the criteria is of High Importance

– + 1/3 of the criteria is of Medium Importance

– + 1/3 of the criteria is of Minor Importance

METHODOLOGY (2)Position Requirements Profile

• Without referring to the degree of importance established, relevant members of the Top Management team along with the line manager concerned applied the level of requirement for each criterion as defined on a scale from 1 to 5 (Level 1 without definition can only be applied to the Person when evaluating the profile of the Person). When selecting the appropriate level of requirement, the profilers took care that the position required all aspects stated in the level of requirement and not simply most of the aspects.

• All position – person profiles are then reviewed and approved by the Executive Director and Head – Human Resources.

METHODOLOGY (3)Person Competencies Profile

• On the basis of the Competencies Dictionary, the person must be evaluated against all competencies, so that this profile can be compared with that of the position.

• Without referring to the degree of importance and the requirement levels established above, five people (supervisor, colleagues/peers, and subordinates selected by the incumbent, and the incumbent him/herself) is evaluated separately and anonymously the level of individual’s competencies. This is done for each criteria relevant to the position.

METHODOLOGY (3)Person Competencies Profile

• The evaluators are invited to come to a dedicated room to complete the form within half to one hour, based on the instructions given to the Consultants.

• The final person profile is determined by the calculation of the median of all responses of competency.

Gap Analysis

• Once both the position and person profiles are completed, a Person Development form was filled for each employee. These forms showed the matches for the person versus his current position.

FINDINGS (1)Competencies Development

• The competencies are developed an exercise– Vision: Assuming a company with vision of- A

customer focused company committed to leadership through quality Company strive for building trusting relationship, encouraging entrepreneurship and sharing prosperity.

– Mission: The mission is to build a multi product company manufacturing chemicals, industrial raw materials and other products using modern technology and serving domestic and international markets.

– The quality of our products and services are of the utmost importance for continuous achievement of business goals.

FINDINGS (1)Competencies Development

– Company will harness the spirit, will and intelligence of its people for achieving:

• A reasonable return on equity for its investors.

• A safe and healthy environment at work.

• A reputation for making a responsible corporate body.

• A total positions are identified as benchmark positions, and all profiled along with the position holders.

FINDINGS (2)Competencies Dictionary

• The Core Competencies identified for this company are as follows:

Attitides/Aptitudes Knowledge Skill

Customer Focus Chemical Operations Management Computer LiteracyEmpathy Cost/benefit Understanding Logistics ManagementIntegrity Safety Health/ Environment Multi-skillingOpeness Process ManagementQuality FocusWillingness to Change

FINDINGS (2)Competencies Dictionary

• The additional competencies required for management positions were as follows

Attitides/Aptitudes Knowledge Skill

Commitment Commerical Knowledge CommunicationCreativity Project Management LeadershipEntrepreneurship Negotiating SkillsFlexibility Relationship BuildingSelf DevelopmentTeam Work

FINDINGS (3)Competency Ratio

• The ratio shows the calculation of the weighted value of each competency as required by the position, as well as the weighted value of the person’s level of competency. The results appear as a number of points line by line.

• The total number of points related to the position’s required competencies is correlated with the total number of points related to the person’s level of competency, so as to produce a Person Vs. position Competency Ratio.

• If the Ratio is significantly below 100 (below 80), it might be considered that the person should not be assigned to this position or a transfer may be considered.

FINDINGS (3)Competency Ratio

• The following are the results of the profiling

• *Two person profiles were subsequently not done due to non-availability.

8 persons falls between 80% and 100% of the position requirements

14 persons falls between 100% and 110% of the position requirements15 persons falls above 110% of the position requirements37*

FINDINGS (3)Competency Analysis

• The average rating of the 37 people profiled for each of the competencies identified was 3.4

• The highest and lowest ratings were given for the following competencies.

Highest Rating Lowest Rating

Willingness to change 3.8 Chemical Operations Management 2.5Customer Focus 3.7 Computer Literacy 2.7Functional Knowledge 3.7 Safety / Health / Environment 2.9Flexibility 3.6 Entrepreneurship 2.9Quality Focus 3.6 Logistics Management 2.9Self Development 3.6

•These scores indicate the highest competencies of the individuals profiled; however, the scores do not reflect competencies relative to Position requirements.

FINDINGS (4)Position / Person Match

• The median position / person ratio for the 37 people profiled was 100% while the average was 112%. (A 100% position / person ratio indicates a perfect match between the position requirements and the incumbent’s competency level).

• The median position / person ratio for all but three competencies was 100%.

• The median ratio of the executives profiled for three competencies was 133%: Project Management, Negotiating Skills, Willingness to change.

FINDINGS (5)Shortfall in Competencies

• The competencies that position holders most often fell below the position requirements are listed below. Management should concentrate its training and development efforts on these competencies.Competency No. of Staff rated below requirement

Cost/Benefit Understanding 6Entrepreneurship 6Openess 5Communication 4Leadership 4Safety/Health/Environment 4Customer Focus 3Integrity 3Multi-skilling 3Process Management 3Quality Focus 3Relationship Building 3Teamwork 3

RECOMMENDATIONS (1)Follow-up

• The evaluation results of the competencies’ requirements and the person competencies level should be provided to the employee in a feedback session. It is recommended that this session be done on a one-on-one basis between the person and his/her supervisor. It is also recommended that this session be started with the review of key challenges during the past six months before results of the evaluation is discussed within the context of the person’s work environment, personality type and decision making style.

RECOMMENDATIONS (1)Follow-up

• The one-on-one meeting should also be used to discuss the specific changes required and to brainstorm the next realistic steps on development goals. The person needs to identify his/her own approach to learning before undertaking a specific action step toward development.

RECOMMENDATIONS (2)Training and Development

• Once the person and his supervisor have identified the appropriate skill or behavior that he would like to improve with formal training, the next step is to identify an appropriate training opportunity.

• The person can also find ways to enhance their current job or change assignments to provide them with developmental experiences. This is recommended to be in line with HR planning for the future organization.

• Both training and development goals set by the person and his supervisor will provide motivation for change not only in their current jobs but in their future jobs as well.

RECOMMENDATIONS (2)Training and Development

• Understanding that majority of position holders falls just within the position requirements, it is necessary to realize that the objective of training and development program is to acquire a certain set of skills. Therefore, when addressing competency deficiencies, Management should consider “learning process and methods” and “follow-up action” to ensure acquisition of required skills.

• To ensure cost effectiveness of training and development programs, it is suggested to sue the competency models for recruiting purpose. To train and develop competency deficiencies is much more expensive than to recruit new employee who already have the required competencies.

RECOMMENDATIONS (2)

Training and Development

• First priority in preparing training and development program is given for employees who fall below 100% of the position requirements.

RECOMMENDATIONS (3)Succession Planning

• The individual profiles can be used as a basis for a succession planning program for the entire organization. This planning is not only for, traditionally, higher position levels, but it can also be for position at the same level or even below the position level. Moreover, for future needs, succession planning can also be designed for lateral job moves (job rotation, relocation, transfer to different function, etc.).

• By grouping competencies into its direct and indirect correlation with Vision, Mission and Value or grouping by competency criteria, and by looking its individual profile and ratio, management will be able to identify employees who will be key future players.

RECOMMENDATIONS (3)Succession Planning

• The individual profiles can be used as a basis for a succession planning program for the entire organization. This planning is not only for, traditionally, higher position levels, but it can also be for position at the same level or even below the position level. Moreover, for future needs, succession planning can also be designed for lateral job moves (job rotation, relocation, transfer to different function, etc.).

• By grouping competencies into its direct and indirect correlation with Vision, Mission and Value or grouping by competency criteria, and by looking its individual profile and ratio, management will be able to identify employees who will be key future players.

COMMUNICATION

EXPECTED ROLE

PERCEIVED ROLE

PERIODICAL CONTRACT

COMMITMENT

ACTION PLANS

ACCEPTED ROLE

•Position Clarification is a highly effective

tool that can be used in all respects of

Human Resource Management, including

Recruitment, Training & Development,

Performance Management, Organization,

Analysis and Compensation.

•Position description for key benchmark

position are identified. The supervisor and

position holder then indicate the scope and

size of responsibility of the position.

•It helps in clarifying roles, allocating

responsibilities and ranking positions in

accordance with the Organizational structure.

•It helps the organization in defining the

purpose, size, operating network,

requirements and responsibilities of a

position. The mapping of responsibilities

shows how they are allocated to positions and

allows the identification of gaps and overlaps.

POSITION CLARIFICATIONIdentity

Organization

Unit

Person

Date

Approval

Size

InternalOperating Network

External External

Minimum Requirements Education/Experience

Specific Knowledge

Business Understanding

Purpose(Why does the position exist, Within what limits and With what objectives)

Financial Non-Financial

COMMUNICATION

EXPECTED ROLE

PERCEIVED ROLE

ACCEPTED ROLE

COMMITMENT

THE ROLES

FULFILLED ROLE

MOTIVATION

COMPENSATION

ADAPTATIONORGANIZATION

STRATEGY COMPETITION

PERFORMANCE

PERSON DEVELOPMENT

ORGANIZATION DEVELOPMENT

POSITION CLARIFICATION

PERFORMANCE CONTRACT

POSITION CLARIFICATION

POSITION EVALUATIONPERFORMANCE REVIEW

OBJECTIVE SETTING

COMPENSATION

PERSON DEVELOPMENT