The Top 5 Benefits of Competency Development
ICOG - 20-Jun-2022
Competencies are the set of behaviors and attributes that an employee needs to be successful in a given role. In an organization, competencies are often used to describe the skills, knowledge and traits that are required for success in a particular job or position.
The term "competency" was first used in the 1950s by psychologists studying human behavior. The concept was popularized by Peter Drucker in his book "Management: Tasks, Responsibilities, Practices". Today, competencies are widely used across industries to describe job roles, define performance expectations and measure performance against those expectations.
Therefore, competency development is the learning and development process that involves training employees in the specific skills needed to achieve their full potential in performing their jobs.
Types of Competencies
While there are different competency models to choose from, core competencies are mainly categorized in the following ways:
Technical competencies are the knowledge and abilities required to apply specific technical principles and information in a job function or role. These include knowledge of tools, equipment, and machinery used in the workplace as well as specific procedures or processes necessary to do the job correctly. Data analysis skills or coding skills are some examples of technical competencies.
Behavioral competencies are soft skills or general competencies that refer to personality characteristics and behavior attributes which can ensure success in any particular role. Communication and relationship management are some examples of behavioral competencies that are relevant to most job titles.
Functional competencies are related to broad areas of expertise and knowledge that are specific to a job function. Financial analysis is a functional competency that is specific to the financial services industry.
What are the benefits of competency development?
1. Better performance and productivity
Competency development can help individuals perform better on the job by giving them the skills they need to do their jobs effectively. It also helps them identify their strengths and weaknesses so that they can focus on improving those areas where they need more training or experience.
2. Improved career progression
People who participate in competency development programs are more likely to be promoted because they have demonstrated their ability to expand their skill set beyond what was initially required for their position. This gives them more opportunities for career advancement within their organization or elsewhere.
3. Increase in engagement and retention
Employees who have access to competency development programs are more engaged with their work because they feel like they are making progress towards achieving their goals at work rather than stagnating at one level doing the same thing over and over again without any progression in sight.
4. Favorable hiring decisions and lower recruitment costs
Employees who have been identified as having the right skills and abilities will perform better on the job, which in turn will reduce turnover and lower recruitment costs for the organization.
5. Enhanced organizational effectiveness
When employees have been identified as having the right skills and abilities for their positions, they can be matched with other employees with complementary skills for maximum effectiveness within teams and departments. In this manner, organizations can improve overall performance by aligning their human capital with the strategic needs of the organization.
ICOG can help your organization accelerate competency development, so you can enjoy the benefits mentioned above. Get in touch to set up a demo to see ICOG in action.