Competency approach for human capital management

The skills approach and its application to the management of training and the development of human capital from the concept of decent work.

The worker goes through the main concepts between decent work, training and development of people and knowledge management, from the skills perspective, explores their links to finally introduce a model of the strategic plan applied to training and development, using the Chart tool of Integral Control.

Introduction

The conception of talented human resources and generators of value is framed within the new modalities of human resource management that have been adopted by the most successful private companies worldwide and, more recently, have been adopted by national governments, particularly those States. that, as in Latin America, they have begun transformation processes that usually involve changes in the structures of their organizations and services and work processes, with the intention of increasing productivity, quality and efficiency, with a focus on the customer -citizen.

The constant technological and economic changes establish new working conditions, requiring organizations to have workforces that are increasingly flexible, more qualified and more adaptable, either to survive within a changing and competitive market or in the case of public sector, as it is under pressure to produce a substantial improvement in management and performance in an environment of reduced spending. On the other hand, employment continues to be a limited resource, for which reason it has been necessary to look for strategies to face these challenges.

The new theories on management conclude that it is the contribution of people that enables the strategic objectives of organizations to be achieved, leading to a revaluation of the functions of the area in charge of Human Resources, traditionally Personnel Administration, which becomes a strategic partner. so that the organization works properly and is directed towards the fulfillment of its goals.

It can be said that the new production model revolves around the importance and revaluation of the human factor, accompanying a paradigm shift in what has become known as the "knowledge society" that is based on potential, intelligence, knowledge and creativity. of the individual, as well as in their capacities to adapt to changes, innovation and continuous learning throughout their productive life, so that the training of workers becomes a critical element.

This is how the concept of organizational learning takes value to refer to organizations with the ability to adapt, improve and anticipate their own requirements, in what Peter Senge has called intelligent organizations. ₍₁₎ The concept of organizational learning includes the mobilization of the capacities and knowledge of the people who make up the organization, considering them as subjects who make change, capable of building the path that leads to their own development.

One of the most prominent thinkers in the administration, Russell Ackoff ₍₂₎, affirms that “corporations develop in direct proportion to the increases in their desire and capacity to favor and promote the development of their interest groups and general systems. of which they are a part ”, for which the decisions adopted in the matter of human resources policies must consider the social and individual aspects put into play at work, promoting a culture that enables participation, fluid and circulating communication, equality of opportunities and respect for people through the adoption of practices that, in essence, should help build and maintain the meaning of work and facilitate the construction of identity and institutional belonging.

In this panorama, the competencies approach offers an instrument that enables human capital management to be linked to the fulfillment of the organization's objectives, incorporating an integrating framework for people's development activities, promoting decent work. ₍₃₎

The concept of decent work rescues work as a fundamental dimension of the human person, aiming to promote conditions that facilitate the adaptation of the worker to the new systems of work organization, seeking to ensure the employability and autonomous collective participation of workers in management of the processes. In this sense, work should be, in the words of the ILO Director-General, "an instrument of permanent improvement, a place to develop their capabilities" "and keep up with new technological skills". ₍₄₎

The concept highlights the link between decent work, training, development and employability, in satisfactory working conditions.

1. ILO instruments to promote the training and development of workers.

The International Labor Organization (ILO) has formulated the basic pillars of these issues through its International Labor Agreements and their respective Recommendations, established with the member countries.

Convention 142 on vocational guidance and training in the development of human resources, and Recommendation 150 (regulation of the Convention) establish two fundamental aspects of the human person: education and work. In its Article 1, the Convention requires member states: “to adopt and implement comprehensive and coordinated policies and programs in the field of vocational guidance and training, establishing a close relationship between this field and employment…”

It also establishes that the policies and programs "must encourage and help all people…. to develop and use their work skills in their own interest and in accordance with their aspirations, while keeping in mind the needs of society".

According to Recommendation 150, training consists of “discovering and developing human aptitudes for an active, productive and satisfactory life and, in conjunction with the different forms of education, improving individual aptitudes to understand individually and collectively what concerns the working conditions and the social environment and influencing them ”

This perspective, where the individual is placed as the subject of his own changes and with possibilities for development, is also interesting from the point of view of the competitiveness of the labor organization in which he is inserted, thus resulting in an advantage for both by promoting workers with initiative and skills.

Recommendation 195 on the development of human resources: education, training and lifelong learning, of 2004, replaces the previous Recommendation 150. Their definitions help to determine the scope for the structuring of training systems and the design, management and evaluation of human resources both from the technical point of view and from the political-legal framework.

Its content aims to promote people's ability to think and act for themselves, to participate and understand the environment in which they act to transform it, with the ability to manage their professional and work trajectory, considering not only their own interests but the broader collective interests, within which labor organizations are naturally inserted.

Regarding Competences, the Recommendation calls for the promotion, with the participation of the social partners, the permanent identification of trends in the competences that individuals, companies, the economy and society as a whole need, recognizing the role that social partners, companies and workers play in training; The appropriate instrument for this is bipartite dialogue, including collective bargaining.

Likewise, special recognition is given to learning in the workplace, both formal and non-formal, and work experience, for which it is encouraged to promote the development of lifelong learning and training in the workplace through different measures that They involve governments, companies and people alike.

2. Human Resources Management by Competencies

I) The strategic role of HR. Main transformations.

In order to approach Human Resources Management by Competences, it is essential to analyze the role that human resources management requires, based on the demands that modern practices pose when making them effective.

If we consider the main theoretical productions of specialists in the fields of organizational behavior and development, we find that the new paradigm in Human Resources Management or people management has to do with its transformation into a strategic partner, generating value through a strategic management that facilitates the development of capacities for the organization, aligning itself with its objectives and helping to achieve results and competitiveness, going from being an expense center to a cost center, located in a staff position.

For Dave Ulrich ₍₅₎ this requires Human Resources professionals the ability to create the strategic disposition for the Human Resources function and create an organization that concretizes that strategy.

Human Resources must be able to transform and visualize itself as a model for change, for which it needs professionals who are experts in the new paradigms and instruments for strategic management of Human Resources, as well as in the use of evaluation systems that allow monitoring and adaptation. of the strategies.

II) Competency Management and its applications.

To approach Competency Management, it is necessary to specify what is meant by Competencies. Let's see some definitions:

The concept "competencies" encompasses knowledge, professional skills and know-how that are mastered and applied in a specific context. (ILO)

Productive capacity of an individual that is defined and measured in terms of performance in a certain work context, and not only of knowledge, abilities, skills and attitudes; These are necessary but not sufficient by themselves for effective performance. (To know - Mexico)

The professional, who has the knowledge, skills and aptitudes necessary to practice a profession, can solve professional problems autonomously and flexibly, is able to collaborate in their professional environment and in the organization of work. (Germany)

Labor competence is the social construction of significant and useful learning for performance in a real work situation that is obtained not only through instruction, but also –and to a large extent-, through learning by experience in specific situations of work (POLFORM / ILO)

According to these definitions, it can be affirmed that competences are capacities mobilized as sets made up of knowledge and / or qualities that are set in motion in a work situation and in a specific context. In the most recent research on the subject, the configuration of a collective competence is recognized; the one that explains the results that the work teams and the environments prone to motivation and productivity achieve.

One of the responsibilities of Human Resources would be to develop this collective competence along the lines of making the tacit knowledge that is created, circulated and applied in work groups as explicit as possible.

Experiences in organizations where competency management has been implemented demonstrate that a competency model can be developed for the entire organization or only for specific units, functions, work processes, or positions within the organization.

The usual method used is based on identifying a series of competencies based on the mission and values of the organization, and that all employees must have (key or essential competencies). Next, other competences that people need to achieve more specialized objectives are identified within specific units or functions. The objective of creating a competency model is to facilitate the use of the competencies identified in the desired applications.

According to ISO 9001: 2000 Standards, it is advisable for each organization to build or adopt the model that allows it to achieve the desired objective, articulating the competency model with its medium and long-term strategy. The effectiveness of this process depends not only on the intrinsic factors of the model, but also on its insertion and articulation with other human resource management subsystems within a framework that reflects the philosophy, values and strategic objectives of the organization, explicit and supported. on all levels.

In this context, adopting a competency model configures the opportunity to establish a common language that ensures that anyone, regardless of the area or level where they are, has a clear and shared perception and understanding of what is expected of their contribution.

One of the essential conditions to start thinking about the implementation of a competency model is its viability in relation to the resources or capacities available in the Institution.

The management by competencies would allow the planning of Human Resources defining goals directly aligned to the strategic goals of the organization, through its articulation with the different Human Resources subsystems. A comprehensive competency management model is applicable to:

Recruitment and Selection Processes, allows the incorporation of people who possess the key competences for the desired performance, which will result in an adequate job-person-organization integration. In this way, the productivity and satisfaction of the person are increased, enhancing their level of learning and adaptation, which benefits the organization due to the general advantages of a good selection. Performance Evaluation, people are evaluated for the demonstrated competences, which allows establishing development plans and improvement objectives, which must be aligned with the strategic objectives. Training, through detecting the gaps between the required profiles and the competences possessed by the people detected in the Performance Evaluation.This would allow for a more efficient use of the budget allocated to training plans. Career and succession plans allow managing human capital in a strategic way, creating a competitive advantage for the organization when formulating career plans that take into account individual and organizational interests, establishing a link between current and potential competences. Remuneration System, aligning economic rewards with behavior and performance. Many systems use variable compensation for its direct connection to the performance result.which creates a competitive advantage for the organization when formulating career plans that take into account individual and organizational interests, establishing a link between current and potential competencies. Remuneration system, aligning economic rewards with behavior and performance. Many systems use variable compensation for its direct connection to the performance result.which creates a competitive advantage for the organization when formulating career plans that take into account individual and organizational interests, establishing a link between current and potential competencies. Remuneration system, aligning economic rewards with behavior and performance. Many systems use variable compensation for its direct connection to the performance result.

Plan for the implementation of management by competencies

Usually a plan is used in phases or stages, the plan for the implementation of a competency-based management model, which ranges from the most general to the particular.

According to the experience of organizations that have traveled this path, the development of the plan can take between two and five years, since its success depends on the participation and commitment of all the actors involved.

Phase 1. Identification of generic competences

Requirements: determination of Mission, Vision and strategic plan of the organization defined through a collective process of analysis and validation.

Objective: to determine in the first instance the essential competences that every person must possess in agreement. These competencies will have different descriptors according to the level in which they perform, identifying attitudes and skills on a personal, interpersonal and task orientation level.

Phase 2. Identification by job families or production units

Requirements: generic competencies must have been identified.

Objective: determine personal and technical competencies by job families or business or production units Eg: Auditors / inspectors, human resources, marketing, sales, etc.

The profiles are elaborated determining the technical and attitudinal competences, in addition to the generic ones already defined.

Phase 3. Identification of specific competences

Requirements: carry out job analysis to determine competencies based on job positions.

Objective: integrate personal skills with the skills required by the jobs. Formation of a Dictionary of Competences based on the requirements of each job and its permanent updating.

3. Career Development

The concept of Career Development refers to a continuous concerted and coordinated process between individuals and organization, from a balanced perspective that allows articulating individual needs with organizational needs. It involves identifying career-related goals and planning your work, training and development experience, setting direction, time and stages to achieve them.

Competency Management applied to development and training is an enriching process for both parties, as people become aware of themselves, their opportunities and restrictions, as well as take responsibility for their choices and consequences, the organization can carry out more efficient management of human capital, allowing the strategic needs of the company to be linked to the competencies of both current and future personnel.

With this, it supports the addition of value as well as unifying criteria for the integrated practice of human resources (selection, training and development, evaluation of performance / potential, promotions, successions and remuneration).

It can also be applied to the redesign of jobs in the sense of enriching work and enhancing motivation, as people increase their skills, resulting in a more meaningful and challenging work experience. For this, different alternatives can be used ₍₇₎, among which Rotation and Enrichment or increased depth in tasks, for which it is advisable to consider the characteristics of each position and the life and work cycle in which the person is. An alternative that requires more mature organizations refers to the organization of work by multiskill or semi-autonomous groups.

Knowledge, information and awareness of the roles and risks associated with career planning as well as difficulties to overcome; and on the other hand the "identity" with the work that is carried out, the vocational orientations and predominant competences in people, are key in the development of a career where the individual is the protagonist, dignifies the person and the work, in the sense that promotes the concept of decent work.

Another relevant issue that must be taken into account when managing a career is the way people find to balance work with other aspects and roles of life (family, studies, leisure, etc.). This degree of balance also accounts for the realism or degree of "insight" with which the person builds her career; how it positions itself in the search for feedback, self-knowledge and the ability to capitalize on its strengths and overcome its weaknesses.

It can be concluded that in addition to the aforementioned benefits arising from adopting career planning, it also includes the satisfaction of the psychological needs of people, who thus visualize concrete and tangible situations, motivating them for their training and development of skills, to a better fit between institutional and individual needs.

4. Knowledge Management

Nonaka & Takeuchi ₍₈₎ define knowledge management as the ability of an organization to create new knowledge, disseminate it throughout the organization and express it in products, services and systems.

This requires certain conditions that include transforming tacit knowledge into explicit, allowing people to produce, apply and / or transfer valid knowledge for the organization, so that it enhances their personal development. Human capital management must necessarily include knowledge management in a broad sense, which includes training.

The competencies approach applied to knowledge management implies that the mobilized, dynamic capacities are put into play for the disposition to learning and professional development, but also to the capacity for change, the capacity to deconstruct mental models and remake them in function of the requirements of new realities.

Considering that people have different needs, different expectations and ways to satisfy them, strongly linked to the organizational context, these capacities must be promoted, providing tools for the organization itself to actively adopt them.

Knowledge management aims to put into play the five elements of the competition: knowing, knowing how to do, knowing how to be, wanting to do and being able to do, in what Chiavenato ₍₈₎ calls the tactical level of action in the management of human talent, integrating tacit knowledge into the organization's body of knowledge.

This tacit knowledge is closely linked to the concept of competence, since it is made up of both cognitive elements (schemas, paradigms, beliefs, visions) and behavioral components (abilities, skills, aptitudes). Tacit knowledge is that which has been developed and assimilated by people for a long time and is rooted in actions and routines, and involves all members of an organization.

How can it be managed? Nonaka (cited work), refers to “Ba”: the creation of place or space and simultaneous time that said author considers a basic condition for managing knowledge.

That space / time can be physical, virtual and even mental, shared by two or more people in an organization. It starts from the idea that knowledge is conceived in a space integrated into an experience, the power to create knowledge does not lie in the individual, but in the interaction with another person or with their environment.

Balanced Scorecard Applied to the Management of Training and Development of Human Capital

The Kaplan and Norton Balanced Scorecard ₍₁₀₎ is a tool to translate the strategic objectives of an organization into a coordinated and coherent set of indicators (both financial and non-financial), whose main purpose is to measure results. obtained by the organization in a certain period.

It is proposed to use the WCC in a strategic plan for the management of human talent, bearing in mind that at the time of its design it should be articulated with the general plan of the organization.

Customer Perspective

Goals:

Satisfy the education and training needs of workers, considering the organization's strategic plans. The training plans integrate the needs for the development of personal competences with the organizational ones, offering concrete solutions and ensuring executable proposals for a certain period. considering the inputs generated in the Performance Evaluation by Competencies. Advise workers on alternatives for their career development and plan, in coordination with stakeholders, the actions aimed at achieving the agreed objectives, considering institutional needs and real possibilities. for its concretion,from the moment of their incorporation and throughout their working life. Support the different actors in the processes of definition of the required competences, facilitating the means for active participation.

Indicators:

Satisfaction surveys and periodic evaluations, individually and in groups, about the training activities carried out. Systematic evaluation institutions with the staff and periodic monitoring of career development, in consultation with the interested parties and management personnel, who allow the introduction of adjustments to the plans drawn up.

Innovation and Learning Perspective

Goals:

Generate conditions for proactive organizational learning, contributing to achieve adherence to adopted values and to the creation and maintenance of a shared organizational culture. Determine and generate new individual and organizational competencies that are sustainable and articulated with the strategic objectives of the organization. Stimulate communication processes and socialization, as a basis for knowledge management, developing as many connections as possible between shared information resources, ensuring their access in an efficient and equitable way. Helping the organization to go through its change processes by planning activities training and awareness-raising that promote a culture oriented to group work, through integrated and reinforced activities.

Indicators:

Organizational climate surveys. Study and evaluation of generic and specific competencies that the organization requires of its staff. Suggestion processing. Monitoring the use of information networks. Monitoring of group spaces. Evaluation of results of training and awareness activities.

Perspective of Internal Processes

Goals:

Advise and make training proposals based on a competency management model. Formulate and redesign training policies according to the concept of organizational learning. Generate systematized information that facilitates decision-making in Human Resources, in especially the identification of current and future competences and the training needs for their development, with a view to evaluating the potential of officials.

Indicators:

Evaluation of the Performance of the organization. Degree of Compliance with the agreed schedules and evaluation of the satisfaction of the service provided. Degree of effectiveness of the inventory of the competences at the time of their application to evaluate the performance and degree of adjustment

Economic Outlook

Goals:

Strengthen the processes that contribute to greater efficiency in training planning, attending to the optimization of costs and time required. Obtain economies of scale in price quotations. Promote agreements with professional training organizations for technical assistance, optimizing investments. and associated costs. Capitalize organizational experience related to training

Indicators:

Carry out a periodic rendering of results and deviations in relation to what is planned, providing systematized information for decision-making. Degree of efficiency in the use of the Budget and results of the training and development processes. Establish indicators of the degree of achievement through the use effective knowledge acquired.

5. Conclusions

One of the main challenges of human resources management units in organizations today is to make it easier for the people who work in them to go through the processes of change. For this, it must provide the tools that allow them to acquire the strengths and capacities necessary to adequately fulfill their mission. However, it must be borne in mind that it is a path that needs to be promoted from a joint strategy between the organization and workers seeking proactive adaptation. Articulating a competition model with the rest of the human resource management subsystems is a process whose construction implies a change in the work culture, requiring time and perseverance, willingness to learn,intelligence to introduce changes and flexibility to carry them out in a process of permanent evaluation.