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Technical Assistance Guide for Developing and Using Competency Models – One Solution for a Demand-Driven Workforce System

Table of Contents

Foreword.. 3

Chapter 1. Competency Models. 4

What is a competency?. 4

What is a competency model?. 4

Who benefits from competency models?. 5

Competency Models Enable Business and Industry to: 5

Competency Models Enable Workforce Investment Boards to: 5

Competency Models Enable One-Stop Career Centers to: 5

Competency Models Enable Economic Developers to: 6

Competency Models Enable Educators and Training Providers to: 6

Competency Models Enable Professional Organizations to: 6

Competency Models Enable Students and Their Parents to: 6

How are competency models being used?. 11

Note: The initiatives described below have been selected to provide examples of how competency models have been used effectively in the public workforce system. The inclusion of these examples is not intended to imply endorsement of the models or their developers. 11

Outreach/Generation of Career Interest—Communicating Industry Demands. 11

Career Guidance. 11

Labor Pool Analysis/Strategic Planning for Workforce Programs. 11

Certification/ Curriculum Development 11

Curriculum Development 11

Training/ Certification/ Apprenticeship. 12

Career Development/ Apprenticeship/ Certification. 12

Career Lattice/ Apprenticeship/ Training. 12

Training/ Career Ladder. 12

Certification. 13

Recruitment & Hiring/ Training & Development 13

Career Development/ Certification/ Licensure. 13

Performance Management/Compensation. 13

Chapter 2. "Building Blocks" for Competency Models. 14

Tier 1: Personal Effectiveness Competencies. 16

Tier 2: Academic Competencies. 16

Tier 3: Workplace Competencies. 16

Tier 4: Industry-Wide Technical Competencies. 17

Tier 5: Industry-Specific Technical Competencies. 17

Tier 6: Occupation-Specific Knowledge Areas. 17

Tier 7: Occupation-Specific Technical Competencies. 18

Tier 8: Occupation-Specific Requirements. 18

Tier 9: Management Competencies. 19

Chapter 3. Developing Competency Models from Existing Resources. 21

Step 1. Gather background information. 21

Step 2. Develop draft competency model framework. 22

Step 3. Gather feedback from industry representatives. 22

Step 4. Refine the competency model framework. 23

Step 5. Validate the competency model framework. 23

Step 6. Finalize the model framework. 23





Foreword


This guide is a resource for the stakeholders and partners of the public workforce investment system supported by the U.S. Department of Labor, Employment and Training Administration (ETA). As ETA looks to the future, industry and occupational competency models have been identified as a key resource in providing a framework for business and industry to clearly articulate their workforce needs. In addition, competency models form the basis on which curriculum developers and training providers ensure that workers have the right skills. ETA is serving as a broker of information in the area of competency models and skill development by promoting the use of, supporting development of, and disseminating competency information. This guide is an integral part of that effort.


This guide was developed by Personnel Decisions Research Institutes, Inc. (PDRI) and Aguirre International.
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Chapter 1. Competency Models

What is a competency?

A competency is the capability to apply or use a set of related knowledge, skills, and abilities required to successfully perform "critical work functions" or tasks in a defined work setting.

Competencies often serve as the basis for skill standards that specify the level of knowledge, skills, and abilities required for success in the workplace as well as potential measurement criteria for assessing competency attainment.

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What is a competency model?

A competency model is a collection of competencies that together define successful performance in a particular work setting. Competency models are the foundation for important human resource functions such as recruitment and hiring, training and development, and performance management because they specify what is essential to select for or to train and develop. Competency models can be developed for specific jobs, job groups, organizations, occupations or industries.

Elements of a competency model

 

Competency models can take a variety of forms. Typically, they include the following elements:

  • Competency names and detailed definitions. For example, a competency model could include a competency called "Teamwork" defined as follows:
    • Establishing constructive and solid interpersonal relationships;
    • Treating others with courtesy, tact and respect;
    • Working effectively with others, regardless of organizational level, background, gender, race or ethnicity;
    • Working to resolve disagreements, attempting to persuade others and reach agreements;
    • Biding by and supporting group decisions; and
    • Facilitating team interaction and maintaining focus on group goals.

  • Descriptions of activities or behavior associated with each competency. For example, the following behaviors could be associated with the competency "Teamwork":
    • Handling differences in work styles effectively when working with coworkers
    • Capitalizing on strengths of others on a team to get work done
    • Anticipating potential conflicts and addressing them directly and effectively
    • Motivating others to contribute opinions and suggestions
    • Demonstrating a personal commitment to group goals

  • A diagram of the model. Typically, the model (or a summary of the model) is presented as a visually appealing graphic. Presentation of the model in graphical form helps users to quickly grasp the key features of the model.

Some competency models include information about the skills and abilities required for different levels of mastery, or information about the level of competence required at different occupational levels.

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Who benefits from competency models?

Competency models benefit all partners and stakeholders within the workforce investment system including Workforce Investment Boards, One-Stop Career Centers, business and industry, economic developers, educators and training providers, professional organizations, and students and their parents.

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Competency Models Enable Business and Industry to:

  • Clearly articulate their workforce needs
  • Define requirements for employee success on a job and at different levels of career progression
  • Increase the likelihood that qualified candidates will be hired
  • Place individuals into appropriate assignments once they are hired
  • Provide a shared understanding of what will be measured in performance appraisals
  • Facilitate performance appraisal discussions
  • Focus on the knowledge, skills and abilities that have the most impact on effectiveness and productivity
  • Ensure training and development efforts and investments are in line with organizational values and vision
  • Guide employee development efforts
  • Focus training and development efforts on areas where there are significant deficiencies
  • Provide a framework for ongoing coaching and mentoring
  • Identify gaps in current training offerings
  • Assess preparations for handling pending retirements through succession planning
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Competency Models Enable Workforce Investment Boards to:

  • Identify specific skill gaps that can be resolved through training
  • Identify gaps in current training offerings
  • Select appropriate training offerings, curricula, and certifications using competency models as criteria
  • Assess the knowledge, skills, abilities, interests and talents of the local workforce in relation to the competency requirements of available jobs to identify excellent matches
  • Identify available workers with the employers’ required skill sets
  • Manage changing industry trends within regions by determining the degree of overlap between the required skill sets of incoming and outgoing employers and subsequently the need for additional training
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Competency Models Enable One-Stop Career Centers to:

  • Design programs and provide services to meet the needs of their area employers
  • Compare the skill base of workers and job seekers to required competencies to identify gaps
  • Provide credible guidance and counseling to workers about the kinds of jobs or training they should consider
  • Serve the needs of workers transitioning from declining industries by identifying transferable skills and skill gaps
  • Counsel workers about skill gaps and how to remedy them with appropriate training from local community colleges
  • Help employers identify their skill requirements through an analysis of tasks and duties performed at work
  • Customize employer profiles and prepare job descriptions
  • Help employers with succession plans and out-placement activities during downsizing or reorganizations
  • Contract for training in competencies required for success
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Competency Models Enable Economic Developers to:

  • Develop and use customized tools to make their locale or region more attractive for employers
  • Facilitate groups of competing and cooperating companies, suppliers, service providers and research institutions working together in geographically bound concentrations to produce clusters of innovation
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Competency Models Enable Educators and Training Providers to:

  • Ensure that future workers have the right skills
  • Select appropriate education and training programs to remedy knowledge or skill gaps
  • Design and develop course and program curriculum based on emerging and declining skills within industries and occupations
  • Determine which competencies are in highest demand and help students plan their courses accordingly
  • Suggest relevant postsecondary education and training opportunities, including apprenticeships
  • Interpret career assessment tools so that students and workers view their strengths and weaknesses and their likes and dislikes in the context of the workplace
  • Reduce the course and program curriculum development time
  • Eliminate redundancy across courses
  • Improve instructional materials
  • Work with business experts to identify skill requirements to ensure that the curriculum and/or professional, technical programs are responsive to these requirements
  • Offer targeted training courses to workers who are displaced or want to learn/upgrade relevant skills for new career opportunities
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Competency Models Enable Professional Organizations to:

  • Communicate effectively with employers and workers about training and retraining needs
  • Communicate industry demands and requirements to potential workers
  • Develop training and certification initiatives that complement employer and educational training opportunities
  • Assist employees in matching their skills with employer work requirements
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Competency Models Enable Students and Their Parents to:

  • Accurately assess employer expectations of the skills they need for jobs and careers of their choice
  • Explore career options and evaluate skills to determine likelihood of success
  • Plan education, internships, and work experiences to build skills that are in demand

The following Matrix of Potential Users by Potential Uses summarizes how these partners and stakeholders can use competency models to meet their specific needs.

Matrix of Potential Users by Potential Uses

Potential Uses

Potential Users

WIBs

One-Stops

Business & Industry

Economic Developers

Educators

Professional Organizations

Students and their Parents

Outreach/
Generation of Career Interest—Communicating Industry Demands

 

X

 

 

 

 

 

X

 

Career Exploration

 

X

 

 

X

 

X

Career Guidance/
Counseling

 

X

 

 

X

 

 

Career Paths, Ladders & Lattices

 

 

X

 

 

X

 

Labor Pool Analysis

X

X

 

X

 

 

 

Strategic Planning for Workforce Programs: Training, Development & Placement

 

X

 

 

X

 

 

X

 

 

Curriculum Development

 

 

 

 

X

X

 

Workforce Assessment, Development, Training and Placement

 

 

 

X

 

 

X

 

 

 

 

HR Services to Business

 

X

 

 

 

 

 

Selection and Placement

 

 

X

 

 

 

 

Compensation

 

 

X

 

 

 

 

Performance Management

 

 

X

 

 

 

 

Certification criteria

 

 

X

 

 

X

 

Licensure criteria

 

 

 

 

 

X

 

Assessment development

 

 

 

 

X

X

 


(Descriptions of Potential Uses to Accompany Previous Table)

Outreach/ Generation of Career Interest—Communicating Industry Demands

Workforce Investment Boards (WIBs) and professional organizations can use competency models to perform community outreach activities that generate career interest and communicate industry expectations and demands to potential workers. Targets of these outreach activities include youth, unemployed individuals, incumbent workers, and individuals with disabilities or other barriers.

Career Exploration

One-Stop Career Centers and educators can use competency models to offer targeted career exploration services and resources to encourage job seekers to investigate different career options. By becoming familiar with the types of jobs available, as well as their own individual interests, job seekers can identify the right career paths for themselves. Career exploration includes completing self-assessments such as personality and interest inventories and gathering information on available careers using tools such as job descriptions, workforce information, promotional videos, realistic job previews, and informational interviews with job incumbents. Providing students and their parents with competency model information could inform their career exploration activities.

Career Guidance/
Counseling

One-Stop Career Centers and educators can use competency models in providing career guidance and counseling to jobseekers to help them find a good job and career fit. Career guidance/counseling includes helping job seekers select a career path, set career goals, obtain appropriate training/education, conduct a job search, fill out a job application, write a cover letter and resume, and prepare for a job interview.

Career Paths, Ladders & Lattices

Career paths are groups of jobs included in a particular career field. Career ladders represent the upward movement of workers throughout their careers (for example, from Assistant Mechanic to Mechanic to Senior Mechanic). Career lattices represent careers that do not follow a linear progression and include lateral moves. Employers, industries, and professional organizations can use competency models with career paths, ladders, and lattices to facilitate employee career progression.

Labor Pool Analysis

WIBs, One-Stop Career Centers, and economic development agencies conduct labor pool analyses to examine the available labor force composition, as well as the education and skill levels, and entrepreneurial, managerial, and leadership talent of the workforce. A comparison of the results of these analyses to competency models can help WIB and One-Stop Career Center staff to identify skill gaps.

Strategic Planning for Workforce Programs: Training, Development & Placement

WIBs can use competency models to help businesses and industries with strategic planning for training, development, and placement programs by assessing gaps between important competencies and current training offerings. These gaps can be addressed by creating additional in-house training, or by identifying external training providers such as local community colleges that deliver appropriate training.

Curriculum Development

The first stages of the process for developing a curriculum (DACUM) is similar in some respects to the process for building a competency model—it involves identifying the duties and tasks of the work to be performed and the necessary knowledge, skills, and abilities that would lead to satisfactory performance of that work. A competency model can be developed using the content of course curricula. Conversely, a competency model can be a good starting point for the development of curricula.

 

Competency models identify the skills and abilities that are valued in a specific job or career field. A competency model could therefore serve as an outline of important topics to be covered in a course.

 

If competency models are to be used to develop course curricula, they need to be quite detailed and specific so that they will support the development of learning objectives and specific course content.

 

Workforce Assessment, Development, Training and Placement

One-Stop Career Centers can compare the skill base of their clients to the skill requirements included in local business and industry competency models to identify gaps to be addressed. Linking competencies to training programs and other developmental experiences allows educators and One-Stop Career Centers to select appropriate education and training to address these knowledge or skill gaps.

HR Services to Business

One-Stop Career Centers often serve as an external Human Resource agency for businesses by helping with Human Resource functions such as recruiting new employees and retraining displaced employees. Competency models can be used to guide these activities and improve employee retention and employer productivity.

Selection and Placement

Selection and Placement are Human Resource functions performed within organizations and industries. Selection is the decision to hire individuals, whereas placement is the assignment of these individuals to specific jobs once they have been hired. Competency models often are the basis for developing and using selection tools as well as making placement decisions.

Compensation

Compensation is a Human Resource function performed within organizations and industries. Compensation is the amount of wages and other financial benefits earned from labor. Competency models can be used to make appropriate compensation decisions based on the skill requirements of jobs.

Performance Management

Performance Management is a Human Resource function performed within organizations and industries. Performance Management is the process of defining performance expectations, assessing performance, and working with employees to optimize performance on an ongoing basis. Performance management typically includes performance appraisals or performance reviews. Competency models can be used to guide this process by ensuring that employees understand their job expectations or competency requirements, by providing a job-relevant basis for performance appraisal dimensions or standards, and by providing information that can be used as the basis for performance appraisal or review discussions.

Certification criteria

Certification criteria are the set of standards used to measure proficiency in a particular career field. Certification typically is a voluntary process overseen by a nongovernmental agency in which individuals are recognized for advanced knowledge and skill. It usually requires written or hands-on testing and an evaluation of education and/or experience. Competency models can serve as the foundation for certification criteria.

Licensure criteria

Licensure criteria are the set of standards that must be met for an individual to demonstrate minimally acceptable competence in a particular field. Licensure generally is the mandatory governmental requirement necessary to practice in a particular profession or occupation. It usually requires written or hands-on testing, sometimes in addition to the successful completion of educational training and/or relevant experience. Basing licensure criteria on competency models ensures that the appropriate requirements are being tested or trained.

Assessment development

Educators and professional organizations use competency models to develop appropriate assessments of individual learning, knowledge, or skills. Information captured from assessments based on competency models can inform employee selection and development, as well as curriculum development.


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How are competency models being used?

Competency models generally are developed as a platform for other products. Identifying the knowledge, skills, and abilities necessary to successfully perform critical work functions in an industry or occupation paves the way for a myriad of uses. Here are a few examples of how models have been used.

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Note: The initiatives described below have been selected to provide examples of how competency models have been used effectively in the public workforce system. The inclusion of these examples is not intended to imply endorsement of the models or their developers.

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Outreach/Generation of Career Interest—Communicating Industry Demands

As part of their strategic plan, the Pima County Workforce Investment Board (WIB) in Arizona works to enhance the knowledge and skills of area youth to ensure they are proficient in basic skills, know how to learn, and have the skills necessary to achieve in the workforce. The Pima County WIB uses employer competency models to define employer expectations against which to measure student and program performance. For more information, visit
http://www.pimaworks.com/plan/plan.html#

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Career Guidance

The Georgia Department of Education uses a competency-based approach to career guidance. The competencies are organized around three career development areas: self-knowledge/self-awareness; educational and occupational exploration; and career planning and decision-making. These competencies are used to help guide personal, social, familial, educational, and occupational choices. For more information, visit
http://www.glc.k12.ga.us/pandp/guidance/schoices/sc-d27.htm

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Labor Pool Analysis/Strategic Planning for Workforce Programs