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TOPIC :

A SYUDY ON COMPETENCY MAPPING

COMPANY :

AMBUJA CEMENTS LIMITED

SUBMITTED BY:

MISTI DE
MBA (JAN 2009 – DEC 2010)

International Business School

EASTERN INSTITUTE OF INTEGRATED LEARNING IN MANAGEMENT


UNIVERSITY

[1]
DECLARATION

I hereby declare that this project titled “A STUDY OF COMPETENCY MAPPING” in


Ambuja Cements Limited, Kolkata in partial fulfilment of the requirement for the award of
degree of Masters in Business Administration, Eastern Institute For Integrated Learning In
Management, is carried out by me during the summer of 2010 and is my original and true
work for academic purpose only.

Place: Kolkata ( MISTI DE )

Date:

ACKNOWLEDGEMENT
[2]
The project work has been done on “Competency Mapping” at
Ambuja Cements Limited, Kolkata. This project at Ambuja Cements Ltd.
offered both a learning experience, as well as a glimpse into the daily
management functions of an organization. During the tenure of this
project, I was fortunate to have interacted with people, who in their own
capacities have encouraged and guided me.

For this invaluable guidance, I wish to express my heartfelt gratitude


to my External Guide Mr. Kaushik Kundu, Deputy General Manager
(HRM), without whom this project could not have been completed
successfully. Mr. Sudaeshan Thakur, Asst. Manager (HRD) helped to
execute the project properly.

I would like to thanks Mr. Aloke Bondhopaddhya, HR Manager,


Plant, Ambuja Cements Ltd., Sankrail Unit, who allowed me to carry out
this project in their plant.

I would also like to thank Mr. Santonu Naskar, Deputy Manager


(HR & Personnel) who guided and helped me immensely in acquiring data
for my project in Sankrail Plant Unit.

I am also indebted to my Internal Guide Prof. Mahua Banerjee,


Faculty – HR, for her constant support and guidance.

I will like to give special thanks to Prof. Sudipto Mitra, Campus


Head, without whom the project would remain incomplete.

( Misti De )

International Business School

Eastern Institute Of Integrated Learning In Management University

[3]
Content

Topics Page No.


1. Executive Summary 5
2. Organization’s Profile 7
3. Review Of Literature 18
4. Objective Of The Study 51
5. Research Methodology 52
6. Data Analysis 53
7. Recommendation 76
8. Limitation Of The Study 77
9. Conclusion 78
10. Bibliography 80
11. Annexure 81

EXECUTIVE SUMMARY

[4]
India, world's second largest cement producer after China, is the home to a number
of top cement companies. As various infrastructure projects, road networks and housing
projects are coming up, many of which are backed by the government, the cement industry
in India is growing at a great pace these days. With the capacity of 151.2 Metric Tones (MT),
the Indian cement industry is truly big in size and hence accommodates a number of cement
companies in the market. Not only that, more growth is further expected in the coming
years, which will also lead to the growth of top cement companies in India.

The Indian cement industry is largely dominated by a few companies. The top 20
cement companies account for almost 70% of the total cement production of the country.
The total installed capacity is distributed over around 129 plants, owned by 54 major
companies across the nation. During April-September 2009, the Indian cement companies
produced 11 MT cement, whereas the total cement product in the country in Financial Year
(FY) 2009 was 231 MT. It is further expected to reach 236.16 MT in FY11 and 262.61 MT in
FY12.

Following are some of the major names in the Indian cement industry:

Net Profit (Quarter


Company Production Installed Capacity
ended Sep 30, 2009)

ACC Limited 17,902 18,640 41,550.89 lakhs

Gujarat Ambuja Cements


15,094 14,860 31,848 lakhs
Limited

Ultratech 13,707 17,000 97,700 lakhs

Grasim 14,649 14,115 1,64,800 lakhs

India Cements 8,434 8,810 43,218 lakhs

JK Cements Ltd 6,174 6,680 14,234.40 lakhs

Jaypee Group 6,316 6,531

Century Cements 6,636 6,300

Madras Cements 4,550 5,470 49,081 lakhs

Birla Corp. 5,150 5,113 9,061 lakhs

Ambuja Cements Limited was set up in the late 80s. The cement industry presented
an opportunity of steady growth and ethical competition to the promoters.

[5]
However, a decade later, it became one of world’s most efficient cement companies
producing the finest cement in the world at the lowest cost. While adhering to the most
stringent international pollution-control norms.

Today, Ambuja is the 3rd largest cement company in India, with an annual plant
capacity of 16 million tonnes including Ambuja Cement Eastern Ltd. and revenue in excess
of Rs.3298 crores

Today organizations are all talking in terms of competence. Gone are the days when
people used to talk in terms of skill sets, which would make their organizations competitive.
There has been a shift in the focus of the organizations. Now they believe in excelling and
not competing. It is better to build a core competency that will see them through crisis. And
what other way than to develop the people, for human resource is the most valuable
resource any organization has. Competencies provide a common language and method that
can integrate all the major HR functions and services like Recruitment, Training,
performance management, Remuneration, Performance appraisal, Career and succession
planning and integrated Human resource management system.

This report gives an overview of the competency mapping. The report presents the
meaning and history of competency approach in the first section. In the following sections
the components and types of competencies have been covered. Further the report
discusses the meaning of competency mapping and also defines the competency map. The
section that follows discusses the main advantages and disadvantages of competency
mapping. The role of competencies in an organization as a vital tool for recruitment,
selection and retention and the areas of application are discussed in the trailing section.

The next section analyses how Holcim Competency Circle works in Ambuja Cements
Ltd. The report also reveals the results of practices and ongoing trends in the organizations
surveyed through questionnaire.

ORGANIZATION’S PROFILE

[6]
Ambuja Cements Limited
Ambuja Cements Limited, formerly known as Gujarat Ambuja
Limited is a major cement producing company in India. The Group's
principal activity is to manufacture and market cement and clinker for both
domestic and export markets.

The Company also operates a hotel through its subsidiary GGL Hotel
and Resort Company. It has shown innovation in utilizing measures like sea
transport, captive power plants, and imported coal and availing of govt. sops and subsidies
to constantly check the costs.

Tag Line: Birat (Giant) Compressive Strength.

Vision: To be India’s most admired company.

Mission: Delighted Customers


Inspired Employees
Empowered Partners
Energized Society

Objectives: Better quality then other company


Fair returns to share holders
A higher productivity to cover maximum market
Maximum customer satisfaction
Clean & healthy Environment for employee’s growth
Try to lower pollution to fulfillment of social responsibilities

The company has entered into a strategic partnership with Holcim, the second
largest cement manufacturer in the world. Holcim had, in January, bought a 14.8 per cent
promoters` stake in the GACL for INR 21.4 billion.

Currently (2010) Holcim holds about 46% of shares in Ambuja Cements Limited.

Gujarat Ambuja Cements was established in the year 1986 and the company has
grown by leaps and bounds in the last 10 years. At present, the total capacity of the
company for production of cement is nearly 18.5 million tones.

The Gujarat Ambuja Cements owns some of state-of-the-art manufacturing facilities


equipped with advanced technological instrumentations. The company also excels in the
system for the prevention of hazards to the work force and the production units.

[7]
The outstanding growth of the company was due to the use of ethical trade practices
and the commitment of a dedicated work force. The superb management was an added
bonus to the company which fueled further growth.

Its plants are some of the most efficient in the world. With environment protection
measures that are on par with the finest in the developed world.

The company’s most distinctive attribute, however, is its approach to the business.
Ambuja believes its most valuable assets aren’t cement plants. They are the people who run
the plants. This unique vision is encapsulated in the company’s homegrown philosophy of
giving people the authority to set their own targets, and the freedom to achieve their goals.
It’s called ‘I can’’. This simple vision has created an environment where there are no limits
to excellence, no limits to efficiency. And has proved to be a powerful engine of growth for
the company.

As a result, Ambuja is the most profitable cement company in India, and one of the
lowest cost producer of cement in the world.

Manufacturing plants of Gujarat Ambuja Cements:

 Kodinar in Gujarat

 Chandrapur in Maharashtra

 Sankrail in West Bengal

 Darlaghat in Himachal Pradesh

 Pali in Rajasthan

 Bhatapara in Chhattisgarh

 Bhatinda and Ropar in Punjab

Terminals for transportation of cement owned by the Gujarat Ambuja Cements:

 Port Terminals

 Muldwarka in Gujarat

Bulk cement terminals:

 Panvel

 Surat

 Galle

[8]
[9]
MANAGEMENT

 Chairman Emeritus :
Suresh Neotia

 Chairman :
N. S. Sekhsaria

 Vice Chairman :
Paul Hugentobler

 Managing Director :
A. L. Kapur

 Directors :
Markus Akermann
Rajendra P. Chitale
M. L. Bhakta
Nasser Munjee
Omkar Goswami
Sailesh Haribhakti
Naresh Chandra
Onne van der Weijde, C.E.O-Designate (w.e.f. 17.02.2010)

 Whole Time Director :


N. P. Ghuwalewala
P. B. Kulkarni

 Company Secretary and Head Corporate Service :


B. L. Taparia

 Chief Financial Officer


Mr. David Atkinson

 Business Heads
Mr. J.C. Toshniwal (North)
Mr. Ajay Kapur (West and South)
Mr. S.N. Toshniwal (East)

[10]
Awards won by Gujarat Ambuja Cements:

 National Award by the Prime Minister of India for outstanding pollution control
 National Award by the Prime Minister of India for commitment to quality
 Award by CAPEXIL for highest exports
 Eco-Gold Star by TERI
 Award for Corporate Social Responsibility by Business World – FICCI
 International Award For Rural Development by Asian Management Institute (AIM)

Production

Total cement production increased by 5%, from 16.9 to 17.8 million tonnes. The
increase was mainly as a result of a full years production at Farakka and Roorkee facilities
which started in mid 2007, and commencement of grinding at Surat terminal in early 2008.
Clinker production was 1 % lower than in 2007, at 11.5 million tonnes. Higher production at
Rabriyawas following the 2007 up-gradation was offset by lower production as a result of
unplanned stoppages at the Maratha and Darlaghat plants.

Marketing

While in the first half of 2008, the government introduced a ban on exports and
encouraged imports from Pakistan, in the second half the realty boom suddenly turned to
bust. With the global economy coming to a crunching halt, funds for major housing,
commercial and infrastructure projects practically dried up. To revive demand in the real
estate sector, the government introduced a slew of monetary and fiscal measures. In
December, the excise duty on cement was reduced by 4% and on clinker by Rs.150 per
tonne, and countervailing duties were re-imposed on imported cement. The export ban was
also fully lifted. Interest rates were lowered in a bid to boost residential housing demand.
Against this backdrop of financial market turbulence, domestic cement demand grew by
about 8%. But, at the end of the year, the pendulum has swung, from the large residential
and commercial projects in metros, (mini metros and big towns, towards the more informal
housing sector in smaller towns and rural areas. Ambuja Cement has' built a strong position
in this segment over the last two decades. An FMCG approach was adopted, to create a
wide retail network of small "mom and pop" shops, right down to the taluka / village level. A
large sales force works alongside these small dealers to help them promote and sell the
brand to the right consumer at the right price. Meanwhile, a team of expert civil engineers
works closely with small contractors and masons, who undertake construction of single unit
houses in small residential centers. Building a brand on the dusty rural map has its own
excitements. Our people have worked with local communities to demonstrate better
construction practices and materials, to build economical and durable structures - not only
housing but also rural . infrastructure, like check darns, schools and roads. They have also
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undertaken training of local people in masonry skills. For example, Gujarat state
government has launched an initiative to train tribals in rural areas, and has teamed up with
Ambuja Cement to start a formal mason training school in Dahod, near Baroda. Also in
Rajasthan, our Customer Support Group has provided mason training as part of a Skill and
Entrepreneurship Development Institute initiative, in collaboration with the Ambuja Cement
Foundation. Creating an active distribution and customer service network down to this level
is certainly a big challenge, but a worthwhile investment, as it has enabled the company to
reap handsome rewards in terms of premium brand recognition and loyalty of the end
consumer. Keeping abreast of the changing needs of our customers, we have also
developed some special products for key accounts in Mumbai and Kolkata, for which we
achieve improved realizations for added customer value.

All this has resulted in the company consolidating its position in the 13 states / Union
territories which form its core markets. We have built a strong position by creating a hub
and spoke network of clinkerisation plants and grinding units, a strong distribution network,
and innovative logistics, solutions like bulk cement movement by sea. In these core markets,
Ambuja sold 15.4 million tonnes, amounting to 91% of our total domestic sales, and our
volumes went up 9% as against demand growth of 7%. We continue to maintain a healthy
18% share in these markets.

People Power

Ambuja Cement has always prided itself on its world beating performance. In order
that we continue to deliver and improve upon performance on a sustainable basis, a project
aptly titled "People Power" was launched at the Ambujanagar plant, with the aim of
ensuring "healthy people and healthy plants”. To achieve "healthy people", an
organizational transformation was carried out in the plant. The new organization created a
large number of leadership positions at different levels, unlocking leadership potential and
unleashing creative energies among talented individuals. To achieve "healthy plants", an
Engineering. Support Group was created, incorporating an Academy and a Development
Cell. To boost operational efficiency, standards were developed for improving productivity
using tools and processes developed at both Ambuja and Holcim, based on global best
practices. A detailed health check was carried out to ensure long term health of the plant,
based on which an action plan was developed for implementation. The resulting
transformation has propelled the plant performance to achieving the near impossible
aspiration of 400 thousand tonnes of clinker during December 2008, one of the highest ever
in its history. The principles and tools developed during this pilot implementation are in the
process of being rolled out to the other Ambuja plants, and further initiatives are underway
to achieve continuous improvement in cost efficiencies in operations, and sustained health
of the plants.

[12]
Expasion Projects

A new 1 million tonne grinding facility was commissioned at the beginning of 2008 at
Surat, where the company already operates a bulk cement terminal. OPC is transported
from Ambujanagar to Surat, where it is blended with locally sourced fly ash. The company
has the long term objective of at least maintaining market share and, to this end, the two
major clinkerisation expansion projects, at Bhatapara in Chattisgarh, and Rauri in Himachal
Pradesh, remain on track for completion in mid 2009 and end of2009 respectively. Each
comprises a 7000 tonne per day kiln line; therefore together they will add approximately 4.4
million tonnes of clinker capacity. The total investment in these projects has escalated by
around 10%, mainly due to the steep cost increases for steel and civil contracting during the
year. In alignment with the new clinker capacity, grinding capacity will also be further
increased, by 5.5 million tonnes, to be commissioned over the next 12-18 months. Grinding
units at Dadri and Nalagarh in the North will come on stream in mid 2009 and first half of
2010 respectively. The grinding unit project at Barh has been suspended, owing to delays in
setting up the NTPC power plant from which fly ash would be sourced, and will be replaced
by further augmenting the grinding capacity at Bhatapara. And it has been decided to
proceed more slowly with the project at Sanand (Ahmadabad), which will now be deferred
till 2010. Additional captive power projects are in progress at Ambujanagar, Bhatapara, and
Maratha. These will add approximately another 90 MW, most of it being commissioned in
2009 and taking total capacity to more than 400 MW. The bulk cement term inal at Kochi is
on course for commissioning in the first quarter 2009. This will give the company access to
the fast growing southern market via cost effective sea transportation. Furthermore the
f1eet of ships which plies the Ambujanagar - Mumbai - Surat routes is in process of being
expanded to cope with anticipated future demand growth. Three new vessels are in the
pipeline, for delivery in 2009-2010.

Holcim Alignment

The process of aligning with Holcim systems, methodologies and tools, is making
good progress .A major milestone "vas the implementation of Holcim's SAP template, which
went live in August2008. We are now on-line with nearly.200 locations, including dumps /
yards, and are able to explore the full potential of IT in continuously improving customer
service, with real time data. This not only brings the benefits of a fully integrated real time
ERP system, but helps facilitate benchmarking between Holcim group companies and
sharing of good practices. Occupational Health and Safety is another area where the
adoption of Holcim guidelines and methodologies has assisted in dramatically increasing
awareness of the need for safe working practices, in order to achieve a "zero harm"
environment. Our Talent Management efforts are also supported through access to the
Holcim Leadership Development programs, and possibilities for transfers between group
companies in order to gain experience of different business and cultural environments.

[13]
There is a strong alignment on Corporate Social Responsibility issues. These have
been an integral part of the Ambuja mission since the beginning, through the Ambuja
Cement Foundation and are also at the heart of Holcim's Sustainable Development
initiatives.

Major Milestone of HOLCIM Group


191  “Holderbank” was founded in 1912 in the village of Holderbank, Canton
2 Aargau.
 From an early stage it became clear that the domestic market could offer only
limited opportunities for expansion.
192  By the early 1920’s the company began investing in cement businesses in other
0 European countries.
 This trend was quickly followed by investments in Egypt, Lebanon and South
Africa.
194  In the years following 1945, and particularly in the Fifties and Sixties, a network
5 of holdings began to develop in North and Latin America.
197  In the 1970’s, ventures in the emerging markets of the Asia-Pacific began.
0  Holderbank Management & Consulting Ltd was founded.
198  In the 1980’s, “Holderbank” continued to expand into new markets, including
0 Eastern Europe.
 A greater focus on aggregates and ready-mixed concrete production
strengthened the company’s position as a vertically integrated market leader.
199  A strong focus on core business activities in cement, concrete and aggregates
0 characterised “Holderbank” activities during the 1990’s.
 Continuing professional development programs for employees, coupled with a
best practices policy, ensured challenges were met with creative solutions and
company performance was enhanced.
 Entry into new markets, particularly within Asia, expanded opportunities for
the Group.
200  The name of the Group was changed from “Holderbank” Financière Glaris Ltd
1 to Holcim Ltd in May 2001
 The Holcim brand was launched
 The mosaic of support entities are switched to one entity: Holcim Group
Support
 The Corporate Governance principles are implemented to become a truly
International Group.
 Today Holcim’s international presence consists of a balanced mix of companies
in industrialised and emerging markets.

[14]
Corporate Social Responsibility (CSR)

In 1991, the company set up Ambuja Cement Foundation to trigger all-round


development of the people around its cement plants. The Foundation decided to traverse
the difficult but more productive path of helping the people to help themselves. With great
dedication and commitment, the foundation energized the local people to participate and
own their development process. It became a facilitator and catalyst, rather than a one-time
fund provider. It developed easily replicable and sustainable modules for water
management, sustainable agriculture and healthcare.

CSR activities are being carried out through Ambuja Cement Foundation (ACF) which
has a' long tradition of proactively contributing to sustainable and sound solutions on socio-
economic and environmental issues in the neighboring communities wherever the Company
operates. ACF has been set up to specifically engage with community stakeholders and it
works on two fronts - stakeholder engagement and community development.

The Foundation believes it is critical to identify individuals and groups in the local
communities directly or indirectly affected by the Company operations and to engage with
them in a continuous dialogue. ACF have commissioned a reputed external agency ERM to
conduct Social Impact Assessments (SlAs) at all new Company sites. The findings of this
agency have enabled ACF to be sensitive to the possible social impacts created by the
Company operations by addressing effectively the concerns and views of those affected in
the draft rehabilitation plans. This extensive exercise has already been completed at two
locations- Marwar – Mundwa in Rajasthan and Nalagarh in Himachal Pradesh during 2008.
As a follow up of the SIA at Marwar – Mundwa, a detailed database of primary stakeholders
i.e. the project affected people has been generated. Going ahead, this database will prove
helpful in developing measures to mitigate impact and restore livelihoods of the affected
communities. An exercise of risk scoping has been completed at Sanand in Gujarat. Since
the Foundation has been engaging with community stakeholders ever since its inception, a
need was felt to conduct a formal review of the work carried out so far. Using a unique tool
called the Social Engagement Scorecard, developed by Holcim for its Group Companies, ACF
involved the communities in the process of gauging the effectiveness of its social
interventions simultaneously determining the location specific course of action for the
future. During 2008, ACF completed the review in Kodinar, Chandrapur, Darlaghat, Ropar,
Rabariyavas, Sankrail and Bhatapara. At all the locations ACF engagement was found to be
in line with the needs of the area and the aspirations of the communities. Community
Development: ACL is committed to the development of the communities where it operates.
Through its varied community development initiatives, the ACF reaches out to SES being
conducted approximately 607 villages catering to a population of over 11 lakhs. The
community development activities include health care, improvements in quality of
education, infrastructure development, livelihood generation, women's development,
formation of self-help groups for women and the like. In education, Basti schools- informal

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schools for out of school children in Bhatinda, have arisen to prominence due to their
commendable work in the last year. The schools try to provide bridge education to out of
school children and attempt to bring them into the mainstream formal education system.

These initiatives have found appreciation by the local communities as well as the Key
Opinion Leaders. Educational activities conducted in the government schools of Darlaghat
and Chandrapur have also expanded and diversified in the past year. The Foundation has
organized women Self- Help Groups with the objectives of helping them cultivate the habit
of making small monthly savings, giving them a platform to meet and interact with one
another and to determine the means of improving their lives. As the groups have matured,
these have gradually began engaging in varied microenterprises. It is hoped that these
become alternate sources of income for the families. At present the Foundation has
initiated 571 SHGs. These have made a collective saving of approximately Rs.87 lakhs. In the
health sector, the creation of an HIV Positive People's group has been an achievement of
the Ropar unit of the Foundation. This is the first of its kind in the state and has been
providing all the members' support and strength to come to terms with their HIV positive
status, to take charge of their lives and to engage in gainful and productive activities. With
the help of the Foundation, 6 members of the group have established a paper recycling unit.
The used paper from ACL is taken for recycling and sold back to the Company. Other
agencies in the area like the PCACS have shown an interest in purchasing the recycled paper.
ACF aims at developing societies by building skilled communities that are capable of
sustaining themselves. To achieve this goal, ACF helps communities capitalize on its
expertise, knowledge and competencies, rather than merely providing them financial
assistance. Since the Indian construction industry has been growing at 8-10% for the past
few years, ACF identified in it an opportunity to develop skilled laborers who could find
employment in this particular sector. Most of the masons working in the construction sector
are unqualified and semi-skilled. They are often required to assume the role of an architect,
a structural engineer as well as a purchaser of building materials. Keeping these spaces for
improvement in the sector, mason training programs were devised and Refresher training of
VHFs SHG meeting in progress organized by ACF in collaboration with ACL at various
locations. The customer support unit of the Company provided the necessary training. In all,
over a hundred masons were trained by the programs. Efficient vocational training is one of
the means of restoring livelihoods of those affected by industrialization and unemployed
rural youth that can no longer be absorbed in agriculture because of its dwindling growth.

All this effort in discharging its social responsibility has earned the company
recognition across Asia.

[16]
Concept Of Human Resource Management In Ambuja Cement Ltd.

A process-driven approach to induction of fresh talent ensures a continuous and


consistent talent pipeline for future business growth. Apart from enhancements in
productivity, the "People Power" project has resulted in enhancing the managerial and
innovation skills of our people. Projects like SAP implementation have encouraged an inter-
disciplinary approach to business challenges. People working on these projects have been
gainfully redeployed in new roles requiring multi-functional competencies. KRA (Key Result
Area) based performance management provides an objective basis for managing
performance and rewards. Individual goals are derived from organizational objectives,
hence ensuring complete alignment and commitment of the people.

Management Development is a well structured approach designed around


development of leadership competencies required for different levels. Integrated Talent
Management processes with global practices are aimed at creating future leaders for
succession. These are supported by advanced HR Management Systems and are well
integrated with other business process.

Holcim Group

Ambuja Associated
Cements Cement
Limited Corporation
(ACL) (ACC)

Review Of Literature
[17]
Competency Mapping

Competency is the vital behavioral skills, knowledge and personal attributes that are
translations of organizational capabilities and are deemed essential for success. They
distinguish exemplary performers from adequate performers.

Competence mapping is an utility to manage the competence of the employees. In


today’s corporate scenario competency mapping is very important tool in the hands of the
HR Manager. Over the past 10 years, human resource and organizational development
professionals have generated a lot of interest in the notion of competencies as a key
element and measure of human performance. Competencies are becoming a frequently
used and written-about vehicle for organizational applications such as:
 Defining the factors for success in jobs (i.e., work) and work roles within the
organization
 Assessing the current performance and future development needs of persons
holding jobs and roles
 Mapping succession possibilities for employees within the organization
 Assigning compensation grades and levels to particular jobs and roles
 Selecting applicants for open positions, using competency-based interviewing
techniques

Competencies include the collection of success factors necessary for achieving


important results in a specific job or work role in a particular organization. Competencies in
organizations tend to fall into two broad categories:
- Personal Functioning Competencies. These competencies include broad success
factors not tied to a specific work function or industry (often focusing on leadership
or emotional intelligence behaviors).
- Functional/Technical Competencies. These competencies include specific success
factors within a given work function or industry.

Definition:

[18]
First popularized by BOYATZIS (1982) with Research result on clusters of
competencies:

“A capacity that exists in a person that leads to behavior that meets the job demands within
parameters of organizational environment, and that, in turn brings about desired results”

 UNIDO (2002)-
A Competency is a set of skills, related knowledge and attributes that allow an individual to
successfully perform a task or an activity within a specific function or job.

 RANKIN (2002):
“Competencies are definition of skills and behaviors that organizations expect their staff to
practice in work.”
 MANSFIELD (1997):
“Underlying characteristics of a person that results in effective a superior performance.”

 WOODRUFFE (1991):
Competency: A person- related concept that refers to the dimensions of behavior lying
behind competent performer.
Competence: A work related concept that refers to areas of work at which the person is
competent
Competencies: Often referred as the combination of the above two.

 ALBANESE(1989) :
Competencies are personal characteristics that contribute to effective managerial
performance.
 HAYES(1979) :
Competencies are generic knowledge motive, trait, social role or a skill of a person linked to
superior performance on the job.

[19]
Job
superior performance in a given job, role
or a situation
individual’s ability to perform.
linked to superior performance on the
job.
contribute to effective managerial
performance
successfully perform a task or an
activity within a specific function or
job Traditional Job Analysis vs. Competency Approach

Competency model leads to


A Distilled set of underlying personal
characteristics
Data generation from outstanding
performers in addition to subject
matter experts and other job
incumbents
Outstanding Performance

[20]
Distinguishing superior from merely satisfactory performance
The approach allows executives to make a distinction between a person's ability to
do specific tasks at the minimum acceptable level and the ability to do the whole job in an
outstanding fashion

Behavior Indicators based upon what outstanding individuals actually do


 The competency definitions are based upon outstanding current performance in the
organization.

 These competencies do not reflect someone's management theory or an academic


idea of what it takes to do the job well, but rather are based on what works within
the organization and most directly contributes to top performance.

The Competencies are Behavior Specific


 It is one thing, for example, to ask whether an employee "takes initiative," a very
general concept, open to interpretation, but it is quite another to ask, "Was it typical
of this manager to carry out tasks without your having to request that they be
done?," a question which has only two answers, "Yes" and "No".

Holistic Application
Competencies:
 Help companies ‘raise the bar’ of performance expectations.
 Help teams and individuals align their behaviors with key organizational
strategy.
Each employee understands how to achieve expectations.

Top Competencies
Top competencies are the vital few competencies (four to seven, on average) that
are the most important to an individual in their ongoing career management process.
Research is ongoing about the nature of competencies that are important for success across
many organizations. There are a number of sources that describe some very common
personal functioning competencies found to be important for employees at all levels across
organizations. 6 competencies would differentiate the top quartile of performers from the
rest in most positions in an organization: Initiative, Influence, Results Orientation,
Teamwork, Service Orientation, and, Concern for Quality.”

Key Behaviors [Behavioral Indicators]:


 Empowers others by inviting input to decisions and requesting appropriate
assistance.
 Acknowledges the effort, achievements and contributions of others.
 Uses active listening skills regularly.

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 Assesses each person’s hot buttons and adjusts style to get the best out of them.
 Encourages others to set challenging goals, give their best efforts and work to their
potential.
 Helps others to feel important and respected.

Manager performs the most important function of being a bridge between the
management and the employees. So, what are the competencies that a good manager
should have? We list some of the most important skills and competencies that are
important for a manager to be successful:

 Managing people: People management is the most important measurable of


a manager’s competencies. A good manager should be able to manage his team well,
know their skills and delegate work accordingly, understand their problems and give
solutions and motivate them to perform better.

 Planning and organizing: Planning and organizing work on a daily basis is another
important competency of a manager. The manager must be able to plan work in
such a manner that takes care of all the contingencies and meets deadlines. Work
should be planned in such a manner that meeting the deadlines should be possible
without putting too much pressure on team members.

 Managing changes: Organizational changes are a part and parcel of running a


continuous business. However, people do not generally take to changes happily.
Therefore, it is the manager’s responsibility to help the team members cope with
changes, listen to their problems and give them solution. At the same time, it is the
manager’s responsibility to see when and what changes are required and make
efforts to implement them successfully.

 Resolving conflicts: When different kind of people work together, it is natural for
them to occasionally get into conflicts. Such conflicts affect performance in the long
run. A manager must be able to understand these conflicts between the team
members and resolve them timely before they start affecting work.

 Providing leadership: A team without proper leadership and direction will never be
able to perform well. It is the manager’s responsibility to bring and keep them
together, provide guidance and direction, motivate and support them in achieving
the company goals. The manager must show the big picture to the team and lead by
example.

A manager must be the kind of person the team members look up to. He/she must have
good communication skills and should be great at deriving the maximum performance out
of team mates and at the same time, appreciate, give them credit for good work and help

[22]
them grow. Develop these skills and competencies and see how your skills help you
achieving success.

Any underlying characteristic required for performing a given task, activity or role
successfully can be considered as competency. Competency may take the following forms:

 Knowledge
 Attitude
 Skill

Other characteristics of an individual including:

 Motives
 Values
 Traits
 Self Concept

Surface
Competencies
Most easily
developed

Skill

Self Concept
Value

Traits & Motives

Attitude

Knowledge

Core Competencies
Most difficult to develop

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Components of Competency

There are five major components of competency:

1. Skill: capabilities acquired through practice. It can be a financial skill such as budgeting,
or a verbal skill such as making a presentation. It represents intelligent application of
knowledge, experience, and tools. This is the procedural "know how" knowledge (what
one can do), either covert (e.g., deductive or inductive reasoning) or observable e.g.
"active listening" skill in an interview. They are demonstrated abilities or proficiencies,
which are developed and learned from past work and life experience.
2. Knowledge: understanding acquired through learning. This refers to a body of
information relevant to job performance. It is what people have to know to be able to
perform a job, such as knowledge of policies and procedures for a recruitment process.
It refers to the information a person possesses about specific areas, knowledge
comprises many factors like memory, numerical ability, linguistic ability, and is,
therefore, a complex competency. It can be either:
 Scientific Knowledge
 Technical Knowledge
 Job Knowledge
3. Personal attributes: inherent characteristics which are brought to the job, representing
the essential foundation upon which knowledge and skill can be developed.
4. Behavior: The observable demonstration of some competency, skill, knowledge and
personal attributes. It is an essentially definitive expression of a competency in that it is
a set of action that, presumably, can be observed, taught, learned, and measured.
5. Attitudes: attitudes are predispositions to other individuals, groups, objects, situations,
events, issues, etc. For example attitude to a particular occupation or type of machine or
a particular technology all influence our behavior. If a person does not have a positive
attitude to computers or IT, he is not likely to use a computer. If he is not positive about
the uses of ERP or SAP, he is not likely to use the ERP or SAP. Attitudes determine the
kind of things we choose and whether we are likely to approach a particular situation or
not or whether we are open to try out the technology or meet the customer or sell a
particular product with high motivation, etc.
Attitudes decide our approach or avoidance behavior. They are normally
conceptualized as positive or negative. A positive attitude makes us to treat that object,
technology, method, situation, and person or group more positively and therefore we
appreciate it and promote the same.

Knowledge and skills tend to be visible and relatively surface, characteristics of


people. But attitude, trait and motive competencies are more hidden “deeper” and central
to personality. Surface knowledge and skills are relatively easy to develop. But core motive
and trait competencies are at the base of the personality and are more difficult to assess
and develop. This has been depicted below in the form of an iceberg model. Competency

[24]
includes observable behavior as well as aptitudes, skill and knowledge. It can be compared
with an iceberg as shown in the figure below:

Observable
Behavior

Aptitudes

Attitudes / Traits

Skills

Knowledge

Based on the above definition, it can be said competency only include behaviors that
demonstrate excellent performance. Therefore, they do not include knowledge per se, but
do include applied knowledge or the behavioral application of knowledge that produces
success. In addition, competencies do include skills, but only the manifestation of skills that
produce success. Finally, competencies are not personal work motives, but do include
observable behaviors related to motives. See figure below for an illustration of these key
points.

[25]
Competency Components

Competencies:
Competencies:
Position a new product introduction so that it is clearly differentiated in the market
Uses an understanding of market pricing dynamics to develop pricing models

Knowledge: Understand market pricing dynamics

Skills Knowledge

Competencies

Skill: Set up new product introduction project

Personal
Motives

Competency:
Meets all commitments in a timely manner

Personal Motives:
Achievement – wants to do an excellent job

Looking at the above figure, we could depict competency causal flow model as follows :

[26]
Personal Attributes / Motives
Knowledge
Skills

Competency

Observable Behaviors

Job Performance

Type of Competency

There are four types of competency:

1. Employee Core Competency


Competency that relate to organization’s values, mission and strategy; these are
competencies that reflect organizational core capabilities and should be possessed by all
employees regardless of their function.
Example: Customer satisfaction; quality orientation

2. Managerial Competency
Competencies that relate to skills needed to perform managerial work and process; it
deals with the interaction process either with individual or group of people. Typically
generic in nature, these competencies are common skills sets required by most
companies; are not necessarily industry specific, and are not confined to managerial
positions. In typical organizations, managerial competencies will play greater emphasis
as the position progresses within the organization.

In general, managerial competency could be divided into two categories:

[27]
 Human Competency
An ability to work with, understand, and motivate other people as individuals or in
group. It relates to the individual’s expertise in interacting with others in a way that will
enhance the successful completion of the task at hand.
Examples: interpersonal skills; developing people.

 Conceptual Competency

An ability to understand the degree of complexity in a given situation and to reduce that
complexity to a level at which specific courses of action can be derived.

Example: problem solving and decision making

3. Technical/Functional Competency
Competencies that pertains to specific bodies of knowledge and skills required to
perform the defined activities in an industry, function or job. It include the abilities to
use the procedures, techniques and knowledge of a specialized field.
Example: sales ability, behavior interview technique.

4. Personal Attribute
Competencies that relate to inherent personal characteristics (e.g. motives, self image,
self concept, etc.) and potentially affect work attitude and performance.
Example tolerance for stress; achievement motivation.

BEHAVIOUR INDICATOR:

[28]
A Competency is described in terms of key behaviors that enable recognition of
that competency at the work place.
These behaviors are demonstrated by excellent performers on-the-job much more
consistently than average or poor performers. These characteristics generally follow the 80-
20 rule in that they include the key behaviors that primarily drive excellent performance.

KNOWLEDGE
Relates to information
Cognitive Domain

Attribute
Set of SKILLS
Relates to qualitative aspects
Relates to the ability to do,
personal Characteristics or traits
Physical domain

COMPETENCY

Outstanding Performance of tasks or activities

Following are some key behavior indicators in an employee:


• Independently researches for information and solutions to issues
• Ability to know what needs to be done or find out (research) and take steps to get it
done
• Ask questions when not sure of what the problem is or to gain more information.
• Able to identify the underlying or main problem.
• Shows willingness to experiment with new things.
• Develops a list of decision making guidelines to help arrive at logical solutions.

Examples of Competency

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 Adaptability—Maintaining effectiveness when priorities change and new tasks are
encountered, and when dealing with individuals who have different views and
approaches. Effectively performing in different environments, cultures, and locations,
and when working with different technologies and levels of individuals.
KEY BEHAVIOR
 Seeking understanding—Makes efforts to better understand changes in the
environment; actively seeks information or attempts to understand nature of
individual differences, logic, or basis for change in tasks and situations.
 Embracing change—Approaches change or newness with a positive orientation;
views change or newness as a learning or growth opportunity.
 Making accommodations—Makes accommodations in approach, attitudes, or
behaviors in response to changing environmental requirements.
 Analysis/Problem Assessment—Securing relevant information and identifying key
issues and relationships from a base of information; relating and comparing data
from different sources; identifying cause-effect relationships.
KEY BEHAVIOR
 Identifying issues and problems—Recognizing major issues; identifying key facts,
trends, and issues; separating relevant from irrelevant data.
 Seeking information—Identifying/Recognizing information gaps or the need for
additional information; obtaining information by clearly describing what needs to be
known and the means to obtain it; questioning clearly and specifically to verify facts
and obtain the necessary information.
 Seeing relationships—Organizing information and data to identify/explain trends,
problems, and their causes; comparing, contrasting, and combining information;
seeing associations between seemingly independent problems or events to
recognize trends, problems, and possible cause-effect relationships.
 Performing data analysis—Organizing and manipulating quantitative data to
identify/explain trends, problems, and their causes.

Who Identifies competencies?

[30]
Competencies can be identified by one of more of the following category of people:

 Experts
 HR Specialists
 Job analysts
 Psychologists
 Industrial Engineers etc.
In consultation with: Line Managers, Current & Past Role holders, Supervising Seniors,
Reporting and Reviewing Officers, Internal Customers, Subordinates of the role holders
and other role set members of the role.

COMPETENCY – BROAD CATRGORIES

[31]
Competencies can broadly be classified into two categories
 Basic Competencies
 Professional Competencies. 
Basic competencies are inherent in all individuals.  Only their degree of existence differs. 
For example, problem solving is a competency that exists in every individual but in varying
degrees. 
Professional competencies are over and above the basic competencies, and are job related. 
For example, handling a sales call effectively is a competency that a sales personnel would
be required to have.
Hence, it can be simply said that,
 Competencies = Basic Competencies + Professional Competencies
Types of Basic Competencies
The basic competencies encompass the following:
1. Intellectual Competencies: Those which determine the intellectual ability of a person.
2. Motivational Competencies: Those which determine the level of motivation in an
individual.
3. Emotional Competencies: Those which determine an individual's emotional quotient.
4. Social Competencies: Those that determine the level of social ability in a person. It has
been proved by various scholars that all individuals have competencies. Only the
combination and degree of these competencies differ from individual to individual.  Hence,
organizations have to identify the critical basic competencies required for individual
employees to deliver their best in their organization.  The importance of mapping the
competencies proves critical for organizational success. These competencies have been
presented below in the form of a grid.

Motivational Intellectual Competencies:


Competencies: o Communication
o Continuous Learning o Creativity
o Perseverance o Analytical Ability
o Achievement Orientation o Planning and Organizing
o Time Management

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Social Competencies: Emotional
o Team Work Competencies:
o Inter-personal Skills o Initiative
o Responsibility o Optimism
o Customer Satisfaction o Self Confidence
o Leadership
o Managing Stress
o Managing Change

Types of Professional Competencies:


The professional competencies encompass the
 Knowledge
 Experience
 Expertise gained by an individual employee.

Types of Organizational Competencies


The previous section classified competency as basic competencies and professional
competencies. This section analyses the types of competencies in an organization.
Competencies in organizations tend to fall into following broad categories:

1) Generic Competencies
Competencies which are considered essential for all employees regardless of their function
or level. - Communication, initiative, listening etc. These are basic competencies required to
do the job, which do not differentiate between high and low performers These
competencies include broad success factors not tied to a specific work function or industry
(often focusing on leadership or emotional intelligence behaviors). They can be represented
as below, followed by a brief explanation of each of them:

 Human
 Communication: Competency of Communication is defined as the set of human
attributes required to communicate ideas, thoughts and feelings clearly and
correctly using oral or written means.
 Team Working & Interpersonal Effectiveness: Competency of Interpersonal
Effectiveness and Team working is defined as the set of human attributes required
to impact team or group working to achieve the team objectives.

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 Influencing Ability: Competency of Influencing ability is defined as the set of
human attributes required to Impact the outcome of an interaction.
 Achievement Orientation: Competency of Achievement orientation is defined as
the set of human attributes required to continuously seek and achieve higher
goals.
 Networking Ability: Competency of Networking Ability is defined as the set of
human attributes required to maintain contact and relationship with different
people from different fields

 Conceptual
 Creative Thinking: Competency of Creative thinking is defined as the set of
human attributes required to generate solutions.
 Strategic Thinking: Competency of Strategic thinking is defined as the set of
human attributes required to visualize near and distant future conditions and
develop appropriate organizational response.
 Tolerance to non-compliance, non-congruence, non-conformance: Competency
of Tolerance to non-compliance, non-congruence, non-conformance is defined as
the set of human attributes required to remain unfazed when encountered with
unfamiliar and unacceptable situations.

2) Managerial Competencies
Competencies which are considered essential for employees with managerial or
supervisory responsibility in any functional area including directors and senior posts. They
are as presented below:
 Customer Orientation: Competency of customer orientation is defined as the set
of human attributes required to understand and satisfy customer’s needs and
requirements.
 Organizing Skills: Competency of organizing is defined as the set of human
attributes required to establish, nurture and troubleshoot organizational
processes and relationships for effective delivery of objectives.
 Cross functional Perspective: Competency of Cross functional perspective is
defined as the set of human attributes required to understand one’s own job in
relation with other functions within the organization.
 Planning Skills: Competency of Planning is defined as the set of human attributes
required to understand inter-relationships and requirements of different activities
to be performed to achieve the desired objectives.
 Execution Skills: Competency of Job execution is defined as the set of human
attributes required to carry out the assigned activities to the satisfaction of the
customer cost effectively.

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Analytical Skills: Competency of Analytical skills is defined as the set of human
attributes required to understand and interpret the data and information.
 Decision Making: Competency of decision making is defined as the set of human
attributes required to decide the course of action under any situation.
 Delegation: Competency of delegation is defined as the set of human attributes
required to empower the subordinates for effective operations.
 Leadership: Competency of Leadership is defined as the set of human attributes
required to take responsibility for accomplishing the desired objectives.
 Developing and supporting subordinates for effectiveness: Competency of
Developing and supporting subordinates is defined as the set of human attributes
required to enable the subordinates to be effective in the assigned job and
contribute to the organization.
3) Threshold or Performance:
Performance competencies are those that differentiate between high and low performers.
These are specific competencies which are considered essential to perform any job in the
organization within a defined technical or functional area of work. They include:
 Business Awareness: Competency of Business Awareness is defined as the set of
human attributes required to take business decisions for achieving business
objectives.
 Business Skills: Competency of Business Skills is defined as the set of human
attributes required to effectively perform the functional business processes.
 Technical Skills: Competency of Technical Skills is defined as the set of human
attributes required to effectively perform the technical responsibilities of the job
position. The technical skills have to be primarily assessed through technical
interview or written test.

[35]
Meaning and concept of Competency Mapping
It is a process of identification of the competencies required to perform successfully a
given job or role or a set tasks at a given point of time. It consists of breaking a given role or
job into its constituent’s task or activities and identifying the competencies (Technical,
managerial, Behavioral, conceptual knowledge and Attitude and skills etc) needed to
perform the same successfully.

 Competency Map. A competency map is a list of an individual’s competencies that


represent the factors most critical to success in given jobs, departments,
organizations, or industries that are part of the individual’s current career plan.
 Competency Mapping. Competency mapping is a process an individual uses to
identify and describe competencies that are the most critical to success in a work
situation or work role.
 Competency profiling It is the process of identifying the knowledge, skills, abilities,
attitudes, and judgment required for effective performance in a particular
occupation or profession. Competency profiling is business/company specific.

[36]
COMPETENCY MODELING FRAMEWORK

Need for Competency Mapping

With global economy and the world becoming a global village, firms have become more
aware of the need for having competent employees and developing distinguished
competencies for every organization. This need arose due to the following reasons:

 Increased cost of manpower


 Need for ensuring that competent people are available for performing various
critical roles.
 Downsizing adds to the consequent need to get a lot of thing done with fewer
people and thus reduce manpower costs and pass on the advantage to the
customer.

[37]
 Recognition that technology, finances, customers and markets, systems and
processes can all be set right or managed effectively if we have the right kind of
human resources.
 The need for focus in performing roles-need for time management, nurturing of
competence, increased emphasis on performance management systems.
 And recognition of the strategic advantage given by employee competencies in
building the core competencies of the organization.

Several organizations have realized the importance of this in the last one decade and
hence the rush for competency mapping. In good organizations with competent HR
managers, competency mapping should already be in existence. Traditionally HR directors
and their top management have always paid attention to competencies and incorporated
them in their appraisal system. For example when L&T, LIC or NDDB, HLL, Bharat Petroleum,
etc. revised their performance appraisal systems, they focused on the assessment of
competencies.

The following figure summarizes the need for competency mapping

Competency mapping therefore is important and is an essential exercise. Every well


managed firm should have well defined roles and list of competencies required for
performing each role effectively. Such list should be used for recruitment, performance
management, promotions, placement and training needs identification.

[38]
USE OF COMPETENCY MAPPING

Competency mapping serves a number of purposes. It is done for the following functions:

 Gap Analysis
 Role Clarity
 Selection, Potential Identification, Growth Plans.
 Succession Planning.
 Restructuring
 Inventory of competencies for future planning

The various Areas of Implementation is discussed in details below:

 Competency based Recruitment


Competencies can be used to construct a template for use in recruitment and selection.
Information on the level of a competency required for effective performance would be used
to determine the competency levels that new hires should possess. Depending upon the
accepted definition, competency data may take the form of behaviors, skills, abilities and
other characteristics.

Competency based selection can be a way to gain competitive advantage. Some of these
advantages are listed below:

 A firm that knows how to assess competencies can effectively hire the best at a
reasonable price, for example hire under priced but highly entrepreneurial MBA’s
from lesser-known business schools.

 Competency based Performance Appraisal

Performance has two dimensions

 Achieving business results


 Developing individual competencies
These days performance appraisal is seen by managers and employees as a bureaucratic
“paperwork” exercises that they do not take seriously because it has little impact on
employee development. Performance appraisals do not address the employees’ questions
about skill development or career advancement. Competency based performance
management would:

 Focus on “HOW” of performance and not on “WHAT” of performance i.e. not on


results but how the results are achieved
 Link to development of the individual and not just rewards

[39]
Competency based PMS shift the emphasis of appraisal from organization results to
employee behaviors and competencies demonstrated and hence help identify development
gaps.

 Competency based Training and Development


It involves identifying gaps and helping employees develop in the right direction. Knowing
the competency profile for a position allows individuals to compare their own competencies
to those required by the position or the career path. Training or development plans could
focus on those competencies needing improvement.

 Competency based training


1. Competency based appraisal process leading to effective identification of
training needs.
2. Opportunity to identify/ develop specific training programmes - Focused
training investment.
3. Focused Training enabling improvement in specific technical and managerial
competencies.
 Competency based development
1. Contribute to the understanding of what development really mean, giving the
individual the tools to take responsibility for their own development.
2. Give the line managers a tool to empower them to develop people..

 Competency based succession planning


1. Assessing employees’ readiness or potential to take on new challenges.
2. Determining the person job fit can be based on matching the competency
profile
3. Of an individual to the set of competencies required for excellence within a
profession. Individuals would know the competencies required for a
particular position and therefore would have an opportunity to decide if they
have the potential to pursue that position.

 Competency based Rewards and Recognition


Competency based pay is compensation for individual characteristics for skills and
competencies over and above the pay a job or organizational role itself commands. One way
of improving employee performance is by recognizing and rewarding effort. Competency
pay is the best way to do so. Rewarding employees for their ability to make the best use of
their skills and competencies in accordance with the organization’s needs was the logic
behind this once popular HR tool.

[40]
Various elements are considered for arriving at compensation increase. Enhancement in
competencies has to be one of them. There is a need for competency based compensation
system

 To attract more competent than average employees


 To reward for results and competencies developed
 To motivate employees to maintain and enhance their skills and competencies
regularly
By rewarding employees who develop relevant competencies the organization can benefit
by improving its own capability to face the future.

Advantages of Competency Mapping

There are several advantages of competency mapping over traditional job analysis. The
following section analyzes each of them in relation to the company, the managers and the individual

[41]
employees. The section also gives a comparative view of the competency based approach and the
job analysis approach.

For the company

The advantages of competency mapping for the companies or organizations are as follows:

 Establishes expectations for performance excellence


 Improved job satisfaction and better employee retention
 Increase in the effectiveness of training and professional development programs
because of their link to success criteria.
 Provides a common understanding of scope and requirements of a specific role
 Provides a common, organization wide standard for career levels that enable
employees to move across business boundaries
 Help companies “raise the bar” of performance expectations
 Help teams and individuals align their behaviors with key organizational strategies

For Managers

The competency mapping provides following advantages to the managers:

 Identify performance criteria to improve the accuracy and ease of the selection process
 Provide more objective performance standards
 Easier communication of performance expectations
 Provide a clear foundation for dialogue to occur between the managers and employees and
performance, development and career-oriented issues

For employees

The employees in an organization get the following advantages by competency mapping:

 Identify the behavioral standards of performance excellence


 Provide a more specific and objective assessment of their strengths and the tools required to
enhance their skills
 Enhances clarity on career related issues
 Helps each understand how to achieve expectations

Disadvantages of Competency Mapping

In spite of the several advantages offered by competency mapping, there are few drawbacks to
the approach. Some of these are discussed below:

[42]
1. A problem with competency mapping, especially when conducted by an organization is that
there may be no room for an individual to work in a field that would best make use of his or her
competencies.
2. If the company does not respond to competency mapping by reorganizing its employees, then it
can be of little short-term benefit and may actually result in greater unhappiness on the part of
individual employees.
3. If too much emphasis is placed on 'inputs' at the expense of 'outputs', there is a risk that it will
favor employees who are good in theory but not in practice and will fail to achieve the results
that make a business successful.

They can become out of date very quickly due to the fast pace of change in organizations and it
can therefore be expensive and time consuming to keep them up-to-date

AREA OF IMPLEMENTATION

Training & Development

Recruitment & Selection


Succession Planning

Competency Model Career Planning

Recognition
Performance Management

Replacement Planning

COMPETENCY MODEL

The roots of competency modeling date as far back as the early 1900’s but these
models have become widely popular these days. A competency model is an organizing

[43]
framework that lists the competencies required for effective performance in a specific job,
job family (e.g., group of related jobs), organization, function, or process. Individual
competencies are organized into competency models to enable people in an organization or
profession to understand, discuss, and apply the competencies to workforce performance.

A competency model is a valid, observable, and measurable list of the knowledge,


skills, and attributes demonstrated through behavior that results in outstanding
performance in a particular work context.

Typically a Competency Model includes:

o Competency titles
o Definitions of those titles
o Key Behavior indicators
The roots of competency modeling date as far back as the early 1900’s but these
models have become widely popular these days. A competency model is an organizing
framework that lists the competencies required for effective performance in a specific job,
job family (e.g., group of related jobs), organization, function, or process. Individual
competencies are organized into competency models to enable people in an organization or
profession to understand, discuss, and apply the competencies to workforce performance.

Competency Mapping
Model

[44]
The competencies in a model may be organized in a variety of formats. No one
approach is inherently best; organizational needs will determine the optimal framework. A
common approach is to identify several competencies that are essential for all employees
and then identify several additional categories of competencies that apply only to specific
subgroups. Some competency models are organized according to the type of competency,
such as leadership, personal effectiveness, or technical capacity. Other models may employ
a framework based on job level, with a basic set of competencies for a given job family and
additional competencies added cumulatively for each higher job level within the job family

Skills + Knowledge + Ability


=
Competency
=
Observable Behavior

[45]
=
Effective Outcomes [Performance on Job]
=
Strategic Success Modeling – A Competency Model

Competency model is a set of competencies that include the key behaviors required
for excellent performance in a particular role. Competency model development is driven by
the organization’s strategy (see figure below).

The following are the steps involved in designing and developing the competency
mapping model:

 Strategize – assess business needs, evaluate contextual drivers, engage stakeholders


and set goals.
 Initiate – identify methodologies, develop project plans, review existing data,
benchmark competencies, and collect competency data.
 Model – analyze and synthesize data, identify competencies and develop models,
and validate models.
 Pilot – develop implementation and evaluation plans, develop and initiate
competency applications, and continuously communicate activities.
 Link – link to all human resources system components, and phase in implementation
of other competency' based applications.
 Evaluate – establish and evaluate measures, and continuously improve the system.

Stage 1 Stage 2 Stage 3

Data Gathering & Data Analysis Validation

Review list of probable


Study Identified Jobs Competencies
[46]
Identify major Construct Competency
Identify Probable Assign proficiency
categories of skills Definitions
competencies levels
Content Validation
session

Reinforce proficiency
of critical competencies

Refine competency
definitions, if necessary
Stages in Developing an Organization Wide Competency Model

Competency Model Framework

Vision & Mission


Core capabilities
Stakeholder requirements
Market realities

[47]

Business Strategy
Competency Requirements

Success Skill
Factors Knowledge
Behaviors Attributes

COMPETENCY MODEL

Benefits of Using Competency Model

There are some useful benefits of using competency model for the company, managers, and
employees as well.

For the company, these benefits are:


 reinforce corporate strategy, culture, and vision.

[48]
 establish expectations for performance excellence, resulting in a systematic
approach to professional development, improved job satisfaction, and better
employee retention.
 increase the effectiveness of training and professional development programs by
linking them to the success criteria (i.e., behavioral standards of excellence).
 provide a common framework and language for discussing how to implement and
communicate key strategies.
 provide a common understanding of the scope and requirements of a specific role.
 provide common, organization-wide standards for career levels that enable
employees to move across business boundaries.

For Managers, the benefits are:


 identify performance criteria to improve the accuracy and ease of the hiring and
selection process.
 provide more objective performance standards.
 clarify standards of excellence for easier communication of performance
expectations to direct reports.
 provide a clear foundation for dialogue to occur between the manager and
employee about performance, development, and career-related issues.

For Employees, the benefits are:


 identify the success criteria (i.e., behavioral standards of performance excellence)
required to be successful in their role.
 support a more specific and objective assessment of their strengths and specify
targeted areas for professional development.
 provide development tools and methods for enhancing their skills.
 provide the basis for a more objective dialogue with their manager or team about
performance, development, and career related issues.

STEPS IN COMPETENCY MAPPING:

The Steps involved in competency mapping with an end result of job evaluation include the
following:

Step 1: Identify departments for competency profiling


Step 2: Identifying hierarchy within the organization and selection of levels

[49]
Step 3: Obtain the job descriptions
Step 4: Preparation of semi structured interview
Step 5: Recording of interview details
Step 6: Preparation of a list of Skills
Step 7: Indicate proficiency levels
Step 8: Validate identified competencies and proficiency levels with immediate superiors
and other heads of the concerned department
Step9: Preparation of competency dictionary
Step 10: Mapping of competencies

Objective Of The Study

[50]
 Defining the factors for success in jobs (i.e., work) and work roles within the
organization
 Assessing the current performance and future development needs of persons
holding jobs and roles
 Understand the concept of competency mapping in today’s business environment
and its relevance in Ambuja Cements Ltd.
 To develop an understanding of the key competencies sought by Ambuja Cements
Ltd in its employees today.
 To study the competencies in each hierarchical level of the organization.
 To find out how much the employees are aware about the Holcim Competency Circle
and their allignment towards it.
 Comparing the competencies sought by the organization and what are the actual
competencies in different positions.
 Find out what the employees think of their peers, juniors and seniors.
 To find out the deviations from the actual Holcim Competency Circle so as to have a
better understanding as to where the organizations competency stands.

Research Methodology

 Research Designs - The type of research used in this study is structured by nature.
 Type of Survey - The type of survey used is sampling survey.

[51]
 Type of Sampling - Probability sampling has been used in this survey with the help of
random sampling method.
 Sample Unit - Sample unit is the employee of Ambuja Cements.
 Sample Universe - The universe consists of the employees working in Ambuja Cements
in Kolkata region only.
 Sample Size - The sample size used is 50 employees.
 Tools for Presentation - The tables and pie charts are used for presentation.
 Tools for Analysis - The percentage method is used for analysis method.

Types of Data collection

 Primary Data - The primary data was collected using structured Questionnaire.
 Secondary Data - The secondary data was collected from various books, already
worked projects, records, available with the company and websites.

Data Analysis
Junior Level
For Themselves – Kolkata

[52]
Competency
Adapts and Learns 3.375
Builds Trust and Confidence 4.375
Fosters Teamwork and Cooperation 1.875
Cultivates Relationships and Networks 2.6
Develops Human Capital 0.875
Engages and Inspires 2.4
Communication 3.525
Leads for Performance 2.5
Drives Change and Innovation 1.25
Customer Focus 1.975
Manages Execution 2.35
Strategic Vision 2.075
Analysis and Problem Solving 5.05
Business and Financial Acumen 2.425

7% 9% Adapts and Learns


Builds Trust and Confidence
Fosters Teamwork and
14% Cooperation
12%
Cultivates Relationships and
Networks
Develops Human Capital
Engages and Inspires
6% Communication
5%
Leads for Performance
Drives Change and Innovation
6% Customer
7% Focus
Manages Execution
Strategic
2% Vision
5%
Analysis and Problem Solving
3% 7% Business and Financial Acumen

7%
10%

[53]
For Immediate Senior - Kolkata

Competency
Adapts and Learns 2.375
Builds Trust and Confidence 3.425
Fosters Teamwork and Cooperation 3.95
Cultivates Relationships and Networks 1.85
Develops Human Capital 1
Engages and Inspires 1.8
Communication 3.275
Leads for Performance 2.575
Drives Change and Innovation 1.825
Customer Focus 1.35
Manages Execution 1.45
Strategic Vision 2.1
Analysis and Problem Solving 4.525
Business and Financial Acumen 3.975

7%
11% Adapts and Learns
Builds Trust and Confidence
10%
Fosters Teamwork and
Cooperation

13% Cultivates Relationships and


Networks
Develops Human Capital
11%
Engages and Inspires
Communication
6% Leads for Performance
Drives5%
Change and Innovation
4% Customer Focus
3%
Manages Execution
4%
5% Strategic Vision
5% Analysis and Problem Solving
7% 9% Business and Financial Acumen

[54]
For Themselves - Plant

Competency
Adapts and Learns 3.2
Builds Trust and Confidence 1.8
Fosters Teamwork and Cooperation 2.6
Cultivates Relationships and Networks 1.4
Develops Human Capital 1.2
Engages and Inspires 1.4
Communication 4.2
Leads for Performance 3
Drives Change and Innovation 1.4
Customer Focus 3.2
Manages Execution 2.6
Strategic Vision 4.6
Analysis and Problem Solving 1.4
Business and Financial Acumen 1.6

5% Adapts and Learns


10%
4%
Builds Trust and Confidence
5%Fosters Teamwork and
Cooperation
14%
Cultivates Relationships and
Networks
8%
Develops Human Capital

Engages and Inspires


4%
Communication
8%
Leads for Performance
4%
Drives Change and Innovation

Customer
4% Focus
10% Manages Execution

Strategic Vision
13% Analysis and Problem Solving
4%
9% Business and Financial Acumen

[55]
For Immediate Senior - Plant

Competency
Adapts and Learns 0.2
Builds Trust and Confidence 1.6
Fosters Teamwork and Cooperation 0
Cultivates Relationships and Networks 0
Develops Human Capital 3.2
Engages and Inspires 1.2
Communication 1.4
Leads for Performance 1
Drives Change and Innovation 0
Customer Focus 1.4
Manages Execution 1.8
Strategic Vision 3.2
Analysis and Problem Solving 1.2
Business and Financial Acumen 0.8

1%
5% Adapts and Learns
9%
7% Builds Trust and Confidence
Fosters Teamwork and
Cooperation
Cultivates Relationships and
Networks
Develops Human Capital
19%
19% Engages and Inspires
Communication
Leads for Performance
Drives Change and Innovation
Customer Focus
Manages Execution
7%
Strategic Vision
11%
Analysis and Problem Solving
8% Business and Financial Acumen

8%
6%

[56]
Branch Head
For immediate junior

Competency
Adapts and Learns 2.67
Builds Trust and Confidence 4
Fosters Teamwork and Cooperation 4.67
Cultivates Relationships and Networks 0
Develops Human Capital 1.33
Engages and Inspires 2
Communication 1.67
Leads for Performance 4.33
Drives Change and Innovation 1.67
Customer Focus 2
Manages Execution 2.33
Strategic Vision 0
Analysis and Problem Solving 1.33
Business and Financial Acumen 0

5% Adapts and Learns


10%
Builds Trust and Confidence
8%
Fosters Teamwork and
Cooperation

7% Cultivates Relationships and


14%
Networks
Develops Human Capital
Engages and Inspires
6%
Communication
Leads for Performance
Drives Change and Innovation
Customer
17% Focus
15% Manages Execution
Strategic Vision
Analysis and Problem Solving
5%
6% Business and Financial Acumen
7%

[57]
For themselves

Competency
Adapts and Learns 0
Builds Trust and Confidence 0.33
Fosters Teamwork and Cooperation 4.33
Cultivates Relationships and Networks 0.33
Develops Human Capital 2.33
Engages and Inspires 1.67
Communication 3.33
Leads for Performance 4
Drives Change and Innovation 0
Customer Focus 2.33
Manages Execution 3.33
Strategic Vision 3
Analysis and Problem Solving 3
Business and Financial Acumen 0

1%
Adapts and Learns
11%
15% Builds Trust and Confidence

Fosters Teamwork and


Cooperation

11% Cultivates1%
Relationships and
Networks

Develops Human Capital

Engages8%
and Inspires

Communication

12% Leads for Performance


6%
Drives Change and Innovation

Customer Focus

Manages Execution

8% 12%Strategic Vision
Analysis and Problem Solving

Business and Financial Acumen


14%

[58]
For Immediate Senior

Competency
Adapts and Learns 0
Builds Trust and Confidence 0.67
Fosters Teamwork and Cooperation 0
Cultivates Relationships and Networks 2.33
Develops Human Capital 1.67
Engages and Inspires 0
Communication 0
Leads for Performance 2
Drives Change and Innovation 4.33
Customer Focus 3.67
Manages Execution 2.67
Strategic Vision 6.33
Analysis and Problem Solving 2
Business and Financial Acumen 2.3

2% Adapts and Learns


8%
8%
Builds Trust and Confidence
7% Fosters Teamwork and
Cooperation
6%
Cultivates Relationships and
Networks

Develops7%
Human Capital

Engages and Inspires

Communication
23% Leads for Performance

Drives Change and Innovation


15% Focus
Customer

Manages Execution

Strategic Vision

Analysis and Problem Solving


10%
13% Business and Financial Acumen

Managerial Level
[59]
For immediate junior

Competency
Adapts and Learns 4
Builds Trust and Confidence 0
Fosters Teamwork and Cooperation 3
Cultivates Relationships and Networks 0
Develops Human Capital 2
Engages and Inspires 0
Communication 6
Leads for Performance 0
Drives Change and Innovation 1
Customer Focus 5
Manages Execution 0
Strategic Vision 0
Analysis and Problem Solving 7
Business and Financial Acumen 0

Adapts and Learns


14%
Builds Trust and Confidence

25% Fosters Teamwork and


Cooperation

Cultivates Relationships and


Networks
11%
Develops Human Capital

Engages and Inspires

Communication

Leads for Performance


7%
Drives Change and Innovation

Customer Focus
18%
Manages Execution

Strategic Vision
21% Analysis and Problem Solving
4%
Business and Financial Acumen

For themselves

Competency

[60]
Adapts and Learns 1
Builds Trust and Confidence 0
Fosters Teamwork and Cooperation 3
Cultivates Relationships and Networks 0
Develops Human Capital 4
Engages and Inspires 0
Communication 7
Leads for Performance 0
Drives Change and Innovation 2
Customer Focus 6
Manages Execution 0
Strategic Vision 0
Analysis and Problem Solving 5
Business and Financial Acumen 0

4% Adapts and Learns

Builds Trust and Confidence


18% 11%
Fosters Teamwork and
Cooperation

Cultivates Relationships and


Networks

Develops Human Capital


14%
Engages and Inspires

Communication

Leads for Performance


21%
Drives Change and Innovation

Customer Focus
Manages Execution

Strategic Vision

25% Analysis and Problem Solving


7%
Business and Financial Acumen

For Immediate Senior

Competency

[61]
Adapts and Learns 1
Builds Trust and Confidence 0
Fosters Teamwork and Cooperation 4
Cultivates Relationships and Networks 0
Develops Human Capital 5
Engages and Inspires 0
Communication 6
Leads for Performance 0
Drives Change and Innovation 3
Customer Focus 7
Manages Execution 0
Strategic Vision 0
Analysis and Problem Solving 2
Business and Financial Acumen 0

7% 4% Adapts and Learns

Builds Trust and Confidence


14%
Fosters Teamwork and
Cooperation

Cultivates Relationships and


Networks
25% Develops Human Capital

Engages and Inspires

Communication
18%
Leads for Performance

Drives Change and Innovation

Customer Focus

Manages Execution
11% Strategic Vision

Analysis and Problem Solving

21% Business and Financial Acumen

Senior Managerial Level

[62]
For immediate junior

Competency
Adapts and Learns 2
Builds Trust and Confidence 3
Fosters Teamwork and Cooperation 6
Cultivates Relationships and Networks 0
Develops Human Capital 4
Engages and Inspires 0
Communication 5
Leads for Performance 1
Drives Change and Innovation 0
Customer Focus 7
Manages Execution 0
Strategic Vision 0
Analysis and Problem Solving 0
Business and Financial Acumen 0

7% Adapts and Learns

Builds Trust and Confidence

25% Fosters
11% Teamwork and
Cooperation

Cultivates Relationships and


Networks

Develops Human Capital

Engages and Inspires

Communication
4% Leads for Performance
21%
Drives Change and Innovation

Customer Focus

Manages Execution
18% Strategic Vision

Analysis and Problem Solving

14% Business and Financial Acumen

For themselves

[63]
Competency
Adapts and Learns 0
Builds Trust and Confidence 1
Fosters Teamwork and Cooperation 0
Cultivates Relationships and Networks 2
Develops Human Capital 0
Engages and Inspires 0
Communication 3
Leads for Performance 4
Drives Change and Innovation 0
Customer Focus 7
Manages Execution 6
Strategic Vision 5
Analysis and Problem Solving 0
Business and Financial Acumen 0

4% Adapts and Learns


7% Builds Trust and Confidence
18%
Fosters Teamwork and
Cooperation
Cultivates
11% Relationships and
Networks
Develops Human Capital
Engages and Inspires
Communication
Leads for Performance
21% 14% and Innovation
Drives Change
Customer Focus
Manages Execution
Strategic Vision
Analysis and Problem Solving
Business and Financial Acumen
25%

Junior Level for Immediate Senior – Plant

[64]
5 4 3 2 1 Sub Total Total
1 3 9
2 2 8 26
3 1 1 1 9
4 2 1 11
12
5 1 1
6 1 2 10
7 1 1 1 12
31
8 1 1 9
9 1 1 1 9
17
10 2 1 8
11 1 2 8
14
12 1 1 1 6
13 1 1 1 9
20
14 1 2 11
15 2 1 11
23
16 3 12
17 1 1 1 10
18 1 2 10 30
19 1 1 1 10
20 2 1 7 7
21 2 1 11
22 1 2 10 29
23 1 1 1 8
24 2 6
25 3 12 30
26 1 1 1 12
27 2 1 8
28 2 1 8 26
29 1 2 10
30 3 12
31 2 1 6 27
32 1 1 9
33 1 2 10
34 3 12 26
35 1 4

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Junior Level for Immediate Senior – Kolkata


[65]
5 4 3 2 1 Sub Total Total
1 1 3 5 24
2 1 7 1 27 80
3 4 3 2 29
4 1 1 3 4 26
55
5 1 3 3 1 1 29
6 3 2 4 26
7 1 1 3 3 1 25 77
8 2 5 1 1 26
9 3 4 1 1 27
52
10 1 1 2 5 25
11 1 7 1 27
47
12 1 3 3 1 20
13 2 4 3 26
53
14 4 2 2 1 27
15 1 5 2 1 33
60
16 2 2 2 1 1 27
17 2 2 2 3 30
18 1 4 2 2 29 84
19 1 2 2 2 2 25
20 4 3 2 29 29
21 2 1 4 1 1 29
22 3 4 2 28 81
23 1 5 2 1 24
24 1 7 1 27
25 1 2 4 2 29 80
26 2 3 3 1 24
27 3 4 2 28
28 1 2 6 31 86
29 3 3 3 27
30 4 4 1 29
31 2 7 31 86
32 2 5 1 1 26
33 1 3 3 1 1 29
34 4 4 1 30 92
35 1 4 4 33

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Branch Head Level for Immediate Junior


[66]
5 4 3 2 1 Sub Total Total
1 2 1 11
2 2 1 11 33
3 2 1 11
4 3 12
23
5 2 1 11
6 1 1 1 12
7 1 2 10 35
8 1 2 13
9 1 1 1 11
19
10 2 1 8
11 1 2 10
19
12 1 1 1 9
13 1 2 10
20
14 1 2 10
15 1 2 10
22
16 1 1 1 12
17 1 1 1 9
18 1 1 1 9 26
19 1 1 8
20 2 1 11 11
21 3 9
22 2 1 8 26
23 1 1 9
24 3 9
25 1 1 1 11 31
26 2 1 11
27 3 9
28 1 2 7 26
29 2 1 10
30 1 1 1 12
31 1 2 11 34
32 2 1 11
33 2 4
34 1 1 5 14
35 1 1 5

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Branch Head Level for Immediate Senior


[67]
5 4 3 2 1 Sub Total Total
1 2 10
2 2 10 28
3 2 8
4 1 1 9
19
5 2 10
6 2 10
7 2 1 13 31
8 2 8
9 1 1 9
17
10 2 8
11 2 8
15
12 1 1 7
13 1 1 9
16
14 1 1 7
15 1 1 9
18
16 1 1 9
17 2 1 11
18 1 1 8 28
19 1 1 9
20 1 1 8 8
21 1 1 9
22 2 8 24
23 1 1 7
24 1 1 1 12
25 1 1 9 29
26 1 1 8
27 1 1 9
28 1 1 9 26
29 1 1 8
30 1 1 9
31 1 1 9 27
32 1 1 9
33 1 1 7
34 1 1 9 25
35 1 1 9

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Managerial Level for Immediate Junior


[68]
5 4 3 2 1 Sub Total Total
1 1 1 5
2 2 6 16
3 1 1 5
4 2 4
9
5 1 1 5
6 1 1 5
7 1 1 5 13
8 1 1 3
9 1 1 7
16
10 1 1 9
11 1 1
5
12 1 1 4
13 1 1 7
11
14 2 4
15 1 1 3
7
16 1 1 4
17 1 1 5
18 1 1 3 12
19 1 1 4
20 1 1 5 5
21 1 1 5
22 1 1 6 17
23 1 1 6
24 1 1 3
25 1 1 3 9
26 1 1 3
27 1 1 4
28 1 1 6 14
29 1 1 4
30 2 2
31 1 1 4 10
32 1 1 4
33 1 1 7
34 1 1 5 15
35 1 1 3

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Managerial Level for Immediate Senior


[69]
5 4 3 2 1 Sub Total Total
1 1 1 8
2 1 1 9 23
3 2 8
4 1 1 8
16
5 2 8
6 1 1 7
7 1 1 5 18
8 1 1 6
9 2 8
15
10 1 1 7
11 1 4
9
12 1 1 5
13 1 1 4
12
14 2 8
15 1 1 6
14
16 2 8
17 1 1 6
18 1 1 7 19
19 1 1 6
20 1 1 9 9
21 1 1 5
22 1 1 6 17
23 1 1 6
24 1 1 6
25 1 1 9 19
26 2 4
27 1 1 4
28 1 1 5 14
29 1 1 5
30 1 1 8
31 2 8 22
32 1 1 1 6
33 1 4
34 1 1 1 8 16
35 1 4

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Senior Managerial Level for Immediate Junior


[70]
5 4 3 2 1 Sub Total Total
1 1 4
2 1 4 11
3 1 3
4 1 5
9
5 1 4
6 1 4
7 1 3 11
8 1 4
9 1 4
7
10 1 3
11 1 4
8
12 1 4
13 1 3
7
14 1 4
15 1 4
7
16 1 3
17 1 3
18 1 3 9
19 1 3
20 1 3 3
21 1 4
22 1 4 12
23 1 4
24 1 4
25 1 3 10
26 1 3
27 1 3
28 1 3 9
29 1 3
30 1 3
31 1 3 9
32 1 3
33 1 4
34 1 4 11
35 1 3

Note: Sub Total = (2nd Column x 5) + (3 rd Column x 4) + (4 th Column x 3) + (5 th Column x 2) +


(6th Column x 1).

Junior Level-for immediate senior (Plant)

[71]
Serial No. Should be Actual Deviation
s
I. Act as a Role Model
a) Adapts And Learns 1 7 Major
b) Builds trust and confidence 2 2 Zero
II. Energize people
a) Fosters teamwork and cooperation 3 11 Major
b) Cultivates relationships and networks 4 4 Zero
c) Develops human capital 5 3 Minor
d) Engages and inspires 6 5 Minor
e) Communication 7 6 Minor
III. Deliver Results
a) Leads for performance 8 10 Minor
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 9 Minor
d) Manages execution 11 10 Minor
IV. Think the business
a) Strategic vision 12 7 Minor
b) Analysis and problem solving 13 8 Minor
c) Business and financial acumen 14 7 Major
Junior
Level-for immediate senior (Kolkata)

Serial No. Should be Actual Deviation


s
I. Act as a Role Model
a) Adapts And Learns 1 8 Major
b) Builds trust and confidence 2 5 Major
II. Energize people
a) Fosters teamwork and cooperation 3 7 Major
b) Cultivates relationships and networks 4 3 Minor
c) Develops human capital 5 2 Major
d) Engages and inspires 6 4 Minor
e) Communication 7 6 Minor
III. Deliver Results
a) Leads for performance 8 10 Minor
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 9 Minor
d) Manages execution 11 8 Minor
IV. Think the business
a) Strategic vision 12 11 Minor
b) Analysis and problem solving 13 11 Minor
c) Business and financial acumen 14 12 Minor

[72]
Branch Head Level-for immediate junior

Serial No. Should be Actual Deviation


s
I. Act as a Role Model
a. Adapts And Learns 1 9 Major
b. Builds trust and confidence 2 6 Major
II. Energize people
a) Fosters teamwork and cooperation 3 11 Major
b) Cultivates relationships and networks 4 3 Minor
c) Develops human capital 5 3 Minor
d) Engages and inspires 6 4 Minor
e) Communication 7 5 Minor
III. Deliver Results
a) Leads for performance 8 7 Minor
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 7 Minor
d) Manages execution 11 8 Minor
IV. Think the business
a) Strategic vision 12 7 Minor
b) Analysis and problem solving 13 10 Minor
c) Business and financial acumen 14 2 Major

Branch Head Level-for immediate senior

Serial No. Should be Actual Deviation


s
I. Act as a Role Model
a) Adapts And Learns 1 11 Major
b) Builds trust and confidence 2 6 Major
II. Energize people
a) Fosters teamwork and cooperation 3 13 Major
b) Cultivates relationships and networks 4 4 Zero
c) Develops human capital 5 2 Major
d) Engages and inspires 6 3 Major
e) Communication 7 5 Minor
III. Deliver Results
a) Leads for performance 8 11 Minor
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 7 Minor
d) Manages execution 11 12 Minor
IV. Think the business
a) Strategic vision 12 9 Minor
b) Analysis and problem solving 13 10 Minor
c) Business and financial acumen 14 8 Minor

[73]
Managerial Level-for immediate junior

Serial No. Should be Actual Deviation


s
I. Act as a Role Model
a) Adapts And Learns 1 10 Major
b) Builds trust and confidence 2 3 Minor
II. Energize people
a) Fosters teamwork and cooperation 3 7 Major
b) Cultivates relationships and networks 4 10 Major
c) Develops human capital 5 1 Major
d) Engages and inspires 6 5 Minor
e) Communication 7 2 Major
III. Deliver Results
a) Leads for performance 8 6 Minor
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 11 Minor
d) Manages execution 11 3 Major
IV. Think the business
a) Strategic vision 12 8 Minor
b) Analysis and problem solving 13 4 Major
c) Business and financial acumen 14 9 Minor

Managerial Level-for immediate senior

Serial No. Should be Actual Deviation


s
I. Act as a Role Model
a) Adapts And Learns 1 10 Major
b) Builds trust and confidence 2 5 Major
II. Energize people
a) Fosters teamwork and cooperation 3 7 Major
b) Cultivates relationships and networks 4 4 Zero
c) Develops human capital 5 1 Major
d) Engages and inspires 6 2 Major
e) Communication 7 3 Major
III. Deliver Results
a) Leads for performance 8 8 Zero
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 6 Minor
d) Manages execution 11 8 Minor
IV. Think the business
a) Strategic vision 12 3 Major
b) Analysis and problem solving 13 9 Minor
c) Business and financial acumen 14 5 Major

[74]
Senior Managerial Level for immediate junior

Serial No. Should be Actual Deviation


s
I. Act as a Role Model
a) Adapts And Learns 1 6 Major
b) Builds trust and confidence 2 4 Major
II. Energize people
a) Fosters teamwork and cooperation 3 6 Major
b) Cultivates relationships and networks 4 2 Major
c) Develops human capital 5 3 Minor
d) Engages and inspires 6 2 Major
e) Communication 7 2 Major
III. Deliver Results
a) Leads for performance 8 4 Major
b) Drives change and innovation 9 1 Major
c) Customer Focus 10 7 Minor
d) Manages execution 11 5 Major
IV. Think the business
a) Strategic vision 12 4 Major
b) Analysis and problem solving 13 4 Major
c) Business and financial acumen 14 6 Major

Recommendation

[75]
1. Making the existing employees aware of the competency model being followed by the
organization so that they can easily adapt to it.

2. Giving the new employees training about the model while induction so that they are
well versed with the model.

3. HRD function to ensure competencies in each role.

4. Chose measure of performance and collect data on current performance.

5. Use appropriate source of data collection based on desired dimensions of competency.

6. To adopt competency HRM, which integrate HR through competencies

Limitation Of The Study

[76]
1) Some employees are afraid of being disclosed to the management.
2) Some employee denied disclosing some important information.
3) The subject requires a thorough insight and study about the subject which cannot be
completed in only 14 weeks.
4) The accuracy and the authenticity of the data could not verified from time to time
thereby, all the statistical data may not always be accurate and correct.
5) The survey was limited to the employees of Kolkata office and Sankrail plant unit only.
6) The sample size is restricted to 50 employees only.
7) During the survey, the answers given by the individuals might vary from their original
answers.
8) The study confines only to the employees of Ambuja Cements, Kolkata region, hence the
finding cannot be generalized for all the employees working in other Ambuja Cements
offices and plants all over the country.

Conclusion
Domestic demand plays a major role in the fast growth of cement industry in India.
In fact the domestic demand of cement has surpassed the economic growth rate of India.
The cement consumption is expected to rise more than 22% by 2009-10 from 2007-08. In
cement consumption, the state of Maharashtra leads the table with 12.18% consumption,
followed by Uttar Pradesh. In terms of cement production, Andhra Pradesh leads the list
with 14.72% of production, while Rajasthan remains at second position.
[77]
The production of cement in India grew at a rate of 9.1% during 2006-07 against the
total production of 147.8 MT in the previous fiscal year. During April to October 2008-09,
the production of cement in India was 101.04 MT comparing to 95.05 MT during the same
period in the previous year. During October 2009, the total cement production in India was
12.37 MT compared to a production of 11.61 MT in the same month in the previous year.
The cement companies are also increasing their productions due to the high market
demand. The cement companies have seen a net profit growth rate of 85%. With this huge
success, the cement industry in India has contributed almost 8% to India's economic
development.

Cement industry in India is currently going through a technological change as a lot of


up gradation and assimilation is taking place. Currently, almost 93% of the total capacity is
based entirely on the modern dry process, which is considered as more environment-
friendly. Only the rest 7% uses old wet and semi-dry process technology. There is also a
huge scope of waste heat recovery in the cement plants, which lead to reduction in the
emission level and hence improves the environment.

Cement industry in India has successfully maintained almost total capacity utilization
levels, which resulted in maintaining a 10% growth rate. In 2006-07, the total dispatch was
155 MT, which rose up to 170 MT in 2007-08. The month of October 2009 saw a cement
dispatchof12.22 MT, which was almost 9% higher than the total cement dispatch of 11.21
MT in the same month in the previous year.

  2008-09 (Apr-Oct) (in MT) 2007-08 (Apr-Oct) in MT

Production 101.04 95.05

Dispatches (Excluding Export) 100.24 94.33

Export 1.46 2.16

Capacity Utilization (%) 85 93

Competency mapping is one of the most accurate means in identifying the job and
behavioral competencies of an individual in an organization .Competency mapping should
not be seen as just another means to apportion and dispense rewards. All the stakeholders
must see in the exercise an opportunity for long-term growth. The key is to look at
competency mapping as going beyond mere processes. And to see in it an exercise that has
a significant and lasting value to individuals as well as to the organization.

The usefulness of competency mapping itself must be considered unproven, rather


than disproven, owing to the inappropriate shape of the data that was available to test it. It

[78]
would not be hard to develop assessment tasks that are more appropriate to the technique,
and to do so would give the opportunity of settling the question.

The study has revealed many unknown facets of competency mapping. It is also
found that the awareness level is relatively low. Through this study the researcher has
gained an insight into the ACL’s competency mapping procedures. The knowledge and
experiences gathered would immensely help me in both my academic and future career.
As a conclusion we can say that, it is through the competencies of its employees
executives, managers, and individual contributors -- that an organization executes its
strategy and achieves results that are crucial to its success.

Bibliography

1. Essentials Of Human Resources Management And Industrial Relations (Text,


Cases and Games)

[79]
-By P.Subba Rao
2. Human Resource & Personnel Management
-By K.Ashwathappa
3. Human Resource Management
-By VSP Rao
4. Different web sites
 www.humanresource.com
 www.citehr.com
 www.scribd.com
 www.hrworld.com
5. Various other Projects

Annexure
( For Kolkata Office )

QUESTIONNAIRE

(Please return the completed questionnaire on or before 30th July 2010)

[80]
Note: We hereby declare that this survey, in partial fulfilment of the requirement for the
award of degree of Masters in Business Administration, is being carried out by us and is
our original and true work. This is for academic purpose only and is being conducted with
full permission from the HRD of Ambuja Cements.

Place: Kolkata ( Debolina Bakshi & Misti De )

Part A: General Information

Name
Designation
Department
Total Work Experience
Duration In This Organization

Part B: The following questions are attempted for mapping competency in


the organization.

From the following competencies, which according to you is the most


essential competency and which is the least. Also rate the same for your
immediate senior and junior

[81]
Please rate as (1-7;where 1 is the most important and 7 the least important)

Territory Sales Zonal Head / Regional


Elemental Competencies Officer / Branc Logistic Head / Sales
Technical Officer h Planning Head Officer
Head
Adapts and Learns
Builds Trust and Confidence
Fosters Teamwork and Cooperation
Cultivates Relationships and Networks
Develops Human Capital
Engages and Inspires
Communication
Leads for Performance
Drives Change and Innovation
Customer Focus
Manages Execution
Strategic Vision
Analysis and Problem Solving
Business and Financial Acumen

[82]
Please rate using the 5-point rating scale, as to what will be the ideal
competency rating for your immediate senior and junior level

Exercises outstanding performance on this competency far exceeds acceptable standards 5


Exercises very good performances on this competency better than acceptable standards 4
Exercises quite acceptable performance on this competency and meets requirements 3
Performance on this competency is not quite up to acceptable standards. A development is 2
needed
Performance on this competency fails to meet acceptable standards. A major development is 1
needed

Territory Zonal Head / Regional


Questions Sales Officer / Branch Logistic Head / Sales
Technical Head Planning Head Officer
Officer
Open to learning new skills and ideas and
takes part in learning opportunities
Reviews projects and activities to learn
from successes and mistakes and
implement improvements from the learning
Reflects on own work practices and
participates in a wide range of learning
opportunities.
Takes ownership on the assigned
responsibilities
Impartial and fair in exercising the

[83]
responsibilities
Assembles strong teams, empowers and
trains them.
Provides rewards, feedback and recognition
Communicates effectively with people
Always takes initiative in building
relationships
Spends lot of time with friends and
business associates
Assembles strong teams
Empowers and trains people by providing
rewards, feedback and recognition
Encourages the employees whenever
required and motivates them by trying to
provide in what they require
Creates and maintains a positive
environment
Listen to others and express the idea with
clarity and precision
Aware of what is going on in the work place
and responds in a suitable manner to
situations as they arise
Sets and achieves ambitious goals and get
results consistently
Drives for continuous improvement
Ensures that health, safety and social
objectives are integrated into business
activities
Able to use perspective of time and space
Aware of customers and their requirements
(Internal & External)
Aware of interfaces with the customers /
and provides timely feedback
Keeps touch with the customers / provides
feedback
Questions Territory Zonal Head / Regional
Sales Officer / Branch Logistic Head / Sales
Technical Head Planning Head Officer
Officer
Can predict the completion time of the job
in hand
Is aware of critical activities, RM, machines
etc. and monitors them
Generally completes job ahead of schedule
Sees new possibilities to take the
organization to a higher realm
Creates and communicates compelling
vision or direction
Inspires and motivates others with
enlightened insights

[84]
Ability to identify problems, determine
solutions and work actively to resolve them
Ability to handle outcomes arising out of
the solutions suggested and implemented
Identifies and educates others to focus on
causes, not symptoms, of problems and
works co operatively to seek solutions.
Understands legal and commercial
frameworks required in a business team
Applies sound commercial principles to all
areas of responsibility
Understands market trends and applies
principles to areas of responsibility

Date: ....../07/2010 ………………………………………..

(Signature)

 Thank you for your time and cooperation 

( For Sankrail Plant )

QUESTIONNAIRE

(Please return the completed questionnaire on or before 14th August 2010)

[85]
Note: We hereby declare that this survey, in partial fulfilment of the requirement for the
award of degree of Masters in Business Administration, is being carried out by us and is
our original and true work. This is for academic purpose only and is being conducted with
full permission from the HRD of Ambuja Cements.

Place: Kolkata ( Debolina Bakshi & Misti De )

Part A: General Information

Name
Designation
Department
Total Work Experience
Duration In This Organization

Part B: The following questions are attempted for mapping competency in


the organization.

From the following competencies, which according to you is the most


essential competency and which is the least. Please rate for yourself and also

[86]
rate the same for your immediate senior and junior

Please rate as (1-7;where 1 is the most important and 7 the least important)

Assistant Deputy
Elemental Competencies Engineer & Manager & Senior General
Below Deputy Manager Manager
Manager & Above
Adapts and Learns
Builds Trust and Confidence
Fosters Teamwork and Cooperation
Cultivates Relationships and Networks
Develops Human Capital
Engages and Inspires
Communication
Leads for Performance
Drives Change and Innovation
Customer Focus
Manages Execution
Strategic Vision
Analysis and Problem Solving
Business and Financial Acumen

[87]
Please rate each competency using the 5-point rating scale, for your
immediate senior and junior

Exercises outstanding performance on this competency far exceeds acceptable standards 5


Exercises very good performances on this competency better than acceptable standards 4
Exercises quite acceptable performance on this competency and meets requirements 3
Performance on this competency is not quite up to acceptable standards. A development is 2
needed
Performance on this competency fails to meet acceptable standards. A major development is 1
needed

Assistant Deputy
Questions Engineer Manager Senior General
& Below & Deputy Manager Manager
Manager & Above
Open to learning new skills and ideas and takes part
in learning opportunities
Reviews projects and activities to learn from
successes and mistakes and implement
improvements from the learning
Reflects on own work practices and participates in a
wide range of learning opportunities.
Takes ownership on the assigned responsibilities
Impartial and fair in exercising the responsibilities
Assembles strong teams, empowers and trains
them.

[88]
Provides rewards, feedback and recognition
Communicates effectively with people
Always takes initiative in building relationships
Spends lot of time with friends and business
associates
Assembles strong teams
Empowers and trains people by providing rewards,
feedback and recognition
Encourages the employees whenever required and
motivates them by trying to provide in what they
require
Creates and maintains a positive environment
Listen to others and express the idea with clarity
and precision
Aware of what is going on in the work place and
responds in a suitable manner to situations as they
arise
Sets and achieves ambitious goals and get results
consistently
Drives for continuous improvement
Ensures that health, safety and social objectives are
integrated into business activities
Able to use perspective of time and space
Aware of customers and their requirements
(Internal & External)
Aware of interfaces with the customers / and
provides timely feedback
Keeps touch with the customers / provides
feedback
Can predict the completion time of the job in hand
Is aware of critical activities, RM, machines etc. and
monitors them
Generally completes job ahead of schedule
Sees new possibilities to take the organization to a
higher realm
Assistant Deputy
Questions Engineer Manager Senior General
& Below & Deputy Manager Manager
Manager & Above
Creates and communicates compelling vision or
direction
Inspires and motivates others with enlightened
insights
Ability to identify problems, determine solutions
and work actively to resolve them
Ability to handle outcomes arising out of the
solutions suggested and implemented
Identifies and educates others to focus on causes,
not symptoms, of problems and works co
operatively to seek solutions.

[89]
Understands legal and commercial frameworks
required in a business team
Applies sound commercial principles to all areas of
responsibility
Understands market trends and applies principles
to areas of responsibility

Date: ....../08/2010 ………………………………………..

(Signature)

 Thank you for your time and cooperation 

The second part of the above two questionnaires has been categorized according to
Holcim is as below:

I. Act as a Role Model


a) Adapts And Learns
i. Open to learning new skills and ideas and takes part in learning
opportunities
ii. Reviews projects and activities to learn from successes and mistakes and
implement improvements from the learning
iii. Reflects on own work practices and participates in a wide range of
learning opportunities
b) Builds trust and confidence
i. Takes ownership on the assigned responsibilities
ii. Impartial and fair in exercising the responsibilities

[90]
II. Energize people
a) Fosters teamwork and cooperation
i. Assembles strong teams, empowers and trains them
ii. Provides rewards, feedback and recognition
iii. Communicates effectively with people
b) Cultivates relationships and networks
i. Always takes initiative in building relationships
ii. Spends lot of time with friends and business associates
c) Develops human capital
i. Assembles strong teams
ii. Empowers and trains people by providing rewards, feedback and
recognition
d) Engages and inspires
i. Encourages the employees whenever required and motivates them by
trying to provide in what they require
ii. Creates and maintains a positive environment
e) Communication
i. Listen to others and express the idea with clarity and precision
ii. Aware of what is going on in the work place and responds in a suitable
manner to situations as they arise

III. Deliver Results


a) Leads for performance
i. Sets and achieves ambitious goals and get results consistently
ii. Drives for continuous improvement
iii. Ensures that health, safety and social objectives are integrated into
business activities
b) Drives change and innovation
i. Able to use perspective of time and space
c) Customer Focus
ii. Aware of customers and their requirements (Internal & External)
iii. Aware of interfaces with the customers / and provides timely feedback
iv. Keeps touch with the customers / provides feedback
d) Manages execution
i. Can predict the completion time of the job in hand

[91]
ii. Is aware of critical activities, RM, machines etc. and monitors them
iii. Generally completes job ahead of schedule

IV. Think the business


a) Strategic vision
i. Sees new possibilities to take the organization to a higher realm
ii. Creates and communicates compelling vision or direction
iii. Inspires and motivates others with enlightened insights
b) Analysis and problem solving
i. Ability to identify problems, determine solutions and work actively to
resolve them
ii. Ability to handle outcomes arising out of the solutions suggested and
implemented
iii. Identifies and educates others to focus on causes, not symptoms, of
problems and works co operatively to seek solutions.
c) Business and financial acumen
i. Understands legal and commercial frameworks required in a business
team
ii. Applies sound commercial principles to all areas of responsibility
iii. Understands market trends and applies principles to areas of
responsibility

[92]
Thank You

[93]

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