Competence and Competency - The Difference

A business metric is any type of measurement used to gauge some quantifiable component of a company's performance, such as return on investment.

Competence(s) relate to skills, knowledge, Quality, metrics, measure.

• A business metric is any type of measurement used to gauge some quantifiable component of a company's performance, such as return on investment.

Competency (ies)

• The behavior/attitude of individuals in the organization that triggers the competence or provides a stimulus for the competence is referred to as competencies.
• These contribute to the culture of the organization.
• They provide the individual with an indication of the behaviors that will be valued (CIPD

Who is to be involved?

• Staff
  • For development of skills and knowledge
• Management
  • For Development of Business Metrics, the KPI’s, measure or benchmarks.
  • For Quality Standards to be followed by the people
• Organization
  • Culture of the Organization.
  • Learning that impacts change in the organization and behaviors/attitudes of people

It starts from the people and flows towards the organization. Both the competence and competency flow out from the people and become a part of the larger organizational context.

Competency Framework

What are set of behavior/attitude that bring out certain Skills required of the individuals to achieve organizational performance?

• Incorporating policies, culture and reward systems to which people can identify and feel motivated to work towards the organizational performance.
• Improves team's performance by introducing a competency framework. Competence should be evident by behavior at work and not based on vague perceptions. They can be kept simple by focus and should be reviewed regularly and linked to team and organization priorities so people can see their relevance. Competency framework help managers look for new challenges as team manage them successfully.

Conditions for Competency Framework

• Understanding Employees attitudes and behaviors which form part of the Competency Framework.
• Assessing Organizational culture driven by people attitude/behaviors.
• Evaluating current learning level of the organization and how to improve learning.
• Alignment of Individual Goals and Objectives with Organization
• Acceptable Criteria to gauge the competency of Individuals
• Performance Assessment or KPIs