Competency Based Performance Management Systems

An integrated performance management system sounds like a natural thing for any organization interested in ensuring success and growth.  However, as many HR professionals know, the path from realization of the need to actual implementation is often rocky and can result in “pain” if not developed and launched appropriately.  This is particularly true when there are already existing performance management tools that are not linked. 

A Competency Based Performance Management System ensures that the right behaviors have been identified that will drive the best performance, and that those behaviors can be measured effectively followed by the right compensation/reward methods.

A Competency Model as the Foundation

The success of any performance management system depends upon the stability of its foundation.  The most successful systems are built on the belief that there are specific competencies that represent the observable behaviors necessary to be a successful leader in a particular organization.   Once these competencies are defined, for example, all appraisal processes can measure the employee’s performance against the competency standards.  In addition, compensation plans, can reward performance aligned with the competency standards.  

Competencies:

• Define the behaviors that drive success in a given organization
• Help employees understand what is expected of them
• Provide employees with a road map for success

Horizon Leadership, Inc. will assist your organization in developing a competency model that is based upon your company goals, strategic initiatives, values and culture.  We will lead the development in a manner that ensures that the specific behaviors that are required for success in your organization are identified, defined and can become “institutionalized” within your business. 

Integrated Performance Management Systems

Once the foundation is secure, through the development of a customized competency model, all of the HR and performance management tools/processes can be aligned.  This step includes ensuring that processes such as hiring, assessment, goal setting, 360 degree feedback, development, appraisal, and compensation plans are in support of driving the development of your competencies.   This results in:

• A clear line of sight for your employees in terms of what is expected of them.
• Consistent standards of measurement for the organization.

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