Expanding the Current Readiness Framework to Include Foundational Academic and Workplace Competencies

Skills vs Competencies:

There is much confusion in the human capital marketplace on whether it is more appropriate to develop and measure competencies versus skills as part of an organization’s talent management and development process. A review of the literature on the use of competencies versus skills in the workplace yields different interpretations of these terms. For example, the U.S. Office of Personnel Management (OPM) defines a competency as "a measurable pattern of knowledge, skills, abilities, behaviors, and other characteristics that an individual needs to perform work roles or occupational functions successfully.”1 According to OPM, competencies represent a “whole-person” approach to assessing individuals and specify the "how" of performing job tasks, or what the person needs to do the job successfully.

OPM also breaks out competencies into general or technical categories. General competenciesreflect the cognitive and social capabilities (e.g., problem solving, interpersonal skills) required for job performance in avariety of occupations. On the other hand, technical competenciesare more specific as they are tailored to the particular knowledge and skill requirements necessary for a specific job. A job analysis can be used to identify job tasks that are then linkedto both competencies and skills.

According to a technical assistance guide on competency models developed for the U.S. Department of Labor -Employment and Training Administration for workforce development practitioners, a competency is “the capability to apply or use a set of related knowledge, skills, and abilities required to successfully perform critical work functions or tasks in a defined work setting.”2 Competency is not to be confused with “competence” which describes a level of performance. For example, competencies often serve as the basis for skill standards that specify the levelof knowledge, skills, and abilities required for success in the workplace, as well as potential measurement criteria for assessing competency attainment. To document competencies, a competency model can be used to specify what is essential to select for or to train and develop individuals for specific jobs and job clusters, or across organizations and industries.

Within human resource (HR) circles, such as the Ohio HR Roundtable, discussions around competencies versus skills centers on how they are used during the talent management process.3 For example, skills are “tangible” and competencies are the effective “application of skills.”HR professionals say that skills are easier to define; job candidates either have them or they don’t. Competencies are broader, up for interpretation, and more difficult to measure. As a result, when employers are in hiring mode, they prefer to use measures of skills and work experience, which are easier to validate than competencies.

Within the field of Industrial and Organizational Psychology, competencies are viewed as encompassing knowledge, skills, abilities and behaviors.4 In essence, a competency is a broader construct than a skill and has a wider application within the talent management process. Specifically, competency modeling aims at identifying skills and abilities that are important for a variety of jobs in the same organization and across organizations and industries. For example, one may be able to create a list of competencies that might be used for selection, performance appraisal, compensation, and training purposes. In contrast to competency modeling, a job analysis examines the tasks performed in a job, the competencies required to perform those tasks, and the connection between the tasks and competencies.

How Are Competencies Organized and Measured?

Competency models can take a variety of forms and typically include the following elements:

• Competency names and detailed definitions. For example, a competency model could include a competency called “teamwork” defined as working cooperatively with others to complete work assignments.
• Descriptions of activities or behaviors associated with each competency. For example, the following behaviors could be associated with the competency “Teamwork”:
  • Abiding by and supporting group decisions
  • Facilitating team interaction and maintaining focus on group goals
  • Handling differences in work styles effectively when working with co-workers
  • Capitalizing on strengths of others on a team to get work done
  • Anticipating potential conflicts and addressing them directly and effectively
  • Motivating others to contribute opinions and suggestions
  • Demonstrating a personal commitment to group goals
• A diagram of the model. Competency models may include additional information about skills and abilities required for different level of mastery, or information about the level of competence required at different occupational levels. Figure 2. provides an example of an industry competency model.

While a traditional job analysis can result the documentation of competencies and/or knowledge, skills, abilities and behaviors that are important for the job, it is usually used to define a narrower, more specific set of skills and abilities for personnel selection purposes. Job analysis data are used to:

• establish and document competencies required for a job;
• identify the job-relatedness of the tasks and competencies needed to successfully perform the job; an
• provide a source of legal defensibility of assessment and selection procedures5.

Information from a job analysis can also be used to determine job requirements, training needs, position classification and grade levels, and inform other personnel actions, such as promotions and performance appraisals.

How Can Competency Models Be Used for Workforce Development?

Competency models are developed as a resource for multiple uses such as:

• Career Exploration and Guidance
• Developing Career Pathways
• Workforce Program Planning and Labor Pool Analysis
• Curriculum Evaluation, Planning and Development
• Certification, Licensure, and Assessment Development
• Industry Models and Registered Apprenticeships

The USDOL Competency Model Clearing House provides a resource on how competency models have been used to support various workforce development efforts described above.6

Industry Competency Models

Industry competency models developed by the U.S. Department of Labor depict the common knowledge, skills, and abilities inan industry or industry sector. The resulting models provide the foundation on which career pathways can be developed. The articulation of broad industry-wide knowledge and skill needs supports the development of a workforce that can perform successfully in a variety of cross-functional teams and make the transition from one job to another.7 These models are called “building blocks” and consist of key competencies and behaviors, and are grouped into the following tiers:

1. Personal Effectiveness Competencies
2. Academic Competencies
3. Workplace Competencies
4. Industry-wide Competencies
5. Sector-specific Competencies

The pyramid-shaped graphic below depicts how competencies become more specific as you move up the tiers. The tiers are divided into blocks representing skills, knowledge and abilities essential for successful performance in the industry or occupation. Each competency is described by key behaviors or by examples of the critical work functions or technical content common to an industry.  

Each USDOL industry competency model is built on a series of tiers. At the base, Tiers 1-3 represent foundational academic and workplace competencies that form the foundation for success in educational settings, as well as in the workplace. Foundational competencies are portable across many occupations and are important for career success.8 An example of a national layered credentialing system is the Manufacturing Skills Certification System, endorsed bythe National Association of Manufacturers. This system of using industry-recognized credentials to certify competencies and skills begins with the ACT National Career Readiness Certificate at the foundation, followed by increasingly targeted occupation and job-specific skills credentials.9