Building on comprehensive literatures, this chapter was classified into four sections: (1) competence, (2) competency model, (3) competence development, (4) corporate training center, (5) director of training center. The first section encompassed definitions of competence, types of competence, and competences for HR professionals. The second section aimed at studies on competences models and also provides steps in developing competency model. The third section presented the approaches to develop competences. The fourth section covered introduction and functions of corporate training centers including the definitions and phenomenon of corporate universities. The fifth section reviewed the literatures on the role of director of training center.
Competence
The term competence (or competency) has been extensively discussed since McClelland published the paper “Testing for competence rather than for intelligence” in1973. Based on some of his lectures, McClelland (1973) questioned the validity of intelligence and aptitude test which are traditional methods used to estimate job performance and proposed the method that identifying “competency” variables can predict job performance without being biased by race, sex or socioeconomic factors (Spencer & Spencer, 1993). After McClelland’s proposition, the term competence has been popularized by Boyatzis (1982) who defined the manager with superior performance as “competent manager”. In 1993, “iceberg model”, giving competence a deeper definition, was brought up by Spencer and Spencer and was embodied in the book “Competence at work” which summarized 20 years of research using McClelland/McBer job competence assessment (JCA) methodology, described how to conduct JCA studies and suggested future applications for competency research. In recent years, Development Dimensions International, a talent management consulting company
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leading the way of exercising the use of competencies, not only designs training and development solutions around competencies but also applies competencies into “success profile” to assist organization to efficiently develop the right competencies in the right employees at the right time (Development Dimensions International, 2010b). In the other hand, scholars such as McLagan and Ulrich have conducted comprehensive researches on HR competencies, and association such as American Society for Training Development (ASTD) has brought up twice foundational competencies for HR professionals.
Definition of Competence
The term competence (or competency) has been defined in the research from different perspectives and has not widely defined in a single description. From psychological perspectives of competence, McClelland (1973) launched the concept of competence and described competencies as components of performance associated with “clusters of life outcomes”. Later, in 1980, three scholars, McLagan, Knowles, and Klemp, gave more detailed descriptions of competency in three closed but different ways.
Cited from McLagan (1980), competencies are described as “the knowledge and skills which underlie effective job performance”. (p.22) Another definition of competency from Knowles (1980) is depicted as “a cluster of knowledge, understandings, skills, attitudes, values and interests for the performance of human resources developer function ”. The other research on competency in 1980, Klemp defined competencies as “an underlying characteristic of a person which results in effective and/or superior performance on the job.”
(p21) From these viewpoints one may say that competency at this time is considered as a combination of KSA--knowledge, skills, and attitudes and is related to the performance on the job.
However, another voice of definition came out since Boyatzis infused new concepts into competency in 1982. Boyatzis (1982) agreed that job competency has the influence on the
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achievement of effective or better job performances, but he further proposed that job competency is more than a combination of KSA but is an underlying characteristic of a person which contains a motive, trait, skill, aspect of one’s self-image or social role, or a body of knowledge which the person uses.
Based on the definition from Boyatzis (1982) that competency contains not merely KSA but also trait and self-image, in a 1993 study, Spencer and Spencer portrayed competency as
“an underlying characteristic of an individual that is causally related to criterion- referenced effective and/or superior performance in a job or situation”(p.9). To deconstruct this definition into its component parts, Spencer and Spencer (1993) pointed out underlying characteristics, which means the competency is a fairly deep and enduring part of a person’s personality and can predict behavior in a wide variety of situation and job tasks, indicate
“ways of behaving or thinking, generalizing across situation, and enduring for a reasonably long period of time ”(Guion, 1991, pp.335) ; causally related symbolizes behavior and performance can be caused or predicted by the competence; criterion- referenced denoted well or poor performer can be predicted by the competence according to a specific criterion or standard. Moreover, the underlying characteristics of competencies given by Spencer and Spencer (1993) are also mentioned as five types of competence characteristics which can be separated into two levels in the “iceberg model”. (see figure 2.1)
As shown in figure 2.1, the surface competence comprises skill and knowledge, which are associated with characteristics of people and easy to develop. Skill refers to the ability to accomplish a given physical or mental task; knowledge is the information a person owns in a specific content areas. The other hidden part consists of self-concept, trait and motive. At the base of iceberg, trait and motive are considered as the potential competences which are more central to personality and much difficult to assess and develop. Trait signifies physical characteristics and consistent responses to situations or information; motive is a desire, emotion or need that drives behavior toward certain actions or goals. Existing somewhere in
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between, self-concept which is viewed as attitude and value can be changed by training, psychotherapy, or positive development experiences despite time-consuming (Spencer &
Spencer, 1993) . Nowadays, the term “personal attribute” can be referred to as generalization of self-concept, trait and motive.
Although competency is described with personality trait by Boyatzis (1982) and Spencer and Spencer (1993), from the perspective of training, Parry (1996) argued that personality traits can’t be seen as competencies. Due to the difficulty in developing traits and values through training, Parry (1996) excluded traits and values from the definition on competency but agreed with the definitions in 1980 as mentioned and depicted competency as “ a cluster of related knowledge, skills and attitudes that affects a major part of one's job (a role or responsibility), that correlates with performance on the job” (p.50)
From the perspective of business success, Development Dimensions International (2010b) further advanced “success profiles” for company to manage talent efficiently. As figure 2.2 illustrated, in addition to knowledge and skills and personal attributes, competencies and work experiences are also viewed as characteristics of success profiles that
Figure 2.1. The iceberg model. Adapted from “Competence at work: Models for superior performance,” by L. Spencer & M.
Spencer, 1993, p.11. Copyright 1993 by John Wiley & Sons, Inc.
Visible
Hidden
skill knowledge
self-concept trait motive
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contribute to success of an organization ( Development Dimensions International, 2010b) . As illustrated in figure 2.2, knowledge and skills designate the education and training necessary for job success; competencies are an individual’s capabilities that contribute to high performance; personal attributes are referred to as the characteristics of an individual’s personality and the factors that enable the individual’s motivation to perform at a high level and remain on the job; work experience is view as the situations that an individual entering the job should have experienced or, at least, to have had some exposure (Development Dimensions International, 2010b) .
Types of Competence
Advanced by Spencer and Spencer (1993), according to the job performance criterion predicted, competencies are split up into two categories, threshold and differentiating competencies. Threshold competencies are usually referred to knowledge or basic skills which are the essential characteristics required in a job. Threshold competencies don’t
Knowledge and Skills what I know
Competencies what I can do
Work Experience what I have
done
Personal Attributes
who I am
Figure 2.2. Success profiles. Adapted from
http://www2.ddiworld.com/learninglinks Copyright by Development Dimensions International
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distinguish superior from average performers, but differentiating competencies do.
Differentiating competencies are concerned with characteristics that superior performers have but average performers lack (Spencer &Spencer, 1993) .
In a 1997 report, Cook and Bernthal (1997) divided competencies into three categories which are organizational competencies, job/role competencies and personal competencies.
Organizational competencies are unique factors that force an organization competitive;
job/role competencies are regarded as things an individual must prove to be effective in a job, role, function, task, or duty, an organizational level, or in the entire organization; personal competencies are aspects of an individual that infer a level of skill, achievement, or output.
Building on the definition proposed by DDI which depicted competency as the specific behavior, knowledge, and motivation that an employee has to demonstrate so as to be effective in a certain job or role, Development Dimensions International (2010a) identified another three types of competency. These are behavior competency, knowledge competency and motivation competency. Behavior competency represents how someone is supposed to act when given the opportunity; knowledge competency stands for the knowledge or technical skills a person in a given job or role needs to have and the way they need to demonstrate or use that knowledge; motivation competency is the characteristics of the job and the organization that may cause job satisfaction or dissatisfaction (Development Dimensions International, 2010a) .
Competences for HR Professionals
A growing number of studies have been made to identify the critical competencies needed to be a successful HR professional. In an earlier research of HRD practitioners, McLagan (1989) distinguished HRD competencies into four clusters. These are technical competencies referred to as functional knowledge and skill, business competencies which possess a strong management, economics or administration base, interpersonal competencies
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Table 2.1.
HRD Competencies as Identified by McLagan (1989)
Cluster Competencies
Technical competencies
1. Adult-learning understanding
2. Career-development theories and techniques understanding 3. Competency-identification skill
10. Training and development theories and techniques understanding 11. Research skill
17. Organization-development theories and techniques 18. Organization understanding
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which own a strong communication base, and intellectual competencies which reveal knowledge and skills related to thinking and processing of information. Table 2.1 reflects the four clusters together with the list of competencies of each cluster as McLagan identified.
In the other hand, the American Society for Training and Development (ASTD), the largest association devoted to training and development professionals, has been conducted the most comprehensive study of training professionals (Noe, 2010). In their “Mapping the future”
study, published in 2004, Bernthal and colleagues identified three areas of foundational competencies needed by all HRD professionals (DeSimone & Werner, 2012). International competencies, business/management competencies, and personal competencies are introduced in the foundational competencies which can be utilized as HRD professionals develop particular areas of expertise. Table 2.2 shows the required competencies that were identified in the ASTD study.
Table 2.2.
Foundational Competencies for HRD Practitioners as Identified by the ASTD (2004)
INTERPERSONAL BUSINESS / MANAGEMENT PERSONAL
Building Trust
Communicating Effectively
Influencing Stakeholders
Leveraging Diversity
Networking and Partnering
Analyzing Needs and Proposing Solutions
Applying Business Acumen
Driving Results
Planning and Implementing Assignments management competencies can be generalized as how well the person analyzes circumstances, makes decisions, and carries out solutions; personal competencies can be summarized as how well the person adjusts to change and makes personal decisions to improve career (American
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Table 2.3.
Foundational Competencies as Updated by the ASTD (2013)
Cluster Competencies
Interpersonal Skills • Build trust
• Communicate effectively
• Influence stakeholders
• Network and partner
• Demonstrate emotional intelligence Business Skills • Analyze needs and propose solutions
• Apply business skills.
• Drive results
• Plan and implement assignments
• Think strategically
• Innovate
Personal Skills • Demonstrate adaptability
• Model personal development Global Mindset • Accommodate cultural differences
• Convey respect for different perspectives
• Expand own awareness
• Adapt behavior to accommodate others
• Champion diversity
• Leverage diverse contributions
Industry Knowledge • Maintain own professional knowledge
• Keep abreast of industry changes and trends
• Build industry sector knowledge
Technology Literacy • Demonstrate awareness of technologies
• Use technology effectively
Society for Training and Development, n.d.).
However, in 2012, ASTD revised foundational competencies for HRD professionals.
Not only interpersonal, business, and personal competencies are kept although few of the required competencies of them have been substituted, but also global mindset, industry knowledge, and technology literacy are inclusive. As table 2.3 represents, “leveraging diversity” which belonged to interpersonal competencies is included in global mindset with a
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new term “leverage diverse contributions”; “demonstrate emotional intelligence” becomes a new competency of interpersonal skills; “innovate” is viewed as a one of the competencies of business skills.
Another contribution to HR competencies was acknowledged by McEvoy et al. (2005) who noted that the most widely cited study of HR competencies is the work conducted by Ulrich and his colleagues. While other studies defined competencies for HR professionals either by the insights of senior managers and other internal customers or through an empirically tested conceptual framework (Ulrich, Brockbank, Yeung, & Lake,1995), the study in Ulrich et al. (1995) provided extensive discussions of HR competencies and portrayed competencies for HR professionals as the value adding to their business. Not only existing in HR professionals’ ability to create competitive advantage thus positively affecting bottom-line metrics, but the value adds when HR professionals ensure that they deliver ideas, programs, and initiatives to their business which helps the business compete (Ulrich et al., 1995).
Thanks to the efforts from Ulrich and his colleagues, in 1999, the most extensive survey on HR competency has been conducted at University of Michigan Business School in three rounds over a ten-year period with the involvement of over 20,000 HR and line professionals (Brockbank, Ulrich, & Beatty,1999).
In the first round, Brockbank et al.(1999) found that HR professionals must demonstrate competencies in three domains which are knowledge of business, delivery of HR practices, and ability to manage change. Furthermore, the ability to manage change is more important than business knowledge and delivery of HR practices combined (Brockbank et al., 1999). In the second round, Brockbank et al. (1999) suggested HR professionals needed to be more knowledgeable about financial management, external competitive and customer demands, and be able to work with line executives to send clear and consistent messages about the firm’s goals and directions. In the third round of surveys, Brockbank et al.(1999)
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added the notion that there are two more areas of HR competency need to be demonstrated which are culture management and personal credibility. Being HR professionals, culture management handles how to assist organization to create both new patterns of behavior and mindsets among employees and a collective identity for the organization; personal credibility copes with the extent to which HR professionals embody the values of the organization and act with “attitude” in dealing with HR issues (Brockbank et al.,1999) .
In terms of framework for HR competencies, prior to the proposition from Ulrich and his colleagues, Eichinger (1987) advocated six leadership areas for HR competencies which are cognitive complexity and agility, achievement directed assertiveness, interpersonal effectiveness, personal management, business savvy, and job skills; Walker (1988) advanced four dimensions for develop competencies for HR professionals which are functional, business, role, and style. To be harmonious with the researches on HR competencies as noted above and to build on the view that HR professionals must add value, Ulrich et al.(1995) proposed a three-domain framework for conceptualizing HR competencies.(see figure 2.3)
As figure 2.3 indicates, these are knowledge of business which assists the HR HR FUNCTIONAL
EXPERTISE KNOWLEDGE OF
BUSINESS
MANAGING CHANGE
Figure 2.3. Framework for HR competencies. Adapted from
“Human Resource Competencies: An Empirical Assessment,” by D.
Ulrich, W. Brockbank, A. K. Yeung, & D. G. Lake, 1995, Human Resource Management, 34(4), p.475. Copyright 1995 by Wiley.
Subscription Services, Inc.
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professional to adopt HR and organizational activities to fluctuating business conditions, delivery of HR which builds credibility of HR professionals as they deliver state-of-the-art HR practices, and management of change processes which means HR professional must catch up the pace of changing environment such as globalization, information flow, customer expectations and technology (Ulrich et al.,1995) .
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Competency Model
Seeing that identifying competencies becomes a significant issue which could impose influential effects on business success, the importance of competency models to business effectiveness has been extensively discussed and verified in recent studies. In a 1980 study, McLagan viewed competency models as decision tools that describe the key capabilities required to perform a job and must also comprise the competencies that are most pivotal to get the results required by the job. In that selection, development, assessment, and planning are always competency based (McLagan,1980), as decision tools, competency models provide a road map to more objectively manage talent for competitive advantage (Derven, 2008).
Stated another way, a competency model relates to the combination of knowledge, skills and attributes needed for superior performance, and is integrated in the functions of HR, selection, training and development, succession planning and performance management (Sanghi, 2009). Therefore, competency models can basically address two critical facets. One is what skills, knowledge and characteristics are needed for the job and the other one is what behavior can directly impose impact on job performance and bring in success in the job (Sanghi, 2009).
Through setting up the competency model, employees will better understand how to target their efforts, common vocabulary will be created to discuss successful performance, and performance-based dialogue between managers and employees will also be promoted.
(Derven, 2008) Not only helping companies understand and focusing on the key factors that actually drive performance (Derven, 2008), but developing competency models is a focal point for organization development (McLagan, 1980).
ASTD Competency Model
Contributing to human resource development field, American Society for Training and
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Development (ASTD) unveiled a model in their 2004 competency study which describes what competency model takes for an individual to be successful in the training and development field (Noe, 2010). The model appears in figure 2.4 with three layers.
At the base of the pyramid, foundation competencies are classified in three areas which are interpersonal competencies, business and management competencies, and personal competencies as introduced in the previous section. In the middle of the pyramid are nine critical areas of expertise (AOEs). Cited from Davis, Naughton, and Rothwell (2004), the AOEs are the specific technical and professional skills and knowledge required for success in the workplace learning and performance fields, and are specialized areas that base and depend on the focused application of the foundational competencies. At the top of the pyramid shows four workplace learning and performance (WLP) roles that training and development professionals can take. The learning strategist is engaged in the high-level decision making concerning how HRD initiatives will support to achieve the goals and meet the strategies of an organization. The business partner applies business and industry knowledge to work together with managers and others in identifying how the HRD initiatives will be implemented and evaluated. The project manager plans, obtains, resources, and monitors HRD initiatives. The professional specialist applies his or her expertise to design, develop, deliver, and evaluate HRD initiatives (DeSimone & Werner, 2012; Noe, 2010) .
Acknowledged by Rothwell and Wellins (2004), the value of ASTD competency model is serving as a framework to support an integrated HR System. Not only the model can help align the HR system vertically with the organization’s strategic objectives, but also it can be horizontally in line with other HR functions, to insure harmony and consistency across the many aspects of HR activities that affect job performance ( Dubois & Rothwell, 2004) .
Nevertheless, in 2012, American Society for Training and Development launched a new ASTD competency model as the first major revision to the competency model since 2004 (American Society for Training and Development, 2012). As ASTD senior director Jennifer
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AREAS OF EXPERTISE: SUPPORTED BY TECHNOLOGY WORKPLACE LEARNING
COMPETENCIES COMPETENCIES COMPETENCIES Figure 2.4. The 2004 ASTD competency model. Adapted from “New Roles and New Competencies
COMPETENCIES COMPETENCIES COMPETENCIES Figure 2.4. The 2004 ASTD competency model. Adapted from “New Roles and New Competencies