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Competency Model
Every human are equal until they make themselves distinctive from others. This distinctiveness may come from the generic ability or may be from his/her experience. Competency is a term that is widely used to define this distinctiveness. In general words, Competency refers the ability of an individual to perform any job properly. Job can be done by any regular employee anyway but competency is the scale to judge how much outstanding is his/her performance in a particular job, role or in any functional activity. Therefore
A Competency model is a set of competencies (e.g. Skills, Knowledge, Personal Attributes, and Behavior etc.) that required for extraordinary/outstanding/excellent performance in a particular job.
It is not like that these set of competencies will be same always. The set of competencies will depend upon the characteristics of the job, complexity, work environment, organization culture and so on.
Employee1
For a successful performance its a success criterion. Proving them to achieve the goal by their strengths (competitive ability), as well as in targeted areas for professional development (e.g. - for a sales person achieving sales objective and being reputed within/outside the organization.) It is required to enhance the skills. Competency is needed for upward movement of employees (e.g.- promotion).
Though it was mentioned to explain only for the performance management of the employee, but I extend this part as I think from employers and business point of view it should be explained too.
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Employer
To identify talents in hiring and selection process. To assign complex job for a greater purpose. In succession procedure. For a good communication among managers & employees.
Business
Competitive advantages. Employees are the most important assets for any kinds of business; a company is only as good as the people it keeps. Reinforcement of corporate strategy, culture and vision. Effectiveness in training and development. Required to provide common and organization-wide standards for individual career levels.
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