Competency Iceberg Model

Competency
Iceberg Model
© ManagementStudyGuide.com. All rights reserved.
Objective
1 Explain what is a Competency
Describe the Components of

2
Competencies
3 Explain the Types of Competencies
Describe the Competency Iceberg

4
Model
Explain the Benefits of Iceberg

5
Model
Introduction
David Schneider is a highly qualified individual.
He has the right mix of skills and knowledge that

is required to work as a Sales Executive.
However, his actual job performance is nowhere

near what is expected from a man possessing
skills and knowledge that David has.
His actual job performance does not match the

expected job behaviour of a man of David’s
calibre.
So, what is wrong? Ideal candidate

What is it that makes David an ideal candidate
but stops him from actually performing on his Low job performance
job?

The answer to this lies in the word ‘Competency’.
Competency is a combination of skills, job

attitude, and knowledge which is reflected in job
behavior that can be observed, measured and
evaluated.
Let us learn more about ‘Competency’ and an

important model of competency, the
‘Competency Iceberg Model’.

Objective

2
Competencies

4
Model

5
Model
What is Competency?

What is Competency?
Some examples of competencies required by the employees are: -
Adaptability Motivation Commitment Creativity Independence
Analytical Emotional Communication

Foresight Leadership
Reasoning Stability Skills

History of Competency
• • • •
In the late 1960’s, McClelland found Since this find and A supporting Through this
the Occupational that traditional even during the research conducted McClelland proved
Competence tests such as early 70’s, leading by McClelland that superior
movement was academic aptitude organizations have found that students, performance is not
initiated by Dr. David and knowledge been using who did poor in always measured by
McClelland who was tests, did not competencies to Universities, as long test scores but
a Professor of predict success in help recruit, select as they passed, did rather related to
Psychology at the job and manage their just as well in life as hidden traits and
Harvard Business outstanding the top students qualitative
School performers behaviours
Objective

2
Competencies

4
Model

5
Model
Components of Competency
A learned ability; how to How you acquire

The Psychological
do the “ what you /do” information in a
Physiological
(e.g. making an effective particular field;
factors that drive
presentation) (e.g. Using Data based
your behaviour presentation)
(e.g. Maslow
Pyramid of needs)
Motives How you see yourself
(e.g. Public Speaker-
Confidence)
Relatively enduring What you consider as
characteristics; why important
and how do we (e.g. achieving
behave in a certain excellence/ ambition)
way
(e.g. self-controlled
“big picture”
thinking)
Objective

2
Competencies

4
Model

5
Model
Types of Competencies
Competencies can broadly be classified into two categories:
Basic Competencies: Professional Competencies:

They are existent in all individuals They are job related and are
but only their degree of existence above the basic competencies. For
differs. For example, problem example, handling a sales call
solving is a competency that exists effectively is a competency that a
in every individual but in varying sales personnel would be required
degrees to have
Basic Professional
Competencies
Competencies Competencies
Types of Basic Competencies
The basic competencies encompass the following:
Intellectual Motivational Emotional Social

Competencies: Competencies: Competencies: Competencies:
Those which Those which Those which Those that
determine the determine the determine an determine the
intellectual level of individual's level of social
ability of a motivation in an emotional ability in a
person. individual. quotient. person.

Types of Professional Competencies
The professional competencies can be classified as:
Generic Competencies: Managerial Competencies: Functional/Technical

They are those which are They are those which are Competencies:
considered essential for all staff, considered essential for staff These are specific competencies
regardless of their function or with managerial or supervisory which are considered essential
level, that is, communication, responsibility in any service or to perform any job in the
program execution, processing program. Some examples of organization within a defined
tools, linguistic, etc. These managerial competencies are: technical or functional area of
competencies include broad customer orientation, work. Some examples of
success factors not tied to a organizing skills, cross functional/technical
specific work function or functional perspective, planning competencies are: business
industry. They usually focus on skills, execution skills, analytical awareness, business skills,
leadership or emotional skills, decision making, technical skills.
intelligence behaviours. delegation, leadership

Categories of Competencies
Competencies can be divided into two categories, they are:
• These are the

essential
characteristics that
everyone in the job
needs to be minimally
effective.
• However, this does
• These factors
not distinguish
distinguish superior
superior from average
from average
performers.
performers.

What is a Threshold Competency?
6
It is important to understand whether competencies are unique to a

1 particular job or whether they are generic in nature.
6

1 particular job or whether they are generic in nature.
According to the MCBer research, twelve characteristics were

2 identified related to managerial effectiveness, whereas seven were
found to be threshold competencies.
6

particular job or whether they are generic in nature.

2 identified related to managerial effectiveness, whereas seven were
Every job at any level in the organization would have a threshold

3 competency.
6


identified related to managerial effectiveness, whereas seven were

3 competency.
Threshold competency is the bare minimum required to perform the

4 job.
6



competency.

4 job.
It is summarized as a quality that a person needs in order to do a job.

5
6



competency.

job.
It is summarized as a quality that a person needs in order to do a job.

5
It differs from competency, such that it does not offer any aid in
6 distinguishing superior performance from average and poor
performance.
What are Core Competencies?
• ‘Core Competencies’ are the
competencies that help transcend
any single business event within the
organization.
• It is important for organizations to
identify, develop and manage
organizational core competencies
that drive large enterprise critical
projects.
• This is so because some projects are
so complex and massive that it is
impossible for a single individual to
possess the competencies required
to successfully complete a project.

What are Workplace Competencies?
• ‘Workplace Competencies’
focus on individuals instead of
the organization.
• Therefore, workplace
competencies may vary by job
positions.
• The unit of measure is people
rather than the business.

Core vs. Workplace Competencies
Core Workplace
Scope Organization Individual
Purpose Strategic Tactical
Participant(s) Business Unit Worker
Tasks Processes Activities
Competencies Global Position

Myths about Competency
• • •
Competence is a state of It is in relation to Competencies cannot

being that provides a performance, a necessary guarantee that workers will
qualification to perform. but not sufficient condition. perform adequately.

• • •
However, workers cannot Extremely competent Whereas, some others that

perform to standards workers may fail on the job lack competencies can make
without competencies. due to a variety of personal up for a lot of shortcomings
or environmental factors. with exceptionally hard work.

• • •
Competence is necessary Hence, it is important that Competencies are about

but it cannot guarantee organizations’ should not being qualified to do the
results. confuse competency work whereas performance is
measurement with the result of the actual work.
performance measurement.
Types of Competency Characteristics
There are five types of competency characteristics:
The ability to perform a Information a person has in

certain physical or specific content areas.
mental task.
A person’s attitudes,
values or self-image.
Physical characteristics and
consistent responses to
situations or information.
Things about which a person

consistently thinks about or wants
and that which causes action.
Motives drive, direct or select
behaviour towards certain actions
or goals or away from others.
Objective

2
Competencies

4
Model

5
Model
Iceberg Model
The Iceberg Model for
competencies takes the help of
an iceberg to explain the
concept of competency. Knowledge &
Skills
An iceberg has just one-ninth of
its volume above water and the
rest remains beneath the Attitude, Traits,
surface in the sea. Thinking styles,
Self-image,
Similarly, a competency also Organizational
has some components which fit
are visible like knowledge and
skills but other behavioural
components like attitude, traits,
thinking styles, self-image,
organizational fit etc. are
hidden or beneath the surface.
Components of the Iceberg Model
Habitual / enduring characteristics

- e.g. flexibility, self - control, good
Traits listener, builds trust, engages &
inspires, mindset
Self Image How people see/view themselves;

identity; worth - e.g. an expert, a
learner, leader, manager, agent,
innovator
Skill
Ability to do something well; most
easily trained on - e.g. technical skills
to use knowledge
Knowledge
Content knowledge / information in
field of work, - from education to
experience

Importance of Iceberg Model
It is important to understand that

there is a relation between the
competencies which are above the
surface and those which lie beneath
in an iceberg.
The aspects of competencies which

lie below the surface like attitude,
traits, thinking styles etc. directly
influence the usage of knowledge
and skills to complete a job
effectively.

Let us try to understand this

through an example.
Consider that a highly qualified

person with the perfect
combination of skills and
knowledge is chosen for an
esteemed project.
However, if the person is not

happy to work with his new team
members, he may not be able to
perform to the best of his
abilities.

• •
Developing the two The visible competencies like It takes more time and
levels of knowledge and skills can be effort intensive exercises,
competencies also easily developed through like psychotherapy,
takes different training and skill building counselling, coaching and
routes. exercises however the mentoring, developmental
behavioural competencies are experiences etc.
rather difficult to assess and
develop.
Objective

2
Competencies

4
Model

5
Model
Benefits of Iceberg Model
• Identify and prioritize skills,

knowledge and personal
attributes required for the
job
• Use past and current
behavior to predict future
behavior
• Ensure consistency and • Set core organizational
fairness of selection process capabilities
• Minimize Hiring Risks • Align aggregate behaviors to
• Communicate clear expected vision, strategies, priorities &
behaviors to job holders for goals
becoming superior • Promote positive behavioral
performers change
• Introduce high performance
qualities (Job, Family &
Organization Specific)
What is Competency Mapping?
Competency mapping is the process of
identification of the competencies
required to perform successfully in a
given job or role or a set of tasks at a
given point of time. It generally examines
two areas: emotional intelligence or
emotional quotient (EQ), and strengths
of the individual in areas like team
structure, leadership, and decision-
making.
The process of competency mapping consists of breaking

a given role or job into its constituent tasks or activities
and identifying the competencies (technical, managerial,
behavioural, conceptual knowledge, attitudes, skills, etc.)
needed to perform the same successfully.
Steps to Develop Competency Model
Step 1:
Data Gathering & Preparation
Step 2:
Data Analysis
Step 3:
Validation

Competency Dictionary
Things to be considered for developing
competency dictionary:
• Definition
o Description of behaviour or skills or
characteristics
o Use reference of other competency
dictionary
o Benchmark with other typical industry
• Dimensions
o Intensity or completeness of action
o Size of impact
o Complexity
o Amount of effort
• Proficiency levels or scales
o Exposed
o Development
o Proficient
o Mastery
o Expert
Case Study
1. What do you think could

be the reasons for this?
2. What should Richard do

to change the
competency levels of
the existing workforce?
Richard Hadley has just joined
as the HR Head in an MNC. He 3. What should Richard do
finds that despite his new to make sure that the
company having a talented and new hires are
qualified workforce, the competent enough to
organization is not completing do their jobs?
its projects efficiently and
successfully.

Competency Iceberg Model

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Competency

1 Explain what is a Competency

Describe the Components of

3 Explain the Types of Competencies

Describe the Competency Iceberg

Explain the Benefits of Iceberg

He has the right mix of skills and knowledge that

However, his actual job performance is nowhere

His actual job performance does not match the

So, what is wrong? Ideal candidate

© ManagementStudyGuide.com. All rights reserved.

Competency is a combination of skills, job

Let us learn more about ‘Competency’ and an

© ManagementStudyGuide.com. All rights reserved.

1 Explain what is a Competency

Describe the Components of

3 Explain the Types of Competencies

Describe the Competency Iceberg

Explain the Benefits of Iceberg

© ManagementStudyGuide.com. All rights reserved.

Adaptability Motivation Commitment Creativity Independence

Analytical Emotional Communication

© ManagementStudyGuide.com. All rights reserved.

1 Explain what is a Competency

Describe the Components of

3 Explain the Types of Competencies

Describe the Competency Iceberg

Explain the Benefits of Iceberg

A learned ability; how to How you acquire

1 Explain what is a Competency

Describe the Components of

3 Explain the Types of Competencies

Describe the Competency Iceberg

Explain the Benefits of Iceberg

Basic Competencies: Professional Competencies:

Intellectual Motivational Emotional Social

© ManagementStudyGuide.com. All rights reserved.

Generic Competencies: Managerial Competencies: Functional/Technical

© ManagementStudyGuide.com. All rights reserved.

• These are the

© ManagementStudyGuide.com. All rights reserved.

It is important to understand whether competencies are unique to a

It is important to understand whether competencies are unique to a

According to the MCBer research, twelve characteristics were

It is important to understand whether competencies are unique to a

According to the MCBer research, twelve characteristics were

Every job at any level in the organization would have a threshold

It is important to understand whether competencies are unique to a

According to the MCBer research, twelve characteristics were

Every job at any level in the organization would have a threshold

Threshold competency is the bare minimum required to perform the

It is important to understand whether competencies are unique to a

According to the MCBer research, twelve characteristics were

Every job at any level in the organization would have a threshold

Threshold competency is the bare minimum required to perform the

It is summarized as a quality that a person needs in order to do a job.

It is important to understand whether competencies are unique to a

According to the MCBer research, twelve characteristics were

Every job at any level in the organization would have a threshold

Threshold competency is the bare minimum required to perform the

It is summarized as a quality that a person needs in order to do a job.

© ManagementStudyGuide.com. All rights reserved.

© ManagementStudyGuide.com. All rights reserved.

© ManagementStudyGuide.com. All rights reserved.