What is a competency model?
A competency model is a structured description of the knowledge, skills, abilities and behaviors people need to do a job, or a family of jobs, well.
Updated
In short
A competency model describes what it takes to do a job well: the knowledge, skills, abilities and behaviors involved. It is usually organized in layers, from competencies everyone needs to ones specific to an occupation. Organizations use it as the base for hiring, reviews, training and career ladders.
Competency model vs competency framework
The two terms overlap and are often used as synonyms. When people tell them apart, the competency model is the description of what good performance needs, often for a whole occupation or industry. A competency framework is an organization’s own working version of it: its areas, its rating scale and the level each role should reach.
Types of competencies
Core competencies apply to everyone in the organization, whatever their job, such as communication or problem solving.
Functional or technical competencies belong to one job family, such as SQL for data analysts or running the month-end close for accountants.
Leadership competencies cover leading people and setting direction. They matter more the more senior the role.
How the layers fit together
The U.S. Department of Labor’s Competency Model Clearinghouse arranges competencies as a pyramid of building blocks: personal, academic and workplace competencies at the base, industry-wide technical competencies above them, and occupation-specific ones at the top.
Our library works the same way on a smaller scale. A shared set of core skills sits under every department, and each department adds its own skills on top.
How to build a competency model in 5 steps
Define what it covers
Decide whether the model is for one role, one job family or the whole organization.
Collect the evidence
Talk to strong performers and their managers, read the job descriptions, and check public sources such as O*NET or an industry model.
Sort the competencies into layers
Separate the core competencies everyone needs from the job-specific and leadership ones.
Describe each competency by level
Say what the competency looks like at each level, from new starter to expert, on one rating scale.
Check it and use it
Test the model with the people who do the job, then use it in hiring, reviews and training so it stays current.
Example
| Skill | Area | Level 1 | Level 2 | Level 3 | Level 4 | Level 5 |
|---|---|---|---|---|---|---|
| Project Management | Delivery | Novice | Basic | Proficient | Advanced | Expert |
| Planning & Estimation | Delivery | Novice | Basic | Proficient | Advanced | Expert |
| Ownership & Accountability | Delivery | Basic | Proficient | Advanced | Advanced | Expert |
| Quality Focus | Delivery | Basic | Proficient | Advanced | Advanced | Expert |
| Problem Solving | Craft | Basic | Proficient | Advanced | Advanced | Expert |
| Domain Expertise | Craft | Novice | Basic | Proficient | Advanced | Expert |
| Continuous Learning | Craft | Proficient | Proficient | Advanced | Advanced | Expert |
| Communication | Communication | Basic | Proficient | Advanced | Advanced | Expert |
| Collaboration | Communication | Basic | Proficient | Advanced | Advanced | Expert |
| Writing & Documentation | Communication | Basic | Proficient | Advanced | Advanced | Expert |
| Stakeholder Management | Communication | Novice | Basic | Proficient | Advanced | Expert |
| Leadership | Leadership | Novice | Basic | Proficient | Advanced | Expert |
| Mentoring | Leadership | Novice | Basic | Proficient | Advanced | Expert |
| Strategic Thinking | Leadership | Novice | Basic | Proficient | Advanced | Expert |
These are the core skills of our library, the layer every department is built on. Continuous learning is expected at Proficient from the first level, while leadership, mentoring and strategic thinking start at Novice and rise one step at each level.
Competency model vs job description
A job description lists one role’s duties, requirements and reporting line, and is written for hiring. A competency model describes the competencies behind good performance across a job family, and stays the same when individual job descriptions change.
Common mistakes
Copying a generic list
A model of “teamwork, communication, integrity” fits every job and helps with none. Add the competencies that make this work different.
Skipping the levels
Without a description of each level, the model says what matters but not how good is good enough.
Mixing the layers
When core, job-specific and leadership competencies sit in one long list, managers cannot tell which apply to whom.
Building it once
Jobs change. Review the model whenever the work does.
Frequently asked questions
What are the types of competency models?
Most models combine three kinds of competency: core ones for everyone, functional or technical ones for a job family, and leadership ones for people who lead others.
What is the purpose of a competency model?
To describe good performance in one shared language, so hiring, reviews, training and promotions judge people against the same things.
What is the difference between a competency model and a competency framework?
Often none: the terms are used as synonyms. When they differ, the model describes the competencies a job needs in general, and the framework is an organization’s own version with its levels and rating scale.
How do you develop a competency model?
Decide what it covers, collect evidence from strong performers and public sources, sort the competencies into core, job-specific and leadership layers, describe each by level, and test it with the people who do the job.
Further reading
- The Building Blocks Model (CareerOneStop Competency Model Clearinghouse (U.S. Department of Labor))
- Competencies (U.S. Office of Personnel Management)
- The O*NET Content Model (O*NET Resource Center (U.S. Department of Labor))
Related
- More real examples: Software engineering career path · Human resources career path · Finance & accounting career path
- Other definitions: Skills matrix · Competency matrix · Competency framework · Career ladder · Career framework · Skills gap analysis
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