1. Core Competencies Training for
Supervisors
Reviewed April 2013

2. Introduction
Core competencies are the capabilities that are essential to a
business achieving competitive advantage. They are the skill
set and experience of the business activity, rather than physical
or financial assets. It is essential for all management employees
to be able to identify, develop and implement their company’s
core competencies to sustain their company’s long-term
competitive advantage.
This sample presentation is intended for presentation to
supervisors and other management staff. It is designed to be
presented by an individual who is knowledgeable in core
competencies, organizational development, and the company’s
strategic plan. This is a sample presentation that must be
customized to include the company’s policies, culture and
strategic plan.
©SHRM 2008
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3. Objectives
Objectives
At the end of this presentation, you will be able to:
•
•
•
•
State what core competencies are
Cite the reasons for establishing core competencies
Describe how to identify core competencies
List the six stages of core competency implementation
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4. What are Core Competencies?
Core competencies are:
•
The underlying skills, abilities, knowledge, experience,
technologies or processes that allow a company to provide its
unique set of products or services.
 Example 1: For a software company, the key skill may be the
quality of its code.
 Example 2: For an electronic equipment manufacturer, the key
area of expertise could be the design of the components and
circuits that comprise the particular product.
Core competencies are not fixed – they can and should change in
response to changes in the business environment.
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5. How to Identify Core Competencies
•
To identify core competencies, ask the following:
Do they provide potential access to a wide variety of markets and
do they facilitate the development of new products and services?
> Do they make a significant contribution to the perceived benefits of
the end product?
> Are they difficult for competitors to imitate?
>
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6. Reasons for Establishing Core Competencies
Establishing Core Competencies:
•
•
•
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Allows the business to focus on what it does well
Reduces the number of operations which must be controlled, monitored
and measured
Eliminates distractions
Promotes cohesive corporate culture and fully aligned management and
staff
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7. Questions ? Comments ?
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8. Six Stages for Implementing Core Competencies
There are Six Stages of Core Competency Implementation:
•
Stage One: Analyze Company Competency Needs
Articulate company needs, translate needs into requirements
> Define what the ideal organization looks like
> Can be accomplished through alignment exercise involving
executives and business area managers
>
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9. Six Stages for Implementing Core Competencies (cont’d)
•
Stage Two: Identify Core Competencies
Capture current competencies to establish baseline from which
organization must start to achieve desired final state.
> During this stage, assess quality, uniqueness, and value of
competencies.
>
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10. Six Stages for Implementing Core Competencies (cont’d)
•
Stage Three: Perform Situation Analysis
Compare and contrast capabilities from company needs
assessment (stage one) and those capabilities that are currently in
place (stage two).
> Stage three creates overall competence profile of organization,
classifies issues and opportunities into categories to be addressed
through a variety of strategy options.
>
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11. Six Stages for Implementing Core Competencies (cont’d)
•
Stage Four: Devise Competency Strategy and Plan
>
>
Using results from the situation analysis (stage three), this stage
devises a strategy for developing and focusing on the core
competencies that the company needs for pursuing identified
opportunities and for correcting excess, deficient or obsolete
capabilities.
Document strategies in a plan to map competencies to specific
delivery mechanisms.
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12. Six Stages for Implementing Core Competencies (cont’d)
•
Stage Five: Implement Competency Strategy
Perform steps necessary to begin deploying competence strategy.
Same issues, problems and requirements as any other
implementation.
> Take long range view towards shifting competencies.
> Spread implementation effort over two or more years to reduce
disruptive effect of many simultaneous changes.
>
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13. Six Stages for Implementing Core Competencies (cont’d)
•
Stage Six: Evaluate Results
Manage the competency plan evaluation as an ongoing process.
> Use techniques such as benchmarking, service level agreements
and customer satisfaction surveys to help manage and measure
plan’s progress.
>
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14. Questions ? Comments ?
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15. Group Exercise
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•
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What are the core competencies of this company?
What are the core competencies of your department or division?
Are department/division and company competencies in
alignment? If not, what steps can be taken to ensure
alignment?
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16. Summary
Core Competencies are the underlying skills, abilities,
knowledge, experience, technologies or processes that
allow a company to provide its unique set of products or
services.
Establishing core competencies allows the business to focus
on what it does well, reduces the number of operations
which must be controlled, monitored and measured,
eliminates distractions, and promotes cohesive corporate
culture and fully aligned management and staff.
©SHRM 2008
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17. Summary (cont’d)
•
•
To identify core competencies ask if they provide potential
access to a wide variety of markets and do they facilitate the
development of new products and services, do they make a
significant contribution to the perceived benefits of the end
product, and are they difficult for competitors to imitate?
Six Stages of Core Competency Implementation
>
>
>
>
>
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Analyze company competency needs
Identify core competencies
Perform situation analysis
Devise competency strategy and plan
Implement competency strategy
Evaluate results
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18. Evaluation
Please be sure to complete and leave the evaluation sheet you
received with your handouts.
Thank you for your attention and interest!
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