Competency Based Performance Appraisals

In the competency based approach to performance appraisals, a hierarchy defines job competencies. For example, a company can define:

  • Core organizational competencies.

  • Competencies that are specific to business units.

  • Competencies that are specific to job groups.

  • Competencies that are specific to a job.

You link the competency hierarchy of a job to the employees in the job. Each job description automatically inherits the competency definitions for each applicable level.

Managers use the performance appraisal to assess the current level and consistent demonstration of each competency and to assign an applicable rating. The system weighs and averages rating factors and then calculates an inclusive performance rating for each employee. The system tracks the most current performance appraisal rating in the employee competency database. The system then tracks the overall competency or performance rating in the Employee Master Information table (F060116) for subsequent consideration in compensation analysis and focal reviews.