Developing performance-linked competency model: a tool for competitive advantage

Abstract

Abstract Purpose The aims of the article are to not only review existing competency models and offer a comprehensive performance-linked competency model towards sustaining competitive advantage, but also validate the proposed model in an Indian textile organisation. Design/methodology/approach The article operationalises the term "competency" and intends to develop a comprehensive performance-linked competency model after analysing the existing models with respect to competitive advantage; and the model has been validated empirically in an Indian textile company using data envelopment analysis (DEA), cross-efficiency DEA, and rank order centroid (ROC) methods. Findings It reveals that the comprehensive performance-linked competency model focuses on competency identification, competency scoring and aligning competency with other strategic HR functions in a three-phase systematic method which will subsequently help the organisation to sustain in the competition. It has further been shown how using DEA, cross-efficiency DEA and ROC, an organisation can align individual performances and their competencies in terms of efficiency. Research limitations/implications If the number of competencies get increased, DEA cannot be used. Practical implications This can be applied to industry for more efficient and effective performance measurement tool. Originality/value The paper enables organizations to systematically manage their employee competences to ensure high-performance level and competitive advantage.

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 60 citations exist upstream.

Papers that cite the same references — the relational fallback while embeddings are still backfilling.