Newsletter
How to successfully implement a
September 2010
Potential pitfalls in introduc-
ing a competence manage-
ment system into an organiza-
tion.
The business case for a
competence management
system, improved competi-
tiveness through compe-
tence
Barriers to communication
and how to overcome them
The financial benefits of a
competence management
system
The major non-financial
benefits to the organization
Inside this issue:
Pitfalls
Is your organization ready?
The Steering Committee
Implementation
The benefits to the organization
Conclusion
CMS Implementation Flowchart
Competence Management System and the
critical steps involved
By Roger Grice, CEO of Roger Grice Associates Ltd
A new approach to an old problem
I have been involved in the devel-
opment of competence since the
mid eighties and have specified
and implemented a number of
Competence Management Sys-
tems with large companies during
the last fifteen years.
I would like to share with our read-
ers some of the challenges and
pitfalls that face organisations
when embarking on this task for
the first time; and to explain why
some organisations never get it
right!
1 Pitfalls
Communication: If the systems in an or- The second may be deliberate withholding
2
ganization are to be effective, then evi- or distortion of the information by the per-
dently we must have clear and unambigu- son(s) delegated to communicate the in-
3
ous communication with our employees. formation as it is seen to be damaging to
Unfortunately extensive studies have themselves and their own promotional
4
shown that often when we believe we are prospects. Apart from the more obvious
communicating effectively the reality is issues of not trusting the sender of the
5
very different. There are a number of pos- communication, we have the impor-
sible reasons for this dilemma. One of the tant barrier of “information overload”
6
most important is called “perceptual
where there is just too much detailed
bias”; here the receiver selectively filters
7 information to be taken in by the re-
or distorts the incoming information only
cipients.
hearing what they want to hear!
Page 2 How to successfully implement a Competence Management System and the
critical steps involved

Pitfalls (continued)
The communication has got to be clear and unambiguous and not “sent from on high”; that is, the com-
munication must be conveyed by someone who is very “visible” to the recipient, as research shows that
the effectiveness of communication is inversely proportional to the distance between the sender and the
receiver.

Buy-In: If the Competence Management System is going to deliver the results that you want it to you will
have to have the full support of the Senior Management Team. The commitment of the CEO has to be visi-
ble to all the workforce; and this might be accomplished through an official statement as well as the usual
meetings with the Senior Management Team. The “top down” approach has to be matched by an effective
program of gaining support from those at a lower level in the hierarchy. This has to be tackled in a num-
ber of ways and must be kept up until the communication is known to have been effective.

Is your organization ready?

As we have already seen, communication is an issue which cannot be ignored if the Competence Manage-
ment System is to be totally successful. We have to devote a considerable amount of time and effort to
this part of the project, after all this is about organisational development and the management of change
and when ignored or neglected it is likely to thwart the very best of Competence Management Systems.

How to succeed with the project

The CEO and members of the senior management team (SMT) need to understand the tremendous bene-
fits to the organisation that a fully implemented CMS can deliver. To achieve the level of management
support needed for the project, a sound business case must be prepared based on a cost-benefit analy-
sis.

The SMT will be charged with drawing up the strategy for the project. It is imperative that everyone in the
team has a clear understanding of the “up-front” costs and the way in which the project will be “rolled
out” within the organisation. The SMT will require a full presentation of the project including the overall
project plan, timelines and milestones. The business case should also inform the SMT of the mainte-
nance costs for the CMS when it is embedded within the organisation.

At a very early stage, a Competence Management System Steering Committee needs to be established
within the organisation. This must be “headed up” by a SMT member such as the VP.

It is not recommended that any attempt is made to show all the employees within the organisation the
CMS overview at too early a stage. It is better to introduce the concept of competence and how it can be
developed within the organisation and the benefits to individuals through departmental meetings and
 Newsletter Page 3

training sessions, preferably with the help of trained facilitators. Indeed it is

wise to conduct communication sessions with supervisors and team leaders
first so that any suspicions about the motives for the project are allayed and
the support of this group of employees is secured early on. Any misconcep-
tions about the programme need to be cleared up at this point because inevita-
bly discussion will take place informally outside the official communication
Communication is an essen-
sessions and the support of supervisors and team leaders is imperative. It is
tial component of the pro-
during these communication sessions that training and development and the ject.
investment of the company in the individual need to be emphasised. It is rec-
ommended that value added to the individual is emphasised and that this is a
“win-win” situation for both employee and employer. Indeed these communica-
tion sessions need to stress the importance of the involvement of the individual
employee and the sense of ownership and responsibility that they will have for
their own development and the improvement in promotion and career possibili-
ties. Achieving this aspect of the communication process will greatly help to
ensure that the project is a success.

The Steering Committee

“it is advisable
This Committee has to be seen as providing tangible support and resources to
that a
the project; in this way the project will not be seen as the sole responsibility of “champion” is
any one individual or department. There are several advantages in this ap- identified in
proach including reducing the negative impact of internal politics which can the
result in “blame stories” being concocted as means of explaining lack of pro- organization,
gress in the implementation stages of the project. However it is advisable that a and this
person is a
“champion” is identified in the organisation, and this person is a major stake-
major
holder; and has much to gain from the success of the project. This person
stakeholder”
could be the Plant Manager or Operations Manager who has the greatest num-
ber of employees benefiting from the successful implementation of the CMS.
Normally it might be anticipated that a disproportionate amount of assistance
would be required from the IT and HR departments but with the latest user
friendly Competence
This story can Management Software like Sentrico™ this should be
fit 75-125 words.
Selecting reduced.
greatly The IT Department
pictures or graphics is an importantand
part HR will of
of adding course
content have
to your to be involved at
newsletter.
a very
Think early
about stage
your articleand
and the HR department
ask yourself if the picturewill probably
supports be thethe
or enhances custodian of the
message you’re
trying to convey. Avoid selecting images that appear to be out of context.
CMS; whilst the IT Department will be responsible for its installation and overall
Microsoft Publisher includes thousands of clip art images from which you can choose and import
maintenance. Many organisations use the company intranet for their IT support
into your newsletter. There are also several tools you can use to draw shapes and symbols.
but increasingly web based systems are gaining in popularity as they can be The project requires leader-
Once you have chosen an image, place it close to the article. Be sure to place the caption of the
ship and commitment as well
used 24/7the
image near and support global business practice.
image.
as a shared vision.
Page 4 How to successfully implement a Competence Management System and the
critical steps involved

Steering Commitee (continued)

When considering this business approach it is recommended that a web-based system like Sentrico™ is
considered because unlike many other systems it is not installed on a remote server and remains under
the complete control of the organisations own IT Department. Naturally when using a host organisation‟s
server we have to consider the security of the system particularly regarding Data Protection legislation.

Implementation
There is often a temptation to take on too much too quickly, to try and cover as many jobs as possible,
but the best way is to launch a pilot instead. In this way the organisation has a chance to learn and be
successful with each of the jobs that form part of the project. The organization has the opportunity to
practice double loop learning; that is they learn what went well or not, and how long it really took. This
learning process is valuable because it is then possible to plan accurately and allot suitable and adequate
resources. The most important aspect of the learning process is the acceptance of the organisation that
the transition is not just desirable but achievable and readily understood. Following the successful pilot
the programme can be rolled out to the rest of the organisation. The success of the pilot will encourage
others who may have had their doubts about the efficacy of the project; in particular the heads of depart-
ments, managers and team leaders referred to earlier will feel empowered and confident.

Financial Performance Indicator or ROI

Some of the measures which organisations put in place lack clear business indicators but with CMS it is
possible to quantify the improvements by the Return On Investment or ROI. Unfortunately many organisa-
tions are unable to evaluate the savings and economies that are made when the CMS is operating. Indi-
viduals are expected to contribute to team performance, which in turn contributes to departmental and
organisational KPIs or key performance objectives. However a Competence Management System like Sen-
trico™ has the facility to monitor and provide management reports on the progress an individual is mak-
ing towards achieving these KPIs. As the employee gains competence they will be more efficient and ef-
fective in their duties and the overall team performance will improve. Everything that an organisation does
that does not add value for the client is “waste”; most organisations waste huge amounts of money by
incorrect work, rework, rectifying mistakes and dealing with customer complaints and warranty claims. A
CMS that is effective will very quickly pay for its self with dividends. The list that follows is not exhaustive
but will give some idea of what other benefits can be expected.
 Newsletter Page 5

The benefits to the organisation

Savings to the training budget by eliminating training that is unnecessary or is
inappropriate at that time.

Training that is specific and the effectiveness of which can be measured as it is

targeted to meet the requirements of the organisation.

Training and development that can be measured and meets Kirkpatrick‟s 4th
Level of evaluation of effectiveness (most training courses do not exceed the
2nd Level). With a system like Sentrico™ we are able to show the tangible bene-
fits of training and the impact on the “bottom line”.

Just-in–time or JIT delivery of the training intervention; all too often the training
is carried out without due regard to its timing and this reduces its impact as it
lacks relevance to the individual and more importantly they are unable to prac-
“With a system
tise the skills they have learnt about in a real work situation.
like Sentrico™
The elimination of all training that is not relevant to the organisation, and in-
we are able to
creased relevancy of the training carried out to the individual.
show the
Human Resource Planning and Recruitment – Recruiting people for an organi- tangible
sation means understanding the sort of person required for the job. By taking a
benefits of
competency based approach to HR planning, the exact competencies required
training and
can be analysed and matched with what is available within the organisation.
the impact on
Appraisal to Performance Management – A Competency Management System
the “bottom
like Sentrico™ can monitor employees‟ development throughout any given time
line”.
period and help to maintain a Performance Management system by emphasis-
ing formal and planned development.

Improved training vendor responsiveness and performance with much greater

levels of accountability as the training can be designed to satisfy the require-
ments of the organisation as accurately specified using the company standards
of competence. This could lead to a reduction in course length and the time the
This story can fit
employees are 75-125
awaywords.
from their workplace.
Selecting pictures or graphics is an important part of adding content to your newsletter.
Training – A Competency Management System can provide a snapshot of the
Think about your article and ask yourself if the picture supports or enhances the message you’re
training requirements
trying to convey. within
Avoid selecting thethat
images organisation at of
appear to be out any given time and provide a
context.
simple
Microsoftsolution to increase
Publisher includes the focus
thousands onimages
of clip art training
fromand
whichenable
you canthe rewards
choose of de-
and import
into your newsletter.
veloping There are and
the versatility also several tools you can
employability of use to draw
human shapes and to
resources symbols.
become ap-
Once you have chosen an image, place it close to the article. Be sure to place the caption of the
parent.
image near the image.
Page 6 How to successfully implement a Competence Management System and the
critical steps involved

Industry, for example, requires rigorous selection processes; a Competency Management System can as-
sess if an individual is capable of performing a specific job role.

External Influences – A Competency Management System can help to demonstrate the competence of in-
dividual employees and the overall competence of the workforce to „hallmarked‟ standards. It can also
assist with Quality Management standards eg. ISO9001 and 14001 or approval by an industry body such
as OPITO.

Conclusion

I have explained the pitfalls and the difficulties that can be anticipated in the process
of installing a Competence Development System into an organisation. I have also
described the very real and tangible benefits to those organisations that make the
successful transition. Perhaps it is time to ask a few pertinent questions at this
point, such as:

“In an increasingly global marketplace how can we remain competitive?”

“If our competitors are more efficient and use more competent employees to
produce their products or provide their services will we survive?”

“Can we afford not to do anything about the competence of our employees, and
will delay prove to be an error of judgement with very serious consequence?”

As we have seen with Deepwater Horizon, Buncefield recently and Piper Alpha,
Flixborough and Bhopal in the past the competence and behaviour of the workforce
at all levels is of paramount importance to achieving safety; an effective CMS is a
major factor in achieving a safe working environment and zero “lost time injuries”.

A competent workforce is a safe workforce.

 Newsletter Page 7

A Simplified CMS Implementation Flowchart

Hold structured meetings with Senior Managers to

raise level of awareness of the project.

Establish Steering Committee for project and its

terms of reference.

Appoint the “champion” for the project and the

terms of reference.
“These
communication
sessions need
Hold communications meetings with Supervisors to stress the
and team leaders.
importance of
the
involvement of
Select “pilot group” of jobs for initial compe- the individual
tence development programme. employee and
the sense of
ownership and
responsibility
Communicate with the individuals involved in the
pilot program and ensure communication to rest that they will
of workforce is also effective. have for their
own
development
and the
Learn from the pilot programme and ensure all improvement
aspects of learning process are recorded and in promotion
reflected upon.
and career
possibilities”

Roll-out the competence management system

This story can fit 75-125 words.
covering the remaining jobs covered by the pro-
Selecting pictures or graphics is an important part of adding content to your newsletter.
Think about your article and ask yourself if the picture supports or enhances the message you’re
trying to convey. Avoid selecting images that appear to be out of context.
Microsoft Publisher includes thousands of clip art images from which you can choose and import
Measure and quantify the savings made and the
into your newsletter. There are also several tools you can use to draw shapes and symbols.
improvements in efficiency.
Once you have chosen an image, place it close to the article. Be sure to place the caption of the
image near the image.
Roger Grice Associates Ltd
Windsor House
107 Talbot Road,
Rhondda Cynon Taff,
CF72AE
United Kingdom.

Phone: 44(0)1443 228612

E-mail: post@rogergrice.co.uk

Please visit our website:

www.rogergrice.co.uk

About Roger Grice Associates Ltd and Sentrico ™

Roger Grice is the CEO of a Consul-
tancy that specialises in business so-
lutions for medium and large enter-
prises, particularly in the energy, oil
and gas sector. With our team of
highly qualified and experienced con-
sultants we are able to assist our cli-
ents in organizational development
and business improvement through
the development of their own people.
We believe passionately in what we
do and strive to provide a service
which is truly “world class”. Major pro-
jects that we have been involved in
have received international recogni-
tion for their novel approach and the
sustainable development of the local
workforce to competence standards
recognised throughout the world.
Roger has over twenty years experi-
ence in the oil and gas business and
is a “world class” training expert with
an MSc in Training and Performance
Management .
Sentrico™ is a new software system
developed by Roger Grice Associ-
ates to meet the challenges of or-
ganisations in a increasingly com-
petitive global market place where
the competence and performance of
the workforce is of paramount im-
portance to establishing and main-
taining a competitive advantage
over rivals. It has many unique fea-
tures and although very powerful is
user friendly too.
Eur Ing Roger Grice MSc BA (Hons)
C.Eng. MIEE. FCIPD. CMIOSH.