This will enable the optimum utilisation of competencies to streamline and regulate the functions within the department. A few examples of competencies are leadership, initiative, flexibility etc. Competencies can also be further subdivided into core competencies, job competencies, role competencies etc based on the requirement of different Organisations:
a.) A 360-degree appraisal/feedback scheme: This initiative is typically deployed in organizations to ensure that no bias exists in the appraisal / feedback of an employee. The employee has the right to provide feedback about his supervisor to his / her skip level supervisor. Therefore, an increased amount of accountability exists in all roles. If the supervisor or the skip level supervisor is not competent enough to guide the employee who is well aware of the role and the area in which he is working, remedies need to be made. Unnecessary administrative control is hence minimized and better streamlining happens. However, 360 degree appraisals schemes based on competence are challenging to implement and not all personnel react in the same to way to a transparent appraisal / feedback scheme, it is essential to have experts design these schemes and educate personnel about the benefits of such a scheme before it is implemented.
b) A broadbanding payment scheme: Broad banding payment schemes have come to replace the tradition...
Broadbanding has led to traditional job evaluation factors getting replaced by competence -related factors. The competency of a person is taken into account while fixing remuneration and employees are assigned bands on the basis of their career stage or level. Annual or semi-annual salary raises which happen within a career band are then assessed based on competence. The employee who demonstrates enhanced competence in delivering according to his goals is given a higher raise. Broadbanding brings with it many advantages. It becomes easier for the management to recognize individual value. Further, reorganization of job roles and work becomes possible as competencies of the individuals are known. It is easier for management to do away with hierarchies and build a flat organization, hence reducing the requirement of additional administrative resources. According to Kamakura (2003), "One of the key changes in technical professionals. compensation is a shift from tightly structured salary ranges and centralized control of traditional programmes to remuneration or career bands. The bands increase flexibility to respond to labour market trends and to recognize individual growth and contributions." (p. 45)
c) A traditional performance appraisal scheme: A traditional performance appraisal scheme focused on two things; first is to provide feedback to employees in the context of past performance to improve their performance in future, second is to validate and refine organizational measures and identify areas of training / improvement to be provided to the workforce to enhance their skills and efficiency. Data from these schemes were used to make payment decisions. Competency based performance appraisal