Performance Management Based On Competence Model

The advent of the knowledge-based economy has made a big change to the enterprises' operating environment, the rapidly changing business environment make the enterprises pay more attention on the future performance, so the training and development of the employees become more and more important. This change required the enterprises to improve their management level; the traditional mode of human resource management which based on job analysis can't meet the new requirements. Strategic human resource management attracts more attention. The concept of competence and competence model provides a new view for human resource management.Performance management is at a very important position in the whole human resource management system. Because of the change of the enterprises' operating environment and the progress of the management theories, performance management has a new trend. This paper proposed to build a system based on competency model after analyzing three existing modes of performance management and the trend of performance management.Competency research began in the early 1970's in U.S.A. Most of researchers agree that competencies are enduring traits or characteristics that help determine excellent job performance. Using the competency model in the performance management accord with the trend of performance management, and can help to find balance between finishing work and how to finish it. This paper analyze the characteristics and the operating process of the new mode, introduce how the advantages show in the performance management process of performance plan, performance communication, performance evaluation, performance feedback.Each management mode has its requirements about the implement condition. This paper also discusses the issues that should know during apply the performance management based on competency model, which include the apply scope, the persons who do the evaluation, the change of the human resource management idea and the role of the manager. Also, the paper discusses the security system of the new mode. The new mode based on competency model doesn't deny the traditional mode totally. It is used to perfect the existing mode, makes the existing performance management process have more abundant content. It makes the performance management concentrate on the items related to the excellent performance, build a good foundation for the employees' training and development. The new mode is a useful way to get sustaining competitive advantages for enterprises.