State-Owned Enterprise Middle Manager Selection System Based On Competency Model

The announcement of the "CPC (Communist Party of China) Central Committee’s decision on major issues of deepening the reform" in the Third Plenary Session of the 18th Central Committee of the CPC officially opened a new chapter in China’s reform. As an important part in the comprehensive deepening of the reform, state-owned enterprise (SOE) reform has also been given the new era of significance. All along, the state-owned enterprises as the mainstay of the national economy, is an important foundation for the governance by the Communist Party of China. SOEs have made outstanding contributions in expanding employment, improving people’s lives, promoting economic development and other fields. Whether the reform and development of state-owned enterprises can achieve the desired goal in the future to boost social and economic development is inseparable to the party’s leadership. Strengthening the Party leadership of the state-owned enterprises is the fundamental guarantee to further deepen the SOE reform and development, and the excellent middle-level manager team is an important support of this guarantee. Leading managers with excellent quality, outstanding ability and performance are urgently needed to implement the deployment of the CPC Central Committee on deepening series of important reforms on state-owned enterprises. Therefore, the selection and training of such a group of high-quality managers for the sustainable development in state-owned enterprises is very critical.From the perspective of selecting and appointing managers of state-owned enterprises, this paper describes the application of competency model in the middle-level manager selection in state-owned enterprises by linking theory with practice. Taking literature study as a starting point, the paper analyzes the main ideas and methods of the current competency model building and uses a state-owned enterprise G Company as a case study. Through historical data analysis, panel discussions, questionnaires and related statistical analysis tool, the paper builds a general competency model for G Company’s middle-level managers, which includes the five dimensions "personality, shared visions, mobilizing people, control tactics, and pioneering spirit" of 20 competency elements. The paper provides a definition of the proposed competency model, defining competent behaviors from the "competent" to "excellent" division levels.Finally, based on the understanding of job competency during the competency model building process, the paper proceeds with the three main approaches to select middle-level managers in the state-owned enterprise, internal selection, training/development and recruitment, describes the idea of integrating the proposed competency model integration with the existing selection for specific steps, and provides new ideas and methods for middle manager selection and appointment system based on the mature competency model in state-owned enterprises.