Abstract

This article within the magazine Gruppe. Interaktion. Organisation. (GIO) provides an overview of established and new ways in competence management, with a focus on the HR Analytics approach. Competence management has come a long way. Since the beginning of competence research in the 1970’s technological progress and altering competence demands among employees have drastically reshaped the landscape of employment. Handling complexity and large amounts of information has become essential in order to keep up with developments of today’s world. The globalised competition has fostered an increasingly intense ‘War for Talents’ under volatile circumstances. How can an organisation develop an anticipative competence strategy if there are so many variables regarding the future? Since digitalization and the evolving field of big data and predictive analytics enable new ways of information processing, new concepts for human resources management are required. The most prominent approach nowadays is a company-specific competence model that is derived from the organisational strategy. Employees are developed with regard to the competence strategy—even though it might turn out as too rigid to react flexibly to changing environmental conditions in a steadily faster global competition. We state that this process can be extended by a data-driven approach in order to support HR departments and achieve an improved rate of correct assessments for future HR developmental measures.

Highlights

  • The conceptual field of HR analytics is characterized by novelty, a high degree of uncertainty and emotional debates about the borders between opportunity and adequacy

  • While HR analytics seems to stand in strong contradiction to values in regard of personal data management it offers benefits for individuals who agree to share their data

  • While there is a high uncertainty within future developments and consequences in HR analytics an early adoption could either secure competitive advantage and market share or result in high expenses for a system that does not deliver the desired strategically relevant insights for one out of numerous reasons

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Summary

About the relevance of competence management

Since the 1980’s competence demands among employees have increased (Erpenbeck et al 2007) fostering a so-called ‘War for Talents’ (Michaels et al 2001; Jochmann 2006). One reason for the increasing relevance of Human resources development (HRD) is caused by the acceleration of economy and the shortened product life cycles at the same time that reduce the timeframe in which a skill is relevant to the market (Wildgrube 2018) This means that increasing complexity and rapidly changing competence demands within the economy no longer require an observing and reactive competence strategy, but rather a strategic advance planning and strategies for competence development under high uncertainty (Becker 2009). There is a perceived shift in competence demands, but there are only few studies that focus on the relation between new technologies fostered by the 4th industrial revolution and changing competence and qualification demands which are based on company surveys (Arntz et al 2016) Such changes within the job landscape and demands among certain professions have a serious influence on various facets of work environment. The economic and social changes of the past years lead to the conclusion that a company must hold a solid understanding of its competence demands and its employees skill profiles especially in hindsight to changing future competence demands initiated by disruptive system changes (World Economic Forum 2016)

Latest developments in competence management
Competence models
New approaches to competence strategies
HR analytics
14 Ethical implications for the implementation of HR analytics
17 Conclusion
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