How To Identify Your Workforce’s Core Competencies

In our previous blog, we discussed why it’s super important to conduct a competency gap analysis for your team at the start of 2025. We also touched on how to do one, and we mentioned this key thing: identifying core competencies. These are the essential skills, knowledge, and behaviors that help close those skill gaps and boost everyone’s performance.

Think of core competencies as the foundation.

They’re the fundamental skills, know-how, and ways of working that employees need to not just do their jobs but to excel and contribute to the company’s success as a whole. They’re not just nice-to-haves; they’re the must-haves.

When you nail down what these core competencies are, you get a much clearer picture of exactly what skills and knowledge your people need to shine in their roles. And that’s incredibly valuable! Because then you can use that information to create targeted training programs – ones that actually address the specific gaps, not just general training. You can also use it to improve how you manage performance, making sure everyone’s working towards the same goals and has the tools they need to get there. Ultimately, focusing on core competencies helps you build a high-performing team that’s ready for anything the business throws its way.

So, how do you identify these core competencies?

In this blog, we’ll be taking you step by step through the five keys to pinpointing the fundamental qualifications each member of your workforce needs to function to their full potential.

How to Identify Core Competencies.

Here are the five key steps to identifying your team’s core competencies:

1. Align Core Competencies with Strategic Goals:

Alright, so let’s talk about making sure everyone’s skills are actually helping the company move forward. It all starts with knowing exactly where the company wants to go – and by this we mean, what are the big-picture goals? What are we trying to achieve here? So, the first thing you have to do is clearly define your organization’s strategic objectives. You know, paint a really clear picture of what success looks like. Strategic management is one of the things that can help you with that.

Once you’ve got that clear picture, the next step is to figure out what skills people need to actually make that success happen. Say, for instance, if your goal is to climb a mountain (we don’t know if you want to climb a mountain but please just stick with the instance), you need to know you have people who can climb, right? So, you need to identify the key competencies needed to achieve these goals. What are the essential skills, knowledge, and abilities that will get you there?

And here’s a really important point: when you’re thinking about these skills, don’t just focus on the technical stuff. Of course, the hard skills – the specific job-related skills – are important. If you’re building software, you need people who can code. That’s a no-brainer. But you also need to consider the soft skills. These are the people skills, the communication skills, the teamwork skills, the problem-solving skills – all the things that help people work together effectively. So, make sure you consider both technical and soft skills. They’re both equally vital for achieving your strategic goals. You can have the best technical experts in the world, but if they can’t communicate or collaborate, you’re going to run into problems.

2. Conduct a Job Analysis:

Now, let’s dive into how we figure out what skills are needed for each job – we call this a job analysis. Think of it like taking apart a machine to see how all the pieces work together. First, you need to break down each role into its core tasks and responsibilities. What does someone in this position actually do on a day-to-day basis? What are their main duties? What are they responsible for? Get really specific here. Don’t just say ‘manages projects’; say ‘develops project plans, assigns tasks to team members, monitors progress, and reports to stakeholders.’ The more detail you have, the better.

Once you’ve got a solid list of tasks and responsibilities, the next step is to figure out what specific skills and knowledge are required for each task. So, for each of those tasks you just listed, ask yourself: ‘What does someone need to know or be able to do to perform this task effectively?’ For example, if one of the tasks is ‘develop project plans,’ they might need skills in project management methodologies, risk assessment, and using project management software. They also need knowledge of the company’s processes and the specific industry they’re working in.

And here’s another crucial piece:

It’s not enough to just say someone needs ‘communication skills’ or ‘project management skills.’ You need to consider the level of expertise needed for each skill. Is this an entry-level position where basic knowledge is sufficient? Or is this a senior role that requires expert-level proficiency? For example, a junior project manager might need a basic understanding of project planning, while a senior project manager needs to be a master of it, capable of handling complex projects with multiple teams and stakeholders. So, think about the level of expertise required for each skill – that’s key to finding the right people and developing effective training programs.

3. Gather Input from Stakeholders:

Okay, so we’ve talked about figuring out what skills are needed for each job by analyzing the job itself. But here’s the thing: it’s super important to get input from the people who are involved in those jobs every day. We need to gather input from stakeholders. This means involving managers, supervisors, and, crucially, the employees themselves in the process. They’re the ones who know the ins and outs of the role best, right?

To get this valuable feedback, you can use a few different methods. You could conduct surveys to get a broad range of opinions quickly. You could do one-on-one interviews to get more in-depth insights. Or you could organize focus groups – which are basically small group discussions – to encourage more interactive feedback and brainstorming. Each method has its pros and cons, so choose the ones that work best for your situation.

And here’s a really important point to keep in mind:

Make sure you consider the perspectives of different departments and levels within the organization. Someone working in sales might have a different perspective on the skills needed for a sales role than someone in marketing or customer service. Similarly, a junior employee might have a different perspective than a senior manager. By gathering input from a diverse range of stakeholders, you’ll get a much more complete and accurate picture of the skills and competencies that are truly needed for success in each role and for the organization as a whole. It’s all about getting a well-rounded view.

4. Prioritize Core Competencies:

Now so far we’ve gathered all this information about the skills needed for each job, and we’ve gotten input from everyone involved. Now comes the tricky part: figuring out which skills are the most important. This is where we prioritize core competencies. It’s all about figuring out which skills are essential for the company to succeed.

The first thing to do is to rank competencies based on their importance to the organization’s overall success. Not all skills are created equal. Some skills are nice to have, while others are crucial for achieving your strategic goals. So, you need to figure out which ones have the biggest impact. Which skills will move the needle?

Then, once you’ve got that ranking, you need to focus on the most critical competencies for addressing immediate needs. What are the most pressing challenges the organization is facing right now? What skills are needed to overcome those challenges? For example, if the company is launching a new product, skills in marketing, sales, and product development might be prioritized. You can’t do everything at once, so it’s important to focus on what’s most urgent.

But here’s the thing: you also need to think about the long term.

It’s not just about addressing immediate needs; you also need to consider the long-term implications of developing certain competencies. Which skills will be important for the company’s future growth and success? Which skills will help the company stay competitive in the long run? Sometimes, investing in developing certain competencies now, even if they’re not immediately needed, can pay off big time in the future. It’s about finding the right balance between addressing immediate needs and investing in long-term growth. You’ve got to think both short-term and long-term

5. Validate and Refine these Core Competencies:

Alright, so we’ve done all this work to identify and prioritize the core competencies. But we’re not quite done yet! Well, after discussing this we will be. It’s really important to double-check everything and make sure we’ve got it right. This is where we validate and refine our work. It’s like proofreading a really important document before you send it out – you want to make sure there are no mistakes.

The first step is to review and validate the identified competencies with key stakeholders. Remember those managers, supervisors, and employees we talked to earlier? Well, now’s the time to go back to them and say, ‘Hey, here’s what we’ve come up with. Does this look right to you? Are we missing anything? Is anything out of place?’ Getting their feedback is crucial because they have firsthand experience and can spot any potential issues.

Based on that feedback, you’ll likely need to make some adjustments. That’s perfectly normal and part of the process. You might realize you need to tweak the wording of a competency, add a new one, or even remove one that’s no longer relevant. The goal is to ensure accuracy and relevance – you want to make sure the competencies accurately reflect the skills and knowledge that are truly needed.

And here’s something else to consider:

The world is constantly changing. New technologies are emerging, and industry trends are shifting all the time. So, when you’re validating and refining your competencies, you also need to consider the potential impact of future trends and technologies. Are there any emerging skills that will become essential soon? Are there any existing skills that might become obsolete? Thinking about the future will help you make sure your competencies are not just relevant today, but also tomorrow. It’s about future-proofing your workforce.

The Takeaway…

So, there you have it! We’ve covered a lot of ground, from understanding why a competency gap analysis is so crucial to defining, prioritizing, and validating those all-important core competencies. Remember, it’s not just about identifying any old skills; it’s about pinpointing the right skills – the ones that will truly drive your organization’s success, both now and in the future.

By aligning your talent with your strategic goals, conducting thorough job analyses, gathering input from everyone involved, and constantly refining your approach, you’re setting your team up for success. You’re building a workforce that’s not only capable of meeting today’s challenges but also prepared to tackle tomorrow’s opportunities.

This process isn’t a one-and-done thing. It’s an ongoing cycle of assessment, refinement, and adaptation. The business world is constantly evolving, so your approach to competency management needs to evolve right along with it. By making this a continuous process, you’ll ensure your organization remains agile, competitive, and ready to thrive in the ever-changing landscape.

And here’s a crucial reminder: you don’t have to do this all on your own! We have a dedicated talent management team and a learning and development team ready to take the burden of this analysis off your shoulders. They’re experts in this area and can provide valuable support and guidance. So, while understanding the process is important, remember that you have resources available to help you implement it effectively. This allows you to focus on what you do best: running your business. So, take these steps, leverage the expertise of our teams, invest in your people, and watch your organization flourish.