The terms 'competencies' and 'competences' have been around in a business sense since the early 1970s and mid-1980s respectively. There has been much discussion about what they are, to whom they should apply, their use and usefulness. The more discussion and the more fuel added to the debate, the more scope there has been for confusion and lack of focus in their definition and application. The purpose of this management briefing is not to add to the theory on competencies and competences but to: *bring clarity to the realistic and effective application of competencies and competences throughout the organisation; *define ways in which they might be applied straightforwardly and relatively quickly in a practical and immediately useful combination; *show how you can make them impact on corporate success providing the linkage from corporate vision and mission, through the corporate plan, to identification of department targets and individual objectives; *demonstrate that applying competencies and competence correctly brings cohesion, real value added and direction to the activities of the HR function and all employees.Contents: Foreword by Peter Humphrey, Group Personnel Director, Securicor plc Acknowledgements *Introduction *Background to and understanding of competencies What are competencies? How do we define competencies?The pivotal role of HR *Preparing for excellence through understanding and commitment New economics The real stakeholders *Recognising competence as central to corporate success Differentiating factors Production Market awareness Human capital application *The competent organisation The strategic vision A mission of competence The corporate plan Divsional objectives Department management goals Competence in process management Individual achievement *Competency achievement and development Assessing and shaping contribution to meet corporate needs Achievement review Ratings Continuous review Linking to other measurables and coping with slippage *The competent individual The competency portfolio Shared development responsibility Personal matters *Competency cost control Recruitment Training and development Pay and progression The need for corporate recognition *HR - guardians of competence Professional status Corporate competencies Manpower planning Recruitment Performance management Training Management development Grading and progression Pay Succession planning HR guardianship *Competencies in action - mini case studies Case study 1: Bank of Scotland Case study 2: Desoutter Case study 3: Government regulatory body *The way forward Achieving acceptance Project plan Identifying competencies Competency matrices Evaluation Manpower and succession planning Recruitment Performance management Training Developing competency-based pay Planning maintenance *Conclusion and further assistance Appendices *Outline proposed to introduce a competency framework *Competency matrix *Prioiritising support function competencies for improvement *Example of the definition and anchoring of competencies *Competency achievement and development review