Competency based Human Resource Practices and Organisational Productivity - An Empirical Evidence from Indian Companies

Purpose - This paper reports the findings of a study examining the relationship between “Competency Based Human Resources Practices” and “Organisational Productivity”. Design/Methodology/Approach - Competency Based HR Practices, Organisational Productivity were assessed in an empirical study based on a sample of 161 respondents in companies based in India having Leadership Competency practices. Findings - The findings from Structural Equation Modelling (SEM) reveal that the competency models are influencing Human Resource Practices in Succession Planning, Capability Building, Superior Performance, Better Selection, and Assessment Centre. The direct relationship between competency Based HR practices and Organisational Productivity and Adaptability was found. Practical Implications - The framework provided in this paper helps practicing managers using leadership competencies to effectively apply in Human Resource practices for specific strategic needs of the organisation. The paper also highlights the significance of Organisational productivity from competency based HR perspective. Originality/Value – The relationship between “Competency based HR Practices” and “Organisational Productivity” were explored theoretically and tested empirically in an Indian context