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7/25/2019 HR Competencies and the Relationship To
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32
www.ispi.org
MAY/JUNE 2006
Researchers in the field of strate-gic human resource management
have emphasized the view that
systems of human resource
(HR) practices may lead to higher firm
performance and be sources of sustained
competitive advantages (Wright, Dunford,
& Snell, 2001). Competing in todays
tumultuous global economy provides
additional challenges to the HR function
in creating the expected value to create
and sustain competitive advantages.
Brockbank, Ulrich, and Beatty (1999)
argue that for HR to be a profession, HRprofessionals must master the necessary
competencies, and that mastery of HR
knowledge comes from knowing the con-
cepts, language, logic, research, and
practices of HR. Furthermore, mastery of
abilities comes from being able to apply
the knowledge to specific business settings.
With growing emphasis being placed on
HR competencies as a means to increas-
ing HRs effectiveness, this research
study seeks to do several things:
Determine if competencies are predic-
tive of success in the HR profession.
Understand how competencies vary by
type of position within HR (entry level,
manager, director, and executives).
Determine if there is a relationshipbetween specific competencies and
particular responsibilities of HR pro-
fessionals.
Determine the relationship among
education, years of HR experience,
competencies, and compensation.
Competence of an individual is the know-
ledge, skills, abilities, or personality
characteristics that directly influence
ones performance (Becker, Huselid, &
Ulrich, 2001).
Literature Review
To sustain the transformation of the HR
function, HR professionals must develop
and demonstrate a new set of competen-
cies to fulfill their changing roles and
responsibilities (Yeung, Woolcock, &
Sullivan, 1996). In the widely cited
Michigans HR Competency Research
(Brockbank, Ulrich, & James, 1997),
the researchers identified five major com-
petencies expected of HR professionals:strategic contribution, personal credibil-
ity, HR delivery, business knowledge, and
HR technology. Becker et al. (2001) sug-
gested adding strategic HR performance
management as a sixth competency.
HR Competencies and
Their Relationship to
Organizational Practicesby Sunil J. Ramlall, PhD
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According to Becker et al. (2001), the strategic performance
management strategies are probably a little different and
support the notion that HR managers must think differently
about HR. The core dimensions of this competency are (1)
critical causal thinking, (2) understanding of the principles
of good measurement, (3) estimation of causal relationships,
and (4) communication of HR strategic performance results
to senior line managers. It is argued that with a stronger
competency in strategic performance management that an
HR professional would be better able to show correlation
and causal relationships between HR systems and financial
outcomes, customer value proposition, and even competi-
tive advantages.
The Society for Human Resource Management (SHRM), the
University of Michigan Business School, and the Global
Consulting Alliance have since developed the HR
Competency Toolkit, which is in part designed to enable HR
professionals to assess and improve their HR skills
(Brockbank & Ulrich, 2004) and is now used by many HR
professionals across the world. According to SHRM, compe-
tencies have emerged that range from being a specializedand narrow application to being a leading method for diag-
nosing, framing, and improving most aspects of HR.
Furthermore, the research by Brockbank et al. (1999)
showed that HR activities positively impact business perfor-
mance (defined as the financial performance of the business
over the last three years compared to major competitors) by
approximately 10%. Strategic contribution accounts for
43% of HRs total impact on business performance, which is
almost twice the impact of any other domain. These are all
reasons why competencies are being discussed by academi-
cians and practitioners as ways of creating sustainable
competitive advantages.
Many other research findings have pointed to the relation-
ship of HR and HR competencies to increasing profitability
and creating competitive advantages. Competencies are needed
to enable an organization to achieve strategic, creative out-
comes and to maximize productivity.
In addition to traditional HR disciplines, the HR function is
now looked to for expertise in designing organizations and
organizational systems and for managing major changes to
increase competitiveness. Such outcomes require competency
in strategic contribution and ability to deliver HR services.
As cited in Patterson (2004), the following actions are being
taken by HR professionals in response to these respective
trends:
Increasing the use of technology to perform transac-
tional HR functions80%
Increasing HRs role in promoting corporate ethics
67%
Increasing investment in training for HR staff57%
Building people management or human capital compo-
nents into key business transactions (change management,
mergers, and acquisitions)54%
Encouraging certification for HR professionals54%
Measuring human capital52%
Increasing use of specialized HR practitioners31%
Increasing HR outsourcing21%
Decreasing HR outsourcing10%
Decreasing use of specialized HR practitioners9%
The increasingly global nature of competition requires that
firms use all their available resources to survive and suc-
ceed. Wright, McMahan, McCormick, and Sherman (1998)
concluded that this phenomena has resulted in an empha-
sis on the alignment of all functional activities of a firm
(e.g., finance, marketing, operations, etc.) toward the
achievement of strategic objectives. One consequence of
this trend is that many have called for a new strategic role
for the HR function.
This role entails two major aspects. First, the HR executive
should provide input into the firms strategy to ensure thatthe firm has the human resource capabilities to implement
the strategy. Second, the HR function needs to ensure that
the HR programs and practices are in place to effectively
implement the strategy. Given this requirement, it is quite
obvious that HR professionals must be fully competent in
strategy development, implementation, and evaluation.
An approach within the strategic perspective on human
resources management (HRM) pertains to how the overall
set of HRM practices is generally associated with firm per-
formance and competitive advantage (Ferris, Hochwarter,
Buckley, Harrell-Cook, & Frink, 1999). Central here is the
resource-based perspective (Barney, 1991) such that, collec-tively, a firms human resources are believed to have
implications for firm performance and provide a unique
source of competitive advantage that is difficult to replicate
(Wright, McMahan, & McWilliams, 1994).
In another study, business knowledge, customer orientation,
effective communication, credibility and integrity, and sys-
temic perspective were identified as competencies
corresponding to structures and needs in organizations
(Yeung et al., 1996).
A competency model can serve as an integrative framework
for an organizations entire HR system. It can help align theHR system vertically with the organizations strategic objec-
tives or horizontally with other HR functions to ensure
harmony and consistency across the many facets of HR
activities that impact human performance (Rothwell &
Wellins, 2004). Moreover, taking talent management exper-
tise forward is central to the future success of the entire HR
profession (Boudreau & Ramstad, 2003). The authors reiterate
that the HR profession can evolve into a true decision science
Performance Improvement Volume 45 Number 5 33
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of talent and aspire to the level of influence of disciplines
such as finance and marketing.
With the shifting role of HR, organizations must establish
new covenants with customers, manage disruptive technolo-
gies, create new forms of engagements with employees, and
face the scrutiny of investors who determine a firms market
value by assessing its intangibles, not just its present or past
earnings (Ulrich & Beatty, 2001). Tied to the changing
demands of the HR professions are the new competencies
enabling HR to be effective in driving firm performance and
creating sustainable competitive advantages.
Methodology
The study used a cross-sectional design collecting data at
one point in time versus a longitudinal research where data
are collected from a sample at different points in time to
study changes or continuity in the samples characteristics
(Gall, Borg, & Gall, 1996). The target population was HR pro-
fessionals in the upper Midwest region of the United States.
HR professionals for the purpose of this study include indi-viduals who practice in the field of HRM and who hold
full-time exempt positions.
Survey Design
Based on theories, concepts, and frameworks discussed in
the literature review, the author designed a survey as the
primary means of data collection for the study.
The instrument was compiled to include multiple sec-
tions. The first section sought information on the
participants position classification (job title), industry,
years employed in HR, years in current position, and high-est educational attainment. The second section of the
survey had the participant identifying the competencies,
skills, and attributes HR professionals should possess and
the competencies the participants employers emphasize
in various employment practices. Compensation informa-
tion was also included in this section. The third section of
the survey listed 12 specific strategies and activities
(Becker & Huselid, 1998; Brockbank et al., 1999;
Giannantonio & Hurley, 2002). A scale of 15 was used to
indicate the level of competence needed in ones job and,
second, the level of the employees competence for the
specific HR activity; 1 represented least competent and 5
represented highest level of competence.
As a way to determine the construct validity of the instru-
ment and to enhance its effectiveness, a pilot study of the
survey was conducted on a stratified sample of 12 HR pro-
fessionals including senior executives, HR managers, and
HR generalists. Respondents were asked to review the
instrument and provide feedback on the utility of the ques-
tions, recommend additional questions, eliminate questions,
and determine if the questions were able to collect the
appropriate data needed to fulfill the purpose of the study.
Items that were consistently identified by the focus group
were included in the final survey.
Sample
The target population for the study was HR professionals in
the upper Midwest United States belonging to professional HR
associations. Surveys were sent to 224 HR professionals at 66
different companies. The 66 companies were selected through
stratified random sampling as a means to ensure population
validity. The 66 companies represented Fortune 500 compa-
nies, other large and medium-sized companies in retail,
banking and finance, state and city government, agriculture,
education, manufacturing, and transportation industries.
According to Bracht and Glass (1968), one of the criteria for
judging experiments is population validity, which is the
extent to which the results of an experiment can be general-
ized from the sample that participated to the population.
Stratified random sampling ensured that companies wererandomly chosen but included samples from multiple
industries, size of companies, and financial performance,
among other factors. The reason for taking a stratified sam-
ple is to have a more efficient sample than could be taken on
the basis of simple random sampling. Another benefit is the
assurance that the sample will accurately reflect the popu-
lation on the basis of the criterion used for stratification
(Zikmund, 2003).
Given that this study used correlational and causal-compar-
ative research among other statistical tools, it was
imperative to include at least 30 companies in the research.
Using statistical power analysis, 224 employees from 66companies were selected, enabling higher levels of reliabil-
ity, validity, and generalizability. The sample included vice
presidents of HR, HR directors, HR managers, HR general-
ists, and HR specialists. The sample only included exempt
level HR professionals.
Reliability Test
To determine the reliability of the data collected, the author
used Cronbachs alpha to test the responses received. The
quest was to determine the proportion of the variability in
the responses that was the result of differences in the
respondents. The result was 0.668. Under the assumptionthat the item variances are all equal, this ratio simplifies to
the average interitem correlation, also resulting in standard-
ized item alpha of 0.662.
Although an alpha of at least 0.8 would have been preferred,
0.7 would be acceptable given the multidimensional nature
of the data, and, hence, a satisfactory measure of how well
the variables measure the respective constructs.
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Results
Responses were received from
108 of the 224 participants for a
response rate of 48%. There were
three surveys that were undeliver-
able. Of the 108 participants who
returned their surveys, approxi-
mately 18% were HR directors,
34% were HR managers, 25%
were HR generalists, 17% were
HR specialists, and 6.5% were
vice presidents. Table 1 provides
the specific numbers of individu-
als by job category.
Years of Experience
The average number of years of experience for the overall
sample was 10.45 years. Not surprisingly, vice presidents
had the highest years of experience within HR. HR general-
ists and managers had relatively similar years of experience,with HR specialists showing more years within the HR pro-
fession, as illustrated in Figure 1.
Education
Of the 108 participants, 13 had a high school diploma/GED
as the highest educational attainment, 60 had a BA/BS
degree, and 35 had an MBA/MA/MS. Of the 19 HR direc-
tors, six possessed an advanced degree, eight had an
undergraduate degree, and five had a high school diploma
or equivalent as the highest educational attainment. Among
the vice presidents, six of the seven participants had earned
a graduate degree and one had an undergraduate as thehighest educational attainment. Among the HR generalists,
seven had an advanced degree, eighteen had an undergrad-
uate, and two had a high school diploma or equivalent as
the highest educational attainment (see Figure 2 and Table 2).
Relationship Between Specific Competencies and Success
in the HR Profession
For purposes of this study, it was assumed that a higher
level of compensation was correlated with relatively more
success in ones position. The exception may be in a union
environment, where pay
may be based in part on
longevity and not solely
on performance. Thus,
one of the dependent vari-
ables used in this study is
annual base compensation
as a measure of success in
ones position.
The average annual salary for HR directors in this study was
$95,395. HR generalists had an average salary of $74,075; HR
specialists averaged $55,178; and, as expected, HR vice pres-
idents averaged significantly higher at $162,857. Table 3
provides the descriptive statistics for the compensation data.
Based on the findings of Brockbank et al. (1997), the fre-
quency of participants citing knowledge of the business,
strategic contribution, personal credibility, HR delivery, HR
technology, andas added by Becker et al. (2001)mea-
surement as competencies HR professionals should possess
to effectively function as strategic business partners were
listed as some as the core competencies of HR professionals.
Performance Improvement Volume 45 Number 5 35
Table 1. Participants by Job Category.
Table 2. Overall Educational Attainment.
Figure 1. Years of Experience by Job Category.
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As Table 4 shows, the participants of the study did not allagree that the listed competencies were seen as critical to
success in the HR profession. The results showed that
knowledge of the business, HR delivery, and strategic con-
tribution were viewed as the most important competencies.
Quite surprising, especially given the emphasis on ethical
standards and emphasis on gaining respect in organizations,
personal credibility was cited with relatively low frequency
compared to the other measures.
When asked if they understand the business in which they
worked, 57.4% of the respondents stated a level of 4 on a scale
of 15, with 5 being the highest level of expertise. Another
18.5% stated that they had a perfect understanding of the busi-ness, and 24.1% evaluated themselves at either 1 or 2. More
than 80% indicated a 4 or 5 level of expertise in delivering HR
services, with similar results for managing change.
Only 6.5% of the respondents felt that
they had an extremely high level of exper-
tise in strategic contribution. A majority of
the respondents (74.8%) indicated an
average level of expertise in this area.
More than 80% indicated a relatively low
level of expertise in measuring HRs efforts
and showing how HR contributes to the
overall bottom line of the organization.
It has been frequently recommended by
many scholars that HR professionals
should understand the different perspec-
tives of a business and be able to converse
using accounting, marketing, and other
functional areas terminology. More than
70% of the participants perceived them-
selves to have a high level of expertise in
these functional areas and in staying
abreast with HR research findings; how-
ever, approximately 30% were reading
professional and academic journals and magazines on afairly regular basis. This finding supports previous studies
citing significant gaps between HR self-perception and per-
ceptions from scholars and organizational executives. For
example, Wright, McMahan, Snell, and Gerhart found that
line executives seem to view HR as being best at providing
basic HR services but are not quite as impressed with HRs
effectiveness in contributing to the business (2001).
Based on the regression analyses with annual base compensa-
tion as the dependent variable and predictors as HR
measurement, knowledge of the business, HR technology, per-
sonal credibility, strategic contribution, and HR delivery, one
can infer that there is a direct relationship between anemployees annual compensation and the above-listed compe-
tencies. Figures 3, 4, 5, and 6 provide a graphic display of the
results of the respective regression analyses. As the results indi-
Figure 2. Summary of Education.
Table 4. Frequency of Self-Identified Core Competencies.
Table 3. Descriptive StatisticsCompensation.
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cate, the higher the level of ones expertise in
the respective competencies, the higher the
annual compensation.
Competencies of Various HR Position
Classifications
As identified in Table 5, participants identi-
fied their ability to deliver HR services,
technical competencies in HR, ability tomanage change, self-assessment of knowl-
edge of the business, and ability to manage
an organizations culture as the highest
ranked competencies. In contrast, HR profes-
sionals did not report high expertise in
accounting concepts, marketing strategies,
strategic contribution, or HR metrics and did
not report spending a lot of time reading
journals or staying abreast with recent HR
research findings.
As described in Figure 6, vice presidents listed all of the
core competencies at 100%, except personal credibility; two
of the seven did not list in their respective responses com-
petencies necessary to effectively serve as strategic business
partners and players in organizations. In this study, HR
directors viewed HR delivery as the most important compe-
tency to possess. Almost 74% cited HR delivery as a
necessary competence. Only 37% of the HR directors
viewed measurement as an important competence.
For HR generalists, knowledge of the business was cited
most frequently (49%). Compared to the literature, this find-
ing shows a highly significant disparity for the
competencies HR generalists view as being significant toeffectively functioning as strategic business
partners. The results show that among the
HR generalists in the research sample, many
of the generalists said they were lagging in
their awareness or belief of the established
competencies ability to enhance their
performance as HR professionals and subse-
quently the performance of the HR function.
One of the encouraging results of the study is
that even though HR directors, managers,
generalists, and specialists may not report
that they possess all of the competencieswithin one particular classification, as an HR
function the core competencies are all
viewed as important and as a function HR
professionals possess the competencies iden-
tified by the literature to enhance firm
performance.
Activities HR Professionals Spend Time On and the Link
with Competencies
It is of critical importance to understand what activities HR
professionals are spending their time on and if these activi-
ties are value added. Ulrich (1998) stated that HR cannot
expand its role in an organization without the requisite
expertise. Becoming a strategic partner demands a degree of
knowledge about strategy, markets, and the economy. In
addition, Ulrich said, To meet the increased expectations
of their organizations, HR professionals must begin to act
professionally. He emphasizes that they must focus more
on the deliverables of their work and less on just getting
their work done.
Figure 4. Relationship Between Compensation and Ability to Manage Change.
Figure 3. Relationship Between Compensation and Ability to Deliver HR Success.
Performance Improvement Volume 45 Number 5 37
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Regardless of this profound advice and many echoing simi-
lar thoughts, HR departments in global organizations still
appear to be overwhelmingly preoccupied with transac-
tional issues, according to a survey from Price Waterhouses
Global Human Resource Solutions. Survey respondents say
that 59% of their energy is absorbed by administrative mat-
ters and only 6% is spent on strategic concerns
(McShulskis, 1998).
The results of this study suggest that, on average, HR pro-fessionals spend most of their time functioning as internal
consultants, on staffing activities, and on implementing
HR strategies. On the other spectrum, the least amount of
time is spent dealing with legal issues, labor relations,
and partnering with senior executives on strategy formu-
lation. Table 6 provides a complete list of the activities
where HR professional are spending their time and other
investments.
HR scholars have continually advised
that to be effective as strategic business
partners, HR professionals must be able
to partner with senior executives on
strategy formulation. So why arent
more HR professionals spending more
time on this critical activity? This study
did not specifically address this ques-
tion, but a comparison could be drawn
between competencies of performing
tasks where HR professionals are spend-
ing most of their time as compared to
competencies of performing tasks such
as strategy formulation.
The results showed that 6.5% of the
sample self-reported their level of
expertise on how to do strategic plan-
ning at a 5 on the scale. Given that
HR professionals are viewed or would
like to be viewed in such manner, it is
clear that much more emphasis has tobe put on developing
this competency. Another
32% indicated a level 4
expertise in strategic
contribution. So one
possible explanation
for their not spending
more efforts on strate-
gic contribution might
be the lack of expertise
to perform this core
task in organizations.
A Pearson correlation
of strategic contribution
and partnering with sen-
ior executives showed a value of 0.451 establishing a
relationship between these two factors. Although not an
extremely strong relationship, in a practitioner world, such infor-
mation proves extremely helpful in decision-making processes.
The Relationships among Education, Years of HR
Experience, Competencies, and Compensation
In trying to determine if there were any relationships among
multiple organizational issues, this research sought to determinethe impact of education and HR experience on salary, the rela-
tionship between education and core HR competencies, and the
relationship between HR experience and core HR competencies.
The regression equation (see Figure 7) basically shows that
with additional education and more years of experience in
HR, ones salary will increase. Although there is a relatively
lower R-sq, the p values are highly significant. A separate
Figure 5. Relationship Between Compensation and Expertise in Strategic Contribution.
Table 5. Descriptive Statistics: HR Competencies (Overall).
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Performance Improvement Volume 45 Number 5 39
sample of nine HR profes-
sionals was taken to test this
equation. Eight of the nine
employees salaries came
within $3,000 of the amount
calculated using the equa-
tion as compared to their
actual salaries.
In addition, correlations
were done among educa-
tion, salary, and each of the
respective HR competen-
cies used as measures in
this study. The results are
provided in Table 7.
Based on these correlations,
the ability to deliver HR
services had the most signif-
icant relationships with the
ability to manage changeand manage culture, the
ability to effectively partici-
pate in strategic contribution, and HR technical competence.
Experience positively related with compensation, knowledge
of the business, ability to deliver HR services, ability to man-
age change, ability to effectively participate in strategic
contribution, and HR technical competence.
The factors that most significantly related with strategic
contribution were HR technical competence, accounting
skills, marketing skills, and HR metrics. The ability to effec-
Table 6. Descriptive Statistics of HR Activities (Percentage of Time Spent on Particular Activities).
Figure 6. Identification of Core Competencies by Job Classification.
Figure 7. Regression Analysis: Salary versus Education, HR Experience.
The regression equation is
Salary = 4014 + 2880 Education + 2548 HR Experience
Predictor Coef SE Coef T P
Constant 4014 22834 0.18 0.861
Education 2880 1363 2.11 0.037
HR Experience 2547.9 419.9 6.07 0.000
S = 26010.8 R-Sq = 27.5% R-Sq(adj) = 26.1%
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tively manage change was most closely related with strate-
gic contribution, HR technical competence, marketing
skills, HR metrics, and reading academic and practitioner
journals. The factors that most significantly correlated with
the ability to manage culture were staying abreast with new
research and reading academic and practitioner journals.
Discussion
As cited in Lawler & Mohrman (2003), articles, books, and
studies have all argued that HR professionals need to become
more effective strategic business partners. Given that numerous
studies have shown a positive relationship between strategic
HRM and firm performance, this study sought to identify the
competencies that lead HR professionals to becoming effective
business partners and players in organizations.
In todays global economy, HR professionals are continuously
challenged to show how their function is creating value.
Much emphasis is being paid on the competencies necessary
to enable HR to be successful in helping create sustainable
competitive advantages. Over time, many have written andspoken of the importance of HR spending time on issues that
add value and less time on the transactional activities that are
not very value-added. The results of this study suggest that
there is still a significant amount of time being invested in the
traditional transactional activities rather than the transforma-
tional HR activities that have been proven to add more value
to the bottom line of the organization.
The results provide a reminder to HR professionals of
the value of graduate degrees, professional certification
through the Human Resource Certification Institute, and
other means of developing higher levels of HR technicalcompetence. Of additional importance are understand-
ing the benefits of accounting, marketing, and other
different functional areas to effectively develop and
implement HR strategies. Understanding the impact of the
competencies on the various organizational practices
could contribute to a more directed strategy in developing
expertise among HR professionals, leading to a more cred-
ible and effective function.
With a growing emphasis on HR metrics, the results of this
study suggest a lack of time and expertise on this strategy.
There is clearly a need for more emphasis on measuring
HRs contribution to the business strategy and the effective-
ness of the respective HR strategies. The findings of this
study support notions of Ramlall (2003) and Becker et al.
(2001), who emphatically stated the need for metrics as a
core component of the HR strategy.
Although there are many positive results for the HR profes-
sion in general from this study, there are clearly many areas
that seem to be lacking. To be a true strategic partner and
player, HR professionals and other executives of organiza-
tions have the opportunity to focus on developing the
critical competencies necessary to enhance HR effective-
ness and, hence, maximize shareholder value. As has been
established by the International Society for Performance
Improvement, one of the keys of strategic interventions is
to improve performance, guide the change management
process, and evaluate the results. Furthermore, the partner-
ship in strategies between HR and human performancetechnology (HPT) enforces the need to emphasize outcomes
that enhance organizational effectiveness, measure strate-
gies, and ensure that employees possess the necessary
competencies to improve performance at the individual,
process, and organizational levels. In the end, both HR and
HPT strategies are focused on adding value, and without
key measurements one is quite unlikely to determine the
value created.
Implications for Practice
Given that there is a growing need for HR and HPT profes-
sionals to provide significant input into the firms strategy,
the core competency of being able to contribute strategically
appears to be one that needs continual improvement. Ulrich
(1998) reiterated that strategic contribution accounts for a
significant portion of the total impact of HR on the business
performance. With a self-identified expertise mean of 3.2 for
strategic contribution, HR professionals in this study clearly
perceive gaps here.
From the results, other business subject matters such as
accounting and marketing have proven to be key contribu-
tors to strategic contribution. A high level of HR technical
competence is evident in higher levels of strategic contri-bution. This can frequently be obtained through formal HR
education, on-the-job training, or professional certifica-
tion. Regardless of the source, the data show a relatively
strong correlation between HR technical competence and
strategic contribution. HR and HPT professionals without
the relevant technical competence need to develop the
appropriate expertise to ensure HRs contribution to busi-
ness success.
Implications for Future Research
Given that this study was a cross-sectional research, it
would be beneficial for HR or HPT professionals to con-
duct longitudinal research examining the impact on
organizational practices and outcomes as competency lev-
els change. Another major opportunity for research is an
examination of the effectiveness of undergraduate and
graduate HR programs across the United States in developing
the competencies necessary for HR professionals to ade-
quately contribute to a firms success and in their
respective careers.
40 www.ispi.org MAY/JUNE 2006
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Performance Improvement Volume 45 Number 5 41
HR Experience Education Salary Understands Bus.
Education -0.0600.537
Salary 0.494 0.146 0.000 0.133
Understands the Bus. 0.307 -0.063 0.3270.001 0.518 0.001
Delivers HR 0.438 -0.081 0.238 0.4040.000 0.402 0.013 0.000
Manages Change 0.341 -0.088 0.456 0.3640.000 0.367 0.000 0.000
Manages Culture 0.166 -0.064 0.140 0.3640.085 0.511 0.148 0.000
Strategic Contri. 0.302 0.056 0.437 0.2410.001 0.563 0.000 0.012
Technical Competence 0.345 -0.099 0.090 0.0690.000 0.308 0.354 0.480
OD Skills -0.057 0.119 0.089 0.1070.556 0.220 0.359 0.271
Accounting 0.247 -0.127 0.220 0.0670.010 0.190 0.022 0.492
Marketing 0.186 0.082 0.521 0.1650.054 0.399 0.000 0.087
Metrics 0.146 -0.039 0.132 -0.1460.132 0.686 0.172 0.132
Stays abreast w/res -0.131 -0.018 -0.076 -0.0990.178 0.852 0.434 0.308
Reads journals -0.054 0.057 0.095 0.2420.576 0.558 0.327 0.012
Delivers HR Manages Change Manages Culture Strategic Contrib.
Salary 0.494 0.146 0.000 0.133
Manages Change 0.279 0.003
Manages Culture 0.310 0.1980.001 0.040
Strategic Contri. 0.404 0.276 0.0770.000 0.004 0.428
Technical Competence 0.394 -0.212 0.041 0.2970.000 0.028 0.673 0.002
OD Skills -0.145 -0.253 -0.012 0.0670.135 0.008 0.902 0.488
Accounting 0.300 -0.045 0.077 0.3680.002 0.644 0.426 0.000
Marketing 0.099 0.286 0.178 0.1970.310 0.003 0.066 0.041
Metrics 0.010 -0.271 0.036 0.2190.914 0.005 0.711 0.023
Stays abreast w/res. 0.136 -0.291 0.334 0.1570.161 0.002 0.000 0.106
Reads journals 0.079 0.313 0.335 0.1350.418 0.001 0.000 0.165
Table 7. Correlations: HR Experience, Education, Salary, and Competencies.
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42 www.ispi.org MAY/JUNE 2006
Conclusion
It is hoped that HR and HPT professionals will be able to
use the information from this research to enhance practices
in organizations, to enhance firm competitiveness; it is also
hoped that researchers will be able to build on this knowl-
edge base to create additional new knowledge on HR
competencies and the impact on firm performance.
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Sunil J. Ramlall, PhD, is an Assistant Professor in the Department of
Management at the University of St. Thomas in Minnesota. He earned his PhD
from the University of Minnesota. His primary research interests include iden-
tifying and understanding HR competencies and the impact on individual and
firm performance, HR metrics, linkages between HR strategy and theimpact on firm performance, positive organizational behavior, employee
training and development, and HR technology. Sunil may be reached
Performance Improvement Volume 45 Number 5 43
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