Key Reasons Why Tech Companies Cannot Ignore Mapping a Competency Matrix 

June 15, 2023


The adage ‘slow and steady wins the race’ holds no longer true. Because the corporate climate today is fast-paced and demands quick and reliable employees mapped with the right competencies. This is where the tech competency matrix comes in handy. A competency matrix serves as a valuable tool for companies undertaking complex technical projects as it facilitates skill assessment, resource planning, task allocation, career development, performance evaluation, and project scalability.  

It’s a no-brainer that with the convergence of new technologies, software developers must improve their tech skills (soft and hard) to remain competitive in the job market. As companies undertake complex technical projects, how do they ensure that individuals with the right competencies are assigned to appropriate tasks? Also, how does the HR manager identify the skills to be replaced in case of employee resignation or new hiring? 

Every new position in an organization demands a combination of unique skill sets based on the goals of each department and the timeframe set for the goals to be accomplished. By not mapping competencies to their roles, companies run the risk of underutilizing talent and sometimes missing out on opportunities because valuable skills may not be utilized optimally. 

An interesting point to note is that although literacy rates in India have increased by 77% in 2022, which is no doubt commendable, unfortunately, this has not led to employable personnel in the country. The hunger for fresh talented graduates in the Indian IT service sectors remains a question as most employers are unable to update the skill competency matrix with the pace of technological evolution.  

Check out the stats for a better understanding. 


The above stats are clear indicators that the gap between acquired competencies and the desired skill as per specified job roles across tech stacks has been widening. It’s crucial that the growing skill gap is reduced and the mismatch of the right skills against new job roles is addressed immediately.  

Fortunately, to identify the competency-employee mismatch, the tech competency skill matrix offers a solution that HRs and hiring managers can implement.  


What is Competency Matrix? 

A competency matrix is a tool used to identify, assess, and evaluate the competencies or skills of individuals within an organization. It provides a framework for defining and measuring the capabilities required for successful performance in specific roles or positions. Competencies can encompass a wide range of attributes, including technical skills, knowledge, behaviors, and personal qualities. For HR and L&D professionals, a competency skill matrix helps to define the desired competency levels for each role and provides a means of assessing and tracking the development of individuals. 

A competency matrix typically consists of a grid or table format, where competencies are listed as rows and proficiency levels or ratings are assigned as columns. The matrix helps to define the desired competency levels for each role and provides a means of assessing and tracking the development of individuals.  

If you are wondering how competency mapping help in creating a performance matrix, here’s a good example of a competency mapping process for a Python developer in a tech company. 


Competency  Proficiency Level 1 (Beginner)  Proficiency Level 2 (Intermediate)  Proficiency Level 3 (Advanced) 
Python Programming  ✓  ✓  ✓ 
Object-Oriented Programming  –  ✓  ✓ 
Web Frameworks (e.g., Django)  –  ✓  ✓ 
Database Concepts  ✓  ✓  ✓ 
SQL  ✓  ✓  ✓ 
Version Control (e.g., Git)  –  ✓  ✓ 
Debugging  –  ✓  ✓ 
Problem-Solving  ✓  ✓  ✓ 
Collaboration  ✓  ✓  ✓ 
Communication  ✓  ✓  ✓ 
Continuous Learning  ✓  ✓  ✓ 


In the above example, a checkmark (✓) is used to indicate the expected proficiency level for each competency at each proficiency level. The dash (-) represents competencies that may not be required at a specific proficiency level. You should define the proficiency levels according to the organization’s requirements and can use various rating scales or descriptors such as beginner, intermediate, advanced, or numerical scales. However, the competencies and proficiency levels in the matrix should be tailored to reflect the specific needs and expectations of the organization and the Python developer role in question. 

If implemented well, you can visualize the current skills and competencies for future job roles across tech stacks which will help you with unbiased hiring decision-making. Some common examples of competencies that may be included in a competency matrix are technical skills, problem-solving abilities, communication skills, leadership qualities, adaptability, and teamwork.  



Competency Vs Skill Matrix – Why do Tech Companies Need Both? 

As technological advancements continue to reshape the tech industry, HR managers and L&D professionals must align the workforce with evolving business needs. Competency and skill matrices provide a mechanism for tech companies to assess their workforce’s readiness for emerging technologies and skills.  

While the skill matrix focuses on technical abilities across tech stacks, the competency matrix emphasizes broader behavioural and cognitive attributes. This way, you can develop a holistic view of the behaviours, attributes, technical skills, and knowledge required for successful performance in a role. By using both matrices, organizations can assess both the behavioural and technical capabilities of their workforce, ensuring a comprehensive evaluation that aligns with the specific requirements of the business. 

A competency and skill matrix process facilitate performance management and succession planning. By aligning performance evaluations with the defined competencies and skills organizations can assess employees’ strengths and areas for improvement accurately. These matrices provide a roadmap for identifying high-potential employees and grooming them for future leadership or critical roles, ensuring a smooth succession and talent pipeline aligned with the organization’s long-term objectives. By implementing a competency matrix software to determine the right competencies, your enterprise can not only outline specific competencies and skills, but also ensure a skilled workforce by promoting continuous learning and development.  

Next, let’s find out the top reasons to implement the competency mapping process and why it’s crucial for your organization.  


Reasons to Implement Tech Competency Skill Matrix 

So, why does an organization map the skills and expertise of its workforce? Well, here are some compelling reasons why mapping the competency skill matrix is crucial for your employees and organization. 

#1 Hiring and Selection: At each stage of the hiring process, you need to map competencies and skills with the industry roles as it’s critical to understand your workforce profile. Using an employee skills matrix helps you to identify the desired competencies and skills required for specific roles. This enables more effective hiring and selection processes. 


#2 Performance Evaluation: The employee competency matrix provides a structured framework for assessing employee performance, aligning evaluations with specific competencies, and providing objective feedback. 


#3 Training and Development: The employee competency matrix identifies skill gaps and development areas, enabling targeted training and development initiatives to enhance employee capabilities. 


#4 Career Development and Succession Planning for Continuous Learning 

By employing a competency skill matrix grid framework, you can identify the competencies and skills required for advancement within the organization. As this approach provides goal-oriented learning, you can address the deficiencies through career development discussions and succession planning. 


#5 Objective assessment  

An employee competency matrix such as the Yaksha Competency Framework 

provides an objective framework for evaluating candidates’ skills and abilities. Such an objective framework helps remove bias from the selection process, as hiring decisions can be based on the specific competencies required for the role rather than personal opinions or subjective judgments. 


#6 Performance Management 

The competency skill matrix provides a framework for setting performance standards and evaluating employees’ performance objectively. By aligning performance assessments with the required competencies, you can identify areas for improvement, provide constructive feedback and reward employees based on their demonstrated skills and abilities.  


#7 Resource Allocation  

By implementing an employee competency matrix, you can identify the skills available within the workforce and allocate resources effectively. A thorough understanding of the skills and competencies of employees enables organizations to assign tasks and projects to individuals who possess the necessary skills and can contribute to optimizing productivity, thereby, achieving better results. 


So, you see competency mapping is all about identifying and assessing the key skills required for successful performance in specific roles within an organization. To construct an employee skill matrix, you need to define the team values and set your objectives in the first place. However, the objectives of a competency matrix for organizations may vary based on their specific needs and goals.  

Below given are some common objectives that your organizations may prioritize when implementing a competency matrix:  

  • Defining the key competencies required for different roles. 
  • Assessing employee performance based on the identified competencies and setting clear performance expectations. 
  • Designing targeted training programs to address competency gaps and enhance the skills and capabilities of their workforce. 
  • Identifying high-potential employees who exhibit the desired competencies for future leadership or critical roles. 
  • Building a roadmap for employees’ professional development. 

The competency mapping process typically includes the competencies to be identified as the criteria against which employee performance is measured. But what are the steps involved in developing the competency skill matrix framework and how does competency mapping help in creating a performance matrix? Let’s find out.  



Steps in the Competency Mapping Process 

To create a useful competency skill matrix framework, consider the following steps involved in competency mapping that explains how you can configure skill-gaps assessments across tech stacks.   

#Step 1 Identify Job Roles  

Begin by identifying the various job roles within the organization for which you want to conduct competency mapping. This could include roles at different levels, departments, or functions. 


#Step 2 Define Competency level 

For each job role, define the competency level that is critical for success. These competencies can be technical skills, knowledge, behaviours, or personal qualities that contribute to effective performance in the role. For tech skill assessments, you should consider the various degrees of competency of the core skill.  


For example, if the core skill is Python, the levels of competencies can be identified as follows: 

  • Expert or Advanced 
  • Intermediate 
  • Beginner 


#Step 3 Assess Current Competencies 

Evaluate the existing competencies of employees in the identified job roles. This can be done through various assessment methods such as self-assessment, supervisor evaluation, or skills testing. 

One such custom assessment tool such as Yaksha’s customized in-built assessment tool can help you plan your employees’ personalized learning paths to upskill your existing tech force. By employing role-specific assessments for hiring, not only can you gauge the potential of your tech team but also set up customized learning paths aligned to internal job roles across tech stacks.  


#Step 4 Identify Competency Gaps 

Compare the required competencies for each role with the existing competencies of employees. Identify skill gaps or areas where the employees’ competencies fall short of the desired level. 

The Yaksha tech assessment engine serves as an enterprise-ready assessment platform to identify skill gaps and reskilling needs by implementing role-based assessments. Such an assessment allows candidates to demonstrate their performance by testing their competencies via real-life tech projects. This helps you gain deeper insights into their existing tech skills and competencies for future job roles.   


#Step 5 

Develop Training and Development Plans 

Based on the identified competency gaps, develop targeted training and development plans to bridge those gaps. This could include providing relevant training programs, mentoring, on-the-job learning opportunities, or performance coaching.  

With Yaksha’s learning and development solutions, you can identify skill gaps and offer personalized learning and development solutions to upskill and reskill your employees. Employing adaptive and stack-based assessments before and after training can generate powerful performance-based insights that predict future skills and competencies for new job roles. Based on these insights that reflect skill gaps, you can design customized training programs to develop the competencies required to succeed in new jobs. 


#6 Monitor Progress 

Continuously monitor and track the progress of employees in developing the required competencies. This can be done through regular performance evaluations, feedback sessions, and periodic competency assessments.  

Yaksha’s tech assessment platform allows you to make informed decisions by helping you track the employee KPIs and objectives of training. Tech recruiting and assessments sessions go beyond the traditional feedback method by allowing customized feedback critical to skill building and employee success.  



Overall, the employee skill matrix is a valuable tool for tech companies to analyze employee abilities and future potential. If you want to stay competitive in the fast-paced tech industry, it’s crucial to optimize tech talent management practices and enhance employee productivity.  

Such a competency mapping process will help you to achieve strategic goals through effective resource allocation, targeted training, and development, succession planning, informed recruitment and hiring decisions, agile workforce planning, and accurate performance evaluations.  


Key Takeaways 

Switch to Yaksha’s Competency Framework/Skill Matrix solutions that can help you to map out the skill matrix and identify training needs. Yaksha’s built-in simulator coding assessments that facilitate real-world projects allow you to track future competencies and cater to upskilling or reskilling needs of your tech workforce. By leveraging this one-of-a-kind assessment platform, you can create assessments in 70+ programming languages and skills tailored to individual needs and interests. Besides, by using role-based assessments, not only can you gain deeper insights into employees’ current and future skills but also reskill employees remotely by offering customized training plans that are best personalized as per the job roles.  

Want to eliminate potential competency loss threats in your organization? Schedule a demo with us today to explore how Yaksha’s tech assessment tool can significantly improve your hiring process and facilitate the easy transition of employee skills across tech stacks. 

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