“MANAGEMENT BY COMPETENCE, A CHALLENGE AND A NECESSITY FOR THE 21ST CENTURY COMPANY”

Abstract

Until the 19th century, systematic investment in Human Capital was not important for any country and expenditures on education, health and training were derisory. However, with the scientific revolution that began in the 19th century, education, knowledge and skills became decisive factors in determining a worker's productivity. As a result of this evolution, the 20th century, and especially from the 1950s onwards, became the era of people, the era of Human Capital in the sense that a primary conditioning factor of a country's standard of living is its success in developing and utilizing the skills, knowledge, and habits of its citizens.

In the 21st century, in the era of knowledge, the differentiating element of organizations, as well as their competitiveness, is constituted by individuals. A new, more proactive, change-generating and, of course, interpretive management is demanded.

This paper discusses the changes in human resources management as a distinctive feature of current organizational competitiveness, basically constituted by the competencies of individuals, in simple terms, knowledge, skills and qualities of its members. In charge of generating the essential competence, which is the one that allows to obtain sustainable competitive advantages. Changes characterized fundamentally by the change in the conception of personnel currently immersed in new challenges, such as Competence Management.

A management model that requires companies to conduct a prior analysis of their organizational culture, values, strategies, leadership styles and other factors in order to achieve a successful level of competitiveness.