Using IT for Strategic Competence Management: Potential Benefits and Challenges

The recent development in IT-based HRM systems implies increased potential for using these systems to support the strategic competence management process in organizations. The paper discusses potential benefits and challenges related to implementation of IT-based competence systems, based on a case study of the implementation of a global competence management system in the telecommunications company Ericsson. In addition to providing overview of the competence resources in the organization and identifying competence areas in need of further development, the system also supports Ericsson’s knowledge networking strategy, through locating experts and stimulating emerging ’communities of knowing’. Several challenges were identified, related to designing a suitable competence framework, tensions between global standardization and local practices, and in gaining commitment among the employees.