Meritocracy and competency-based people management model: utopia or organizational reality?

Abstract

Our literature review is based on the definition of meritocracy in contemporary societies and organizations. We relate meritocracy to competency-based people management model (strategic people management model), where clear objectives and goals are defined transparently with teams and individuals, and conducting performance evaluation according to previously established criteria. When merit is determined, it is recognized both symbolically and through differentiated remuneration for individuals and teams. It is emphasized that a meritocratic system and competence management reinforces the sense of social justice in organizations and equity and trust relations in the system. The research consisted of a survey with 17 executives, students of a master’s degree program in business administration offered by a teaching organization of excellence. Results showed that 53% of them consider their companies meritocratic, 36% considered their companies partially meritocratic, and 11% consider that the organization they work for does not recognize meritocracy. The study discusses these results, proposing solutions for the improvement of people management systems.

Keywords:
Meritocracy; Equity; Competency-Based People Management Model; Trust