There is a trend in the industry towards competency-based approaches to the training, assessment and development of employees. The trend is evident in various disciplines and specialist areas in the field of behavioural health. A step-by-step process for developing a competency model. Models and legal implications of competency development followed by a description of the seven steps involved in creating a competency model or position. This modeling process builds on complementary work on competencies in business and industry. The aim of this study is to develop a personalized competency model for a knowledge-based organization. A competency model is a company-wide framework and descriptive tool that identifies the competencies required to perform effectively in a particular job, occupation, industry, or organization. These are the built-in knowledge, skills, judgment, and qualities people need to do a job effectively. By having a defined set of competencies for each role in your company, you show employees the types of behaviours that the organization values and needs to help you achieve your goals. It is a quantifiable list of knowledge, skills, and traits demonstrated through individual behaviour that leads to excellence in a particular work context. This document is designed to provide a step-by-step process for developing a model of competition. The overview of competencies, competency models and the implications of competency development is followed by a description of the seven steps for creating a competency model for a specific function, role or position. This modelling process is based on advanced work on competencies in business and industry. A special competence model has been developed for employees working in management. The employees were mapped with the competence model developed for their current vis-à-vis competencies. contributes to original research by providing a starting point for solving the full spectrum of HR activities to improve organizational effectiveness in R & D environment. It adds to the practice as the model developed can be applied to similar organizations.