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Capability vs. Competency — What's the Difference?

By Tayyaba Rehman — Updated on September 18, 2023
Capability refers to the power or ability to do something, while Competency denotes the demonstrated skill or knowledge in a particular area.
Capability vs. Competency — What's the Difference?

Difference Between Capability and Competency

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Key Differences

Capability and Competency, though sometimes used interchangeably, have distinct differences in their connotations. Capability refers to the potential or ability one has to perform a certain task. In contrast, Competency suggests a standard of skill or knowledge that has been achieved and can be demonstrated.
While Capability is about potential and possibility, Competency is often about proven performance. A new employee might have the capability to become a great manager, but a seasoned employee has shown competency in management through years of experience.
Consider an individual who has recently undergone training for a new software tool. They now possess the capability to use that software. However, until they've applied it in real-world scenarios and shown consistent proficiency, they wouldn't be considered competent with it.
To delve deeper, Capability can be inherent or developed. Some people have natural capabilities or talents in certain areas, like music or math. Competency, on the other hand, is cultivated over time through education, training, and experience.
In organizational settings, understanding the difference is vital. Companies might seek individuals with certain capabilities, hoping to train and develop them further. Meanwhile, specific roles may require proven competencies to ensure the job is done effectively from day one.
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Comparison Chart

Definition

The power or ability to do something.
Demonstrated skill or knowledge in a particular area.

Nature

Potential or possibility.
Proven performance.

Development

Can be inherent or acquired.
Cultivated over time through training and experience.

Contextual Use

Often seen in discussions about potential or inherent abilities.
Typically used when referring to skills or knowledge that have been shown.

Measurability

Harder to quantify directly; more abstract.
Can often be measured or quantified, like through certifications.

Compare with Definitions

Capability

The power or ability to do something.
With the new equipment, our team's capability to produce has doubled.

Competency

Capability to function or produce effectively.
The competency of our IT team ensures minimal system downtimes.

Capability

An attribute that can be utilized.
The software's capability to integrate with other tools is unmatched.

Competency

Demonstrated ability to do something efficiently.
His competency in project management led to the project's success.

Capability

The potential to develop into something in the future.
The rookie showed great capability during training.

Competency

A standard of expertise.
The training program aims to raise the competency of all staff members.

Capability

Capacity to undergo a particular transformation.
The company's capability to adapt to market changes is commendable.

Competency

Adequate qualification to make certain legal decisions.
The court questioned his competency to stand trial.

Capability

The power or ability to do something
The company's capability to increase productivity
He had an intuitive capability of bringing the best out in people

Competency

Competence.

Capability

The quality of being capable; ability.

Competency

A skill or ability.

Capability

Often capabilities A talent or ability that has potential for development or use
A student of great capabilities.

Competency

(obsolete) A sufficient supply (of).

Capability

The capacity to be used, treated, or developed for a specific purpose
Nuclear capability.

Competency

(obsolete) A sustainable income.

Capability

The power or ability to generate an outcome

Competency

The ability to perform some task; competence.

Capability

(computing) A digital token allowing a user or process to interact in a specified way with an object that is subject to access control.

Competency

(legal) Meeting specified qualifications to perform.

Capability

The quality of being capable; capacity; capableness; esp. intellectual power or ability.
A capability to take a thousand views of a subject.

Competency

(linguistics) Implicit knowledge of a language’s structure.

Capability

Capacity of being used or improved.

Competency

The quality of being adequately or well qualified physically and intellectually

Capability

The quality of being capable -- physically or intellectually or legally;
He worked to the limits of his capability

Competency

A skill or knowledge area where someone is proficient.
Foreign language competency is a requirement for the diplomat position.

Capability

The susceptibility of something to a particular treatment;
The capability of a metal to be fused

Capability

An aptitude that may be developed

Capability

A specific feature or quality allowing for specific performance.
The new device's water-resistant capability is a major selling point.

Common Curiosities

Can someone have the Capability but not the Competency?

Yes, someone might have the potential (Capability) but not yet the demonstrated skill (Competency).

Is Capability always inherent?

No, it can be inherent or developed through training and experience.

Can organizations have Capabilities?

Yes, firms have capabilities, often referring to collective potential or strategic advantages.

Are Capability and Competency synonymous?

They're related but distinct; Capability is potential, while Competency is demonstrated skill.

How is Competency measured?

Through certifications, assessments, or proven performance in a given area.

Can Competency be developed?

Yes, through training, experience, and continuous learning.

Which is more valuable to employers?

It varies; startups might value Capability, while established firms might prioritize Competency.

Is Capability tangible?

It's often more abstract and harder to quantify than Competency.

Is Competency static?

No, it evolves with learning and experience.

Are there levels to Competency?

Often, from basic to advanced proficiency.

Do jobs require Capability or Competency?

Some roles seek potential (Capability), while others demand proven skills (Competency).

Can one lead to the other?

Yes, Capability can develop into Competency with the right training and experience.

How are these terms used in HR?

HR might assess both: looking for capabilities during recruitment and competencies for promotions.

Can Capability be a latent quality?

Yes, it can be an unrealized potential awaiting the right circumstances to manifest.

Can tools and machines have Capability?

Yes, in the context of functionality or potential uses.

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Author Spotlight

Written by
Tayyaba Rehman
Tayyaba Rehman is a distinguished writer, currently serving as a primary contributor to askdifference.com. As a researcher in semantics and etymology, Tayyaba's passion for the complexity of languages and their distinctions has found a perfect home on the platform. Tayyaba delves into the intricacies of language, distinguishing between commonly confused words and phrases, thereby providing clarity for readers worldwide.

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