The traditional view of competence

For many years, competence has largely been approached as a learning and development issue.

The typical focus has been on:

• delivering training programmes
• maintaining attendance records
• supporting professional development
• encouraging reflective practice
• meeting regulatory requirements

These activities remain important. However, they often concentrate on learning inputs rather than competence outcomes.

As regulatory expectations evolve, firms are increasingly being asked a different question:

How do you know your people remain competent to perform their roles?

Answering that question requires more than evidence of training attendance.

Competence is a business risk issue

Competence directly influences the quality and reliability of professional services.

Where competence gaps exist, firms may experience:

• client service failures
• regulatory breaches
• supervision challenges
• increased complaints
• professional negligence risks
• reputational damage

Viewed in this way, competence is not simply a development concern. It becomes a risk management issue.

Most firms already govern areas such as finance, compliance, information security and operational risk.

Competence increasingly deserves similar attention because it affects every aspect of professional performance.

What Is competence governance?

Competence governance is the structured oversight of how professional competence is developed, supported, evidenced and maintained within an organisation.

It does not replace learning and development. Instead, it provides the framework that connects:

• professional standards
• supervision
• learning and development
• performance management
• quality assurance
• regulatory compliance

The objective is to ensure that competence is managed systematically rather than assumed.

In simple terms, competence governance asks:

What processes exist to provide reasonable assurance that people remain competent to perform their roles?

Why regulatory expectations are shifting

The SRA’s renewed focus on continuing competence reflects a broader trend visible across many regulated professions.

Regulators are increasingly interested in:

• evidence rather than activity
• outcomes rather than attendance
• assurance rather than assumptions
• organisational responsibility alongside individual responsibility

This shift recognises an important reality.

Individuals are responsible for maintaining competence, but organisations create the systems that support competence development.

As a result, firms are increasingly expected to demonstrate that competence is actively managed rather than passively relied upon.

The components of effective competence governance

Although approaches vary, effective competence governance typically includes several key elements.

Clear competence expectations

People need a clear understanding of the standards, behaviours and capabilities expected within their role.

Structured supervision

Supervision provides an ongoing mechanism for feedback, support and early identification of competence issues.

Development planning

Learning activities should be linked to identified competence needs rather than delivered in isolation.

Reflective practice

Individuals should have opportunities to evaluate performance, identify learning points and consider future development.

Evidence and documentation

Firms should be able to demonstrate how competence is being supported and maintained over time.

Oversight and review

Senior leaders require visibility of competence-related risks and development trends across the firm.

Together, these elements create a more robust competence framework than training activity alone.

Moving beyond compliance

One of the most common misconceptions is that competence governance is simply another compliance requirement.

In reality, its value extends much further.

A well-designed competence governance framework can help organisations:

• improve professional performance
• strengthen supervision
• identify development needs earlier
• support workforce planning
• reduce operational risk
• provide greater regulatory assurance

This makes competence governance both a compliance consideration and a capability-building opportunity.

What should firms consider first?

Many firms already possess elements of competence governance without describing them as such.

The starting point is often understanding how existing processes connect together.

Useful questions include:

• How is competence currently monitored?
• What evidence exists beyond training records?
• How are competence concerns identified and escalated?
• How does supervision support competence development?
• What information is available to leadership teams?

The answers often reveal strengths, gaps and opportunities for improvement.

Competence governance as an organisational capability

Perhaps the most important shift is recognising that competence governance is not primarily about individual learning.It is about creating organisational confidence.

Clients, firms, employees and the SRA all benefit when firms can demonstrate that competence is supported through clear, consistent and evidence-based processes.

In this sense, competence governance becomes part of the organisation’s wider capability infrastructureIt provides a framework through which competence can be developed, maintained and evidenced over time.

Key takeaways

Competence Governance Series

• Competence is increasingly becoming a governance issue as well as a learning and development issue.
• Regulatory expectations are shifting towards evidence, outcomes and organisational assurance.
• Competence governance provides structured oversight of competence development and maintenance.
• Effective governance connects supervision, development, performance management and compliance processes.
• Strong competence governance can improve both regulatory assurance and organisational capability.

Conclusion

The conversation around continuing competence is changing.

What was once viewed primarily as an individual responsibility supported by training is increasingly being understood as an organisational responsibility supported by governance.

For firms this does not necessarily mean creating entirely new systems. In many cases it means connecting existing supervision, development and assurance processes into a more coherent framework.

As regulatory expectations continue to evolve, forms that understand competence as a governance issue are likely to be better positioned to demonstrate assurance, manage risk and support long-term professional performance.

Next steps

If your organisation is reviewing how competence is supported across the firm, consider whether current arrangements provide clear evidence of competence development, oversight and assurance—not simply learning activity.