Leadership Competency Framework Template: Levels, Behaviors & Assessment Matrix

A clear leadership competency framework gives everyone the same picture of what strong leadership looks like at each level. You gain fairer promotion and performance decisions, leaders know what is expected, and employees see real career paths instead of vague promises. Used consistently, this framework becomes the backbone for reviews, 360° feedback, development plans, and succession planning.

Competency area	Team Lead	Manager	Senior Manager	Head of Function	Director / VP
People Leadership & Coaching	Sets clear goals and roles for direct reports. Runs regular 1:1s, gives concrete feedback, and removes day-to-day blockers.	Leads multiple teams through clear priorities and feedback routines. Coaches team leads and resolves conflicts quickly and fairly.	Defines leadership standards across a larger unit. Builds a strong mid-level leadership bench and sponsors cross-team collaboration.	Owns talent strategy and culture for the function. Drives succession plans and scalable development programs for all leadership layers.	Sets company-wide leadership expectations and succession strategy. Ensures leadership quality and bench strength for critical roles.
Communication & Stakeholder Management	Explains priorities in simple language. Shares progress regularly, escalates risks early, and keeps core stakeholders informed.	Aligns team plans with business needs. Manages expectations with peers and senior leaders through structured updates and feedback loops.	Builds a trusted network across functions. Negotiates resources and trade-offs, and adapts messages to different senior audiences.	Represents the function in senior forums. Shapes cross-company decisions and secures long-term buy‑in for major initiatives.	Communicates strategy, trade-offs, and impact enterprise-wide. Aligns executive peers and external partners around the long-term vision.
Strategic Thinking & Decision-Making	Solves immediate problems with data and common sense. Spots simple improvements and escalates strategic or ambiguous issues.	Builds 6–18 month plans for the area. Balances effort, risk, and impact and makes timely, documented decisions.	Sets multi-year direction for a portfolio or region. Anticipates trends, runs scenarios, and adjusts strategy based on evidence.	Translates company vision into a clear functional strategy. Chooses where to invest or exit and guides major bets.	Owns long-term business strategy. Makes high-stakes decisions under uncertainty and revisits them based on outcomes and signals.
Execution & Ownership	Owns team deliverables end-to-end. Plans work, tracks progress, and addresses blockers so commitments are met on time and quality.	Delivers cross-team projects on scope, time, and budget. Delegates clearly, monitors milestones, and steps in fast when risks rise.	Leads complex, cross-functional programs or product lines. Aligns multiple streams and adapts plans without losing agreed outcomes.	Accountable for major P&L or functional outcomes. Sets operating model and ensures consistent execution standards across teams.	Owns enterprise-level results. Prioritizes and sequences strategic initiatives and mobilizes the whole organization to deliver.
Culture, Inclusion & Psychological Safety	Creates a respectful team climate. Invites questions, addresses harmful behavior, and ensures everyone can speak up safely.	Builds inclusive practices across teams. Distributes opportunities fairly and ensures different perspectives shape team decisions.	Sets cultural norms for the department. Intervenes on toxic patterns and sponsors programs that support inclusion and wellbeing.	Shapes culture for the function with HR. Owns policies and rituals that reinforce inclusion, flexibility, and psychological safety.	Models inclusive leadership at the top. Holds executives accountable for culture and DE&I outcomes across the company.
Innovation & Change	Improves local processes and experiments with small changes. Encourages teammates to suggest and test better ways of working.	Drives change in how the area works. Runs pilots, manages impact on people, and lands changes with clear communication.	Leads larger change initiatives across departments. Adjusts plans based on feedback and market shifts while keeping people engaged.	Owns innovation agenda and change roadmap for the function. Allocates resources and removes structural blockers to change.	Sets the long-term innovation direction. Sponsors company-wide transformations and ensures the organization adapts to future trends.

Key takeaways

Use this framework as a shared language for all leadership roles.
Anchor promotion decisions in behaviors and scope, not personal impressions.
Structure 1:1s, reviews, and 360° feedback around the six competency areas.
Collect concrete evidence per competency before giving a performance rating.
Review and adjust the framework yearly to match your strategy and structure.

What is this leadership competency framework?

This leadership competency framework defines the core behaviors and decision scope expected from Team Leads up to Directors/VPs. You can plug it into performance reviews, 360° feedback, development plans, promotion committees, and succession planning. Managers and HR use it as a common reference to judge impact fairly and to design targeted growth steps.

Skill levels & scope

Each level combines two things: how big the problem space is and how independent decisions are. When you tie promotions to scope instead of personality, you reduce politics and make internal mobility much clearer for people.

A hypothetical example: Anna starts as a Team Lead for six engineers, grows into a Manager for three teams, then becomes Senior Manager for an entire product group. The framework makes that jump visible years in advance, so she can prepare instead of guessing next steps.

Team Lead: Owns one team, short time horizon (weeks–quarter), follows existing strategy, escalates bigger bets.
Manager: Owns several teams or a sub-function, plans 6–18 months ahead, manages cross-team trade-offs.
Senior Manager: Owns a business area or region, shapes 2–3 year direction, leads large programs and budgets.
Head of Function: Owns a full function, defines functional strategy, accountable for major P&L or equivalent outcomes.
Director / VP: Owns company-wide results in their domain, sets long-term strategy and portfolio of bets.

Clear scope levels pair well with a role-based career framework, so employees see exactly how increased scope, impact, and pay connect. This also simplifies discussions with your Betriebsrat/works council, because expectations and decision rights per level are documented instead of implied.

Write a one-page description per level (span of control, budget, decisions).
Map current leaders to levels by scope today, not their title or tenure.
Use scope descriptions in job ads and internal postings to avoid confusion.
Make promotion criteria “X months at scope Y with level-appropriate impact”.
Revisit scopes after reorganizations so levels still reflect reality.

Leadership competency areas

The framework uses six leadership domains that apply across functions. They balance what leaders deliver (results) with how they deliver it (behavior and culture), which you can connect later with your skill management or OKR setup.

A tech company, for example, added “Innovation & Change” as a core area after a big product pivot. Managers then had explicit goals around running experiments and communicating change, not just “keeping the lights on”. Within two cycles, they saw more small process improvements and faster adoption of new tools.

People Leadership & Coaching: Build high-performing teams, grow people, address performance issues early.
Communication & Stakeholder Management: Keep the right people informed, aligned, and involved in decisions.
Strategic Thinking & Decision-Making: Connect daily work to strategy and make clear, timely trade-offs.
Execution & Ownership: Deliver results reliably, own outcomes, and improve how the work gets done.
Culture, Inclusion & Psychological Safety: Create environments where diverse people can speak up and thrive.
Innovation & Change: Improve systems, adapt to change, and lead others through transitions.

Research shows that organizations with clear competency models see higher performance and more internal promotions because development and staffing decisions pull in the same direction. This aligns well with skills-based internal mobility and talent development approaches.

Limit domains to 5–8 so managers can use them in real conversations.
For each domain, write a short “purpose” sentence plus 2–3 typical outcomes.
Check domains against your strategy: do they support where the business is going?
Ask senior leaders to confirm “yes, this is what success looks like here”.
Review domains every 1–2 years and add or merge areas instead of endless sub‑skills.

Rating scale & evidence

A leadership competency framework only feels fair when ratings are consistent and backed by evidence. Without anchors, two managers can rate the same behavior very differently, which kills trust and frustrates promotion committees.

To keep things simple, many companies use a 1–4 or 1–5 scale. Below is a 1–4 example you can adapt or extend with the detailed BARS in your HR system or in resources like the behaviorally anchored rating scale templates.

Rating	Label	Description (applies per competency)
1	Below expectations	Often misses expectations for this level. Needs close support and a clear improvement plan.
2	Partially meets	Meets some expectations but inconsistently. Impact is limited or requires frequent guidance.
3	Fully meets	Reliable, consistent performance for this level. Delivers expected results with moderate support.
4	Exceeds	Regularly delivers above-level impact. Acts as a role model and raises the bar for others.

Evidence should answer “what did they do, with whom, and what changed?”. Use project outcomes, OKRs, peer or customer feedback, 360° data, and artifacts (presentations, business cases, documentation).

Example: Two leaders both increase NPS by 10 points. A Team Lead who improves one team’s processes might score “3 – fully meets” in Execution & Ownership. A Senior Manager who coordinates three regions, aligns product and operations, and documents a repeatable playbook likely scores a “4 – exceeds” for the same competency.

Agree on one rating scale across all leadership roles to avoid confusion.
Define 2–3 concrete behavior examples per rating and domain for your own context.
Require at least one piece of written evidence for “1” and “4” ratings.
Combine self, peer, and manager ratings to reduce blind spots. Calibrate afterwards.
Use structured review forms, for example from your performance management process.

Growth signals & warning signs

Promotion decisions become easier when you distinguish temporary highs and lows from consistent patterns. Growth signals show that a leader already behaves like the next level. Warning signs show risks that could amplify with more scope.

Hypothetical example: Lina, a Manager, repeatedly takes on cross-functional initiatives, mentors other Team Leads, and still keeps her own teams stable. Over three cycles, that’s a strong signal of readiness. Mark, a Senior Manager, hits targets but leaves conflict unresolved and burns through team leads. That pattern should pause any promotion conversation.

Growth signals: volunteers for bigger, ambiguous problems and lands them reliably.
Raises others: coaches peers or successors who then perform strongly.
Maintains performance over several cycles without heavy micromanagement.
Spots systemic issues (process, culture) and drives fixes beyond their own team.
Receives consistent positive feedback on collaboration across functions.

Warning signs: avoids cross-team work or pushes problems “upwards” instead of solving them.
Relies on heroics instead of planning; misses commitments or burns people out.
Protects their own team at the expense of wider company goals.
Receives repeated feedback on defensive reactions to criticism.
High regretted attrition on their teams without clear external factors.

Collect growth signals and warning signs as short “STAR” stories during the year.
Discuss them explicitly in talent reviews and 9‑box or succession meetings.
Translate signals into development goals or stretch assignments, not only ratings.
For promotions, require evidence of next-level behavior over at least two cycles.
For warning signs, agree on a documented plan and timeframe before re-evaluating.

Team check-ins & review sessions

Even a good framework drifts if managers never talk about how they use it. Regular calibration sessions help you spot rating differences, surface bias, and protect trust in the system.

Laut einer McKinsey‑Studie bewerten Mitarbeitende ihr Performance-System als 60 % wirksamer, wenn sie es als fair wahrnehmen. Calibration meetings are one of the simplest fairness levers you have.

Imagine a quarterly session where all managers bring two “borderline” cases. One manager rates a Team Lead as “exceeds” for Execution because they saved a project through weekend work. Others point out that poor planning caused the crunch. After discussion, they agree that “exceeds” should mean higher, sustainable scope, not short-term heroics.

Schedule calibration meetings for each review cycle with a clear agenda and timebox.
Share short case summaries beforehand so the session focuses on discussion, not reading.
Use the framework wording on-screen and challenge vague statements like “strong leader”.
Assign a facilitator (often HR) to run bias checks and keep conversation balanced.
Document key decisions and patterns in a simple log, as in this calibration meeting template.

Interview questions by competency area

You can also use the leadership competency framework in hiring and internal moves. Behavior-based questions reveal whether candidates have demonstrated the right behaviors at the required scope, not just whether they know the theory.

Below are example questions you can copy into your interview scorecards. Ask for specific situations, actions, and outcomes. Probe until you understand the context and their personal contribution.

People Leadership & Coaching

Tell me about a time you helped a team member turn around poor performance. What changed?
Describe a situation where you delegated an important task. How did you support the person?
Share an example of a tough feedback conversation you led. How did you prepare and follow up?
When have you had to balance team wellbeing with hard deadlines? What did you do?
Describe how you run 1:1s. What makes them valuable for your team?

Communication & Stakeholder Management

Tell me about a time you aligned stakeholders with conflicting priorities. How did you reach agreement?
Describe a complex topic you had to explain to a non-expert audience. What approach worked best?
Give an example of delivering difficult news to your team or a client. How did they react?
Share a time you changed someone’s mind who was initially against your proposal. How?
How do you keep stakeholders informed without overloading them?

Strategic Thinking & Decision-Making

Describe a decision you made with incomplete data. How did you handle the risk?
Tell me about a time you translated a high-level goal into a concrete roadmap.
Share an example where you changed direction after new information came in. What signaled the shift?
When have you said “no” to a popular idea? What drove that choice and what happened?
How do you connect your team’s work to the wider company strategy in practice?

Execution & Ownership

Tell me about a project you owned from idea to delivery. Walk me through your steps.
Describe a situation with unrealistic timelines or limited resources. How did you handle trade-offs?
Share an example of a commitment you missed. What did you do afterwards?
When have you improved a process that was slowing the team down? What was the impact?
How do you track progress and risks on your projects?

Culture, Inclusion & Psychological Safety

Tell me about a time you noticed someone being excluded or talked over. What did you do?
Describe how you encourage quieter voices to contribute in meetings.
Give an example of addressing behavior that hurt your team culture. How did you handle it?
Share a moment when you admitted a mistake to your team. What was the effect?
How do you make sure decisions are fair and transparent for your team?

Innovation & Change

Describe a new idea or change you introduced. How did you gain buy‑in and roll it out?
Tell me about a process you simplified or automated. What problem did it solve?
Share an example of leading your team through a major change, like a reorg or system switch.
When have you encouraged experimentation? How did you manage failure or partial success?
How do you stay informed about trends that might affect your area?

Link interview scorecards directly to the six domains to keep assessments consistent.
Rate answers based on scope and impact, not just how polished the story sounds.
Ask all candidates for the same core questions per role to reduce bias.
Capture evidence in writing so you can compare candidates side by side.
For internal moves, combine interviews with recent review data and 360° feedback.

Implementation & updates

Rolling out a leadership competency framework is a change project. If you co-create with leaders, explain the “why”, and connect it to real decisions, adoption is high. If you drop it on people as an HR side-project, it stays in a drawer.

Many organizations host the framework in a talent platform such as Sprad Growth or similar tooling, so leaders always see the same version across performance reviews, 1:1s, and internal mobility. That works especially well when combined with skills and career-path capabilities described in resources like the Skill Management guide and the talent management overview.

Set a clear owner (often HR or People Analytics) and a small design group of leaders.
Start with a pilot group for one review cycle. Collect feedback on clarity and workload.
Train managers on how to use the framework in 1:1s, reviews, and promotion cases.
Embed domains and levels into performance review templates and 360° questionnaires.
Align promotion and compensation guidelines with the framework to avoid mixed messages.
Involve your Betriebsrat/works council early, especially around rating, documentation, and data retention.
Provide employees with a simple overview and self-assessment to support development talks.
Review and update the framework at least annually based on strategy shifts and user feedback.
Keep a version history so you can explain what changed and why.
Use data from reviews and talent reviews to check which competencies need more support or training.

Conclusion

A practical leadership competency framework gives you three big advantages: clarity, fairness, and development focus. Leaders know exactly what “good” looks like at each level, employees see transparent criteria for promotions, and HR can connect performance, potential, and succession conversations to the same language.

Fairness improves because you rate observable behavior and scope, not personal sympathy. Calibration sessions and written evidence protect people from random decisions. At the same time, development becomes more concrete: instead of “be more strategic”, you can say, “To reach Senior Manager, you need to lead one cross-functional program that shapes multi‑year direction.”

Next steps can be simple and time-bound. In the next 2–3 weeks, choose a pilot group (for example, all managers in one function) and tailor the table and level descriptions to your context. Before your next review cycle, adapt your review templates, as in the examples from the performance review templates, and schedule one calibration meeting. After that cycle, run a short retro, adjust behaviors or wording, and roll the framework out more widely over the following 6–12 months.

FAQ

How do we use this framework in day-to-day management?

Use the six domains as the backbone of your leadership conversations. In 1:1s, give feedback against one or two relevant competencies, linked to clear examples. In team meetings, connect priorities back to Execution, Strategy, or Culture. Over time, leaders and team members will naturally use the framework’s language to describe expectations, strengths, and development goals, which keeps conversations sharp and less personal.

How can different managers stay consistent with their ratings?

Consistent ratings come from shared preparation and structured calibration, not just a written guide. Ask managers to write short evidence statements per domain, then review a few examples together in calibration sessions. Compare how you would rate the same case and discuss differences. Challenge vague labels like “strong” or “weak” until you reach behavior-based descriptions. Repeat this every review cycle so new managers learn the standard quickly.

How does this framework support career paths and promotions?

The framework links each level to concrete scope and behaviors, so employees can see what “next level” means in practice. Promotion cases focus on whether a person consistently performs at that higher level across several domains, with examples, instead of relying on gut feeling. Managers can use the framework to co-create development plans, stretch assignments, and mentoring that target specific gaps, making the path upward visible and realistic.

How does the framework help reduce bias in evaluations?

Bias thrives in unstructured conversations. Here, you judge against pre-defined behaviors, at a specific scope, with written evidence. That makes it easier to question ratings that lean on impressions or recent events only. Calibration meetings further balance out individual rater tendencies. Combining manager, self, and peer input also surfaces patterns and contradictions, so no single opinion dominates. The framework doesn’t remove bias completely, but it significantly limits its impact.

How often should we update the framework, and who is responsible?

Treat the framework as a living standard, not a one-off project. Usually, HR or a central People team owns it, with input from business leaders. Plan a light review every year to reflect strategy shifts, new structures, or recurring feedback. When you change domains or level descriptions, communicate what changed and why. Keep older versions archived, especially for audit and works council discussions, but ensure only one “current” version is in active use.

Jürgen Ulbrich

CEO & Co-Founder of Sprad

Jürgen Ulbrich has more than a decade of experience in developing and leading high-performing teams and companies. As an expert in employee referral programs as well as feedback and performance processes, Jürgen has helped over 100 organizations optimize their talent acquisition and development strategies.