How to use competency & skills matrix in 1on1 and performance reviews

Source: Dev.to

Performance conversations can be tricky.
They’re supposed to inspire growth, set direction, and strengthen trust – yet too often they feel vague, subjective, or even uncomfortable.

That’s where a competency matrix comes in. When used well, it’s not just an HR tool – it’s a shared language for growth. It helps both managers and team members understand what’s expected, where they stand, and what progress actually looks like.

Common problems a well‑designed matrix solves

Misunderstandings after “clear” meetings

A call ends, everyone nods, but weeks later people realize they understood things differently. Rework, frustration, and lost time (and money) follow. A clear competency framework keeps expectations aligned long after the meeting ends.

Unclear growth direction

Building a matrix forces you to ask tough questions: What does our team really need? What kind of skills matter most for our future?
Defining what “good” means in your context is research and reflection – not easy, but incredibly valuable. (There are plenty of templates to help you get started.)

Performance reviews that feel disconnected

Without structure, feedback often sounds random or personal. A matrix brings objectivity and focus – it connects performance with skills, not personalities, shifting the conversation from judgment to development.

How to use a competency matrix effectively during 1:1s and yearly reviews

1. Turn feedback into actionable, clear goals

A good matrix breaks down growth into specific, observable behaviors.
Instead of “you should be more proactive,” say:

“At the next level, proactivity means identifying blockers before they happen and communicating them early.”

This transforms abstract advice into a concrete goal that teammates can act on. No guesswork, no ambiguity – just clarity. During 1:1s this makes progress measurable; during performance reviews it creates a shared understanding of what “growth” actually means.

2. Make growth understandable and fair

The matrix makes expectations visible to everyone, not hidden in a manager’s head. Transparency builds trust, helps team members see how their role evolves, what skills are valued, and what’s next on their path. For managers, it reduces bias: evaluations are based on consistent, structured criteria, not gut feeling. When people understand the system, they engage with it and start driving their own development.

3. Help teams grow together

A competency matrix also highlights where the team stands as a whole. In 1:1s it identifies who needs more mentoring; in performance reviews it aligns the team’s strengths with upcoming business goals. Spotting patterns (e.g., several people struggling with communication, ownership, or technical depth) turns performance data into a strategic growth plan for the entire organization.

How to bring it into your next 1:1

Review the matrix together

Go through each skill or behavior point by point. Mark what’s already achieved as done, add comments where clarification is needed, and move the remaining items into in progress or goals. This shared review creates alignment and removes assumptions – both sides leave the meeting with the same understanding of where things stand.

Focus on real examples

Each matrix point can become an actionable growth or project goal. Discuss concrete situations or deliverables that demonstrate a skill in action – it makes feedback tangible and progress visible. This also helps translate abstract competencies into everyday work.

Encourage your teammate to co‑create the matrix

Ask for their input: what skills feel missing, outdated, or not fully relevant? Involving people in shaping the matrix helps them reflect on what truly matters and turns the tool into a source of insights for the entire organization. It’s one of the simplest ways to keep your competency model alive, relevant, and genuinely useful.

The matrix becomes a map, not a checklist. It builds ownership, not evaluation.

In the end…

A competency matrix helps turn performance reviews into growth conversations. It makes feedback actionable, expectations transparent, and development a shared journey – not a mystery. When used regularly in 1:1s, it stops being a tool for judgment and becomes a tool for progress.