Purpose: The purpose of this paper is to find a model for the individual employee, the employer, the supervisors and the personnel at HR to manage organizational and individual changes. The objective of the model is to manage the changes in parallel with the competence (HRD) and employment (HRM) aspects. Design/methodology/approach: The research strategy is a constructive case study and the research design follows action research design. The research methods are interviews, essays, participatory group works, benchmarking and workshops with various stakeholders. The data collection methods during the cycles were qualitative and participative. Findings: The main product of the research is the competence and employment forum model. The constructed forum model provides reasonable support for the employees and the employer in various organizational and individual change situations. Research limitations/implications: The research context is an educational consortium in Southern Finland. Thus the results of the study are case-dependent and cannot be transferred directly into another context. The model can be modified for use in other contexts. Practical implications: The paper describes the construction phases of the forum model and thus provides the management and HR personnel with a step-by-step approach for constructing various new operational models for organizations. The paper discusses the need for closer interaction of HRD and HRM practices. Originality/value: Today, HRD and HRM functions have to develop new working methods and models to be able to work together in unexpectedly changing contexts. The strength of the forum model is in the theory base. The phases of the action research are carefully implemented to produce a model for practical use. This model is the first to consider a wide range of change situations from organizational changes to medically verified occupational decline of the individual. (Contains 4 figures and 1 table.)