Talent Management

 

Talent Management,

Talent Management is the,

•         Attraction
•         Selection
•         Retention  of  employee
  

  
  
  
  

 Talent management involves a combination of HR processes across the employee life circle in the organization. 

It encompasses,

•          Workforce planning
•          Employee engagement
•          Learning and development
•          Performance management
•          Recruiting & onboarding
•          Succession and retention  

Talent Management

Talent is generally considered difficult to copy, imitate or to substitute (Larsen 2012).the terms ‘talent is described in different ways in the literature (Lewis & Heckman 2006).According to the Nijs et al (2014) talent refers to “systematically developed innate abilities of individuals that that are deployed in activities they like, find important, and in which they want to invest energy”. It allows individuals to perform extremely in one or more domains of human activities functionalized as performing better than other employees of the same age or experience, or as performing steadily at their personal best.

Talent is also described in two segments: Inclusively or Exclusively. Under the inclusive approach, It views all workforce as potential talents and regarded all of them who have the capacity to support organizational progress. The exclusive approach considered individuals with high performance and capacity as talent (Armstrong,2006).

Organizations in today’s context face an alarming challenge in maintaining the continual supply of talent for smooth progress and to have a competitive advantage over the competition. Talent management is of utmost importance for organizations as their high capabilities and skills vastly contribute to organizations’ performance and success. The talent management process is to facilitate identification, development, engagement deployment, and retention of employees with additional value to an organization (CIPD,2017).

With the globalization impact, talent management practices are undoubtedly considered as a key strategic priority of an organization.TM is very vital for a business to overcome the competition in the market and to achieve its goals and need to address the talent issues in the right manner and at the right time for optimum results.TM is considered the most important driver of every successful organization.

 

Global Talent Management

Business organizations in the present global context are required to leverage highly talented professionals across the world to continue business in a successful manner. Therefore global talent management has been highlighted as a vital strategic concern for multinational companies all over the world. It is a critically important priority among HR professionals over the last decade (McKinsey,2014).

Collings and Scullion (2011) define Global Talent Management (GTM) as “the strategic integration of resourcing and development at the international level which involves the proactive identification and development and strategic deployment of high-performing and high-potential strategic employees on a global scale”. It is “the set of activities undertaken in the context of international business to manage talent for differentiated roles” (Scullion &Collings, 2011)

Global talent management has been treated as one of the most vital challenges experienced by HR practitioners (PwC, 201 4).Top Talents in a business have become the most valuable capital in an organization which drives the company objective successfully over the globe. Competition in this huge market with rapid changes regularly required unique competencies and a desire in order to survive in culturally distinctive countries.

 

Challenges in global talent management

Nowadays, Global talent management is a significant area for research. Building and sustaining a robust talent pipeline is one of the major challenges faced by the organization in today’s business context. Challengers on global top talent management can be divided into two segments as external and internal factors.

External factors such as globalization, demographics, and the demand-supply gap are beyond the control of the management of the organization.

Globalization –This includes challenges associated with the migration of talented individuals between borders in order to get more experience or advance education abroad for them and subsequently return to their home nation.

Demographics-This consists of challenges related to changing workforce demographics. The size of the population may of the developed nations stay constant and on many occasions even reduce. However, the population of developing nations is the other way around. Hence attracting selecting training and developing and retaining these different generation workforce which may exist with top talent individuals is a challenge for the HR professional in today’s market. 

Demand –Supply Gap – This involves due to scarcity of appropriate talent which the organization is facing difficulty to fill the position in their market. Endogenous are internal divers to an organization and parameters of the same consist of Global Talent Management challenges such as finding suitable regional talents, retention of talents during mergers acquisitions international joint ventures and required competencies.

Considering the above facts and due to the globalization effects on each and every business organization, following key challenges are encountered by the HRM  in today’s business environment.

 

Retaining the top talents and Role of HRM in global Talent Management.

Retaining of top talents in an organization is very crucial in a globalized market place which always give huge pressure on the HRM. Talent is the word to use explain an employees’ performance and the term ‘’top talent’’ is described as something as ‘’valuable, rare and hard to imitate”, and such talent leads to exceptional performance (Govarts, Kyndt, Dochy & Baert, 2011)

As top talented workforce record high returns retaining these high performers is a “source of advantage for an organization” (Sigler, 1999, p. 1). Since the top talents make a huge positive impact on the progress of an organization while enabling it to have a competitive advantage over the competition, retaining top talent became a major concern of any successful organization.

Leaving top talent from an organization is a direct loss of investment (Govarts et al., 2011).This employee Turnover cost can be segregated into two categories as Direct and indirect. Direct cost includes advertising, temporary cover over-time fresh interviews, induction training, and other related expenses. Indirect costs include Loss of knowledge and competencies, loss or reduced productivity, new competitive pressure, designing training programs, organizing interviews, etc… and difficulty to quantify the actual cost incurred on most of the occasions.

Further challenges due to the top talent resigning are the fact that their exit could also lead to other employees’ tent to leave the organization. HRM has to investigate the push and pull factors that influence the decision to resign and also to discuss the impact of trying to retain top talents who are considering resigning such as the possibility of demanding salary increments, not complying with organizational practices, or interacting well with management. Hence it is very vital to understand the motivating factors to retain such an important segment of employees for the betterment of the entire organization. Considering the above, HRM should introduce a proactive policy of employee retention, rather than incurring preventable expenses of employee turnover.

Taylor (2014). Segregates employee turnover into push and pull elements. Job satisfaction with a present employer has been considered as a push factor whereas the pull factor describes another organization offering a more attractive package. According to Morgan (2008), “the number one reason that employees choose to leave a company is that their managers fail to lead” Jacobs (2007) validates these findings and highlights that successful retain is fulfill by seven factors

1. Management that listens

2. Regular communications and feedback

 3. Involved staff

 4. Competitive compensation

5. Clear vision

 6. Training

7. Fun workplace

 

If HRM fails to lead, create each of the above important factors will be affected. Therefore leadership skills and style of management of supervisors and line management play an important part and substantial impact on the job satisfaction of the subordinates. Since HR management plays a critical role in the entire area of employee turnover, understanding and applying the different styles of leadership topmost importance in today’s globalized business world.  

 

 

Reference

 

https://www.facebook.com/abeynf (2010). MBA Knowledge Base. [online] MBA Knowledge Base. Available at: https://www.mbaknol.com/human-resource-management/employee-resourcing/ [Accessed 3 Dec. 2021]

 

Lewis, R.E., & Heckman, R.J. (2006) Talent management: a critical review. Human Resource Management Review, 16 (2):139-154

·         Nijs, S., Gallardo -Gallardo, E., Dries, N. & Sels, L. (2014) A multidisciplinary review into the definition,operationalization and measurement of talentJournal of World Business, 49 (2): 180-191.

·         Armstrong, M.(2009)Armstrong's Handbook of Human Resource Management: South Asian Published.

·         Central Statistics Office (2017) Seasonally Adjusted Standardised Unemployment Rates (SUR) [Online] Available at   http://www.cso.ie/en/statistics/labourmarket/principalstatistics/seasonallyadjustedstan dardisedunemploymentratessur/ [Accessed 10 January 2022]

·         Govaerts, N., Kyndt, E., Dochy, F. and Baert, H. (2011) ‘Influence of learning and working climate on retention of talented employees’. Journal of Workplace Learning, 23 (1), pp. 35- 55.

·         Sigler, K.J. (1999) ‘Challenges of employee retention’. Management Research News, 22(10), pp. 1- 5.

·         Jacobs. K.(2007) ‘The rewards of retention: Retaining your best and your brightest’. Public Relations Tactics, (14) 8, pp. 18– 20

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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