There has been a lot of talk over the past two years about employee engagement and its role in employee retention. The easiest way to facilitate employee engagement incorporate Talent Management into your Human Resources processes and responsibilities. This blog examines the concept of Talent Management and why it should have a place in your organization.
Defining Talent Management
Talent Management, technically speaking, is a series of processes focused on human capital. It is a means to determine an organization’s needs for human capital and a plan or strategy that works towards meeting the identified needs. In order for such plans to be successful there must be a commitment towards and purpose to an organization’s talent related activities. Talent exercises or processes without commitment or purpose will not lead you towards your human capital goals.
Talent Management – But What Is It Really?
The definition above is all well and good. But what does it really mean? How can I apply it to my organization?
Speaking from the real world, Talent Management is a way to provide structure and employee engagement at each step of the employee life cycle. It is a series of processes providing guidelines around the key activities including: attraction, recruitment, development, retention, motivation, compensation, and termination. In short, we want to only hire employees who are good for our organization. And if an employee is good, we want to make sure they stay at our organization.
What Does Talent Management Offer?
Talent Management offers the opportunity for engagement with employees. And although employee engagement doesn’t solve all retention issues it certainly offers the opportunity to gauge employee satisfaction and to intervene when needed.
Today’s workforce is rapidly evolving. We have five generations of employees working together and each generation brings a set of needs and expectations. There is a strong, competitive market for top talent. Organizations need to recruit high potential employees and grow and develop their existing employees. Employing talent management initiatives such as performance management, career development, and learning opportunities allows organizations to meet the complex challenges of the workplace.
Here are some commonly seen outcomes of adopting Talent Management:
- Increased employee engagement through self services and mobile capabilities
- Ability to assess and track employee performance
- Identify top performers and those in need of assistance
- Develop actionable, trackable, and reporting performance improvement and growth plans
- Offer trainings and track their effectiveness
- Use employee surveys and feedback tools to increase satisfaction and retention
- Facilitate collaboration between employees regardless of location
Why Is It Essential?
A Talent Management Strategy is a plan for rolling out and utilizing the components of Talent Management. It will help recruit good talent, grow and develop existing employees, and retain them in our organization. It will also ensure that our key positions are planned for and that we don’t face a shortage of skilled employees. These are important considerations to be aware of because organizational changes such as the ones listed below may require you to act:
- A large, aging population of the workforce is moving towards retirement
- On trend, millennials job hop every 2-4 years
- There is a shortage of skilled employees available
- Employees who do not feel connected to their organization are more likely to move on
- It costs money to recruit, train, and develop an employee.
For these and similar reasons it is in your organization’s best interest to begin implementing talent processes.
For more information about how technology can help drive your HR segment towards being a strategic partner within your organization, please check out these Resources on SAP SuccessFactors.