How talent management helps organisations to become better equipped for the future
Organisations and companies worldwide act more and more under conditions of constant change and increasing unsecurity. The reasons for this development are complex and diverse but some can be mentioned here: increasing (global) competition, digital transformation, societal as well as climate change.
Companies have to develop competences that allow them to better cope with these dynamics.
It seems to be more and more important to focus on strengthening the human factor of organisations to help them become more agile - react fast and foresighted. It therefore becomes more and more important to identify and hire the right people, with the right skills and competences and put them in the right key positions. Talent Capture and Management seem to be the state of the art approach to do so.
At first, we need to clarify what can be understood by the term talent. Talent in a WBL or working context can be defined as the potential of individuals to contribute significantly to business performance and success - this talent can consist of different attributes such as naturally given abilities, certain knowledge, behaviors as well as specific skills and competences.
Modern talent management research differentiates two different approaches: Conventional talent management focuses only on the high-performing employees and tries to change their business and HR processes so that these key people are attracted, hired, developed and retained.
A more integrated talent management approach considers that every employee is important to achieve success. Everyone has talent and potential that can be harnessed for the company at some point. This approach tries to address questions around how to structure staff or apprentice selection (inside and outside the organisation) and development in such a way that best-fit is made possible? In other words that all employees or apprentices find the positions or roles where they fit best – where their talent can be applied best (von Hehn 2016).
Both talent management approaches require organisations to think about crucial competences and skills for positions and tasks that they define critical for company performance and success. This reflects the fact that talent is not an absolute concept but a very individual and context dependent one. When planning to introduce a talent management process it is crucial to start by developing a competence model to clearly outline what talent you are looking for. This competence model will also help to keep the focus in all WBL related activities (e.g. like staff recruitment, staff appraisal, professional development programs, etc).
Talent management efforts are influencing three important business areas:
- They change and influence the company strategy but at the same time a talent management system is also directed by business aims and strategy.
- They change culture and roles as the affect management as well as HR practices.
- Finally a talent management system requires HR activities and practices to adapt and change.
Talent management actions can only be successful if they address these three areas equally - strategy, culture and HR-practices.
Learning Unit 20A and 20B try to bridge the gap between talent management theory and its application to WBL practice and the possible use of different tools that help you to run effective staff appraisals or create your own competence model.
Cambridge Dictionary, 07.11.2019
Svea von Hehn, 2016, Systematisches Talent Management, Schäffer-Pöschel Verlag Stuttgart