Talent Management10. Febuary 2011
While the term Talent Management has only been widely used since the 1990’s, it is a process that has been implemented, to varying degrees, by most successful organisations for a much longer period of time. The main goal of Talent Management is rather self-explanatory, is to acquire highly talented employees to be stationed at strategic positions in a company. It consists of five phases, planning, recruiting, developing, compensating and positioning.
Talent Management has the obvious benefit of acquiring the best employees, but it can be a double edged sword. Organisations can fall victim to losing their own staff, in what is know as a “talent war”. A recent example of this could be seen at Facebook, who have been attracting a number of employees from Google, who themselves are masters at attracting strong candidates. This demonstrates the importance of applying good talent management, a company that has employees with super talents will easily lose those employees because most likely those employees will be hijacked by other companies.
Talent management gives tremendous benefits to companies that have applied this process in their human resource management. There are many positives, but the following are possibly the three most important aspects of Talent Management.
- Talent management makes a company more competitive in business competition. It goes without saying that a company that has super talented employees always produces better products or services compare to competitors that only have employees with average talent. An example of this would be Mercedes Benz. They are perceived as a world-class manufacturer, but the company is well known for its acquiring of highly talented engineers and car designers, with highly publicised announcements of new employees. Without this policy, perhaps Mercedes would not be the world-class car manufacturer as we know today.
- This special human resource process helps any company to keep one of its most valuable assets that is super talented employees. Through good compensating and positioning, employees with super talents will feel appreciated and eventually willing to make long-term commitment. Going back to our previous example of Google, they set the benchmark in Ireland, offering superior benefits than the vast majority of companies in the Ireland. Google quickly built up an excellent reputation (numerous best employer awards), and talented individuals were anxious to join the company and stay.
- Applying this crucial process increases company's revenue effectively and efficiently. With a more competitive condition than competitors, a company automatically can make effective penetration to market and gain larger market share. By gaining larger market share means company's revenue significantly increases.
In practice, there are lots more benefits of applying this crucial human resource management process. Any company looking to grow and develop into a world class organisation will struggle to do so unless they embrace and implement a Talent Management Process.