Lecture 2 (Objectives & Role of TM)- Notes

Meaning & Objectives

Talent management is the important part of the entire process of human resource management. It
refers to the important approach to hire or recruit the talented people and retained them in the
organization for the future growth of the organization.

Whereas, talent acquisitions is a process of identifying, hiring the talented employees to meet the
needs of the organization. It helps to business organization to meet its competitors and maintain a
strong position in the market

Objectives:

 It results in the accomplishment of organizational mission, goals, vision and objectives.

 Helps in retaining talented employees’ at best possible way.
 It strengthens the structure of organization by maintaining strong human resources.
 It helps to business organization to meet its competitors and maintain a strong position in the
market.
 To builds a strong goodwill of the organization in the market.
 It leads to better and participative decision taking by the business management.
 It helps in continuous improvement in performance of the organization by making it more
effective and efficient.

Importance:

Talent Acquisition Strategy Impacts Future Success

• Picking up of talented employees and retain them finest ones is possible.

• It strengthens the structure of organization by maintaining and building strong human
resources.

Talent Acquisition Saves Time and Money

Talent Acquisition Provides Compétitive Advantage

To builds a strong goodwill of the organization in the market.

It leads to better and participative decision taking by the business management.

Most Important
If you ask me for the guidelines for talent management, my response would be the following:

 Developing employees.
 Redeploying employees.
 Retaining the best talent.

Yes, the prime focus of talent management is enabling and developing people, since the quality
of an organization is determined by the people it employs and has onboard. After hiring and
deploying we may say that retaining and nurturing talent is quintessential.
Talent management also known as human capital management is evolving as a discipline that
encompasses process right from hiring people to retaining and developing the same. So it
includes recruitment, selection, learning, training and development, competency management,
succession planning etc. These are all critical processes that enable an organization to compete
and stand out in the market place when managed well!
Talent management is now looked upon as a critical HR activity; the discipline is evolving every
day. Let’s analyze some trends in the same.

 Talent War: Finding and retaining the best talent is the most difficult aspect of HR
management. HR survey consultancies are one in their view that organizations globally
are facing a dearth of talented employees and it’s often more difficult to retain them.
Further research has also shown that there is clear link between talent issues and overall
productivity.
 Technology and Talent Management: Technology is increasingly getting introduced
into people development. Online employee portals have become common place in
organizations to offer easy access to employees to various benefits and schemes. In
addition employees can also manage their careers through these portals and it also helps
organizations understand their employees better.
 Promoting Talent Internally: An individual is hired, when there is a fit between his
abilities or skills and the requirements of the organization. The next step is enabling
learning and development of the same so that he/she stays with the organization. This is
employee retention. An enabled or empowered means an empowered organization.

It is also of interest to organizations to know their skills inventories and then develop the
right individual for succession planning internally.
  Population Worries Globally: World populations are either young or aging. For
example, stats have it that by 2050, 60% of Europe’s working population will be over 60!
On the other hand a country like India can boast of a young population in the coming and
present times. Population demographics are thus a disturbing factor for people managers.
Still more researches have predicted that demographic changes in United States will lead
to shortage of 10 million workers in the near future!
 Talent Management to rescue HR: HR has been compelled to focus on qualitative
aspects equally and even more than quantitative aspects like the head count etc. Through
talent management more effort is now being laid on designing and maintaining employee
scorecards and employee surveys for ensuring that talent is nurtured and grown
perpetually.
 Increase in Employer of Choice Initiatives: An organization’s perceived value as an
employer as helps improve its brand value in the eyes of its consumer. Most importantly
it helps it attract the right talent.

Role of Talent Management In Building Sustainable Competitive Advantage To A Firm

Organizations work in direction to the achievement of their objectives, mission and strategic
objectives. It requires thorough ability to understand the required resources for achieving the
same objective. Resources here mean financial and non-financial both and those are equally very
important and interdependent in themselves.

For human resources they should follow the criteria to qualify as potential sources of competitive
advantage:

 Strategic Value: Those resources have to contribute substantially and add value in the
area of expertise.

 Rare: It means unique in terms of knowledge, skills and abilities so as to qualify as rare.
 Appropriable: It means the extent to which these resources are owned by the business
firm.
 Inimitable: The resource which cannot be replaced and even after competitors spotted
the same.
 Cannot be Substituted: It means the resource cannot be replaced or substituted by the
competitors or rival firms and there is no match for their talent.

How to Build an Integrated Talent Management Strategy

The human resource professionals are the cornerstone of any organizations. They not only solve
business problems today but also participate in strategic aspects of the organization; talent
management is one of them.
Formulation of a talent management strategy is the responsibility of the HR function. This
is often done in consultation with the business function. Be it talent mapping and planning or
performance, recruitment and retention the human resource professionals of the day are seeking
out ways to streamline and integrate their functions with the broader business functions.
In Aditya Birla group, for example there is huge dearth of leadership positions at the top. The
company is expanding globally and at a rate faster than it can grow its human capital. This has
lead to talent deficit and this is common in many organizations. The problem requires a
comprehensive set of solutions.
Again in the same organization as mentioned above, people are empowered very early in their
careers to give them more responsibilities and build more competencies in employees. This
enables to develop high potential personnel. The organization runs an internal programme
IDventure where they promote entrepreneurship. You have an idea; you come forward, share and
develop a comprehensive business plan. The best plan receives a support from the organization!
Needless to mention now, organizations require an integrated approach to talent management.
There is a need to strategize in HR functions to enable and support the business functions. Some
strategies in this direction could be:

 Aligning Business strategies with the HR strategies: Business HR is one function that
is developing fast as part of the human resource department. The person is responsible for
ensuring a smooth relationship between business and HR functions. They work with
business heads to develop people strategies to support both short term and long term
business objectives.
 Performance Planning and Evaluation: An integrated HR approach means that are
uniform and standard procedures for employee performance evaluation and
compensation, up and down the organization. Performance is linked to growth and the
process adds value for employees to evaluate their work on their own. Indian digital disk
giant Moser Baer employs such process.
 Strategic Manpower Planning: HR and Business function are interrelated. None can
exist without the other. HR functions need to work in collaboration to assess current and
future manpower requirements are plan for the same. They need to strategize on the
approximate manpower requirements, the relevant skills and educational qualification,
compensation and the like. This has to happen well in advance. Recruitment itself means
a host of other activities like training and development, compensation, induction and
orientation etc.
 Mapping your Talent: An ever increasing emphasis is being laid on identifying the top
performing and talented employees to think of ways to develop, nurture and retain them.
Further organizations also like to keep skill inventories for contingencies. As
organizations realize the skills and abilities of individuals, they can then be more focused
on devising means and strategies to attract, develop and retain these people.
References

 https://www.managementstudyguide.com/talent-management-process.htm
 https://blog.optizmglobal.com/why-talent-acquisition-is-important/
 https://theintactone.com/2019/06/24/tm-u1-topic-1-concept-meaning-objectives-of-talent-
management/
 http://cdn2.hubspot.net/hubfs/2223691/Inbound_Marketing_for_your_Talent_Acquisition
_Stategy_-_Guide1.pdf?submissionGuid=e458f236-c79a-4a9b-b2ae-e18f5cff1bee