TALENT MANAGEMENT

BA 509Buket Akyel

What is Talent Management?

The purpose of TM is to ensure that the right supply of talented workforce is ready to realize the strategic goals of the organization both today and in the future

Organizations efforts to attract, select, develop, and retain key talented employees in key strategic positions.

Talent management includes a series of integrated systems of recruiting, performance management, maximizing employee potential, managing their strengths and developing retaining people with desired skills and aptitude

Talent ManagementTM introduced by Mc Kinsey consultants, late 1990sTM is identified as the critical success factor in corporate worldTM focuses on differentiated performance: A, B, C players influencing company performance and successidentifying key positions in the organization

!!! Surveys show that firms recognize the importance of talent management but they lack the competence required to manage it effectively

What is Talent?According to McKinsey; talent is the sum of a persons abilities, his or her intrinsic gifts, skills, knowledge, experience , intelligence, judgment, attitude, character, drive, his or her ability to learn and grow.

Who are Talented People?They regularly demonstrate exceptional ability and achievement over a range of activitiesThey have transferable high competenceThey are high impact people who can deal with complexity (Robertson, Abbey 2003)

Why Organizations Need Talent Development?To compete effectively in a complex and dynamic environment to achieve sustainable growth To develop leaders for tomorrow from within an organizationTo maximize employee performance as a unique source of competitive advantage To empower employees:Cut down on high turnover ratesReduce the cost of constantly hiring new people to train

Talent Management ModelThere are different approaches to talent management in organizationsA successful TM model has to linkTM creed (culture, values, expectations) withTM strategy and TM system. (Lance and Dorothy Berger, 2011)

The values, expectations and elements of the desired culture and the business excellence should be embedded in HR systems as selection criteria, competency definitions, performance and promotion criteria and development processes.

The Talent CreedA TM creed is the set of core principles, values and mutual expectations that guide the behavior of an institution and its peopleIt describes in general terms what types of people are expected to work in the organization and what type of a culture is desired to achieve success

The Talent StrategyDescribes what type of people the organization will invest in and how it will be done

Besides the specific elements of their creed, the talent strategy of all high performing organizations should have these directives:Identify key positions in the organization (not more than 20, 30 %)Assess your employees and identify the high performers (classify according to their current and future potential)Retain key position backupsMake appropriate investments (select, train, develop, reward)

Assessing the EmployeesSuperkeepers- greatly exceed expectations (3-5%)Keepers exceed expectations (20 %)Solid citizens- meet expectations (75 %)Misfits- below expectations (2-3 %)

(Berger and Berger, 2011)

Allocating Investments in People Superkeepers- receive about 5 % of all the resouces; need very high recognition, compensate much more than the pay market, promote very rapidly

Keepers receive about 25 % of all the resources, need high recognition, compensate more than the pay market, promote rapidly

Solid citizens- receive about 68 % of all the resources, need recognition, compensate at the market level or just above

Misfits- receive about 2 % of all the resources for some, compensate at below market average

(Berger and Berger, 2011)

Talent Management SystemImplementation program of the talent strategy which has a set of processes and procedures(1) assessment tools (2) multi-rater assessment(3) diagnostic tools(4) monitoring processes

If the management is not willing to use assessment in their organizations they cant do talent management

Assessment Tools for TMThe five assessment tools should be linked to ensure that each assessment is consistent with the four other evaluationsCompetency AssessmentPerformance AppraisalPotential ForecastSuccession PlanningCareer Planning

Multi-Rater Assessment

Employee. The owner of the career plan that is aligned with the succession planBoss. The primary assessor Bosss boss. The key link in the vertical succession and career planBosss peer group. Source of potential new assignments in the same or other function

Diagnostic Tools

SuperkeeperTM reservoir. SuperkeepersTM are employees whose performance greatly exceeds expectations, who inspire others to greatly exceed expectations, and who embody institutional competencies. Keeper Key position backups. The insurance policies that ensure organization continuity. Every key position should have at least one backup at the Keeper (exceed job expectations) level.Surpluses. Positions with more than one replacement for an incumbent. While ostensibly a positive result of the talent management process, it can be a potential source of turnover and morale problems if the replacements are blocked by a non-promotable incumbent and/or there is no realistic way most of the promotable replacements can advance.Voids. Positions without a qualified backup. Determine whether it will transfer someone from the surplus pool, develop alternative candidates, or recruit externally.Blockages. Non-promotable incumbents standing in the path of one or more high-potential or promotable employees.Problem employees. Those not meeting job expectations (measured achievement or competency proficiency). Give opportunity to improve, receive remedial action, or be terminated. The time frame should be no longer than six months.(Lance and Dorothy Berger, 2011)

Monitoring Processes

Evaluate the results of talent management system on a regular basis for quality, timeliness and credibility

What is competency?Competencies are the core elements of talent management practicesThey are the demonstrable and measurable knowledge, skills, behaviors, personal characteristics that are associated with or predictive of excellent job performance.ExamplesAdaptability, teamwork, decision making, customer orientation, leadership, innovation etc.

Competencies and Definitions

Action OrientationTargets and achieve results,overcomes obstacles, accepts responsibility, creates a results-oriented environment..... Interpersonal SkillEffectively and productively engages with others and establishes trust, credibility, and confidence with themCreativity/InnovationGenerates novel ideas and develops or improves existing and new systems that challenge the status quo, takes risks, and encourage innovationTeamworkKnows when and how to attract, develop, reward, be part of, and utilize teams to optimize results. Acts to build trust, inspire enthusiasm, encourage others, and help resolve conflicts and develop consensus in supporting higperformance teams

(Berger and Berger, 2011)

Why Competencies?

The challenge is to identify which competencies the organization expects to see in their people

The starting point of the model is the creed (values, principles, expectations) and the business strategies

Through a competency model the organization sends a consistent message to the workforce about what it takes to be successful in the jobHelps employees understand what helps drive successful performanceThe Competency Model approach focuses on the How of the job. Competency model is behavioral rather than functional, focuses on the people rather than jobsCompetency models are outcome driven rather than activities (Job descriptions focus on activities, competencies focus on outcomes)Integrates HR strategy with business strategy both focus on outcomes

Why Competencies?The competency model serves as the foundation upon which all workforce processes are built.

Competencies promote alignment of talent management systems by creating a common language that enables these systems to talk with each other! That is, results of one TM system is used as the input data for the following TM system.

The Competency ModelThe Competency Model identifies usually three groups of competencies:Core competencies for the entire organization to shape the organizational capabilities and culture required to achieve the strategic goals(5 or 6)Leadership competencies for the management teams of various levels for selection, career planning and developmentFunctional (technical)competencies (specific for each job family)

Developing a Competency ModelUse commonly available ready to use models with small adjustments for your organization

Develop own competency model with help of consultants

Behavioral Benchmarking compare superior performers with other best people in the organization and in other benchmark companies

Developing Organizations Own Competency ModelOverview of current tasks and responsibilitiesCome to agreement about what successful outcome driven performance looks likeReview of competency library and selection of must haves for the positionRank top competencies as demonstrated by exemplary (superior) performersIdentify of those competencies that align with the vision, mission and strategic plan of the organizationVerify the competencies with a larger sample of the organization

Choosing CompetenciesBefore choosing competencies in an organization following requirements must have been completed: Establishment of vision, mission, values Strategic business goalsIdentification of the tasks, responsibilities and outcomes expected from each positionIdentification of the superior (exemplary) performersSatisfactory competency library

Talent ManagementTALENT=COMPETENCE+COMMITMENT+CONTRIBUTIONBeing competent is not only enough to be a talentThe competent person should be committed to the causes and goals of the organizationAnd should be able and willing to contribute to the success of the organizationSo, developing your talent is not enough, the organizations need to take all the measures to motivate, reward their talent pool to gain their commitment and contribution. Retention is also essential to gaurantee future alignment of the talent with the right key positions

Talent Management Model

Talent Management ModelExpectations for the future.Businesses should identify Job rolesSpesific objectivesCompetenciesCapabilities to meet the expectationsWork environmentManagerial supportRewards and recognitionRemoving barriersFeedback systems needed to FocusTo keep on trackDevelop

Talent Management Cycle

Talent Management ProcessOrganization Analysis-Job descriptions-Job spesificationsAssessing the Emloyees

PotentialCandidatesPerformance EvaluationBuss. ResultsPersonal DevelopmentActivitiesCareerCommitteesPotancial CandidatesandSuccession ListsApproval of theLists AnalysisAssessment

Development

Talent DevelopmentProgramsJanuary - MarchAprilMay on......Assessment Tools

Structure of a Talent Management ProgramBuilding Block 1: Identification and assessment of competenciesBuilding Block 2: Performance appraisalsBuilding Block 3: Succession and career planning Development of talent (coaching, mentoring, training)Linking compensation with the program (reward and motivate)Targeting culture as an important driver of TM programs Secure senior executives commitment to make the talent management model workEvaluate the results of talent management system on a regular basis

Integrated Functions of TMPerformance appraisals, assessments of potential, competency evaluations, career planning, and replacement planning (the core elements of talent management) should be linked to each other. Stand alone functions are destined to end with failure

HR and TM

Classwork and/or HomeworkPrepare a list of 5 competencies for your own position. Explain why you choose these competencies and what do they include behaviorally?