Thursday, August 17, 2006

Talent Management Strategy

Talent management strategy of an organization is the most critical strategy in sustaining and developing the competitive strategy of the firm. DDI and Economic Intelligence suggest that

● Given its importance, the strategy needs to be driven from the top. CEOs and COOs should oversee talent management strategy rather than delegating it to HR departments. HR, in turn, should be made responsible for supporting the strategy and executing it.

Talent management should be explicitly linked with overall strategic planning and deliver the quantity and quality of leaders the company will need in the future to achieve its goals.

● Formal processes for identifying top talent, including performance evaluations, and strategic reviews of key talent should occur at least annually and incorporate written feedback to buttress scored categories. There are many other components required in a good programme, and a rigorous approach to obtaining reliable performance data is essential.

Smart companies communicate effectively about the importance of talent management. By publicly recognising and rewarding deserving candidates with promotions and other awards, companies can cultivate an environment in which talent flourishes.

● A varied business background is the best grounding for the CEO and COO roles. As today’s corporate leaders face such diverse challenges and opportunities, firms are looking for people with wide experience in terms of function, role, and, increasingly, geography.

● Talent development programmes should combine both theory and practice in the form of structured learning experiences and off-site meetings, as well as the proper business experience. They should be supported on a daily basis by coaching and mentoring

One of the typical problems which HR faces in some organizations is the lack of support and buying from Senior Management and Line managers in Performance Management programs. As the report suggests that CEO's need to take the ownership of talent management strategy and drive the same with HR as its partner. Despite HR coming up with structured, measurable matrix to capture performance data and review processes the actual execution of the process lies with line manager. Line’s manager inability to share and appreciate the process leads to failure of most of such initiatives.

Some of the steps which can be taken to avoid this situation :

Senior and line managers must be trained regularly on the talent management philosophy by the CEO and HR folks at regular intervals.

Involve and create Process champions for Talent management from Line managers.

Communicate the efficacy and results of such programs and all levels.

Educate about the talent management philosophy right from the time of induction and ensure that each employee understands his personal role in managing his career and performance.

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