A research report, High-Impact Talent Management: Trends, Best Practices, and Industry Solutions based on input from more than 750 organizations examines aspects of corporate talent management, including global business drivers by industry, top talent gaps, talent trends, and adoption rates of 62 talent-related processes in eight functional areas.
Among its many findings is the identification of 22 talent management processes that have a correlation with business impact. These include coaching (formal and informal), consolidation of staffing requirements across the enterprise, strategic workforce planning, and the identification of critical competencies for key job roles.
The research highlights the depth and breadth of corporate talent challenges.
- Fifty-three percent of respondents reported critical shortages among line manager positions
- Forty-eight percent identified critical shortages in engineering and other technical rofessionals such as nurses
- Thirty-nine percent reported critical shortages in sales professionals
The research shows talent shortages across all industries, with particularly urgent problems in healthcare, government, utilities, oil and gas, and telecommunications. The top talent challenge cited by organizations is a lack of qualified managers. This leadership gap, cited as critical by 51% of respondents, illustrates the difficulties involved in identifying, hiring, and developing mid-level managers.
The research showed that only 21% of responding organizations currently have some talent management strategy in place and fewer than 5% have implemented a clear strategy with operational plans and executive ownership.
Upon analysis of 62 talent-related processes in eight functional areas, the study identified 22 processes that drive the highest levels of business impact. The three functional areas driving highest impact are;
- Performance management (34% improvement)
- Competency management (31% improvement)
- Sourcing and recruiting (27% improvement)
Other key initiatives important to talent management include leadership development, succession planning, workforce planning, and HR systems. The research identified highly refined sourcing and recruiting, performance-based coaching, and identification of key competencies as the processes which drove greatest business results. Organizations which integrate and optimize these processes can create a high-performance culture, a deep understanding of critical talent needs and future shortages, and a clear view of the best sources for new talent.
The study also found that while the market for HR talent management software is rapidly growing, these systems alone do not create significant business impact. On average, organizations with talent management software solutions are only 8% more effective at solving the business problems we identified than those without, and in some cases, the introduction of technology creates negative returns.
Other findings include:
Source(s): Bersin & Associates