Using talent management software packages to administer employee performance has suddenly become hugely popular. Within this new-found appreciation of the need to better address the management of human capital is the need to develop the actual talent within that resource pool. According to a recent report titled Human Capital Management: The CFO’s Perspective, sponsored by CFO Research Services, 92 percent of those interviewed believe that human capital has a direct effect on customer satisfaction, 82 percent said it has an impact on profitability and 72 percent felt it shows up in innovation and product development.
Don’t Put Talent Development in a Corner
Talent development refers to the process of assessing the innate skills, interests and passions of employees and actively aligning them with a company’s objectives. Frequently, talent development is relegated to a tab in the talent management software system alongside a yearly assessment or a one-day workshop on communication styles. When this happens, upper management misses out on a huge opportunity to fill needs with the available human resources.
Talent development should be of equal or greater importance to talent management. In a highly competitive race to hire and retain the best individuals, ignoring this component of human resources is a costly decision. The nature of people makes development necessary.
Self-Actualization Equals High Performance
Maslow’s hierarchy of needs is a very simple way to illustrate the need to have a talent development strategy. The theory’s familiar pyramid represents the five human psychological needs. It starts from the most basic, with physiological needs like food and water, and continues with safety, love and belonging, esteem and finally self-actualization. Of course, most employees get the first two levels fulfilled just from a basic paycheck.
In order to encourage people to become high-performing contributors to the organization, their other needs must be met too. This nurturing is often looked at as fuzzy or soft, but these actions can have the most concrete impact of any organizational initiative. In fact, problem-solving skills and creativity are found at the top of the pyramid in self-actualized individuals?the very ones you want to recruit and retain.
Providing the opportunity for individuals to learn about how they communicate, how they become stressed, how they approach working on a team and how they typically meet their psychological needs is not soft. These personal dynamics have a real impact on each employee’s engagement in the organization’s larger purpose. A cohesive program of talent development activities that addresses these needs and is part of a comprehensive plan for the long-term fulfillment of key positions in your company has become a critical aspect of integrating talent development with company vision and success.
©2009 Kris Kiler
Resources
- Best Practices in Talent Management Workforce.com in Workforce Management
- Towers Perrin-ISR. “Employee Engagement Underpins Business Transformation.” Towers Perrin-ISR Case Study, July 2008.
