IRJMSH Vol 12 Issue 7 [Year 2021] ISSN 2277 – 9809 (0nline) 2348–9359 (Print)

Talent Management critical implications and Strategic approach

reference to employer and employees prospective.
Dr. Mamta A Shende
[email protected]
Progressive Education Society’s,
Modern Arts Commerce and Science College,
Savitribai Phule Pune University,
Pune, 411053 India

Deepak Ranjan Sahoo

[email protected]
Ph.D. Research Scholar
Department of Commerce
Savitribai Phule Pune University
Pune,411007, India

Abstract
In present challenging business environment of going global and competition becoming intense,
organizations have mounting pressure to perform better than before. Over the years, creation and
preservation of knowledge has become a key tool in accelerating competitiveness and enhancing
organizational capabilities to respond to market changes, wherein employees ‘talents and
behaviors are appropriately deployed to enhance performance, is a critical and difficult task.
Talent in the organization refers to the core employees and leaders that drive the business
forward. Such employees are often the top achievers and leaders, who influence the behavior and
performance of others in the organization. Talent is not a matter of status, nor a sub-component
of personality, nor a commodity that can be quantified or measured. This research work consists
of two parts. The first part provide a brief overview of Talent management offers a fertile
resource to consider the notion of talent, as well as notions of potential, intelligence and business
skills. The second part, in turn, investigates the approach of strategic approach to Talent
Management. Skills relating to observation, evaluation and elucidation are developed in detail
and complemented with concrete examples. Both managers and employees can use this work to
acquire the solid bases required to potentiate and develop their talents within their respective
company and beyond.
Keywords: Talent Management, Talent Creed, Talent Management system, Talent Strategy

INTRODUCTION

The term Talent Management is a dynamic term as its meaning and application varies from
organization to organization based on the factors like mission, vision, talent creed and talent
strategy of the organization. Often, most of the organizations commonly use the expression
‘people are the human capital assets of our organization’ but the term Talent Management is

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much more than mere lip service as in contemporary times it is being predicted that ‘the Human
Resource Departments’ might ultimately be replaced by ‘Talent Management Departments’ as
the focus on the term ‘Talent Management is more now than ever’. Dale Carnegie and William J.
Rothwell from the Pennsylvania University, have published in their white paper about the
meaning of the term Talent Management and what model delineates the important components
of Talent Management. “Talent Management as a term has different meanings, for some, it may
mean same as Succession Planning but for others it may mean an integrated process which
includes attracting, developing, and retaining some of the best people. While for many others, it
might mean integrated set of efforts put together to integrate all the essential components of the
organization and its human resource system”. The best advice is that for coming up with a
definition of Talent Management would be to define it according to the needs of the organization
which are unique in nature.
1.1: Research Problem:
Talent Management in its myriad of variants and modes of implementation has improved the
performance of many companies, leaving those without such a Talent Management program
potentially or actually at a competitive disadvantage depending on their particular context. The
potential for recruiting and retaining talent is inherently more challenging to smaller companies
as well as companies which are large and diverse in their function. As changing demographics
have inexorably altered the business landscape, it is generally accepted that organizations are
currently dealing with the daunting task of replacing knowledgeable and talented workers.
Furthermore, everyone agrees that there is a shortage of talent in the workforce, and companies
must actively pay for the talent war in order to allow the right people with the right skills to enter
their organization.
1.2: Research Objective:
1. To explore the driving force for strategies for Talent Management adopted by
Organizations
2. To suggest applicative and adoptability Talent Management practices across
Organizations and suggest measures and considerable factors for successful
implementation of Talent Management practices.
ANALYSIS AND INTERPRETATION:

As changing demographics have inexorably altered the business landscape, it is generally

accepted that organizations are currently dealing with the daunting task of replacing
knowledgeable and talented workers. Furthermore, everyone agrees that there is a shortage of
talent in the workforce, and companies must actively pay for the talent war in order to allow the
right people with the right skills to enter their organization. Many companies are already
suffering a shortage of executive talent. Three-quarters of corporate officers surveyed said their
companies had “insufficient talent sometimes" or were "chronically talent-short across the
board" (Chambers, et al., 1998). Due to these issues, senior management focuses a substantial
portion of their resources on attracting, hiring, developing, and retaining talent in order to remain

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competitive. Human resource (“HR”) departments are at the center of these personnel acquisition
and retention efforts by being responsible for coordinating.
Critical Literature analysis:

Talent Management strategies, although buy-in is required across the organization in order
for these programs to be effective. Generally speaking, talent management is the
implementation of a comprehensive system or strategy to attract, develop, retain, and utilize
people with the skills and abilities required to meet individual needs by developing improved
processes, thereby increasing productivity in the workplace. Future business needs.Lance A.
Berger, Dorothy R. Berger (2010) have out forward through their experience and researches
that almost all the high performing organizations use a Talent Management Model, the main
underlying elements of such models can be classified under three main headings:

 Talent Management creed: Talent Creed, such as, sustainability, social responsibility,
innovation, ethical standards, and creativity. Another striking and more popular example
is Starbucks. Its creed includes various references to ethical and social responsibility and
provides for following six guiding principles which can help their employees to analyze
the appropriateness of their decisions. It refers to a set of broadly communicated values,
core. These principles are embedded in the Talent Management system and Talent
Management strategy of the organization and incorporates doctrines in different fields
like selection criteria, performance criteria, competency, internal selection and various
development processes. Johnson & Johnson Credo is an excellent example of such a
creed as it’s consistently among the top group in Fortune’s Most Admired Companies
List. Johnson & Johnson Credo states that their ‘credo is more than only being a moral
compass and that they believe is the recipe for their success’.
 Talent Strategy: A talent strategy reveals the investments made in people by the
organization today believing that this investment will help them to achieve a competitive
edge and excellence in future. Workforce is often viewed as a portfolio of human assets
and resources in the Talent Management strategy. These portfolios are assessed by
measuring their current and further potential contribution relevant to the success of the
organization. The different types of people chosen from the organization for this kind of
investment are included in the talent strategy. Thus to sum up talent strategies of high
performing companies,
 Talent Management System: The third step in the development of the Talent
Management model is creating the Talent Management system. In order to do that, the
talent creed and the talent strategy will need to be put in place or rather into the human
resource management system as these two elements are the drivers of strategic Talent
Management. Aligning these two elements will result in the implementation of the Talent
Management system. Thus Talent Management system could be looked upon as a set of
processes and procedures that can translate the talent creed and talent strategy in a
diagnostic way which could be implemented for attainment of organizational excellence.

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2.1 Data Analysis and Interpretation:

Talent Management in its myriad of variants and modes of implementation has improved the
performance of many companies, leaving those without such a Talent Management program
potentially or actually at a competitive disadvantage depending on their particular context. The
potential for recruiting and retaining talent is inherently more challenging to smaller companies
as well as companies which are large and diverse in their function. The quantity and quality of
the talent needed in the organization is affected by the Talent Management practices of the
organization. An effective Talent Management adjures that business goals and strategies are well
aligned so that the talent can be managed effectively. Thus it could be summed up that business
success depends on having the right talent in the right place, at the right time. For the sake of
convenience, data has been presented in tabular from. The data was analyzed in accordance with
the objectives and hypotheses of the study. The raw data was put to statistical treatment.

Frequency Percentage Valid Cumulative

Percentage Percentage
Less Than 25 39 7.3 7.3 7.3
Years
Valid Between 25 -30 269 51.7 51.7 59
Years
Between 30 -35 166 31.9 31.9 90.9
Years
Between 35 -40 47 9.1 9.1 100
Years
Total 521 100% 100%

TABLE 1: Diversity age group of Employees

As changing demographics have inexorably altered the business landscape, it is generally
accepted that organizations are currently dealing with the daunting task of replacing
knowledgeable and talented workers. Table :1 shows the age of the employees and according to
this table, most of the respondents i.e. 51.7%-25 to 30 years old; in addition, 31.9% are between
30 and 35 years old, 9.1% are between 35 and 40 years old, and 7.3% are under 25 years old.
Result of the table also shows that majority of respondents belong to young age group.
Talent Management was taken as an independent variable and the relationship between Talent
Management and other factors or strategies was checked through Pearson Correlation method.
As per the information given in table, correlation between Talent Management and Performance
Management was found .388, that was significant 0.01 level, Correlation between Talent
Management and Learning & Development was found .661 which was significant at 0.01 level,
Correlation between Talent Management and Employee Engagement was found .575 which was

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significant at 0.01 level, Correlation between Talent Management and Workplace Management
was found .655 which was significant at 0.01 level, and Correlation between Talent Management
and Contemporary People Policies was found .601 which was significant at 0.01 level, which
means all these factors are have positive significant relationship with Talent Management.

When relationship between the factors was checked, it was found that all these factors have
significant positive relationship with each other and significant 0.01 level beside the relationship
of Performance Management and Shared Services which is positive but not significant.

The first factor, learning and development and talent management process is having R value of
.661 which denotes that learning and development impacts talent management up to 66%. The
sector factor, learning and development and workplace management, is having R value of .762
and hence it indicates that predictors and dependent variable show 76% relation. The third factor,
including, learning and development, workplace management and contemporary people policies
are having R value of .775 thereby indicating that predictors and dependent variables show that
77.5% relation. The fourth variable, having, Learning and development, workplace management,
contemporary people policies, and employee engagement are having an R value of .779 and this
shows that there is 77.9% relations between these variables.

The Model Summary presents the R square and Ad R Square Value for each step along with the
amount of R Square changes. R2 with that predictor in the model was .437. Not coincidentally,
that is the square of co-relation between learning and development and talent management
process, (.661) 2 = .437 and it is the value of R square change.
In the second step, positive effect was added to the model. The R square with both predictors in
the model was .580, thus we gained .143 in the value of R square and this is reflected in the R
square change. Therefore, in the fourth step, our R square value has reached .607 and this is
reflected in the R square change we gained only .007. In conclusion, we can say that first
predictor, i.e. learning and development affects talent management process by 43.7%, Workplace
management by 14%, contemporary people policies by 2% and employee engagement by .7%.
So here we can say that learning and development have the highest impact on talent management
process and contemporary people policies and employee engagement have the least impact. The
value of R square equals to .437 indicating that 43.7% of the impact lies on Talent Management
and is explained by Learning and Development. It may be seen that the value of R square in the
model is .437 which has increased to .607 with the inclusion of additional variable in the
regression model.

F value is high so that there is a chance to reject a null hypothesis and accept the alternate
hypothesis. Here null hypothesis is , ‘there is no linear relationship between predictors (learning
and development, workplace management, contemporary people policies, employee engagement
and performance management) and dependent variable(talent management process)’ but here we

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accept alternate hypothesis which is, ‘there is linear relationship between predictors(learning and
development, workplace management, contemporary people policies, employee engagement and
performance management) and dependent variable(talent management process)’. So we can say
that both, F value and significant change show that the two variables are different from each
other and they affect the talent management process in a different manner.

TABLE 2: Multivariate Tests

The heart of the MANOVA output lies in the Multi-variate tests Output shown in figure above.
This table is composed of two parts. The top portion of the table (intercept) evaluates whether
the talent management model mean differs from zero. Because of its statistical significance, we
conclude that it does differ from zero, indicating that the talent management variate varies in the
population. However, the more important is the evaluation of the effect of the independent
variable (Talent Management Model) in the bottom half of the table. Recall that when we
evaluate a univariate t or f statistic, we are assessing a ratio of between group variability to
within group variability.

Four multivariate tests are commonly employed in computerized statistical programs: Pillai’s
Trace, Wilks’ Lambda, Hoteling Trace, and Roy’s Largest Characteristic Root. The Wilks’
Lambda is most typically reported in the literature, followed by Pillai’s Trace if the Roy’s M test
is statistically significant, indicating heterogeneity of variance- co-variance metrics. All these
tests evaluate the null hypothesis of no independent variable differences in the population on the
dependent variate.

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Basically with the help of MANOVA, we tested impact of efficient talent management model on
organizational achievement tangibly. Organization performance achievement includes HR
dimensions of organizations such as Performance Management, Shared Services, Learning and
Development, Employee Engagement, Workplace Management, Infrastructure, Contemporary
People Policies. Thus MANOVA technique is used to test the talent management model on
organization achievement. So the Wilks’ Lambda value is statistically significant therefore, it is
concluded that TM model has a significant impact on collective HR dimensions of the
organization. Talent Management is influencing 35% workplace management, 19% employee
engagement, 18% learning and development and 16% performance management. MANOVA is
used to examine two or more parametric dependent variables across one or more between group
independent variables (organization using TM models). The MANOVA technique is used to
observe whether use of TM Model really helps organizations to improve their organizational
performance tangibly. There is a theoretical linkage if a organization follows proactive talent
management strategy, their employee’s performance will be better, work-life balance will be
better and employee engagement is more, and talent development needs are easily identified.
Univariate effect describes the effect of independent variables against each dependent variable
separately. The statistical significance of the multivariate effect is observed by choosing Wilks’
Lambda value for two groups, this value indicates significant multivariate effect for the
combined dependent variables of Performance Management, Shared Services, Learning and
Development, Employee Engagement, Workplace Management, Infrastructure, Contemporary
People Policies in respect of organization using formal talent management and not using talent
management model. Univariate test is used to test the difference in the score of dependent
variables in respect of independent variables such as Performance Management, Shared Services,
Learning and Development, Employee Engagement, Workplace Management, Infrastructure,
Contemporary People Policies as P Value was found <.001 % in the score of all independent
variables.

TABLE 3: Levene’s Test of equality of error Variances

The Levene’s Test of Equality of Error Variances are tests for homogeneity of variance
violations for each dependent variable. The evaluations of the Employee engagement, Learning
and Development, Performance Management, Shared Services, Workplace Management,
Infrastructure, Contemporary People Policies; dependent measures are not statistically significant
(P>.05), indicating equal error variance across levels of Talent Model. Performance management

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variables where Levene Test was statistically significant (P<.001) indicating unequal error
variance across the levels of Talent Management Model.
To conclude, it could be said that a Hotelling’s T2 or two group between subject’s multivariate
analysis of variance was conducted on four dependent variables: Work Place Management,
Employee Engagement, Learning & Development, Performance Management. The independent
variable was talent management model. The sample considers impact of having talent
management practices on micro and macro levels. Due to a statistically significant (P<0.001).
Equality of variance- covariance metrics, indicating that the observed covariance metrics of the
dependent variables were unequal across independent variables group, employed to evaluate all
multivariate effects.
Findings of the Study:
 Reason for majority of respondents for leaving the job is new jobs which provided them
better opportunities.
 According to 57.8% respondents type of work the organization provides to its customers
is service Industry but according to 42.2% respondents type of work the organization
provides to its customers is manufacturing industry.
 Organizations regularly involved stakeholders for defining Talent Management.
 Most organizations surely defined Talent Management as a process of Employee Career
Development.
 Organizations considered Talent Management as the main priority of the management.
 Majority of respondents strongly accepted that their organizations used SaaS and Cloud
computing to automate its HR functions.
 Majority of respondents were strongly accepted that their organization deploys diversity
strategies to manage Talent.
 Majority of respondents considered that their organizations regularly communicate key
performance indicators (KPIs) to the employees.
 Majority of respondents considered that their organizations identified critical roles for
organizational success as part of its Talent Management strategy.
 Majority of respondents believed that their organizations have a formal career
development policy.
Suggestions and Conclusions:
Thousands of organizations across the world have achieved superior results in their businesses
through hiring, retaining and developing exceptionally talented individuals in their company.
Some of the Strategy for Talent Management are as follows:
1. Business strategy must be tightly aligned with Talent Strategy: starting with the end in
mind.: The quantity and quality of the talent needed in the organization is affected by the
Talent Management practices of the organization. An effective Talent Management
adjures that business goals and strategies are well aligned so that the talent can be
managed effectively. For eg.- Procter & Gamble view business decisions and talent
decisions as one and research shows that best-in-class organizations are 41% more likely

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to connect succession management strategies with organizational strategies. Thus it could

be summed up that business success depends on having the right talent in the right place,
at the right time. And the organizations mentioned in the research above have proactively
addressed to their talent needs.
2. Talent Management professionals need proper supervision: In a gathering of HR
professionals for any event, the main concern is to look over the person who is more
inclined towards the Talent Management and a proper sitting is provided where by
discussions are done over the business and leadership strategies which were left behind
earlier. In the process of these discussions, it’s not enough for talent managers to listen to
other people but the manager has to serve as a partner as well as an advisor for the others
so that they can also come forward and look upon the various needs for Talent
Management in an organization. This is done as the various research shows that not even
the senior most employee of an organization is at the helm of the Talent Management-
ship, even he/she must be open and ready to implement different techniques of Talent
Management at various levels of the organization.
3. Requirement for exceptional performance in a given job or a role: The approach of
success profiles has been found as more effective for broadening the competencies of an
organization as attainment profiles are considered to relate to organization objectives and
significances as well as changes with new key plans and strategies, as success profiles
can be used throughout the process of Talent Management activities beginning from
hiring to performance management and ultimately to the development within the
organization.
4. Talent Management must be considered as a leadership pipeline: As succession planning
in an organization is considered important, it is believed that the Talent Management
encompasses a broader portion within the employee population where value-creation
comes from senior leadership and also from the other employees who have leadership
qualities but involve less individual contribution and more impact is made by the
frontline leaders.
5. Talent Management cannot be replaced by Development Software’s: A development
software cannot provide a full Talent Management system as there are no specific tools
that can rightly clear path for smoother executions and proper knowledge and best in
content tools to drive the assessment and development of the employees in an
organization involving knowledgeable experts who have a wide range of implementations
regarding work.
REFERENCES

Bartlett, C. A., & Beamish, P. W. (2018). Transnational Management: Text and Cases in Cross-Border
Management (8th ed.). Cambridge University Press. https://doi.org/10.1017/9781108500067
Beheshtifar, M., & Nekoei-Moghadam, M. (2011). Talent Management: A Complementary Process for
Succession Planning. Life Science Journal, 88, 474–477.

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