Talent management has become a very important buzzword within the corporate HR world and it’s not without good reason. The way businesses recruit employees has changed dramatically over the years and talent management is purely a natural progression of the HR process. In order to see how it works we need to look at how HR itself has evolved
Personnel Department
During the 1970’s and 1980’s the responsibility of the workforce was very much based around the personnel department. Their role was relatively simple. They had to hire people, pay them and make sure that workers had necessary benefits.
Human Resources
In the late 1980’s and 1990’s the concept of strategic Human Resources (HR) was born. Large corporations who were dealing with 100’s of employees realised that they had more of a responsibility to them. Especially in respect of training, managing and getting the best out of them. In addition, focus moved to recruiting the right people for the job. Also around this time companies began to offer other benefits to employees such as stocks, shares, bonuses and healthcare packages. In essence HR became a focus for overall employee health and happiness
Talent Management
In the main, strategic HR continues to be a big focus. However, over the last five years or so, attention has started to turn towards efficiency. Whether this be in recruitment (selecting the right people for the job), management (developing better managers), or sustainability (creating sustainable leadership). These new business challenges require new systems in place to help manage them. This is where talent management software comes in.
How does it help your business?
Effective talent management software can help your business to survive and even thrive in an economic down turn.
Helps to Reduce Labour Costs
For any business, the acts of hiring and firing are one of the most costly that any company will undertake. Therefore efficient management of employees as well as co-ordinated recruitment processes will undoubtedly reduce this cost. With this in mind talent management software has the ability to provide valuable data about your workforce at various points along the employee life-cycle. This data can then be used to recruit more efficiently and pick out future business leaders.
Performance Management
Employee performance reviews can add tremendous value to any company as they strive to get the best out of their employees. In addition an employee will know areas where they are doing well and are valued, or areas where they need to improve. In essence reviewing performance is vital and can be the difference between poor and excellent productivity output, which in an economic down turn is essential. Software for talent management automates this process and keeps track of goals and progress of company employees.
Performance Development
When a company invests in an employee it's more important nowadays than ever before, to see that they get a return on their investment. Therefore nurturing and training talent to help push a company through a recession is vital. Talent management software offers a selection of handy learning materials that will enable employees to further their skills, to see that this happens.
On the whole talent management software has been proven to help businesses and the examples above show just some of the ways in which it can do this.
Nowadays companies are beginning to understand that their business is only as good as the employees within and as such, talent management looks here to stay.
