Talent Management in Business Organizations: Benefits, Challenges, and Approaches

This article discusses the benefits, challenges, and approaches of talent management in business organizations. It explores how talent management can improve organization performance and how to overcome its challenges. The article also covers the importance of sourcing staff, building capability, and strengthening performance in an effective talent management process. Subject: Human Resource Management, Course Code: N/A, Course Name: N/A, College/University: N/A

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Talent management in a business organization
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Talent management in a business organization
Introduction
In the contemporary business world, competition is a major challenge to organizations. Thus,
organizations should develop new management skills to help develop competitiveness and
ensure survival. The consideration of management on fixed factors of production has become
common in the business market and organizations need to focus their attention on
maximizing labor output. In labor management, organizations should focus on maintaining
the talents that are within the organization. In addition, the organization should focus on
acquiring new talents that enhance business development. The newly adopted focus can be
achieved through the application of talent management strategy in organizations. Talent
management involves the identification of talent of various employees and placing them in
vacancies that are in line with their talents and capabilities (Lyria, 2013, 285). The
application of this strategy includes attracting new talents, maintaining existing talents and
developing career management. Furthermore, the exercise should be developed in line with
the company’s goals to ensure that it contributes to the success of the organization. The paper
reviews the benefits of talent management, challenges involved with its implementation and
approaches through which talent management can be executed in an organization. The paper
also studies the importance of developing business activities in line with talent management
and opportunities that develop from the application of talent management in an organization.
Benefits of talent management and its relationship to
organization performance
Talent management has made several impacts on business organizations. The application of
talent management in the organization has helped in developing non-financial resources
required for the attainment of the business goals, that is, human labor. More so, the strategy
has helped the HR department in an organization to identify the best suits for different roles
in the business process (Ahmed, 2016, 73). As a result, the collect identification and job fit

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commitment is developed among the employees. In return, the output generated is high and
the products produced are of high quality. The quality production increases the business
competitiveness in the market and helps in attainment of business goals.
Challenges in implementing an effective talent
management
The application of the talent management approach has its challenges. Among the key
challenge to its implementation include the failure of firms to frequently recruit new
employees and to retain existing employees. These findings were recorded by research
conducted by the Government of Kenya in 2010 (Njeri, 2013, 3). In addition, a research
developed by B.C.G realized that 87% of authorities faced difficulties in recruiting programs.
In most firms, there existed a skill gap following the failure to recruit new members.
Furthermore, a research conducted by OECD in the UK suggested that brain drain was the
main contributor to employee unrestlessness in the organization. The restlessness mostly
arises due to low salaries and poor working environment. Lack of information concerning
the application of talent management has been outlined as a major challenge since firms find
it difficult to implement the strategy due to lack of knowledge on the field.
How organization nature influence approach selection
According to Deshmukh (2012), the conceptual framework approaches to talent management
can be categorized into manpower planning, performance management, rewards and
incentives, motivation, succession planning and leadership development. It has been argued
that the nature of an organization influences the approach selected for talent management.
The main factor that influences the approach includes business beliefs. Organization beliefs
entail the responsibilities bestowed to an employee, that is, the expected performance of the
employee. The aspect determines the approach an organization uses in its employee
recruitment, evaluation and allocation within the organization. In addition, the HR

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department plays a great role in determining the approach assumed by any organization
(Wangithi & Muceke, 2012, 119). The body is responsible for recruitment and thus its
recruitment process may settle on a given approach. Lastly, company activities, for example,
performance evaluation also determines the model used. The evaluation helps the company to
attain feedback on employee’s performance which can be used for allocation purposes based
on their strengths.
Importance of sourcing staff, building capability and
strengthening performance in an effective talent
management process
Talented management is based on the identification and development of talents within an
organization. Talent Management evaluates an employee in various perspectives, that is,
recruitment qualifications, affirmative actions and diversity and employee’s contribution to
the organization as well as employee engagement in business activities (Bryan & Casey,
2017, 3). The evaluation helps the HR department in an organization to identify the most
effective employee in an organization. In addition, the selection helps to build the capability
of the employee since the employee is focused on achieving the business goals. The focus
gained helps to realize the business goals improving an organization performance. As a
result, companies should develop their activities based on the talent management strategy
since it helps to realize the business goals.
Opportunities for practice improvement in the
organization’s current approach to talent management
and the nature of suggested changes and their
perceived significance to future organization
performance
Talent management has facilitated the development of mobile, multi-generated and diverse
working community. The change in the organizational workforce has enhanced the
application of skills in business which has facilitated maximum output of firms. Furthermore,

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the change has promoted the interaction between the employees and their employers (NHS
Leadership Academy, 2014, 4). The success is owed to the satisfaction of business allocation
that creates motivation for employees. In return, the employees meet their responsibilities to
the satisfaction of the employer. The approach will also help identify good management and
leadership teams for organizations following keen evaluation on the possession of leadership
skills. The development assures effective leadership that will promote growth and
development in the organization. Similarly, the changes will help to develop business cultures
that will be passed on to ensure the effective application of talent management in the
organization lifetime.
Conclusion
The business world is continually changing and businesses are required to develop changes in
their activities to ensure their survival and competitiveness. Talent management offers
businesses an opportunity to make changes to their operations and to maximize their potential
production. The strategy also serves as a change element since it offers solutions to
challenges facing business companies that are involved with change. Organizations should
embrace the strategy and make the necessary changes in their structure to help realize the
business goals. Companies should also make sure that they remain competitive to avoid brain
drain and to secure the company employees. Similarly, companies should develop their
employees’ talents by offering them training to ensure the relevancy and competency of their
talents. Lastly, Organizations should develop a HR department that will be responsible for
recruitment of new employees who will help in realizing business goals.

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List of references
Ahmed, K. (2016) “The impact of talent management on the competitive advantage in the
organizations.” International journal of management and applied science, Vol. 2(8): 67-75
Bryan, C. & Casey, M. (2017) “Talent management: hiring and developing engage
employees.” Library and leadership management, Vol. 32(1): 1-15.
Cappel, P. & Keller, J. R. (2014) “Talent management; Conceptual approaches and practical
challenges.” Annual review of organizational psychology and organizational behaviour, vol
1(1): 305 – 331.
Lyria, K. (2013). “Role of talent management on organizational performance in companies
listed in Nairobi Security Exchange in Kenya: Literature review.” International journal of
humanities and social sciences, Vol. 3(21): 285-290
NHS Leadership Academy. (2014) “Talent and talent management insights.” [Online]
Leadership academy, pp. 1-22. Retrieved from https://eoeleadership.hee.nhs.uk (Accessed 3rd
November 2018)
Njeri, J. (2013) “Challenges affecting implementation of talent management in state
corporations-A case study of Kenya Broadcasting Corporation.” A research project for the
attainment of masters in business administration, Kenyatta University, pp. 1-51
Wangithi, E. & Muceke, J. (2012) “Effects of human resource management practices on
phycological contract in organizations.” International journal of business and social
sciences, Vol. 3(19): 117-121

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