LSBM205: Talent Management Analysis Report - Aviva Plc

This report provides an in-depth analysis of talent management practices at Aviva Plc, a multinational insurance company. The report begins with an introduction to human resource management and talent management, highlighting their importance in achieving organizational objectives. Part 1 delves into Aviva Plc's current talent management strategy, including recruitment and selection processes, performance management, reward systems, training and development programs, and equality and diversity policies. The report also presents a detailed analysis of Aviva Plc's gender pay gap reports from 2017 to 2020, examining hourly wage disparities and the proportion of women in different job positions. Furthermore, the report identifies various environmental factors, such as government regulations, economic conditions, and technological advancements, impacting HRM practices. Part 2 includes recommendations for improvement and a podcast script. The report concludes with a summary of the key findings and recommendations, emphasizing the importance of talent management in achieving business success. References are provided at the end.

Talent Management

Table of Contents
INTRODUCTION...........................................................................................................................1
Part 1................................................................................................................................................1
Task 1...............................................................................................................................................1
Identify the firm' current talent management strategy............................................................1
Task2 ...............................................................................................................................................5
Gender pay gap reporting.......................................................................................................5
Task3................................................................................................................................................9
Identification of environmental factors impacting HRM practices........................................9
Part 2..............................................................................................................................................10
Recommendation Report and Podcast..................................................................................10
Conclusion ...................................................................................................................................11
CONCLUSION..............................................................................................................................13
References:.....................................................................................................................................14

INTRODUCTION
Human resource management plays a significant role in each and every business firm.
The department is concerned with anticipating the needs of working “people” in an organisation
and conduct a efficient planning in order meet those requirements. Therefore, Talent
management is a part of human resources management which is a systematic process of hiring,
managing, developing a requires sets of skills and expertise, and to make efforts to retain a
talented workforce so as to enhance the value of business firm and to achieve long term
organisational business objectives. Aviva Plc was founded 21 years ago, in 2000, headquartered
in London, UK. Aviva Plc is one of the largest multinational insurance company serving
approximately 33 million customers across 16 countries. The below mentioned report covers
strategies used for talent management, factors impacting HRM practices and analysis of gender
gap in an organisation.
Part 1
Task 1
Identify the firm' current talent management strategy
Business firms like Aviva Plc works closely on the aspects of “Human capital” so as to
improve the performance of a company (Anlesinya, Dartey-Baah and Amponsah-Tawiah, 2019).
Talent management is an effective business strategy that enable Aviva Plc and other
organisations in creating, developing and maintaining effective and motivated workforce that are
going stay with the company for the longer duration thus reducing the employee turnover rate
and improving firm's productivity and profitability.
Business strategy and HR strategy
Human resource management is concerned with planning, organising and maintaining a
effective workforce in order to achieve a organisational goals and objectives. Aviva Plc plans
and develop a strong human resource business strategies which is imperative to take into account
as the human resource is a important asset which determines the success and survival of a
business firm. Aviva plc develops an strong strategy for the recruitment and selection of an
employees so that a skilled and best candidate is hired and selected to improve the bottom line of
workforce, to increase satisfaction and job security level which directly contributed to achieving
business mission (Murillo and King, 2019). Responding to the current market trends Aviva Plc
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use HRIS (human resource information system) which is essential for managing performance of
employees, recruitment and selection planning and managing compensation and rewards.
Motivated and satisfied workforce is likely to spend more time with the company.
Recruitment, including recruitment channels
Recruitment is a border term which can be defined as the process of identifying,
attracting, screening, interviewing, selecting and hiring a suitable candidate with the purpose of
filling vacant job position. Aviva Plc makes a appropriate strategy for talent acquisition which
contribute in managing a talented workforce. Aviva use a series of distinct recruitment channels
for getting a talented and expertise individual (olubovskaya, Solnet and Robinson, 2019). Company websites : Aviva plc post most of their job opening in their official company
website under the name of “career opportunities” which is a separate page created on a
website for the announcement of vacant positions. This method is cost-effective and easy
to adopt which helps in creating a intense brand image for customers and suppliers.
 Recruitment agencies : Another way that Aviva Plc use for finding a suitable candidate
is through staffing agencies. These are the great source of attracting a pool of potential
candidate as these agencies maintain a updated data base of job seekers with relevant
stream. It is helpful for both, an individual and organisation, where a agencies works as a
mediator and finds a best opportunity for one another.
Selection methods
After getting a application from a pool of candidates the next task HR department of
Aviva Plc conduct is picking up a appropriate candidate with requisites skills, competencies and
knowledge to fill a vacant job position. Aviva Plc goes through a series of steps for selection
which are listed below : Preliminary screening : The core purpose of this step is eliminate the unqualified
application and proceed with the one which have a matching skill sets (Zhang, Jia and
Chen, 2019). Selection Test : Aptitude tests, personality test and ability test are conducted to evaluate
the potential qualities of a shortlisted candidates in above step. Interviews : After finding suitable candidate Aviva Plc calls a candidate for face to face
interaction which can be structured or unstructured, stress or behavioural interviews.
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 Reference and background check : Aviva Plc makes sure that the information provided
by a candidate at above step is relevant and authenticate. Selection decision : This is the step where Aviva Plc finally decides to select a right
candidate for a right job so as to improve productivity and profitability and to attain
company's objective. Physical examination : Selected candidate need to go through a physical test for
obtaining a final selection approval (Schreuder and Noorman, 2019). Job offer : After passing all the above criteria Aviva Plc finally select a candidate for a
specified task along with defined roles and responsibilities.
(Source : HR Selection Process,2014)
Performance Management
Aviva Plc depends heavily on the intangible assets which is essential in building brand
value, which further leads to the continuous success and survival of a company. Performance
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Illustration 1: HR Selection Process,2014

management is concerned with identifying, measuring and effectively managing the performance
of an employee within an organisation (Thomas, 2020). The prime objective behind this is to
check whether the employees are performing according to the desired standards so as to maintain
their desired productivity and energy level. Aviva Plc design and plan strong performance
appraisal programme which helps in evaluating employee performance on a regular basis over a
period of time, to determine that the efforts and organisational goals are synchronised. Aviva Plc
uses various types of performance appraisal which are mentioned below :
 360 degree appraisal programmes
 Manager performance appraisal
 Rewards and recognition programme
 Employee self evaluation and
Reward Management
Human resource management of Aviva Plc also deals with formulation and
implementation of strategies and policies with the purpose of providing fair, equitable and
regular remuneration and compensation so as to enhance the confidence and satisfaction level of
an employees which further contribute in improving performance and brand image of a
company. There are several types of rewards used by Aviva Plc to keep their employees
motivated.
 Extrinsic reward involves security and survival, pay, working conditions etc.
 Intrinsic rewards focus on self-esteem and training and development of employees.
 Individual rewards are incentives, reward for attendance and performance and other
benefits.
 Team rewards consists of team benefits and rewards (Chen, Lee and Ahlstrom, 2021).
Training and development
Aviva Plc conduct training and development programmes to equip the present and
upcoming workforce with the required set of skills and competencies to work efficiently keeping
in mind long term mission of a company. Training and developments helps Aviva Plc in
enhancing the productivity of employees and profitability of company in long run. Aviva
conduct various training programmes as listed below :
 Induction programs
 Technical Skill development
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 Soft skill development
 Quality training
 Safety training
 Leadership and managerial training
 Mental health training
Equality and diversity policy
Aviva Plc strictly adhere by the Equality act 2010 which state that each and every
individual at a workplace must be safeguarded against harassment and inequality. Aviva plc
makes sure that the organisational work culture promotes equality and diversity at a workplace
specifically in the areas like recruitment, remuneration, compensation and training and
development (Maurya, Agarwal and Srivastava, 2020). The prime purpose is to provide a fairly
and equitable treatment to every human resource.
Task2
Gender pay gap reporting
In the year 2017-2018
(Source : Gender pay gap report, Hourly wages pay gap 2017-2018)
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Illustration 2: Gender pay gap report, Hourly wages
pay gap 2017-2018

As per the available sources, the report states that, in Aviva Plc women was earning 74p
for every £1 that men earn, which is 26.4% as compared to men's earning on the basis of hourly
wages. Whereas 33% of the women occupied highest paid job position and 59% of the lowest
job position, which clearly states that men dominates women in highly paid positions.
( Source : Gender pay gap report, proportion of women 2017-2018)
In the year 2018-2019
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Illustration 3: Gender pay gap report, proportion of women
2017-2018
Illustration 4: Gender pay gap report,Hourly
wages pay gap 2018-19

(Source: Gender pay gap report,Hourly wages pay gap 2018-19)
The report of the year 2018-2019 states that the earning of women slightly drop as per the
last previous year report, women earned 72p for every £1 that men was earning which is 27.8%
lower than men's earning. Significantly, there was also a down fall in the share of highly paid job
positions as compared to men which constitute 32% share of women against 68% of men,
whereas as the share of women at lower paid job remain the same.
(Source : Gender pay gap report,Proportion of women 2018-19)
In the year 2019-2020
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Illustration 5: Gender pay gap report,Proportion of women
2018-19

( Source : Gender pay gap report,Hourly wages pay gap 2019-2020)
(Source : Gender pay gap report,Proportion of women 2019-2020)
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Illustration 7: Gender pay gap report,Proportion of women 2019-
2020
Illustration 6: Gender pay gap report,Hourly wages

In the year 2019-2020 share of women earning rose by 1p as compared to previous year
report. Women earned 73 p for every £1that men earned that constitute 27.3% lower than men.
Additionally there is slightly fall in women's share at highly paid job position, which make up a
32% and at a lower job position the women share was 58%.
From the year 2020 till present
Aviva Plc is taking continuous measures to reduce the in equality gap on the basis of
hourly daily wages and bonus wages. The list of measures are listed below :
 Supporting and promoting women into more senior roles.
 Development and implementation of gender neutral recruitment process.
 Review and modify salary and compensation plan to foster fair and equality pay.
 Designing and developing a plans and policies on discrimination.
Task3
Identification of environmental factors impacting HRM practices
Human resource plays a significant role in shaping the growth and career path for the
company (Mujtaba and Mubarik, 2021). There are various factors that affect day to day business
operations including human resource management. The factors are listed below:
 Government regulations : The changes and upcoming of new laws and policies
regarding workplace safety and security affect the HRM department in various ways
ranging from hiring, training, compensation and termination. Due to the situation of
pandemic government has set the guidelines to ensure safety protocols, hygiene practices,
guidelines for isolating and quarantining. Aviva Plc take the employee safety at utmost
priority ensuring safety and social distancing, disinfection of office, use of masks and
hand sanitizers. Economic conditions : Economic conditions of a nation have a direct influence of
human resource management. Availability of human resources, wages and salary
structure, are the factors that have direct influence of economic conditions. Aviva Plc
conduct a detailed analysis of economic conditions and conduct a recruitment and
selection accordingly (Pandita, 2021).
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 Technological advancement : Due to the strike of Covid-19, Work from home and
minimum staff with social distancing is going to be new normals from now. Aviva Plc
conduct a recruitment on the basis of tech-savvy talent and adopting a technology based
approach for on boarding, training and development.
Part 2
Recommendation Report and Podcast
Rationale
From the above stated report it has been analysed that the Aviva Plc is lacking in
maintaining equal and fair pay to the employees (DeVaro, 2020). As per the above mentioned
analysis in the task 2 regarding wage distribution, it is identified that women gets a certainly low
hourly wages as compared to men. Additionally, it has also been reported that in the Aviva Plc,
ratio of women at a highly paid position is drastically low. In order to run and manage business
operation efficiently and to retain a talented workforce it is imperative for Aviva Plc to address
the issue and take necessary measures for effective management of talented workforce.
Brief description
Human capital plays a significant role in determining overall performance of business
firm. Human resource management deals with the issue related with humans and ensure that the
people are motivated and satisfied in an organisation so that the long term business goals could
be achieved. In the task 2, it is analysed that Aviva Plc is not adhered by the equality pay act
2010, which may act as a barrier in attracting and retaining a talented workforce. An inequality
and unfair treatment at the workplace give rise to the employee dissatisfaction and reduces the
employees productivity. Unhappy and unsatisfied employees are less likely to stay with a
company that would result in loss of talented workforce and increase in employee turnover rate.
Description of solution
Aviva Plc must consider various measures in order to promote equality in a workforce
environment (Altememi and Almashhadain, 2020). Equality act 2010, states that the workers in
an organisation gets a fair, regular and equitable remuneration and beliefs, culture and opinion of
a diversified workforce are respected and protected. Aviva has a diverse range of workforce as it
operates in more than 16 countries serving to approximately 33 million customers. Aviva come
across a different range of customer having different cultural background respecting to each
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