Talent Management:Herding cats or building the
future?
Presented to the Gulf States Federal Human Resources
ConferenceMarch 7, 2007
by Maureen Hannay, Ph.D.
Associate Professor of Management/Human Resource Management
Troy University
Outline of presentation
• Talent management occurs in different forms in the various phases of human resource management
• Federal service faces new HR challenges with the introduction of NSPS and the large number of forecasted retirements
• We will examine what can be done in recruitment/selection, training and development, and employee retention to better manage the talent pool within the organization
Strategy and Human Resources• The goal of strategic management in an organization
is to deploy and allocate resources in a way that gives it a competitive advantage
• Human resource managers should:– be a partner in the development of the strategic
plan– have specific knowledge of the organization’s
strategic goals– know what types of employee skills, behaviors, and
attitudes are needed to support the strategic plan– develop programs to ensure that employees have
those skills, behaviors and attitudes
Model of the Strategic Management Process
HR PracticesRecruiting,
Training,Performance management,
Labor relations, Employee relations,
Job analysisJob design, Selection,
Development, Pay structure,
Incentives,Benefits
FirmPerformanceProductivity,
Quality,Profitability
HumanResourceActions
Behaviors,Results
HumanResource
CapabilitySkills,
Abilities,Knowledge
HumanResource
NeedsSkills
BehaviorCulture
Mission GoalsStrategicChoice
InternalAnalysisStrengths
Weaknesses
ExternalAnalysis
OpportunitiesThreats
Strategy Formulation Strategy Implementation
Employee Recruitment/Selection
Forecasting Stage of Human Resource Planning
• Determining Labor Demand– derived from product/service demanded– external in nature
• Determining Labor Supply– internal movements caused by transfers, promotions,
turnover, retirements, etc– maintain skill inventories of current employees– transitional matrices identify employee movements
over time– useful for AA / EEO purposes
• Determining Labor Surplus or Shortage
Personnel Policies
• Develop job descriptions for jobs needed in future
• Updated hiring profiles reflecting new KSAs• Personnel Policies vary:
–Internal versus External recruiting• opportunity for advancement
–Market leader pay strategy–Image advertising–*Realistic job preview
.
Interviews
• The utility of an interview can be increased by the following suggestions:–Interviews should be structured, standardized,
and focused on goals oriented to skills and behaviors that are observable
–Ask questions that force the applicant to display job-required behaviors or knowledge
–Use multiple, trained interviewers who can avoid personal bias
.
Situational Interview
• A situational interview confronts applicants on specific issues, questions, or problems that are likely to arise on the job
• These interviews consist of:– experience-based questions– future-oriented questions
Work Samples
• Work samples simulate the job in miniaturized form
• One approach is the “in basket” test• Used in assessment centers• Research indicates that one of the best
combinations of selection methods includes:– Work sample tests– Highly structured interview– Measure of general cognitive ability
Employee Training and Development
Outcomes of Training
• Ensure that employees have the basic skills to work with new technology
• Help employees understand how to work effectively in teams to contribute to product and service quality
• Ensure that the company’s culture emphasizes innovation, creativity, and learning
• Ensure employment security by providing new ways for employees to contribute to the company when their jobs change, their interests change, or their skills become obsolete
• Maximize abilities of current employees
Training
• Training is a planned effort by a company to facilitate the learning of employees
• High-leverage training:– is linked to strategic business goals and
objectives –is supported by top management
• Continuous learning expects employees to acquire new skills and knowledge, apply them on he job, and share this information with other employees
©
Designing Effective Training Activities
1. Needs Assessment• Organizational Analysis• Person Analysis• Task Analysis
2. Ensuring Employees’ readiness for Training• Attitudes and Motivation• Basic Skills
3. Creating a Learning Environment• Identification of learning objectives and training outcomes• Meaningful material• Practice• Feedback• Observation of others• Administering and coordinating program
The Training Process
Designing Effective Training Activities (cont.)
4. Ensuring Transfer of Training• Self-management strategies• Peer and manager support
5. Selecting Training Methods• Presentation Methods• Hands-on Methods•Group Methods
6. Evaluating Training Programs• Identification of training outcomes and evaluation design.•Cost-benefit analysis
The Training Process
Outcomes Used in Evaluating Training Programs
OUTCOME
Cognitive Outcomes
Skill-based Outcomes
Affective Outcomes
Results
Return on Investment
WHAT IS MEASURED• Acquisition of Knowledge
• Behavior • Skills •Motivation• Reaction to Program• Attitudes
• Company Payoff
•Economic value of Training
HOW MEASURED• Pencil and paper tests•Work sample•Observation•Work sample•Ratings•Interviews•Focus groups•Attitude surveys•Observation•Data from information system or performance records•Identification and comparison of costs and benefits of the program
Comparison between Training and Development
Focus
Use of work experience
Goal
Participation
Training
Current
Low
Preparation for
current job
Required
Development
Future
High
Preparation for
changes
Voluntary
Approaches to Employee Development
• Feedback Systems
• Succession Planning
• Leadership development
Feedback Systems• Accurate performance
appraisals identify high potential employees to target for development
• 360 Degree Feedback is a performance appraisal system for managers that includes evaluations from a wide range of persons who interact with the manager
• Basis for the succession plan
Common Elements of Successful Succession Plans
• Visible support from the CEO and all members of top management
• Clearly defined leadership criteria• A defined plan to find, retain and motivate future
leaders• A simple, easy-to-follow, measurable process• Process focuses primarily on leadership
development• Process must be a real organizational priority
• Adapted from: Berchelman, D.K. (2005, Fall). Succession planning. The Journal for Quality and Participation, 28, 3, 11-13
Types of Leadership Development Options
• Assessment– Psychometric assessment– Multi-rater feedback– Competency assessment– Assessment centers
• Coaching– Internal– External– Mentoring
Leadership Development Options continued
• Learning– Individualized development planning– High-profile learning events– Leaders developing leaders– Partnering with thought leaders– Technology-based learning– Business school affiliations– Development of intact teams
• Experience– Stretch assignments– Outside positions and projects– Action Learning
• Source: Weiss, D., & Molinaro, V. (2006). Integrated leadership development. Industrial and Commercial Training, 38, 1, 3-12.
Leadership Development – Emotional Intelligence
• Self-awareness: the ability to recognize and identify your feelings
• Self-management: the ability to handle your feelings in a productive and appropriate manner
• Self-motivation: the ability to set and achieve goals, delay the immediate gratification of an impulse, maintain a positive outlook
• Empathy: the ability to be sensitive to and understand other people's feelings
• Social Skills: the ability to interact with others in a positive and productive manner
Manager’s Role in Employee Development
• Evidence indicates that development is more likely to occur when managers are held accountable for engaging their employees in development activities
• Best way – development of subordinates is evaluated in the manager’s performance review
Characteristics of Successful Mentoring Programs
• Participation is voluntary• Matching process is flexible• Mentors are chosen on ability and
willingness• “No fault divorce” is available• Purpose is clearly understood• Program length is specified• Minimum level of contact is specified• Contact among participants is
encouraged• Program is evaluated• Employee development is rewarded
Benefits of Mentoring Relationships
Organizational benefits:– High levels of job satisfaction, better performance
appraisal results, reduced turnover
Employee benefits:• Career Support
– Coaching, protection, sponsorship, and providing challenging assignments, exposure, and visibility
• Psychological support– Serving as a friend and role model, providing positive
regard and acceptance, and creating an outlet for a protégé to talk about anxieties and fears
• Additional benefits– Promotion, higher salaries, and greater influence
.
Career Management Process
Self-assessment
Reality Check
Goal Setting
Actionplanning
• Identify opportunities and needs to improve
• Identify what needs are realistic to develop
• Identify goal and method to determine goal progress
• Identify steps and timetable to reach goal
Employee Retention
Managing Employee Turnover
• To compete effectively, organizations must take steps to ensure that good performers are motivated to stay with the organization, whereas chronically low performers are allowed, encouraged, or if necessary, forced to leave
• More cost effective to invest in a known quantity rather than employees who may not be a long term fit
• The two types of turnover are:– Involuntary turnover—turnover initiated by the organization
(often among people who would prefer to stay)– Voluntary turnover—turnover initiated by employees
Psychological Withdrawal
• If the primary dissatisfaction has to do with the job itself, the employee may display a very low level of job involvement, which is the degree to which people identify themselves with their jobs
• If the dissatisfaction is with the employer as a whole, the employee may display a low level of organizational commitment, which is the degree to which an employee identifies with the organization and is willing to put forth effort on its behalf
©.
Sources of Job Dissatisfaction
Pay andBenefits
Tasks andRoles
Supervisors andCoworkers
Personal Dispositions
.
Sources of Job Dissatisfaction
• Personal Dispositions– Negative affectivity - a term used to describe a
dispositional dimension that reflects pervasive individual differences in satisfaction with any and all aspects of life
• Tasks and Roles– Job enrichment - referring to a specific way to add
complexity and meaningfulness to a person's work– Job rotation - the process of systematically moving
a single individual from one job to another over the course of time
Sources of Job Dissatisfaction
• Tasks and Roles (continued)– Role - what an organization expects from an employee– Role ambiguity - the level of uncertainty about what
the organization expects from the employee in terms of what to do or how to do it
– Role conflict - the recognition of incompatible or contradictory demands by the person who occupies the role
– Role overload - a state in which too many expectations or demands are placed on the person
.
Sources of Job Dissatisfaction
• Supervisors and Coworkers– A person may be satisfied with his or her supervisor
and coworkers for one of three reasons:• shared values, attitudes, and philosophies• strong social support• help in attaining some valued outcome
• Pay and Benefits– For many people, pay is a reflection of self worth, so
pay satisfaction takes on critical significance when it comes to retention
Intrinsic Rewards
• Money must be acceptable but focus on intrinsic rewards
• Avoid bidding war for talent• Build jobs with significant intrinsic value• Individualize job to needs and values of
employee (opportunities for advancement, development, challenging work, autonomy)
• Leads to organizational commitment and loyalty
Survey Feedback Interventions
• Reasons for routinely surveying employee attitudes include the following:– It allows the company to monitor trends over
time– It provides a means of assessing change
impacts in policy– If a company uses a standardized scale, it
can compare itself with others in the same industry
– If a company provides feedback and a corresponding action plan to deal with problems, dissatisfaction can become a plus
Research findings on retention in local market
• Research conducted in 2000 – population aged 30-42 years
• Found four factors to be predictors of employee retention:– Age– Employer sponsored tuition assistance– Realistic job previews– Perceived future opportunities from the
employer
Major findings
• Older workers less likely to voluntarily leave the organization
• Employees receiving tuition assistance were more likely to remain with their employers. A win-win situation
• Managing employees’ job expectations through realistic job previews increased employee retention
• Employees who perceived future opportunities with the employer were more likely to stay
Major findings cont.
• Retention of key employees is an important strategic issue
• Money may be a quick fix to the problem but this research did not find pay to be a significant predictor of employee retention
Conclusions
• Our employees are our major competitive advantage
• This resource must be managed as carefully as any other resource
• Requires close link to organizational strategy, constant scanning of internal and external labor markets, commitment to and investment in employees