New research reveals that while well-designed talent management activities are almost universally believed to have a positive impact on an organisation's bottom line, just half of the organisations undertook this form of development.
The report Talent management: understanding the dimensions, from the Chartered Institute of Personnel and Development (CIPD), found that developing high-potential individuals (67%) and growing future senior managers (62%) were two of the main objectives for talent management activities.
However 60% of those interviewed in a CIPD learning and development survey revealed their organisations had no formal talent management strategy.
Victoria Winkler, CIPD learning, training and development adviser, said “Research shows managerial and professional vacancies are often difficult to fill externally so it makes sense to look for internal candidates that demonstrate potential to grow. Good talent management systems can help identify and prepare these potential candidates."
Winkler added: "HR should measure what works by tracking information about where employees come from, their successes as well as any problems, and the techniques used to fast-track these individuals.”
The CIPD’s 2006 learning and development survey found:
• 60% of organisations have no formal talent management strategy.
• 51% of respondents undertake talent management activities, although only 20% report having a formal definition for it.
• 47% agree there is currently a shortage of high-quality talent in UK organisations.
• In-house development programmes, coaching and succession planning are the most common activities.
The CIPD plans to publish a more detailed report on talent management later this year.