Managing the Change in Talent

As the demands in the workplace are changing, it is time to step up the focus on talent management. This Insight Article presents a step-by-step check list.

A recent study from Deloitte has showed that 60% of new jobs in the 21st century will require skills that are currently possessed by only 20% of the workforce (1). Meanwhile, labour markets such as the UK and the US are undergoing huge reductions in workforce-aged populations. Yet the incoming workforce often lacks the key skills to fill this void.

One way of overcoming the increasing competition to recruit the best staff is to focus on managing and nurturing existing talent. To kerb the effects of skills shortages and to maximise untapped potential, this article sketches out a number of action points for applying talent management effectively.

What is talent management?

Talent management can be defined as the day to day handling of an individual’s potential throughout the entire employee lifecycle.  Often, talent management is understood in two different ways: an elitist model and an inclusive model.

The elitist model identifies two key groups: those at the top of an organisation, and those with the potential to rise to the top.  Talent is therefore isolated to the top 5% of a company’s workforce.  Due to its exclusivity, this model can potentially alienate a company workforce.

The inclusive model is more democratic, but the issues and potential failings of this model could centre on cost, project size and scope. Although difficult to integrate, an inclusive model of talent management enables an organisation to fully understand and develop the potential of all employees throughout the employee lifecycle. This article therefore builds on this working definition.