Resourcing people for the organization is a key feature of HRM that decides the performance of that organization to a great extent. Resourcing and talent management are very important for every organization as these ensures that an organization has enough talented and competent employees that are sufficient to face and handle any kind of competition and will manage to retain the customers for long period of time (Armstrong & Taylor, 2014). There are two important functions of human resource, these are recruitment and retention. Both of them need a proper strategic planning. Growth of an organization is largely dependent on these two aspects as these can increase the rate of return. Organisations have realised the importance of recruiting and retaining key individuals. People resourcing tell about the links between the external context and the growth of organization and strategies of HR. Initially management has focused on cost cutting in order to make greater profits for the organization (McKenna & Beech, 2013). But, now organizations are more focused towards growth and following additional methods for the growth and adapting strategies of expanding services and products for the growth and entering new markets.
Factors that attract top talent are universal and also different from the factors that attract the general employee population. Top talents crave for the challenging work and they search for the opportunities to enhance their career. Today companies are facing disturbing talent challenges. All organizations are facing a problem of sustaining a steady supply of top talents worldwide (Starkman, 2016). Talent management is necessary to minimise the effects of intense cost pressure that results from both the traditional and emerging competitors, increasing demands of customers and new markets. Hence talent management is considered as of strategic importance.
There are two major trends that are shaping business environment; these are impact of information and communication technologies which is referred as informatisation and globalisation. These two factors have increased unpredictability and dynamism of business environment. Therefore organizations are changing their HR practices and people resourcing practices to deal with the increasing challenges (Iles, 2011). Below diagram shows the impact of globalisation and ICT on employee/people resourcing.
Source: (Iles, 2011)
Impact of Globalisation
Different economic, social and political phenomena are referred by globalisation. Globalisation increases the global competition, and it questions on the survival and the viability of the organization. Globalisation makes the organizations to push themselves to restructure them in order to face the increasing competitive pressures (Iles, 2011). ICT plays important role in increasing the effectiveness of the organization. In order to respond to these two challenges of globalisation and ICT, organizations have to transform their HRM processes and management, including their people resourcing processes.
Global Human Resources Strategy
Growth of an organization is decided by certain factors that include quality of workforce, personnel and their skills as well as attrition rates. These factors affect the success of an organization to a great extent. Therefore to ensure the success of an organization, companies need to include employees that are highly skilled and competent and those who are willing to contribute their hard work for the growth of individual as well as for the organization growth. As multinational companies are increasing their markets internationally, requirement of highly qualified employees have also increased (Candidsky, 2012). Excellent HR management has become the need of hour to get the top talent in the right jobs in the right place at the right times and at the right cost. Increasing global nature of business activities has created new challenges for the organizational performance and people resourcing, and therefore international assignments are being used for recruiting, to enhance the skills and knowledge of mangers, and to improve the learning capabilities of organizations. For the management of culturally diverse businesses senior managers are often called upon to balance the demands of centralisation and global integration with those of local responsiveness and sensitivity, and to manage geographically (Armstrong, 2010).
Resourcing and Talent Planning requires coordination from recruitment team and business in order to analyse required resources, on time delivery of resources, selection and networking of proper hiring channel, and talent management for future recruitment (SMI, 2018). Thus resourcing and talent management helps in identifying and attracting key talent that further helps in creating a competitive advantage for the organization and provides ideas to achieve the short and long term goals of the organization.
Strategic understanding of long & short-term talent & succession planning
In order to recruit employees, the strategy starts with the recruitment of personnel for the job role. The recruiter must be clear about the job requirements, description, and the basis for the recruitment plan and activity (Jobsandskillswa, 2018).
It includes the recognition of employees from within the organization that have potential to fill the leadership positions in the company. Succession planning makes experienced and capable employees available for the roles they are prepared. Succession planning allows recruiting superior employees, enhancing their skills, knowledge and abilities and prepares them for taking more challenging roles (G, 2014).
Recruitment of Right Employees
A good number of potential candidates can be hired at the time of recruitment if a productive relationship is established with the potential candidates long before recruitment (Eupan, 2005).
A candidate’s calibre cannot be identified just by looking at the papers. Pre-screening helps in narrowing the deserved candidates and saves the time of interviewing committee (Weiner & Reynolds, 2009).
Checking Background Verifications and References
It is important step of hiring process as all the documents, credentials, skills, and experiences produced by the candidate must to be verified to know that as those are valid or not (McKenna & Beech, 2013).
According to CIPD talented people has the ability of thinking in a way that makes them to perform efficiently and effectively and comes with solution for every solution. CIPD has given the definition of talent as ‘Talent consists of those people, who have skills of making difference in the performance of organization, either through their instant decisions or in the longer term by putting peak level of performance’ (CIPD, 2017). Talent management is a process of recognising, creating, resourcing, retaining and deploying key talents in the organization.
Process of Talent Management
Talent management process involves a lot of inter-related processes, these are shown as follows:
Source: (Taylor, 2005)
Talent management of an organization starts with the business strategy of the organization. Main aim of talent management is to create and maintain a large number of talented people for the organization.
Talent Management strategy
Talent management strategy talks about the steps involved in order to mesh the processes of talent management as mentioned above with overall objectives. Talent management strategies are needed for acquiring and nurturing talent by use of different interdependent practices and policies (Hewitt, 2008).
Importance of Talent Management and Succession Planning
Succession planning and talent management are key methods for providing businesses with a deliberate strategy that helps in the retention and continuation of analytical competencies. It ensures the development of the existing workforce (Mazurek, 2018). These two are important for business because of the following reasons:
- Protect critical operational requirements;
- Helps in the growth and development of personnel and ensure greater engagement of workers;
- These helps in formalising employees by providing proper training and career pathways and plans;
- Makes sure that the high potential employees contribute their maximum efforts;
- Provides employees with variety of development, skilling and learning opportunities;
- These act as key components in human resource planning systems.
Resourcing and Talent Management Report 2017 by CIPD
This survey report on Resourcing and Talent Planning was produced by CIPD in partnership with Hays. This report provides information regarding HR professional and their organizations with data on recruitment cost, employee turnover, resourcing, and talent management. The survey conducted by CIPD included more than 1000 HR professionals.
Finding of this survey shows that today organizations are focusing on both recruiting key talent as well as also focusing on developing talent in-house. Organizations are observing that the competition for talent is growing and also the skills needed for the jobs are also changing with increase in competition (CIPD, 2017).
Resourcing and Talent Practices in Current Economic and Political Climate
As mentioned above organizations are focusing both on key talent recruitment and also creating more talent in-house by enhancing the skills of employees through skill development programs. Today organizations are following the decision of UK, and organizations are working on improving the existing staff, discussing strategies of the organization through increased communication and also giving opportunities to employees to listen their views, and also taking extra care in recruiting by both the candidate and the organization. As compared to public sector, private sector are focusing and emphasising to develop more in-house talent than recruiting talent (Beardwell & Claydon, 2011).
As per the survey report of 2016, most of the organizations focused on recruiting practices for key talent that is about 70%, half that is 48% developed more talent in-house and 46% used new technology for recruitment. But in 2017, organizations were more focused on developing more in-house talent that is almost 75%, 68% are on recruiting and 63% are using new technology. One more thing is noticed that includes focusing on retaining instead of recruiting talent and effort and time are being used in the improvement of quality of candidates. Public sectors reduced headcount in 2017 in order to increase cost savings in a particular sectors while private sectors as compared to the public sectors increased their headcount (CIPD, 2017).
Major Features of National and International Employment Markets
Definition of employment market was given by Derek Bosworth, Thorsten Stromback and Peter Dawkins as it is the place where supply and demand of customers meets. The job or employment markets have become the ultimate source of all the new recruits. Mangers of human resource have to understand the dynamics of employment market so that they are properly capable of dealing with resourcing, decide competitive salaries and can reach to the people with essential skills for the job. (Vaitilingam, 2006) Main features of the employment market from where organizations resource their staffs are as follows:
- Segmented: Segmented means that the mobility of this market is restricted both within the industry and between the industries. Labour market is composed of three levels; these are primary, secondary and tertiary. The tertiary work is undeclared work. Primary level contains workers who has higher level of education and benefited with higher incomes and also has higher employment stability and more opportunities of professional growth. While in secondary, employees get low wages and this is due to lower education and training(Vaitilingam, 2006).
- Rigid and Inflexible: rigidity in employment is generally because of geographical evolution, professional training, lifestyle, and legal and institutional aspects. Main factor of rigidity is minimum wage for the employees. So employers need to consider this minimum wage before hiring new employees. If employees perform below the productivity level and productivity is also below the minimum wage then employers decide to fire or not to hire new personnel.
- Secondary Market: workforce supply volume and structure depends on demand for labour, just as the demand for labour depends on the demand of goods and services.
- Regulated: Employee protection and workforce result this feature of employment market.
- Contractual and participatory: The contract between employees and employers allows for the regulation of demand and supply of labour.
- Administrative: Companies manage their available resources as per the demands for necessary goods and services(Weiner & Reynolds, 2009).
- Multidimensional: this character is because of geographic, educational, economic and social scale.
- Inconsistent: workers have different level of education, training, qualification, geographical areas, gender, age, aspirations and standards.
- Imperfect: this is because, market is not perfectly competitive. Wages of the labour should be according to the supply and demand on the market but it is not so, instead it is determined by other factors such as national and international economies state, bargaining power of trade unions, and state intervention(Bepositive, 2018).
Development and Evaluation of Resourcing and Talent Management Strategies
Efficiently obtaining and employing people who are needed for the organization is ensured by resourcing strategy. Resourcing strategy aims at to find the most suitable workforce needed for the organization that has appropriate skills, knowledge, qualities, potential and capabilities that can be trained in future (Brewster et al., 2011). Therefore key objective of this strategy is to employ more capable people for the competitive advantage to the organization over its rivals. This strategy also ensures retaining of talented employees by providing better opportunities and rewards as compared to other organizations.
Components of Employee Resourcing Strategy
-Strategic planning of future workplaces: it is necessary because lack of that brings several negative consequences such as stagnation of production process, increase in production costs and many more (Laroche & Rutherford, 2007).
-Strategic human resource planning: keeping in point the basic elements and analyse the present scenario regarding workplaces and the current employees, uncertainty related to business and its capacity, and a strategic management of human resource to face all kind of changes in business (Mayhew, 2018).
-Strategic planning of activities: for demand forecasting, requirements forecasting, and supply forecasting requires analysis of demand and supply to detect future surpluses or deficits, action planning to deal with the effects of forecast deficits through internal promotions, external recruitment and training, developing strategies for flexibility and retention.
-Retention strategy: making plan to retain top talent in the organization that company has already hired (Laroche & Rutherford, 2007).
-Flexibility strategy: human resources are planned to increase the flexibility in order to make the best use of people and adapt the changing circumstances.
Talent Management Strategy
This strategy ensures that an organization has enough talented personnel that are capable of providing management succession and has the capability of achieving the present and future business needs of the organization (NHS, 2015). Components of talent management as identified by Armstrong are described below:
- Usage of selection and recruitment procedures are used to hire employees who are willing to work in the organization and stay for a longer duration of time in the organization.
- Giving opportunities for autonomy and career development to the talented staff.
- Creating an environment in the workplace that allows a balance between working in the company and a personal life outside the work(Pollitt, 2010).
- Developing qualities of leadership in deserving candidates and also develop a positive contact with the organization.
- Appreciating talent by providing excellence rewards.
- Conduction of talent audits in order to find personnel who have potential to do well and also identifying people who might leave the organization(Pilbeam & Corbridge, 2010).
Management of Recruitment, Selection Induction and Retention Activities
In the competitive environment, not only job seekers but also the organizations want to be employers of choice. There are certain things about an organization that decide how companies are perceived by job applicants. Hiring process of an organization and their way of interaction with job seekers gets around on online forums and through the communication way of recruiters at professional networking events (Martin, 2018). Proper management of recruitment and selection process can improve the image of an organization and ultimately this will help in attracting quality applicants. Some methods of managing recruitment and selection processes are as follow:
- To attract highly talented and qualified applicants, job openings for HR staffs and recruiters should be advertise on professional association career sites because these will have direct impact on the effectiveness of selection and recruitment processes of organization(Pilbeam & Corbridge, 2010).
- Review every step of the selection and recruitment process to determine the amount of time spent on accessing applicant information and calculate the amount spent on per hiring.
- Proper and timely review the company’s outsourced functions in order to determine the effectiveness of services from each service provider and then make a decision whether to keep that outsourcing company or look for other providers who can improve the selection and recruitment processes(Nscpolteksby, 2018).
- Obtain information from hiring managers for the improvement in selection and recruitment process. Hiring managers and recruiters exchange ideas to improve the effectiveness of selection process.
- Arrangements for the assessment of recruiting process routinely and provide metrics for reviewing to HR staff and company leadership(Mayhew, 2018).
Effective Performance Management Systems
Effective performance management is necessary for every organization. It is not possible for a business to achieve their complete potential without having full driven employees who performs well. Today performance management systems are changing and provide employees with their performance results in real-time through communication (Rimon, 2017). Below are the five ways that ensure effective and modern performance management systems:
- Goal Setting: Companies are adopting OKR (Objectives and Key Results) techniques for their goal setting. OKRs work on team and individual level and each level describes objectives and sets key results. Key results acts as measurable milestones for achieving goals(cycentral, 2016).
- Collaboration and Communication: Instead of focusing on competition, effective performance management systems encourage collaboration and communication. It helps in motivating employees to share information and communicate with other peers in order to learn, train and get support.
- Feedback: Giving feedback to the employees in real time helps them and provides opportunity for improvement and correcting their drawbacks.
- Recognition: Recognition is important for effective performance management system. It is important to create a positive sense of achievement at work which can be done with recognition(Unece, 2013).
Strategic Resourcing Options
Employee resourcing is an important component of effective HR practice and for any successful business it is very crucial (Beardwell & Claydon, 2011). There are certain strategic resourcing options available for an organization to attract staff, these are as follows:
- Recruitment agencies: These agencies help organizations in finding long and short term employees as per the company’s need. These agencies have market knowledge, a wide reach, and helps in marketing of employer brand(Rimon, 2017).
- Specific Interest Groups: These groups share common profession and organizations can target these groups depending on the required professionals.
- Referral: It is referred as the shortest path to better hires. Company ask their employees to refer competent candidates to fill the vacant positions.
- Events: Events provide opportunities for people to interact and network. It helps in attracting people from all over(Rimon, 2017).
- Social media: Statistics show that social media has become one of the biggest marketing platforms. Through social media job seekers get opportunity to get to know about the organization and its culture.
- Job Board Advertisement: These are physical or electronic platforms for job posting. Physical job boards are not common currently while most of the companies have their own portals and use them for online job posting.
From this report it is concluded that for the growth of an organization, resourcing and talent management are two important key factors. The survey report by CIPD 2017 shows that today organizations are dual focus. This is explained as organizations are focused on both retaining the existing top talent in the organization and also attracting new talent for the organization. There are two trends that are affecting business environment, these are ICT and globalisation. Globalisation increased the global competition while ICT helped in improving company’s effectiveness. To compete with the increasing competition, proper resourcing and talent management is necessary. Companies need personnel with high skills, knowledge and talent that can contribute in the organization growth. This report includes methods for the strategic resourcing options that include specific interest groups, recruitment agencies, referral, events, social media, and job board advertisement. Here talent management processes and talent management strategies are also described in the report which talks about recruitment and selection procedures, creating leadership qualities, developing suitable work environment and appreciation and reward methods. In this report features of national and international labour market are also discussed from where organizations resource their staff and these features of market include segmentation, rigid and inflexible, secondary, regulated, multidimensional, inconsistent, imperfect, and administrative. Methods of performance management are discussed as it is important to maintain effective performance of the organization. Performance management methods include goal setting, collaboration, feedback, and recognition.
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