Talent Management and Hrm
2.1 The emergence of TM
2.1.1
Background
In recent years, talent management (TM) has become a phrase that is readily circulating in many organizations. However, this phrase did not appear on the HR scene until the late 1990s, when McKinsey & Company consultants first coined the term in their report The War for Talent (1997). Therefore, the review of the literature concerning the development of TM cannot miss out the earliest discussion from this landmark study, which exposed the ‘war for talent’ as a strategic business challenge and a critical driver of corporate performance. TM is argued to be critical to every company’s success, and the only remaining competitive edge for organizations is in their human resources. The greatest focus and largest impact on the organization is in the identification, development and redeployment of talented employees, as they constitute a smaller group, are easier to measure, and are critical to the organization’s success.
Since then, TM has come to be seen as a key theme driving HRM throughout many organizations. The term TM has become increasingly common in the academic and business world. According to Oakes (2006), if TM is going to take off, corporate receptivity will work as a catalyst during the process. For example, one CIPD study reveals that there is a high level of belief in the contribution of TM. Over 90% of the respondents agree that TM activities can positively affect an organization’s bottom line, and more than half of the respondents have already undertaken TM activities (Clake and Winkler, 2006). In addition, one IOMA (Institute of Management and Administration) survey indicates that nearly three-quarters of the respondents identified TM as at the top of their HR critical issues (Sandler, 2006).
Overall, more and more people are coming to see talent as the major source of competitive advantage and scarcest resource in the knowledge-based global marketplace. The management of senior managers and
2.1.1
Background
In recent years, talent management (TM) has become a phrase that is readily circulating in many organizations. However, this phrase did not appear on the HR scene until the late 1990s, when McKinsey & Company consultants first coined the term in their report The War for Talent (1997). Therefore, the review of the literature concerning the development of TM cannot miss out the earliest discussion from this landmark study, which exposed the ‘war for talent’ as a strategic business challenge and a critical driver of corporate performance. TM is argued to be critical to every company’s success, and the only remaining competitive edge for organizations is in their human resources. The greatest focus and largest impact on the organization is in the identification, development and redeployment of talented employees, as they constitute a smaller group, are easier to measure, and are critical to the organization’s success.
Since then, TM has come to be seen as a key theme driving HRM throughout many organizations. The term TM has become increasingly common in the academic and business world. According to Oakes (2006), if TM is going to take off, corporate receptivity will work as a catalyst during the process. For example, one CIPD study reveals that there is a high level of belief in the contribution of TM. Over 90% of the respondents agree that TM activities can positively affect an organization’s bottom line, and more than half of the respondents have already undertaken TM activities (Clake and Winkler, 2006). In addition, one IOMA (Institute of Management and Administration) survey indicates that nearly three-quarters of the respondents identified TM as at the top of their HR critical issues (Sandler, 2006).
Overall, more and more people are coming to see talent as the major source of competitive advantage and scarcest resource in the knowledge-based global marketplace. The management of senior managers and