1. Why Strategic Employee Resourcing and Talent Management are important for the organizations in today’s global context?

Introduction

When considering available resources in an organization, People or Human resource can be considered as the most important and utmost special for the existence of the organization in today’s competitive business world. The organizations should adopt special processes in searching of the best human resources and nurturing the selected best talents within the organization is vital important for growth of the company. So the importance of Strategic Employee Resourcing and Talent Management notions in searching of talented human resources for the organizations is discussed in this article.

What is Strategic Human Resource Management and why employee resourcing should be “Strategic”?

Have you ever wondered why the term “strategic” is coming as a part and parcel with the term “Human Resource Management”? The fundamental reason would be, managing human resources has a broader spectrum to address than employee selection and conducting recruitments in an organization.

Following definition would help to keep the focus on Strategic Human Resource Management through a more formal perspective;

“An approach to the development and implementation of HR strategies that are integrated with business strategies and supports their achievement”

Figure 1 - SHRM Model

(Armstrong, 2014)

In-line with above definition, following are the five propositions on which Strategic Human Resource Management has been founded.

• HRM plays a strategic role in the organization’s success
• HR’s strategies should be integrated with those of the business
• It is people who ‘implement the business strategy’
• People are a source of ‘competitive advantage’ as defined by the Resource Based View of        the firm (Wernerfelt, 1984 and developed by Barney, 1995)
•  A ‘systematic approach’ should be applied to developing HR strategies. (Armstrong, 2011)

In order to further understand the vast scope of SHRM, the Resource Based View (RBV) concept would help to clarify the SHRM focus with respect of organizational resources. In a more formal approach, “The resource-based view of the firm  represents a paradigm shift in SHRM thinking by focusing on the internal resources of the organization, rather than analyzing performance in terms of the external context” (Wisdom Jobs, 2018)

                             

Figure 2 - Resource Based View

Why employee resourcing should be strategic?

When considering the employee resourcing process, why an organization should adopt a ‘strategic’ process for their selections? Many arguments can be provided in favour of this context for sure, but following main areas can be mainly pointed out on why employee resourcing decision should be strategic.

•  A diverse workforce – more talent but need for equality and for legal compliance 
•  Increasing the need for more highly educated and trained employees
•  The need for a close relationship between HRM strategy and corporate strategy
•  Organizations are now more likely to use sophisticated techniques for recruitment and selection for all employees

In conclusion, for organizations which are having multi-talented workforce who consist with highly educated and trained employees, most likely to use sophisticated techniques for their employee selection and recruitment processes.  While keeping these objectives in focus, adopting a strategic process on their employee resourcing decision would help for the continuous growth of the organizations in a more effective manner.

What is Talent Management and why Talent Management is so important for the development of the organizations?

As the concept may sounds like, can Talent Management be described as the set of activities involved in grooming and retaining the best talented resources within the organization? Wrong, and this is only a partial elaboration of one activity that is involved in the Talent Management process. So let’s try to understand the broader meaning of the Talent Management concept from HRM perspective.
     

‘The systematic attraction, deployment and development of individuals who are of particular value to the organization, either because they fulfil critical roles or they possess high future potential’

CIPD (2015) 

                  

According to “Nextgen People” (Nextgen People, 2018) the Talent Management Life Cycle has been described as follows.

Figure 3 - Talent Management Life Cycle

The interconnected activities of the Talent Management Life Cycle are;

Workforce Planning à Talent Acquisition à Onboarding & Engagement à Development à Performance Management à Succession Planning

A report published by CIPD has identified two approaches as “Exclusive” and “Inclusive” for Talent Management.

Exclusive Approach for Talent Management

Collings and Mellahi (2009) focus on ‘the development of a talent pool of high potential and high performing incumbents’ who can fill the key positions in the organization and help to deliver ‘sustainable competitive advantage’

Inclusive Approach for Talent Management

Mckinsey and Co. invented the phrase ‘war for talent’ (1997) and perceives value in talent at all levels.

The two strategies separately planned in an organization for Employee Resourcing and Talent Management can be considered as in a broader sense together as “bundling” processes. These two strategies can be hold together and mutually strengthen each other in an organizational situation. Armstrong proposes the following elements in “bundling” processes;

1. Workforce planning
2. Employee value proposition
3. Resourcing plans which are integrated with a sense of practicality of recruiting the capabilities externally, the degree to which internal staff can be developed and a clear view of the shortfall
4. Retention strategy.

After understanding the concept of Talent Management, let’s try to focus on why it’s so important to invest in Talent Management for the development of an organization.

1. Employee Motivation

Investing in the areas of Talent Management would help to increase the motivation of employees and increase the efficiency of employees.

     2. Attract top talents towards the organization

Investing in Talent Management would help to attract top talents available in the job market towards the organization.

3        3. Retain top talents within the organization

One of the major problems of modern business organizations are facing is the difficulties in retaining the top talents within the organization. Investing in the various facets of talent management would help for an organization to successfully overcome this problem and retain top talents within the organization.

So in conclusion, adopting a strategic process for human resourcing and investing in the many facets of Talent Management would help for the continuous growth of an organization in today’s competitive business world.

References

Armstrong. (2014) People and Organisations: Principles and Practice in Global Contexts. Lecture 1: Introduction to Human Resource Management [Online] Available at <http://lms.esoft.lk/course/view.php?id=240/>.[Accessed on 03 April 2018].

Armstrong. (2014) People and Organisations: Principles and Practice in Global Contexts. Lecture 1: Introduction to Human Resource Management [Online] Available at <http://lms.esoft.lk/course/view.php?id=240/>.[Accessed on 03 April 2018].

CIPD. (2015) People and Organisations: Principles and Practice in Global Contexts. Lecture 2: Strategic Employee Resourcing and Talent Management [Online] Available at <http://lms.esoft.lk/course/view.php?id=240/>.[Accessed on 16 April 2018].

CIPD. (2007) People and Organisations: Principles and Practice in Global Contexts. Lecture 2: Strategic Employee Resourcing and Talent Management [Online] Available at <http://lms.esoft.lk/course/view.php?id=240/>.[Accessed on 16 April 2018].

CIPD. (2007) People and Organisations: Principles and Practice in Global Contexts. Lecture 2: Strategic Employee Resourcing and Talent Management [Online] Available at <http://lms.esoft.lk/course/view.php?id=240/>.[Accessed on 16 April 2018].

Nextgen People. (2018). Talent Management. [Online] Available at: https://www.nextgenpeople.com/talent-management/ [Accessed 16 Apr. 2018].

Wisdom Jobs. (2018). The resource-based view of SHRM - The resource-based view of SHRM HR Management (8741) | Wisdom Jobs. [Online] Available at: https://www.wisdomjobs.com/e-university/hr-management-tutorial-69/the-resource-based-view-of-shrm-8741.html [Accessed on 3 Apr. 2018].