REVIEW right job placements at the right time,

REVIEW
OF RELATED LITERATURE

Conceptual
Framework The Concept of Talent Management All of the reasons listed for why
employees leave organizations fall under the purview of talent management and
understanding employee hot buttons should provide insight into where
organizations could deploy resources to reduce turnover (Oladapo, 2014). Talent
management simply refers to an organized process of attracting, selecting,
hiring, engaging, training and developing, retaining and utilizing top talents
to an organization’s best advantage. It aims at ensuring the right job
placements at the right time, in the right position for the right candidates to
deliver their best and remain committed to the organization. Though, talent
management is organization-specific, but the focus is on developing and
optimizing high potentials or talents of individuals within the organization
more quickly than ever to enhance competitiveness. Talent is one of the
critical resources for organizations to attain competitive advantage (Zhang, et
al, 2012) and talent management will fail without top management commitment to
retaining its workforce (Lockwood, 2006) as cited in (Izwar & Aerni, 2014).
Effective talent management endears talented employees to an organization as
employees begin to see themselves as part of the organization, add value to the
organization and remain glued to it. It ensures that employees remain professional
at all times in their business practices, serve meritoriously, have the right
people made up of seasoned professionals, who have excelled in their various
professions, possessing the requisite integrity, skills and experience.
Contemporarily, the task of running an organization in this competitive and
turbulently dynamic business environment has gone beyond just attracting,
hiring, engaging and training and developing top talents considering the
complex nature of human beings. It involves retaining talents with high
performing potentials who can add value to the organization. This requires
creating recognition programs, offering adequate remuneration, career
development opportunities, promotion, interesting and challenging
responsibilities, conducive work climate for employees to perform at their
best, work-life balance, trust and confidence in management, involvement in
decision making and reward since they provide a strong basis for retention.
This can have a lasting impression on the hearts and minds of employee and
continue to substantiate employees’ perception that they are valued by their
employers (Silbert, 2005). This is not unconnected with an organization’s
reward system, which can influence employee performance and desire to remain
attached to the organization (Bamberger & Meshoulam, 2000, MacDuffie,
1995). Focusing on retention is very essential for job satisfaction and
employee commitment because it would help to fulfil basic needs of employees
and striving to attain organization’s goals (congruence).Talents can be
retained if talented employees have a positive perception of their employer and
are less likely to voluntarily leave, have greater employee loyalty, and
improved performance. Organizations that provide career development opportunities
to talented employees are more likely to experience a low voluntary turnover of
top performers which can deplete organizations’ talents. When employees have
the assurance that their organization values their development, they become
more committed and loyal to their organization. Thus, managers may need to
demonstrate to employees that talent management is a priority for all
employees, sourcing talents, and rewarding managers for improvement. (Schuler,
et al., 2011).The commitment will be mutual and the arrangements for
involvement will be genuine, i.e. management will be prepared not only to
listen but to act on the views expressed by employees (Armstrong, 2006). It is
essential that management keeps employees informed on matters that affect them and
provide channels to express their views particularly necessary for change.
Commend employees and make them understand the contributions they can make and
how it would benefit them. Organizations that identify talent, enrich job
contents to motivate and retain talented people would certainly(Guthridge,
McPherson, & Wolf, 2009)compete successfully and earn a competitive
advantage. Several studies have shown that talents are the fabric of every
organization. Often times, top performers feel they are highly sought after and
as such, if they don’t get what they want in an organization, they leave the
organization for another competing firm/organization and do not stay long
regardless of the cost the organization may have incurred in training and
developing these ones. But if retained, an organization would not remain
stunted, rather retention would enhance growth and survival of the organization
irrespective of competition. The market condition keeps changing rapidly and
the necessity for an organization to make a difference expresses its needs to
possess a highly qualified and motivated workforce. Hence, the demand for
committed employees is high, especially for key positions. Talent management
apparently centers on key employees who can have a disproportionate impact on
business performance (Armstrong, 2006). Ultimately, its aim is majorly to
attract, develop and retain top talents (Stewart & Harte, 2010),(Johnson,
Lenartowicz, & Apud, 2006). Effective talent management helps to avert the
possible disruption associated with the departure of talented people and
adopting required strategies to retain them, be more productive and gain
greater efficiencies.

 

Retention
One of the primary concerns of many organizations today is employee retention.
Retention is viewed as a strategic opportunity for many organizations to maintain
a competitive workforce (De Long & Davenport, 2003; Schramm, 2006).
Attracting and retaining a talented workforce keeps many vice presidents of HR
thinking of possibilities and opportunities (Kaliprasad, 2006). Retention is
improved when employees are offered compensation and benefits, have a
supportive work culture, can develop and advance and balance work and life
activities (Messmer, 2006). Retention of talents encompasses all the
activities, practices, systems, and strategies likely adopted by an
organization geared toward preventing talented employees from voluntary
resignation or redundancy and/or leaving an organization prematurely .Growth
opportunities are offered to employees to lower turnover intentions(Allen,
Shore and Griffeth, 2003; Steel et al., 2002).Silbert (2005) argued that
individuals who are skilled and better positioned, may find similar job
opportunities elsewhere but to retain these ones, organizations may need to
formulate socially supportive policies. Employee Commitment Commitment refers
to one’s feelings of loyalty to an organization because he or she believes in
the organization and has an emotional attachment to and identification with the
organization” (PSUWC, 2013). A committed employee identifies with the
organization and wants to stay with the organization. The drive for commitment
is targeted at winning the ‘hearts and minds’ of employees, identify with the
organization, exert themselves more perfunctorily on behalf of the organization
and remain loyally attached to the organization. This type of commitment is
typically the result of a supportive work environment in which individuals are
treated fairly and the value of individual contributors is embraced (Carter,
2015). Building positive supervisory relationships is a powerful practice for
retaining talented employees. This will help to determine what works, what
doesn’t, what lies ahead, what potential is required, what talent should be
retained, what is not worth the effort, etc. The level of support employees
receive from management, job security, the personal attributes they bring to
the job, the industry norms and the way all these components are managed in the
workplace, impact worklifewhich can equally affect employee commitment and
lower turnover rate (Mulvaney, et al. 2006; Cleveland, et al. 2007; Namasivayam
& Zhao 2007; Karatepe & Uludag 2007; Rowley and Purcell,
2001).Although, managing a talented workforce is challenging (Schuler, Jackson,
& Tarique, 2011; Scullion, Collings, & Caligiuri, 2010; Stahl et al,
2012). A major challenge many organizations grapple with is the exit of
talented employees, leaving with the competencies and wealth of experience.
Theoretical Framework This study is anchored on the human capital theory by
Becker (1964). This theory postulates that human capital – the composition of
employee skills, knowledge, and abilities – is a central driver of employee
performance. The theory has been widely used in the field of human resource
management (Crook, Todd, Combs, Woehr, & Ketchen, 2011; Fisher, 2009; Lepak
& Snell, 1999; Nafukho, Hairston, & Brooks, 2004; Strober, 1990). This
theory views human capital as a competitive resource that organizations can
invest in and is valued by the organization since it increases
productivity(Kessler & Lülfesmann, 2006; Lepak & Snell, 1999; Nafukho,
et al., 2004; Strober, 1990). The relevance of this theory is that if
organizations pursue goal congruence, and focus more on retaining top
performers, the huge amount invested in top performers pays off with long term
benefits to the organization. If employees are adequately invested in, well
managed and retained, they will be innovative and creative , readily useful and
available to the organization to do the right job for all the right reasons,
and goal achievements becomes glaring and tangible.

 

Empirical
Review Talent management has been studied by various authors but in different
aspects and directions. Wuim-Pam (2014) investigated the impact of effective
talent management on employee core competencies in Plateau State University,
Bokkos. Using a non-empirical approach, the result revealed that the skills,
knowledge and abilities of employees impact job descriptions and performance
management. The study concluded that tying core competencies with talent
management is a win-win proposition as it provides organizations with a means
of upgrading and retaining their valuable workforce. Wuim-Pam (2014) therefore
recommends the creation of a unique competency models where this skill is
lacking within the organization itself and identification and possession of
high-performing behaviours. Gichuhi, et al(2014), examined the role of talent
management on competitiveness of public universities in Kenya. Survey research
design was employed. Stratified sampling was adopted to obtain a representative
sample of the study which was made up of both the teaching and non-teaching
staff of the Public Universities in Kenya. A questionnaire that employed Likert
scale was used to collect data. Factor analysis revealed that all the 16 items
used had a loading value above 0.4 as recommended hence they were all included
in the analysis Data analysis revealed a positive relationship R = 0.498
(p-value < 0.05) indicating a significant linear relationship between talent management and competitiveness. Oladapo (2014) carried out a study on the impact of talent management on retention in Strayer University. This study sought to understand the challenges and successes of talent management programs and the reasons why some companies choose not to have a program. This study also tested the predictive power of job security, compensation and opportunity on retention rates. Findings revealed that for the organizations sampled with a talent management program (69% of those studied), participants overwhelmingly recognized the strategic value of an effective talent management program despite significant challenges to implementation. Participants cited opportunity for job advancement as the most significant factor affecting retention rate. For the organizations sampled without a talent management program (the remaining 31% of those studied), indicated absence of executive management support. The study further revealed that job security, compensation, and opportunity for advancement were not found to have predictive value for employee retention rates. Though data confirmed Lockwood's findings that although pay and benefits initially attract employees, it is not the primary reason given for retaining them. Ibrahim, et al (2014) explored talent management practices and employee engagement in Malaysian Government Linked Companies (GLCs). The respondents for the study were drawn from GLCs employees in Malaysia. The population for the study comprised of executive employee or higher ranking officers who serve in GLCs. Out of the 495 GLCs, the sample organizations was randomly chosen based on systematic sampling technique. In the research, a judgmental sampling technique was used to select qualified candidate respondents. All odd numbered companies were chosen as sampled companies. The study used statistical analysis to generate result. The data collected from the questionnaires were analyzed using the SPSS version 20.0 software. The study concluded that as Malaysia aspires to transform into a developed and more competitive economy by 2020, talent will play a crucial role in order to strive for success and to sustain strong economic growth. The study recommended that GLCs should focus on nurturing and developing talent of the human capital in GLCs. Wandia (2013) carried out a study on talent management in Kenya – Nairobi at Symphony (K) Ltd. and articulated that managing talents is a source of competitive advantage. The study adopted a case study research design to fulfill the objective of the study and the results were expected to provide an insight in understanding how the organization uses its dynamic capabilities as a strategic tool. The researcher interviewed seven senior managers at Symphony who were involved in the strategic process of managing organizational talent. The data were collected through the use of the interview guide and content analysis was used to analyze the data. The study revealed that choice of talent management strategy massively affects firms' financial performance as can be reflected on increased sales revenue, increased productivity and increased market share. The study recommended that firms consider business models that invest in talent management and appropriately harness and leverage on intangible assets in the firm to attain competitive advantage. Haghparast (2012) equally executed a similar study on talent management. The study sought to determine the relationship between element of talent management and organizational success in the department of Youth and Sport in west Azerbaijan Province. Results showed that between the elements of talent management (r = 0.430) and talent management practices, (r = 0.287) and organizational assessment (r = 0.346) and motivational factors (r = 0.576), and organizational success is a significant relationship, but the organizational talent identification (r = 0.115) and organizational performance (r = 0.095) and organizational planning (r = 0.162) wasn't significantly associated with organizational success. Pam (2012) critically evaluated the impact of talent management on employee productivity in the Nigerian public sector. A hypothesis in line with the objective was drawn and tested based on data generated through a questionnaire. The survey investigation method was used in collecting data for the study from a sample of 349 top, middle and lower level management staff of five public sector organizations in Nigeria. The Kruskal- Wallis test statistic was used to analyze the data. The findings indicated that the implementation of proper talent management processes significantly impact employee productivity. It was thus concluded that talent management practices in Nigeria public organizations (where they exist), significantly impact on employee productivity. The study recommended that all actors in talent management should be educated and trained in scientific methods of managing organizational talents. An exploratory study by Doherty (2010) assessed employee engagement and how to attract and retain the best talents. In the study, Rabo bank International was assessed covering over 340 offices in over 40 countries worldwide because Rabo bank was finding it difficult to consistently manage the performance of its employees to the same standards globally. The study recommended that organizations should be focused on people rather than on processes to save the organizations unnecessary spending of money on recruitment and training. The study revealed that job security, compensation, and opportunity for advancement were not found to have predictive value for employee retention rates. Though data confirmed Lockwood's findings that although pay and benefits initially attract employees, it is not the primary reason given for retaining them.