This research studies that Talent management is important for modern organizations because of the Modern economy system. In this research, the relationship between employee retention and talent management is founded through different test and surveys .The research method is quantitative research method. The data collection and statistical information has been collected from different employees from different places in Karachi included Banks, Multinational companies and universities. the sample size that was used to gather in this research is 100 based on structured questions. The result of hypothesis indicate that is it is insignificant due to the variable used in the surveys were rejected.
Keywords: Employee Retention, Talent Management, Job Security, Incentive, Job Experience, Organizational Trust, Training and Development.
The practical world is evolving at a quick pace and requires different type of people. People who are expert Talent management demand hard work and dedication. Recruiting qualified candidates is not enough, a successful talent management is to have skilled workforce and compete succession planning (Elia, Ghazzawi, Arnaout, 2017).factors having greater impact on retaining talented employees are HR policies and career management as well because in today’s economic world in whcich new generation is entering the HRM demand more strategies and competition (Isfehani, Boustani, 2014).
Talent management is an approach that is widely used throughout the world to lessen the turnover rate in the organizations to keep the best people for the job and The implication of talent management policies and factors effecting employee retention may seem a little difficult but can prove a big hit in any organizations if applied carefully and accordingly.
3. PROBLEM STATEMENT:
To identify the role of talent management on human retention and how Job Security, Job Experience, training and coaching, incentives and organizational trust can effect it in the long run in Pakistan.
4. PURPOSE /OBJECTIVE OF STUDY:
The main objective of this paper is to find out the importance of talent management on employee retention and whether the aforementioned factors have any or whatsoever effect on it. And if the HR policies regarding talent management is being applied in companies in Pakistan.
5. SIGNIFICANCE OF THE STUDY:
The importance of study of this paper is the result calculated of the factors affecting employees retention and HR policies being applied carefully and thoroughly. The result will calculated through statistical and a questionnaire survey conducted from a hundered people living in mostly Karachi, Paksitan.
Talent management refers to the anticipation of required human capital the organization needs at the time then setting a plan to meet those need (Mangusho et al., 2015) Talent management practice within organization is an international human resource strategy that seeks to identify, develop, deploy and retain talented and high potential employees(Murei et al., 2015). According toMohammed (2015), organizations able to attract, develop and retain talented employees then organization will be able to achieve employee engagement, retention and value addition for the success of the organization. Talent management can de describesd as active and dynamic process of developing, determine and prolong talent within the organization.
2.1:The 3 main flows of Talent Management are:
I. TALENT MANAGEMNET AS HUMAN RESOURCE:
Human resources practices as recruiting, selecting, training, developing, career and succession planning acquires talent management for solving strategic issues
II. TALENT MANAGEMENT FOCUSED ON TALENT POOL:
Talented individuals are the key aspect for organizational successful working. Efficient employees are considered as main competition edge. The source of success for leaders and companies consists in the creation of a pool of skilled and motivated people that enables in the long run a phenomenon of recruitment of external talents and a process of knowledge’s development for the existing employees.
III. TALENT MANAGEMENT CENTERED BOARDLY ON TALENT:
The companies using talent management strategies help in driving employee engagement, Corporate Leadership Council study (2011). Activity that goes beyond the corporate boundaries and the positions company offers.
2.2 THE DIMENSIONS OF TALENT MANAGEMENT:
? JOB EXPERIENCE: It is explained as that employees need challenges and experiences to grow, and this is especially true for high-potential employees so that ease can be found for organizations and for employees hired or looking for a new job as well.
? COACHING: Employees must use knowledge of their strengths and consequent areas where they can improve to be able to develop in the best possible manner by learning something new and pushing the boundaries of learning.
? TRAINING: Management development can be enhanced by foundational managerial education and high-impact leadership development. Most of the time, training is seen as an investment into the employee development. Firms and organizations emphasize to their employees in this way so that they are valued and respected and get rewarded and appreciated with employee retention and loyalty in return.
? JOB SECURITY: The process of actively figuring out crucial roles within the firm, identifying and assessing possible successors, and providing them with the appropriate skills and experience for present and future roles.
? INCENTIVES: An incentive is something that motivates an individual to perform their best at what they do. This process is now widely used to motivate employees to creative, more productive and lessen the turnover rate.
2.3. THE PSYCHOLOGY OF TALENT MANAGEMENT:
According to Dries, N.(2013), “Tell a person they are talented and they become it” Talent management is commonly concerned with the theory that it creates two self-fulfilling prophecies. The first prophecy is Pygmalion effects that the encouragement and support of being associated with talent might lead people to actual increase in their performances. Meaning that after being associated with talent, the evaluation on the said person shows that the performance is partly artifact of self-fulfilling prophecy which should be the clear go-ahead for the to start investing in the resources for their employees instead of looking outside for the help or solution.
The second prophecy is Success Syndrome commonly known as crowned prince syndrome which states ” Tell a person they are talented and, they stop trying” explains that when people are sure that their position in the firm is permanent (senior management), they stop trying or working hard as compared to those who are not assured of their jobs (temporary employees). It has led HR practitioners to belief that it is far more better to hide from people knowing that they are talented.
A final assumption is that “You can’t tell people you don’t consider them talented” meaning talent management policies should not be openly discussed because it leads to employee’s disappointment, frustration and dissatisfaction for not being recognized as talented. Studies show that only one in three organizations disclose the information regarding talent management policies to their employees.
2.4. TALENT MANAGEMENT ON EMPLOYEE RETENTION:
Employee retention refers that all efforts that are done by organization increases the chances of employees to stay in the organization for longer period of time. The top five Employee retention in organization factors included: (Boustani, 2014)
(1) exciting work/challenge
(2) career growth/learning
(3) relationships/working with great staffs and employees
(4) fair pay and
(5) supportive management/great manager and supervisor.
Research shows that the companies that invest in their employee’s best interest have a lower rate of turnover of employee retention. Employees are motivated to be loyal and remain at organizations that provide them with a sense of pride and value. Some of the factors that play an important role in employee retention are career opportunities, organizational justice, work-life balance, potential for growth and development, organization’s image and work environment. (Hafez, AbouelNeel ; Elsaid2, 2017)
The organizations are taking huge steps in attracting and retaining talented employees to boost their business since the quality of manpower is believed to be the most important asset. Where it is considered very difficult for an organization to retain their talent pool but minimizing the number of employee turnover rate is highly possible with proper use of strategies.
The number of reasons for an employee may be:
i. Increased work load
ii. Bosses style
iii. Lack of incentive
iv. Missing clear growth of career
The aforementioned reason for employee turnover may cause a firm following costs ( Elia, Ghazzawi, Arnaout, 2017):
? Recruitment in terms of time and resources to allocate and select a candidate.
? Training in terms of money and time to train them.
? Lost productivity in terms of the time lost while recruiting and training the employees.
The organizations always try hard to manage lower job satisfaction, poor supervision and poor incentives to make sure to avoid turnover because sometimes few turnover can be unavoidable (Mohammed, 2015)