The Human Resources and Talent Management strategy by competencies can be applied in selection processes, training, internal growth plans, and incentive policies.
Human talent management consists of identifying what professional competencies, attitudes, and skills personnel need to have to correctly perform each of the jobs.
In some cases, it will serve to hire the person who best suits how the entity works. In others, to develop a specific strategy that allows employees who are already part of the workforce to exploit their capabilities. And the data corroborates the relevance of talent management:
In 2007, a study carried out by Hackett Group indicated that entities that carry out this strategy bill 15% more than their competitors.
Subsequently, a survey carried out by McBassi & Company stated that companies that manage human talent based on leadership, employee loyalty, training, innovation capacity, and workforce, are more stable in the market and They obtain greater benefits for each action.
Having said that, how to achieve this management by competencies? What examples can we take into account to implement an effective strategy?
What is talent management?
Talent management encompasses all processes in the Human Resources area that are aimed at attracting, retaining, and optimizing talent.
According to this idea, talent management would be characterized by focusing on aspects such as the commitment or potential of employees or how to avoid their demotivation.
This vision contemplates the employee’s entire work cycle in the company since it begins with the arrival of a new worker to the workforce (onboarding) and continues until he or she leaves the company (exit interviews).
In our guide, we explain each of the stages and explain how a Human Resources system can give that extra factor to help HR departments. To take care of the flow of each professional.
7 keys to human talent management
But how can we build a good Talent Management strategy from scratch? We are not going to fool you, companies that have neglected this section have a lot of work ahead of them.
It is essential to rely on digitalization and technology. With it as an ally, digital talent management will be much easier. For this reason, we have prepared a complete guide with key knowledge and the necessary tools to make DIGITAL TRANSFORMATION a success.
1. Have a strategic talent management plan
Nothing arises by mere chance. It is possible that certain variables improve in an apparently random way, but the most common thing is that this growth is a consequence of correctly planned work.
Having a strategic talent management plan is the first step to implementing this Human Resources philosophy in any company. The plan must have the maximum consensus and be fully adapted to the characteristics of the company and it should be equally aligned with the corporate objectives.
We are preparing a very visual guide with illustrations of how Human Resources software impacts the different roles of a company. That is, how it helps solve the main concerns and problems of each position and optimize their day-to-day work.
2. Talent management in recruitment
The recruitment process is the first moment to put Talent Management into practice. It is advisable to approach each process of this type with the idea of attracting the best talent and ensuring that they remain in the company for a long time.
Obviously, the market has many apparently well-qualified candidates for the position, but how can we detect the most appropriate talent for our company philosophy?
Recruitment and selection software (ATS) can make this task considerably easier. The system allows you to post the offer in more than 200 different recruitment sources, so finding the most suitable profiles is much more likely and, at the same time, simple.
Furthermore, the assessment of each candidate can be automated through killer questions and scoring systems to avoid bias and detect the most interesting skills in the initial phases.
3. Detection of internal talent
Attracting the best talent is an option to grow and incorporate new skills into the company. Now, why not promote those employees who also have the skills the company needs? Talent detection can speed up the filling of new jobs and, at the same time, represents a very positive reinforcement for the motivation of the entire workforce.
Detecting internal talent correctly requires taking into consideration different parameters (productivity, degree of resolution in various fields, training…), which can mean a heavy workload for the HR area.
Implementing evaluation software is a quick and effective way to measure the performance of each worker based on previously established objective criteria. It allows you to analyze the skills and qualities that each worker has and compare them with the required requirements of the key competence for the position.
This program allows you to create long-term reports, avoid biases, detect needs and strengths, and improve decision-making (based on objective data). In addition, it improves the management of these processes with the consequent savings in operating costs that this entails.
4. Training and new learning methodologies in the company
One of the most important trends in this matter is continuous training. According to this vision, all professionals are required to periodically update or expand their knowledge and skills.
The LMS Learning system not only gives the possibility of choosing between multiple training options, it also allows companies to carry out a more precise evaluation of the results of each training proposal.
Has the worker filled in the gaps he had before taking the course or training activity? Answering this question is essential to verify if the learning has been significant.
We are talking, among other methodologies, about gamification, an increasingly widespread practice that energizes training sessions and allows you to work on skills such as cooperation between equals, the desire to improve, or decision-making in very varied contexts.
5. Professional growth and promotion plans in talent management
Creating growth plans gives employees the opportunity to promote themselves within the organization and envision a better future within the company.
This last element, with obvious psychological resonance, serves as a stimulus for the staff, who know that their effort and determination can translate into greater responsibilities or access to more desirable positions.
7 examples of human talent management in companies
The management of human talent at the Ramon y Cajal Hospital
The management of human potential by competencies at the Ramon y Cajal Hospital is its main mode of action. In fact, they place special emphasis on the combination of knowledge, skills, and attitudes of each of their employees for the correct development of any of the jobs.
The health personnel of this hospital are governed by an internal dictionary that includes 22 competencies divided into three sections: strategic, functional, and personal.
The strategic competencies include competencies related to the hospital’s own values. Correct management of human talent at this point will be one that incorporates healthcare personnel who are capable of:
- Carry out correct orientation to the patient.
- Guide the employee.
- Have a global vision of the hospital’s mission.
- Be motivated by professional ethics and set an example.
- Have the ability to continually improve to benefit the hospital’s image.
- That is oriented towards knowledge and research.
- That facilitates change and does not act in a rigid way.
- Organization and planning of the work of each employee and the team.
- Management and optimization of existing resources in the hospital.
- Management of external relations with other centers.
- Obtaining objectives and results that improve the brand image and differentiate it from other hospitals.
- Relevance of the operational competence of health personnel, which consists of verifying that they carry out their tasks effectively and efficiently.
- The employee’s own maturity and emotional balance.
- Your capacity for learning and individual growth.
- The management and resolution of conflicts in the day-to-day life of healthcare activity.
- The resistance to stress that these positions generate.
- Your communication skills to interact with other members of your team or to transmit news to patients and families.
- The ability to work as a team.
- The management of diverse teams with people who combine different skills.
- The initiative and professionalism.
- The ability to lead other employees under your command or even an entire team.
- The ability to develop attitudes for improvement in other workers.
HubSpot, example of good talent management
Glassdoor —a portal specialized in company evaluation and job offers—has placed HubSpot in first place in its ranking of the 100 best companies to work for in 2020.
The reason? The American company, a leader in inbound marketing software, invests massively in the well-being and training of its employees.
Among other things, all ‘HubSpotters’ are entitled to a minimum of $5,000 per year to invest in training. Likewise, the company offers its employees a multitude of courses and online learning opportunities, such as its ‘Free Books Program’, the e-learning platform ‘Learn@HubSpot’, talks with specialists (the so-called ‘HubTalks’), frequent workshops, etc.
Human talent management in the Pyrenees company
Pyrénées is an Andorran department store company with more than 1,500 employees. In the beginning, it had no competitors because the low prices in that country made Europeans come to buy. When prices were equalized, Pyrénées faced a major problem because sales decreased and its staff did not have the necessary skills and competencies to make a difference in the market.
Faced with this situation, they decided to promote a new project: Pyrénées 2000. Its main objective was to carry out a transfer of the business culture focused on preparing employees so that they themselves could be the best example of transmitting the company’s values and mission. The strategy to carry out the new human talent management consisted of six points:
They needed to know what needed to change and after the results, they opted to improve teamwork, decision-making, continuous training of employees, their commitment, loyalty to the company, and customer loyalty.
Definition of the company’s values and mission
They wanted their employees to pay special attention to customer orientation, innovation, improved communication and results orientation.
Definition of the leadership style of managers
It was essential to also start with the highest positions since they had not previously worked in this direction. They had to start implementing, by example, that business culture.
- Definition of a global strategy
- Which all members of the company should carry out.
Internal communication work
Commit to transmitting this new business culture to employees and subsequently carry out periodic analyzes to assess the assimilation of the new concepts and their implementation.
360º evaluation of all managers
With the aim of checking if their way of carrying out leadership coincides with the one they had just defined. There had to be a real commitment from each of them to adapt to the new leader profile.
This entire human talent management strategy by competencies strengthened the commitment and trust of all work teams and the Pyrénées company in general.
The commitment to the development of employee skills was another fundamental point once the strategy was advanced. In fact, the selection processes began to be carried out through competency-based interviews.
What is the situation of the Pyrénées company today thanks to correct management of human talent by competencies?
- They quadrupled their net profits in 4 years.
- Sales grew by 15%.
- Staff turnover decreased from 50% to 32%.
Employee loyalty was improved thanks to its policy of not skimping on training, facilitating family conciliation, and internal promotion. 85% of its workers were promoted within the entity.
Intel, talent management based on active listening
The microprocessor giant Intel is currently one of the most desired companies by workers around the world, due to its optimal talent management policies.
Particularly, Intel stands out for its intelligent use of job satisfaction surveys. For example, the company launched the famous “Bring-Your-Own PC Employee Typeend” initiative in 2012, which aimed to study what types of benefits were most appreciated by its workforce.
On that occasion, Intel interviewed more than 5,000 workers globally and completely remodeled its global benefits policy.
Human talent management at Estee Lauder
The beauty products company Estee Lauder with more than 1,600 workers spread throughout the world is another good example of correct human talent management. The company is aware of the importance of its employees and that is why they are committed to taking care of them in the following way:
- Agreements with restaurants, gyms and other establishments.
- Gift of certain brand products so that they can use them and become ambassadors for clients or friends.
- Social benefits such as life insurance, vacation bonuses, pension plans, etc.
- It is committed to attracting talent by paying special attention to the candidates’ skills and eliminating the age range for its job vacancies.
- Internal promotion opportunities.
- They are committed to the diversity of their employees as a growth factor.
- They facilitate and encourage the creative and innovative capacity of their staff.
- Continuous training as a fundamental aspect of organizational culture and business values.
- Two-way and close internal communication.
Human talent management at Scotiabank
For the Scotiabank Group, the correct management of human talent is its most valuable strategy because it is what generates the benefits of its companies. Its main axis of action focuses not only on selecting the most suitable talent based on the skills they possess but also on offering them the training and opportunities necessary so that they can develop successful professional careers. Because? Because it will be easier to retain talent and the company will also have increasingly more prepared workers.
Scotiabank has developed a Development Plan in which each worker is assigned what skills they need to develop, an action plan is established to achieve them and monitoring is carried out. Furthermore, their attitudes towards new challenges are analyzed in meetings with those responsible.
Regarding the retention of digital talent, Scotiabank allows employees to manage their professional careers based on their expectations and the correct management of their skills. They have a tool called Job Postings in which those interested in making a change in their career within the bank have the opportunity to make their dream come true.
Another fundamental area of work at Scotiabank when it comes to managing human talent is leadership. Leaders are responsible for guiding other employees to implement business objectives. That is why they promote the self-leadership that all people have so that they are autonomous in their actions and challenge themselves daily.
Talent management at the Pastry World Cup
Correct management of human talent by competencies creates winning work teams. That is what happened in the Pastry World Cup that was held in France in 2011. The three members who were part of the Spanish team did not know each other when they began to prepare for the competition.
In fact, some stood out for having more years of experience and others for their creative gifts. During the months they trained, they worked hard on the technical aspects of the desserts, but also on the human talent of each one of them. Many people helped them focus the management of human talent by competencies on five fundamental aspects:
- Collaboration between all members.
- Individual professionalism .
- The rigor in the methodology used.
- Communication and empathy .
- Controlling emotions in stressful situations.
Which it was the result? After nine hours of competition, Spain was proclaimed the winner of the most important pastry competition in the world for the first time in history. They demonstrated great technical mastery but what made the difference was the correct management of the five skills they had worked on for so long.