Forty-five percent of executives say talent management is the most important business strategy for global companies, according to a survey by Korn/Ferry International, a talent management company.
Although talent management is considered so critical, only 35 percent of respondents say they have talent management strategies. Respondents also report that other important strategies include marketing at 26 percent, financial management at 21 percent and capitalization at 7 percent.
Another 86 percent of respondents agree that a strong management team is the most essential part of a company's success, supporting the need for top talent. Even so, 43 percent of respondents say they do have the right management teams for the next 12 months, and 56 percent of respondents doubt they will have the right teams five years from now regardless that only 7 percent of respondents say they will follow the same strategies in five years.
"Our survey indicates that even when top executives say that a strategic approach to determining human capital needs, such as recruiting, hiring and retention, is one of the highest priorities on their agenda, many companies' talent management practices lag behind the minimum-accepted standards," says Ana Dutra, CEO of leadership and talent consulting for Korn/Ferry. "Many companies today have yet to align their talent strategies with the changing nature of business strategies.
"What apparently has yet to take hold in companies is recognition that business strategies are constantly changing and that companies need their leaders to be able to grow and learn from their experiences as well as update their talent strategies in order to execute on more challenging business performance targets.”