Post on 07-Apr-2018
transcript
8/6/2019 Rajesh & Sharad
1/58
A
Comprehensive Project Report
On
3 Dimensions of Talent Management
Job Effectiveness, Employee Satisfaction & Leadership Development
By
RAJESH HANSRAJANI (097030592009)
SHARAD SINGH (097030592099)
Submitted to
GUJARAT TECHNOLOGICAL UNIVERSITY
Under the Guidance of
Ms. PARUL BHATI
ATMIYA INSTITUTE OF TECHNOLOGY & SCIENCE, RAJKOT
Department of Management
Batch: 2009-2011
8/6/2019 Rajesh & Sharad
2/58
DECLARATION
We undersigned Rajesh Hansrajani and Sharad Singh, the students of Master ofBusiness Administration, Atmiya Institute of Technology & Science, hereby declare that
the Project work presented in this report is our own work and has been carried out under
the guidance of Ms. Parul Bhati, Department of Management, Atmiya Institute of
Technology & Science, Rajkot.
Date:
Place: Rajkot (Rajesh Hansrajani)
(Sharad Singh)
ii
8/6/2019 Rajesh & Sharad
3/58
ACKNOWLEDGEMENT
At the outset of my report I would like to express my gratitude specially to ourproject guide Ms. Parul Bhati and other faculty members for providing us an
opportunity to carry out our Research Report and guiding us throughout the completion
of the report.
We are obliged to all the industry persons here in Rajkot who has guided us in our project
work and provided us valuable time of theirs and encouragement throughout our project
work, naming a few Mr. Parakramsinh Jadeja (Owner Jyoti CNC Automation Pvt. Ltd.),
Bhikubhai Virani (Chairman, Balaji Wafers Pvt. Ltd.), Mr. Vinesh Patel (Orbit BearingsIndia Pvt. Ltd.), Mr. Suresh Santoki (Chairman, Amul Industries Pvt. Ltd.), Vijaybhai
Shrimankar (Pelican Rotoflex Pvt. Ltd.), who provided us permission to carry out
research work in their organization.
Finally we would like to acknowledge our thanks to everyone who directly or indirectly
contributed in our Research Report.
iii
8/6/2019 Rajesh & Sharad
4/58
ABSTRACT
In this competitive world, managing skills, competent employees and creating competent
workforce has become a challenge in the manufacturing industry or any other. Those who
are good at this know very much how to take the competitive advantage out of it.
Talent management practices have become a buzz word for manufacturing industry. The
firm practicing Talent Management know the impact of Talent management practices on
Job Effectiveness, Job Satisfaction, Leadership development and also its effect on
productivity.
This research is carried out to identify the trends and types of Talent management
practices followed to develop the KSAOs (Knowledge, skills, abilities and other
qualities) in the employees to make them competent and how practices are positively
related to the variables like Job Effectiveness, Job Satisfaction and Leadership
Development. These results of the Regression analysis And Analysis of variance showed
the positive relation of Talent Management Practices on these three variables.
iv
8/6/2019 Rajesh & Sharad
5/58
Table of Content
*
*
*
*
1.1
1.2
2.1
2.2
2.3
4.1
4.2
4.3
4.4
College Certificate.. i
Declaration.....ii
Acknowledgement. iii
Abstract. iv
Chapter 1: Introduction
Manufacturing Industry in India: An overview.. 1
Company Overview........ 3
Chapter 2: Conceptual Framework
Research Area. 8
Theoretical Framework... 8
Conceptual Model of the research25
Chapter 3: Review of Literature....... 26
Chapter 4: Research Methodology
Research Problem. 31
Research Objectives. 31
Hypotheses... 31
Research Design... 31
Chapter 5: Data Analysis & Interpretation..34
8/6/2019 Rajesh & Sharad
6/58
6.1
6.2
6.3
*
*
*
Chapter 6: Conclusion
Managerial Implications of the research.. 45
Limitations of the research... 46
Scope for Future Research........46
References.... 47
Annexure
Questionnaires ..... 49
List of Figures, Tables and Charts
Figure 1
Figure 2
Figure 3
Figure 4
Table 1
Table 2
Table 3
Table 4
Table 5
Table 6
Chart 1
Chart 2
Chart 3
Chart 4
Talent Management Returns.16
Talent Management Platform 20
Talent Management Process.21
Conceptual Model.25
Chi- Square Table. 35
Correlation Analysis. 36
ANOVA of Effectiveness of Talent Management Practices.... 37
ANOVA of Job effectiveness & Productivity improvement 38
ANOVA of Employee Satisfaction..41
ANOVA of Leadership Development..43
Effectiveness of Talent Management Practices 37
Job effectiveness & Productivity improvement 38
Employee Satisfaction..41
Leadership Development.. 43
8/6/2019 Rajesh & Sharad
7/58
1
Chapter 1 Introduction
1.1 Manufacturing Industry in India: An overview
Manufacturing industry is the engine of economic growth of a nation. It includes all
activities in product life, starting from customer inputs for concept design, through
conversion of materials and ending with product disposal. These activities provide
gainful employment, create the products required to maintain and improve the standard of
living and generate the wealth required for future development.
The manufacturing industry in India has all the qualities which enhance economic
development, increase the productivity of the manufacturing industry and face
competition from the global markets. The Manufacturing industry in India is believed to
have the potential of improving the economic condition of India.
Indian manufacturing industry: Research findings1
Studies conducted on the manufacturing industry have concluded that India has a
working population of 75%. Out of this, only 600 million have acquired education till
middle school. Due to this reason, the manufacturing industry in India, which is labor
intensive, can provide the requisite number of employment units in the country. Studies
have indicated that the productivity of the manufacturing industry in India is
approximately 1/5th of the productivity in the manufacturing industry of United States of
America. It is about as compared to the productivity levels in South Korea as well as
Taiwan. Labor productivity has escalated only to a small extent in case of India in
comparison to United States of America, on the contrary, labor productivity has increased
manifold in countries like Taiwan and Korea.
1 http://www.economywatch.com/world-industries/manufacturing/india.html
8/6/2019 Rajesh & Sharad
8/58
2
Manufacturing industry in India and exports:
Exports of manufactured goods in India accounted for 75% in comparison to exports of
manufactured goods all over the world. Owing to the performance manifested by the
export sector in India, the scenario indicates that there is less competition in the
manufacturing segment. Absence of competition is also established by the fact that in
spite of reducing the tariff in the early and mid 90s, India continued to be one of the
protected economies of the world. Contribution of India's export towards international
market grew from 05% to 0.7% during 1990 to 2000. During the same period, Malaysia,
China, Thailand and South Korea, registered almost double increase in exports.
Manufacturing Industry of Rajkot
In wake of the ongoing auto boom, the rising momentum in manufacturing activity in the
four Gujarat Industrial Development Corporation (GIDC) areas in Rajkot is tangible.
Almost every unit has wanted notices posted at the factory gates, to hire workers for shop
floor etc.
A decade back Rajkot was considered to be the lowest cost producer for iron castings. It
had a flourishing ecosystem in which castings manufactured using pig iron fed the diesel
engine manufacturers who in turn supplied engines primarily used for agricultural
purposes. There were 450 foundries manufacturing castings and supplying to around 200
diesel engine manufacturing units in Rajkot a decade ago, according to Rajkot
Engineering Association (REA) estimates. Each diesel engine manufacturer was making
around 40,000 units monthly to meet the growing demand. Today there are just 30-35
units producing diesel engine units and even large sized units do not make more than lakh
units in a year.
This slump is largely attributed to cheap Chinese imports & has stalled diesel engine
manufacturing activity in Rajkot, other engine manufacturers are straining under high tax
and excise structure in addition to falling demand for low horsepower engines.
8/6/2019 Rajesh & Sharad
9/58
3
1.2 Company Overview
1. Amul Industries Pvt. Ltd.
Amul is a powerful combination of Tradition, Ethos and Experience. Today as one,
they're smarter, faster and stronger than ever- and determined to become more so. Amul
is a leading global manufacturer of automotive components serving almost every major
vehicle manufacturer worldwide. Headquartered in Rajkot, Gujarat- INDIA, has state-of-
the-art manufacturing units at various locations in India with teamwork of 2000 plus. The
group has created a value based enterprise uniquely positioned to provide customers with
innovative solutions that deliver best vehicle performance, quality and value for their
product. They've continued to transform themselves through aggressive productivity
improvement, leading-edge technologies and sustained customer relationships. Having
dedicated themselves on knocking down any barriers that come across their way from
reaching the potential, they have moved quickly, decisively and are committed towards
creating the group image & customer values.
Needless to mention that Amul has already entered the Business of 5Cs namely
Connecting rods, Crank Shafts, Cylinder Blocks, Cylinder Heads, and Cam Shafts for
the Automotive & Engineering Industry.
Amul Industries started its functions in 1988 as a small scale industry; today we are
manufacturing 175 different types of Connecting Rods and are considered one of the
biggest Connecting Rod manufacturers in India. Within a short span of 15 years the
company has been able to touch turnover of 40 corers with more than 400 people
working with it.
Amul Industries has embarked on a major expansion to double its capacities for
connecting rods and crankshafts. The company is also in discussion with a European auto
component manufacturer for a joint venture or an alliance to establish a manufacturing
facility at a 'suitable' location in Europe.
8/6/2019 Rajesh & Sharad
10/58
4
2. Jyoti CNC Automation Pvt. Ltd.
Jyoti was initiated by Mr. P.G. Jadeja and Mr. S.L.Jadeja in 1989.Driven by a vision to build the company into a temple of technology through team work,
the organization has grown manifold from manufacturing gear boxes for machines to
developing precision all-geared head lathe machines and later on sophisticated CNC
Machines. Continuous process improvement and fast adoption of State-of-the-art
technology has led Jyoti in becoming a leader in innovating manufacturing techniques.
Jyoti is respected as A Temple of Technology by the staff and its esteemed clientele,
who welcome and worship the new technology.
Further to transform the technology-savvy attitude into reality, Jyoti started designing and
manufacturing the wonder babies like CNC Turn Mill Centers, CNC Oval Turning
Machines (the first in India), fastest Vertical Machining Center of India, etc.
Jyoti is proud of the fact that its transition through technology-orientation was destined
towards effectively revolutionizing the Indian Industry. This aspect has always been
reflected through the company motto. Jyoti is the brainchild of legendary Mr. P.G. Jadeja
and Mr. S.L. Jadeja, established in 1989. Driven by a vision to build the company A
Temple of Technology through teamwork, the company has grown manifold from
manufacturing gear boxes for machines to developing precision all-geared head lathe
machines. Later on Jyoti has rightly identified Shift from conventional machines to
highly sophisticated CNC machines in the presence of manufacturers.
Jyoti was the first company to manufacture CNC machines in Gujarat. It was not an end,
there are many firsts attached with Jyoti since then. Jyoti, driven by technology and
innovation keeps including new firepower in its arsenal by introducing machines like
CNC Turning Centers, Vertical Machining Centers, Oval Turning Center i-SECT and
first Indian machines like VMC 40/70 Linear with innovative Linear technology. After
the opening up of the Indian Economy, there were great challenges present for Indian
companies but Jyoti converted all challenges into great opportunities. Jyoti has even
decided to compete at the global level and has taken concrete steps by exporting CNC
8/6/2019 Rajesh & Sharad
11/58
5
machines. It has also established distribution networks in various continents around the
globe. Jyoti is passing through the trajectory of rapid growth by achieving over 100%
growth rate since its inception. Export penetration and inclination has helped Jyoti to
establish goodwill among the foreign buyers and distributors.
3. Balaji Wafers Pvt. Ltd.
The journey of Balaji Group started in year 1976 by the member of Virani family for
supplying wafers and namkeens to local brands to the patrons of Astron Cinema,
Rajkot. Due to the shore supply of that product they decided to make their own product
line in year 1982. By the overwhelming retail success they inspired to set a semi
automatic plant. Instead of preparing wafers by the traditional frying method this semi
automatic plant boosted the quality, taste and more sales also. The fame of taste
reached to the whole Gujarat hence it was time to take over the whole Gujarat so that
biggest automatic plant of Gujarat came in to the picture. Quenching the demand of
Gujarat, Maharashtra and Rajasthan region Balaji Group is now looking forward to
march over India.
The makers of 'Balaji Group' brand wafers and namkeen food products have deep faith in
God & in good taste. Converting dreams into reality it leads them to the biggest potato
wafers plant of India. The Balaji plant covers over 85,000 sq. m. area in the outskirts of
Rajkot city. Its big taste revenue i.e. turnover touched to the crore rupees milestone.
Balaji Group has 90% shares of wafers market and 70% shares of namkeen market in
Gujarat. You are invited to travel the past, present and the future or Balaji Group.
The wheel of network is devised under the ideal distribution channel network. Thatensures to supply fresh product in any corner of Gujarat within 24 hours. You can have
Balaji snacks in every 100 meters of are in Gujarat. At Balaji is not just distribution but
it is an euphemistic effort of team work.
This simple mantra rocked and changed the definition of chip world. Winning the heart
by quality and great taste and distributing sufficient dealer margin is a winning strategy
8/6/2019 Rajesh & Sharad
12/58
6
of Balaji Group. Its 'Value for money' strategy enables even a kid to buy fresh &
healthy food in small prices. Indeed in a neck to neck competition ear one must
implement new ideas and balaji group has developed the think tanks who continuously
update strategy in the right direction. Think win-win & Stay ahead with us.
Balaji Group perceive in growth rather say development to touch the sky. The
company will enhance its product range by adding some futuristic and Indian
traditional taste company will plan to some extruded snacks and western products to
their Global market. Recently company has acquired more space where its entire
namkeen unit will be shifed. The future will see more of Bhikubhai Virani as a
Chairman, Mr. Chandubhai as a Managing Director, Mr. Kanubhai Virani as a
Technical Director & Mr. Keyur Virani as a R&D Director. At Balaji progress is a life
line.
4. Orbit Bearings India Pvt. Ltd.
ORBIT Bearings India Pvt. Ltd, are committed for the quality of our product by offering
seamless support in the areas of service, manufacturing, procurement and design and
continuous improvement in all activities for improvement in the productivity by reducing
the waste in supply chain.
The Suppliers, Employees and Management is committed to upgrade the indices of
performance to touch the heights of optimization. To achieve the goal of customer
satisfaction, we at ORBIT are focused on quality, delivery and service of our customer.
Establishment & History
The Company was promoted in 1990 by professionally qualified and experienced
promoters to manufacture Ball and Roller Bearings. Within period of fourteen years the
company has established its name in the replacement market as well as Original
Equipment Manufacturers.
8/6/2019 Rajesh & Sharad
13/58
7
Other Business Activities of the Group
Our group has business activities for manufacturing of agriculture equipment, forgingsand building construction. Total turnover of the group exceeds $100 MILLION.
5. Pelican Rotoflex Pvt. Ltd.
Pelican Rotoflex Pvt. Ltd. a technology driven ISO 9001:2000 company was established
in 1996. and is a global player in converting machinery business with strong family of
200 plus employees.
The company manufactures complete range of printing and converting machinery for
flexible packaging industry at their world class facility near Rajkot (Gujarat-India). The
total area of 20,000 sq mtrs. with built up area of 10,000 plus sq mtrs. to manufacture to
suit the demand of the day.
Over the years, this technology culture has built and nurtured a core team of technocrats,
managers, industry experts and R&D in the company. And this cream team today creates
what is arguably the industry's most advanced range of converting machineries, under the
roof of the state-of-the art most modern work-shop.
Today the company has more than 200 installations worldwide in more than 15
countries like U.K., New Zealand, South Africa, Nigeria, Kenya, Tanzania, Zambia,
Namibia, Ghana, Malawi, Colombia, Iran, Saudi Arabia, Kuwait, and Oman etc.
Continuous development and growth led Pelican towards establishing a world-class
infrastructure. Today with total land area of 20,000 plus square meters, a state-of-the-art
design and manufacturing facilities are located on the outskirts of Rajkot in Gujarat, oneof the most vibrant states of India.
8/6/2019 Rajesh & Sharad
14/58
8
Chapter 2 Conceptual Framework
2.1 Research Area
Talent Management practices has great importance in each industry be it Manufacturing,
IT, Banking or any other industry. But in a manufacturing Industry the number of work
force is quite large. So the questions arise of competent employees. Another question
arise how to retain them. In the research the area of research was chosen the
Manufacturing Industry in Rajkot region.
Rajkot has become a hub for small scale industries to start up their business. In Rajkot
most of these firms are manufacturing units. To cope up with this completion the firm
uses certain Talent Management practices. To further analyze them the Manufacturing
industry of Rajkot was chosen as the Research Area.
2.2 Theoretical Framework
Today's businesses face increased global competition, shifting markets, and unforeseen
events. No wonder they are finding it more difficult than ever to attract, develop, and
retain the skilled workers they need. Human resources (HR) departments can set the stage
for success by hiring and training capable employees. But developing those personnel
into dynamic, motivated, long-term participants in the company's processes must be the
responsibility of all managementfrom CEO to floor supervisor.
Talent management, which incorporates the cooperation and communication if managers
at all levels, has become an imperative in the face of today's business challenges. In
addition, talent management processes must be more strategic, connected, and broad-
based than ever before.
Talent-management processes include workforce planning, talent gap analysis, recruiting,
staffing, education and development, retention, talent reviews, succession planning, and
evaluation. To drive performance, deal with an increasingly rapid pace of change, and
create sustainable success, a company must integrate and align these processes with its
8/6/2019 Rajesh & Sharad
15/58
9
business strategies. By assessing available talent and placing the right people in their best
roles, organizations can survive and thrive in today's increasingly competitive markets.
Effective talent management becomes even more important with the forthcoming talent
shortage as many experienced leaders approach retirement. Globally, fewer and fewer
managers and professionals are ready to fill these leadership roles, and companies
worldwide find themselves competing for a smaller pool of talent. Businesses must have
the ability to identify the most talented individuals, provide them with the necessary
training and experiences, and retain valuable employees in long term. Wise leaders do not
leave strategy or the bottom line to mere chance. They also know they can't just hope
everything somehow works out with the people in their company. By incorporating
comprehensive talent management, an organization can assemble the right people it needs
to manage and lead in the future.
With HR focusing on hiring, training, and succession planning, talent management is
traditionally an HR responsibility. Today's top companies, however, know that a single
department's potential effectiveness is limited; the key to a successful program lies with
the cooperation of all departments, with all managers across the breadth of their
operations. Every manager, no matter what level, plays a role in strengthening an
organization's overall talent. For example, line managers who are accountable for getting
the work done, are also accountable for developing the people they manage and are
fundamental to making overall talent management work.
As an individual with leadership and management responsibilities, you play a vital part in
your company's talent-management processes. Following are some ways that you can
become more involved in talent management and help your organization succeed.
Talent Management
Talent management refers to the skills of attracting highly skilled workers, of integrating
new workers, and developing and retaining current workers to meet current and future
business objectives. Talent management in this context does not refer to the management
of entertainers. Companies engaging in a talent management strategy shift the
8/6/2019 Rajesh & Sharad
16/58
8/6/2019 Rajesh & Sharad
17/58
11
Talent Management Best Practices2
You have a role in talent management, whether you're a sales manager, plant director, orproduction supervisor. HR builds the framework and provides the tools, systems, and
resources, but you are ultimately responsible for the programs in your department. To
better understand your role in the process, ask yourself the following questions: What can
I do to develop talent in my division? What competencies are my employees expected to
show, and how can I help them to better those competencies? How is my department's
success measured, and how can I use available resources to help it meet and exceed
expectations? What HR tools and programs are available to help me reach my
department's talent management goals? According to a recent benchmarking study on
talent management conducted by the American Productivity and Quality Center and the
Center for Creative Leadership, organizations that excel in talent management follow
eight best practices:
1. Defining "talent management" broadly.2. Integrating the various elements of talent management into a comprehensive
system.
3. Focusing talent management on their most highly-valued talent.4. Getting CEOs and senior executives committed to talent management work.5. Building competency models to create a shared understanding of the skills and
behaviors the organization needs and values in employees.
6. Monitoring talent system-wide to identify potential talent gaps.7. Excelling at recruiting, identifying, and developing talent, as well as performance
management and retention.
8. Regularly evaluating the results of their talent management system.
2http://www.ddiworld.com/pdf/ddi_ninebestpracticetalentmanagement_wp.pdf
8/6/2019 Rajesh & Sharad
18/58
12
It takes Talent to spot Talent! A tone deaf will never be able to appreciate the music of
maestros. Only a seasoned jeweller would know that all that glitters is not real! And, onlythose who can recognise the worth of a diamond can value it, for others it's just a stone!
Talent is doing easily what others find difficult.
In an organisation, there is nothing more crucial than fitting the right employee in the
right position. Or else you would be trying to fit a square peg in a round hole. When
people do jobs that just don't suit their liking, inclination or temperament, the results, or
rather the lack of them will be disastrously obvious. Low productivity, dissatisfaction,
low morale, absenteeism and other negative behaviour will become typical till the
employee is shown the door. Or perhaps, there is another option - Talent Management.
Talent management implies recognising a person's inherent skills, traits, personality and
offering him a matching job. Every person has a unique talent that suits a particular job
profile and any other position will cause discomfort.
It is the job of the Management, particularly the HR Department, to place candidates with
prudence and caution. A wrong fit will result in further hiring, re-training and other
wasteful activities.
No matter how inspiring the Leaders are, they are only as effective as their team. A
team's output is healthy only if the members are in sync. To achieve such harmony, the
key ingredient is "putting the right people in the right jobs".
While there is no magic formula to manage talent, the trick is to locate it and encourage
it. Talent Management is beneficial to both the organisation and the employees. The
organisation benefits from: Increased productivity and capability; a better linkage
between individuals' efforts and business goals; commitment of valued employees;
reduced turnover; increased bench strength and a better fit between people's jobs and
skills. Employees benefit from: Higher motivation and commitment; career development;
8/6/2019 Rajesh & Sharad
19/58
13
increased knowledge about and contribution to company goals; sustained motivation and
job satisfaction.
So, how does an organisation effectively manage talent?
Recognise talent: Notice what do employees do in their free time and find out their
interests. Try to discover their strengths and interests. Also, encourage them to discover
their own latent talents. For instance, if an employee in the operations department
convincingly explains why he thinks he's right even when he's wrong, consider moving
him to sales!
Attracting Talent: Good companies create a strong brand identity with their customers
and then deliver on that promise. Great employment brands do the same, with
quantifiable and qualitative results. As a result, the right people choose to join the
organisation.
Selecting Talent: Management should implement proven talent selection systems and
tools to create profiles of the right people based on the competencies of high performers.
It's not simply a matter of finding the "best and the brightest," it's about creating the right
fit - both for today and tomorrow.
Retaining Talent: In the current climate of change, it's critical to hold onto the key
people. These are the people who will lead the organisation to future success, and you
can't afford to lose them.
The cost of replacing a valued employee is enormous. Organisations need to promote
diversity and design strategies to retain people, reward high performance and provide
opportunities for development.
Managing Succession: Effective organisations anticipate the leadership and talent
requirement to succeed in the future. Leaders understand that it's critical to strengthen
their talent pool through succession planning, professional development, job rotation and
workforce planning. They need to identify potential talent and groom it.
8/6/2019 Rajesh & Sharad
20/58
14
Change Organisation Culture: Ask yourself, "Why would a talented person choose to
work here?" If the organisation wishes to substantially strengthen its talent pool, it should
be prepared to change things as fundamental as the business strategy, the organisation
structure, the culture and even the caliber of leaders in the organisation.
A rightly managed talent turns out to be a Gold Mine. It's inexhaustible and priceless. It
will keep supplying wealth and value to the organisation.
In turn, Management needs to realise its worth, extract it, polish it and utilise it. Don't
hoard Talent- spend it lavishly, like a millionaire flashing his luxuries, because Talent is
Wealth!
Talent Management is a Business Problem3
Talent management describes the process through which employers of all kinds firms,
government, non-profits anticipate their human capital needs and set about meeting
them. Getting the right people with the right skills into the right jobs, a common
definition of talent management is the basic people management challenge in
organizations. While the focus of talent management tends to be on management and
executive positions, the issues apply to all jobs that are hard to fill.
Decisions about talent management shape the competencies that organizations have and
their ultimate success, and from the perspective of individuals, these decisions determine
the path and pace of careers. Talent management practices can have a crucial impact on
society as well. The lifetime employment model of the post-WWII generation, for
example, provided the economic stability that created middle class society.
Failures in talent management may be more recognizable than the concept itself. Those
failures mean mismatches between supply and demand: Too many employees, leading to
layoffs and restructurings on the one hand, and not enough talent, leading to talent
3http://www.nasscom.in/Nasscom/templates/NormalPage.aspx?id=51772
8/6/2019 Rajesh & Sharad
21/58
15
crunches on the other. In India at present, it may be hard to imagine the problem of
having too much talent, but the first downturn in the economy or even in a section of
the economy will make that clear. These mismatches are among the fundamental
problems that businesses and other large employers face. Over the past generation,
corporations in particular seem to have lurched from surpluses of talent to shortfalls to
surpluses and back to shortfalls again. The challenge employers face is to track much
more closely the demands for talent to avoid both shortfalls and oversupplies.
Many observers assume that the management of talent is really about the internal
development of human capital, yet the majority of vacancies in corporations now are
filled from outside. They also assume that internal development practices such as
executive coaching, career pathing developmental assignments, assessment centers, high
potential programs, and succession planning, are something new.
These techniques and indeed, every employee development practice that seems novel
now forced ranking performance evaluation systems, 360 degree feedback programs,
executive coaching, etc. were all common in the 1950s. Except at a few very large
firms, they have been scaled back and, in many cases, largely abandoned. The reason wasnot that these practices failed to develop talent. It was because they were too costly. And
the biggest cost was the difficulty they faced in managing the unpredictability of the
demand for talent.
Internal development of talent collapsed in the 1970s when business forecasting failed to
predict the downturn in the economy, and the talent pipelines continued to turn out talent
under the forecast assumptions of booming corporate growth. The excess supply of talent
and the no-layoff policies for white collar workers caused a bloating of corporate
organizations and the steepness of the 1981 recession in the US and elsewhere led
virtually all companies to back away from developing talent. Lifetime employment came
to an end, and the reengineering processes cut away the development practices and staff
that created talent. After all, if the priority was to get rid of talent, why would companies
maintain the programs designed to create it?
8/6/2019 Rajesh & Sharad
22/58
16
We need a new way of thinking about the talent management challenge. A new
framework for talent management has to begin by being clear about the goal. Talent
management is not an end in itself. It is not about developing employees or creating
succession plans. Nor is it about achieving specific benchmarks like a five percent
turnover rate, having the most educated workforce, or any other tactical outcome. The
goal of talent management is the much more general but important task of helping the
organization achieve its overall objectives. In the business world, that objective is to
make money.
An important part of the goal of helping the organization is to address the financial
challenge associated with developing employees and recouping the investments in their
development now that labor markets:
Figure 1 Talent Management Returns
(Source: http://www.nasscom.in/Nasscom/templates/NormalPage.aspx?id=51772)
The cost of employing those workers in the initial period exceeds the value of the
contribution from them as the new hires are learning what to do and how to do it. The
8/6/2019 Rajesh & Sharad
23/58
17
size of the cost gap grows as development efforts expand. That investment has
historically been recouped in the next period, in the shaded blue area where the value an
employee produces exceeds the cost of employing them. Even though wages and
employment costs are rising, the value of the employees contribution rises even faster,
and the employer earns back a return on their earlier investment. As long as the gap
between costs and contributions is bigger in this second period than in the first, then the
employer makes money on the investment. At the end of an individuals career, pension
plans and other retirement programs reversed the flow of resources. During that period,
the employer makes net payments back to the employees.
The problem with this approach to recouping development costs began soon after the
collapse of lifetime employment for managers and executives. As described in Chapter 2,
employers broke that model first by laying off experienced employees. But layoffs alone
did not necessarily collapse the ability to earn a return on training and development. That
happened when employers began hiring experienced talent from competitors, in part at
the executive level as a means for changing the strategy and culture of their own
organizations but then later as a means of avoiding the time delays and costs associated
with internal development.
The flip side of hiring experienced workers is retention problems for competitors. The
situation is sometimes described as an incomplete contract the employer makes an
investment in the employee but did not require anything in return because, historically,
the employee had little opportunity to leave. Once outside hiring started, an employees
competencies became useful elsewhere and had a market value. In fact, an employee may
actually be more valuable to a competitor than to their current employer because they
bring with them not only their own performance but knowledge and insight about how
their old employer operated.
The competitors can pay the employee more than the current employer and still make
money on the deal because they have no early investment costs to recoup. In the graph
above, the market value of the employee becomes something closer to the line
8/6/2019 Rajesh & Sharad
24/58
18
representing their true value to an employer. Employers then face what seems like an
impossible choice: Either stay with their practices and watch their newly developed
employees leave for better paying opportunities elsewhere, losing their investment in
them, or raise wages up to the new market level, losing the ability to recoup the
investments they have just made in their employees.
What we need to address going forward is how to make investments in development
affordable, and part of that challenge involves employee retention, making it possible to
at least retain employees long enough to recoup the training investments in them.
From Personnel to Strategic HR to Talent Management4
To understand why Talent Management has become so important, we must first look at
the evolution of corporate HR:
Stage 1: Personnel Department:
In the 1970s and 1980s
the business function
which was responsible for
people was called "The
Personnel Department."
The role of this group was
to hire people, pay them,
and make sure they had
the necessary benefits.
The systems which grewup to support this function
were batch payroll systems. In this role, the personnel department was a well understood
business function.
4http://joshbersin.com/2007/06/01/talent-management-changes-hr/
8/6/2019 Rajesh & Sharad
25/58
19
Stage 2: Strategic HR:
In the 1980s and 1990s organizations realized that the HR function was in fact moreimportant - and the concepts of "Strategic HR" emerged. During this period organizations
realized that the VP of HR had a much larger role: recruiting the right people, training
them, helping the business design job roles and organization structures (organization
design), develop "total compensation" packages which include benefits, stock options and
bonuses, and serving as a central point of communication for employee health and
happiness. The "Head of Personnel" became the "VP of HR" and had a much more
important role in business strategy and execution. The systems which were built up to
support this new role include recruiting and applicant tracking (ATS), portals, total
compensation systems, and learning management systems. In this role, the HR
department now became more than a business function: it is a business partner, reaching
out to support lines of business.
Stage 3: Talent Management:
We are now entering a new era: the emergence of "Talent Management." While strategic
HR continues to be a major focus, HR and L&D organizations are now focused on a new
set of strategic issues:
How can we make our recruiting process more efficient and effective by using"competency based" recruiting instead of sorting through resumes, one at a time?
How can we better develop managers and leaders to reinforce culture, instill values,and create a sustainable "leadership pipeline?"
How do we quickly identify competency gaps so we can deliver training, e-learning, ordevelopment programs to fill these gaps? How can we use these gaps to hire just the
right people?
How do we manage people in a consistent and measurable way so that everyone isaligned, held accountable, and paid fairly?
How do we identify high performers and successors to key positions throughout theorganization to make sure we have a highly flexible, responsive organization?
8/6/2019 Rajesh & Sharad
26/58
20
How do we provide learning that is relevant, flexible, convenient, and timely?These new, more challenging problems require new processes and systems. They require
tighter integration between the different HR silos -- and direct integration into line of
business management processes. Today organizations are starting to buy, build, and stitch
together performance management systems, succession planning systems, and
competency management systems. The HR function is becoming integrated with the
business in a real-time fashion.
The New HR Mission and Talent Management Processes
Many challenging workforce issues confront HR, including:
Heightened competition for skilled workers. Impending retirement of the baby boomers. Low levels of employee engagement. Acknowledgement of the high cost of turnover. Arduous demands of managing global workforces. Importance of succession planning. Off shoring and outsourcing trends.
Figure 2: Talent Management Platform
(Source: https://reader009.{domain}/reader009/html5/0517/5afd38e273af7/5afd38eee62d1.jpg)
8/6/2019 Rajesh & Sharad
27/58
21
Taleos graphical representation emphasizes the mandate of talent management to
respond to business goals and consequently be the driver of business performance. Talent
management is depicted as a circularnot a linearset of activities.
Talent Management Process
Organizations are made up of people: people creating value through proven business
processes, innovation, customer service, sales, and many other important activities. As an
organization strives to meet its business goals, it must make sure that it has a continuous
and integrated process for recruiting, training, managing, supporting, and compensating
these people. The following chart shows the complete process:
1. Workforce Planning: Integrated with the business plan, this process establishes
workforce plans, hiring plans, compensation budgets, and hiring targets for the year.
2. Recruiting: Through an integrated process of recruiting, assessment, evaluation, and
hiring the business brings people into the organization.
3. On boarding: The organization must train and enable employees to become
productive and integrated into the company more quickly.
Figure 3: Talent Management Process
(Source: http://www.bersin.com/images/talent_circle_507w.jpg)
8/6/2019 Rajesh & Sharad
28/58
22
4. Performance Management: by using the business plan, the organization establishes
processes to measure and manage employees.
5. Training and Performance Support: of course this is a critically important function.
Here we provide learning and development programs to all levels of the organization.
6. Succession Planning: as the organization evolves and changes, there is a continuous
need to move people into new positions. Succession planning, a very important function,
enables managers and individuals to identify the right candidates for a position. This
function also must be aligned with the business plan to understand and meet requirements
for key positions 3-5 years out. While this is often a process reserved for managers andexecutives, it is more commonly applied across the organization.
7. Compensation and Benefits: clearly this is an integral part of people management.
Here organizations try to tie the compensation plan directly to performance management
so that compensation, incentives, and benefits align with business goals and business
execution.
8. Critical Skills Gap Analysis: this is a process we identify as an important, often
overlooked function in many industries and organizations. While often done on a project
basis, it can be "business-critical." For example, today industries like the Federal
Government, Utilities, Telecommunications, and Energy are facing large populations
which are retiring. How do you identify the roles, individuals, and competencies which
are leaving? What should you do to fill these gaps? We call this "critical talent
management" and many organizations are going through this now.
In the center of this process are important definitions and data: job roles, job descriptions,
competency models, and learning content.
8/6/2019 Rajesh & Sharad
29/58
23
Leadership Development: A Key Part of Talent Management5
Leadership development and talent management have a strong correlation with each
other. In fact, leadership development is an integral part of any successful corporate
talent management strategy. It involves identification of potential leaders, grooming and
training them for leadership roles, and gradually delegating more authority and
responsibility to them to cultivate leadership skills. Leadership development not only
involves leading others, but first and foremost, it involves leading oneself. An individual
who is a keen learner and highly self-motivated is a natural leader. With systematic
leadership training, including opportunity and experience, such an individual may have
the potential to become an equally successful leader of a large group or an organization.
Development of the leadership potential of key candidates is one of the crucial tasks of
talent management in any business organization.
Leadership Development Process
Leadership development and talent management are inseparable. The process of
leadership development begins with the creation of an effective leadership design. This
design may differ from one organization to another, depending on the leadership needs of
each organization. Therefore, it becomes important to analyze the leadership traits
required to lead and manage a particular organization or one of its branches or divisions.
The culture and ethos of the organization determines what kind of leaders may be most
successful in a particular internal corporate environment and culture.
Once the business organization is clear about the essential traits that it needs its leaders to
possess, the necessary training tools to develop such leadership can be put into place. If
any external leaders need to be hired for the organization, it becomes easier to choose
them according to the leadership design. For internal leadership development, there can
be various training programs that may include coaching, hands-on training, mentoring
5http://www.brighthub.com/office/human-resources/articles/101592.aspx
8/6/2019 Rajesh & Sharad
30/58
24
and systematic delegation of higher responsibilities. Contemporary leadership
development processes are more globalized, highly integrated and interactive.
Talent Management: Job Satisfaction & Job Effectiveness
Talent Management is positively correlated with job effectiveness and employee
satisfaction. By adopting some of the talent management practices like, providing
challenging jobs and providing them opportunities to grow, the employee takes the job as
a challenge and puts full efforts, this will improve his job effectiveness.
Effective compensation management, training and development, performancemanagement, job autonomy and decision making authority are some of the techniques to
improve the performance of the employees
These practices will directly affect the results and will ultimately results in better job
satisfaction. It starts with pre-hire assessment which ensures right person on the right job.
Easier entry into the talent pool will provide more opportunities to the employees career
growth. This will facilitate transparent talent management.
It will also facilitate employees career development, succession planning, developing
KSAOs in them, competency building and competency mapping. These will results into
improved level of employee satisfaction.
8/6/2019 Rajesh & Sharad
31/58
25
2.3 Conceptual Model of the research
For carrying out the research, the researchers have framed the following model.
Figure 4: Conceptual Model
This research is carried out to define the correlation of Talent Management with
Employees Job Effectiveness, their level of satisfaction and opportunities for their
Leadership Development.
In this Model, Talent Management results into 3 outcomes.
1. Improved Job Effectiveness2. Improved Level of Employee Satisfaction3. More/Better scope for Leadership DevelopmentThese three will ultimately results into improved productivity of an employee. To test the
same certain hypothesis are framed which are collected through questionnaires and tests
were applied.
Talent
Management
Job
Effectiveness
Job
Satisfaction
Leadership
DevelopmentProductivity
8/6/2019 Rajesh & Sharad
32/58
26
Chapter 3 Review of Literature
Kozlowski, et al. (2000) suggests an approach to organisation improvement anddevelopment based on enhancing the knowledge, skills and attitudes or abilities of the
workforce. This paradigm may be accomplished through training activities. From this
perspective, training is effective to the extent that it directly contributes to the strategy,
objectives, or outcomes central to organizational effectiveness. The theoretical
frameworks are not, however, adequately addressed in current models. Thus, a theoretical
model is proposed in the hope that it will assist in understanding the relationship between
training and firm performance.
Lewis (2000) said, Individuals are demanding more challenging work and opportunities
to develop their skills and abilities, and to be compensated for their high performance.
Employee survey results identified four issues related to talent management in which
gaps exist between what the organization provides and what employees managers
provide. These include knowing and providing employees with training and development
opportunities, providing resources and rewards employees need to excel at their jobs,
knowing and managing employees career expectations, and serving as a mentor to guide
employee careers.
Jeffrey Pfeffer (2001) observes, Fighting the war for talent itself can cause problems.
Companies that adopt a talent war mind-set often wind up venerating outsiders and
downplaying the talent already in the company. They frequently set up competitive zero-
sum dynamics that make internal learning and knowledge transfer difficult, activate the
self-fulfilling prophesy in the wrong direction (those labelled as less able become less
able), and create an attitude of arrogance instead of an attitude of wisdom. For all thesereasons, fighting the war for talent may be hazardous to an organizations health and
detrimental to doing the things that will make it successful.
Michaels et al (2001) identified five imperatives that companies need to act on if they
are to win the war for managerial talent. These are: Create a winning employee value
proposition that will make your company uniquely attractive to talent, move beyond
8/6/2019 Rajesh & Sharad
33/58
27
recruiting hype to build a long-term recruiting strategy, use job experience, coaching and
mentoring to cultivate the potential in managers. Central to this approach is a pervasive
mindset a deep conviction shared by leaders throughout the company that competitive
advantage comes from having better talent at all levels.
Corporate Leadership Council (2003) concluded that as a primary owner of talent
management, HR has many rolesone of the most important is that of facilitator of the
talent mindset. HR leads the way for the organization to own, as an entity, the role of
talent management for organizational success. In the role of business partner, HR works
closely with the board, the CEO and senior management to ensure that they are
committed to talent management work. As talent management facilitator, HR also pays
close attention to how the organization's culture supports talent. Broadly speaking, HR's
role encompasses communicating the talent management philosophy companywide and
knowing the industry competition. In addition, HR needs to develop an integrated and
proactive strategic approach to talent managementthe big picturesas well as
managing critical information, such as tracking turnover and knowing what factors
contribute to retention. To integrate talent management into all areas of the company, HR
also plays a role of change management agent. To drive this change, HR addresses four
diverse talent management activities: recruitment, performance management, leadership
development and organizational strategy. In this role, HR manages four major risks to the
business: 1) vacancy risk (to safeguard key business capabilities, focus on scarce skills
and fit to position); 2) readiness risk (to accelerate leadership development, provide full
business exposure to rising stars); 3) transition risk (to avoid loss of key talent, select
successors with leadership ability and hire for organization capability); and 4) portfolio
risk (to maximize strategic talent leverage, focus on senior management's commitment to
development and performance standards).
Brown, P and Hesketh, A (2004) makes the point that recruitment cannot become the
substitute of poor people management (including skills development). Neither is
recruitment a substitute or compensation for investment in training and development. The
8/6/2019 Rajesh & Sharad
34/58
28
challenge is to find the dormant and obvious talents and build it to the mutual benefit of
both the organisation and the individual.
According to a report by Industrial Relations Counselors, Inc. (2004), managing global
talent has challenges and significant implications for sustainability and growth. A recent
study of global companies, for example, states that companies are concerned about the
development of future leaders capable of navigating the global business environment.
Key findings show that the most important determinant of global talent management
(GTM) success is the degree of involvement by the CEO, the board of directors and the
GTM leader in talent management activities. On average, for example, CEOs spend 16%
of their time speaking publicly about GTM, mentoring high potentials, participating in
talent reviews and approving the succession plans. Board members in 46% of companies
provide input into assessment of key employees and 39% meet with high potentials
during the years.
Morton (2005) observed that Talent management metrics are evolving. As organizations
increasingly focus on talent management strategies, they seek ways to validate these
initiatives and measure their business impact. Many firms are beginning to include talent
management in their dashboards or scorecards. For example, HSBC, a banking and
financial services institution, uses the Balanced Scorecard, with talent management listed
under learning and growth. Scorecards provide a clear "line of sight" to organizational
strategic goals by linking talent management to objectives and performance appraisals.
Measures may include factors such as employee survey results, turnover (e.g., talent
pools) and the number of employees on secondments.
Fegley (2006) observed, Investment in human capital requires careful planning. Under
the talent management umbrella, succession planning and leadership development are
important organizational business strategies to develop and retain talent. As noted in the
2005 Human Capital Index Report, succession planning is also one of the key strategies
to reduce turnover costs." While in the past succession plans were primarily focused on
key leadership roles, organizations are now establishing leadership development and
8/6/2019 Rajesh & Sharad
35/58
29
succession planning initiatives early in the process of employee career development. In
addition, according to SHRM's 2006 Succession Planning Survey Report, 58% of
organizations have either a formal (29%) or informal (29%) succession plan and 26%
plan to develop one. The survey findings note that large organizations (500 or more
employees) and publicly or privately owned for-profit organizations are more likely to
have formal succession plans. The responsibility for implementing succession planning
varies, starting with HR and followed by senior management, the president/CEO and the
chief operating officer. However, not all organizations are jumping on the bandwagon to
develop succession plans; 16% do not intend to do so. The reasons vary, with companies
saying more immediate needs take precedence; some companies have too small a staffsize, while others have not yet considered it, and still others have no support from senior
management.
Tansley et al (2006) claim that talent management requires HR professionals and their
clients to understand how they define talent, who they regard as the talented and what
their typical background might be. It also requires thinking about whether such recruits
should be seen as particularly gifted. If talents are considered to be gifted, then how
many people are we talking about in an organization?
According to Warren (2006), Resourcing strategies are concerned with assessing the
need for talented people and then recruiting and retaining them. The concept of talent
management as a process of ensuring that the organization has the talented people it
needs only emerged in the late 1990s. It has now been recognized as a major resourcing
activity, although its elements are all familiar. Talent management has been called a fad
or a fashion, talent management is an idea that has been around for a long time. Its been
re-labelled, and that enables wise organizations to review what they are doing. It
integrates some old ideas and gives them freshness, and that is good.
As defined by the CIPD (2007), Talent consists of those individuals who can make a
difference to organizational performance, either through their immediate contribution or
in the longer term by demonstrating the highest levels of potential. Talent management
8/6/2019 Rajesh & Sharad
36/58
30
is the process of identifying, developing, recruiting, retaining and deploying those
talented people.
Thorne and Pellant (2007) observed, No organization should focus all its attention on
development of only part of its human capital. What is important, however, is
recognizing the needs of different individuals within its community. The general
consensus seems to be that while talent management does concentrate on obtaining,
identifying and developing people with high potential, this should not be at the expense
of the development needs of people generally.
Younger et al (2007) suggested the approaches required involve emphasizing growthfrom within, regarding talent development as a key element of the business strategy,
being clear about the competencies and qualities that matter, maintaining well-defined
career paths, taking management development, coaching and mentoring very seriously,
and demanding high performance.
Thang, et.al. (2010) said, although there are many advocates of training and its important
role in improving firm performance, it has been criticized as faddish, or too expensive
and not transferring to the job. In fact, some studies have failed to find the impacts of
training on firm performance. This article aims to advance understanding of the effects of
training on firm performance by reviewing theory and previous empirical studies on the
relationship between training and firm performance. The paper aims to describe the
important theoretical approaches and proposes a framework for analyzing training and
firm performance issues. Data from previous studies are used to assess the effects of
training on firm performance. The analysis indicates that the relationship between
training and firm performance may be mediated by employee knowledge and attitude.
Furthermore, capital investment or organisational strategy does moderate the training
performance relationship.
8/6/2019 Rajesh & Sharad
37/58
31
Chapter 4 Research Methodology
4.1 Research Problem
There have been certain arguments and counter arguments on the adaption and
effectiveness of the Talent Management Practices. Whether their effectiveness results in
improved Job Effectiveness, improved Job Satisfaction and better opportunities for
Leadership development or not. And the productivity of the firms adapting them is being
developed with comparison to those who dont.
4.2 Objectives of Research
1. To know about the Talent Management practices adopted by the Manufacturing firmsin Rajkot region.
2. To measure the effectiveness of the Talent Management practices.3. To measure the impact of Talent Management practices on the variables like Job
Effectiveness, Job Satisfaction & Leadership Development.
4.3 Hypotheses
H0= Effectiveness of Talent Management practices have positive impact on Job
effectiveness, Job satisfaction, Productivity and Leadership development of employees.
Ha= Effectiveness of Talent Management doesnt have any positive impact on Job
effectiveness, Job satisfaction, Productivity and Leadership development of employees.
4.4 Research Design
Research Type
In the research, the primary data was collected on the basis of the assumed relationship
among variables. Hypotheses were framed and tests were applied. So, this will be a
Quantitative type of research.
8/6/2019 Rajesh & Sharad
38/58
32
Sampling Method
Sample was chosen through simple random sampling method in which few employees
were selected randomly from the population to fill up the questionnaires.
Sample size
One questionnaire (Talent Management from Management perspective) was filled by
Management of each firm totaling 5. While among the employees 200 questionnaires
were distributed from them 192 were eligible for consideration. Among the firms asample of 42 was drawn from Amul, 68 from Jyoti CNC, 29 from Orbit, 31 from Pelican
and 22 from Balaji.
Data Collection
Primary DataThe primary data was collected through the two questionnaires.
Secondary DataFor some of the background information of the manufacturing industry and the company
information company brochures and internet was used.
Research Tool
As a research tool two types of questionnaires were framed.
For management For employees
In the questionnaire for management number of 13 questions were asked to know the
approach the management has towards adoption of and maintenance of the Talent
Management Practices. All the questions were of dichotomous type.
8/6/2019 Rajesh & Sharad
39/58
33
The questionnaire for employees was divided into 4 parts i.e.
Effectiveness of Talent Management Practices
Job Effectiveness & Productivity Improvement Employee Satisfaction Leadership Development
A total of 33 questions were asked out of which 12 related to effectiveness of talent
management, 7 each were related to Job Effectiveness & Productivity Improvement,
Employee Satisfaction, Leadership Development and Likert Scale was chosen for
employees to respond.
8/6/2019 Rajesh & Sharad
40/58
34
Chapter 5 Data Analysis & Interpretation
Based on the formulated objectives and hypothesis, the data analysis was performed withthe help of three tests
1. Chi-Square test2. Correlation Analysis &3. Analysis of Variance (ANOVA)
The Chi-Square test was performed on the data obtained from the questionnaires filled
from the management side.
The correlation was analyzed of Effective talent management practices with the three
variables.
The analysis of variance was done among the industry regarding the four variables. The
following shows how the three analyses were conducted.
8/6/2019 Rajesh & Sharad
41/58
35
1. Chi-Square Test
Based on the questionnaires filled from the management side the following were theresults found. On these results Chi- Square goodness of fit test was applied.
H0 = The management adopted favorable approach towards Talent Management.
Ha = The management doesnt adopted favorable approach towards Talent Management.
The calculated value = 0.998676 The tabulated value = 21.666
The calculated value is less than the tabulated value. So the null hypothesis gets accepted
and this result that the managements approach towards Talent Management is favorable.
This means the management is adopting the thinking and the approach that will facilitate
effective talent management practices. In the manufacturing industry of Rajkot the firms
are adopting transparent talent management practices, they have high risk approach
towards the individual development.
These firms are also providing high support to the employees in entering in the talent
pool. The opportunities that they provide for the individual development are also good for
effective talent management.
Observed 8 9 9 8 10 9 7 8 10 7
Expected 8.5 8.5 8.5 8.5 8.5 8.5 8.5 8.5 8.5 8.5
Table 1: Chi- Square Table
8/6/2019 Rajesh & Sharad
42/58
36
2. Correlation Analysis
H0 = Effective Talent Management have positive correlation with Job Effectiveness,Productivity, Job satisfaction and Leadership Development.
Ha = Effective Talent Management has negative correlation with Job Effectiveness,
Productivity, Job satisfaction and Leadership Development.
The value of r (Correlation) is very near to 1 in all three cases. This shows that there is
good correlation between them. Effective talent management practices are having a very
good correlation with the three variables. The values of all three correlations between the
variables are very near to 1. The lowest correlation is with employee satisfaction
compared to job effectiveness and leadership development.
Effectiveness of
Talent Management
Job Effectiveness &
Productivity
Improvement
Employee
Satisfaction
Leadership
Development
StronglyAgree
105 54.8 46.6 48.6
Agree 240.6 164 141.6 142.6
Neutral 75.6 20 24.6 33.4
Disagree 36 23.6 44 37.4
Strongly
Disagree3.6 0.8 8.8 7.2
Correlation
Effective
TalentManagement
Job Effectiveness 0.977593
Employee Satisfaction 0.947606
Leadership Development 0.974454
Table 2: Correlation Analysis
8/6/2019 Rajesh & Sharad
43/58
37
3. Analysis of Variance (ANOVA test)
A.Effectiveness of Talent Management PracticesHo = There is no significant variance in the Industry regarding Effectiveness of Talent
Management.
Ha = There is significant variance in the Industry regarding Effectiveness of Talent
Management.
Amul BalajiJyoti
CNCOrbit Pelican
Strongly Agree 99 61 209 76 80
Agree 293 127 352 207 224
Moderate 74 43 161 48 52
Disagree 36 29 83 16 16
Strongly Disagree 1 4 11 2 0
Chart 1: Effectiveness of Talent Management Practices
Table 3: ANOVA of Effectiveness of Talent Management Practices
8/6/2019 Rajesh & Sharad
44/58
38
The chart depicts in all 5 firms the talent management practices are very much effective
as in all the cases, around 80% of the respondents are on the satisfied side from the total
sample.
ANOVA
Source of Variation SS df MS F F crit
Between Groups 37412.56 4 9353.14 1.003174762.866081402
Within Groups 186470.8 20 9323.54
Total 223883.4 24
The calculated value is less than critical (tabulated). So, the null hypothesis gets
accepted which results that there is no significant difference among the industry
regarding effectiveness of talent management.
This shows that in the firms in the manufacturing industry of Rajkot region follow the
same trend regarding the effectiveness of the talent management practices. The ANOVAresults in the calculated value of F around 1 which is very less than the tabulated value of
2.87. This proves there is no variance among the industry units regarding the
effectiveness of talent management practices.
Table 3: ANOVA of Effectiveness of Talent Management Practices
8/6/2019 Rajesh & Sharad
45/58
39
B. Job effectiveness & Productivity improvement
Ho = There is no significant variance in the Industry regarding Job Effectiveness &Productivity Improvement.
Ha = There is significant variance in the Industry regarding Job Effectiveness &
Productivity Improvement.
Amul BalajiJyoti
CNCOrbit Pelican
Strongly Agree 61 36 97 40 40
Agree 173 89 262 141 155
Moderate 32 14 46 4 4
Disagree 28 13 41 18 18
Strongly Disagree 0 2 2 0 0
Chart 2: Job effectiveness & Productivityimprovement
Table 4: ANOVA of Job effectiveness & Productivityimprovement
8/6/2019 Rajesh & Sharad
46/58
40
The chart depicts that the employees feel that due to the talent management practices
there has been an improvement in the job effectiveness and the productivity has also
inproved.
ANOVA
Source of Variation SS Df MS F F crit
Between Groups 10556.56 4 2639.14 0.556468311 2.866080706
Within Groups 94853.2 20 4742.66
Total 105409.76 24
The calculated value is less than critical (tabulated). So, the null hypothesis gets
accepted which results that there is no significant difference among the industry
regarding Job Effectiveness & Productivity Improvement.
This shows that in the firms in the manufacturing industry of Rajkot region follow the
same trend regarding Job effectiveness and productivity improvement. The ANOVA
results in the calculated value of F around 0.55 which is very less than the tabulated value
of 2.87. This proves there is no variance among the industry units regarding Job
effectiveness and productivity improvement.
Table 4: ANOVA of Job effectiveness & Productivityimprovement
8/6/2019 Rajesh & Sharad
47/58
41
C. Employee Satisfaction
Ho = There is no significant variance in the Industry regarding Employee Satisfaction.
Ha = There is significant variance in the Industry regarding Employee Satisfaction.
Amul BalajiJyoti
CNCOrbit Pelican
Strongly Agree 45 28 122 18 20
Agree 180 75 203 123 127
Moderate 35 16 38 16 18
Disagree 32 30 86 33 39
Strongly Disagree 2 5 27 5 5
Chart 3: Employee Satisfaction
Table 5: ANOVA of Employee Satisfaction
8/6/2019 Rajesh & Sharad
48/58
42
The chart depicts positive relation of effective talent management practices on the
employees job satisfaction. It shows around 80% of job satisfaction among the industry
workforce.
ANOVA
Source of Variation SS Df MS F F crit
Between Groups 13143.44 4 3285.86 1.069177356 2.866080706
Within Groups 61465.2 20 3073.26
Total 74608.64 24
The calculated value is less than critical (tabulated). So, the null hypothesis gets
accepted which results that there is no significant difference among the industry
regarding Employee Satisfaction.
This shows that in the firms in the manufacturing industry of Rajkot region follow the
same trend regarding Employee satisfaction. The ANOVA results in the calculated value
of F around 1 which is very less than the tabulated value of 2.87. This proves there is no
variance among the industry units regarding Employee satisfaction.
Table 5: ANOVA of Employee Satisfaction
8/6/2019 Rajesh & Sharad
49/58
43
D. Leadership Development
Ho = There is no significant variance in the Industry regarding Leadership Development.
Ha = There is significant variance in the Industry regarding Leadership Development.
Amul BalajiJyoti
CNCOrbit Pelican
Strongly Agree 44 30 132 17 20
Agree 181 69 212 122 129
Moderate 32 20 44 34 37
Disagree 34 29 65 29 30
Strongly Disagree 3 6 25 1 1
Chart 4: Leadership Development
Table 6: ANOVA of Leadership Development
8/6/2019 Rajesh & Sharad
50/58
44
The chart depicts that because of few of the talent management practices like challenging
jobs and employee initiation plans, the employees feel that there has been huge scope for
their leadership development.
ANOVA
Source of Variation SS Df MS F F crit
Between Groups 12918.16 4 3229.54 1.00807826 2.866080706
Within Groups 64073.2 20 3203.66
Total 76991.36 24
The calculated value is less than critical (tabulated). So, the null hypothesis gets
accepted which results that there is no significant difference among the industry
regarding Leadership Development.
This shows that in the firms in the manufacturing industry of Rajkot region follow the
same trend regarding Leadership development. The ANOVA results in the calculated
value of F around 1 which is very less than the tabulated value of 2.87. This proves there
is no variance among the industry units regarding Leadership development.
Table 6: ANOVA of Leadership Development
8/6/2019 Rajesh & Sharad
51/58
45
Chapter 6 Conclusion
After testing the hypothesis with the help of Chi-Square test, ANOVA test, the followingconclusions were drawn.
The firms in the manufacturing industry of Rajkot region are very much aware of the
importance of Talent Management practices and its impact on the organizations
performance.
These firms have adopted and maintained the Talent Management Practices very well and
their effectiveness is also high which has resulted into improved performance of the
employees and the organization as well.
There is positive correlation of Talent Management Practices with Employees job
effectiveness, his satisfaction with the job and leadership development.
On the basis of ANOVA test a conclusion can be drawn that there is no significant
variance among the industry firms regarding the four variables.
6.1 Managerial Implications of the research
The research was conducted to identify the impact Talent Management has over Job
Effectiveness, Job Satisfaction and Leadership Development. This research will provide
evidence of the positive impact Talent Management has over the three variables.
The research will guide the management in providing effective Talent Management
programs and to know where the employees are lagging behind and identify the factors
which will help in developing future leaders.
8/6/2019 Rajesh & Sharad
52/58
46
6.2 Limitations of the research
The researchers faced some difficulties in getting the questionnaires filled in the lastphase. Because of the end days of the accounting year few of the firms and employees
refused to fill up the questionnaires.
There was no uniformity in the answers of the employees and responses were ambiguous.
In some of the firms there were no provisions for certain talent management practices so
the questions relating to them were left unanswered.
The questionnaire contained some of the typical HR terminologies which were not easily
understood by some of the workers. So the questionnaires had to be filled up personally.
At some organizations the researcher provided some questionnaires out of them some
returned half filled and had to be rejected.
6.3 Scope for Future Research
The research was limited to the Manufacturing Industries of Rajkot region only. There is
large scope to carry out this research in other industries like IT, Service, Banking and
many other sectors. This kind of research will define the trends followed in the adaption
of the Talent Management Practices in different Regions.
Effective Talent Management practices will ultimately results in improved financial
performance. So, Researchers defining Correlation between Talent Management
Practices and the firms financial performance of Manufacturing or any other Industry
can be another area of research.
In this era of competition, the Talent Management practices have its own importance in
the battle of survival. A comparative research can be carried out comparing the firms
which have adopted the Talent Management practices and the firms which dont have any
kind of Talent Management practices and how it affects the firms performance.
8/6/2019 Rajesh & Sharad
53/58
47
References
Brown, P & Hesketh, A. The Mismanagement of Talent. 2004. Oxford University Press
Chartered Institute of Personnel and Development (CIPD) (2007) Talent Management:
Understanding the dimensions, CIPD, London
Corporate Leadership Council (2003). High-impact succession management: From
succession planning to strategic executive talent management. Retrieved January 27,
2009, from www.executiveboard.com
Fegley, S. (2006). 2006 succession planning survey report. Alexandria, VA: Society for
Human Resource Management.
Industrial Relations Counselors, Inc. (2004). IRC survey of global talent management
practices. Retrieved January 12, 2010, from www.orcinc.com
Kozlowski, S., Brown, K., Weissbein, D., Cannon-Bowers, J., & Salas, E. (2000). A
multi-level approach to training effectiveness. In K. Klein, & S. Kozlowski (Eds.),
Multi-level theory, research, and methods in organizations: Foundations, extensions,
and new directions (157-210). San Francisco, CA: Jossey-Bass Publishers
Lewis, B.O. (2000). Leadership Strategies for Change and Retention. Presentation given
at Human Resources Management Association of Chicago meeting.
Michaels, E G, Handfield-Jones, H and Axelrod, B (2001) The War for Talent, Harvard
Business School Press, Boston, MA
Michael Armstrong (2010). Armstrongs Essential Human Resource Management
Practice, Kogan Page Limited, pp. 203-208.
Morton, L. (2005). Taient management vaiue imperatives: Strategies for execution. New
York: The Conference Board.
8/6/2019 Rajesh & Sharad
54/58
48
Pfeffer, J (2001) Fighting the war for talent is hazardous to your organizations health,
Organizational Dynamics, 29 (4), pp 24859
Tansley, C., Harris, L., Stewart, J., & Turner, P. 2006. Talent Management:
Understandingthe Dimensions. In CIPD (Ed.), Change Agenda: 1-16. London: CIPD.
Thang, N. N., Quang, T. & Buyens, D. (2010). The Relationship between Training and
Firm Performance: A Literature Review, Research and Practice in Human Resource
Management, 18(1), 28-45.
Thorne, K and Pellant, A (2007) The Essential Guide to Managing Talent, Kogan Page,
London
Warren, C (2006) Curtain call, People Management, 23 March, pp 2429.
Younger, J, Smallwood, N and Ulrich, D (2007) Developing your organizations brand as
a talent developer,Human Resource Planning, 30 (2), pp 2129.
8/6/2019 Rajesh & Sharad
55/58
49
Questionnaire on Talent Management
(from Management Perspective)
1. How m any employees does your organisation have?
1-25 2650 51100 101-250
2511000 10015000 10000 or more
2. W hat is the annual turnover of your organization___________________________
3. Think for a minute about the formal and informal aspects of your organizations
performance management. What has more serious consequences on peoples careerprogression?
Achieving tangible outcomes Demonstrating desired behaviors
4. Where do you focus individual development activities; primarily on strengths or
weaknesses?
Strengths Weaknesses
5. What level of support do you provide to your talent pool Low or High?
Low High
6. Who is included in the Talent pool just a select few or everyone?
Select Few Everyone
7. How transparent is your Talent Management system?
Opaque Transparent
8. How do peoples career progress once they have been identified as talent? Via the
standard route but in an accelerated manner, or via diverse routes that consider
individual skills?
Accelerated route Differentiated route
9. Is Talent Management owned by the business unit, or is shared around the
organisation?
Business Unit Shared around organisation
Annexure
49
8/6/2019 Rajesh & Sharad
56/58
50
10. How much risk is the organisation prepared to tolerate regarding promotions and
development opportunities?
High risk approach Low risk approach
11. How easy it is for the employee to enter the Talent Pool?
Easy Difficult
12. Manageement Style adopted
Paternalistic Autocratic
Democratic Laissez-faire
13. What Talent Management Practices do you have?
Effective Compensation Management Job Challenges and opportunities
Career Development Rewards and Recognition
Work-life Balance Training and Development Opportunities
Succession Planning Leadership Development
Performance Management Pre-hire Assessment
Competency Building and Competency Mapping
Job Autonomy and Decision making authority Others, specify____________________________________________________________
Thank You
8/6/2019 Rajesh & Sharad
57/58
51
Questionnaire on Talent Management(from Employee Perspective)
To respond use the below mentioned scale and in the suitable box.
1. Strongly Agree 2. Agree 3. Neutral/Cant say
4. Disagree 5. Strongly Disagree
1. Effectiveness of Talent Management practices
Que
No.Questions 1 2 3 4 5
1 I view this job challenging
2 I feel job suits my educational qualification
3I feel I am paid with a performance linkedsalary?
4 I feel no stress in doing my job
5 I am satisfied with my succession plan
6I get sufficient opportunities for my career togrow
7I feel my performance is measuredeffectively
8 I get regular feedback on my performance
9 I feel there is huge scope in the organization formy competencies to develop
10The training & Development practices haveimproved my performance
11 My leadership qualities have nurtured
12I feel TM practices have resulted into improvedjob effectiveness
2. Job Effectiveness & Productivity Improvement
1Improvement in Level of my efficiency &effectiveness in organization.
2 Capability to work under stress.3 Commitment towards responsibility.
4 Effectiveness when work in team.5 Effectiveness when work individually.
6Coordination and cooperation among employeesand department.
7Awareness regarding job content, related skillsand competencies.
8/6/2019 Rajesh & Sharad
58/58
3. Employee Satisfaction
1Satisfied with the kind of training anddevelopment program.
2 Satisfy with the role in the organization.
3Satisfied with the freedom in work and workingconditions.
4 Satisfied with the pay scale.
5Satisfied with the skills and personaldevelopment opportunities.
6 Health and care benefits.
7 Job security.
4. Leadership Management
1 My top management believes in mycapabilities?
2My organization provides sufficient autonomyin doing my job?
3I am called upon to plan initiatives for myorganization.
4 New and challenging tasks are provided to me.
5
Flexibility to Alter and deviate individual work
plan to suite to the changing needs of theorganization and the department
6I am enthusiastic and maintain a positive attitude
every day for the sake of my team members.
7 I am given the tasks which I am good at.
Thank You