TALENT MANAGEMENT
PRACTICES AND EMPLOYEE SATISFACTION: A STUDY OF SELECT CEMENT INDUSTRIES OF
RAJASTHAN
Satish Chandra Agarwal
Research Scholar
MewarUniversity ,Chittorgarh (Raj.)
Prof.Dr.Rajeev Jain
Dean and Head
Deptt of Commerce and Management
University of Kota, Kota
INTRODUCTION
Talent Management is the end-to-end
process of planning, recruiting, managing, assessing, developing maintaining
& compensating human resources in an organisation. It is also called Human
Capital Management.
Talent management describes the process
through which all organizations anticipate their human capital needs and set
about meeting them.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.
IMPORTANCE
OF TALENT MANAGEMENT
Talent Management market has surpassed
$5bn in year 2014 with a growth rate of 17% over previous year. The market is
expected to surpass $6bn by next year. The importance of Talent Management can
be judged by the fact that 85% of organisations are experiencing recruitment
difficulties, 77% of organisations are experiencing retention problems, 53% of
employees leaving job reported greater promotion or development opportunities
outside the company, 60% of HR Directors said they would not re-employ their
workforce and 80% of people leave their managers not their job; according to a
study by Bersin& Associates.
The Employment Policy Foundation, USA estimated
the cost of losing staff at around$15,000per employee. McKinsey found that 75
percent ofcorporate officers wereconcerned about talent shortages and Deloitte reported
that retaining the best talent is atop priority for 87 percent of surveyed HR directors.
A survey released by ORC Worldwide, a
New York-based provider of human resource management consulting and data
services found that 62% top HR executives rated talent management as most
strategic issue, 33% felt that talent management, encompassing acquisition,
assessment, development and retention of a workforce will consume majority of
their time and 7.7% felt that “Cultural Transformation” & “Pay for
Performance” will be their major concern. Among the most important issues
ranked by HR executives, leadership development, succession planning, workforce
planning, compensation and diversity ranked at the top.
TALENT MANAGEMENT FRAMEWORK
Talent Management and Organization
Development (TMOD) at Johns Hopkins University has created an integrated
frameworkmodel (Figure 1)which illustrates key talent management processes that
have been designed and developed to ensure that organisations attract, retain,
and engage talented employees.
Key
talent management processes include:
· WORKFORCE
PLANNING
Workforce Planning involves the
intentional and strategic projection and planning of access to talent,either
internal or external with the skills, knowledge, and behaviours essential for
the achievement of the organization’s strategic objectives and/or demands.Integrated
with the business plan, this process establishes workforce plans, hiring plans,
compensation budgets, and hiring targets for the year.

Source:
Johns Hopkins University
Fig 1: Talent Management
Framework
·
ONBOARDING
Onboarding is the process of acclimating
new hires and ensuring that they quickly feel welcomed and valued by their
organizations. This process enables a quick integration of new employees to
become productive members of the organization, who understand expectations for
their job roles.
·
STRATEGIC
PLAN/GOAL ALIGNMENT
Strategic Plan or Goal Alignment is the
process of developing and implementing plans to reach an organization’s
long-term goals and objectives. It is the roadmap to lead an organization from
where it is now to where it would like to be in 3-5 years.
·
PERFORMANCE
MANAGEMENT
Performance Management involves an
ongoing, continuous process of communicating and clarifying job
responsibilities, priorities, performance expectations and development planning
that optimize an individual’s performance and align with organizational
strategic goals.
·
360°
ASSESSMENTS
360-degree feedback is an assessment
tool that provides employees & their leaders with feedback about their
performance. Supervisors, peers, and direct reports answer questions based on
their perceptions and observations of the leader’s skills and attributes.
·
EXECUTIVE
COACHING
A helping relationship between a client
and a consultant, who uses a wide variety of behavioural techniques and
methods, to assist the client to achieve mutually identified goals to improve
professional performance and personal satisfaction in an effort to improve the
effectiveness of the client’s organization.
·
LEADERSHIP
DEVELOPMENT
Leadership Development involves intentional
goal-driven activities that enhance the quality of leadership abilities or
attitudes within an individual or organization.
·
PROFESSIONAL
DEVELOPMENT
Professional Development is the process
of establishing training goals and plans that link to individual goal
attainment, career planning, and possible succession planning.
·
CAREER
PATHING/CAREER DEVELOPMENT
Career Pathing or Development involves how
the organization structures the career progress of their members, and the
individual’s process for identifying job opportunities within an organization’s
structure, and the sequential steps in education, skills, and
experience-building needed to attain specific career goals.
·
RECOGNITION
PROGRAMS
Recognition Programs include method of
acknowledging, honouring, encouraging, and supporting individuals and teams who
contribute, through behaviours and actions, to the success of the organization.
·
COMPENSATION
Compensation is a way to reward
individuals for important work accomplishments, contributions to the goals of
the organisation and increased skills & competencies in their jobs.
·
SUCCESSION
MANAGEMENT
Succession management is a process for
identifying and developing internal personnel with the potential to fill key or
critical organizational positions. Succession management ensures the
availability of experienced and capable employees that are prepared to assume
these roles as they become available. This function must be aligned with the
business plan to understand and meet requirements for key positions 3-5 years
out.
·
BRAND
A career is much more than a job. The
organization should be a recognized leader in its business, customer relations
and research, and should be a great place to both develop professionally and
make a difference.
·
DIVERSITY/INCLUSION
Diversity represents a group comprised
of individuals with similar and different experiences and backgrounds. Some of
these differences include race, colour, religion, gender, national origin,
sexual orientation, age, disability, veteran status, and ethnicity, but there
are many other dimensions of diversity. “Diversity” does not address how people
with different backgrounds and experiences function or work together. “Inclusion”
is a sense of belonging: feeling respected, valued for who you are; feeling a
level of supportive energy and commitment from others so than you can do your
best work.
·
ENGAGEMENT
The extent to which employees are
committed to their organization’s goals and values, motivated to contribute to
organizational success, and are able at the same time to enhance their own sense
of well-being is a measure of engagement with the organization.
·
COMPETENCIES
Competencies are those measurable
behaviours, characteristics, abilities and personality traits that identify
successful employees against defined roles within an organization.
·
RETENTION
A systematic effort focused not only on
retaining an organization’s talented performers but also to create and foster a
welcoming work environment and high-retention culture. The end result is
an organization that operates more effectively and efficiently, while becoming
a great place to work.
BENEFITS OF TALENT MANAGEMENT
Efficient Talent Management Practices in
an organization can bring wide range of benefits contributing to its success
and competitive advantage. The range of benefits may include:
·
Right
Person in the right Job: Through a proper assessment of employee
skills and strengths allows the organization can have stock of skill
inventories it possesses. This assessment can be used for competency mapping by
the organization resulting in deployment of right person in the right position
and increasing employee productivity. Also it increases alignment between an
individual’s interests and his job profile therebyincreasing the job
satisfaction.
·
Retaining
the top talent: Despite changes in the global economy, attrition
remains a major concern of organizations. Retaining top talent is important to
leadership and growth in the marketplace. Organisations that fail to retain
their top talent are at the risk of losing out to competitors. The focus is now
on charting employee retention programs and strategies to recruit, develop,
retain and engage quality people. Employee growth in a career has to be taken
care of, while succession planning is being performed for those who are on the
radar need to be kept in loop so that they know their performance is being
rewarded.
·
Better
Hiring:
The quality of an organization is the quality of workforce it possesses. The
best way to have talent at the top is to have talent at the bottom. Thus,
talent management programs, trainings and hiring assessments have become an
integral aspect of HR processes nowadays.
·
Understanding
Employees Better: Employee assessments give management deep
insights about their employees, viz. their development needs, career
aspirations, strengths and weaknesses, abilities, likes and dislikes. It is
easier therefore to determine what motivates whom and this helps a lot in Job
enrichment process.
·
Better
professional development decisions: When an
organization knowsabout its high potential employees, it becomes easier to
invest in their professional development. An organization remains bothered since
employee development calls for investment decisions towards learning, training
and development of the individual either for growth, succession planning,
performance management, etc. and talent management just make this easier for them.
·
Succession
Planning:Employee Assessments & Competency Mapping can also be utilized for
mapping people against the future initiatives of the company and for succession
planning.
Apart from these, other
benefits include:
·
Predictability of performance
·
Higher customer satisfaction rates
·
Lower employee turn-over
·
Increased profits as a result of right people/right time
·
Increased revenue as a result of efficiencies
·
Increased employee engagement
·
Assurance of stable management team today and in future
RATIONALE OF THE STUDY
Talent Management is one of
the most crucial challenges that the organizations are facing in the coming
years. The shortage of talent supply; recruitment difficulties; orientation,
training & development programmes; performance appraisal & rewards,
retention issues and succession planning are making the task tougher. But, lack
of proper talent management practices will result in attrition, i.e. loss of
talent and the organizations will their competitive advantage. Shifting of talent
is not only a financial loss, recruitment, orientation & training costs
incurred by the organization, but also loss of information and knowledge
transfer which is a major loss in terms of competitive strength of the
organization.
OBJECTIVES OF THE STUDY
·
To analyse the satisfaction level of employees with talent
management practices implemented in their organizations.
·
To analyse the impact of different parameters on level of employee
satisfaction with talent management practices.
RESEARCH METHODOLGY
The study is intended to
analyse the executive employee perception and satisfaction regarding the talent
management practices in their organizations and will help to control attrition
by identifying the lacunas in the talent management system in the organization.
The study will involve a
questionnaire survey of executives of 5 selected cement plants in Rajasthan,
viz., Ambuja Cement Ltd., Rabariawas, Pali; Birla Cement Works, Chanderiya, Chittorgarh;
J.K. Cement Works, Nimbahera, Chittorgarh; UltraTech Cement, Shambhupura, Chittorgarh
and Wonder Cement, NimbaheraChittorgarh.
For the study, a
questionnaire has been prepared. The questionnaireis divided in two parts. First
part consists of demographic details, viz. age, experience, designation,
organization and no. of years working in present organization. The second part
of questionnaires consists of 20 Likert scale based questions relating to
talent management practices in the organization. The questions are divided into
four categories: Compensation & Benefits, Growth & Learning Opportunity,
Organisation Culture & Policy and Interpersonal Relationship.
A sample of 150 executives,
30 from each cement plant have been considered for the study on the basis of
convenience sampling. The sample size of 150 has been chosen considering the
limitations of resources.
HYPOTHESES FOR THE STUDY
H01: There is no
significant relationship between the age of the employees and their
satisfaction with the practices of talent management.
H02: There is no
significant relationship between the experience of the employees and their
satisfaction with the practices of talent management.
H03: There is no
significant relationship between the satisfaction levels of employees in
various organizations with the practices of talent management.
H04: There is no
significant difference in the impact of different parameters on the level of
employees' satisfaction with the practices of talent management in the
organization.
DATA ANALYSIS AND
INTERPRETATION
The questionnaires were sent to 150
executives, 50 in each of the selected cement industry, of which 133 filled
questionnaires were received. Of these, 10 were rejected for incomplete
information and the remaining 123 responses have been tabulated and analysed.
The data collected showed that most of the executives are satisfied with the
talent management practices in their organizations.
HYPOTHESIS I
H01: There is no
significant relationship between the age of the employees and their
satisfaction with the practices of talent management.
For testing the first hypothesis, Chi -
square test has been conducted to extend the relationship between the age of
the employees and level of satisfaction regarding thepractices of talent
management.The age of the employees has been divided into four categories; viz.
from 20 - 29 years, 30 - 39 years, 40 - 49 years and 50 years & above.
Table 1 & 2 show the observed and the expected values, table 3 shows the
calculation of chi-square and Table 4 shows the comparison of chi-calculated
and chi-tabulated at 3 degrees of freedom.
Table 1: Table of Observed Values
with Age
Age/Scores
|
High Score
|
Average Score
|
Total
|
20-29
|
27
|
0
|
27
|
30-39
|
38
|
1
|
39
|
40-49
|
35
|
1
|
36
|
50& above
|
20
|
1
|
21
|
|
120
|
3
|
123
|
Table 2: Table of Expected Values
with Age
Age/Scores
|
High Score
|
Average Score
|
Total
|
20-29
|
26.34
|
0.66
|
27
|
30-39
|
38.05
|
0.95
|
39
|
40-49
|
35.12
|
0.88
|
36
|
50& above
|
20.49
|
0.51
|
21
|
|
120
|
3
|
123
|
Table 3: Calculation for
Chi-Square Values
Observed
|
Expected
|
O-E
|
(O-E)2
|
(O-E)2/E
|
27
|
26.34
|
0.66
|
0.43367
|
0.01646341
|
38
|
38.05
|
-0.05
|
0.00238
|
0.00006254
|
35
|
35.12
|
-0.12
|
0.01487
|
0.00042344
|
20
|
20.49
|
-0.49
|
0.23795
|
0.01161440
|
0
|
0.66
|
-0.66
|
0.43367
|
0.65853659
|
1
|
0.95
|
0.05
|
0.00238
|
0.00250156
|
1
|
0.88
|
0.12
|
0.01487
|
0.01693767
|
1
|
0.51
|
0.49
|
0.23795
|
0.46457607
|
Total
|
1.17111569
|
Table 4: Chi-Square Values
Degree of significance
|
0.05
|
Degree of Freedom
|
3
|
Chi calculated
|
1.17
|
Chi tabulated
|
7.81
|
Degree of freedom = (R - 1) X (C - 1) =
(4 - 1) X (2 - 1) = 3 X 1 = 3
Table value = 7.81
Calculated value = 1.17
Interpretation
Since the calculated value is smaller
than the table value,so the null hypothesis is accepted. Hence, there is no
significantrelationship between the age of the employees and their satisfaction
with the practices of talent management or age of employees is independent from
satisfaction with the practices of talent management.
HYPOTHESIS II
H02: There is no significant
relationship between the experience of the employees and their satisfaction
with the practices oftalent management.
For testing the second hypothesis, Chi -
square test has been conducted to extend the relationship between the experience
of the employees and level of satisfaction regarding thepractices of talent
management. The experience of the employees has been divided into four
categories; viz. from 0 - 9 years, 10 - 19 years, 20 - 29 years and 30 years
& above. Table 5 and 6 show the observed and the expected values, table 7
shows the calculation of chi-square and Table 8 shows the comparison of
chi-calculated and chi-tabulated at 3 degrees of freedom.
Table 5: Table of Observed Values
with Experience
Experience/Scores
|
High Score
|
Average Score
|
Total
|
0-9
|
43
|
2
|
45
|
10-19
|
41
|
0
|
41
|
20-29
|
24
|
0
|
24
|
30 & above
|
12
|
1
|
13
|
|
120
|
3
|
123
|
Table 6: Table of Expected Values
with Experience
Experience/Scores
|
High Score
|
Average Score
|
Total
|
0-9
|
43.90
|
1.10
|
45
|
10-19
|
40.00
|
1.00
|
41
|
20-29
|
23.41
|
0.59
|
24
|
30 & above
|
12.68
|
0.32
|
13
|
|
120
|
3
|
123
|
Table 7: Calculation for
Chi-Square Values
Observed
|
Expected
|
O-E
|
(O-E)2
|
(O-E)2/E
|
43
|
43.90
|
-0.90
|
0.81440
|
0.01855014
|
41
|
40.00
|
1.00
|
1.00000
|
0.02500000
|
24
|
23.41
|
0.59
|
0.34265
|
0.01463415
|
12
|
12.68
|
-0.68
|
0.46639
|
0.03677298
|
2
|
1.10
|
0.90
|
0.81440
|
0.74200542
|
0
|
1.00
|
-1.00
|
1.00000
|
1.00000000
|
0
|
0.59
|
-0.59
|
0.34265
|
0.58536585
|
1
|
0.32
|
0.68
|
0.46639
|
1.47091932
|
Total
|
3.89324786
|
Table 8: Chi-Square Values
Degree of significance
|
0.05
|
Degree of Freedom
|
3
|
Chi calculated
|
3.89
|
Chi tabulated
|
7.81
|
Degree of freedom = (R - 1) X (C - 1) =
(4 - 1) X (2 - 1) = 3 X 1 = 3
Table value = 7.81
Calculated value = 3.89
Interpretation
Since the calculated value is smaller
than the table value. So the null hypothesis is accepted. Hence, there is no
significant relationship between the experience of the employees and
theirsatisfaction with the practices of talent management or the
satisfactionwith the practices of talent management does not differ with
experience of employees.
HYPOTHESIS III
H03: There is no significant
relationship between the satisfaction levels of employees of various
organizations with the practices oftalent management.
For testing the third hypothesis, Chi -
square test is conducted to extend the relationship between the employees of
various organizations and level of satisfactionregarding the practices of
talent management. The respondents have been classified on the basis of
organizations they are working in, at present. The respondents are from the
five selected cement industries, viz. Ambuja Cements Ltd. (ACL), Binani Cement
Works (BCW), J. K. Cement Ltd. (JK), Ultra Tech Cement Ltd. (UT) and Wonder
Cement Ltd. (WCL). Table 9 and 10 show the observed and the expected values,
table 11 shows the calculation of chi-square and Table 12 shows the comparison
of chi-calculated and chi-tabulated at 4 degrees of freedom.
Table 9: Table of Observed Values
with Organisation
Age/Scores
|
High Score
|
Average Score
|
Total
|
ACL
|
23
|
0
|
23
|
BCW
|
22
|
2
|
24
|
JK
|
27
|
1
|
28
|
UT
|
29
|
0
|
29
|
WCL
|
19
|
0
|
19
|
|
120
|
3
|
123
|
Table 10: Table of Expected
Values with Organisation
Age/Scores
|
High Score
|
Average Score
|
Total
|
ACL
|
22.44
|
0.56
|
23
|
BCW
|
23.41
|
0.59
|
24
|
JK
|
27.32
|
0.68
|
28
|
UT
|
28.29
|
0.71
|
29
|
WCL
|
18.54
|
0.46
|
19
|
|
120
|
3
|
123
|
Table 11: Calculation for
Chi-Square Values
Observed
|
Expected
|
O-E
|
(O-E)2
|
(O-E)2/E
|
23
|
22.44
|
0.56
|
0.31469
|
0.01402439
|
22
|
23.41
|
-1.41
|
2.00119
|
0.08546748
|
27
|
27.32
|
-0.32
|
0.10054
|
0.00368031
|
29
|
28.29
|
0.71
|
0.50030
|
0.01768293
|
19
|
18.54
|
0.46
|
0.21475
|
0.01158537
|
0
|
0.56
|
-0.56
|
0.31469
|
0.56097561
|
2
|
0.59
|
1.41
|
2.00119
|
3.41869919
|
1
|
0.68
|
0.32
|
0.10054
|
0.14721254
|
0
|
0.71
|
-0.71
|
0.50030
|
0.70731707
|
0
|
0.46
|
-0.46
|
0.21475
|
0.46341463
|
Total
|
5.43005952
|
Table 12: Chi-Square Values
Degree of significance
|
0.05
|
Degree of Freedom
|
4
|
Chi calculated
|
5.43
|
Chi tabulated
|
9.49
|
Degree of freedom = (R - 1) X (C - 1) =
(5 - 1) X (2 - 1) = 4 X 1 = 4
Table value = 9.49
Calculated value = 5.43
Interpretation
Since the calculated value is smaller
than the table value. So the null hypothesis is accepted. Hence, there is no
significant relationship between employees in various organizations and
theirsatisfaction with the practices of talent management or employees of
various organizations have same satisfaction levels with the practices of
talent management.
HYPOTHEIS
IV
H04: There is no significant
difference in the impact of different parameters on the level of employee
satisfaction with the practices of talent management in the organization.
For the fourth hypothesis, ANOVA has
been used to analyse the impact of different parameters on the level of
employee satisfaction with the talent management practices in the organization.
ANOVA helps to analyse whether there is significant variation in the given
samples (more than two) for the parameters being tested.
For this purpose, the 20 questions have
segregated into 4 different groups:
Compensation & Benefits – X1
Growth & Learning Opportunity – X2
Organisation Culture & Policy – X3
Interpersonal Relationship – X4
Table 13 represents the average score of
all the executive respondents for the five questions in each of the four
groups. Table 14 represents the total, average and variance of the responses in
each of the four groups. Table 15 represents the sum of squares, degrees of
freedom and mean square score between and within the groups, the calculated
F-score, p-value and the F-critical values.
Table 13: Average & Total
Score for each of 5 questions in the four groups
|
X1
|
X2
|
X3
|
X4
|
1
|
4.23
|
4.25
|
4.45
|
4.18
|
2
|
4.14
|
4.31
|
4.16
|
4.40
|
3
|
4.51
|
4.29
|
4.29
|
4.30
|
4
|
4.28
|
4.31
|
4.17
|
4.23
|
5
|
4.40
|
4.35
|
4.46
|
4.23
|
Total
|
21.56
|
21.51
|
21.53
|
21.34
|
Table 14: Total, Average and
Variance in the four groups
Groups
|
Count
|
Sum
|
Average
|
Variance
|
X1
|
5
|
21.56
|
4.312
|
0.02107
|
X2
|
5
|
21.51
|
4.302
|
0.00132
|
X3
|
5
|
21.53
|
4.306
|
0.02113
|
X4
|
5
|
21.34
|
4.268
|
0.00727
|
Table 15: ANOVA Calculations
Source of Variation
|
SS
|
df
|
MS
|
F
|
F critical
|
Between Groups
|
0.001172
|
3
|
0.000391
|
0.030767
|
3.24
|
Within Groups
|
0.203160
|
16
|
0.012698
|
Interpretation
We observe that the calculated F value
(0.30767) is less than the F critical value (3.24) at the respective degrees of
freedom and 5% level of significance. Thus, the null hypothesis is accepted,
i.e., there is no significant difference in the impact of different parameters
upon the level of employees' satisfaction with the practices of talent
management in the organization.
CONCLUSION
The study indicates that all the
executives are satisfied with the talent management practices in their
organisation as most of the responses received were in strongly agree and agree
categories. This was also evident from the fact that many employees have been
working in the present organisations for long periods with a large number
having worked in one single organisation since the beginning of the career
never switching the job.
The analysis clearly shows that there is
no difference in the satisfaction level of employees among different age
groups, experience and organizations. All the executives are highly satisfied
with the talent management practices in their organizations. The analysis also
indicated that there was no difference in the impact of the four parameters on
the satisfaction level of employees with talent management practices in their
organizations.