Ideally, Talent and Strategy Fit Together
Our organizational alignment research found that when talent and strategy fit together, they account for 60% of the difference between high and low performing companies in terms of profitable revenue growth, customer retention, leadership effectiveness, and employee engagement. Just imagine the opposite. How would you expect a company to perform if their talent and strategy for success were misaligned?
What Is Your Competitive Advantage?
When all is said and done, how would you vote when asked to define your company’s greatest competitive advantage?
A Talent Advantage is Difficult to Replicate
For companies who do not have the right talent they need, it typically takes time and a concerted effort to attract, develop, engage and retain the level of talent required to set a company apart. If yours is the company with the right talent in the right roles, this is most likely your true advantage that is difficult to replicate.
In fact, a recent article in HRO Today cites research by Steven Joyce that top-performing talent management organizations posted earnings that are 15 percent higher than their peers. No surprise to us.
How To Build and Sustain a Talent Advantage
Now the question becomes how can you build and sustain a talent advantage? You want to be able to attract, retain, manage, and engage top talent where it counts for your organization. This is your challenge — to manage your workforce so that you have the right people with the right skills in the right jobs at the right time.
For example, if you have determined that your business strategy for success is to create a customer-focused culture, then you must hire, develop, and reward for the customer-facing skills, competencies and attitudes that promote customer intimacy and satisfaction.
Have you mapped your talent to your business strategy?
Is your succession planning pipeline up to par?
Be sure they are ready and willing for the challenge, eager to grow, and fully capable of the trust you have placed in them. When they do not measure up, find them a path more in line with their abilities and aspirations.
The Bottom Line
Our organizational alignment research found that talent accounts for 29% of the difference between high and low performing companies in terms of revenue growth, profitability, customer loyalty, and employee engagement. Is your talent strategy aligned with your business strategy and organizational culture?
To learn more about how to build world class talent, download 5 Steps to Defining and Attracting Top Talent
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