We recently ran a survey in our Total Rewards masterclasses collecting some market intelligence. Additionally, over the past 18 months we have been talking to companies across the APAC & Middle East region and collecting information including our clients.
One common theme running across Talent Management discussions is the ๐น๐ฎ๐ฐ๐ธ ๐ผ๐ณ ๐ฝ๐ฒ๐ฟ๐ณ๐ผ๐ฟ๐บ๐ฎ๐ป๐ฐ๐ฒ ๐ฑ๐ถ๐ณ๐ณ๐ฒ๐ฟ๐ฒ๐ป๐๐ถ๐ฎ๐๐ถ๐ผ๐ป and how โ๐ง๐ผ๐ฝ ๐ง๐ฎ๐น๐ฒ๐ป๐โ is being managed. In reality they are โ๐ก๐ข๐งโ
Below is a summary from the data we have collected.
- 90% companies do not have differentiated reward. They donโt have a system which ensures high performers get the best reward
- 80% companies are losing critical talent yet they donโt have a plan to manage them both in terms of compensation but also in terms of qualitative agenda
- 90% companies are conservative when it comes to pay. They do not position top talent appropriately on the salary range. Applies to new hires and existing employees
- 70% companies do not have a good understanding of their critical roles. They understand talent but not roles /jobs
- 50% companies do not have a proper grading structure
- 75% companies do not apply premiums for niche skills
The above numbers are pretty scarring. Most companies told us that they care about high performance/top talent/critical talent but ๐ต๐ฎ๐๐ฒ ๐ป๐ผ ๐๐๐ฟ๐๐ฐ๐๐๐ฟ๐ฒ ๐ผ๐ฟ ๐ฝ๐ฟ๐ผ๐ด๐ฟ๐ฎ๐บ๐ ๐๐ผ ๐๐ฎ๐ธ๐ฒ ๐ฐ๐ฎ๐ฟ๐ฒ ๐ผ๐ณ ๐๐ต๐ถ๐ ๐ด๐ฟ๐ผ๐๐ฝ. Worst, those that do, are poor in communicating this.
No point having a program if you do not communicate the value of it to the employees.
Companies continue to talk about talent challenges, scarcity of skills, retention issues but
- Actions are reactive. Action starts when its too late
- No strategic framework to manage critical roles and talent
- No aggressive pay positioning for critical talent
- Lack of understanding around pay premiums, utilizing salary ranges effectively
The solution is not rocket science. It might not solve all problems but will certainly solve some challenges. It will make ๐๐ฅ ๐ฝ๐ฟ๐ผ๐ฎ๐ฐ๐๐ถ๐๐ฒ, ๐ฏ๐ฟ๐ถ๐ป๐ด ๐ฎ ๐๐๐ฟ๐ฎ๐๐ฒ๐ด๐ถ๐ฐ ๐ฎ๐ฝ๐ฝ๐ฟ๐ผ๐ฎ๐ฐ๐ต ๐๐ผ๐๐ฎ๐ฟ๐ฑ๐ ๐๐ฎ๐น๐ฒ๐ป๐ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ๐บ๐ฒ๐ป๐ ๐ฎ๐ป๐ฑ ๐ฎ๐น๐น๐ผ๐ ๐๐ฅ ๐๐ผ ๐๐๐ฎ๐ป๐ฑ ๐๐ฝ ๐๐ฎ๐น๐น ๐๐ผ ๐ฏ๐๐๐ถ๐ป๐ฒ๐๐ ๐ฎ๐ฟ๐ผ๐๐ป๐ฑ ๐๐ต๐ฒ ๐๐ฎ๐ ๐๐ฒ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ ๐๐ฎ๐น๐ฒ๐ป๐ ๐๐ต๐ถ๐น๐ฒ ๐ต๐ผ๐น๐ฑ๐ถ๐ป๐ด ๐๐ต๐ฒ๐บ ๐ฟ๐ฒ๐๐ฝ๐ผ๐ป๐๐ถ๐ฏ๐น๐ฒ.
Talent Management is not HR responsibility. It is a business competency.
If you are struggling with Talent Management or have some of the gaps shared above reach out to us for a chat. If you did something for your company which was successful, share.
