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A LITERATURE REVIEW ON MEASUREMENT OF TALENT MANAGEMENT PRACTICES (TMP) ACROSS DIFFERENT SECTORS IN GLOBAL SCENARIO
1. http://www.iaeme.com/IJM/index.asp 2437 editor@iaeme.com
International Journal of Management (IJM)
Volume 11, Issue 11, November 2020, pp. 2437-2446. Article ID: IJM_11_11_227
Available online at http://www.iaeme.com/ijm/issues.asp?JType=IJM&VType=11&IType=11
Journal Impact Factor (2020): 10.1471 (Calculated by GISI) www.jifactor.com
ISSN Print: 0976-6502 and ISSN Online: 0976-6510
DOI: 10.34218/IJM.11.11.2020.227
Š IAEME Publication Scopus Indexed
A LITERATURE REVIEW ON MEASUREMENT
OF TALENT MANAGEMENT PRACTICES
(TMP) ACROSS DIFFERENT SECTORS IN
GLOBAL SCENARIO
K. Durai
Research Scholar, Department of Business Administration, Kalasalingam Academy of
Research and Education, Krishnankoil, Tamilnadu, India
R. Viji
Deputy Dean and Head, Department of Business Administration, Kalasalingam Academy of
Research and Education, Krishnankoil, Tamilnadu, India
S. Sakthivel Rani
Principal, Vyasa Arts and Science College for Women, Vasudevanallur, Tamilnadu, India
V.P. Sriram
Associate Professor, Acharya Bangalore B School (ABBS), Bengaluru, Karnataka, India
ABSTRACT
The employees of any organisation must know their current position and where
they will be in future. Career planning is decided based on the talents of the
employees. Every organisation is keen in recruit and retains talented employees.
Talent Management facilitates competitive advantage by employing the right talented
people, developing and utilizing their potential. There are numerous theories and
models developed and tested by scholars to assess the effectiveness of talent
management practices. This article gives the review of different factor structures used
to measure talent management across different sectors. The most widely used factors
are recruitment, training and development programs, rewards, appraisal and
retention.
Key words: Succession Planning, Managing-Developing-Retention of Talented Employees.
Cite this Article: K. Durai, R. Viji, S. Sakthivel Rani and V.P. Sriram, A Literature Review on
Measurement of Talent Management Practices (TMP) Across Different Sectors in Global
Scenario, International Journal of Management, 11(11), 2020, pp 2437-2446.
http://www.iaeme.com/IJM/issues.asp?JType=IJM&VType=11&IType=11
2. A Literature Review on Measurement of Talent Management Practices (TMP) Across Different
Sectors in Global Scenario
http://www.iaeme.com/IJM/index.asp 2438 editor@iaeme.com
1. INTRODUCTION
In the present global environment, each and every organization wants to keep their human
resources much skilled and competent enough to handle the competition on one end and to the
survival of the organization in other end. Keeping this in mind, the researcher has focused on
various Talent Management System (TMS), Strategies and Practices carried out across
various types of organizations irrespective of their geographic location and its varied
organizational culture. Here the researcher tries to collect the major important factors or
components related to the Talent Management System, which in turn provides lot of insights
about the applicability and adaptability of those factors or components into varied
organizational culture. Mona Momtazian states that most of the organizations started to invest
more on to this Talent Management System, where there could enormous reasons to focus and
concentrate on this Talent Management Component as it certainly gives the following benefits
into organization, which are as follows:
1.1. Talent Management Component certainly has;
ďˇ Increases Motivational Level within an Employee, which would certainly results in
higher performance in the specified task assigned to them.
ďˇ Helps in identifying most skilled and competent employee within the organization and
also the organization should find a suitable and appropriate employee retention
strategies in order to ensure the strength and core competency of the organization also
increases simultaneously.
Increases Employee Engagement, which helps the organization in achieving more efficiency and
effectiveness in both the business operation and increases client satisfaction level towards various
services offered to them [1].
Figure 1 Components of Effective Talent Management System (ETMS)
Talent
Manage
ment
System
Increased
Employee
Engagement
Increases
Employee
Satisfaction
Level
Higher
Client
Satisfaction
Improved
Business
Performances
Employee
Motivation
Identifying
and Retention
of Talented
/Skilled
Employees
3. K. Durai, R. Viji, S. Sakthivel Rani and V.P. Sriram
http://www.iaeme.com/IJM/index.asp 2439 editor@iaeme.com
2. TALENT MANAGEMENT SYSTEM AND PRACTICES IN THE
MILLENNIAL MODERN ERA
There is a necessity in the modern era towards a change in the way Talent Management
Practices, as these traditional practices been carried out in a traditional way inside the
organization, which certainly needs a change in focus towards such Traditional Management
Practices. Due to globalization, competition across various industries has grown over the
period of time and on the other hand, to increase the internal competitiveness of the
organization, they started to focus on identifying and acquiring the most talent resources
inside the organization becomes a most inevitable tool for the organization to increase their
core competencies. Hence, Modern Millennial Organization started to change their traditional
view of practicing the talent management strategies with different focus on the Talent
Management Components, that will certainly create a competitive advantage for an
organization to grow further to reach its peak. Chintan Jain reveals that Modern Talent
Management Umbrella Component (MTMUC) certainly focus on the following;
ďˇ Employee Recruitment(ER)
ďˇ Employee Onboarding (EOB)
ďˇ Employee Training and Development (ETD)
ďˇ Employee Performance Management (EPM)
ďˇ Employee Succession Planning (ESP)
Figure 2. Talent Management Strategies (TMS)
Source: https://www.humanresourcestoday.com
4. A Literature Review on Measurement of Talent Management Practices (TMP) Across Different
Sectors in Global Scenario
http://www.iaeme.com/IJM/index.asp 2440 editor@iaeme.com
Talent Management Metrics (TMM)
Figure 3. Effective Talent Management Metrics (ETMM)
3. TALENT MANAGEMENT SYSTEM AND PRACTICES IN
EDUCATIONAL INSTITUTIONS
Shweta Tyagi, Gurinder Singh, Tripti Aggarwal(2017)had performed a research study with
the primary objective focusing on the strategic importance of managing talented employeesin
the education domain. Further the major outcome of his research study, generally discusses
about various components been concentrated they are employee turnover, employee
performance and recognition, employee relationships among work environment and talent
retention inside the educational sector needs to been higher priority components, which
certainly increases the core competencies of the organization [2].
John Annakis, Mohan Dass, Aernibinti Isa (2014) have framed the conceptual frame
work for measurement of Talent Management based on the reviews. Talent Dimensions -
Identification, Development and Culture were the three dimensions considered to identify the
major components related talent related management practices in academic institutions. All
three dimensions namely Talent Dimensions mentioned above had 6 variables each.
Conveying poor performance in timely and rating the performance levels openly were
removed from Talent Identification. The interest of employees in learning and development,
objective assessment of needs and one to one coaching were removed from Talent
Development. Nominating employees for various awards was removed from Talent Culture
after confirmatory factor analysis. Cronbachâs Alpha value for all three factors was higher
than .7 and hence found more reliable. This multi-dimensional model enables in predicting the
perception of academicians towards positive aspects of talent management system [3].
Farzaneh Eghbal, Reza Hoveida, Seyed Ali Siadat, Hossein Samavatyan, and
Mohammad Hossein Yarmohammadian (2017) conducted a study among faculty members
and suggested a model for Talent management which includes the following dimensions
namely Talent need Identification (3 items), Discovering talent sources (3 items), Attracting
Talents (2 items), Talent development (3 items), Talent Depolyment (2 items), Retaining
talents (4items) and Evaluation of management activities (3 items). This model suggests talent
requirements in advance and HR managers can concentrate on other key areas [4].
Talent
Management
Metrics
(ETMM)
Talent
Mobility
Talent Turn
Over
Talent
Distribution
High
Potential
Talent
Cost To Hire
Time To Hire
5. K. Durai, R. Viji, S. Sakthivel Rani and V.P. Sriram
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Nicolene Barkhuizen, Nico Schutte, Leonie Nagel (2017)applied Job Characteristics
Inventory (39 items) developed by (Barkhuizen, 2005), under eight dimensions namely
Staffing, recruitment, talent deployment, commitment of management, career development
opportunities, talent engagement, performance and remuneration. Talent Management
Satisfaction scale (19 items) proposed by Theron et.al (2014) which includes funding for
research, respect, mentoring and policies of the organisation was also used together with the
Job Characteristic Inventory. Exploratory factor analysis on 39 items resulted in 3 factors
named as Talent Enabler, Talent Constraints and Remuneration. Factor analysis on Talent
Management Practices resulted in two factors namely Satisfaction with funding practices and
Satisfaction with Institutional Practices. The reliability was found acceptable. The tool was
applied in South African Higher Education Institutions among academic staff. It is found that
talent management support system will enable the faculty members to grow with the
institution [5].
Mohd Izham Mohd Hamzah and Shuhaida Shamsdin(2017) utilized Talent
management Scale based on Talent Practice related management model of Putrajaya
Committee as per recommendations of Malaysian Government based Company, to assess
Talent management and its relationship with leadership in High performing Schools in
Malaysia. This model enables to understand the potentials of the teachers and inspire them to
professional develop them. The content validity was tested based on clarity, relevancy,
simplicity and consistency with three different experts and found good. The questionnaire
contains four sections. First section is about developing teacher leadership ability (7 items),
second section deals with identifying teacherâs potential (9 items), third one includes
developing the talents of teachers (5 items) and fourth section is about retaining talented
teachers (5 items). There are 26 items finalized based on validity. The fit indices in CFA also
reveal good fit (RMSEA 0.049, CFI 0.962, and CMIN/Df 1.959). Composite reliability was
greater than 0.75, Cronbachâs Alpha value shows high internal consistency with the value .76.
The AVE values were also greater than the standard value and hence this model is found fit
for this purpose [6].
Masri Nadine E and Suliman Abubakr (2019)conducted a study to find out the bonding
correlation between these two various namely Talent related Management Practices and
employee work outcome among employees of Research Institutions in Qatar. Talent
Management Scale developed by Tiwari and Shrivastava in 2013 was used to assess the talent
management practices in these institutions. There are 17 items under 4 factors namely
recruitment, training and Development, performance evaluation and Retention and Succession
Planning .The Cronbachâs Alpha value was .99 which indicates high degree of internal data
consistency and also shows higher adoptability and feasibility of the data in the scale.
Research study reveals that the factor component has high powerfulbonding between Talents
related Practices of Management and work outcome of employee. It is suggested that the
practices related Management oftalent has to focus more on organizational strategy which
aligned with the objectives of the organisation [7].
4. TALENT MANAGEMENT SYSTEM AND PRACTICES IN BANKING
AND FINANCE SECTOR
Alharbi, S. Hamed(2018)has studies the talent management challenges in Banking and
Finance sector based on two broader dimensions namely Bank Level Challenges and Industry
Level Challenges. Bank level Challenges includes Personal matters selection, Bias in
Performance appraisal, Lack of appropriate criteria to evaluate, communication barriers, lack
of recognition for talents, and talents are threats. Industry level challenges includes lack of
participation in decision making, poor talent management culture, poor talent management,
6. A Literature Review on Measurement of Talent Management Practices (TMP) Across Different
Sectors in Global Scenario
http://www.iaeme.com/IJM/index.asp 2442 editor@iaeme.com
and lack of availability of talent and increasing employee turnover. The confirmatory factor
analysis shows good fit based on the indices. It is stated that organizational culture plays a
major role in influencing Talent Management [8].
Tomasz Ingram (2013) researched in talent management contingencies. Talent
management is a process of identifying, recruiting, selecting, training, transfer, performance
appraisal and communication. The model includes Internal contingencies like defining talent,
organizational culture, structure of the organization, strategies, history, nature of job, HRM
process, recruitment, career planning, financial position of the firm and nature of employees.
External contingencies like economic conditions, competition, labour market and culture of
the nation. The model was framed to fit banking sector which may not suit as such for other
industries [9].
Somayyeh Nobarieidishe, Raheleh Chamanifard, Amin Nikpour (2014) researched on
Talent Management and its influence on Organizational Commitment among Bank Staffs in
Iran. Talent Management Scale having 3 dimensions namely Talent Attractions (9 items),
Maintaining Talented Employees (6 items) and Developing Talented Employee (10 items).
The reliability was found 0.87 which is acceptable. It is found that among three factors talent
maintenance is highly influencing effectiveness of Talent Management [10].
Saloni Devi (2017)has employed a scale to assess Talent Management impact on
Organizational Performance in banking sector which includes Talent Identification (talents to
lead), Succession Planning (future planning based on knowledge and skills), Talent
Development (development through experience, learning opportunities, challenging
operations and mentoring) and retention of talented employees (by compensation, intrinsic
rewards and others). Standardized factor loading for the 4 dimensions were .982, .662, .581
and .857 respectively. The Cronbachâs Alpha value was 0.792 which reflects the acceptable
level of reliability. AVE value was 0.770 which represents the existence of Discriminant
Validity. It was found that talent management in private banks shows empathy as support
employees in facing challenges for better performance. Talent Management is an essential
practice in banks in attracting, developing, retaining and reaching their full potential by
breaking learning boundaries [11].
Najm A. Najm and Alaa K. Manasrah (2017) researched on Talent Management
practices in Jordanian Banks with a scale comprising components like aligning Talent
management to strategy (9 items), maintaining (7 items), developing employees (8 items),
attracting and renewing talents (7 items). These four components shall lead to achieve
competitive advantage. Talent Management aims at producing, strategic leaders, best
professionals and high performers. It is insisted that the organisation should give emphasis on
all talented employees irrespective of the cadre in developing them at their level. The
Cronbachâs Alpha value the four dimensions are more than .7 and hence found with strong
internal consistency The factor loadings were also more than .8 and confirms the factor
structure. The core functions of talent management are built around these four dimensions
[12].
5. TALENT MANAGEMENT SYSTEM AND PRACTICES IN IT/ITES
SECTOR
D. M. Pestonjee, Haresh Barot, Poonam Chhaniwal (2017) conducted a research in
IT/ITES industry in India with the objective of identifying the factors influencing Talent
Management. Based on the previous research reviews a 36 item scale was developed. The
internal data consistency was found to be satisfactory. Exploratory factor analysis was
performed and identified three factor structure namely organisational communication,
Opportunities for development and Performance evaluation. The study suggests that the
7. K. Durai, R. Viji, S. Sakthivel Rani and V.P. Sriram
http://www.iaeme.com/IJM/index.asp 2443 editor@iaeme.com
organizations shall make use of digital medias which the current generation is comfortable
with to know the success story of the organisation. The organizations shall give less emphasis
on rules and regulations. Communication skills training shall be given through drama, theatre
and Neuro Linguistic Programming. The career progression opportunities should be created
through skill development programs and designing organisational structure. Mentoring,
motivation and high potential programs will facilitate this. Since the current generation
spends much time with electronic gadgets they are used for continuous and instant feedback.
Introducing instant and continuous performance appraisal system with appropriate feedback
will enhance their productivity and growth [13].
Puja Sareen, Shikha Mishra (2016)utilizeed a five dimensional scale with 20 items in
measurement of talent management in IT companies. It includes Attracting, compensation and
rewards, succession planning, Training and Development and Retaining Talents. Reliability
was found that Cronbachâs Alpha value for all the dimensions are more than .7 and hence
acceptable. The dimensions namely talent attraction, compensation and rewarding and
succession planning have high impact on organizational performance than talent retention and
training and development dimensions. In IT industries talent retention strategies need to be
given more focus [14].
6. TALENT MANAGEMENT SYSTEM AND PRACTICES IN OTHER
SERVICE SECTORS
Mervat E. A. El Dahshan, Lamiaa Ismail Keshk & Laila Shehata Dorgham
(2018)adopted Talent Management questionnaire developed by El Nakhala to test the talent
management effectiveness among trained and skilled nurses in 2 major Hospital. The scale
comprising 31 items under three dimensions was used namely Talent attraction (10
Variables), Development of Talented Employee (10 Variables), and Retention of Talented
Employee (11 Variables). The nurses had high level of satisfaction towards different talent
management practices. Financial rewards will enhance their performance [15].
Devaughn R Huff (2018)researched on Talent Management in Airline Industry in US. A
survey was conducted using Talent Management scale comprising four factors namely
training, career development, performance management and reward and recognition. It is
found that talent management comprising these components not only increases the skills but
also organizational commitment and employee retention. Talent Management has direct
impact on employee retention [16].
P.A. Grobler and H. Diedericks (2009)have utilized the Talent Management Scale
developed by Society for Human Resource Management which consists of 10 dimensions
namely HRAM activity, Staffing, Training and development, employee retention, motivation,
communication, culture , leadership, policies and involvement of management. The study was
conducted in South African Hotels. It is found that the overall human capital management was
good but there were many short comings. They have suggested to use Balance score cards for
appraisal, skill profiling, innovative in recruitment, employer branding, career path
development, developing future leaders, appropriate compensation structure, redesigning the
job to make it more interesting, flexibility, stress management practices and participation of
junior level members in decision making [17].
Megha Mehta (2017)had earlier performed a research study on effectiveness on the
practices and process of managing talented employees in service sector. It is found that there
is no comprehensive tool to measure talent management for the banking, retail and hospitality
sectors. A new scale was developed comprising 9 dimensions. The Cronbachâs Alpha value is
found more than .7 for all dimensions and hence there is internal consistency and reliable.
Talent retention, Career Planning, deployment and performance management are the most
8. A Literature Review on Measurement of Talent Management Practices (TMP) Across Different
Sectors in Global Scenario
http://www.iaeme.com/IJM/index.asp 2444 editor@iaeme.com
important dimensions in this order. There were significant differences in Talent -
Identification, Acquisition, Development and Retention. Talent Management Scale with the
dimensions namely Communication, Employee Development, Rewards and Recognition,
Managing Performance and Open Climate was utilized.. The exploratory factor analysis
categories the items in to three dimensions namely continuous improvement in work
environment, open climate and communication with Cronbachâs Alpha values 0.81, 0.79 and
0.77 respectively. This represents the acceptable level of Reliability. Talent Management has
significant positive impact on employee engagement [18].
7. TALENT MANAGEMENT SYSTEM AND PRACTICES IN
MANUFACTURING SECTOR
Wageeh A. Nafei (2016) developeda scale on Talent Management with 55 items by Heinen
and O Neill was adopted for this purpose. There are six components; Talent planning (6
items), Recruitment (8 items), Rewards and compensation (11 items), Performance
management (7 items), employee empowerment (5 items), Employee Engagement (11) and
Organisational culture (5 items). The Cronbachâs Alpha values are more than .7 for all factors
except Performance management which is closer to .7. There is internal consistency in the
scale. Supportive culture and business unit wise self â appraisal will enhance Organisational
Performance and also achieve high profit [19].
Mujdelen I. Yener, F. Gulruh Gurbuz, Pinar Acar (2017) studies various Talent
management Scales developed and tested by several authors and developed a comprehensive
scale covering all dimensions. The dimensions are Talent Planning (4 items), Workplace
Culture (7 items), Talent Recruitment and Retention (4 items), talent Development (4 items),
Professional Advancement (4 items), and Rewarding (3 items) to assess Talent Management
in Turkish Apparel Sector. The Confirmatory factor Analysis shows one of the variable in
Talent Planning i.e., the organisation keeps successors in reserve at every level is found with
standardized loading less than .4 and hence removed. The fit indices shows CMIN/Df with
2.407 GFI with .858, CFI with 0.905 and RMSEA 0.067 and hence the model has a best fit. It
is found that Talent Management practices are comprehensive in global companies and
different from medium and small organisation [20].
Meysam Ghavidel, Mohsen Ayati, Ali Asgari(2019)tested Talent Management Model
developed by Davies which has four subscales Working with other containing
communication, supervision, credibility and support, Value includes trust, honesty and
respect, Personal Characteristics includes flexibility, self- confidence, risk taking, self-
motivation and intellectual curiosity and Strategic acumen containing strategic goals, shaping
future, work permission, relationship and holistic perspective.Total 65 items were reduced to
45 due to poor loading in exploratory factor analysis under 5 dimensions by adding strategic
leadership as additional dimension. Reliability was found good with Cronbachâs Alpha value
.988. The model fit indices in Confirmatory Analysis are greater than .9 for goodness of fit
indices and hence it shows good fit [21].
Ingram, T (2016)has researched on a scale developed on Talent Management comprising
28 items, which were divided into three dimensions based on exploratory factor Analysis
namely Strategic, Structural and Ideological. The research was conducted with 500 large
companies. In Confirmatory Factor analysis the factor structure was confirmed based on the
fit indices. This Talent Management Scale enables the prediction of organisational
performance. In the Structural equation model the correlation between dimensions named
management tool measuring talent componentswith respect tooverall performance
organisational were found to be moderate and stronger as per the result. It is found that to
assess the organisational performance, talent management alone is not sufficient [22].
9. K. Durai, R. Viji, S. Sakthivel Rani and V.P. Sriram
http://www.iaeme.com/IJM/index.asp 2445 editor@iaeme.com
S. Jayaraman, Parvaiz Talib, and Ahmad Faraz Khan (2018)have developed an
integrated scale for Talent Management based on the previous reviews to suit Indian
companies. 37 variables were considered and 26 items were derived from content validity.
There are 5 dimensions namely identifying critical positions, training, development, and
rewards. The reliability value was found as .809 and adequate. Confirmatory factor analysis
shows a perfect fit of this model in predicting talent management. The standardized factor
loadings were more than 7 to confirm the convergent validity and Average Variance Extracted
(AVE) was more than the required level and confirms discriminant validity. Social Exchange
theory says reward management is an important factor in predicting talent management [23].
8. CONCLUSION
Talent Management is replacing the traditional HR practices like staffing, succession planning
and career development. There are several models and theories representing Talent
Management. Many scholars have repeatedly used Identification of Talented Employees,
Attraction of Talented Employees, Development of Talented Employees, Retention of
Talented Employees, Rewarding the talented employees, Talent Culture and performance
appraisal as the parameters to assess the effectiveness of Talent Management practices in the
organizations irrespective of the sectors. Research across Service sectors dominantly use
components like Recognition, talent culture, opportunity to learn and instant and continuous
appraisal apart from the regular factors. Manufacturing sectors need to give importance for
Succession Planning, Talent retention Rewards and opportunities to grow. Choosing
appropriate scales to measure talent management according to the industrial sectors will yield
best results.
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