June 19, 2012 07:01 AM Eastern Daylight Time
www.businesswire.com
FRANKFURT, Germany--(BUSINESS WIRE)--Eight out of ten high-performing companies say they also outperform on talent management—and the same proportion of weaker companies say they underperform. Although smaller companies and groups are smarter about people management than people think, they still have a lot to do to improve their management of talent. Only 20% of smaller businesses plan their talent according to longer-term business needs. More than 75% of companies struggle with talent development, and therefore miss out on the key talent retention factor. Those are the core findings of a new study by CAPITALENT and the European Association for People Management (EAPM), titled 'The Real Impact of Talent: How Europe’s Smaller Businesses Drive Future Success'. The study, based on a survey of 1,174 HR and line managers from more than 30 countries, reveals that high-performing companies, regardless of industry, don’t just view talent as the elite 3% top management successors. More than half of the stronger companies (57%) considered at least 10% of their workforce to be talent.
“Smaller businesses must more actively leverage their natural strengths to build cadres of engaging leaders and a true culture of talent”
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The CAPITALENT-EAPM study systematically examined key priorities, identifying more than 140 sound talent-management practices in deep-dive interviews. There are opportunities in abundance. For example, only one out of four smaller companies can confirm sound talent-management practices. One out of five does not budget for talent management. When talented workers vote with their feet, only one-third of companies make systematic use of exit interviews. The most common issue is that companies fail on engage line managers.
“Smaller businesses must more actively leverage their natural strengths to build cadres of engaging leaders and a true culture of talent,” emphasizes Pieter Haen, past President of EAPM.
The study confirmed that companies that perform better pay more attention to talent.
“Successful companies take a broader view on talent and care about their key people intensively – beyond development programs,” explains Dr. Philipp Zimmermann, Partner with CAPITALENT. “They absorb employees’ individual views and connect them with strategic business needs. This pays off.”
Looking ahead, the CAPITALENT-EAPM study identifies five future top priorities for talent management and showcases 20 company best practices: engage leaders on talent; strategically plan talent; execute well; foster performance behavior; develop effectively.
Contacts
Dr. Philipp Zimmermann, CAPITALENT
+4969150495550
talentsurvey@capitalent.de
or
Pieter Haen, EAPM
+31343578140
eapm@duurstedegroep.com
