Corporates are in a war for talent

 

The phrase “the war for talent” was introduced by Steven Hankin of McKinsey & Company and this concept was then explored in the book written by Ed Michaels, Helen Handfield-Jones, and Beth Axelrod who were the consultants at McKinsey.

"The War for Talent is a competition among organizations to attract, retain and develop the most skilled and capable employees." (herohunt, 2023)

Challenges associated with the war for talent

As a result of global economic expansion, skilled workers have the opportunity to consider and apply for vacancies that are available globally. The demand for skilled workers is ever-growing, most jobs require special skill sets, educational qualifications and competencies. But however, this demand for talent cannot be met as there is a shortage of a skilled workforce (Gap between HR demand and HR supply). Organizations are therefore forced to compete in order to capture talent from a limited pool of highly skilled and qualified employees.  

                                                                      (Department of census and statistics, 2022,9)

The above table clearly mentions that those in managerial positions, and professionals need to have a degree or a professional qualification as a minimum requirement to be selected. For technicians, clerical support workers and sales workers, employers expect the candidates to have passed at-least A/levels. 

Skilled workers play a vital role in any organization. A shortage of skilled workers can lead to lower productivity, reduced employee satisfaction and increased staff turnover. Talent shortage makes a significant impact on corporate performance, hence companies should focus on their strategies for recruiting, retaining and developing talented employees. Most companies try to reach large numbers of applicants through a variety of different channels and will recruit staff according to selection ratios. (Ex-Software Engineers)

 Talent Management Process

To face the war in acquiring talent, every company should have a strong talent management process.

Peter Cappelli of the Wharton School defines talent management as anticipating the need for human capital and setting a plan to meet it. (Cappelli, 2008, 17-36)

A strong talent management process is considered as a competitive advantage. Talent management should be combined with succession planning, to ensure that key personnel are retained within the business, and are available to fill in key positions that become vacant overtime. We also observe that most companies do not pay much attention to HR planning and as a result, they face employee shortages or surpluses. 

How to win the war for talent in acquiring?

01. Planning ahead

Most of the time modern employers collect resumes and maintain a completed database for future use. These resumes should include full details about candidates which stands to be fairly enough to evaluate them for upcoming vacancies within the company.

02. Social recruiting

Majority of young professionals are active in one or more social media platforms, and this opens up opportunities for companies to approach candidates through these platforms. This method proves to be cost saving and employers can publish their job vacancies (Job descriptions) via social platforms and also have existing employees sharing these advertisements on their personal accounts, which we see quite often nowadays.

03. Pre selecting

In this day and age, many pre-selection services are available to assist companies to select the right candidates. Apart from assessment centers, there are tests based on the company’s criteria which they use to filter out the best possible candidate for a role. In most countries recruitment agencies carry this out accurately.

04. Interview Technique

Companies may choose to recruit applicants with the support of an external team or company to save time. Besides this, they apply many techniques to filter candidates. (Online or offline exams, Background investigations, Practical assignments, Medical checkups)

 

How to win the war for talent with existing employees?

External recruitment is not the only solution to finding the perfect candidate for a job vacancy. Companies should consider recruiting internally as this turns out to be beneficial for both existing employees and the company. The cost of developing an existing employee is a lot less than recruiting a new worker for a vacant position, therefore it is important to create a culture that motivates employees to develop their skills and capabilities. The following can be carried out to retain existing employees within the organization.

01. Flexible working hours 

Rather than adhering to strict standard working times, companies can promote part time working, remote work and shifts

02. Building employee engagement 

Employees can build an emotional connection with the work they do, their peer group and the organization. By listening, giving individual attention and encouragement, employee engagement increases, and this creates a high-performance culture where workers are motivated to perform at their fullest.

03. Promote work – life balance 

Employers should aim to support workers achieve a good work-life balance as this helps maintain their physical and mental health.

04. Retain star employees 

Managers should give reason to their star employees to stick with the company. Personal one-to-one discussions with employees can open up a chance to identify their personal objectives/career goals very well. Listening to their likes and dislikes is important so that you can help them use the skills they like using or develop new ones they wish to acquire (Kaye, 2008)

To get a further understanding on ''How to win the war for talent?" please watch the below video.

                                                                                                                              (Oracle,2018)

Reference

Cappelli, P. (2008) Talent management for the 21st century, Boston. Harvard Business Review, 17–36.

Department of census and statistics. (2022), Outlook on Labour Needs of private sector – 2022 [online] Department of census and statistics. Available at : https://labourdept.gov.lk/images/PDF_upload/statistics/outlook%20on%20requirements%20of%20labour%20demand%202022.pdf [Accessed 10.03.2023]

Herohunt. (2023) War for Talent definition, synonyms and explanation [online] Available at : https://www.herohunt.ai/recruiting-glossary/war-for-talent [Accessed 10.03.2023]

Kaye, B. (2008) Love ’em or lose ’em. San Francisco: Barrett-Koehler.

Oracle. (2018) Highlights: How Top Organizations Win the War for Talent. [online video] Available at : https://www.youtube.com/watch?v=IKpdNHGuWI4 [Accessed 10.03.2023]