The study, "Integrated Talent Management," was based on research with 1,900 individuals from more than 1,000 public and private-sector organizations around the world. It was undertaken by IBM and HCI to identify the return on investment of integrated talent management. Here are some interesting findings:
• Organizations that Apply Talent Management Practices Demonstrate Higher Financial Performance compared to their industry peers. Those specific talent management practices that most distinguished financial out-performers from other organizations are understanding and acting upon employee engagement and aligning recognition and performance management systems.
• While organizations recognize the value of talent management practices, they find it Difficult to Apply Workforce Analytics (only 40 percent accurately forecast skill needs), promote collaboration (49 percent provide the right tools), deploy people effectively (64 percent say they do,) and develop those employees in a timely and effective manner (only 38 percent have the right focus).
• Organizations with Between 1,000 and 10,000 Employees are Less likely to Apply Leading Talent Management Practices compared to other organizations. These "corporate adolescents" appear to be too large to manage informally and too small to have the necessary managerial focus or human capital infrastructure.
• Knowledge and service-intensive industries, such as electronics, technology, and professional services, are More likely to Apply Talent Management Practices, while the public sector significantly lags in their use.
• "The IBM/HCI Study Clearly Calls for the Same Rigor In Talent Analytics and Management that CEOs and CIOs Require to Make the Strategic Decisions their companies depend on," says Tim Ringo, vice president, Human Capital Management, IBM. "The challenge laid out for IBM's clients is to treat their most valuable asset—their people—as their most competitive edge."
• "The Long-term Payoffs of Strong Talent Management Far Outweigh the Costs and complexities associated with upfront investments," says Allan Schweyer, executive director of HCI. "This research proves that in today's increasingly globalized, technology-driven economy, a strategic and integrated focus on talent can, in fact, help your organization prepare for corporate adolescence and financially outperform competitors, no matter the size or industry."