Have you ever wondered about the activities that lead to revenue generation in an organisation?
Every activity a firm is engaged in is in one way or the other connected to the bottom line (revenue and profit generation). From Marketing, R&D, production, logistics, sales, and even to the slightest activity, each action and sub-action in an organisation is related to the goal of profit and revenue generation. Talent management is definitely not exempted from this connection. At the end, the need for talent management boils down to where the value lies. How does managing the talents of employees relate to a firm’s profitability and revenue generation?
The value of your business is built on your employees, the people who understand and share your strategic vision, have an in depth knowledge of your work processes, and possess the ability to help drive your company forward. Your employees develop relationships with your customers, subcontractors and suppliers. Since most companies are like teams, when a member of the team leaves, so does the knowledge. It is important to realize that the most important sale you would ever make is not just to any customer, it is to an A player employee who’ll join your company, help you build a high-performing team and add to your momentum.
Talent management affects the bottom line in various ways, some of these ways include:
EMPLOYEE MOTIVATION: Talent management allows employees to be motivated as they are shown the best use of their talents or in some cases, proper talent management could help employees to discover and develop their talents. This gives them a sense that the organisation indeed cares about their level of development and not just what they have to offer. They are in turn motivated to put in the best of their abilities avoiding any form of distraction in contribution to the organisation’s revenue generation.
LEADERSHIP DEVELOPMENT: Talent management also impacts on leadership development which has been viewed as crucial in most organisations today. Developing leadership potentials in organisations goes a long way in impacting the behaviors and attitude of workers towards the insurance of quality and profitability in an organisation.
CREATIVITY: Finally, focused talent management allows for creativity within an organisation’s workforce. It fosters innovation and development which invariably can increase customer base as well as brand loyalty.