Talent Management Practices and Organizational Performance – Challenges & Opportunities

Abstract

In the modern-day business environment, various organizations increasingly identify human capital as a critical foundation of competitive advantage. Talent management (TM) incorporates strategic actions such as appealing, developing, encouraging & retaining trained employees. Effective talent management practices (TMP) not only improve workforce engagement but also contribute directly to organizational performance (OP). Despite its significance, many organizations face various challenges in executing talent management practices (TMP), altogether talent shortages, budget restraints & resistance to change. Concurrently, opportunities such as employee planning, analytics-based PMS & leadership learning & development provide paths for improvement. Talent management (TM) has now become a strategic importance for organizations looking for sustained performance & competitiveness. This research examines the influence of talent management practices (TMP) on organizational performance (OP) while recognizing major challenges as well as opportunities. By using primary data gathered from 311 employees from organizations, statistical tools such as descriptive test analysis, reliability test, correlation- regression test, chi-square test, ANOVA analysis, multicollinearity diagnostics test & Spearman rank correlation analysis test were applied. The outcomes disclose a strong & positive relationship between talent management practices (TMP) & organizational performance (OP), with T&D evolving as the utmost influential factor. The research concludes that addressing talent management related challenges through tactical opportunities can significantly improve organizational outcomes.