Potential—for What?

CEOs at the world's most successful companies know that they can only safeguard their business' competitive future if they have the right leaders to develop and implement strategy.

CEOs at the world's most successful companies know that they can only safeguard their business' competitive future if they have the right leaders to develop and implement strategy.

They could hire external candidates, yet the track record of outside hires can often be unpredictable.

Talent management is the process by which an organization puts the right mechanisms in place to deliver competitive advantage through the effective management of its people. In other words, it involves ensuring the right people are in the right roles at the right time to deliver on strategy now and in the future.

This definition of talent management was used as the context to research Hay Group conducted in 2006 with The Best Companies for Leaders research. A key finding was that the 20 companies best at managing their talent consistently outperform their peers in terms of return on share price.

It affirms similar findings by the Corporate Leadership Council, where a strategic focus on employee potential was seen as the single most effective strategy in building a reserve of high quality leaders.

What you will learn from this article:

  • Breakthrough approaches to identifying high potential employees
  • Cost effective means of developing high potential employees
  • Ways of identifying those roles types to which high potential employees are suited
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