Al Habtoor City Hotel Collection

Most people consider talent management and talent development as same thing which is not true. Talent management is a process that starts from discovering high potentials, recruiting, developing Top talents (elite talents) and retaining them inside the business. It entails a variety of actions such as assessing employee skills and competencies, creating career development plans, offering chances for training and development and implementing successful retention tactics.

Talent management's goal is to guarantee that a company has the right people in the right place, that way it can achieve its goals and objectives. It helps identify critical positions within the business. Analyzing the skills and competencies required to effectively perform these responsibilities, thus putting strategies to attract, develop, and retain the personnel required to fill these positions.

Business Atmosphere is always changing which makes talent management highly important to ensure we have the human capital needed to compete. Successful organizations are those who establish a strong pipeline of future leaders, boost employee engagement along with retention and generate superior business outcomes by investing in their talents.

The top reasons why employees leave their jobs:

Lack of career advancement opportunities

Unhappy with the work culture and environment

Seeking higher compensation and benefits

Lack of challenging work

Poor management and leadership

Unhappy with the job responsibilities and duties

Limited work-life balance

Lack of recognition and appreciation

Seeking a better location or commute

Health and wellness concerns

A study by ZETY which Forbes posted: compensation and career developments are 2 faces of one coin.  Giving someone an unfair wage on short term yet invest and ensuring a better position and salary in a year is not a bad deal. On the opposite, offering a slightly fair wage with zero development opportunities or a very long term development, will not workout. 
We all work to make money and achieve success. Yet, success comes when we develop, grow, and achieve the best versions of us. For many employees, compensation might be among the top 3 reasons to quit, yet for top talents career advancement is the main reason especially that they have no interest of staying in the safe zone.

With all that being said: Why Companies avoid talent management then?

Lack of resources, especially for small companies

They might not have a budget to invest in formal talent management programs.

Other companies have a short-term focus, since they prioritize short-term goals over long-term ones.  They focus more on filling immediate job vacancies than investing in the development of their current employees.

“Successful organizations are those who establish a strong pipeline of future leaders, boost employee engagement along with retention and generate superior business outcomes by investing in their talents”

Lack of awareness is another reason since some companies may not fully understand the benefits of talent management investments and target employees who are highly in need of a “job” not a “career”, which make them lose the chance of increasing employee engagement, retention, and productivity.

Unfortunately some companies as well are resistant to change and it takes a shift in the organizational culture and leadership style, to implement talent management programs.

However, if I want to be the devil’s advocate here and in their defense, talent management can be a complex process that requires careful planning, implementation, and evaluation. Some companies may not have the expertise or experience to manage talent effectively, yet if we focus on the outcome and we keep the end in mind, and how we are impacting peoples’ lives (not only the business). It is worth the effort.

Our market reputation increase, candidates will love to work with us who will attract higher caliber of talents since career growth will be guaranteed for hard workers and top achievers part of the company core culture and values.

In essence, companies that avoid talent management may miss out on opportunities to attract, retain, and develop future leaders who can shape the lives of many. Only through talent management, companies can create a culture of continuous learning and development, leading to better employee satisfaction, performance, and organizational success.

Yet again, we cannot ignore, there are several challenges that confront the hotel industry nowadays, yet still talent management is essential to face every single one of them:

Lack of competent labor is one of the most serious issues in the hospitality sector since businesses may find it difficult to fill new positions and maintain personnel levels which results in lower customer satisfaction and income. Consumer preferences and expectations are always changing, making it challenging for firms to stay up-to-date. Customers, for example, may increasingly expect sustainable and locally sourced items, which can be difficult for firms to procure and implement.

Competition is fierce in the hospitality industry, with businesses battling for customers in congested areas. Other hotels, restaurants, and internet travel agencies are all potential sources of competition.

The hotel industry is especially vulnerable to economic downturns, since consumers may reduce their discretionary spending during difficult economic times. This can result in lower revenue and earnings for industry businesses.

Hospitality firms must follow a variety of regulations and requirements, such as health and safety standards, food handling restrictions, and labor laws which can be time - consuming and expensive, especially for small businesses with limited resources. Advances in technology and social media are affecting the hospitality business, with consumers increasingly purchasing lodgings and making reservations through online booking platforms and smartphone apps. Companies that fail to adapt to technological advances risk losing market share and income.

“We are living in a world of change, we cannot ignore that and it is inevitable, thus continuous development is mandatory for businesses to survive.” When you see a 70 years old man who uses phone apps to connect with his children or grandsons living abroad, you know that development never ends.