Deepening your executive talent pool delivers value at every level of your organization. Part of your mission is to create leadership sustainability. By building a robust pipeline, you cultivate a talent management culture that yields both short-and long-term success.
- The failure rate of external hires at all management levels is significantly higher than that of internal candidates. Organizations that fill more than 25 percent of their mid-management positions with external candidates have double the turnover of those who fill internally. Senior executives hired from the outside fail at a rate of 34 percent, compared to 22 percent of those who were internally promoted.
- Top-tier leadership organizations are more likely to outperform their peers, translating into financial gain. Market capitalization is $384 million higher for top-tier companies – and a direct correlation can be drawn between their talent management strategy and overall results.
Start With Your Business Strategy
Your talent pool should support your business strategy. Look at the drivers of your business: Sales? Data analysis? R&D? Create a sustainable pipeline around these key areas.
- Identify linchpin roles so you can prioritize executive talent development. These are the positions that have the most significant impact on your company’s ability to achieve results. Make sure your bench strength addresses your leading organizational needs.
- Hire for today and tomorrow. Base your executive pipeline on where your business is currently and also prepare for future scenarios. If you look at your current talent and don’t see enough people with the right potential, then you need to revisit your hiring strategy.
- Do your research. Once you’ve identified talent groups you’d like to target, spend time pinpointing their individual needs, issues and priorities. Ensure strong values alignment. Open dialogues and solicit feedback from candidates, new hires and industry professionals.
Hold Leaders Accountable
Reinforce the importance of talent management as a core business process with a significant impact on overall results. Make sure your entire senior leadership team does the same.
- Actively engage leadership in the process. Leaders must be just as accountable for talent management as they are for financial and operational results.
- Build a talent management culture. This conversation should be ongoing. Develop the talent mindset by implementing coaching and mentoring programs, keeping training fresh and relevant and developing dynamic new assignments throughout your organization.
- Create effective communication mechanisms. Ensure a resilient information-sharing process regarding talent development. Web-based tools that allow varying levels of access to critical information are vital.
- Measure Your Success. Knowing what works and focusing your resources in those areas is key to creating talent sustainability. Put performance measures in place to assess the resources you commit to development.
- Reevaluate on a regular basis. As your business changes, so will your talent needs. Sustainable systems identify and proactively address these change dynamics.
Bridge Talent Gaps
Address talent gaps through a commitment to ongoing employee growth and development.
- Internal talent with potential have a shorter learning curve. They already know your business, your culture and your product. In addition, they have already built internal networks that support a more rapid path to success.
- Look at all your talent. For instance, don’t assume that baby boomers don’t want to lead or seek continuous learning. Make high-performing boomers part of your plan. Tapping into their experience may cause you to rethink certain aspects of your talent strategy.
- Network using both traditional and technological tools. Build long-term relationships with colleagues and passive candidates as part of an “always recruiting” approach. Social media platforms are essential as you extend your employment brand message to targeted candidates. Go where they go, whether it’s cyberspace or the local pub. Reach beyond Facebook, Twitter and LinkedIn to more specific group chats and meet-ups.
The executive search consultants at BrainWorks have the resources, contacts and proven track record to help you succeed in building your winning talent pool. To learn more, read our related posts or contact us today!