talent dearth

8/9/2019 Talent Dearth

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VIT BUSINESS SCHOOL

TALENT DEARTH- causes

and solutions

HRM PRESENTATION REPORT:

SHIVAM SETH 09MIB053


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TALENT DEARTH

Causes and Solutions

Talent can be defined as the combination of abilities, skills and knowledge.

Ability is what a person is capable to do. Skills are how good a person is in doing a specific activity. Knowledge is what a person possesses through proper learning.

So the question arises Why Talent is required? Talent is required for theeconomic prosperity of any country. E.g. USA, Singapore they always try to

attract talent which in turn boosts the economic growth engine of a country.

Organizations require talent for achieving organizational goals, objectives and help

the organizations to grow and expand.

The global talent crunch is going to happen, and theres nothing anyone can

do to stop itDelottes Diotte

TALENT DEARTH can be defined as an acute shortage of talented/skilled

workforce.

Generally, there are two ways of looking at this shortage:

Shortage of potential workers with Specific skills. Non availability of potential workers with Specific skills.

Shortage in talent in turn makes the job of human resource managers more difficult

i.e. Difficult in terms of retaining talent, finding new talent etc. shortage of talent

makes the employee the boss of the company i.e. if the specific employee is very


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vital for the company then to retain it the company will agree to whatever the

employees want.

Shortage may be a result of many factors:

1. TECHNOLOGICAL CHANGES: Nothing is constant except change butpeople are most reluctant to change. People only change when there is no

way out. Technology is one such factor. People not understanding new

technology sometimes quit jobs and is not inclined towards adding new

skillset.

2. ENVIRONMENTAL CHANGES: here SLEPT factor comes into play.Social, Legal, Economic, Political & Technological.

3. EDUCATIONAL QUALIFICATION: 70% engineers coming out of theengineering colleges are unemployable hence they have to be upgraded with

new skillset and technology to become employable. This rests with every

sector. The companies invest a total of 25% of their expenses on the training

and acquiring talent pool.

4. DIFFERENTIAL WAGE RATES: for the same job/task different wages arepaid.

5. TALENT ACQUISITION: the talent is acquired from different companiesby paying high wages and providing more benefits.

6. AEIGING WORKFORCE: this problem is common with a few countrieslike japan where the average age of workforce is tending towards 45+. In

japan the birthrate is less than death rate.

7. BABY BOOMERS: the average age of workforce is more than 40+ becausemore people were born in the 1980s era.

8. JOB MISFIT: wrong person is put in a job i.e. every job requires a separateskillset and the person not having that is put on the job which leads to

inefficiency and fall in growth of the employee and the organization.


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Every industry is facing talent shortage:

IT INDUSTRY: 3% to 20% revenue on training. BPO & KPO combined: 2,50,000+ people. AVIATION: shortage of 1700+ pilots 10000+ engineers and logistic staff. ANIMATION: 10000+. RETAIL INDUSTRY.

And many more

SHORTAGE OF ANY KIND CAN BE ADDRESSED BY

REDUCING DEMANDOR

INCREASING SUPPLYREDUCTION is possible through Automation, Outsourcing & computerization.

INCREASE is possible through migration, training, offshoring, flexibility and

optimizing workforce.

War of talent is shifting the balance of power from

companies to employees.

SHORTAGE OF ANY KIND CAN BE ADDRESSED BY

GOVERNMENT ROLE OF EMPLOYERS


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ROLE OF EMPLOYEEROLE OF GOVERNMENT:

Rework education facilities. Relax immigration policies. Tie up with private players to train, outsource and recruitment of talented

workforce.

ROLE OF EMPLOYERS:

Train and generate a talent pool. Provide benefits and opportunities. Recruit skilled manpower. Motivate present employees. The organization that lack good educational and training facilities should

have to turn them into learning organizations.

Hire underemployed, unemployed, disabled and older workers by creatingright environment.

ROLE OF EMPLOYEE:

Update skills in accordance to the profile. Stay in an organization for a considerable period of time and learn. Get acquainted with latest developments. Plan their career. Get most out of training.


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Self-motivate.

REFERENCES:

TALENT CRUNCH ISBN:81-314-0796-9 MANPOWER ARTICLE NUMBER 9-788131407-967 HARVARD BUSINESS REVIEW FIGHT THE LOOMING TALENT

SHORTAGE FEB 2008.

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talent dearth

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