Performance Management or Talent Management?

Talent Management vs Performance Management Which One Helps Your Organisation Stay Agile?

Talent vs Performance Management While they have similar names, talent management and performance management serve two very different purposes.

The former is about recruiting, retaining and rewarding employees, while the latter is a more niche examination of employee performance using metrics and feedback.

Talent Management

What are its main factors?

Talent management includes anything that encourages strong performance and empowers employees to fortify their career pathways. Think recruitment, learning and development, performance management, and retention.

Why is it important?

Recruitment is only a 1/4 of the job. Retaining and developing talent that is unique to an organisation and its needs is the name of the game.

Talent management ensures businesses have the right resources when needed, a real-time succession plan, improved employee engagement and less turnover thanks to strategic hiring.

Steps to implement a strategy 1) Identify key organisational goals and priorities 2) Spotlight any organisational drivers and challenges 3) Undertake a skills gap analysis 4) Build HR objectives and priorities 5) Track and measure new HR directives.

Performance Management

What are its main factors?

While traditionally it was all about promotions, remuneration and discipline, today the focus is holistic.

That means setting expectations to employees, continuously monitoring individual performance, giving weight to certain behaviours and thought processes against organisational standards, recognising outstanding performance and developing employees’ ability to selfevaluate.

Why is it important?

It’s vital not only to an employees’ day-to-day work but also their career with their organisation. By clearly outlining the responsibilities and success criteria of a job role, employees are motivated to perform better and strive for innovation.

These employees therefore require less oversight from managers and lead to more efficient teams which leads to a higher performing organisation.

Steps to improve your strategy 1) Define your organisation’s mission and then set objectives and performance goals that will achieve those 2) Identify and consult key stakeholders 3) Create team-specific objectives across the organisation and then goals at the individual employee level 4) Track progress to monitor employee workflows and the effectiveness of metrics and execution.

Better Together?

Talent & Performance Management The common ground between talent management and performance management is that both are built on organisational goals, with the intention of driving value for the business.

Creating a plan for both requires a little organisational soul-searching but leads to higher productivity, efficiency and ROI in the long run.

You can learn more about this topic by checking out the full article: https://acornlms.com/resources/performance-talentmanagement-tips