Only half the UK’s employers have some form of talent management system in place, according to research.
Maximising Talent for Business Performance, a study of 1,550 individuals by the Chartered Management Institute and Ashridge Business School identified key challenges in uncovering and managing talent within UK organisations.
The report suggested that many employers confuse performance with talent management, using achievements to indicate future potential. Yet only 31% of respondents were confident that their appraisal system accurately identified high-potential individuals.
Mary Chapman, chief executive at the Chartered Management Institute, said: “Even where talent management systems are in place, many employers fail to use them to drive performance and competitiveness.
“If UK organisations are to succeed in a global environment, talent management systems should be aligned with business strategy. Only then will the right talent be identified and nurtured to match the long-term growth plans of an organisation.”
According to the report, measuring return on investment for talent management remained a source of difficulty for organisations.