Over one thousand CEOs were asked, “How important are the following sources of competitive advantage in sustaining your growth over the long-term?”
Nearly 100% said “Finding and keeping key people.”
Notably, the next three most important concerns were:
- Ability to adapt to change
- Strength of branding and reputation
- Quality of customer service
From PricewaterhouseCoopers, 12th Annual Global CEO Survey, 2009.
Hiring the right, top talent for key positions is the best guarantee of success toward addressing these important factors, as well as realizing all other goals important to your organization. For example, high performers in operations increase productivity 40%; high performers in management increase profits 49%; and high performers in sales bring 67% greater revenue.
Unfortunately, turnover at any level, especially with top performers, costs money and drains resources, with exact figures dependent on industry, position, and location. Estimates range from 30% to 250% of annual salary. Because top performers drive business performance, losing them can endanger organizational growth.
The costs add up quickly and include the price of promotion and your valuable time, along with the cost of vacant positions. Training and on-boarding add to this cost, making it even more expensive when significant skills and/or professional training is required.
Strategic Talent Management (STM) directly addresses how organizations can excel by applying science to people-related challenges. Unlike assessment tools most commonly used in hiring or recruiting to quantify behavior or personality, STM uses Targeted Assessment Profiles™, a modern variant of The Hartman Value Profile™. This scientific approach was originally created by Robert S. Hartman, who was nominated for a Nobel Peace Prize in 1973 for his work.
Modeling Hartman’s work, STM precisely pinpoints a candidate’s talent, competencies, attitudes, values, energy and drive. Recent advances in brain science confirm the critical role of these factors in making measurable and permanent impact on behaviors. Coaching and development is also moving toward a more scientific base.
Assessments by themselves do not guarantee success, but science based assessments provide a base from which you can plan your hire, select the best possible candidate for the position and have all the information required for successful on-boarding and a top performing long-term employee. Look for future blogs on these topics.
Using Targeted Assessment Profiles™ as a core tool, organizations can:
- Recruit the right people for the right position the first time
- Direct and grow talent inside the organization
- Improve a line manager’s ability to manage