Performance and Talent: Introduction and Overview

Abstract

Today’s markets constantly challenge companies and organizations, while multiple factors determine the competitive advantage of a company: financial capital, innovations, and technologies.

But there is only one sustained and not easily replicated factor: talent and how it is managed.

Activities in talent and performance management have the goal of always having the right people in the right positions: today, tomorrow, and in the long term.

Business is increasingly global, volatile, and influenced by a lot of worldwide challenges – securing growth and future success will depend significantly on how talent is managed while aligning all initiatives in these areas to an overall business strategy.

A lot of variations exist in how the term “talent” is defined in a business context. Nowadays, it is generally accepted that talents are those individuals that do not only contribute to organizational performance but make a valuable difference to it. Their potential and way of contribution is essential to achieve the defined business goals and future strategic position of an organization. These interpretations underline the importance of recognizing that it is not sufficient simply to attract individuals with high potential. Developing, managing, and retaining talent as an organizationally embedded culture target the whole workforce.

The talent and performance management framework constitutes an integrated approach to many areas, such as recruiting, development planning and learning, succession planning, mentoring, coaching, and compensation. All these components are essential to reach sustainable and desired results and provide a context for employees to perform at their best.

The topical chapters provide insight to these components and their challenges in today’s business environment from various perspectives.

This overview chapter provides aspects of the people, economic, risk, and operational perspectives of contemporary organizations’ approach to talent and performance management, exploring needs and expectations of both the organizations and the individuals working for them.