When deploying a talent management system, it is important to cover all the vital areas, streamline integration, and ensure enriched employee experiences across their tenure. We look at seven Dos and Don’ts to improve talent management efficiency at mid-to-large sized organizations.
While Human Resource Information Systems or HRIS have long been a staple for medium to large-sized organizations, some employers take it a step further by adopting end-to-end talent management systems. A talent management system streamlines the entire employee journey, right from recruitment, to training, engagement, and finally off-boarding. But before we look at the best practices in greater detail it is important to understand what exactly a talent management system is.
In a mid-to-large company, talent management systems generally comprise four key modules: recruitment, performance management, learning and development (L&D), and benefits/compensation. A fully integrated talent management system would ideally cover all these touchpoints, but large companies often choose to buy discrete modules and later flesh out the entire talent management pipeline. We share seven best practices to understand which modules need reinforcement at your organization, how to make integrations simpler, and build a genuinely impactful talent management system.
Also read: Talent Platforms in the Gig EconomyOpens a new window
DO Invest in Continuous and Informal Corporate Learning
L&D modules of traditional talent management suites are utilized for course administration, training session scheduling, and other regularized organizational programs. However, recent trends point towards a new L&D landscape highlighting the benefits of a more informal and employee-specific learning experience.
“We have a Talent Development team that offers support for everyone at Shopify throughout their employee journey. This extends beyond their first 18 months in the role and involves programs that focus on personal and professional development and gives them the opportunity to self-direct their learning,â€Â Jean-Michel Lemieux, SVP of Engineering at Shopify, told us in an insightful interviewOpens a new window .
A next-gen talent management system should, therefore, look at incorporating online courses, simulated learning, L&D personalization, and mobile support to boost impact.
DON’T Rely on Biannual/Annual Appraisals (Only)
Recently we are witnessing the rise in popularity of weekly or even daily feedback structures among SMBs. Obviously, in smaller business environments, exchanging regular feedback is much simpler and can be conducted via Slack, office emails, or even one-on-one conversations. It is vital for larger companies to take inspiration from this and encourage frequent feedback even among many-member, cross-departmental teams.
While daily/weekly feedback is important, the role of institutionalized appraisals as a key measure of performance cannot be ignored. “When people say annual reviews are passé, they’re realizing we need to separate the two different processes. It’s not necessarily passé to do an annual performance appraisal for the purpose of setting someone’s salary,†said Opens a new window Didier Elzinga, CEO, and Founder of Culture Amp. “But you need to separate the salary conversation from the performance/coaching conversation, and the latter needs to happen a lot more than once a year.â€
We suggest maintaining a careful balance between the two, outlining clear communication channels while retaining formal appraisals as part of your enterprise HR playbook.
DO Link Compensation and Rewards to the Performance Management Module
Surprisingly, several large organizations continue to perform compensation-related activities via spreadsheets, instead of deploying dedicated software tools. These legacy approaches are difficult to integrate with a larger talent management system, leading to gridlocks and poor visibility. By making compensation and rewards part of the talent management system you not only reduce manual efforts but also allow employees to link their contributions to bonuses/rewards earned.
DO Consider an End-to-End Talent Management System for the Entire Employee Lifecycle
As mentioned, mid-to-large sized organizations generally have multiple solutions across recruitment, training, reviews, and payroll, integrating these into a single ecosystem post-implementation. However, this could lead to a variety of usage challenges, issues in information flow, and technical difficulties in keeping the system operational.
Today, there are several vendor-integrated talent management solutions available which simplify the entire process, making sure your IT team isn’t left occupied to troubleshoot common system glitches. The NEOGOV and FirstNet Learning partnership Opens a new window is a good example, culminating in composite talent management and learning solution for US-based governmental/public organizations.
DON’T Blindly Choose Talent Management Systems that ‘Look and Feel’ Integrated
Poor integration among the four modules mentioned is often a result of dissonance between in-house development and acquired parts, masked by a uniform UI. While purchasing an expensive talent management suite, large companies are sometimes unaware of exactly which modules were built by their vendor, and which were brought in as a result of the acquisition. Before selecting a talent management system, therefore, it’s best to investigate these specificities and follow due diligence for any acquisition-based features.
Also read: 10 Best HR Talent Management CompaniesOpens a new window
DO Reach Out to Other Organizations in Similar Industries
Remember, vendors could present ‘model’ customers as references whose experiences may not mirror your use-case. If you are investing in a popular solution or talent management module, look for customers in your scale and domain using core HR systems resembling your own. This will go a long way in preventing any integration roadblocks between the talent management system and other HR components (like HRIS).
DON’T Leave Out your IT team at the Time of Implementation
Cloud-based talent management applications are designed specifically for business users — easy-to-deploy with a fast learning curve. However, as these are largely meant for SMB usage, the feature set might be slightly lacking or out-of-sync with your unique requirements.
Instead, look for a talent management solution that meets your specific objectives, even if the implementation process looks complex. Here’s where your IT team comes in. If integration proves difficult, an in-house IT resource will be able to match technical requirements with a clear understanding of your organization. Across the post-implementation process, they would ensure perfect integration with different modules, resolve any issues, and offer the best possible talent management Opens a new window capabilities without being limited by deployment simplicity.
Also read: Ascendify Announces AI-Powered Talent Management SolutionOpens a new window
In Closing
There you have it; by following these seven best practices, mid-to-large sized organizations can smartly harness available resources to manage their expansive and individualized requirements. Remember, the solution should be open to scaling, implying multiple integrations and iterations across the software’s lifecycle. That’s why we recommend an intelligent combination of market-leading technology, in-house expertise, and strategic intervention as the way forward.
What are your talent management objectives for the new year? Share your thoughts on this vibrant space and join the discussion below.