1.

1Background
We are living in an age where technological advances are fast and,
consequently, technological, cultural, social, and political changes are
inevitable. Attracting talented employees to the business, maintaining
them and ensuring their loyalty to the business, availability of education
and career development opportunities, career management, succession
planning and service of coaching by the managers to their staffs are
considered as important points. The staffs now prefer business
environments in which they will develop, renovate themselves, learn
continuously and in which their ideas are supported and encouraged.
Talent management has become a main issue in multinational companies
and as a new stage talent management is becoming a way of applying
human resource management functions in the organizations. The labor
market has entered a new era as a result of innovation, knowledge
development, globalization and increased competition.
Talent Management refers to the organization attracting, retaining,
motivating, training and developing talented people that an organization
requires to remain competitive, (Collings & Melahi, 2009). This
competitiveness can only be derived from positive and growth oriented
employee outcomes. Nowadays, talent management has become an
essential priority for modern organizations, and organizational success is
directly related to talent that is attracted, hired, developed and retained,
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(Ashton & Morton, 2005). Talent management that gives competitive

employee outcomes is the process of building effective relationships
with people in their roles, creating a great place to work and treating
individual employees fairly, recognizing their value, giving them a voice
and opportunities for growth (Thompson, 2012).
(Stockley, 2015) Defines talent management as the conscious, deliberate
approach undertaken to attract, develop and retain people with the
aptitude and abilities to meet current and future organizational needs.
Talent management is concerned with the recruitment, selection,
identification, retention, management, and development of personnel
considered having the potential for high performance.

Talent management ensures organizations that right people with fit skills
located at right place to access business strategy. In fact, talent
management includes complete set of process to recognize, manage
people for success of business strategy that organization uses it
(Ballesteros, 2015).
Talent management appears as business strategic action, because focus
on staffs and has most effect in business difference strategies. This
include the perspective that some of people have more potential for
represent value added and this work must be represent at status have
most effect on strategy goals. This means best decision is needed with
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attention to human capital to access business strategy. (Boudreau &

Ramstad, 2007)
Determinants of talent management in this study include; talent
attraction, talent retention, employee training and career management.
To be successful an organization needs to align talent management
strategies with the organizations strategy. According to (Gardner, 2002),
this is usually an unmet need in many organizations leading to negative
employee outcomes.
1.2 Statement of the problem
Talent management processes change over time in response to the
impacts of both internal and external factors on the workplace. For
instance, globalization, workplace reform and changes in the
demographic composition of the workforce have affected how talent
needs to be managed. The growth potential of organizations depends on
the ability of companies to have the right people, in the right place at the
right time. Employers are forced to compete, to attract and retain an
increasing pool of talented individuals in order to achieve their
objectives. Companies with effective talent management practices
deliver better results for shareholders. Effective talent management
practices can create enduring competitive advantage and enhance
organizational performance.

Standard Chartered Bank Ltd is one of the organizations in Nepal that

practice talent management. It is necessary for an organization to
evaluate the effectiveness of talent management in ensuring that
organizations such as Standard Chartered Bank Ltd achieve their
objectives and improve performance. However, no previous studies have
been carried out in Nepal to determine the correlation between talent
management and organizational performance. Therefore, this study
sought to bridge the knowledge gap by investigating the effect of talent
management on organizations performance at Standard Chartered Bank
Ltd.
1.3 Literature review
Talent management is the implementation of integrated strategies or
systems designed to increase workplace productivity by developing
improved processes for attracting, developing, retaining and utilizing
people with the required skills and aptitude to meet current and future
business needs.
Talent management is the additional management processes and
opportunities that are made available to people in the organization who
are considered to be talent (Ashridge, 2007). Talent management can
be a planning tool for human resource management. As a planning tool,
talent management looks very similar to workforce planning, but where
HR will experience a real opportunity for contribution to the
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organization is in the quality of implementation, supporting the plan.

Talent management is the systematic attraction, identification,
development, engagement/ retention and deployment of those
individuals who are of particular value to an organization, either in view
of their high potential for the future or because they are fulfilling
business/operation-critical roles. (Kehinde, 2012)
A recent study shows that 85% of HR executives state that the "single
greatest challenge in workforce management is creating or maintaining
their companies' ability to compete for talent." Without question,
effective talent management provides one of the most critical points of
strategic leverage today. Offering enormous business value, talent
management is complex and continually evolving. Influenced by
external factors such as the economy, global expansion and mergers and
acquisitions, critical success factors for effective talent management
include alignment with strategic goals, active CEO participation and HR
management. Over time, common themes around talent management are
emerging, such as the role of line leaders in the development of talent.
Overall, the main recurring themes are CEO involvement, culture,
management, processes and accountability.
Research shows that organizations increasingly focus on talent
management. Moving from reactive to proactive, companies are working
hard to harness talent. According to SHRM's (2006) Talent Management
Survey Report, 53% of organizations have specific talent management
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initiatives in place. Of these companies, 76% consider talent

management a top priority. In addition, 85% of HR professionals in
these companies work directly with management to implement talent
management strategies. Yet different companies may not define talent
the same way. The belief in talent and its impact on the bottom line are
at the heart of talent management. To be effective, the talent mindset
must be embedded throughout the organization, starting with the CEO.
Going beyond succession planning for top leadership positions,
companies that value talent have a deep appreciation for the contribution
of individuals at all levels, now and for the future. In essence, talent is
the vehicle to move the organization where it wants to be.
1.3.1Theoretical Framework

Talent Attraction

The components of talent attraction are recruitment and selection,

employer branding, employee value proposition and employer of choice
(Armstrong, 2006). Recruitment and selection requires that
organizations use various methods or techniques of selecting the right
talent that reflects the culture and value of that particular organization
(Armstrong, 2006). The talent pool is a group of employees with special
traits and are source of future senior executives (Lyria, 2010). The
sources of talented employees can be internal or external .The best way
to create a talent pool is the internal sources since the employees have
already the knowledge of how business processes work and can be
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incorporated directly into the new position and the morale of workforce
uplifted (David et al, 2007). However, if the organization wants to
introduce radical changes or to renew the culture, external sources are
the best (Ballesteros et al, 2010). Employer branding includes
development of an organizations image, good enough to attract
employees. In order to attract the best, organizational branding is a
useful strategy, the organizations that manage its corporate brands
effectively, gains advantage in the highly competitive global market
place.
Talent Retention

Talent retention aims to take measures to encourage employees to

remain in the organization for the maximum period of time. Talent
turnover is harmful to a company's productivity because costs of
attraction are high. Direct cost refers to turnover costs, replacement costs
and transitions costs, and indirect costs relate to the loss of production,
reduced performance levels, unnecessary overtime and low morale
(Echols, 2007). (al, 2008) defines two classification of retention tool to
suffice employees expectation: extrinsic and intrinsic incentives.
Extrinsic incentives includes different sorts of monetary rewards which
can satisfy employees physiological needs, while intrinsic incentives
refer to non-monetary rewards that can fulfill employees psychological
needs.

Learning and Development

Talent development is the process of changing an organization, its

employees, its stakeholders, and groups of people within it, using
planned and unplanned learning, in order to achieve and maintain a
competitive advantage for the organization (Davis et al, 2007). As
businesses continually apply new technologies, new business growth
models, and new market strategies, the workforces up-skilling becomes
constant and continuous. Understanding strategies to talent retention and
development will be able to help companies listed in the Nairobi
Security Exchange to be successful in operating in the market place
hence lead to good organization performance. Organizations which
practice effective learning and development begin with their employees.
This implies that they identify the employees who need learning and
development, the level of learning and development they need and the
duration during which learning takes place (HARBURG, 2003).
Organizations with first class learning and development initiatives are
excellent in listening on employee improvement needs and are able to
express those needs back to the employee in clear and enlightening
terms.

Career Management

There are several elements of career management including career

development and planning which focuses on planning of employee
growth and progression; career pathing which involves creating
established career paths and families of jobs within a given area
allowing employees have a vision of progression as well as goals and
expectations; employee development consisting of programs and
initiatives; learning and development initiatives; management coaching;
competitive reward systems; career centers; succession planning;
performance management/feedback; and cross-functional development
programs (Allen, 2005). Career management consists of both formal and
informal activities including employee workshops, job rotation, job
enrichment and career progression ladders, for example organizationally
planned programs or developmental stage theories.
Organizations may also contribute to career identity by providing
abundant opportunities for self-development, opportunities for
advancement and mentors (Dargham, 2013). (Sturges et al, 2002)
observed that organizational career management enhances employee
commitment and hence organization performance. Career management
help can be seen as one form of perceived organizational support.

Talent Management and Organization Performance

Talent management practices can create the most permanent competitive

advantages, new technologies and innovations can easily be replicated
by competitors and generate only temporary competitive advantages.
Sustained competitive advantage comes from talent management;
practices in other words, how the organization attracts, develops, retains,
motivates, manages, and rewards its talent. (Heimen et al, 2004) Like a
machine, a business will fail to operate successfully if key elements such
as processes, systems, and structure are misaligned or hindered by
friction between those element and like a machine, a business must be
designed, operated, and maintained. These functions are performed by
the talent the human capital employed by the enterprise. Indeed, talent
(i.e., an organizations employees), typically is the single biggest lever
for driving improvements in business performance. The collective skills
of the talent employed in an organization largely comprise the
organizations core capabilities. An organizations talent injects
capabilities that are very difficult for competitors to benchmark and
replicate. More than any other asset, talent provides the potential for
long-term competitive advantage (Lawler, 2008).

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1.3.2 Conceptual Framework

1.4 Objectives of the Study

1.4.1 Main Objective

The main objective is to investigate the effect of talent management on

organizations performance at Standard Chartered Bank Ltd.
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1.4.2 Specific Objectives

1. To establish the effects of talent attraction on organizations

performance
2. To find out the effects of talent retention on organizations
performance.
3. To determine the effect of employee training on organizations
performance.
4. To establish the effect of career management on organizations
performance.
5. To determine the combined effects of talent management on
organizations performance

1.5 Hypothesis

H1: There is a positive and significant relationship between Talent

Management and Talent Attraction.
H2: There is a positive and significant relationship between Talent
Management and Talent Retention.
H3: There is positive and significant relationship between Talent
Management and Learning and Development.

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H4: There is positive and significant relationship between Talent

Management and Career Development.
H5: There is positive and significant relationship between Talent
Management and Organizational Performance.
1.6 Research methodology and procedure

Research methodology is a systematic way to solve a problem. It is a

science of studying how research is to be carried out. Essentially, the
procedures by which researchers go about their work of describing,
explaining and predicting phenomena are called research methodology.
It is also defined as the study of methods by which knowledge is gained.
Its aim is to give the work plan of research.
Research design

The research study will be a descriptive survey type involving informed

and desirable persons who will help identify salient characteristics and
unique features of target population to very accepted degree.

Target Population and sampling

This research tries to cover all the employees from all the department of
Human resource, Finance and Customer care, marketing, sales, grounds
men and storekeepers working at of Standard Chartered Bank Nepal Pvt.
Ltd.

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Sample respondents will be limited to employees working in Kathmandu

valley. This is to enable data collection to be carried out as the
researchers are based in Kathmandu valley. The unit of analysis in this
study is individual. Due to time constraint and other reasons, data will be
collected from 100 random samples from the respondents.

Data collection and procedure

The source of data is mainly primary data collection and secondary data
collection for reference.
For the collection of primary data, a set of standard questionnaires and
semi-structured interview guide/schedule are used where 5 point likert
scale will be used in the questionnaires. The questionnaires will help to
know the relationship among the dependent variable (i.e. organizational
performance) and the independent variables (i.e. talent management)

Data analysis

According to the nature of the study and research, various statistical

tools and financial tools can be used for the data management and
analysis. Data analysis using software programs like SPSS is used to
obtain the required results from the collected data. For the simplification
and convenience, different bar graphs, charts and tables will be used.

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