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DOI: 10.1002/tie.

22090

RESEARCH ARTICLE

The efficacy of talent management in international business:


The case of European multinationals

Chitalu Kabwe | Chukwuneke Okorie

Plymouth Business School, University of


Plymouth, Plymouth, UK Abstract
The focus of this study is on the efficacy of talent management (TM) practices to the
Correspondence
Chitalu Kabwe, Plymouth Business School, performance and operations of international businesses. There are relatively limited
University of Plymouth, Drake Circus, dedicated studies on the value and effectiveness of TM as an identifiable interna-
Plymouth PL4 8AA, UK.
Email: cbkabwe@yahoo.com, chitalu. tional practice and its contribution to international business. Anecdotal research and
kabwe@plymouth.ac.uk consultants' reports have argued for an increase in the return on investment where
TM practices are aligned with the business strategy. Conceptually, human capital the-
ory is adopted to explain investment in high potentials in addition to the resource-
based view, which help explain the development of internal sources of competitive
advantage, which are rare, inimitable, nonsubstitutable, and valuable. This article
builds on knowledge by qualitatively examining managerial experiences of TM prac-
tices within 17 European internationally operating businesses with employees rang-
ing from 800 to 200,000. An exploratory qualitative approach is adopted, with
semistructured interviews as the main data collection tool. Findings accentuate the
significance of developing the most valuable source of competitive advantage—peo-
ple. We argue that, if TM is effectively implemented can result in the development of
unique competences, which can ease the burdens of cross-border business chal-
lenges and lead to sustainable competitive advantage.

KEYWORDS
international business, talent, talent management

1 | I N T RO D UC T I O N of academic research lacks empirical research and has tended to be


based upon anecdotal practitioner and/or consultancy views and small
The focus of this study is the efficacy of talent management case study-based investigations (c.f. Hartmann, Feisel, & Schober, 2010;
(TM) practices to the performance and operations of international busi- McDonnell et al., 2010; Stahl et al., 2007). Although there is now an
nesses. In particular, we explore: (a) What is the value of TM practices in increase in research on TM at an international level (Ahamand et al.,
international firms and; (b) To what extent do TM practices contribute 2018; Ambrocious, 2018; Bhattacharyya, 2017; Co, Nguyen, Nguyen, &
to the productivity of international firms? The study employs data col- Tran, 2018; Latukha, 2018; Lazaris & Freeman, 2018), a gap remains as
lected from senior managers and human resource (HR) managers regards to the context (Collings, Scullion & Dowling, 2009; Tarique &
involved in TM within 16 European internationally operating business Schuler, 2010; Thunnissen, Boselie, & Fruytier, 2013; Thunnissen, 2016)
with the number of employees ranging from 800 to 200,000. Through and effectiveness of the approaches taken to manage talent in different
the use of data from these companies, the current research offers the types of international organizations. The present research contributes
much-needed empirical evidence on a growing research field of TM. As to filling this gap by exploring the efficacy of TM to international busi-
noted by McDonnell, Lamare, Gunningle, and Lavelle (2010), TM as field ness through lived experiences of senior and HR managers in Europe.

Thunderbird Int. Bus. Rev. 2019;1–16. wileyonlinelibrary.com/journal/tie © 2019 Wiley Periodicals, Inc. 1
2 KABWE AND OKORIE

Europe presents an interesting context for developing an under- Finally, we make a contribution by studying TM within interna-
standing of TM. In 2007, the Boston Consulting Group survey con- tional businesses in the context of Europe. Recent studies (Tansley
cluded the HR profession within the European context was least et al., 2013; Thunnissen et al., 2013) have called for consideration of
competent in managing talent although TM was regarded one of the relevance of context in TM. The study also builds on the work of Thu-
five key managerial challenges (Boston Consulting Group, 2007). nnissen et al. (2013, p. 1745) who noted the current concepts and
Despite this perturbing conclusion, the Boston Consulting Group assumptions in the TM literature are more related to U.S.-based
(2007) survey report argued over a five-year period, organizations MNCs, which renders a description of TM in another context inaccu-
with TM programs, which are aligned with the business strategy, rate. Therefore, industry-related and national-related characteristics
delivered a return on investment measured by return on common have to be taken into account to define and describe TM precisely
equity (ROE), 20% higher on average than those of rival companies (Boselie, 2010).
where strategies are not aligned. Where key elements of their TM
programs are aligned, ROE over a five-year period averages 38%
2 | WHAT IS TALENT MANAGEMENT?
higher than that of competitors without alignment (Collings et al.,
2010). Another report by Ernst and Young (2010, p. 4) argue “Superior
Before the introduction of the concept of TM, competence and skills
TM correlates strongly with enhanced business performance.” How-
development were the most commonly used terminology in the
ever, the academic literature shows there is little empirical evidence
Human Resources Management (HRM) literature (Boulter & Hill,
on TM and its contribution to organizational performance in the long-
1996; Hooghiemstra, 1992; Mansfield, 1999). There has been a more
term (Joyce & Slocum, 2012; McDonnell, 2011; Schuler, Jackson, &
generic emphasis on competence development within the HRM litera-
Tarique, 2011a, 2011b; Sparrow & Makram, 2015). This is a key
ture because of the focus on the development of all employees and
starting point for this study.
ensuring everyone performs to the required standard. Undoubtedly,
This article presents a more focused exploration of the effective-
TM as a management practice and academic field has emerged as an
ness of TM for international business to fill the highlighted gap earlier.
important and clearly novel practice that makes a departure from the
Although there have been valuable contributions to TM at a global
level (Collings & Mellahi, 2009; Farndale, Scullion, & Sparrow, 2010; HRM egalitarian approach, which focuses on the welfare of all

McDonnell et al., 2010; Tarique & Schuler, 2010), TM and expatriation employees. TM employs segmentation of the workforce as a key dif-

(Cerdin & Brewster, 2014; Vaiman, Haslberger, & Vance, 2015), and ferentiating characteristic, which enables concentration on the devel-

global TM (GTM) and competitiveness (Petkovic & Dordevic, 2013), opment of a selected few individuals who are capable of making a

an interest in MNCs (Cascio & Boudreau, 2016; Hartmann et al., disproportionate impact on organizational performance (Iles, Chuai, &

2010; McDonnell, 2009; Mellahi & Collings, 2010) and empirical stud- Preece, 2010). Two key points are presented below.

ies remain sparse (Tansley, Kirk, & Tietze, 2013; Thunnissen et al., First, TM presents an important managerial practice necessary for

2013). There are limited studies that address the extent to which TM, building an inimitable, rare, and sustainable source of competitive

as an identifiable international practice and its contribution, has to advantage. The practice of TM allows an organization to develop their
international business. For example, Cerdin and Brewster's (2014) identified talent internally using a variety of development activities
study highlights the gap between expatriation management and TM, (Iles et al., 2010; Collings et al., 2010). In this respect, TM is not only
which are undeniably closely related, but are hardly ever studied or important in creating inimitable intangible assets and cultivating an
managed together despite their contribution to international business. internal labor market but also plays a key role in retaining talent
In this vein, we build on knowledge in the field of TM in three (Sparrow & Makram, 2015). As noted by Sparrow and Makram (2015),
major ways. creation of value through TM at the organizational level is done
First, we explore the managerial practical experience of the effi- through exploiting the organization's internal resources and capabili-
cacy of TM by qualitatively examining these practices. Although there ties to implement strategies that enable them to respond to market
has been recent research examining the link between TM and organi- opportunities, for example, by creating economic value and enhancing
zational performance (Gelens, Hofmans, Dries, & Pepermans, 2014; an organization's performance in international operations.
Luna-Arocas & Morley, 2015) and studies investigating employee Second, in relation to the line of argument by Hamel and Prahalad
work attitudes as mediating variables in TM research (Chami-Malaeb & (1993, 1994), TM can be regarded as a means of building an organiza-
Garavan, 2013; Luna-Arocas & Morley, 2015), the practical explora- tion's core competences. These authors argue that, competitive
tion gap still remains (Sparrow & Makram, 2015). Second, we make a advantage in the long term stems from building core competences in a
theoretical contribution through the adoption of the human capital firm, which are superior to those of rivals. Sparrow and Makram
theory (HCT) and the Resource-based view (RBV). Although previous (2015) refer to what they call the TM architecture, which is the combi-
research has suggested linking TM to HCT (Crane & Hartwell, 2019; nation of systems, processes, and practices developed and
Tarique & Schuler, 2010) and using the framework as a conceptual implemented by an organization to ensure the management of talent
underpinning of TM (McDonnell, 2009). The theories appear not to is carried out effectually. By assuming the operation of these TM
have been applied as a dual interpretive framework for TM practices architectures, there is an implied reliance on human capital thinking to
in international organisations. make a series of value claims including the fact that value resides in
KABWE AND OKORIE 3

the unique set of knowledge, capabilities, contributions, commitment, higher productivity (Sparrow & Makram, 2015). Second, while IHRM
skills, competencies, and abilities possessed by an organization's talent addresses broader concerns as a result of broader stakeholders and
(Schiemann, 2014; Sparrow & Makram, 2015). Given this thinking, TM criteria, whereas GTM focuses on attracting, developing, and retaining
practices present a new way of building an organization's competitive- employees in multinational enterprise (MNE) (Tarique & Schuler, 2010).
ness, which may be regarded as inimitable. According to Iles et al. (2010), TM is integrated HRM with a selective
Discourses of TM at a global level have been sustained by the focus on a relatively small segment of the workforce, regarded as “tal-
assumed contribution to an organization's productivity and competi- ented” based on their current performance or future potential.
tive advantage (Beechler & Woodward, 2009; Björkman, Ehrnrooth, Third, IHRM encompasses more HR policies and practices while
Smale, & Sumelius, 2013; Collings & Mellahi, 2009; Joyce & Slocum, GTM tends to be primarily focused on the HR policy and practice
2012; McDonnell, 2011; Ready & Conger, 2007; Schuler et al., 2011a, activities of planning, staffing, appraising, compensating, and training
2011b; Son, Park, Bae, & Ok, 2018; Sparrow & Makram, 2015). Tal- (Collings & Mellahi, 2009). In addition, TM also includes strategy,
ented employees are considered as a firm's intangible resource; and a organizational culture, and change management (Iles et al., 2010). In
system of practices and systems to manage them are considered to be this respect, TM can be considered as a subdiscipline of IHRM (Iles
the most valuable (Dewhurst, Hancock, & Ellsworth, 2013; Scholz, et al., 2010). IHRM has a wide range of policies and practices including
2012). Therefore, the focus of TM is not only filling positions with the planning, staffing, compensating, training and developing, appraising,
right people but more so contributing to the strategic goals of a com- labor relations, and safety and health (Briscoe et al., 2009; Dowling,
pany (Farndale et al., 2010; Lewis & Heckman, 2006), and is seen as a Festing, & Engle, 2008).
set of tools to generate a firm's competitive advantage (Latukha, Finally, in many cases, TM adopts an exclusive approach focusing
2018,p. 69). Indeed, within an international context, organizations only on a few individuals regarded as having high potential and/or tal-
often find a strategic value from employees who possess forms of ent. IHRM has an egalitarian approach that focuses on the welfare of
human capital, which go beyond the firm-specific level (Morris, Snell all employees. TM, based on an exclusive approach, promotes the
& Björkman, 2016). Therefore, at an international level, TM is seen as identification and development of a selected few individuals who are
a means of facilitating the development of sustainable competitive capable of making a disproportionate impact on organizational perfor-
advantage through identifying, recruiting, developing, motivating, and mance. Indeed, in practice, there are two main approaches used by
retaining the best people to achieve strategic goals of a company with organizations—exclusive and inclusive. First, the exclusive approach
a focus on key positions (Collings & Mellahi, 2009; McDonnell & that promotes an elitist perspective holds that only about 20% of an
Collings, 2011; Scullion & Collings, 2010). organization differentially contributes to the performance of the orga-
Mindful of all these considerations, GTM is defined for the pur- nization and are, therefore, worthy of investment in development
pose of this article, as “the strategic integration of resourcing and (Dries, 2013; Gallardo-Gallardo, Dries, & González-Cruz, 2013;
development at the international level and involves the proactive Swailes, 2013; Tansley et al., 2007). Although GTM and its many
identification, development and strategic deployment of high per- potential challenges can be examined in the context of IHRM, there
forming and high-potential strategic employees on a global scale are significant differences between the two concepts.
(Collings, Scullion, & Morley, 2007, p. 102).” Identifying talent alone is
insufficient: of more importance is the development and retention of
4 | T M AN D I NT E R NAT I ON AL BUS I N E SS
talented employees who possess the key knowledge to sustain the
competitive position of the company.
International business involves doing business across national borders,
which encompasses operating in different institutional and national
3 | D I F F ER E N C E S B E T W E E N T M A N D cultural contexts as well as dealing with clients, suppliers, advisors,
INTERNATIONAL HRM and employees from a variety of local contexts. Furthermore, the
global economic weight has shifted toward emerging markets
Although there are authors who define TM as a set of HR practices (Cascio & Boudreau, 2016). It is no longer the large organizations—
(Kesler, 2002; Schweyer, 2004; Sullivan, 2004), there are differences MNEs who are engaged in cross-border trade but also small and
between TM/International TM and International Human Resources medium enterprises (Cerrato & Piva, 2012; Co et al., 2018; Lazaris &
Management (IHRM). Four main differences are presented. The first Freeman, 2018). This kind of scenario presents a variety of unique
three refer to the work of Tarique and Schuler (2010) who identify sets of operational and managerial challenges, which require a high
three major differences between GTM and IHRM. First IHRM encom- level of managerial and leadership skill sets. Indeed, academic
passes a wider range of stakeholders (Briscoe, Schuler, & Claus, 2009). researchers have recognized the importance of talent, including all the
The stakeholders can include customers, investors, suppliers, human and organizational elements that are pivotal to enterprise suc-
employees, society, and the organization itself (Tarique & Schuler, cess within the global context (Cascio & Boudreau, 2016).
2010, p. 124). As regards GTM, the most immediate impact is on the TM as an identifiable practice emerged in the late 1990s after the
organization and the talented employees, for example, talent develop- publication of the influential work “War for talent” by McKinsey con-
ment practices will enhance the competences of individuals leading to sultants (Michaels, Handfield-Jones, & Axelrod, 2001). This report
4 KABWE AND OKORIE

highlighted shortage of talent owing to changing demographics and Ghoshal, 1989), which demanded disparate approaches to TM
the aging population in industrialized countries. In recent years, there (Collings et al., 2011). This paragraph was meant to highlight the
is wide recognition of the criticality of TM in a global context to the unique context of this article, an in-depth discussion of the variations
achievement of MNEs' strategic objectives (Collings, 2014; Scullion, in approaches is outside the boundaries of the present study. How-
Collings, & Caligiuri, 2010; Stahl et al., 2012; Tarique & Schuler, ever, it is worth noting that European MNCs as global economic
2010). For example, within the IHRM literature, there is empirical evi- players merit an evaluation of the effectiveness of their TM practices.
dence that highlights the significance of international employee mobil-
ity as a key element of MNE's global talent strategies (McDonnell
5 | L I N K I N G H U M A N CA P I T A L A ND T M TO
et al., 2010; Sparrow, 2007; Stahl et al., 2012). Indeed, these examples
I N T E R N A T I O N A L BU SI N E S S
point to significance of sourcing and utilizing high potential and/or tal-
ented employees within international organizations as a means of
HCT was developed as a contribution to theories on economic
profitably influencing the performance and strategic direction of their
growth. HCT states “the knowledge and skills that people acquire
firms.
through education and training is a form of capital, and this capital is a
TM has been fueled by changes in the international business envi-
product of deliberate investment that yields returns” (Becker, 1985;
ronment, such as international alliances, cross-border mergers and
Shultz, 1971). HCT as advanced by Becker (1976) helps in identifying
acquisitions, and internationalization of small-sized and medium-sized
the conditions under which investment in the development of human
businesses; all of which demand a more sophisticated skill set from
resources makes economic sense for the business enterprise. Exten-
the employees of firms operating internationally. In this respect, there
ding HCT to TM in international business entails viewing talent as
is a growing recognition that the success of international alliances
human capital necessary for developing and sustaining cross-border
depends most significantly on the quality of management in the com-
operations. It is argued that, TM as a practice focusing on the long-
bined venture and on learning (Russo & Cesarani, 2017; Scullion &
term development of human resources could be theoretically
Collings, 2006). This is also evident in the IHRM literature, where the-
explained by HCT (Brewster, Carey, Grobler, Holland, & Wärnich,
re's empirical evidence of the positive relationship between top-
2008; McDonnell, 2009; Tarique & Schuler, 2010). In a conceptual
management team international assignment experience and indicators
of firm performance (Carpenter, Sanders, & Gregersen, 2001; Collings, study conducted by Tarique and Schuler (2010, p. 129), they claim

2014). The rapid growth in these international joint ventures and “HCT can be used to explain the choices the MNE make in managing

cross-border mergers and acquisitions, combined with that of emerg- IHRM activities to meet the challenges of GTM.” The choices firms

ing markets and, in particular the emergence of India and China as make include investing in and developing the necessary skill set

global players in the international business environment, have led to among high-potential employees in order for MNCs to be equipped in

an increased demand for talented individuals with the competence dealing with issues of operating in different national contexts and

required to operate in the global environment (Collings et al., 2007; markets. Therefore, employing HCT entails viewing talent in terms of
Schuler, Jackson, & Luo, 2004). Therefore, identifying, developing, and capital and thus costs related to attracting, retaining, and developing
retaining skilled employees become crucial in order for international talent can be viewed as investments in the human capital of the firm
firms to compete favorably in different markets at home and abroad. (Tarique & Schuler, 2010).
Europe presents a unique landscape for international business In exploring the efficacy of TM to international business, it is
worthy of consideration. First, the European region presents a signifi- important to establish the link between human capital and TM; three
cant player in the global economy with 60 of the 100 largest non- points are advanced in this regard. First, the TM literature has indi-
financial MNEs being headquartered in Europe (United Nations rectly relied upon human capital thinking to make a series of “value
Conference on Trade and Development, 2010). It is considered as one claims” (Sparrow & Makram, 2015; Lepak & Snell, 1999, 2002).
of the triad of regions that drive the global economy (the others being According to Sparrow and Makram (2015), talented employees are
NAFTA and Asia) (Rugman & Verbeke, 2004). Second, within Europe, distinguished from other employees owing to the capital they possess,
multinationals tend to internationalize early due to the relatively small which empowers them to make considerable difference and add value
size of their domestic markets (Collings, Scullion, & Vaiman, 2011). to their organizations. High-potential employees are seen as both an
Early internationalization implies a higher percentage of revenues organization's strategic asset and a manipulable resource that has the
comes from outside the home country (Scullion & Brewster, 2001). potential to contribute to value creation (Sparrow & Makram, 2015).
Numerous European Multinational Corporation or Company (MNCs) For example, in the context of international business, high-potential
built up overseas subsidiaries, which enjoyed a large degree of auton- employees become invaluable as regards the implementation of a
omy, thus making it difficult to switch from the direction of local firm's international strategy as they have the knowledge and compe-
autonomy toward global integration (Collings et al., 2011, p. 456). tences that would help an organization to attain competitive
Indeed, studies have suggested variations in organizational structure advantage.
between North American and European MNCs, with the former plac- Second, TM as a practice can help organizations, particularly inter-
ing more emphasis on formalization of structure and process, while national businesses, to identify critical roles worth investing in and are
the latter places greater importance on socialization (Bartlett & central to the organizations success. For example, in a theoretical
KABWE AND OKORIE 5

model of strategic TM developed by Collings and Mellahi (2009), the in retaining talent (Sparrow & Makram, 2015). As noted by Sparrow
identification of pivotal talent positions is regarded as the first stage and Makram (2015), creation of value through TM at the organiza-
in any TM system. Boudreau and Ramstad (2005, 2007) also advocate tional level is done through exploiting the organization's internal
the identification of key positions that have the potential to differen- resources and capabilities to implement strategies that enable them to
tially impact on sustainable competitive advantage. Identification of respond to market opportunities, for example, by creating economic
pivotal roles can in turn lead to identifying and developing high- value and enhancing an organization's performance.
potential employees capable of substantially contributing to the Therefore, the process of TM accentuates the importance of
attainment of a firm's international strategic objectives. This is particu- developing the most valuable source of competitive advantage—peo-
larly important for international businesses because of the high costs ple. Huselid, Becker, and Beatty (2005) argue that, there are often lim-
of failure. ited financial and managerial resources available to attract, identify,
Third, Mellahi and Collings (2010) contend that effective imple- develop, and retain top performers. As there are different groups of
mentation of GTM, should facilitate the promotion of talent from employees whose value to the organization differs, there may be need
around the global network (both subsidiary and home country talent) for these groups to be treated differently, as they differ in their poten-
to take key positions within the MNEs including being part of the tial to add value or risk the corporate brand; different HR/employee
upper echelon management team at the center. Within MNEs, there resourcing practices may be required for each talent segment (Iles,
are issues regarding the development and ownership of talent 2007, p. 111). Although this should not be at the expense or neglect
between the headquarters and subsidiary, which may hinder the of other employees, it is argued that, it is both reasonable and essen-
development of talent. Owing to the fact that the performance of tial to invest in scarce developmental assignments and spend
subsidiaries is evaluated on the revenue they generate, anecdotal evi- resources on the most promising talent (Walker, 2002, in Iles et al.,
dence shows subsidiaries often veil or put forward less-talented 2010). Similarly, McDonnell (2009) contends that, resources are more
employees (Cappelli, 2008). This is because subsidiary managers may appropriately utilized if MNEs focus on those designated as the key
derive some benefits from the performance of their highly performing talent (high-potential). Certainly, it makes economic sense for an orga-

staff; but derive little or no benefit from their performance in other nization to attract and identify only the high-performing and high-

subsidiaries and/or headquarters should they move on (Mellahi & potential individuals and in turn provide them with further develop-

Collings, 2010, p. 146). As noted by Mellahi & Collings (2010), talent ment opportunities. This should be the ultimate aim of TM practices

ownership issues may impact the effectiveness of TM across globally rather than pursuing the egalitarian approach of HRM.

dispersed subsidiaries. This presents a challenge for senior managers in The effective management of human resources is progressively

MNEs as it may affect their ability to gain a competitive advantage. recognized as a major determinant of success or failure in interna-
tional business (Scullion & Collings, 2006; Stroh & Caligiuri, 1998).
Indeed, the costs of failure in the global business environment are
6 | L I N K I N G R B V A N D TM T O potentially higher than in domestic operations (Dowling et al., 2008).
I N T E R N A T I ON A L B U S I N E S S This makes it imperative for internationally operating businesses to
engage in TM initiatives so as to enable them to identify and develop
In a recent study, McDonnell (2009) contends that, the concept of high-potential employees who are capable of sustaining their interna-
TM may be soundly grounded in the RBV of the firm. The four key tional operations with less risk of failure.
features of RBV are inimitability rare, valuable, nonsubstitutable, and Business survival depends on speed and continuous self-renewal
valuable. Inimitability implies the knowledge, skills, ability, and posses- of knowledge, and developing talent is central to the operations of
sion of unique social relations cannot be easily duplicated by competi- companies in general (Stahl et al., 2007) and in particular to those of
tors. Human talent as a source of competitive advantage may be MNEs. Undeniably, recognizing the impact of a complex economy that
inimitable due to the uniqueness of the human capital and the social demands more sophisticated talent, new expertise at all levels of the
capital it embodies. In reference to Hamel and Prahalad (1993, 1994), organization and fundamental changes in how companies respond to
TM can be regarded as a means of building an organization's core the imperatives of new technology and globalization, all of which pose
competences. These authors argue that, competitive advantage in the major challenges to the effective management of talent (Cappelli,
long term stems from building core competences in a firm, which are 2005; Stahl et al., 2007).
superior to those of rivals. Hamel and Prahalad (1994) define core TM in international business operations is seen as a means of pro-
competences as competitively unique activities and processes through viding a degree of consistency for the firm's people management prac-
which resources are deployed in such a way as to achieve competitive tices (Brewster, Sparrow, & Vernon, 2007). Brewster et al further note
advantage. TM practices present a new way of building an MNE's that a strong corporate culture can make the use of TM approaches
competitiveness, which may be regarded as inimitable. and harmonized company's activities easier across country borders.
The practice of TM allows an organization to develop their identi- TM provides a means of bringing uniformity to the approaches used
fied talent internally using a variety of development activities. In this to manage high-potential employees dispersed around the world.
respect, TM is not only important in creating inimitable intangible Scullion and Collings (2006) note that, numerous TM systems have an
assets and cultivating an internal labor market but also plays a key role underlying focus on a series of core values that are strongly reflective
6 KABWE AND OKORIE

of corporate values and even the wider industry culture, and therefore institute of personnel and development annual human resources
more easily perceived as universal. For example, companies with a development held in London (United Kingdom).
strong value of equality may reflect this in their TM policies by using a The respondents represented companies from eight different indus-
transparent and inclusive approach to managing talented employees. try sectors: energy, pharmaceuticals, paper manufacturing, financial ser-
In summary, conceptually, HCT as a framework explains the vices, construction, engineering, beverage, and motor manufacturing.
investment that MNCs make in sourcing and developing talent. The Not only are there eight distinct business sectors, but there is also vari-
development of talent within an MNC can be grounded in the RBV as ety in terms of size of the organizations based on the number of
this explains the development of internal sources of competitive employees. The biggest company employs 200,000 people, while the

advantage, which are rare, inimitable, nonsubstitutable, and valuable. smallest has 800. Furthermore, the titles of the respondents were var-

This is important for the success of MNCs because international busi- ied including HR Vice-Presidents, HR Directors, Talent Development

nesses have unique challenges owing to cross-border operations in Consultants, Talent Development Managers, and HR Business Partners.
The differences in the titles and the relative position of the respondents
different national and institutional contexts. This results in the need
in their companies' hierarchies are significant for this study. Notably,
for a different skill-set required to operate in the global business envi-
some respondents even have the word “talent” in the titles. Indeed, the
ronment, which is more sophisticated and demanding than that
very distinctions in the job titles suggest the sample has enormous
required in a national context (Guthridge & Komm, 2008; McDonnell
potential to uncover key facets of TM from, admittedly, a managerial
et al., 2010). Thus, the ever-increasing complexity and uncertainty in
perspective. Table A2 shows a summary of the respondents.
which MNCs operate is said to create a unique set of organizational,
co-ordination, and managerial issues (Morley & Collings, 2004). This is
primarily because international business operations are conducted in 8 | DATA ANALYSIS
different countries and employ workers from different national back-
grounds (Scullion & Linehan, 2005). As a result, TM presents a means An adapted version of Crewswell's (2007), Spiral was used to analyze
of building the necessary human capital leading to rare, unique, non- data. At the very bottom of the iceberg is the data collection and tran-
substitutable, and inimitable skill set required by international firms to scription of the recorded interviews. The sources of data were mainly

maintain their competitiveness. semistructured interviews with senior managers complimented by com-
pany documents and websites. Given these various sources, field notes
and interview transcripts yielded a very large database. For example,
7 | METHODOLOGY each interview transcript was at least 3,000 words. As understanding
these data would be crucial in achieving the study's objectives, the next
An interpretivist philosophy is adopted because the researchers con- stage was to read through the information, identifying themes and
sider the concept of TM to be socially constructed by senior manage- areas for further clarification from respondents. This aim was achieved
ment, mainly for the purpose of enhancing individual performance via subsequent e-mail exchanges and telephone calls. An iterative pro-
with the expected end being improved productivity of the business. In cess of reading through the data and seeking clarification from infor-
this context, several authors note that, talent has an indisputable mants was pursued during this stage of the process.
value as a competitive weapon (Lewis & Heckman, 2006; Mellahi & The field notes and transcripts were read again to tease out any hid-
Collings, 2009; Tarique & Schuler, 2010). Given this background, it is den meanings, an example being that, in responding to the interview
undoubtedly clear that TM is a concept that cannot be regarded as questions, most respondents had reflected on their experiences. This
being independent of the involved social actors. The themes and/or brought TM practices to life and opened up new doors of exploration.
questions explored are in the table: Accordingly, data coding started at the literature review stage, after which
Owing to the need for an in-depth understanding of TM, the quali- the themes, represented in Table A1, were identified. Data analysis
tative method of research was considered to be appropriate in collect- involves guiding principles that assist the researcher (Creswell, 2007). By
ing the data from respondents. Saunders et al. (2016, p. 177) note organizing field notes in files and coding them, the researcher was able to
“your choice of sampling techniques is dependent on the feasibility cope with a vast amount of information. Creswell's (2007, p. 151) spiral
and sensibility of collecting data to answer your research question(s) was adapted to include the computer-based data analysis package –
and to address your objectives from the entire population.” In this NVIVO. Because NVIVO allowed all the necessary field notes, transcripts

respect, purposive sampling was adopted. This is a “non-probability and documents created in Microsoft Word to be uploaded, it enabled the

sampling method where the researcher has a clear idea of what sam- researcher to read through the interview transcripts. This provided
another opportunity to search for hidden meanings.
ple units are needed and then approaches potential sample members
to assess whether they meet eligibility criteria” (Easterby-Smith, Tho-
rpe, & Jackson, 2008, p. 218). Semistructured telephone interviews 9 | FINDINGS
were conducted with 19 senior managers representing 16 companies.
The respondents were identified mainly through the researcher's This study aimed at exploring the efficacy of TM practices to international
attendance at HRM practitioner conferences such as the chatered business. To achieve this aim, three main themes were identified,
KABWE AND OKORIE 7

interview questions were developed in alignment with these themes: points will be discussed further. First, the findings reveal international
(a) Understanding the meaning of TM (Definitions); (b) The expansion, joint ventures, entering new markets, and getting new
role/significance of TM in international operations, and (b) Understanding business (extending the business portfolio) are some of the kinds of
TM as a (potential) way of developing human capital (refer to Table A1). business operations that may determine the required categories of tal-
The findings are organized according to these themes. ented employees. For example, as the market for paper has been
shrinking in some parts of the world, the Finnish paper manufacturing
company from the sample needs people who can drive change. The
10 | THE UNDERSTANDING OF TM
firm has a great need for new capabilities and competences such as

All participants were asked to explain their organizational understand- business development and innovativeness, as can be deduced from

ing of talent and TM, key themes in the definitions were then collated. the statement of their HR Director:

Refer to the Table A3. So, our business strategy at the moment consists of three races:

Although there is variations in the working definitions of TM, four


The first one is the race for European profitability.
key themes are evident. First, 11 out of the 17 companies define TM
The second one is the race for new growth markets.
as a development process for those employees who have the poten-
And the third one is the race for new businesses.
tial to take up leadership positions and those with functional or tech-
nical expertise in a particular key area for the purpose of growing The firm needs talented individuals who can run their European
their businesses. This indicates TM is a means of developing unique, business with a focus on maximizing financial revenue by expanding
rare, nonsubstitutable, and valuable competences. into new markets and business sectors (for example, Brazil, Russia,
Second, in three out of the 17 organizations, TM was described as India, and China) as well as grasping the growth opportunities in those
a means of meeting the supply of and demand for the right people with markets. In addition, these sought-after employees must have a
the right skills needed to execute their strategy. Again, this points to demonstrable ability not only to be innovative, but also to turn new
possession of valuable and nonsubstitutable competences, which are business ideas into practical profitable businesses.
hard to find. These organizations place emphasis on critical positions Second, TM practices appear to be a means of dealing with the
that are difficult to fill; those jobs that would provide an organization competitive pressures that the management face within their business
with important skills to facilitate the firm's operations in various parts environment. The efficacy of TM practices rests on the extent to
of the world. For example, in the pharmaceutical company, critical skills which they help the MNCs to deal with business challenges. TM prac-
were identified as exceptional knowledge of pharmaceutical sciences, tices strongly help in identifying the attributes of talented
project management, and research and development. employees—those with competences to work effectively in the mar-
Third, TM is conceptualized as a tool for meeting an organization's
kets in which the firms operate. From the sample, a major multina-
strategic objectives in eight of the sample organizations. Findings indi-
tional European subsidiary of a global energy company has a mobility
cate TM programs are a means of building up and leveraging the com-
categorization of its talents, including whether they are fully mobile,
petences of employees to develop the strategic capability of the firm.
have restricted mobility, or are not mobile. This helps the company to
This implies they have to invest and develop the human capital and
assess how many of their talented employees are readily available for
ensure they have distinct competences, which place them in an
international assignments both in the long-term and the short-term.
advantageous position for enhancing international operations. For
The HR Director for the United Kingdom stated:
example, the energy sector company attracts a considerable number
of joint venture projects owing to the availability of competent
Our organisation runs global projects which require
employees within the company.
working with other agencies/organisations… One most
Finally, TM is seen as a means of developing human capital for the
important thing that attracts these organisations to our
company. In all cases, there was a strong conviction among respondents
company is the very fact that it has skilled and experi-
that, if TM was not seen as a means of developing human capital, the
enced partners. However, their mobility is important
senior managers would not be doing the job of developing competences
for us to meet the demands for our overseas business.
among high-potential employees. Provision of the right experiences for
employees and the development of specialist skills in different busi-
This categorization of mobility is necessary for the effectiveness of
nesses within their firms were seen as a key element of TM activities.
international operations. Apart from mobility, a global mindset and
This aspect of TM will be discussed in detail at a later point.
capability to work in different environments- cultural adaptability is
considered essential. This is captured in the statement:
1 1 | T H E RO L E / S I G N I F I C A N C E O F T M I N
I N T E R N A T I ON A L O P E R A T I O N S …you need a specific kind of talent, as you need people
that can have a global mindset and have the capability
In all cases, it is evident that the significance of TM in international of working in different environments, and have the
firms' operations is captured in the way they define TM. Three key capability of moving, international mobility, language
8 KABWE AND OKORIE

skills… (Director, Learning and Development, beverage energy and pharmaceutical companies who tend to have long-term
company, Germany) projects. For example, the German Energy Company usually has pro-
jects lasting 15–17 years. The Vice-President of Employer Branding
In all cases, respondents acknowledged the development of distinctive for this firm noted:
competences through TM practices among their high potential was nec-
essary for sustaining their international operations. Therefore, the evi- 15-17 years is an average length of time we expect
dence suggests TM equips the MNCs to be more effective in the markets employees to stay in our company. So, we're talking
in which international firms operate. Furthermore, the various markets about long-term things. If you are building a power
also determine the characteristics and competences that the organiza- plant, if you're talking about coal you need six to eight
tions seek in their talented employees. Thus, it can be concluded that the years… if you are talking about nuclear, eight to
context in which these businesses operate determines the criteria 12 years from the first meeting until the power plant is
deployed in identifying talented employees who can work abroad in joint delivering energy. So, we are always talking about
ventures and the specific competences they seek to develop. long-term strategies and long-term development.
Finally, the data suggest that TM is a means of creating global align-
ment. This was evident in five organizations that had undergone The aforementioned example demonstrates sample firms make deliber-
mergers and acquisitions. In particular, the German Energy Sector Com- ate investment in TM practices, developing high-potential employees,
pany was founded after a merger and a series of acquisitions; given this which brings forth benefits in terms of strengthening the organization's
background, the major challenge faced by this organization was esta- rare, inimitable, and nonsubstitutable competences resulting in
blishing a uniform mindset for facing challenges in their business envi- accomplishing long-term projects of building power plants and deliver-
ronment, including identifying and developing high-potential ing energy to their end customers. High-potential employees in turn feel

employees. The Vice-President of Employer Branding (Germany) stated: valued as the company shows interest in not only helping them acquire
skills and capabilities but enabling them to develop a career.

…a very big obstacle we had until today was ourselves, In developing human capital, considerable importance was placed on

because we are coming from different cultures in our facilitating a fit between TM practices and strategic plans as there was

company, from different programmes and we lost a lot need to harness TM's potential contributions in the attempt to deliver the

of time in talking to all talent managers and HR in our goals of the international businesses. In this light, eight of the sample

company, until we defined this corporate management organizations noted developing human capital to enable international

programme. expansion was an important consideration in the TM process. Linked to


this is an aspect of spotting skills gaps early on and finding means of filling

This organization started out as a German-based company and has these gaps to support the organization's strategy. Accordingly, talented

since expanded into foreign markets, resulting in management and individuals constitute one of the most important organizational capabili-

employees with different priorities, values and ways of thinking. The ties and this asset needs to be developed to match the changes taking

introduction of a global corporate TM program with uniform assess- place in the internal as well as the external environment.

ment tools can be seen as a way of building consistency and a com- Furthermore, a major multinational European subsidiary of a global

mon commitment to the values and goals of the firm. The fact that energy company noted that developing human capital through TM

there is only one centralized TM program is evidence that the com- places them in an advantageous position for joint ventures and strate-

pany uses this program as a means of creating unity and aligning its gic alliances. The HR Director for the United Kingdom stated:

employees, who are geographically dispersed as they continue to


expand into foreign markets. Our organisation runs global projects which require
working with other agencies/organisations… One most
important thing that attracts these organisations to our
12 | TM AS A POTENTIAL WAY OF company is the very fact that it has skilled and experi-
DEVELOPING HUMAN CAPITAL AND enced partners. However, their mobility is important
D I S T I N C T I V E CO M P ET E N C E S for us to meet the demands for our overseas business.

In all cases, the respondents acknowledged TM activities are a means Consequently, TM programs are a means of building up and leveraging
of developing employees' human capital for the benefit of both the the competences of employees to develop the strategic capability of
individuals and the organization. The managerial view was the focus the international firms, which make them more attractive for strategic
of this research. Developing high-potential human capital was consid- partnerships. Indeed, of considerable value to the performance of busi-
ered essential for the sustainability of international operations. One of nesses operating internationally is the necessity to build the human
the key determinants in making long-term investments in developing capital- the core competences among their high-potential employees.
employees' competences was the nature of the business. There was However, developing human capital in MNCs is not without chal-
an indication of needing efficiency and continuity especially among lenges. In this regard, the respondent from a Swiss financial services
KABWE AND OKORIE 9

company noted it was difficult to identify and develop talent as human ambitions. As noted by Gratton & Ghoshal, (2003, p. 3), talented indi-
capital in the subsidiaries owing to retention issues and cultural factors. viduals' social networks become capital because “they provide access to
For example, if high-potential employees from Asia are taken to Switzer- the resources members of the network possess or have access to.” Five
land for development for a period of 2 years, repatriating them back to of the companies in the sample send their senior managers to INSEAD
Asia is a problem. Talented employees in this case have the power to as a means of making external contacts that are significant in getting
influence resourcing decisions owing to the scarce skills and compe- information about problems in the wider business environment and
tences they possess. Thus, when they are repatriated, if they are not how to solve these. The practice of increasing senior managers' social
happy with the conditions, they may decide to leave the company and networks is also recognized in the work of Adler and Kwon (2002) as a
invest their human capital in another firm. Given this situation, the Swiss form of investment in building the network of external relations which
financial services company reported losing a considerable amount of have the potential to augment both individual and collective actors'
resources because an appreciable number of talented employees decided social capital, which gives them superior access to information, power,
not to return to their home country and hence left the organization. and solidarity. The managerial emphasis is on creating social capital nec-
essary for employees to deal with their daily challenges in their roles as
well as sharing and acquiring knowledge to improve business opera-
13 | DISCUSSION OF THE FINDINGS tions. In this context, the management expects to create social capital
for the purpose of enhancing organizational capital (Adler &
The study explores the efficacy of TM for international business. Mak-
Kwon, 2002).
ing reference to HCT and RBV, the study adds to the TM literature fill-
Furthermore, the value of TM practices for international businesses
ing gaps that have hitherto existed, both theoretically and empirically.
is realized through the development of leadership competences and
Regarding the value of TM to international business, we find TM to be
other significant competences of strategic importance to the business,
a means of identifying, developing, and retaining high-potential individ-
hence organizations can meet both short-term and long-term goals. As
uals who have the human capital necessary to lead the operations and
highlighted in the literature, there is recognition among the respondent
ensure sustainability of their businesses (Beechler & Woodward, 2009;
firms that internationally competent managers represent a key compo-
Björkman, Stahl & Vaara, 2007; Björkman et al., 2013; Collings & nent of success among organizations operating in different geographical
Mellahi, 2009; Joyce & Slocum, 2012; Makram & Sparrow, 2014; Pet- locations (Scullion, 1994, 2001; Stroh & Caligiuri, 1998). Indeed, within
kovic & Dordevic, 2013; Ready & Conger, 2007; Schuler et al., 2011a, an international context, it has been argued “there is a growing recogni-
2011b; Son et al., 2018). Indeed, TM within MNCs is motivated by a tion that the success of international business depends most impor-
variety of organizational goals, including business control and client tantly on the quality and contributions of top executive talents and how
demands, moderated by cost considerations (Li & Scullion, 2010; effectively these critical resources are managed and developed”
Suutari & Brewster, 2001). (Brewster et al., 2007, p. 309). This is because developing managerial
The long-term development of human capital through TM prac- competences is seen as a means of improving the effectiveness of
tices leads to developing the knowledge and competences that are implementing international strategies.
unique and nonsubstitutable. Development of human capital is aligned Through TM, the talent pipeline contributes to the process of
to a firm's long-term international strategy by showing considerable maintaining the supply and demand of staff in international opera-
interest in developing and retaining (engaging) high-potential tions. Indeed, the shortage of employees with the necessary compe-
employees to sustain international operations. Indeed, this is what tences and motivation has been described as one of the greatest
Scullion and Collings (2006) regard as the main purpose of TM in barriers to success for firms around the world today (Schuler et al.,
international operations. In this regard, there is recognition of securing 2011a, 2011b). Yet, highly skilled individuals' competences and moti-
the commitment of high-potential employees among the respondent vation are crucial to achieving organizational goals and in particular
organizations. The management in these organizations has made achieving success in international operations. Indeed, a key result of
efforts as regards securing the commitment of high-potential successfully addressing the challenges of GTM is having the right tal-
employees through career development in TM practices. While there ents at the right place at the right time with the needed competencies
is agreement among researchers that the effectiveness of TM prac- (Guthridge & Komm, 2008; Tarique & Schuler, 2010).
tices is likely to be associated with positive high-potential employees' Several studies show that until very recently, it was becoming
attitudes (Chang, 2005), the causal chain between high-potential com- increasingly difficult to locate and retain suitable managerial talent to
mitment and development through TM has been found to be more manage an organization's international operations (Gregersen, Morri-
complex than previously thought (Khoreva & Vaiman, 2015). Mean- son, & Black, 1998; Scullion, 1994; Scullion & Collings, 2006; Suutari,
while, high-potential employees are likely to perceive, value, and react 2002). Clearly, empirical evidence shows that in embracing the notion
to TM practices differently (Khoreva & Vaiman, 2015). of TM, organizations are responding to changes in the external labor
Another value-adding aspect of TM for international business is market, increased competition and skills shortages, recruitment and
developing capital through networking. Networking is not only a means retention difficulties, and the challenges of undertaking succession plan-
of acquiring knowledge and skills but also to enhance the know-how to ning for senior leadership roles (Holden & Tansley, 2007). The idea of
use their human capital to fulfil both organizational and personal TM as a process of maintaining the supply and demand of staff for
10 KABWE AND OKORIE

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AUTHOR BIOGRAPHIES
Scullion, H., Collings, D. G., & Caligiuri, P. (2010). Global talent manage-
ment. Journal of World Business, 45(2), 105–108.
Scullion, H., & Collings, D., (Eds.). (2010). Global talent management.
London, England: Routledge. Dr Chitalu Kabwe (cbkabwe@yahoo.com) completed her PhD at
Scullion, H., & Linehan, M. (Eds.). (2005). International human resource man- the University of Central Lancashire in the United Kingdom, she
agement: A critical text. Basingstoke, England: Palgrave McMillan. also has an MBA from Strathclyde Graduate School in Glasgow,
Shultz, T. W. (1971). Investments in human capital. New York, NY:
UK and an MA in HRM from the University of the West of
Macmillan.
Son, J., Park, O., Bae, J., & Ok, C. (2018). Double–edged effect of TM on England in Bristol, UK. She is a Fellow of the Higher Education
organizational performance: The moderating role of HRM investments. Academy and a Chartered Member of the Chartered Institute of
The International Journal of Human Resource Management, 29(8), Personnel and Development. Her research interest is in the area
1446–4399.
of Talent Management, Critical Management Studies, Interna-
Sparrow, P. (2007). Globalization of HR at function level: Four UK-based
tional HRM, Human Sustainability, and Leadership Development.
case studies of the international recruitment and selection process.
International Journal of Human Resource Management, 18(5), 845–867. She has taught HRM courses at four levels: Doctoral, Graduate
Sparrow, P., & Makram, H. (2015). What is the value of TM? Building (Executive MBA, MBA, and MSc in HRM), and Undergraduate.
value–driven processes with–in a TM architecture. Human Resource Previous appointments include; Associate Lecturer of Human
Management Review, 25(3), 249–263.
Resources Management at the University of Central Lancashire;
Stahl, G. K., Björkman, I., Farndale, E., Morris, S. S., Paauwe, J., Stiles, P., …
Wright, P. (2012). Six principles of effective global talent management. Senior Lecturer in Management at Huddersfield Business School,
Sloan Management Review, 53(2), 25–42. and Lecturer in Human Resource Studies at Plymouth Business
Stahl, G. K., Bjorkman, I., Farndale, E., Morris, S. S., Stiles, P., Trevor, J., & School where she was also the Program Leader for the MSc in
Wright, P. M. (2007). Global TM: How leading multinationals build and
Management and currently serving as a Visiting Specialist.
sustain their talent pipeline (Faculty and Research Working Paper:
2007/34/OB). Fontainebleau, France: INSEAD.
KABWE AND OKORIE 13

Dr Chukwuneke Okorie currently lectures International Logistics


How to cite this article: Kabwe C, Okorie C. The efficacy of
within the International Shipping, Logistics, and Operations Group
talent management in international business: The case of
of the Plymouth Business School. He is a member of the Charted
European multinationals. Thunderbird Int. Bus. Rev. 2019;1–16.
Institute of Logistics & Transport (CILT). Dr Okorie completed his
https://doi.org/10.1002/tie.22090
Doctorate (PhD) in Maritime Transport and Logistics at the Uni-
versity of Huddersfield. His PhD project specifically focused on
value-adding services as a competitive strategy, comparing ports
in developing and developed economies. He also holds a Master
of Science (MSc) in Logistics and Supply Chain Management, as
well as a Bachelor of Technology (B. Tech) in Maritime Manage-
ment Technology. Areas of his research interest include off-shore
logistics, port logistics and strategy, shipping and value-adding
services, and international business. He lectures in the areas of
International Logistics Management, Supply Chain Management,
International Shipping Management, and Maritime Management.
14 KABWE AND OKORIE

APPENDIX
The meaning of talent management
How do you define talent in your organization?
How do you understand the meaning of talent management used in your organization? /How do you define talent management in your
organization?
Do employees within your organization share the same understanding of this definition of talent management?

TABLE A1 Interview questions

Identified themes and theoretical


bases themes explored Main questions asked Data analysis—emerging themes
Understanding the meaning of TM 1. How do you understand the meaning of TM used in Terminological ambiguity (broad definitions leaving
(definitions) your organization? /how do you define TM in your employees frustrated, narrow definitions not
organization? delivering)
2. Do employees within your organization share the No shared understanding of the use of terminology
same understanding of this definition of TM? between management and talented employees
Factors that determine who is considered to be
talented across different industries and countries
The role/significance of TM in 1. What role does TM play in your international TM as a means of identifying future leaders
international operations operations? TM as a means of developing human capital
2. In what ways do TM practices add value to your TM as a means of enhancing individual and
international operations? organizational performance
TM as a means of retaining high-potential individuals
for organization's sustainability
Understanding TM as a (potential) 1. To what extent do you perceive TM practices and TM is meaningless without investment in human
way of developing human activities to be a means of developing employees capital
capital and distinctive human capital? TM as a means of creating human capital for an
competencies 2. How effectively do TM and development programs organization
enable employees to develop the knowledge, skills TM as continuous development and investment for
and competences necessary to deal with challenges organization's future needs for high potential
in an international context? employees
3. From your experience, to what extent is TM TM networking practice as morale boosting
effective in developing necessary competences for TM as means of fostering high-potentials'
your international business? commitment

TABLE A2 Primary Rresearch Rrespondents

Respondents Sector/industry HQ/base of interviewee Number of employees


1 HR director Oil/energy industry United Kingdom—London 102,000, operating in over
100 countries
2 Vice-president HR Pharmaceutical Spain 40,000 with a presence in 50
countries
3 HR director Paper manufacturing Finland 24,983, operating in over 10
countries
4 Director talent development Financial services United Kingdom—London 65,000 operating in over 50
countries
5 Group organizational development Financial services—insurance United Kingdom—London 57,000
consultant
6 Senior business partnerglobal talent Pharmaceutical Denmark 26,575
development
7 Director communications and HR Financial services-insurance Switzerland—Zurich 11,560
8 Vice-president people development Financial services Sweden 6,000
9 Marketing and HR director Construction technology United Kingdom—London 800
10 Corporate executive development Financial services—investment banking Sweden—Stockholm 23,000
11 Vice-president organization Motor-manufacturing Italy 200,701
development
(Continues)
KABWE AND OKORIE 15

TABLE A2 (Continued)

Respondents Sector/industry HQ/base of interviewee Number of employees


12 Vice-president HRD Engineering Germany 3,939
13 Director learning and development Beverage Germany 3,000
14 Talent development director Engineering consultancy United Kingdom—London 9,000
15 HR director Extractive metals Finland 1,300
16 Vice president employer branding Energy Germany 93,000
Director talent development
17 Vice president learning and talent Professional services United Kingdom 10,000
development
Director—learning and talent
development

TABLE A3 Definitions of TM from the sample organizations

Definition Sector Main themes


1 TM is what we do with our talent, how we develop it, Financial services Process of developing people
how we deploy people and how we help people (leadership focus)
reach their maximum potential within our
organization
2 It's bringing people with exceptional abilities into the Engineering sector Process of acquisition, engagement and development
organization… process of development of the of people with exceptional abilities
individual, and that's keeping them and creating the (key functions)
talent pipeline
3 TM is defined as having a process which allows you to Financial services Supply and demand of the right people
have the right people with the right skills at the right (leadership focus)
moment
4 TM is everything that is needed to detect those people Pharmaceutical Leadership development
who could be the future directors, presidents or just (key people who run the company)
key people who run the company
5 TM is the management of our people and the Financial services Developing people for business growth
development of their skills and experience and
strengths and maximizing that for business growth
6 TM is a structured and actively managed process to Beverage sector Development of people with high potential
identify, select, develop and deploy superior
performers
7 TM is like risk management, it's about making sure that Financial services Risk management—supply and demand
we have the right people in the right positions for
the future
8 TM is the process of helping talented people develop Car manufacturing Developing people for business growth
themselves and helping the company to take profit
from the talent the people have
9 TM is the overall term for everything we do to further Financial services Process of developing people
develop people and their potential
10 TM refers to the training and development support Energy sector Development opportunities for those capable of
given to those capable of developing a professional developing a professional career
career
11 TM is defined as a process of linking business and Pharmaceutical Strategic management tool, meeting demand of labor
organizational strategy in order to check whether
they have the right structure, right organization and
right people
12 TM is making sure that we as a company have the right Engineering sector Recruitment, selection and development of employees
people at the right spot at the right time, for all in key positions / functions
those functions that are absolutely critical for the
company's development and success
(Continues)
16 KABWE AND OKORIE

TABLE A3 (Continued)

Definition Sector Main themes


13 No formal definition but it is seen as being Paper manufacturing Competence development (leadership focus)
synonymous with competence development
14 TM is the acquisition, engagement and integration into Construction technology Performance management,
the organization of people with exceptional abilities. Employee development
It involves performance management and (key functions)
development

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