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Each month a leading HR practitioner is invited to answer a tough question posed by Andrew Leigh. This month we welcome: Jacqeline Davies, Former Group Head of Talent & Executive Resourcing at Lloyds Banking Group.

Question: Apart from coping with the recessionary climate, what in your view is the most important issue now facing HR and HR practitioners and why?

Jacqueline says:

My view on the single biggest issue that will face HR in 5 years time is that it is still Talent, however the debate will have moved on and become more sophisticated.

Firstly, we will have realized that the War For Talent is really inside the organisation itself. We will understand that it is the context for Talent that really matters. This builds on the idea discussed by Malcom Gladwell in his recent book Outliers that success is more about the environment one lives in rather than simply individual ability. He uses the metaphor of a forest to illustrate that the potential of an individual seedling is always determined by the elements, by local animals and by the fate of the trees around it. 

We will therefore need to be sensitive to what I call ‘Talent Ecology’, this will mean HR will need tools to to actively establish a culture which grows the whole organisation not just a special few.

This will mean broadening the notion of what we mean by talent – we will move away from investing everything in the executive pipeline and focus on those who drive value: through insight, innovation and relationships. These are the skills required for sustainable business and they are in short supply.

We will see a return to experiential learning through mentoring and apprenticship. The notion of ‘e-learning’ will will feel dated as we will all have real time access to new ideas and how too videos through You Tube and the ITunes U: it is now part of all that we do and HR will need to ensure access is easy and guide employees to content that is relevant. Most significantly, leaders will more than ever be required to be teachers; and their ability to inspire people to share their potential with the organisation becomes the key constituent of retention.      

 All employees will be able to access a work based modular curriculum that prioritises the knowledge and skills the drive value for each organisation. Crucially however, the influence of Gen Y is now felt and people are no longer left to their own devices for personal development. Career paths are clear and social mentoring networks are increasing in popularity.

The idea of special chort development programmes for high potentials will also feel dated. We will have realised that the payback from these programmes is poor and disengaging for the wider workforce. Instead every new recruit is hired according to their strengths and potential. Their line managers are trained to deploy this well and are rewarded when team members are promoted. we will also see a return to the importance of the collective or team effort.

Recent research from Linda A Hill at Harvard Business School suggests that the role of the leader is now so complex that it simply cannot be accomplished by one individual, the load must be distributed and shared across the team. Linda talks of ‘leading from behind’ seeing the leader as enabler (rather than driver), someone who can create the space for others to deliver on their potential.

Put in the ‘Talent Ecology’ setting we would go one step further and envisage a new model of Sustainable Leadership – where characteristics such as passion, vision and insight come to the fore. Sustainable leaders will be those act with the long-term good in mind and who are able to confidently balance different stakeholders.

This will drive changes to the way performance gets managed. Far sighted organisations will ditch the divisive ‘bell curve’ and the notion that performance is relative in favour of peer review tools.

 

Finally, employee engagement moves beyond surveys and communication campaigns. The whole employment proposition becomes segmented, employees are able choose development and benefits according to their personal circumstances. This ‘workforce of one’ demands a personal relationship with their Employer and HR will need to develop the skills of marketeers to understand how to do this authentically en masse.
 
Our forthcoming book, The Truth About Talent discusses this in more depth and is based on research with over 300 practitioners and leaders world-wide

Talent Engagement, How to Unlock People’s Potential, UK seminar on 25 November 2009.