Effect Of Talent Management On Organisational Performance (A Case Study Of Nestle Nigeria Limited)

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This study examined the Effect of Talent Management on Organizational Performance. The study adopted the descriptive survey design. Sample of (91) respondents were drawn and data were analyzed with the aid of sample percentages, frequency table and chi-square statistical. The followings findings were made; talent management processes enhance the profitability, to participate in decision making which will bring the profit to the organization, talent management improves relationship between managers and employees and organization strategy by using business plan to achieved the goals of organizational performance. Also, the study recommended that there is the need to establish objective that prerequisite of any talent management is need to retraining and retraining of employees management, worker to enable them acquire talent Management skills that are relevant to their daily routines. 



Title                                                                                 i

Certification                                                                     ii

Dedication                                                                       iii

Acknowledgement                                                            iv

Abstract                                                                           v

Table of contents                                                              vi


1.1   Background to the study                                                  6

1.2   Statement of the problem                                                 8

1.3   Objectives of the study                                                     9

1.4   Research questions                                                          10

1.5   Research hypotheses                                                       10

1.6   Significance of the study                                                   11

1.7   Scope of the study                                                            12

1.8   Definition of terms                                                            13


2.1   Introduction                                                                     15

2.2   Definition of Talent management                                      16

2.3   The importance of Talent Management                             18

2.4   Effects of talented management in Organizational

Performance                                                                     20

2.5   Talented Management Process                                         21

2.6   Basis of Talented Management                                         23

2.7   Global trend in talented management                               25

2.8   Challenges of Talent Management                                    27

2.9   Organizational Performance                                              29

2.10 Career Management                                                         37

2.11 Talent Management and Organizational

Performance                                                                     39

2.12 Towards a contingency model                                           42



3.1    Research design                                                              46

3.2   Population                                                                       46

3.3   Sample                                                                            47

3.4   Sampling Techniques                                                       48

3.5   Data collection instrument                                               48

3.6   Data collection procedure                                                 49

3.7   Instrument of Data Analysis                                             49



4.1   Introduction                                                                     51

4.2   Personal information of respondent                                  52

4.3   Test of hypothesis                                                            60



5.1   Summary of Findings                                               68

5.2   Conclusions                                                             70

5.3   Recommendations                                                    71

References                                                               73

Questionnaire                                                          77



1.1   Background of the study

The ultimate goal of every business organization is to increase the sale of goods and service that it deals in and to increase profit in order to achieve its laid down goals and objectives.

These can be achieved if organizations employ the right skilled labour on the right job at the right time by managing their talent  (Cappelli, 2009) As noted in (Douglas & Jay 2007) most organization don’t have the required talent to develop lucrative business opportunity and so they loss out.

Organization must ensure that employees of choice are endowed with the skills required for the job; this will help organization perform effectively and efficiently. Talent management is the capability to create and continuously optimize the talent resources needed to execute a business strategy (Talent Management Research, 2009).

Talent Management when implemented effectively result in great changes in the performance and productivity of organization

(Capelli, 2008), Talent management is simply a matter of anticipating the need for human capital and then setting out plan to meet it. (Capelli, 2008); Talent Management concerns the additional management processes that are made available to employees in the organization who are considered to be ‘‘talented’’. This means systematically attracting, identifying, developing, engaging, retaining, and deploying those individuals with high potentials who are of a particular value to the organization (Blass, 2007)

Talent Management is the main duty of the Human Resource Manager but over the years senior and line managers now engage in managing talent.

As noted by (Gunter, 2011) successful companies know that talent management needs broad ownership.

Talent Management process include recruiting, succession planning, leadership development and retention of key employees. The importance of talent management has been increasing rapidly over the few past years.

The roles of talent management on organizational performance are:

  1. Organization achieve its goals
  2. Organization will meet business demands;
  3. Organization have reliable work force
  4. Organizational performance increases.

Talent Management can be effective globally using six principles as noted in (Gunter, 2011). These six principles make talent management effective both locally and globally. They include:

(1)Alignment with strategy (2) internal consistency (3) cultural embeddedness  (4) Management involvement (5) balance global and local needs (6) employer branding through differentiation.

Conclusively, Talent Management has been seen as a tool in which organization use in developing talent. If an organization effectively implements talent management process, it will not only develop talents but it will also increase the performance of the organization, invariably leading to achievement of the stated objective.

1.2   Statement of Problems

More sophisticated procurement strategies and technology productivity strategies are change the way services are won and delivered within any specific market. The ability of an organization to adapt and manage quality talent to meet client needs is necessary in order to remain competitive over the next decade (Khudnick, & Charles, 2013)

Large companies still find it difficult to achieve manpower planning and succession management. Although management recognizes that talent is crucial to the success of the organization, adequate measures to protect and nurture it are yet to be formulated. Other human resources initiatives such as talent audit schemes, competency analysis, team building activities has to be implemented or achieved in so doing the organizational performance increases.  This development has to a large extent retarded the growth and development of the organization concerned.

1.3   Objectives of the Study

The main objective of this study is to examine the effect of talent management in organizational performance.

However, other objectives of this research study include:

  1. To examine the effect of talent management on profitability.
  2.  To examine the effect of talent management on creativity of an organization.
  3.  To examine the effective talent management in an organizational performance.

1.4   Research Questions

The following are the research questions.

  1. Attracting, retaining and engaging employees of choice affect organizational performance?
  2. Organizations make talent management a strategic priority?
  3. Talent management processes enhance the profitability?

1.5   Research Hypotheses

  1. Ho There is no significant relationship between talent management and organizational performance.

H1 There is a significant relationship between talent management and organizational performance.

  1. H0 There is no significant relationship between talent management and profitability.

H1 There is a significant relationship between talent management and profitability.

  1. H0 There is no significant relationship between talent management and performance management.

H1 There is a significant relationship between talent management and performance management.

1.6   Scope and limitations of the Study:

This research study spans the activity of organizations in managing and developing talents. This study specifically examines the management and development of talents in Nestle Nigeria Plc. and also the effect of this development on its employee performance. The limitations of this research study is targeted towards identifying those employee needs such as a stable reward system, training and development, manpower planning, adequate employee welfare of Nestle Nigeria Plc.

1.7   Significant of the Study:

This study examined and highlighted the effect of talent management on organizational performance. Other useful areas of the study are;

Talent management is a tool to develop talent and increase organizational performance.

Talent management helps organization achieve its goals, if organizations develop and manage their talent, they will be able to retain and engage a sold workforce that will be able to achieve help the organization in achieving its goals and objectives.

Talent management helps employees develop their talent and this increase their performance in the place of work. Talent management also develops skills knowledge talent management also increases adaptability learning, flexibility, innovation and performance all these will aid increase in productivity.

Talent management as a tool in every organization helps to increase performance, productivity of organizations, helps also to achieve their aims and objectives and as such influencing the nation at large.

Talent management helps nations to be economically balance and fit because through talent management countries develop their work force in so doing having a generation of capable and eligible work force. Government should also provide training facilities to develop talents.

1.8   Definition of terms

  1. 1.          Talent Management

This means systematically attracting identifying, developing, engaging, retaining and deploying those individuals with high potential who are of particular value to the organization [Blass 2007]

  1. 2.          Talent Segmentation

Talent can be segmented either from an exclusive perspective (focusing practices on a specific group in the organization, such as high potentials, in the sense of an elite sub-group of future leaders) or an inclusive perspective [recognizing and focusing practices on the talent of all employees in the organization] [CIPD 2006] .

  1. 3.          Talent Strategy

Articulating strategic goals and defining talent needs [multi-polar world impacts workforce strategy, segmentation]

  1. 4.          Talent Resourcing

Discovering and deploying talent [sourcing, recruiting and work force planning]

  1. 5.          Performance and Rewards

Measuring and managing performance, aligning rewards with results [objectives, assessments, incentives recognition] .

  1. 6.          Learning and Collaboration

Defining new ways of working and learning in a technology savvy, geographically dispersed, ever changing world turn over intention

  1. 7.          Turnover Intention

Employees experience turn over intentions when they consciously and deliberately want to leave the organization [Tett&Meyer 1993] .


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