Managing Organizational Effectiveness through Talent Management and Career Development: The Mediating Role of Employee Engagement

Abstract

Considerable research has performed to link the individual development strategies into organizational performance, but less is known about the role of talent management and career development in enhancing the organizational effectiveness. In the current study, we investigate how talent management and career development direct or indirect effect organizational effectiveness. Moreover, the present study also pursues to test the mediating role of employee engagement in the association between talent management and organizational effectiveness, and career development and organizational effectiveness. Using the survey method, data was collected from permanent employees of commercial banks and the proposed model was tested through structural equation modeling in AMOS. The results suggest that talent management has a substantial effect on employee engagement and organizational effectiveness. Career development has a significant effect on employee engagement and organizational effectiveness. Moreover, employee engagement significantly mediates the relationship between individual development practices (talent management and career development) and organizational effectiveness. The present study guides the bank's management to focus on individual development practices and offer development opportunities to their employees for creating competitive advantage and boosting organizational performance. Finally, the study implications and future research directions are discussed.

An Investigation of Organizational Effectiveness of a Private Sector of South Odisha: A Structural Equation Approach

“…The result finds support in previous research on employee engagement. For example, Ali et al (2019), from this study they found that there is a direct effect of TM practices and organizational effectiveness and also indirect effect of TM practices and organizational effectiveness through employee engagement. Kularetal (2008); Rama (2009) these researches supported that employee engagement is a mediating variable between employee development factors and organizational effectiveness.…”

“…Talent management system should apply to all human resource management functions. Having the right talent is the greatest benefit for every enterprise (Ali and Mehreen, 2019). The processes of talent management enhance the workforce output for the prosperity of the firm .…”

Talent Management and Organizational Effectiveness

“…Talent management is an organization's ability to attract, hire and retain individuals with skills and competencies that will carter for the organization's present and future needs. Ali, Bashir, and Mehreen (2019) assert that talent management refers to the anticipation of required human capital for an organization and the planning to meet potential needs. Campbell and Hirsh (2013) view talent management as the best human resources in an organization whose performance highly influence the organization's overall performance.TM is the sourcing (finding talent), screening (sorting of qualified and unqualified applicants); selection (assessment/testing, interviewing, reference/background, checking, of applicants) on-boarding (offer generation/acceptance, badging/security, payroll, facilities; retention measures to keep the talent that contributes to the success of the organization); development (training growth, assignments); deployment (optimal assignment of staff to projects, lateral opportunities, promotions) and renewal of the workforce with analysis and planning as the adhesives, overarching ingredient (Brewster, Carely, Grobler, Holland, & Warnich, 2010).…”

“…This is not unconnected to the benefit of competitive advantage that an organization derives from having a talented workforce especially in this present era of globalization and stiff competition. Effective talent management policies and practices are those policies and practices that show commitment to employees, resulting in higher employee engagement and lower employee turnover, thereby impacting positively on organizational productivity and effectiveness (Ali et al, 2019;Beheshtifar, Nasab, & Moghadam, 2012). Ferreira, Neira, and Vieira (2012) affirm that talent management is the implementation of integrated strategies designed to raise employees' productivity by developing processes for attracting, developing, retaining, and utilizing people with the required skills and aptitude to meet the current and the future business needs.…”

“…Lyria, Namusonge, and Karanja (2017) studied the relationship between talent management and organizational performance and found that talent management creates a competitive edge which directly improves organizational performance, ultimately translating into organizational effectiveness. In the same vein, Ali et al (2019) studied how to manage organizational effectiveness through talent management and career development: they found that career development as a talent management strategy enhances employee engagement level which in turn improves organizational effectiveness. Also, Ali and Brandl (2017) theoretically studied HRM perspectives in Pakistan and found that talent management practices create the competitive advantage which subsequently improves organizational effectiveness.…”