From : Name
To : CEO
Date and Time : DD; MM; YYY
Document Attached : Briefing Paper
Dear CEO,
This email is in response to your request for a thorough analysis that will help you understand how the changing business climate will affect our resourcing and talent management strategy and practice. Accomplishing our corporate goals and fulfilling our strategic objectives will strongly depend on the effective management of our resource base and competent staff. The analysis is presented blow:
Impact of changing business environment on resourcing and talent management
An organization’s plan for managing its resources and talent can be very helpful in ensuring long-term success. Businesses are frequently affected by elements that come from both the internal and external environment (CIPD, 2022). For instance, over the past ten years, rapid globalization, technological advancements, diversity and inclusion policies, changes in the labour market, changes in business ethics, and governmental restrictions have all impacted resourcing and talent management.
Rapid globalization has motivated businesses to broaden their operations in order to reach a larger audience (Lund et al., 2018). Due to expanding consumer markets, opportunities made possible by technical advancements, and innovations, globalization has had a significant impact on global personnel management. Hence talent management has been impacted due to the need for businesses to develop recruitment methods that will support the consumer market growth (Lund et al., 2018).
Changes that are likely to radically impact how people work are being supported by technologies like augmented reality (AR), data analytics, artificial intelligence (AI), and the internet of things (IoT) (Niaz, 2020). These technological advancements will probably cause a “hollowing out” of the job market, where certain middle-skilled positions may vanish. Consequently, the development of machines, robots, and algorithms will provide 133 million more employment than it eliminates (75 million) (Kim-Schmid & Raveendhran, 2022).
Businesses are having a harder time attracting and keeping talent since technology is fast changing how people work, especially for positions that can be performed efficiently remotely (Habit Action, 2020). Thus, businesses and their workforces’ congruence on ethics and values has emerged as a critical differentiator. To recruit and keep talent, businesses now recognize the need to create ESG (Environmental, Social, and Governance) initiatives that place a strong emphasis on moral alignment and open communication (Schroeder, 2021). Since organizations will need to adapt to this new reality in terms of talent acquisition, engagement, and retention, human capital management must become more strategic.
Resourcing and talent management strategies
According to CIPD (2022) HR initiatives taken individually do not improve company performance. Acompany’s human capital is only useful if its employees have excellent connections with their supervisors and work in a positive, values-driven environment. All these factors encourage “discretionary behavior,” or the propensity of an individual to go above and beyond what is expected of them Yildiz, (2022). Consequently, strategic HRM should take into account the necessity to promote employee engagement and states like motivation and commitment that contribute to organizational success.
Through engagement and motivation, organisations are able to attract, retain, and develop the best employees which contribute significantly to meeting the changing needs of the organization. For instance within the changing labour markets organisations are able to adopt through possessing both internal and external talent pools (Claus, 2019). For instance during such times when the labour market continues to tighten an internal pool can be beneficial. Not only is it cheaper and faster but it also promotes loyalty and improved morale among the existing workforce which helps in reducing turnover (Ghosh, 2021).
