What the Latest Industry Buzzwords Really Mean for You
The recruiting industry and HR always has a few buzzwords of the moment – the latest and greatest methodology consultants sell to clients but rarely have the understanding and capability to implement. In 2016, those buzzwords are Human Capital, Talent Acquisition and Talent Management, all of which are actually very important concepts that when implemented correctly, can be game changers for organizations. Has your organization actually adopted the concepts behind these or are they just another buzzword or change in name only?
The actual definition of human capital is the skills, knowledge, and experience possessed by an individual or population, viewed in terms of their value or cost to an organization. But what does it really mean when a recruiter or consultant throws the term into a conversation?
It means perceiving people as assets whose value can be measured and whose future value can be enhanced through investment. When companies truly invest in their employees and understand the value they bring to the organization, it can lead to greater innovation, productivity and growth. Not to mention employees who feel appreciated and have a greater loyalty to the company.
At first glance, most people think this is the same thing as recruiting, and on a surface level, it is. However, talent acquisition is much more strategic than simply recruiting an employee to fill an open position.
Talent Acquisition takes a longer-term, more strategic approach to the recruiting process and is ongoing. It is forward thinking in the sense that it takes into account succession planning and analysis of jobs based on future needs and history of attrition in certain positions. This means you might be recruiting now for a job that is not available today because you have a greater ability to predict future organizational needs.
It is not only important to attract the right talent to your organization, but in order for employees to be successful, there must be a focus on performance, rewards and retention that goes far beyond the recruiting process or the Human Resources Department.
Talent Management is again a strategic and ongoing process that must be coupled with a solid business strategy and implemented on a daily basis throughout the organization. It demonstrates that companies are deliberate in how they source, attract, select, train, develop, retain, promote, and move employees through the organization.
All three of these concepts are actually much more than buzzwords. When fully understood and properly implemented, they can truly make a significant difference in terms of productivity, employee retention, organizational innovation and much more.