The economic changes brought about by the global financial crisis have reshaped the business world. This is a challenge of considerable importance for way human capital is developed and managed. Successful talent management begins with a proper understanding of how people work effectively and more importantly what it is that makes them tick. Built on to this is the notion that people are motivated by different things. According to renowned author Daniel Pink, there are three things that motivate workers:
1) Workers want to be given autonomy – they want to be in control of their time
2) Mastery – workers want to make a contribution at work
3) Workers want to make a contribution likened to a broader purpose in the company
The key takeaway for companies is that they must synchronize these three motivations with their own goals. If these three fit well, a winning situation is created. However, companies also need to address the issue of staff retention. Compensation is not the only reason to ensure employees stay happy and committed. Daniel Pink’s analysis of employee motivation, highlight non – financial factors as being increasingly important in dictating the motivation of employees in a post crisis world.
However, in practical terms the focus must also be on the economic cost. It costs more to hire a new worker than to train an existing worker, so the focus must be on retention. The time has come for companies to think of employee retention in an innovative light.
Socio – economic factors have radically altered the make-up of the average workforce that will impact a company’s recruitment and retention practices. People work across international boundaries and live longer. The work forces of the future will probably be made up of a 20 something, a 40 something and a 60 something worker. Multi – generational teams will be more prominent in the years to come. Companies need to actively think of creating balanced workforces that are rich in both age and experience, and focus on the human side of management. By adopting such practices, companies will be better prepared to meet tomorrow’s challenges.