Framework for Global Talent Management HR Actions

SOURCE:Schuler,R,$.,ladson,$,E,andTarique,I.(2011).Frameworkforglobaltalefltmanagement:HRactionsfordealingwithglobaltalentchallenges.InH.ScuflionandD.Collingsfed.~.),GlobalTalentManagement.pp.17~36.Frameworkforglobaltalentmanagement:HRactionsfordealingwithglobaltalentchallenges*RANDALLS,SCHULER,SUSANE.JACKSONANOIBRAIZR,TARIQUEIntroduction-­upuntil2Q08flfmsaroundthewurldwereconfrontedwithamajorthreattodoingbusiness,ademandfortalentedemployeesthatfarsurpassedthesupply.Thiswase,speclAllyacuteInthedevelopingcountrtesthatwerebenefitingfromastrongbusinesscyclebasedupontremendousexponstothedevelopednations,andincreasedforeigndirectinvestmentfromfumsindevelopednationswishingtotakeadvantageofsubstantiallylowerwages.Forecastswerebeingmadeofevengreatershortagestocomeduetoforeeastsforcontinuedglobaleconomicgrowthvirtuallyeverywhere,butespeciallyinthedevelopingnations.Firmsworkedaggressivelytoretaintheircurrentemployees,oftenprovidingtraininganddevelopmentbenefitstomakethefinnmoreattractive.andalsotodevelopthetalentsoftheseworkers.Talentbecameakeywordinglobalbusiness.Firmsfaeedmanyglobaltalentcballengesincludinghavingtherightnumberofcompetentemployeesattherightplaceandatthe-figllttime.Theyalsofacedthechallengeofneedingtoreducethecostsofoperations,thusmovingoperationsabroad,payinglowerwagesandthenhavingtoClOdcompetentemployeestostaffthefacilities.AllofthesechaUengesweredealtwiththroughglobaltalentmanagementinitiatives.ThesewerecomposedofvariousHRactionsdependinguponthenatureoftheglobaltalentchalfenge.Thischapterdescribestheseglobaltalemmanagementinitiatives.Someofourdiscussionreflectsconditionsthatwerepresentduring:recenteconomicandfinanela!boomrimes(i.e.,thet\.'Odecadespriorto20(8).whenworkershortageswereaprimaryCOOeerDEconom1cexpansionislikelytorerumeventuaUy,solaborshortagesareofcontinuingcmcem.!'(evertheless,Inthenearterm,thisconcernmaysubsidesomewhat.Regardlessofthesizeofthegapbetweentheavailableanddesiredpooloftalentglobally,avarietyofotherconcernsremainasmajorglobaltalentchallenges.Webeginthischapterbydefiningmorespecificallywhatwemeanbyglobaltalentcballengesandglobaltalentmanagement.Next,wedescribeinsomedetailthemajor18..RandallS.~,SueanEoJacksonandIbmbR.Tariquedri.verSoftheglobaltalentehallengesfacingmodernmultinationalfirms.Havingsetthestagehydescribingthebroadercontext,wethenturntoadiscussionofspecificHRactionsthatcompriseadomainofactivitythatoftenisnowreferrfOdtoasglobaltalentmanagement.Finally,afteracknowledgingsomeoftheharriersthatcanmakeachievingeffectiveglobaltalentmanagementdifficult,weconcludewithabriefsummaryofthepotentialresultsofeffectiveglobaltalentmanagement.foritisthesedesiredresultsthatmotivatemultinationalfirmstocontmuouslyimprovetheirapproachestoglohaltalentmanagementGlobaltalentchallengesandglobaltalentmanagementIntoday'srapidlymoving.extremelyuncertain,andhighlycomperitiveglobalenvironment,firmsworldwideareencounteringnumef(tusglobaltalentchallenges.GlobaJtaJentchaUengesariseasfirmscompeteonaworldwidestageunderdynamicconditionstoensurethattheyhavetheneccssaryamountoftalenl:;attheappropriateplaces,attherightpricesandtimes.FirmsthatsuccessfuUyaddressthesechallengesareableto~ocurcand/orcreateaworkforcethatmeetsthetalentneedsof!;hefuminthehorttermwhilepositioningthe:firmtoalsomeettheirlongeNerrntale1ltneeds.WeassumethateffectIVeglobaltalentmanagementrequiresemployerstoberesponsivetotheconcerns(!faglobalworkforceandworkwilhthemaspartnerstoachievebusinessohjectives.(Foramorecompletediscussionofrhispartnershipperspective,seeJacksonetai.,2009.)Tosuccessfullyaddre~sglobaltalentchallenges.finnsofallsizescanandmusttakeadvantageofawidevarietyofhumanresourcemanagement(HR)actions,whichincludethedevelopmentofhumanresourcepoliciesandthedesignandimplementationofspecificHRpractices(seeJacksone(al.,2009).Conceptualizedbroadly,glohaltalentmanagementreferstotheuseofHRactionstoensureaccesstoneededtalentbymultinationalenterprisescompetinginaglobalenvironment;itincludesHRpoliciesandpracticesrelatedtoplanningandforecasting,obtaining,selecting,motivating,developing,evaluating,retaining,andremovingemployeesconsistentwithafinn'sstratcgicdirectionswhiletakingintoaccountthec',rolvlllgconcernsoftheworkforceandregulatoryrequirements.MajordriversoftheglobaltalentchallengesGlobaltalentmaIlagementiscarriedoutinthecontextofadynamicenvironmentAmongthemanyfactorsthatshapethespecificchallengesandresponsesofpanicularfirmsaresevetalmajordri\'ers,whichinclude:(a)globalization,(b)cbangingdemographics,(c)demandforworkerswithneededcompetenciesandmotivation,and(d)thesupplyofthoseneededcompetenciesandmotwation.Figure2.1depictsthelink1tgebetweenthesedriversandseveralHRactionsusedtomanageglobaltalc:It.Wedescribethesedriversinmoredetailinthefollowingparagraphs.2.2..RimdaDs.Sdwlet,SUMnE,J.~andIbtab:R,T_riqueskilledjobs(NationalCommissiononAduttLiteracy,2008).Anditappearsthattheseincreasedcompetenciesarebeingassociatedwithalmostalljobstraditionallyperformedinmuitinationalfumsaroundtheworldtoday(PriceandTurnbul~2007).Inadditiontotheincreisel