Talent as a top strategic issue

by Mary Beth Matteo, Founding Director of the S. Dale High Center for Family Business

The “War for Talent” will be a top strategic issue during the next decade. According to an article by Charles Fishman, “in fifteen years, there will be fewer Americans in the 35-45 year-old-range than there are now. At the same time, the United States economy is likely to grow at a rate of 3-4% per year. Over that period, the demand for bright, talented 35-45 year-olds will increase by say 25% and the supply will be down by 15%. That sets the stage for a talent war.”

Even in difficult economic times, it’s important to think about talent in a strategic manner, instead of as a short term tactic. Several tips include:

• Focus on recruiting/nurturing talent across the entire organization instead of just top performers

• Develop value-propositions for each different category of worker, e.g., Y-generation, older workers, information workers, middle-aged women, and cultural groups where appropriate

• Revitalize the HR function (some of the historical failures of HR have had to do with not having talented enough people in the function, and also not having the CEO’s attention)

Sum & Substance: If you've got talented folks in your company, they are as asset worth preserving. Hold onto them. At the same, make all employees the best they can be by managing their performance. A talented workforce can contribute to your strategic advantage.