MU0017 Q1. Explain The Key Elements of Talent Management System. Answer-Key Elements of Talent Management System
MU0017 Q1. Explain The Key Elements of Talent Management System. Answer-Key Elements of Talent Management System
MU0017 Q1. Explain The Key Elements of Talent Management System. Answer-Key Elements of Talent Management System
Q4. What do you mean by Total Rewards? Discuss the elements of Total Rewards.
Answer- Total Rewards
All of the tools available to the employer that may be used to attract, motivate and retain employees
can be termed as Total Rewards. Total rewards include everything the employees perceive to be of
value resulting from the employment relationship. The general elements of total rewards include salary,
bonuses, stock options or participation in the equity of the organisation. All these elements involve
financial investments. Rewards which do not result in monetary benefit can also be used. Examples of
such rewards are developing skill, putting into practice one’s ideas. These help in reducing the
financial investments of the company and provide a higher degree of satisfaction to certain individuals.
Elements of Total Rewards
1. Compensation: Providing monetary value in return for the work performed is known as
compensation. Job performance and job satisfaction can be improved by providing compensation. The
business needs, goals and available resources are factors that govern compensation plans.
Compensation may be used to:
Recruit and retain qualified employees.
Increase or maintain morale/satisfaction.
Reward and encourage peak performance.
Achieve internal and external equity.
Reduce turnover and encourage company loyalty.
Modify (through negotiations) practices of unions
2. Benefits: Benefits provided by the organisation can be either due to legal compliance or other
benefits which the company is willing to provide to employees though not mandated by law. Facilities
such as minimum wage, overtime, leave under Family Medical Act, unemployment and workers
compensation and disability are enjoyed by employee since they are made mandatory by law. Benefits
such as Hazard Pay, Health Care, Maternity, Paternity, and Adoption Leave, Paid Holidays, Pay Raise,
Severance Pay, Sick Leave, Termination, Vacation Leave, Work Breaks and Meal Breaks are benefits
provided by employers to employees in order to retain them within the organisation.
3. Work-life: Attracting, recruiting, motivating, and methods employed to retain the workforce
determine the success of an organisation. Organisations need to be really flexible in order to retain and
develop the workforce and so as to enjoy their commitment and loyalty towards the organisation.
Organisations need to constantly work on improving the quality of work life of the employees.
4. Performance and recognition: Recognition for performance is an integral and important
component of the total rewards portfolio and provides a high return on investment. Workers value
recognition for achievement more than any financial reward. Awards directly associated with
performance further motivate individuals to perform better. These recognition programs are highly cost
effective and valued by employees and are able to reinforce desired behaviour among employees. It is a
proven fact that there is a strong link between non cash incentives and improved job performance.
5. Development and career opportunities: Career opportunities can be defined as 'providing
employees an opportunity to grow', especially to those employees who deliver performance.
Development could be in terms of a promotion, increase in pay, acquiring higher skills and opportunity
to avail certain exclusive perks. Career development cannot be viewed as a managerial responsibility
but it is a composite process. Factors that need to be considered are the people involved, their
ambitions, generating roles in accordance with their potential, and creating job positions to satisfy the
growth and development ambition of employees.
b)Talent Review
Talent review helps in developing a clear talent management strategy and to increase awareness of
available talent and successors in an organization. All organizations should conduct regular talent
review meetings to be prepared for a variety of business changes, such as mergers, company growth, or
a decrease in talent needs. It is designed to review the performance and career potential of employees,
to discuss possible vacancy risks of current employees, to identify successors and top talent in the
organization, and to create development action plans to prepare employees for future roles in the
organization.
A Talent Review is a process to involve more senior business executives in sharing and analysing
talent information, mostly focussing on an overall succession management process. Compared to talent
alignment sessions, talent reviews present a chance to discuss talent at a higher level of depth and
focus.
It provides an overview of how to encourage a discussion of key talent in the given ways to:
a) Identify readiness and potential for future assignments or positions.
b) Review possible succession plans.
c) Determine strengths and development needs of employees.
Having set the organisational goals, management teams can start with the process of reviewing talent in
the organisation. The type and significance of a talent review can vary based on the department's need.