Talent analytics will play a crucial role in employee retention: NASSCOM
The National Association of Software and Services Companies (NASSCOM) in collaboration with research consultancy Aon Hewitt has launched an industry report titled “The Transformation Agenda”. Based on the theme of “What got us here, won’t get us there”, the report aims to understand the shifting business priorities, focusing on their implications & linkages to HR of the future. According to the report, talent risk for the IT –BPM industry spans a variety of focus areas and is a key imperative for the industry going forward. Further the report states that shortage of skills will impede anchoring of business to domain specific services and SMAC innovation. Limited availability of niche skills needs to be countered aggressively by the industry as looking at talent costs and employee productivity in silos will limit new innovations.
Highlighting the progress the industry has made, Sangeeta Gupta, Senior Vice President, NASSCOM stated, “The industry is experiencing breakthroughs faster than ever, lifecycles for innovation are shortening and building new opportunities across the board. In this changed environment, leading firms are leaving behind the traditional models of business; hence organizations need to evolve their people practices for a sustainable future.”
HR as a function was a big lever in the success of the IT industry; however now most organizations feel that there is gap between the strategic imperatives and talent outcomes, which acts as an impediment to business growth. HR today requires a tighter alignment of talent skills, and needs to augment its capabilities in order to anchor change within management processes. Organizations need to inculcate predictive analysis to prove for more insightful and actionable answers to talent questions. Increasingly talent priorities are changing – according to the report, in the future talent analytics will be at 60%, followed by talent strategy reconsideration at 53%, leadership development and technology adoption at 47% each. Talent analytics is set to play a crucial role in HR, where companies will be able to calculate what employees value most and then create models to boost retention rates. Integration of individual performance data with HR process metrics, such as cost and time outcome metrics will help in engagement and retention.
Shaswat Kumar, Partner, Aon Hewitt said, “IT and BPM businesses are resetting their priorities to succeed in a changing environment. Companies who adjust their talent capabilities quickly and are able to execute their strategy faster through critical roles will win in the marketplace. This realignment needs a serious rejig of the HR function, it’s time for HR’s refresh & reboot. “
Vikrant Khanna, Leader, Insights and Innovation (APAC & ME), Aon Hewitt, “Failure to attract and retain the right talent is among one of the top three 3 risks faced by organizations in APAC today. Today’s digital environment serves as both a disruptor and an enabler in HR. At Aon Hewitt we believe these are interesting time to leverage opportunities and create a consumer grade experience for talent.”