Talent management makes money.
“Companies at level 4 (for talent management) are generating more than twice the revenue per employee, 40% lower turnover rates, and 38% higher levels of employee engagement”
Source: Josh Bersin
One of the frequently asked questions (FAQ) for organisations looking to adopt SFIA is “What’s the Business Case”?
I believe this is best addressed as a multi-layered question because SFIA is just an enabler and the benefits of SFIA are only realised by adopting new people management processes / culture / technology etc. Currently everyone seems to talk about Talent management rather than people management but the principle is the same.
One way to tackle this FAQ is to break this down into 3 questions
1. putting SFIA to one side; whats the business case / ROI for improving Talent Management in general
2. whats the business case for using a skills framework as an enabler for my Talent Management programme?
3. whats the business case for using SFIA as the skills framework which will enable my Talent Management programme?
This article from one of my favourite gurus, Josh Bersin, addresses point 1.
The Business Case for Talent Management: Steve Ballmer Agrees