The psychology of talent management Dr . Nicky Dries Invited lecture UvT, April 7 th , 2011

1. The psychology oftalent managementDr. Nicky DriesInvited lectureUvT, April 7th, 2011

3. The psychology oftalent managementDr. Nicky DriesInvited lectureUvT, April 7th, 2011 A few propositions, a thousand questions

4. Goals for today • Xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx • You getting to know my research xxxxxxxxx • Me getting to know your research xxxxxxxxx • Exchanging knowledge and ideas xxxxxxxx • Brainstorming about a TM research agenda • Setting up collaborations? xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

5. Past & ongoing studies

6. Career success Most of our lives will be spent in the pursuit of goals, not in the attainment. Some people reach the top of the ladder -- only to find it is leaning against the wrong wall.

7. Talent management What is it (not)? What does it mean for them? Who should he be looking for?

8. What is talent management, anyway?

9. “Hard” approach to TM r.o.i. !! … where they expert more returns Companies should invest more…

10. SHRM Predetermined goals! (EFFECTIVENESS) Are humans resources? “The” employee?! Not just “having” talent!! (EFFICIENCY) ≠ ad hoc

11. RBV – HR architecture (Adapted from Lepak & Snell, 1999)

12. “Soft” approach to TM Everyone has talent Organizations have to bring out the best in all employees. (in one way or another) Nurture me!

13. The psychology of TM Woohoo! Heading for burn-out…. We’re set for life! I wonder what the organization has in store for me next…! Are my skills truly appreciated here? I wish I had more job security…. Does this mean my potential is low…? This is unfair!

14. TM conjecture From the moment you tell them they’re a high potential, they start acting like one. From the moment you tell them they’re a high potential, they stop trying. I know a high potential when I see one….! People have a fundamental dislike of differential treatment. Can you imagine telling a person that they’re a “low potential”?

15. Talent identification

16. Assessment bias

17. Research propositions [1] Current performance is not the best indicator of long-term advancement potential. [2] Separating assessments of performance and potential (in time, methods, assessors) decreases the odds of Halo bias. [3] Using more formal, objective identification tools decreases the odds of Halo bias. [4] Metacompetencies (e.g. IQ, EQ, LQ, PQ) are better predictors of future performance in a senior role than current performance.

18. Research propositions [5] Line managers focus most on day-to-day performance and contribution to the department in their assessments of potential. [6] HR managers focus most on career aspirations, strengths and weaknesses, and personal development goals in their assessments of potential. [7] Top managers focus most on visibility and political skills in their assessments of potential.

19. Research propositions [8] Top management usually has the final say in talent identification processes. [9] Higher consistency and consensus in talent identification processes lead to higher validity and reliability.

20. Perceived organizational justice Spoon allocation? Equity sensitivity?

21. Research propositions [1] The more differentiation between employees, the lower the perceived distributive justice of the talent management system. [2] Perceived distributive injustice can be moderated by applying Leventhal’s six procedural rules. [3] Perceived distributive injustice can be moderated by interventions on interpersonal and informational justice aspects.

22. Research propositions [4]…But perceived distributive justice is also partly determined by equity sensitivity, which is trait-like and cannot be directly influenced by organizations. [5] POJ impacts on employee attitudes, which in turn impact on their motivation, performance, productivity, and intention to stay. [6] High potentials will be more satisfied with their label if they attribute the causes for identification internally.

23. IWT project (2011-2015)

24. Talent development

25. Pygmalion & Galatea I think I can, I think I can, I think I can, I think I can, I think I can, I think I can, I think I can, I think I can, I think I can, I think I can, I think I can..

26. Research propositions [1] Being assigned the high potential label increases self-esteem, which in turn increases motivation and performance. [2] Being communicated high expectations increases motivation and performance, which increases the odds of being identified as a high potential. [3] Knowing that there is a high potential program in the organization, that you are not selected for, has the reverse effects.

27. Crown prince syndrome Almost there…

28. Research propositions [1] Being assigned the high potential label decreases anxiety about future career prospects, which in turn decreases work effort, working hours, and productivity.

29. Implicit Person Theory (IPT) Incremental theorist Entity theorist

30. Research propositions [1] Entity theorists are less likely to change their mind about an employee’s growth potential over time than incremental theorists. [2] Entity theorists are less likely to change their mind about an employee’s growth potential across situations than incremental theorists. [3] Entity theorists are more likely to believe that they have enough information to judge an employee’s potential than incremental theorists. [4] Entity theorists are more likely to provoke Halo bias than incremental theorists.

31. Talent succession

32. Homosocial reproduction I think a high potential should look something like this:

33. Research propositions [1] Employees who resemble top management more are more likely to be promoted into senior positions. [2] “Heterosexual white men” are more likely to be promoted into senior positions. [3] Cultural/personality/style fit are more important for getting promoted into senior positions than personal characteristics and competencies.

34. Self-fulfilling prophecies

35. Research propositions [1] Talent management investments in an employee(i.e. supervisor support, organizational support, access to networks, training investments, succession planning) are more predictive of future success than their personal characteristics and competencies.

36. Talent retention

37. Psychological reward Congratulations, you’re a high potential! (Okay, that was that, now let’s get back to work!)

38. Research propositions [1] Being identified as a high potential mostly translates into psychological reward, much less so into financial and material rewards. [2] A perceived lack of appreciation cannot, in the long term, be compensated by increases in financial and material rewards. [3] The effect of psychological reward on intention to stay is higher than the effects of financial and material rewards.

39. Social exchange theory

40. Research propositions [1] Mutual high investment has the most beneficial effects on organizational commitment. [2] Organizational underinvestment has the most detrimental effects on organizational commitment. [3] High potentials tend to feel less obliged to reciprocate loyalty expressed from the side of the organization than non-high potentials. [4] High potentials tend to invest less in their relationships with peers and lower-level colleagues.

41. Strategic considerations

42. Matthew vs. Mark effect For unto every one that hath shall be given, and he shall have abundance: but from him that hath not shall be taken away even that which he hath. Parable of the Talents But many that are first shall be last; and the last first.

43. Strategic ambiguity

44. Research propositions These strategic considerations will be informed by: [1] Cultural context (e.g. importance of egalitarianism in society,…) [2] Institutional context (e.g. degree of unionization,…) [3] Organizational culture (e.g. communication climate,…) [4] Organizational ideology (e.g. “hard” or “soft” approach,…)

45. Let’s get to work!

46. To-do list • Xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx • Conceptual groundworkxxxxxxxxxxxxxxxxxx • Qualitative studiesxxxxxxxxxxxxxxxxxxxxxx • Longitudinal studies xxxxxxxxxxxxxxxxxxx • Multilevel studies xxxxxxxxxxxxxxxxxxxxxx • Intervention studies xxxxxxxxxxxxxxxxxxxx • Experimental studiesxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

47. Let’s discuss!Contact data:nicky.dries@econ.kuleuven.be+32.494.66.02.46.