Recognising the growing importance of talent in driving success, organisations around the world are making greater investments in talent. However, as organisations increase their investment in human capital, many of them question —do investments in talent and human capital, really pay off? The recently released Talent Barometer Survey by Mercer has some interesting insights. According to the survey, 60 per cent of organisations worldwide report increasing their investment in talent in recent years. However, a much smaller percentage of respondents, 24 per cent, say their plans are highly effective in meeting immediate and long-term human capital needs. Additionally, 77 per cent of those surveyed by Mercer have a strategic workforce plan in place, but only 12 per cent said it was part of their longer-term strategy.

What could be the possible accelerators of talent effectiveness? Mercer’s Talent Barometer Survey explores key accelerators like education, health, wellness and career experience and their impact. While education is a key enabler, more than half (57 per cent) of the organisations surveyed are not confident that educational institutions will generate the talent needed by their businesses today. Further, 59 per cent believe this will be true three to five years out. As a result of this educational gap, organisations are employing internships, apprenticeships, and teaching high-demand skills in secondary and tertiary institutions. As for health and wellness, less than half the organisations worldwide actively apply the basic elements of a health management programme, such as ensuring a healthy workplace and establishing health-related policies and procedures (as reported by 48 per cent and 44 per cent of organisations, respectively). However, organisations globally take the issue of career experience seriously, with the majority (80 per cent) conducting regular (annual or semi-annual) talent reviews.

While the gaps and the accelerators/enablers are known, what is perhaps required is the willingness on the part of the leaders to invest in talent, have a collaborative mindset and create a culture that values talent.