The Influence of Talent Management Strategies Towards Employee Satisfaction
Abstract
Many academics and practitioners in both the public and private sectors around the world are interested in talent management as part of human resource management. Malaysia, a developing country whose government is committed to increasing human capital through talent development, recognises the importance of talent management. Although the Malaysian public sector has placed a strong emphasis on talent management, there is still a debate about developing and nurturing talent within the country. This study used quantitative research, with respondents drawn from officers and staff at Jabatan Pendidikan Negeri Terengganu. Primary data from 180 respondents were collected and analysed. Data from the questionnaires were analysed using SPSS version 26.0 software. As a result, the proposed model were tested using multiple regression analysis. Overall, the results from this work revealed that competency mapping, employee career development, performance management and significantly influence the employee satisfaction. However, the findings indicate that the level of employee engagement did not play a significant role in determining the level of employee satisfaction. Based on these findings the study recommends talent management strategies to enhance the overall of employee satisfaction.
Keywords: Employee Satisfaction, Jabatan Pendidikan Negeri Terengganu, Talent Management Strategies
Introduction
Academics and practitioners from both the public and private sectors are interested in talent management as a component of human resource management on a global scale. In the preceding decade, the talent war has been a recurrent issue that has piqued the interest of numerous researchers (Thunnissen et al., 2013). Malaysia, which is on the path to becoming a developed nation (Vaiman et al., 2012) and whose government is committed to increasing human capital through talent development, acknowledges the importance of talent management (Tymon et al., 2010). It has been observed that the Malaysian public sector has placed a great deal of emphasis on talent management, but there is still an ongoing debate on creating and cultivating talents within the nation, especially in the public sector (Prime Minister's Department, 2015). The public sector is responsible for the design and monitoring of policy practises (Taylor & Wright, 2004) as well as the oversight of government obligations and regulations (Singh Sandhu et al., 2011). The population as a whole and the government's credibility are affected by decisions made in the public sector. In order to ensure the efficient delivery of public services, it is necessary to cultivate key potential public servants with the pertinent key competencies (Sakthi Ananthan et al., 2019).
The relevance of talent management has recently grown as it helps firms boost their competitiveness (Mohammed, Hafeez-Baig, et al., 2019). Talent management is viewed as an advantage for organisations because it focuses on talents (Hazelkorn & Gibson, 2017). According to Diezmann (2018), in the education sector, talent development assists in increasing the rankings and profits of higher education organisations. As a result, it is widely accepted that talent management is critical to the growth and success of educational organisations through the implementation of organization specific strategies with highly skilled employees (Mohammed, Baig, et al., 2019).
Before the 1st of June 2019, JPNT's talent management was overseen by three distinct departments, namely, the Career Advancement Unit, the Training and Staff Development Unit, and the Competency Valuation Unit. Effective from 1 June 2019, the three units are undergoing a restructuring process and amalgamated into a singular entity known as the Talent Management Unit. The primary objective of this restructuring is to enhance JPNT's talent management strategies. Following the implementation of these restructuring initiatives, all operational functions of the aforementioned three units have been centralized and amalgamated into a singular unit. The proposed approach would enable stakeholders to consolidate their business operations and streamline the processing of their transactions by eliminating the need to visit multiple locations. It is noteworthy that the implementation of restructuring initiatives is underway across all Jabatan Pendidikan Negeri (JPN) in Malaysia with the aim of enhancing leadership competencies and optimizing decision-making procedures.
The formation of a Talent Management Unit at JPNT would encompass the four talent management strategies discussed in greater detail in this study, namely competency mapping, employee career development, employee engagement, and performance management. Prior to the reorganisation initiatives, all of these strategies were managed by these three departments, but they are now centralised. Therefore, it is necessary to determine whether the creation of the Talent Management Unit and the currently implemented strategies can satisfy the officers and staff at JPNT. Their satisfaction would indicate that the reorganisation initiatives achieved the predetermined objectives.
This study aims to achieve the following two objectives: (i) to determine the relationship between talent management strategies and employee satisfaction; and (ii) to identify the most influential factor of talent management strategies, such as competency mapping, employee career development, employee engagement, and performance management, on employee satisfaction.
Literature Review
Talent management strategies and employee satisfaction
In addition to enhancing the performance of the organisation, talent management strategies have a significant impact on the attitudes and actions of employees. Opportunities for training and development increase employee motivation and job satisfaction, which in turn increases job satisfaction. Additionally, career advancement opportunities contribute to increased employee satisfaction (Fawad Latif, 2012). An assignment with a broader and more difficult scope as well as the potential for expansion will increase both job satisfaction and performance. (Van der Voordt, 2004) Organisations that are primarily concerned with achieving a higher level of employee performance at a lower cost and gaining job satisfaction are the most important factor for the improvement of employee performance. It is reasonable to expect that the employees in question will exhibit a high level of organisational commitment (Du Preez & Bendixen, 2015). Significant impediment to a company's overall progress is its difficulty in addressing the level of employee satisfaction. It is possible to infer an organization's financial health from the level of employee satisfaction (Cao & Chen, 2016). A greater level of job satisfaction can motivate employees, which in turn increases the productivity and profitability of an organisation. According to Dixit and Arrawatia (2018), successful organisations are more likely to have a variety of talent management strategies designed to increase employee job satisfaction. A higher level of job satisfaction can help motivate employees.
Competency mapping and employee satisfaction
By identifying the strengths and weaknesses of human capital through competency mapping, improvements can be made in an appropriate manner (Yuvaraj, 2011). Competencies are the knowledge, traits, social roles, or abilities associated with superior job performance. The term "competency" refers to a combination of "knowledge" and "skill" that represents both the fundamental knowledge base and the collection of skills necessary for effective action. A person's level of competence is comprised of the following five components: ability, skills, behaviour, motivations, and personal characteristics. All of these are essential to the process of recruiting new employees and retaining our current workforce. (Shivanjali et al., 2019) These five factors aid in selecting the ideal candidate for the position, which ultimately results in satisfied employees. As a consequence, the following hypothesis is formulated:
H1: Competency mapping is significantly related to employee satisfaction.
Employee career development and employee satisfaction
According to Granrose (1997), the greater the alignment or similarity between the individual's career objectives and plans and the organization's plans for the employee, the greater the motivation and job satisfaction. Employees feel valued by their managers and the organisation when their goals are prioritised and met, and they are rewarded for their efforts because, in addition to their own objectives, the organization's objectives are also met. Career development is directly linked to employee satisfaction in such a way that employees feel valued by their managers and the organisation as they achieve their goals. As a result, employees are happier at work and have a reduced desire to leave the organisation. Meanwhile, the company places a premium on retaining its most valuable employees in order to meet its short- and long-term business objectives. This is why an organisation should invest in ongoing career development programmes for its employees, so that both the employee and the organisation can achieve their respective success objectives (Shujaat et al., 2018). This results in the formation of the following hypothesis:
H2: Employee career development is significantly related to employee satisfaction.
Employee engagement and employee satisfaction
According to Towers Perrin's (2003) report, core components include both feelings and nationality. They came to the conclusion that emotional factors are related to an individual's level of personal satisfaction, as well as feelings of inspiration and affirmation received from work and being a part of an organisation. Harter et al. (2002) conducted a study that looked at aggregated employee job satisfaction sentiments and employee engagement. Employee engagement refers to a person's involvement in and enthusiasm for their job. As a result, the hypothesis below was developed:
H3: Employee engagement is significantly related to employee satisfaction.
Performance management and employee satisfaction
Employee feedback on results as they see them is an essential component of effective employee performance management, which would also result in increased levels of employee contentment (Greve, 2003). Employee contentment and the management of employee performance have a significant and unmistakable link; this connection is readily apparent in the field of human resource management, and it has a significant bearing on virtually every aspect of an organization's overall performance (Jaksic & Jaksic, 2013). As a result of this, the following hypothesis is developed:
H4: Performance management is significantly related to employee satisfaction.
This model incorporates several independent variables, the most important of which are talent management strategies. These strategies include employee career development, competency mapping, employee engagement, and performance management. The level of satisfaction felt by workers is the dependent variable.
Based on the theoretical framework, the research hypothesis is determined as follows:
H1: There is significant impact of talent management strategies to employee satisfaction.
H1.1: Competency mapping is significantly related to employee satisfaction.
H1.2: Employee career development is significantly related to employee satisfaction.
H1.3: Employee engagement is significantly related to employee satisfaction.
H1.4: Performance management is significantly related to employee satisfaction.
Method
Population and sample
In this study, 300 the officers and staff members who are currently employed at JPNT will serve as the target population. the minimum number of customer samples required to test the study's hypotheses is 169, and this number is derived from the total number of respondents (300), who must provide complete information.
Data collection method
A Google Form Survey was used throughout the collection process to amass the primary data. The questionnaire consists of a collection of questions, each of which the respondents are responsible for answering on their own and recording in the appropriate space. JPNT served as the source for the sample data because the research focuses on the officers and staff who are employed there. The cluster sampling strategy was utilised as a means of approaching the respondents to distribute the link to the Google Form Survey. In addition, an email was sent to all officers and staff members of the JPNT, inviting them to take part in the Google Form Survey. In addition, liaison officers have been tasked with the responsibility of assisting in the distribution of the link to the Google Form Survey. To ensure that respondents were able to comprehend the surveys, the questionnaire was offered in bilingual; English, and Malay to guarantee that responders could understand the surveys. It was very effective since the respondents were able to provide accurate answers to the questions.
During this research, the items of the questionnaire taken from previous research and literature would be modified. The questionnaire includes every variable that is composed of questionnaire items of talent management strategies (competency mapping, employee career development, employee engagement, and performance management), as well as employee satisfaction.
Regarding the dependent variable known as the level of satisfaction felt by workers. It is made up of six different questions that have been modified from Du Preez and Bendixen's original survey (2015). Table 1 provides a concise summary of the measurements that were taken. Therefore, to properly account for the independent variables, the talent management strategies should be broken up into four distinct parts. These parts are employee career development, competency mapping, employee engagement, and performance management. All of the variables are going to be evaluated based on five statements that have been modified from Shankar and Kuppusamy's research (2018). Table 1 provides a concise summary of the measurements that were taken.
The information that would be contained in the data for this chapter would include the following: the name of the office, the individual's gender, age, level of education, marital status, estimated length of time spent working at JPNT, and monthly income. Like the research that served as a basis for the development of the questionnaires, the variables would be evaluated using a five-point Likert scale with the extremes of the scale anchored to the statements "strongly disagree" and "strongly agreed."
Data Analysis
Descriptive statistics
As per the analysis in the above table 2, the value of mean of every dimension ranges from 4.2708 – 4.4089 and hence, it can be concluded that the dimension of competency mapping is the most preferred determinant that influenced employee satisfaction because the value of mean is highest compared to others.
Reliability analysis
The reliability analysis is indicated in Table 3. The value of Cronbach's Alpha is greater than 0.6 for all the dimensions. So, the instrument used for the study is reliable and there is an internal consistency between the items.
Correlation
Interpretation: According to Table 4, it was discovered that there was a very strong relationship between employee satisfaction and employee career development with (p = .000 < 0.05, n=180, r = 0.815). This was found to be the case following the analysis of the data. After that, there was a strong relationship between the competency mapping and employee satisfaction with (p = .000 < 0.05, n=180, r= 0.790). In a similar vein, there was a strong relationship between performance management and employee satisfaction (p = .000 < 0.05, n=180, r = 0.777). The next thing that was discovered was that employee satisfaction and employee engagement have a strong relationship with one another (p = .000 < 0.05, n=180, r= 0.734). In a nutshell, the result was satisfactory and made perfect sense.
Multiple regression analysis
Dependent Variable: Employee Satisfaction, Predictors: (Constant), Competency Mapping, Employee Career Development, Employee Engagement, Performance Management
According to the findings, it was discovered that performance management, which had a beta value of 0.352, had the highest contribution when it came to explaining the variation in employee satisfaction. Employee Career Development was the second most important contributor variable, with a beta value of 0.344, followed by Competency mapping, which had a beta value of 0.178. In conclusion, with a beta value of 0.173, employee engagement was the component that was the least important. It was found that Competency Mapping, Employee Career Development, Employee Engagement, and Performance Management all had p-values that were lower than 0.05, indicating that they were significant in explaining the variance in employee satisfaction. However, the findings indicate that the level of employee engagement did not play a significant role in determining the level of employee satisfaction.
Discussion and Conclusion
The research started off with a demographic analysis, which required the researcher to have some prior knowledge of the respondents and their histories. According to the information that was gleaned from the survey that was carried out in the demographic sections in the past, 29 respondents out of 180 respondents came from the Sektor Sumber Manusia, which is directly involved in the Talent Management Strategies at JPNT. Most respondents which is 65 out of 180 respondents have been employed for more than 20 years, and as a result, most of them have witnessed shifts in the culture of work within JPNT. Many respondents come from the Support group and have grade levels of 40 or lower, and many respondents are between the ages of 36 and 40 as well as between 46 and 50, indicating that they are old enough and well experienced to deal with Talent Management Strategies. The data on the respondents' demographics provided the researcher with such an overview that it enabled him or her to link the other questionnaire with the subsequent sections of the survey. The researcher investigating talent management strategies found that there are four dimensions to these strategies. These dimensions are competency mapping, employee career development, employee engagement, and performance management for the satisfaction of the employee. According to the testing of the hypothesis, the recognised variables among talent management strategies that influence employee satisfaction are competency mapping, career development, and performance management. On the other hand, there is not a significant association between employee engagement and employee satisfaction.
The findings of this study contribute to the management and administration practices of professionals working in the field of human resources. The paper had theoretically improved employee satisfaction literature in the context of the public service by integrating studies into factors such as competency mapping, employee career development, employee engagement, and performance management for employees. Therefore, human resource practitioners have an obligation to adapt to the change in talent management strategies and enhance the level of satisfaction among officers and staff working in the education sector. The result of this study made it clear that as employees receive assistance in the form of competency mapping, employee career development, and performance management, they will become more satisfied and tend to increase their performance. Employee career development, competency mapping, and performance management, all of which have a significant relationship towards employee satisfaction. Nevertheless, there is only a marginal connection between employee engagement and employee satisfaction. This study currently contributes to the management of the JPNT, particularly around understanding the factors that satisfy officers and staff members working for the organisation. It is hoped that the findings of this research will assist in the research that will be done in the future. Even though this study has a few drawbacks, it still has the potential to serve as a foundation for future research in the field of organisational management of human resources.
Acknowledgments
The contact author would like to thank to Penyelidikan dan Jaringan Industri- PJI UiTM Cawangan Terengganu for this assistance in reviewing the research on talent management strategies towards employee Satisfaction.
References
Cao, C. X., & Chen, C. (2016). Value of employee satisfaction during the financial crisis. Managerial Finance, 42(12), 1208-1225. DOI:
Diezmann, C. M. (2018). Understanding research strategies to improve ERA performance in Australian universities: circumventing secrecy to achieve success. Journal of Higher Education Policy and Management, 40(2), 154-174. DOI:
Dixit, S., & Arrawatia, M. A. (2018). The Impact of Talent Management on Job Satisfaction and Employee Performance in Public Sector Banks of Rajasthan. International Journal of Creative Research Thoughts, 425-435.
Du Preez, R., & Bendixen, M. T. (2015). The impact of internal brand management on employee job satisfaction, brand commitment and intention to stay. International Journal of Bank Marketing, 33(1), 78-91. DOI:
Fawad Latif, K. (2012). An integrated model of training effectiveness and satisfaction with employee development interventions. Industrial and Commercial Training, 44(4), 211-222. DOI:
Granrose, C. S. (1997). A Model of Organizational Careers in National Contexts. In C. S. Granrose, The Careers of Business Manager in East Asia (pp. 12-36). USA: Greenword Publishing Group.
Greve, H. R. (2003). Organizational Learning From Performance Feedback: A Behavioral Perspective on Innovation and Change. Cambridge University Press.
Harter, J. K., Schmidt, F. L., & Hayes, T. L. (2002). Business-unit-level relationship between employee satisfaction, employee engagement, and business outcomes: A meta-analysis. Journal of Applied Psychology, 87(2), 268-279. DOI:
Hazelkorn, E., & Gibson, A. (2017). Global science, national research, and the question of university rankings. Palgrave Communications, 3(1). DOI:
Jaksic, M., & Jaksic, M. (2013). Performance Management and Employee Satisfaction. Montenegrin Journal of Economics, 85-92.
Mohammed, A. A., Baig, A. H., & Gururajan, R. (2019). The effect of talent management processes on knowledge creation: A case of Australian higher education. Journal of Industry-University Collaboration, 1(3), 132-152. DOI:
Mohammed, A. A., Hafeez-Baig, A., & Gururajan, R. (2019). A qualitative research to explore practices that are utilised for managing talent development in the higher education environment: A case study in six Australian universities. Journal of Industry-University Collaboration, 1(1), 24-37. DOI:
Prime Minister's Department, E. P. (2015). Eleventh Malaysia Plan 2016-2020: Anchoring Growth on People. Percetakan Nasional Malaysia Berhad.
Sakthi Ananthan, S., Abdul Manaf, H., Hidayati, M., & Suluh Kusuma Dewi, D. (2019). The development of talent management in Malaysian public sector: a comprehensive review. Problems and Perspectives in Management, 17(2), 242-253. DOI:
Shankar, S. R., & Kuppusamy, S. (2018). Impact of talent management practices on employee retention - an empirical study in select IT companies with special reference to Chennai. International Journal of Enterprise Network Management, 9(3/4), 205. DOI:
Shivanjali, Singh, M., & Singh, T. (2019). Competency Mapping: A Strategic Perspective in Employee Retention. International Journal of Recent Technology and Engineering, 8(2), 3890-3898. DOI:
Shujaat, S., Sana, S., Aftab, F., & Ahmed, I. (2018). Impact of Career Development on Employee Satisfaction in Private Banking Sector Karachi. Journal of Management and Social Sciences.
Singh Sandhu, M., Kishore Jain, K., & Umi Kalthom bte Ahmad, I. (2011). Knowledge sharing among public sector employees: evidence from Malaysia. International Journal of Public Sector Management, 24(3), 206-226. DOI:
Taylor, W. A., & Wright, G. H. (2004). Organizational Readiness for Successful Knowledge Sharing: Challenges for Public Sector Managers. Information Resources Management Journal, 17(2), 22-37. DOI:
Thunnissen, M., Boselie, P., & Fruytier, B. (2013). A review of talent management: 'infancy or adolescence?'. The International Journal of Human Resource Management, 24(9), 1744-1761. DOI:
Towers Perrin. (2003). Working Today: Understanding What Drives Employee Engagement.
Tymon, W. G., Jr., Stumpf, S. A., & Doh, J. P. (2010). Exploring talent management in India: The neglected role of intrinsic rewards. Journal of World Business, 45(2), 109-121. DOI:
Vaiman, V., Scullion, H., & Collings, D. (2012). Talent management decision making. Management Decision, 50(5), 925-941. DOI:
Van der Voordt, T. J. M. (2004). Productivity and employee satisfaction in flexible workplaces. Journal of Corporate Real Estate, 6(2), 133-148. DOI:
Yuvaraj, R. (2011). Competency Mapping. International Journal of Scientific & Engineering Research, 2(8), 1-7.
Copyright information
About this article
Publication Date
29 November 2023
Article Doi
eBook ISBN
978-1-80296-131-7
Publisher
European Publisher
Volume
132
Print ISBN (optional)
-
Edition Number
1st Edition
Pages
1-816
Subjects
Accounting and finance, business and management, communication, law and governance
Cite this article as:
Aziz, W. A. W. A., & Hajan, R. (2023). The Influence of Talent Management Strategies Towards Employee Satisfaction. In N. M. Suki, A. R. Mazlan, R. Azmi, N. A. Abdul Rahman, Z. Adnan, N. Hanafi, & R. Truell (Eds.), Strengthening Governance, Enhancing Integrity and Navigating Communication for Future Resilient Growth, vol 132. European Proceedings of Social and Behavioural Sciences (pp. 426-435). European Publisher. https://doi.org/10.15405/epsbs.2023.11.02.32