Why talent once again matters
- By Stephen Swoyer
- March 27, 2006
What is workforce performance management and why should it matter to you? A growing number of organizations are investing in WPM solutions to help them proactively identify and retain top IT talent.
More to the point, says market researcher International Data Corp., a booming WPM market can tell us a lot about the state of hiring today. IDC isn't predicting a reprise of the talent wars of the late 1990s, but the market researcher does say that things are going to get increasingly contentious as rival firms vie for top IT talent.
That, in a nutshell, is the market niche that WPM purports to address. Many WPM solutions include a workflow engine to streamline employee reviews, help establish (and then rate) employee competencies for a position, and set goals and objectives for the employee's next review period. It can be part of an org's succession planning as well. Besides identifying top performers among current employees, WPM software is often used to develop or motivate employees, turning a company's human resources into a high-performance workforce.
The upshot, IDC says, is that WPM is the fastest growing segment in a thriving talent management marketplace. To wit: IDC forecasts worldwide spending for WPM services will experience a compound annual growth rate of 16.3 percent between 2006 and 2010.
“All areas of talent management are experiencing growth, and workforce performance management is no exception,” said Lisa Rowan, program manager for IDC HR and talent management services, in a statement. “The war for talent is re-emerging and firms are recognizing that they are once again competing not only for product superiority, but for a high performing workforce, which is key to competitive advantage. Suppliers are responding with new strategies and offerings to help them win the battle.”
Stephen Swoyer is a contributing editor for Enterprise Systems. He can be reached at [email protected].