There is correlation and causation. Causation implies a direct effect. But because the contributing factors in a lot of situations include many possible variables, definitive causations are rare when analyzing complex business processes.

Correlation is defined as: A general term used to describe the fact that two (or more) variables are related. Although every variable may not be accounted for, correlations provide insightful conclusions by isolating factors and analyzing their relationship and impact.

In talent management, two new studies present important correlations that validate the importance of—and the results attainable from—implementing effective talent management strategies and practices.

The 2009 Talent Management Factbook report from Bersin & Associates—conducted in partnership with Human Resources Executive magazine—found that:

Companies with highly effective talent management strategies see benefits that translate into significant dollars and business impact. These companies:
• Reported 26% higher revenue per employee
• Were 28% less likely to have experienced a major layoff in 2008-2009
• Had 40% lower turnover among high performers and 17% lower overall voluntary turnover
• Were 92% more likely to effectively respond to changing economic conditions

And according to GreatPlaceJobs Q2 Employment Study: Great Workplaces Continue to Outperform and Weather the Recession Better:

The study shows that the nation’s largest companies conducted layoffs at a rate of almost twice that of a group of companies recognized as great workplaces. Only 44% of excellent employers laid off workers from the beginning of 2008, while a shocking 86% of the Fortune 100 companies have laid off employees in the past year and a half.

These research studies provide more evidence to spur action on implementing and optimizing talent management practices in any organization looking to gain competitive advantage today.

All the chatter around social networking seems apropos considering it is—at its core—a communications media. However, examinations of the demographics, trends, and impact send some mixed messages. For example:

Facebook users get lower grades in college features an Ohio State University study where the 85% of students who are Facebook users get lower grades. Yet Facebook, YouTube at work make better employees: study highlights an Australian study where workers who use the Internet at work are 9% more productive. And opportunities abound as Social Networking jobs are steadily rising.

Meanwhile, the intersection of social networking and recruiting continues to be controversial. Jobseekers are counseled on How to Turn Social Networking Into a Job Offer while Bosses and Workers Disagree on Social Network Privacy.

The Consumer Internet Barometer found 43% of the online community now use social networking sites, up from 27% a year ago. But College Students’ Facebook Use Easing Up Over the Summer, While Parents Logging On in Record Numbers.

The social networking demographic has surely broadened beyond Gen Y along with the applications of the technologies.

Successful organizations are using social technologies to complement their talent strategies. Find out more about Leveraging the 4 C’s of Social Software to Drive Talent Management Adoption on July 28, 2009 at 11:00 a.m. PT / 2:00 p.m. ET.

In an interesting interview about Better Management through Better HR, University of Michigan’s Ross School of Business Professor Dave Ulrich discusses some of his past and future research. Prof. Ulrich says:

“As business leaders recognize the importance of talent and organizations, they are raising the bar on HR departments, practices, and professionals.”

For business leaders and HR professionals alike, understanding where that bar is today is essential. The Human Capital Institute is conducting research—sponsored by Taleo—that will provide insights into how organizations worldwide are utilizing talent management practices in today’s economic environment.

We want your input. Make your voice heard by participating in this important global survey concerning the state of talent management/HR in your organization.

We’ve outlined how unified talent management with closely coupled recruiting and performance management processes delivers higher quality of hire. The formula is simple: figure out the attributes of the best and get more of them. You define the abilities, behaviors, and experience profiles of your top performers and align them with your structured recruiting profiles.

FastCompany’s article Why It May Be Wiser To Hire People Without Meeting Them includes a baseball metaphor to illustrate why you should rely on objective data rather than subjective impressions:

Imagine if baseball GMs, in recruiting potential players, ignored past batting statistics and instead had a beer with players at Applebee's to test their culture fit.

Assessments, targeted sourcing, and referrals take the guesswork out of the interview and increase your odds of objectively hiring the best candidate. Read the report, Assessments in Talent Management to learn the how, and Recessionary Assessments for the why now.

In a time where Web 2.0 has spawned the methods of social network profile voyeurs, video resumes, and Google searches, the best use of technology is sticking to your processes and structured data.

It’s Fourth of July time again and America is 233 years old—a prime number. Many of the Baby Boomers in the prime of their careers looking towards retirement are singing a different tune about when they’re 64. A number of factors including deflated 401(k)s, healthcare costs, non-traditional work schedules, and the economy are stalling their departures amidst changing workforce demographics.

It seems Baby Boomers are not retiring like lemmings and creating talent shortages. Here’s some important research around workforce age issues:

Watson Wyatt says that older workers are delaying retirement by at least three years.

The Center for State & Local Government Excellence reports similar findings for the millions of public sector workers they represent with 85% saying that employees are delaying retirement.

The Difference a Downturn can Make: Assessing the Early Effects of the Economic Crisis on the Employment Experiences of Workers from Boston College's Sloan Center on Aging & Work offers insights into engagement and the economic crisis across age groups.

Change in Employee Engagement by Age Group after Onset of Economic Crisis

The report Age & Generations: Understanding Experiences at the Work Place explores the question Think Age is Enough to Predict Worker Needs? And Engaging The 21st Century Multi-Generational Workforce features a definition of engagement and identifies key drivers across age groups.

Engaging talent is shown to be different things to different people. However, the business benefits are well worth the effort, as demonstrated by increased productivity and organizational performance.