We are often asked to explain the difference between Talent Management and HR.
If we look at history, the Personnel Department changed its name at the end of the 1980s or the beginning of the 1990s and became the Human Resource Department.

What we are experiencing today is very different. We are seeing a division at the core of the human resource function. One side is becoming the transactional expert and getting more and more outsourced to efficiency houses that can run payroll like nobody else.
The other side is becoming a strategic function where it is often seen as too important to outsource and where HR consulting firms are charging big fees.

The true obstacle for people like us that truly believe in Talent Management and its multiplying effect is that its possible to run a company with a limited investment in Talent Management. Thats what companies managed by accountants do. Weve heard people say in this case, They know the price of everything, but the value of nothing.

But it is also the way you get a lot less value out of your talent. In fact, in an economy that is becoming increasingly service oriented, it is a recipe for failure. Now you can show the numbers people some numbers. We will show you in our next posting what the market capitalization of Taleo customers has done compared to the S&P 500 after paying attention to Talent Management.