THE

TAL E NT
MANAGEMENT
HANDBOOK
CREATI NG A SUSTAI NABLE
COMPETI TI VE ADVANTAGE
BY SELECTING, DEVELOPING,
AND PROMOTI NG
THE BEST PEOPLE
Edited by
Lance A. Berger
Dorothy R. Berger
SECOND EDITION
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Copyright 2011 by The McGraw-Hill Companies, Inc. All rights reserved. Printed in the United States of America.
Except as permitted under the United States Copyright Act of 1976, no part of this publication may be reproduced
or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written
permission of the publisher.
1 2 3 4 5 6 7 8 9 10 DOC/ DOC 1 9 8 7 6 5 4 3 2 1 0
ISBN 978-007-173905-4
MHID 007-173905-X
This publication is designed to provide accurate and authoritative information in regard to the subject matter cov-
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accounting, securities trading, or other professional services. If legal advice or other expert assistance is required,
the services of a competent professional person should be sought.
From a Declaration of Principles Jointly Adopted by a Committee of the
American Bar Association and a Committee of Publishers and Associations
Library of Congress Cataloging-in-Publication Data
The talent management handbook : creating a sustainable competitive advantage by selecting, developing, and
promoting the best people / [edited] by Lance Berger, Dorothy Berger. 2nd ed.
p. ; cm.
Includes index.
ISBN 978-0-07-173905-4 (alk. paper)
1. Career development. 2. Employee motivation. 3. Creative ability in business. I. Berger, Lance A. II. Berger,
Dorothy R.
HF5549.5.C35T35 2011
658.3'14dc22 2010041289
McGraw-Hill books are available at special quantity discounts to use as premiums and sales promotions or for use
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This book is printed on acid-free paper.
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Contents
Preface vii
Contributors ix
Part I Creating a Talent Management Program for
Organization Excellence 1
Lance A. Berger and
Dorothy R. Berger
Building Block 1: Competency Assessment
Murray M. Dalziel, Ph.D.
Kim E. Ruyle and
J. Evelyn Orr
Ron Garonzik, Ph.D., and John B. Larrere
Building Block 2: Performance Appraisals
Dick Grote
Mark Graham Brown
David Insler and Angelita Becom
James F. Reda
Martin G. Wolf, Ph.D.
Jim Kochanski and JP Elliott
Building Block 3: Succession and Career Planning
William J. Rothwell, Ph.D.
Murray M. Dalziel, Ph.D.
Doris Sims
iii
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Kevin D. Wilde
Beverly Kaye, Ph.D., Joyce Cohen, and Beverly Crowell
Marshall Goldsmith
Dennis Carey, Marc Feigen, and Kevin Cashman
Part II Formulating Coaching, Training, and
Development Approaches that Drive Talent
Management Processes 181
Dale E. Kunneman, Francesco Turchetti, Sharon L. Cresswell,
Catherine M. Sleezer
Jack J. Phillips, Ph.D., and Lisa Edwards
Karol M. Wasylyshyn, Psy.D.
Richard E. Boyatzis, Ph.D., Melvin L. Smith, Ph.D.,
and Ellen Van Oosten
John W. Fleenor, Sylvester Taylor,
and Craig Chappelow
Michael Haid
Deb Jacobs and Mayra Hernandez
Kaye Thorne
Part III Making Compensation an Integral Part of Your
Talent Management Program 263
Andrew S. Rosen and Jodi L. Starkman
Mel Stark and Mark Royal
Paul Conley and Dan Kadrlik
Gerald E. Ledford, Jr., Ph.D.
Contents iv
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Part IV Using Talent Management Processes to Drive
Cultures of Excellence 303
Theme 1: Using Talent Management Techniques to Drive Culture
David C. Forman
Andy Pellant
Owen Sullivan
David Lee
Deborah Schroeder-Saulnier
Theme 2: Targeting Cultures that Create Competitive Advantage
for Your Organization
Fredericka K. Reisman, Ph.D., and Theodore A. Hartz, MBA
Max Caldwell and Denise Fairhurst
Jeana Wirtenberg, Ph.D.
Ought Stephen F. Hallam, Ph.D., and
Teresa Alberte Hallam, Ph.D.
Robert J. Thomas and Yaarit Silverstone
Theme 3: Making Diversity Part of Your Competitive Advantage
Reginald F. Butler
Molly Dickinson Shepard and Nila G. Betof, Ph.D.
Part V Using Talent Analysis and Planning Techniques to
Enhance Your Talent Management Program 421
David Smith
and Elizabeth Craig
Ed Newman
Robert Conlon, E. Michael Norman, and Aaron Sorensen, Ph.D.
Haig R. Nalbantian and Jason Jeffay
Rick Lash, Ph.D.
and Tom McMullen
Contents v
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Randy Jayne
Tony Santora and Melvin Scales
Craig M. Berger
Guy Gauvin
Part VI Innovative Thinking that Can Shape Your
Organizations Approach to Talent Management 503
William A. Schiemann
Dave Ulrich, Ph.D., and Michael Ulrich
David C. Forman
Marc Effron and
Jim Shanley
Allen Zeman, Ph.D., Anne Kelly, and Allan Schweyer
Index 552
Contents vi
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Preface
T
HE TALENT MANAGEMENT HANDBOOK HELPS ORGANIZATIONS DRIVE AND SUSTAIN
excellence by proactively using talent management processes to create a culture
for success. Based on our research, consulting assignments, and the input of this books
preeminent contributors, we conclude that the core talent management framework
required for creating a culture for success consists of three elements. These are:
Atalent management creed composed of a widely publicized set of core princi-
ples, values, and mutual expectations that mutually guides the behavior of an
organization and its people. Collectively, the stated principles depict the type of
culture an organization strives to create to achieve its unique portrait for suc-
cess. The principles of the creed are embedded into both its talent management
strategy and in its talent management system through incorporating its doc-
trines into selection criteria, competency definitions, performance criteria, and
internal selection and development processes, and all other human resources
policies and programs.
A talent strategy makes explicit the types of people in whom the organization
will invest. The highest investments are rooted in the organizations talent creed
and each persons potential for contributing to organizational success now and
in the future.
A talent management system consists of a set of procedures, systems, and
processes that translate an organizations talent creed and strategy into a diag-
nostic and implementation program for investing in the people who exemplify
the culture that will achieve organization excellence.
This book is organized into six parts. The chapters are arranged to provide readers
with a logical path to creating the talent management framework described above.
establishes the talent management framework. It shows how the different ele-
ments of a creed, talent strategy, and the building blocks of a talent management sys-
tem are integrated into a unified approach that creates and sustains organizational
excellence. The building blocks represent assessment tools rooted in the organizations
creed that include competencies, performance appraisal, potential forecast, and suc-
cession and career planning. The building blocks enable the organization to classify its
vii
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employees based on actual and potential contribution to organizational success and to
suggest the types of investment needed to enhance individual contribution.
describes the types of investments an organization must make to assure that its
human resources can perform at the highest competitive levels now and in the future
based on the assessment of its people. This section covers the use of training, develop-
ment, coaching, mentorship, and leadership within a talent management plan. Together
Parts I and II provide critical input to helping an organization attract, select, retain, and
engage its people.
presents approaches that are used to allocate financial rewards to employees
based on their actual and potential contribution to employee success.
links talent management, culture, and business excellence. It describes how
organization philosophies, beliefs, and values establish the parameters that govern
the selection, development, and advancement of the people who shape the culture for
success that drives business excellence. They include elements such as: ethics, sustain-
ability, diversity, engagement, innovation, and creativity.
covers a diverse collection of critical topics that include defining the link
between business planning and talent management, workforce analysis, and recruit-
ment, outplacement, and information systems that complement other talent manage-
ment processes.
encourages the reader to be imaginative in approaching the unique talent man-
agement requirements of their organization. It includes ways to use a people equity
framework to rethink talent management, use novel collaborative approaches to
marshall or marshall talent, consider the global state of talent management,
deploy a special model for talent manager excellence, and use talent management
leadership to drive success in the government.
Preface viii
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ix
Contributors
, Senior Consultant, Sibson Consulting, Raleigh, North Carolina
(Chapter 7)
, Director of Education, Society for Environmental and Graphic
Design, Washington, DC (Chapter 49)
Partner, Lance A. Berger & Associates, Ltd., Bryn Mawr,
Pennsylvania (Chapter 1)
Managing Partner, Lance A. Berger & Associates, Ltd., Bryn Mawr,
Pennsylvania (Chapter 1)
, Ph.D., Chief Operating Officer, The Leaders Edge, Bala Cynwyd,
Pennsylvania (Chapter 41)
, Ph.D., Professor in the Departments of Organizational Behavior,
Psychology, and Cognitive Science, Case Western Reserve University, Cleveland,
Ohio (Chapter 21)
President, Mark Graham Brown & Associates, Manhattan
Beach, California (Chapter 6)
Cultural Transformation Services Managing Director,
PricewaterhouseCoopers LLP, Tampa, Florida (Chapter 40)
, Managing Director, Towers Watson, New York, New York
(Chapter 36)
Vice Chairman, Korn/Ferry International, Scottsdale, Arizona
(Chapter 17)
Senior Partner, Korn/Ferry Leadership and Talent Consulting
Minneapolis, Minnesota (Chapter 17)
Global Portfolio Manager, Assessments, Center for Creative
Leadership, Greensboro, North Carolina (Chapter 22)
, Senior Consultant, Career Systems International, Sherman Oaks,
California (Chapter 15)
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, Consultant, Towers Watson, Minneapolis, Minnesota (Chapter 28)
Senior Vice President, Sibson Consulting, Chicago, Illinois
(Chapter 44)
Research Fellow, Accenture, Boston, Massachusetts (Chapter 42)
, Talent Management: Competencies and Curriculums, Baker
Hughes Corporate, Houston, Texas (Chapter 18)
, Senior Consultant, Career Systems International, Sherman Oaks,
California (Chapter 15)
, Ph.D., Professor of Management and Director, University of
Liverpool Management School, Liverpool, England (Chapters 2 and 12)
, Senior Director for Talent Management, Corbis, Seattle, Washington
(Chapter 19)
, President, The Talent Strategy Group, New York, New York
(Chapter 54)
, Senior Consultant, Sibson Consulting, Los Angeles, California (Chapter 10)
, Senior Consultant, Towers Watson, New York, New York
(Chapter 36)
Founder, Feigen & Company, New York, New York (Chapter 17)
, Research Director, Center for Creative Leadership, Greensboro,
North Carolina (Chapter 22)
, Chief Learning Officer, Human Capital Institute, Washington, DC
(Chapters 30 and 53)
, Ph.D., Vice President, Hay Group, Boston, Massachusetts (Chapter 4)
Executive Vice President of Global Services, Taleo, Dublin, California
(Chapter 50)
, Executive Coach, Leadership Development and Behavioral
Change, San Diego, California (Chapter 16)
, President, Grote Consulting Corporation, Frisco, Texas (Chapter 5)
, Senior Vice President, Global Solutions, Right Management,
Philadelphia, Pennsylvania (Chapter 23)
, Ph.D., Professor of Management, University of Akron, Akron,
Ohio (Chapter 38)
, Ph.D., Senior Lecturer, University of Akron, Akron, Ohio
(Chapter 38)
Contributors x
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, MBA, Executive Director of Customized Learning Solutions
Drexel University Goodwin College of Professional Studies, Co-Director
Drexel/Torrance Center for Creativity and Innovation, Drexel University,
Philadelphia, Pennsylvania (Chapter 35)
, CEO, Impactomb, New York, New York (Chapter 24)
Senior Vice President, Sibson Consulting, Los Angeles, California
(Chapter 7)
, Partner, Axiom Consulting Partners, New York, New York
(Chapter 24)
Ph.D., Managing Partner, Heidrick & Struggles, Global Aerospace,
Defense, and Aviation Practice, McLean, Virginia (Chapter 47)
, Partner and Global Talent Management Leader, Human Capital
business, Mercer, Atlanta, Georgia (Chapter 45)
, Stock Plan Consultant, Executive Pay and Benefits, Target Corporation,
Minneapolis, Minnesota (Chapter 28)
Ph.D., Founder and CEO, Career Systems International, Sherman
Oaks, California (Chapter 15)
Principal, Center for Human Capital Innovation (CHCI), Washington,
DC (Chapter 55)
, Senior Vice President, Sibson Consulting, Raleigh, North Carolina
(Chapter 10)
, Vice President Human Resources Global Products, Baker
Hughes Corporate, Houston, Texas (Chapter 18)
, National Practice Leader, Leadership and Talent, Hay Group,
Philadelphia, Pennsylvania (Chapter 4)
Ph.D., Canadian Leadership and Talent Practice Leader, Hay Group,
Toronto, Canada (Chapter 46)
Ph.D., President, Ledford Consulting Network, LLC, Redondo
Beach, California (Chapter 29)
, Principal, HumanNature@Work, Bar Mills, Maine (Chapter 33)
, North American Reward Practice Leader, Hay Group, Chicago,
Illinois (Chapter 46)
, Senior Partner and Director of Global Research and
Commercialization, Human Capital business, Mercer, New York, New York
(Chapter 45)
Contributors xi
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, Founder, The Newman Group, and Leader, Futurestep, US,
Los Angeles, California (Chapter 43)
Senior Vice President, Sibson Consulting, Los Angeles,
California (Chapter 44)
, Intellectual Property Development Consultant, Korn/Ferry
Leadership and Talent Consulting, Minneapolis, Minnesota (Chapter 3)
Managing Partner, Emergentedge, Hertford, England (Chapter 31)
, Ph.D., Chairman, ROI Institute, Inc., Birmingham, Alabama
(Chapter 19)
Founder and Managing Director, James F. Reda & Associates, LLC,
New York, New York (Chapter 8)
, Ph.D., Professor, Director Drexel/Torrance Center for
Creativity and Innovation, Drexel University, Philadelphia, Pennsylvania
(Chapter 35)
, Executive Vice President, ORC Worldwide, New York, New York
(Chapter 26)
Ph.D., SPHR, Professor of Workforce Education and
Development, Department of Learning and Performance Systems, College of
Education, The Pennsylvania State University, University Park, Pennsylvania
(Chapter 11)
Chief Executive Officer, The Leaders Edge, Bala
Cynwyd, Pennsylvania (Chapter 41)
, Talent & Organization Performance Managing Director,
Accenture, Atlanta, Georgia (Chapter 39)
, SPHR, Founder and President, Succession Builders LLC, Flower Mound,
Texas (Chapter 13)
, Competencies and Curriculum Supply Chain, Baker Hughes
Corporate, Tulsa, Oklahoma (Chapter 18)
, Talent & Organization Performance Managing Director, Accenture,
Hartford, Connecticut (Chapter 42)
, Ph.D., Professor in the Department of Organizational Behavior,
Case Western Reserve University, Cleveland, Ohio (Chapter 21)
, Ph.D., Senior Consultant, Sibson Consulting, Chicago, Illinois
(Chapter 44)
, Vice President, Hay Group, Jersey City, New Jersey (Chapter 27)
, Executive Vice President, ORC Worldwide, New York, New York
(Chapter 26)
, Chief Executive Officer, Right Management, Philadelphia,
Pennsylvania (Chapter 32)
, Director, Assessments, Tools, and Publications, Center for Creative
Leadership, Greensboro, North Carolina (Chapter 22)
, Institute for High Performance Executive Director, Accenture,
Boston, Massachusetts (Chapter 39)
, Founder and Managing Partner, Talent Perspectives, Dorset, England
(Chapter 25)
, Director Talent Management, Baker Hughes Corporate,
Houston, Texas (Chapter 18)
, Ph.D., Professor, Ross School of Business, University of Michigan, Ann
Arbor, Michigan, and Partner, The RBL Group, Provo, Utah (Chapter 52)
, Research Associate, The RBL Group, Provo, Utah (Chapter 52)
, Department of Organizational Behavior, Weatherhead School of
Management, Case Western Reserve University, Cleveland, Ohio (Chapter 21)
Psy.D., President, Leadership Development, Philadelphia,
Pennsylvania (Chapter 20)
Contributors xiii
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, Vice President, Organization Effectiveness and Chief Learning
Officer, General Mills, Minneapolis, Minnesota (Chapter 14)
, Ph.D., Director, External Relations and Services, Institute for
Sustainable Enterprise, Fairleigh Dickinson University, Teaneck, New Jersey
(Chapter 37)
, Ph.D., President, Management Advisory Services, Jalisco, Mexico
(Chapter 9)
, Ph.D., President, Center for Human Capital Innovation (CHCI),
Washington, DC (Chapter 55)
Contributors xiv
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