Potential Management

Unit-2
What is Potential

The qualities or abilities that

somebody/something has but that may not be
fully developed yet
Potential Management

Human potential management is an integrative and

continuous process of enhancing human capabilities
and capacities by enhancing human beings existing
potential and helping them to discover and tap their
talent potential through micro level human
development intervention and micro level system and
policies intervention to create and sustain an
environment that facilitates individuals in achieving
their full potential to their own as well as the
organization advantage
Potential assessment

• Potential assessment is an assessment against

higher level standards and requirements; it is
about the ability and power to grow to higher
levels in the organization.

• Performance Management tools are effective

and efficient approach for potential assessment.
Human Potential Management (HPM)

• Concept of human potential management (HPM) and

argues that the old concept of human resource
management (HRM) should be replaced by HPM.
• Argues that treating human beings as a resource to be
used, utilized or manipulated like any other resource is
demeaning.
• Further, with the increasing number of highly skilled
knowledge workers, resentment of the word “resource” is
likely to increase, since knowledge workers are inclined
to be hostile to manipulation.
Talent Vs Potential

While talent is the natural ability to do and perform, potential

refers to the possibility of doing and performing an even
greater job function – but the abilities are not quite there.

Potential requires training, coaching, and development.

Potential refers to the future.

Talent is in the present – it’s what employees already bring to

the table. Potential can be enticing in managers’ eyes because
they may want to mold the individual and his/her talent into a
different, perhaps larger role.
Talent Vs Potential

• Although potential is exciting and can generate

positive performance in the future, a talented
individual is one who demonstrates both high
performance and high potential.

• Bottom line, the talent has to be in place before the

potential 
Talent and Talent Management

TALENT
• “The sum of a person's ability to learn and grow”

TALENT MANAGEMENT
• “Talent management refers to the skills of attracting
highly skilled / profitable / performing workers, of
integrating new workers, and developing and retaining
current workers to meet current and future business
objectives.”
Talent Management - Integration Management

Elements of Talent Management

Talent
Planning
Measure
Recruiting
and
Report

Succession Talent Performance

Advance
Develop
Lead
Analyze
Profiles
Planand
Evaluate
Planning Objectives Management

Compensation Learning &

Management Development

Career
Planning
 Talent Retention

Critical Elements of Attracting and Retaining TOP Talent

Constructive
Relationships
at
Work
Culture of
Workplace
Respect and
Flexibility
Inclusion

Opportunities
Wellness,
ATTRACTION for
Health
RETENTION meaningful
and Safety
work

Benefits, Provision of
Compensation Employment
are is
Fair and Secure and
Attractive Predictable
Learning and
Development
Inclusive Growth

Engaged and
Productivity
Motivated
Increase
Workforce

Inclusive Growth

Business Growth
Case - Strategically Mining Leadership Talent
for Succession

Questions:
• Write summary of the case in 250-500 words along with your key learnings
• What problem was identified in Talent Audit conducted in 2000 ? Why long-
term approach was required to develop people in the company ?
• What were various steps used for the recruitment, selection, induction,
placement, job rotation, retention and reporting of the BLAST program ?
• How a taste of ANGLO AMERICAN BRAND BLAST program was developed ?
• What leadership and life lessons were identified of the BLASTERS ?