The scarcity of talent is evident across various industries, and is a global phenomenon (Manpower Group, 2013), serving as a threat to viability (Böhmer & Schinnenburg, 2016). Many organisations continually struggle to source and place appropriately qualified and experienced talent (Tarique & Schuler, 2012). Talent shortage forces organisations to purposefully embed talent management practices, and even revert to poaching and headhunting (Gundling, Caldwell, & Cvitkovich, 2016). Clearly, the supply of talent is not adequately meeting the current demand, and this may continue to be a long-term challenge (Kapoor, 2011). A balance of initiatives needs to be designed to meet the short- to medium-term needs. A talent management framework, aligned with an organisation’s strategy, could address these short- and medium-term needs (Manpower Group, 2015).

Organisations experience an increased talent shortage with an ageing workforce (Minneci, 2015; Ping, 2011). On the one hand, developed countries have population figures that are shrinking, with ageing populations (Tarique & Schuler, 2012). On the other hand, developing economies have a growing population which is becoming younger. It seems essential to plan around replacing the employees who are nearing retirement age with a younger generation of talent (Thunnissen & Van Arensbergen, 2015). The older and the younger generation exhibit varied traits and expectations, making it challenging to facilitate the transfer of skills from one generation to another (Tarique & Schuler, 2012). Although it may not pose an immediate threat, there is a need to address the ageing workforce before it becomes an urgent priority. This challenge provides an opportunity to closely look at their respective work values, attitudes and career expectations to ensure appropriate alignment and talent management interventions (Ng & Parry, 2016).

Today’s workplace has a new reality of multiple generations comprising the millennials, generation X, baby boomers and the silent generation (Holt & Seki, 2012; Ng & Parry, 2016). Despite the high rate of unemployment more affecting the youth, there is a noticeable increase in new entrants into employment. Price Waterhouse Coopers’s (2011) prediction is that the global workforce will comprise 50% millennials by 2020 and about 75% is projected by 2025 (Herbert, 2016). Taking a closer look at the millennials who are fast entering the world of work, it can be inferred that they differ vastly compared to other generations. Millennials value a work environment characterised by transparency, flexibility and work–life balance and make career decisions based on these and related needs (Alkire, 2014; Downs, 2015). Does this mark the end of loyalty as we traditionally know it? Employers seem to be aware of this truth as they get to know millennials who freely express their needs when they enter an organisation. Given the extent of awareness of this new reality, it would be a missed opportunity if organisations are not reviewing the policies and processes necessary to successfully navigate through the challenges cropping up in regard to recruitment and retention of skilled personnel (O’Donnell, Karallis, & Sandelands, 2008). It should also be noted that the global-mindedness of millennials seems to make them more inclined to accept international assignments (Alkire, 2014).

Because of high levels of loyalty in the past, employers did not pay much attention to talent management. However, the era of high levels of commitment seems to be fast fading away. It is now an acceptable norm to have multiple employers with less tenure (Caplan, 2014). People frequently change jobs, they are more sensitive to an organisation’s culture and lifetime employment seems to be consigned to the past (Ratten & Ferreira, 2016). Employees’ loyalty as measured by, among others, long tenure has been replaced by loyalty when it lasts. The employees may be loyal for as long as they are with the organisation, but such loyalty can change instantly. New ways of working and performance standards empower employees to see value in the organisation, which may lead to loyalty and voluntarily returns (Aggarwal & Bhargava, 2009). Workers today frequently change jobs or move across employers and occupations. It would seem the power has shifted from the employer to employees taking an active role in managing their own careers (Tarique & Schuler, 2012).

Perhaps more than ever before organisations need a talent pipeline flow as a lifeblood for the organisation (Hirsh, 2014). It is certainly fundamental for the sustainability of an organisation. Identifying and developing young talent is one of the ways to create the talent pipeline needed in organisations. This requires a robust approach to integrating talent development as part of the organisation’s strategy with leadership taking an active role as talent managers through mentorship, coaching facilitating job rotation and peer support (McGettingan & O’Neill, 2009). In addition, the integration of labour market dynamics, the economic outlook and higher education institutions are necessary to foster collaborative efforts in developing and growing the talent pipeline (Leon & Uddin, 2016; Sawhney et al., 2014).

Technological solutions in workplaces are important as these bring about a number of benefits. In managing talent, systems are required to enable seamless solutions by employees and management. The employment landscape has changed and will continue to evolve owing to technological solutions available in the market (Manpower Group, 2015). Trends suggest that the future of work will be characterised by virtual teams; employees’ interaction in cyberspace and social networks; flexible working hours; remote workstations and contingent workers (Hoek, 2016). For example, employees will work for multiple organisations (Tarique & Schuler, 2012). The implementation of talent management cannot be divorced from integrating appropriate tools for enabling intelligent analytics, instant reports generation, efficiencies and reduced cost.

Paying attention to talent management imperatives is no longer an option but should lead to a competitive advantage (Liu & Pearson, 2014). Both developed and developing economies compete for the limited pool of talent available. Global talent movements place talent management high on the agenda. These movements contribute to the knowledge and practice of talent management and, in turn, to the economic growth and the overall competitiveness of many nations (Silvanto & Ryan, 2014). The fierce competition for talent on a global scale is centred on the economic viability of both developed and developing countries (Alkire, 2014; Eilo, Yu, Tam, & Loek, 2016), thus exacerbating at a higher scale prevalent talent shortages (Ewerlin & Süß, 2016). The need for talent at leadership level has recently become urgent (Hassanzadeh, 2015).

The rise of talent mobility is traceable to the developments relating to internationalisation, globalisation, and multinational entities and associated technology (Alkire, 2014; Nilsson & Ellström, 2012; Sambartolo, 2015). Global talent management practices require organisations to devise more innovative strategies to attract talent as well as policies which are suitable for cross-cultural environments (Ratten & Ferreira, 2016). It is likely that talent mobility may be a result of the declining trust between employer and employees (Böhmer & Schinnenburg, 2016). Several organisations are considering geographic expansion as a way in which to grow the market and ensure sustainability (Gundling et al., 2016). Talent mobility has increasingly heightened the importance of diversity and inclusiveness (Silvanto & Ryan, 2014), in the context of global talent management (Ruël & Lake, 2014). Even though global business leaders seem to recognise the need for a global talent intelligence, it seems that some of the challenges exist in developing and implementing the required talent strategy, given the complexity involved (Gundling et al., 2016). Based on their experiences, global leaders take a lead role in the process of coordinating talent exchange (Ratten & Ferreira, 2016). Manpower Group (2015) report that 71% of the CEOs actively search for talent in various geographic locations, noticing that talent mobility is a major concern.

As it is evident that competition for talent is not confined to a particular industry or local market, then which are the destinies worth noting? Multinational organisations, in particular, compete worldwide for the best talent within their local geographies and in international geographic areas (Alkire, 2014). The United Kingdom, Greece, Italy, Spain and Portugal are among the attractive talent destinations (Minneci, 2015). ‘Multiethnic cities such as London, Sydney, Toronto, Paris, New York and Dubai’ (Silvanto & Ryan, 2014, p. 112) are also some of the preferred destinations. The talent flow in and out of the United Kingdom has revealed that engineers are attracted, in the main, by best offers which meet their talent specifications; the scientists and academics draw their interest in research and professional development opportunities, while entrepreneurs are more attracted by market conditions and more favourable and less restrictive regulatory environments. In South Africa, the number of people who emigrate annually, particularly at skilled levels, is a great concern. According to the Human Capital and Labour Report (2017), about 47 000 professionals emigrated in 2015 alone, with the majority of them relocating to the United Kingdom.

Talent management draws its strength partly from a strong brand presence (Ramaiah & Raut, 2014). The link exists between a strong brand and the ease of attracting and retaining talent. Most organisations with a strong brand image report that they have a large number of prospective candidates in their online recruitment portal in the queue for potentially securing employment with the company. Paying attention to intangible qualities and to the strength of the organisation and the country is imperative for brand image. The intangible qualities include, among others, lifestyle, freedom, intellectual stimulation, acceptance, tolerance and immigration policies. Countries with these intangible qualities and seamless immigration policies are more successful in attracting the best of talent (Silvanto & Ryan, 2014). In addition, the emerging markets are generally perceived to be less attractive than the developed markets. More branding is required to heighten the appeal of emerging markets, especially among millennials who are particular about brands in making career decisions (Alkire, 2014). In view of the wide variety of career choices which young people are facing, it is important to brand engineering and construction careers as attractive (O’Donnell et al., 2008). The organisation’s brand image is based on how it improves its appearance in the public domain (Manpower Group, 2015), with an inclusive imperative of diversity to attract the right talent (Holt & Seki, 2012).

In this study, driving business results, policies and procedures, leadership, exclusive and inclusive approach and technology have been identified as the most important internal enablers.

To achieve results, big-picture thinking is required in relation to the organisation’s talent management strategy, its processes, its policies and its organisational culture. It was clear from the study’s findings that, in relation to its current and future projects, the organisation where the study was conducted was not always prepared to meet the demand for talent and its leadership pipeline model was not facilitating talent. Consequently, the flow of its talent was not at the pace that was required. In fact, internally its talent supply was relatively low compared to what it was capable of producing. Kapoor (2011) warns that a lack of strategic leadership in talent management may lead to long-term predicaments.

There were challenges in respect of the organisation’s policies and procedures regarding its talent management. These issues were not, however, related to poorly constructed documents, but to the way in which the guidelines were communicated and administered. Organisational policies and procedures need to be in place when challenges arise (O’Donnell et al., 2008). Policies should also support a cross-cultural environment (Ratten & Ferreira, 2016).

An organisation’s leadership should play a key role in ensuring that its internal processes, including those for talent management, are aligned. Accountable senior leaders are actively involved in the agenda in respect of talent management in an organisation. Leadership skills should be from an umbrella of expertise that consists of a blend of financial, legal, technical (Fapohunda, 2014) and problem-solving skills (Senaratne & Samaraweera, 2015). The organisation in the study did not have a human resources director and operated for many years without a dedicated recruitment manager. Consequently, efforts by the leadership, line managers and practitioners, key to administering its talent management practices, were often not aligned.

The alignment between the individuals’ talent aspirations and those of the organisation should accord with job satisfaction. In addition, attracting talented individuals to organisations should minimise talent turnover, ensure continuity and reduce hiring costs. This usually means that demonstrating a return on investment becomes less of an effort. Furthermore, the benefits accruing from increased performance, enhanced organisational output and customer satisfaction improve the organisation’s image. The findings indicate that the organisation had adopted an exclusive talent management approach, focused only on the potential of its leadership and not on that of all its talented employees (an inclusive approach). Consequently, many talented employees at other levels and in functional areas core to the organisation remained underutilised.

Technology has recently become a key factor in talent management, in particular because it provides several platforms and tools which appeal to this younger generation (Sahay, 2015). The organisation demonstrated inadequate technology in supporting its talent management practices. For example, performance management was not fully automated, while, at the time of the study, the organisation had yet to invest in e-learning to assist the development and growth of talent.

Having discussed the internal enablers, it is equally important for the organisation to align with the external enablers identified in this study.

Finding and employing individuals with appropriate talent, managing, growing and compensating them should be aligned with broad labour market dynamics. The labour market suggests that the prevailing skills shortage is an issue of major concern and that it extends beyond the context and boundaries of both the organisation in question and the construction industry in general. In fact, it is a global phenomenon. There is a shortage of talent in the construction industry, particularly in the technical, engineering and related disciplines. Leon and Uddin (2016) and Sawhney et al. (2014) suggest that collaboration be fostered with higher education institutions in growing a talent pipeline.

Organisation’s perceived value in terms of its brand value is key in attracting the diverse talent and then retaining such talent (Ramaiah & Raut, 2014). Although historically strong, the recently imposed penalties by the Competition Commission for collusion had damaged the organisation’s brand image. The brand image helps to attract the best talent as individuals wish to associate themselves with organisations with superior brands and disassociate themselves from those which have not established themselves or whose brand images are tarnished. It is important to remember that an organisation’s alignment with its external environmental impacts positively on the organisation itself and, ultimately, on its brand image (Ramaiah & Raut, 2014).

The study found that the remote locations of construction projects and the negative working conditions seemed to be a major barrier to attracting the best talent. Working conditions are often considered to be hazardous. In addition, employment contracts often oblige talent to be mobile when required to work in remote locations and offshore and this was unsettling.

In its pursuit of talent management, the organisation was under pressure to balance its workforce demographic make-up profile to ensure that it was representative of that of the country. In fact, this was often included in the organisation’s contractual obligations with its clients. In particular, the Employment Equity Act No. 55 of 1998 required the company to provide employment opportunities to previously disadvantaged South Africans, including those with disabilities. The BBBEE requirements, particularly management control and skills development elements of the Construction Sector Codes, necessitate focused attention on creation of black talent pipeline.

It is expected that a thorough understanding of both the internal and the external enablers will lead to effective talent management practices.

The continued mismatch between the supply and demand of talent was forcing the organisation either to appoint less capable talent or to look outside of the country. The study found that the organisation tended to use traditional methods of sourcing talent, including CV screening, shortlisting, interviews and reference checks. However, sourcing strategies in the labour market have evolved. It would appear that the best method is to tailor the sourcing strategies for each different generational grouping based on the group’s respective unique characteristics. However, the organisation in the study was yet to use a tailored sourcing approach and to exploit social media platforms. A sensitivity is needed towards a workforce consisting of multiple generations (Holt & Seki, 2012; Ng & Parry, 2016). It is especially the specific needs of millennials that need to be taken into consideration (Alkire, 2014; Downs, 2015), as they should be forming 75% of the workforce by 2025 (Herbert, 2016).

Performance management starts with goal setting which is aligned with the broader organisational goals and culminates in the performance review. It was clear that there was a need for consistency in the performance reviews conducted by the organisation. The performance management reviews were scarcely ever completed by the set timelines. In addition, there was no management of the consequences of non-compliance with the performance reviews. It seemed that completion of the performance reviews speeded up close to the financial year-end because of the threat of no performance rating on the system leading to no bonus pay. This could potentially lead to skewed performance ratings in which disengaged employees were often not identified. Unfair performance appraisal would inevitably lead to disgruntled employees (Aggarwal & Bhargava, 2009). Performance management outcomes led to key decisions in relation to talent, for example, promotion, development and compensation, which were not necessarily fair.

It has been established that talented individuals value opportunities for learning and for personal and professional growth. Talented individuals prefer working environments where there is a trust relationship with their line managers, empowerment, growth prospects and work–life balance. Career security should be fostered through learning and career development. Growing talent is one of the key practices that has been recognised for its impact on engaging talent. Leon and Uddin (2016) and Sawhney et al. (2014) suggest that joint partnerships are formed with educational institutions in securing future talent requirements. It is a concern that in this study, it was found that talent development was not prioritised and, consequently, very limited budget provisions were made for it.

Organisations review their compensation practices with a view to remain competitive in the global talent market (Maloa & Bussin, 2016). Attractive compensation structures attract talented individuals’ drive to performance and productivity (Fapohunda & Chileshe, 2014). Compensation plays an important role in performance management as motivational theory links performance outcomes to incentives. The study established that the business’s profitability paved the way for the organisation to reward its employees by means of incentives. However, the organisation’s remuneration and incentive payouts process for employees are not transparent and the alleged disparities remain a source of tension between the employer and the employees. The organisation had been forced by the Department of Labour to undertake an exercise to address these disparities as part of the equal pay for work of equal value legislative requirement. It is no surprise that the Global Talent Competitiveness Index 2017 ranks South Africa’s compensation and hiring practices as 135 out of 138 countries (INSEAD, 2016).

The challenge an organisation faces regarding talent is how to attract talent and then how to keep such talent sufficiently engaged to remain with the organisation. Limited career growth opportunities were cited as a major reason why people decided to leave the organisation. At the time of the study, the organisation had not found alternative strategies such as meaningful work, job enrichment and work–life balance, to retain its talent. This meant that its organisational structure was becoming flatter, and the emergence of a matrix reporting structure was rising. However, the organisation did respond adequately to the need to counter turnover costs, the loss of organisation knowledge, interrupting client service and so on, resulting from a high staff turnover which was over 15%. Organisations should especially be sensitive that fierce international competition could jeopardise talent management practices (Alkire, 2014; Eilo et al., 2016; Ewerlin & Süß, 2016).