Talent Management at Ted Baker

Introduction

Talent management is a strategy that an organization utilizes to retain their current top-tiered and talented employees while at the same time recruit other talented individuals. According to (Sareen and Mishra, 2016), an organization makes use of effective systems of talent management to better its delivery and performance. The process involves the effective hiring of the right crop of people, preparing new and current employees to fill up future positions in the firm, assessing and improving their performance and encouraging them to stay in the firm. (Kehinde, 2012). (Vaiman, Collings, and Scullion ,2017) note that organizations have realized the value of talent management thus they are investing resources into the process to ensure that they get individuals who will fit into the company culture. A constant struggle that companies have had is the attainment and retention of quality and quantity talent needed to deliver on the organization’s strategic agenda (Vaiman, Collings and Scullion 2017). For students seeking HRM dissertation help, understanding these principles is crucial in exploring how company manage their talent effectively. A study by PWC found that 70% of CEOs globally identified the lack and availability of talent and skills as a key issue limiting the growth prospects of their organization (PWC, 2016). Therefore, this shows that talent management is a pertinent issue in an organization.

This study will focus on talent management strategy deployed by Ted Baker Company. Ted Baker is a global lifestyle brand offering menswear, womenswear, accessories and everything in between (Ted Baker (b), 2019). It is a British brand, famous for its unique and quirky commercial fashion, coupled with a high and quality design that uses unique patterns and color. The company has around 490 stores around the world. Majority of those stores are located in the UK, followed by the US, Europe, Canada and the Middle East (Ted Baker (b), 2019). It is not clear on the exact number of people employed by the company but it runs into thousands of individuals. Taking into consideration that their main business is fashion, it means that they have to concentrate on managing their talent more due to their competitors. In the fashion industry, the type and quality of talent that the organization will offer the company a competitive advantage over its rivals in the industry. As such, they try to reduce employee turnover, through effective talent management strategies. The paper will focus on the current talent management strategy deployed by the company, factors affecting the strategy and offer recommendations on how best the company can improve on its talent management strategy.

Ted Baker’s Current Talent Management Strategy

Recruitment and Selection

In the present highly competitive business environment, human capital is the key to the success of any given business. There is an increase in demand for employees who can be able to link up the knowledge that they possess across the entire enterprise and point out crucial issues and trends, realign the processes internally to give the proper customer care experience and aim to do things in a different way so as to remain in pole position in terms of market needs and be the leader (Kehinde, 2012). In Ted Baker there is a small segment of the company that is recruited which is extremely valuable to its existence and performance. Approximately 10% of the overall population that own a unique blend of experience, skills and knowledge that enable them have the potential to create high value from the kind of resources that is at their disposal. The company has established the proper screening process to get the proper candidates for the work ahead. The selection of the top workforce is based on the unique knowledge, skills and expertise that will push the rest of the workforce in delivering. The recruitment channels at ted Baker are versatile to ensure inclusivity depending on the position. There are employee references, panel vetting’s, interview process, head hunting and many more deployed.

Reward and Recognition

The company works on a yearly pay for performance remuneration approach for employees that are based at their head office and the local offices at North America. The performance is usually determined by business-led and individual objectives that have a direct impact on its brand values and objectives. The rest of the employees performances are looked into yearly through the use of formal and informal tools for benchmarking. Recognition and reward schemes are offered in accordance with the local market and legislative needs for the employees. Prize packages offered include bonus schemes linked to corporate performance, sales targets and individual performance. This reward and recognition goes a long way in bettering the employees and improving their performances. Knowing that there is something in store at the end of the year injects in the extra determination and energy to realize and surpass the targets an individual has (Vaiman, Collings and Scullion, 2017).

Learning and Development

The talent management strategy also revolves around encouraging learning and development amongst the employees. According to (Ted Baker, 2019), employee performance is reviewed bi-annually where each team member is requested to discuss their personal and career development goals. The purpose of the review is to get to understand what opportunities the employee is seeking and how they align with the business objectives. The company gives its employees the opportunities to learn and to broaden their horizons by exposing them to new experiences. Moreover, the company has invested in on-the-job training which ranges from specialist training, leadership skills, brand awareness, technical skills training, management skills, and self-awareness (Ted Baker, 2019). At the same time, the company has invested in encouraging their employees to seek inter-departmental and international moves that will help in broadening their career paths (Ted Baker, 2019). Employees within the company know that they have a chance to grow and that has aided in reducing employee turnover within the company. Without learning and development there is no prosperity and integration of new ways and techniques of doing business in the ever changing business world. It is crucial that the learning and development process is critically looked into by Ted Baker.

Diversity

The company believes in respecting individual autonomy and respecting their workplace rights. As such, the company has policies in place that address equal opportunities, harassment, whistleblowing and bullying (Ted Baker, 2019). The team is made up of individuals from diverse backgrounds, sexual orientations, cultures, ethnicities, and religion. Moreover, the company helps some talented individuals in acquiring visas and work permits that will allow them to work in the UK (Ted Baker, 2019). By helping individuals acquires their visas and work permits, the company is able to retain talented individuals within the company. Additionally, since the company has stores in Europe, Middle East, Canada, and the US, it is inevitable that they would have a diverse workforce. According to (Ted Baker, 2019), they have more than 2,500 employees globally; more than 800 of those employees ate male while 1,700 are women. There are 50 senior managers, and 25 of them are female, and the other 25 are males. In the company’s Board of Directors, there are 4 men and 1 woman (Ted Baker, 2019). The company pays attention to gender balance and diversity when they are selecting individuals to sit on the board or become managers within the company. Furthermore, in relation to disability, it is the company’s policy to consider applications from disabled persons the same way they would consider the applications from able-bodied people. If and when an able-bodied employee becomes disabled the company ensures that their employment within the company continues (Ted Baker, 2019). The company will make a number of adjustments to accommodate that employee, and at the same time, it will encourage the training, career development, and promotion of disabled persons. Therefore, the company has a strong inclusion and diversity program.

Regulatory Factors

As it is in accordance with the provision of the UK Government organizations that have more than 250 employees are obligated to put out calculations for six key areas that outline the existing pay gaps between the female and male employees. In Ted Baker`s report for 2018 the gender split stood at 67% women and 33% men. Men were paid 1.3% more than their female counterparts as a median measure with the national average putting the figures at 17.9% in favor of men. The mean gender pay gap in the company is mainly driven by a minor population of senior executives where the ratio of gender is largely male (Ted Baker, 2019). While there is a gender pay gap, it is partial as a result of a significantly small group of executives in which the male dominate. A leading representation of women is present in all the pay quartiles which depicts the inherent diversity and inclusion of women at all the senior levels. This pay gap reporting will have an impact on the HR practices of the firm in that the management and HR will work hand in hand in establishing the current pay gaps in comparison to the workforce, make the needed changes to the processes of administration and It to improve the capabilities of putting out reports on gender pay and working towards closing any gaps through methods such as improving parental pay leave and tackling any gender stereotypes in the enrolment for certain roles (The Telegraph, 2018).

Environmental Factors

Environmental factors are changing the priorities and HR practices of Ted Baker. Products are designed on the basis of environmental expectations and levels rather than focusing on the traditional value prepositions. This factors have forced the company to shift its strategy and HR practices in order to meet the demands and stay afloat with the business (Benjamin, 2019. Customer activism that results in huge awareness among clients make environmental factors have a huge impact. There is an expectation that the company will be able to be in line with all the legal provisions and become a responsible stakeholder in the community. This means that resources have to be put in ensuring that employees of the company are well equipped and educated on the legal matters. Hiring expertise in legal issues and integrating this requirement to the business goals are also necessary. Recycling is quickly becoming a required strategy rather than an expected strategy (Sareen, and Mishra, 2016). It depicts a business which cares for the environment and what pollution can do to it. This has affected Ted Baker in that it has to budget for the process and resources in terms of humans and everything else that are involved in recycling. There is greater attention and detail paid to the environmental standards maintained by the company due to the Paris Climate Agreement that has resulted into thorough scrutiny of the standards of environment maintained by companies in the United Kingdom (Twidell, 2017). The cost of operations are growing due to the often scrutiny by environmental agencies (Benjamin, 2019). The extreme weather conditions experienced in the country mean that the company has to invest in making the supply chain that it is using more flexible in order to cope up and ensure that targets and expectations are met at the end of the day. This means that more human power has to be put into this in terms of delivery, planning, organizing and everything else that comes along with ensuring a proper functional supply chain. This has led the company in engaging on a number of environmental projects such as participating in Carbon disclosure project that measures and reports on the greenhouse emissions of gas and strategies of climate change. The waste generated by the business is constantly reviewed in order to achieve the set target of not sending waste to landfill. There is a partnership with charities and local schools in recycling waste at the head office. Lastly through a partnership with the New life charity garments that are faulty are not disposed to landfill instead they are channeled to the organization for release as second-hand garments (Ted Baker, 2019).

Core Position Analysis

Finding the perfect candidates suited to an organization is a process that requires careful planning and consideration of numerous factors. The Core position advertised by Ted Baker that we are going to review is the position of Deputy Manager-White City One, London Westfield. The role of this position is to partner with the location manager in order to drive the business and the location`s achievement of KPI`s and coaching the team to achieve excellence (Ted Baker, 2019). The specifications for the person needed are as follows. Ensure the team maximizes sales potential by the correct use of all resources, leadership and team motivation. Deliver effective recruitment, training and motivation of the team. Adapt personal, interpersonal and Managerial behavior to bring out the best in people and enhance the company brand values. Ensure store and team members are presented to the highest possible standards in line with brand expectation. Be competent in product knowledge and feedback regularly to Store Manager on performance and opportunities. Reflect the values of the brand with integrity and respect for others. Be seen as truthful, fair and trustworthy and demonstrate enthusiasm and passion for the brand. Identify and resolve problems in a timely manner. Use feedback to modify and develop alternative solutions and be prepared to make decisions. Be competent in knowledge of stores performance and have a keen awareness of local market, support team to develop client opportunities. Follow policies and procedures and complete administrative tasks correctly and on time. Manage store systems/processes to support a sales environment and achieve operational guidelines. Partner with Store Manager and Central Operations team on all back of house operations and systems/processes to support a sales environment and achieve operational & LP guidelines to protect all assets .Collaborate with Store Manager in areas of risk management, physical security (health & safety), store cash controls (bank deposits, safe funds, petty cash), and inventory management (stock take, stock counts). A strong digital focus with the ability to embrace and drive new initiatives from concept to implementation, helping support new ways of selling and brand profile enhancements. Tools of the trade. Previous sales and team management experience. Previous retail sales experience in a high end, contemporary environment, with a passion for product, retail. Excellent communication and organizational skills. Leadership. Proactive and positive attitude. Established relationships in the local marketplace. Preferred applicants will have a department store background. The recruitment was through the website or the company or the email address provided. The candidates were evaluated based on the specifications of the job requirements as posted on the website. Selection was in regards to how best the candidates were in synchronization with the company`s goals and targets and what they had to offer that was unique to the business (Ted Baker, 2019).

Recommendations

Ted Baker is largely on the right track and there are very minimal issues that need to be sorted out and analyzed to propel the business forward and maintain a balance. Out of its report for the year 2018 it depicts that there is a gender difference of 34 percent between the male and female employees of the company it is best that they try and reduce the gap not just in the normal employees but also the executive employees. This gap is causing the gender gap that is being realized on the final report and the best way to eliminate this is through working hand in hand with the recruitment team in making sure that there is also a proper representation of women in the top level jobs in the company so that the pay can be able to balance out. At the retail store where there is only 0.5% of the gender pay gap the implementation policies applied there should be spread out to minimize the overall difference that results from the organization as a whole. A way to measure on the method in which the remuneration of the company is done on an ongoing basis will help eliminate the gap. With changing business environment comes in new issues and factors to integrate in a business. Ted has done brilliantly in trying to cope up with the changes. However more can be done, integrating the environmental factors in the business plan every year and budgeting for the changes will give the business the economic power and know how to tackle the changes and issues that come up with the ever changing environmental factors. Working closely with the government and professional bodies will provide vital information in the process of tackling the environmental factors. The HR practices should be designed to fit in with the changes and be as flexible as possible in case of any changes that will need to be made in the future.

Conclusion

Ted Baker is a retail company located in the UK. The company has more than 400 stores in the UK, US, Canada, Europe, and Middle-East. The company employs more than 2500 people across its many stores. Due to the business in which the company is located, they require to have an effective talent management strategy. In relation to recruitment, the company prefers to recruit within the company. When they do not have people who can fill in their positions, then they advertise externally. In relation to performance management and rewards, the company has an annual remuneration review where an employee can receive additional remuneration if they did well in the previous year. The company has policies that encourage equality and diversity within the organization. The key regulatory factors that affect the company is the Equality Act and the EU Withdrawal bill. The environmental factors that influence the company’s HR policy are competition, focusing on internal recruitment and labor shortage. In relation to recommendations, the company should set aside funds to develop seamless talent management strategies, develop a proper HR team and encourage the participation of senior managers.

References

• Benjamin, T., 2019. External and internal environmental factors influencing HR activities. Small Business Chron. Accessed 2nd April 2019.
• Kehinde, J. S., 2012. Talent Management: Effect on Organizational Performance. Journal of Management Research, vol. 4, 178-186.
• McKinsey & Company., 2018. Winning with your talent-management strategy. Accessed 2nd April 2019.
• PWC., 2016. The talent challenge: Adapting to growth. Accessed 2nd April 2019.
• Sareen, P. & Mishra, S., 2016. A study of talent management and its impact on performance of organizations. Journal of Business and Management, vol. 18(12), pp.66-73.
• Ted Baker., 2019. People. Accessed 2nd April 2019.
• Ted Baker., 2019. About Us. < http://www.tedbakerplc.com/about-us/who-is-ted-baker> Accessed 2nd April 2019.
• The Telegraph., 2018. Five key pieces of legislation affecting UK SMEs this year. Accessed 2nd April 2019.
• Twidell, A., 2017. Factors weighing in on the retail M&A market. Real Business. Accessed 2nd April 2019.
• Vaiman, V., Collings G, D. & Scullion, H., 2017. Contextualizing talent management. Journal of Organization Effectiveness: People and Performance, vol. 4(4), pp. 294-297.