White paper provides suggestions on how to use data to help realise employee potential
The idea of employee potential refers to the possibility that employees can develop beyond their current roles, suggesting further growth to achieve a desired state.
This is according to SAP's recent white paper, which provided insights on how to realise the potential of all talents to succeed.
As stated in the paper, HR leaders currently use potential data to make informed decisions for various purposes including:
- Matching the right employees to the right roles at the right time
- Identifying how to develop employees to reach their potential
- Ensuring the satisfaction and retention of employees with high potential
- Evaluating and improving the effectiveness of employee potential practices
But they also face various challenges in consistently utilising potential data, as well as enabling managers and employees to use the information for decision-making.
Using employee potential data
To address these challenges, SAP recommended prioritising the most valuable employee potential data use cases to HR leaders, managers, and employees.
This includes development planning, including skills initiatives and identifying mentors, and career pathing.
In terms of using potential data for compensation, the paper suggested said "aligning compensation structures with a broader strategy for employee potential ensures that employees with potential are rewarded and retained."
"HR leaders can avoid the impact of intentional inflation by combining ratings with results from validated assessments of potential-related attributes," the paper read.
Another strategy for HR leaders to better utilise employee potential data is to provide better access by laying down clear and transparent guidance on how to use the information on decision-making.
Expanding the 'view' of potential
Most importantly, perspectives on employee potential must be expanded to better utilise such data, according to the report.
"This is because as employee potential definitions expand, employee potential information becomes richer and more multi-faceted, allowing for more and better evidence-based decisions to be made," the report read.
"Expanded employee potential data allows organisations to better understand the current and future states of internal talent pools, improving workforce planning, succession planning, and broad talent management strategies."
SAP's white paper on employee potential further expanded on these recommendations, as well as how technology can be of great help in utilising potential data. Grab your free copy here.
