How Talent Hoarding is Holding Your Org Back

Unlocking Potential: Overcoming Talent Hoarding in Your Organization

One of the sneakiest culprits behind stagnant growth is talent hoarding. Yep, it’s a thing. Talent hoarding happens when employees are blocked from moving around within the company, usually under the guise of “keeping the team strong.” Spoiler alert: it backfires big time. “Frustrations with career progress is the top reason employees give for leaving their employer. In other words, employees leave organizations when they do not see a clear developmental path, and they go to organizations where they can see a clear path forward. (Gallup)” This article dives into what talent hoarding is, why it happens, risks, and how leaders can kick this bad habit to the curb.

The Prevalence and Risks of Talent Hoarding

Talent hoarding is a big deal, especially when employees are itching for new challenges. Did you know that people in the U.S. hold an average of 12.4 jobs in their lifetime? That’s a lot of hopping around, and it shows just how much folks crave growth. Managers need to take action to develop their employees and create systems that encourage growth. When companies don’t help their employees move up or around, guess what happens? The best and brightest head for the exit, while the under-performers stay put. Ouch. It’s like the opposite of what you want, right?

Understanding the Psychology of Talent Hoarding

So why do some leaders cling to their top talent like it’s the last piece of pizza? It boils down to fear, control, and plain old ignorance. (Don’t worry, we’re not talking about you – you’re reading this article to be above all that.) Some leaders worry that if they let their star players go, the team will fall apart. Others love the feeling of control and see talent mobility as a threat to their power. And then there are those who just don’t realize what they’re doing and don’t get how bad talent hoarding really is. They miss out on the big picture: letting employees grow internally is good for everyone.

Overcoming Talent Hoarding: Best Practices for Leaders

Ready to break the cycle of talent hoarding? Here are some ideas to help leaders foster a culture of growth and engagement:

1. Remove Application Requirements for Current Employees

First things first: get rid of those outdated rules that make it hard for employees to apply for new roles. Mandatory time-in-role? Manager approval to apply? Why? Let employees explore new opportunities based on their skills and aspirations. It shows you’re serious about their growth.

2. Share Career Paths during Onboarding

Onboarding is the perfect time to set the right tone. Show new hires all the potential career paths within your organization. This early transparency tells them you care about their long-term growth, not just the job they were hired for. Excitement for the future? Check.

3. Utilize Predictive Index (PI) for Identifying Diverse Career Paths

Tools like Predictive Index^Ⓡ can be game-changers for identifying strengths and increasing internal mobility. Use data-driven strengths assessments to help identify career paths based on employees’ behavioral and cognitive traits, not just their current job titles. This way, you can uncover non-traditional career paths that might be a perfect fit for their skills and interests.

4. Incentivize Leaders to Promote Talent Mobility

Let’s talk about incentives. Introduce financial rewards for leaders who actively support talent mobility. When leaders are rewarded for helping employees grow and move up, it sends a clear message: talent hoarding is out, growth is in. This top-down approach will not only bolster your growth and development initiatives, but will build a culture where leaders are invested in their team’s careers.

In Summary

Talent hoarding can be a huge roadblock for any organization looking to grow and innovate. By understanding the risks and psychological reasons behind this faux-paus, leaders can take proactive steps to combat the desire to cling to talent. Implementing practices like removing application barriers, sharing career paths, using tools like PI, and incentivizing leaders to promote talent mobility can transform your organization and improve retention. The result? Happy employees, better engagement, and a culture of continuous growth. Not too shabby.

Remember, your organization’s success depends on the growth and development of your top talent. Don’t let talent hoarding drag you down. Embrace change, foster a culture of mobility, and get ready for unprecedented success.