Thirteenth Global Studies Conference

Abstract

Organizational development history reveals that it has always been a challenge to identify and fathom the role of talent management, career development, and compensation management towards employees’ retention and organizational performance. Organizations strive to measure the impact of all those factors which affect employee retention and organizational performance. Researchers have worked a great deal in order to know the relationship of independent variables i.e. Talent Management, Career Development, and Compensation Management on dependent variables i.e. Employee Retention and Organizational Performance. Employees adorned with latest skills with long lasting loyalty play a significant role towards successful achievement of short term as well as long term goals of the organizations. Retention of valuable and resourceful employees for a longer time is equally essential for meeting the set goals.The study is based on RBV and AMO theories which advocate that by enhancing internal resources for employee talent management, career development, and compensation management. This results in execution of HRM practices for employee motivation and retention enabling an organization to achieve and sustain competitive advantage, which leads to optimal organizational performance. Data were collected through structured questionnaire based upon adopted instruments after establishing reliability and validity. A total 300 employees of 30 firms in service sector of Pakistan were sampled through non-probability sampling technique. Regression analysis revealed that talent management, career development, and compensation management have significant positive impact on employee retention and perceived organizational performance.