The concept of people’s development value chain
People or employees are the essential assets in the organization, as put forward by Michael Porter in 1985. Porter’s value chain focused on attracting talent, high- accuracy during hiring, being proactive, and targeted hiring to ensure performance is enhanced, career development, identifying the best talent, and how to manage succession. The concept of people’s development value chain is critical and can be maximized when hiring and managing new employees in an organization.
An organization with a clear mission, value, and vision will know the talent to attract; hence, ensuring high accuracy in hiring and targeted recruitment. For example, an organization recruiting a qualified accountant, they will have to look for years of experience, organizations he has worked, accounting packages or systems he understands, and academic and professional qualifications. If the right person is employed, it will reduce the problems and utilizing proactive onboarding to deal with the challenge within the shortest time.
Furthermore, the leaders must empower their employees by enhancing skills through continuous training and development to understand the changing environment and detect the early signs of challenges before they advanced to unmanageable levels. Proper screening to identifying the best fit and talent will improve performance because the employees will understand what they are doing; therefore, enhancing their operation in the production of goods and services. Moreover, talented employees will ensure sales will increase, leading to higher revenues and profitability.
Developing a specific organization’s capabilities to promote customer and employee retention for a long time and ensuring brand reputation, cost control, process improvement, innovation, and talent management is necessary. Organizations with high retention rates will ensure succession is managed effectively for continuity and improving competencies for success. For example, having the right policies and procedures in the organization, resources will be managed and utilized appropriately by qualified and talented staff because performance can be monitored and evaluated.
In conclusion, People Development Value Chain is vital in talent, strategy, and resource management, where merit and accountability are recognized in all aspects, for example, during the promotion and hiring process. Leaders are not only born but also can be developed through the value chain in the form of training and development. Empowering staff from within to senior management is crucial for succession management without disruption of operations.