The Impact of Talent Management on Organizational Performance: A Case of Banking Sector in Pakistan

Abstract

This research examines the impact of talent management practices on organizational performance in the Pakistan banking industry, employing a quantitative approach based on a sample of 248 banking professionals including HR managers, executives, and employees. The data were gathered using a self-administered questionnaire, and statistical tests of correlation, multiple regression, and ANOVA were conducted. The results show a weak but positive correlation between talent management practices and organizational performance (r = 0.185, p < 0.01), while regression analysis shows that talent management explains only 0.4% of the variance (R² = 0.004, p = 0.352), suggesting other organizational and external factors have a significant impact on performance outcomes. The results support earlier studies indicating contextual influence on the effectiveness of talent management. The research recommends the implementation of strategic HR policies, leadership development, and evidence-based decision-making to enhance the effectiveness of talent management. Future research should establish moderating and mediating variables influencing the effectiveness of talent management in emerging economies.