What Talent Transformation Is—And What It Isn’t
Need to supercharge your teams? Transform individuals, not teams.
I was once told that one of the reasons I’m so effective in the talent transformation space is because I approach it as a business person whose product is people, not as a “people person” trying to figure out how to grow a healthy business.
That distinction is critical to understanding talent transformation. It’s not about managing people for the sake of making them more productive—it’s about aligning individuals, their motivations, and contributions with a business's ever-changing needs.
Let’s explore what talent transformation is and what it isn’t—and why both the individual and the organization must evolve in harmony for sustainable success.
Talent transformation changes the way we look at potential.
Talent transformation isn’t about making broad-sweeping changes to entire teams. It’s about recognizing individuals' unique potential, understanding how to harness their talents, and aligning their efforts with the company’s overarching goals. It’s also about consciously uncoupling from 1950’s era managerial norms about the semi-permanence of roles, location, status, and expectations.
It requires that we change the way we look at future, current, and past talent. Instead of asking, “Can this person contribute?” we ask, “How can this person contribute?”
When done right, talent transformation bridges individual success with business success. Employees need to feel like their work has meaning. For some, that could mean personal growth, recognition, or financial rewards. For the company, meaning translates into innovation, profitability, or operational excellence.
Here’s the key
what’s meaningful to an employee—and to a company—can shift over time. A new hire might value a challenge and recognition initially, but six months in, they might prioritize work-life balance or new skills. Companies experience similar shifts as they scale, pivot, or face new challenges like AI integration.
Stat: According to the 2024 LinkedIn Learning Report, 80% of people say that learning adds purpose to their work—and 7 out of 10 say it increases their connection to their company.
“What mission are you on?”
When you ask an employee or a company what’s meaningful to them, they’ll give you an answer based on that moment in time—a snapshot. But as circumstances change, so do their answers.
For employees
Employees might initially be driven by a desire for growth or challenge. Over time, however, they may start looking for more work-life balance, greater autonomy, or alignment with personal values.
For companies
In startup mode, the focus might be on fast-paced growth and innovation. As the company matures, the mission could shift to stability, profitability, or long-term sustainability.
It’s this dynamic nature of “meaning” that makes talent transformation a continuous, evolving process. Leaders need to constantly realign individual motivations with the company’s goals to avoid disengagement, frustration, and burnout. (Read more about how to discover what drives your employees here.)
STAT: This research from Gartner shows when employee goals are aligned with organizational priorities, employee performance increases by up to 22%.
Talent Transformation isn’t a quick fix. It’s the foundation.
Talent transformation is often viewed as a quick fix for business challenges. But it’s not a one-time solution—it’s a continuous process. Every time your company’s strategy shifts, your talent strategy has to shift, too.
Sometimes when we talk about “transformation,” what we’re really saying is, “We have some catching up to do.” Talent transformation doesn’t mean a sudden spike in revenue or productivity. It means realigning your people with the company’s evolving mission so they can thrive alongside the business.
For example, businesses undergoing digital transformation often focus on implementing new technologies without considering the people who will use them. But without transforming their talent strategy to align with these new tools, any transformation—digital or otherwise—will fall short.
STAT: According to Gallup, Companies that invest in workforce development, including re-skilling, experience an 11% increase in employee productivity and are twice as likely to retain their employees.
It’s Not About Transforming the Entire Workforce at Once
Talent transformation doesn’t mean overhauling your entire team in one fell swoop. Instead, think of it as a strategic realignment. It’s about creating those ongoing touchpoints that allow you to regularly ask: “Are we still on the same mission?”
By formalizing discussions about individual goals and the company’s direction, you can avoid misalignment, address shifts in motivation, and ensure both the business and its people are moving in the same direction.
However, true talent transformation requires more than just alignment. It operates on two axes: individual goals and company growth on one, stable development and dynamic adaptability on the other. Talent transformation is a complex and multimodal approach that must evolve continuously, balancing the need for structure with the flexibility to adapt as both employees and the organization grow. It’s not a magic ingredient. It’s a recipe.
This process also requires organizations to be forward-thinking. As tech advances—I’m looking at you, AI—you need to consider not only how it will impact your business but also how it will impact your people. How can these technologies help employees grow in their roles rather than be replaced by them?
Why Talent Transformation Is Crucial for Success
Talent transformation doesn’t exist in isolation. It drives every other transformational effort within a company.
Furthermore, the costs of talent misalignment are high. Employee disengagement, quiet quitting, and toxic behaviors have a direct and palpable impact on the bottom line—often in ways that are hard to track but impossible to ignore. (Want to find out why people leave you? Click here.)
Stat: $8.8 trillion. That’s how much disengagement costs the world in lost productivity, according to Gallup's State of the Global Workplace: 2023 Report. That's equal to 9% of global GDP.
Talent Transformation Starts with Individual Talent
The biggest takeaway about talent transformation today is this: It starts with getting individuals and their companies pulling in the same direction. A company can only live up to its highest potential when each individual on the team is supported in reaching theirs.
By recognizing that talent transformation is an ongoing process—one that involves realigning goals, fostering growth, and creating meaning—you can ensure that your business and your people reach their full potential.
Is your talent strategy keeping up with your business needs?
Discover the areas where your talent transformation efforts may be falling short. Download our latest Talent Diagnostic Tool to identify opportunities for realignment, growth, and long-term success.