Reshaping business and the world by leveraging knowledge intangibles
Smaller companies - Treatment of scarce talent
How much value would you attribute to scarce talent/skill in an industry?
I work in the oil & gas sector where talent is always scarce. Capturing and retaining such talent is always a challenge and the key to winning work is to have the talent available to deliver it.
Would the valuation of a company's ability to attract and retain talent in such a climate attract special treatment from an investor's point of view ?
Mike
Views: 1
Replies to This Discussion
-
Permalink Reply by Geoff Turner on -
Hi Mike,
To answer your question...I would have thought so! Let's face it, if the problem is significant and one organisation has found a way to overcome the problem then it should provide better long-term value for an investor.
For me, the key issue for any organisation is understanding exactly what talent is required, what the organisation has and what might be available from elsewhere. I don't know of many large companies that are able to provide reliable answers to each of those three questions and so I doubt very much that SMEs would be able to. This is a shame really because being clear about these three points makes the journey to success that much easier.
Geoff -
-
Permalink Reply by Mary Adams on
-
I agree that just a few basic questions lead to significant learning:
- What are the companies core value creation processes?
- What are the competencies that support these processes?
- What are the relationships that support these processes?
These provide an IC inventory without a lot of complication. Then a quick assessment of each item on this inventory gives a strong information set on the outlook (which should absolutely influence the valuation).
We also like to ask internal and external stakeholders how the company compares to its peers in the strength and outlook of each item.
Do you use a specific approach to get this kind of information? -
© 2012 Created by Mary Adams.
