Strategizing Talent Management: An Empirical Analysis Of Indian Manufacturing Companies

Abstract

The strategic significance of personnel management has grown as a result of the manufacturing sector's transition due to automation, artificial intelligence, digitalisation, Industry 4.0, and shifting labour expectations. Employees with technical expertise as well as digital, analytical, adaptable, and leadership skills are becoming more and more necessary for manufacturing companies. This study looks at how employee performance in the manufacturing industry is related to strategic talent management. The research takes into account six aspects of talent management: leadership and succession planning, Industry 4.0 preparedness, talent acquisition, talent development, talent engagement, and talent retention. The Resource-Based View and Social Exchange Theory serve as the study's theoretical foundations. For the study, a quantitative research approach was chosen. A hypothetical dataset with 400 simulated replies was utilised for statistical illustration, and a structured questionnaire based on a five-point Likert scale was created. Multiple regression, Pearson correlation, Cronbach's alpha, and descriptive statistics were all used in the analysis. The six dimensions together account for 47.7% of the variation in employee performance, according to the simulated data (R² =.477, adjusted R² =.469, F = 59.72, p <.001). While talent development and engagement were not statistically significant predictors in the simulated regression model, Industry 4.0 readiness, leadership and succession planning, talent acquisition, and talent retention emerged as significant positive drivers of employee performance. The biggest standardised coefficient was found in Industry 4.0 readiness (β =.270), followed by talent retention (β =.259). By combining traditional people-management techniques with Industry 4.0 preparedness in the Indian manufacturing setting, the research adds to the body of literature on strategic talent management. The results indicate that manufacturing companies must build an integrated personnel strategy that is in line with future organisational and technical needs, going beyond traditional hiring and training methods.