HRM and Performance – The Role of Talent Management as a Transmission Mechanism in an Emerging Market Context

This paper examines the link between HRM practices, talent management and firm performance, and examines the role of HRM/business strategy alignment in an emerging market context. Through survey evidence gathered from 198 respondent firms, this study shows that talent management, when focused on a series of practices aimed at developing workforce networks and social capital, is a key transmission mechanism mediating the relationship between HRM and firm performance. HRM strategy and business strategy alignment increases these performance impacts but is not an essential component in the HRM-TM-performance link.