Leadership development is the top priority for HR leaders around the world, according to Talent Management: Accelerating Business Performance, a survey by Right Management, the career and talent management experts within ManpowerGroup.

Among the more than 2,200 senior HR leaders globally who participated in the survey, 46% identified leadership development as the top priority for 2014. At the same time, only 13% have confidence in the strength of their leadership pipelines to fill critical openings.

Among US HR decision makers, 48% reported that 2014 will be a year of growth marked by increased spending on talent management initiatives to help develop leaders and build talent pipelines. HR leaders in China/Hong Kong (88%), India (77%), Brazil (75%) and the United Kingdom (45%) also plan increased investments in talent management programs.

Ruediger Schaefer, Group Executive Vice President EMEA and Global Talent Management for Right Management, commented: “Boardrooms around the world are recognising the critical role human resources has in driving competitive advantage. Today’s optimism for growth is limited by a lack of organisational agility, and employers are seeing the impact of the financial cuts and cost reductions that placed talent development on the back burner.”

“As a result, too many companies are facing talent shortages, skills mismatches and weak leadership pipelines that threaten business growth. Future success is dependent on a sustained strategic commitment to assessing, developing and activating talent,” he added.

Other key findings from the Right Management study include:

• Globally, the top three talent management challenges are; a lack of skilled talent for key positions, a shortage of talent at all levels, and less than optimal employee engagement.
• 40% of respondents reported their senior management team “gets it” and makes the connection between investing in talent management and its business impact.
• 48% of global employers plan to broaden their employee engagement programs to keep top talent on staff – the biggest response came from employers in Asia Pacific, with 85% of employers in China/Hong Kong reporting plans to broaden employee engagement.
• In the Americas, management succession planning ranks as a higher priority (36%) than it does in Europe (17%) and Asia Pacific (31%).
• Both Brazil and France report assessment of skills throughout the organisation as the top talent management initiative for 2014, while Australia and the Netherlands cite team building, and China/Hong Kong report executive coaching as top priorities.

In May 2014, the ManpowerGroup 2014 Talent Shortage survey revealed that 36% employers globally are experiencing difficulty filling open positions due to a lack of available talent with the right skills.

Mr Schaefer added: “Persistent talent shortages and our hardest jobs to fill lists should be a wake-up call for employers who want to keep those skilled individuals on staff. Employee development and engagement is essential to sustaining the best teams to drive competitive advantage.”

To access the full report, click here.