Abstract:
Development of talent pools is a critical success factor of today’s dynamic business
environment. The study aims to examine the impact of talent management initiatives on
employee performance in banking sector, Sri Lanka. Also, it uncovers a theoretical gap of
mediating role of employee engagement with Ability-Motivation-Opportunity and Social
Exchange theoretical bases. Structured self-administered questionnaire is used to collect data
from a sample of 245 talented banking employees in 17 Sri Lankan licensed commercial banks.
Structured Equation Modeling with AMOS is used for data analysis. The findings reveal talent
management initiatives have significant and positive impact on employee performance and
engagement. Talent management-performance link has bridged from employee engagement
resulting a partial mediation. The findings propose adopting and investing on talent
management initiatives is worthwhile to gain engaged and improved performance of talented
bankers in organizational context.
