Latest news with #CEB
Forbes
2 days ago
- Business
- Forbes
7 Key Factors For Distinguishing Between Performance And Potential
Developing potential Getty Images Understanding the difference between what someone does now (performance) and what they could do in the future (potential) is essential for effective succession planning, leadership development, and long-term organizational success. In today's fast-evolving business environment, the ability to distinguish between performance and potential is not just a talent management nuance—it's a strategic imperative to boost company performance and innovation. Yet many organizations still confuse the two, promoting high performers who may not be suited for leadership roles while overlooking the quiet potential of others who could thrive with the right support and development. It's tempting to assume that the employee who consistently exceeds KPIs or delivers exceptional results is the best candidate for advancement. But performance is only part of the equation. It reflects someone's ability to succeed in their current role. Potential, on the other hand, is about the capacity to grow into more complex, ambiguous, and future-oriented challenges. Research from the Corporate Executive Board (CEB, now part of Gartner) found that only about 15% of high performers are also high potentials (CEB, 2013). This gap reveals the risk of relying too heavily on performance for promotion decisions. Promoting the wrong people can result in disengagement, leadership failure, and attrition. 2. Performance Is Retrospective, Potential Is Forward-Looking Performance assessments are backward-looking. They reward what has already been achieved under familiar conditions. Potential is forward-looking: it evaluates how someone might handle future ambiguity, complexity, and scale. In leadership roles, skills like adaptability, influence, and strategic thinking often matter more than operational excellence. Recognizing potential means identifying those with learning agility, emotional intelligence, and the drive to grow. Research from the Harvard Business Review (Ready, Conger, & Hill, 2010) explains that companies with strong high potential programs look for individuals who can move from being a 'value creator' to a 'game-changer' and outline the key factors for this. 3. Focusing On Performance And Not Potential Stalls Innovation Focusing only on quantifiable performance outcomes may stifle employees' willingness to be curious, experiment and take risks. This insight comes from a recent organizational study examining the unintended effects of performance measurement systems within corporate cultures. The authors found that when employees are overly evaluated based on short‑term, numeric targets, they tend to: Stick to safe, predictable tasks instead of taking creative risks. Avoid experimentation that might undermine performance scores. Become less resilient to failure—a core driver of breakthrough innovation. By distinguishing and rewarding potential, organizations open the door to broader and more diverse thinking —strengthening innovation and long-term competitiveness. 4. Performance And Potential Are Rewarded Differently Because performance and potential serve different purposes, they should be rewarded differently. • High performers should be rewarded for current contributions. This often includes short-term incentives, such as bonuses, public recognition, salary increases, and fast-track promotions within technical tracks. • High potentials, by contrast, need longer-term investments to retain them and realize the value of the investment in developing them. These may include deferred compensation, equity grants, accelerated development pathways, executive mentoring, or international assignments that stretch capabilities and build loyalty. Retaining high potentials requires differentiation in both recognition and opportunity. They are often more motivated by learning, growth, and long-term career prospects than by financial incentives alone. Designing dual reward systems—that honor achievement while investing in future capability—is essential for talent sustainability. 5. Tools And Frameworks Help Spot Potential Accurately Unlike performance, which is usually measured with data, potential can feel subjective. But structured frameworks—like Korn Ferry's Seven Signposts of Leadership Potential or the classic 9-box grid—help leaders assess traits such as curiosity, drive, and capacity for complexity. These tools also prompt richer conversations about tailored development and retention strategies that inform talent planning reviews and succession planning strategies. 6. Not Everyone Should Be A Leader—And That's Okay Great individual contributors don't always make good leaders Getty Images Some high performers are best rewarded as deep experts or individual contributors. They thrive without needing to move up the hierarchy. Others with potential may not shine in their current roles but flourish in stretch assignments. By distinguishing the two, organizations can match opportunity with capability and aspiration—ensuring better fit and higher engagement. 7. Managers Must Be Trained To Spot And Support Both Many managers instinctively reward loyalty or performance, but overlook developmental traits like resilience or systems thinking. Organizations must equip leaders to challenge their assumptions, understand a range of talent signals, and invest differently in different kinds of talent. When reviewing their talent, they need to be objective and expansive in their thinking with clear consistent frameworks for evaluation. The Benefits Of Evaluating Both Performance And Potential Performance and potential are both critical, but they serve different ends. Talent reviews and succession planning initiatives need to incorporate both. Recognizing the distinction allows organizations to reward and develop people more fairly and strategically. Organizations need to have a framework to outline and distinguish between performance and potential and there needs to be a common understanding and alignment on what each of these definitions means in practice. By training leaders to recognize how to evaluate and assess their people effectively, organizations get better talent outcomes. High performers sustain the present. High potentials secure the future. By aligning short-term rewards with achievement and long-term incentives with promise, organizations can retain critical talent, promote wisely, and build a more diverse, innovative and future-ready leadership bench.
Business Standard
6 days ago
- Business
- Business Standard
TCS partners with Council of Europe Development Bank to modernize reconciliation operations
Tata Consultancy Services (TCS) has announced a strategic partnership with the Council of Europe Development Bank (CEB) to modernize the bank's operations and enhance efficiency through advanced automation. As part of the collaboration, TCS will deploy TCS BaNCS for Reconciliations to help the CEB streamline complex financial transactions and automate key reconciliation processes using artificial intelligence (AI) and automation. With the implementation of TCS BaNCS for Reconciliations, the CEB will be able to automate the entire reconciliation lifecyclefrom transaction matching and exception handling to investigation and reporting. The product will provide real-time visibility and greater transparency while reducing manual effort and turnaround times. Its integration with the banks core systems will allow better control and faster daily reconciliations. The bank will also be equipped with tools to automate critical tasks such as file loading, extraction of PDF statements, and reconciliation of unmatched entries. Headquartered in Paris, the Council of Europe Development Bank is a social development institution that supports social inclusion projects across 43 member states. Its financing activities span sectors such as education, healthcare, and affordable housing, with a focus on serving vulnerable communities. With billions of euros in loans under management, the CEB requires robust, scalable technology to handle increasing volumes of financial transactions. TCS BaNCS for Reconciliations is an intelligent, centralized, and scalable product that helps banks manage reconciliations end-to-end. By leveraging artificial intelligence and machine learning, it enhances accuracy and automates key processes such as transaction matching, exception handling, and case management. The product is highly scalable and reliable, making it suitable for banks handling large volumes of transactions. It features a cognitive reconciliation engine, enhanced pre-processing capabilities, online archiving, API integration, and mobile support, and is available for both on-premises and cloud deployment. The product combines a modern user interface, smart dashboards, and real-time data processing to help banks manage unreconciled transactions more efficiently. Its flexible, intelligent design enables seamless automation across systems without the need for manual checks or intervention, helping reduce errors, speed up operations, and lower processing costs. Built to meet global standards like SWIFT ISO 20022, the platform ensures compliance while minimizing delays and exceptions. Stefano Michelangeli, head of finance and risk systems at the CEB, said, The CEB has a clear mandate to enhance social development among its member countries by leveraging technology. A reliable, robust and secure reconciliations solution has been key to this vision. Automation in reconciliation with high STP (straight-through processes) is central to ensuring error-free operations for institutions such as ours. With TCS BaNCS for Reconciliations, we will be able to eliminate manual reconciliations processing and reporting for transparent, auditable outcomes, especially for high-value transactions. By improving the overall efficiency of operations, we can deliver on our larger vision of enhancing economic growth in the countries we service in line with our Strategic Framework 2023-2027. Venkateshwaran Srinivasan, global head, financial solutions, TCS, said, We are happy to partner with an organization like the CEB and support its strategic goal of improving social and economic development in its member states. With the deployment of TCS BaNCS, the CEB will be able to gain significant efficiency in operations, which gives the bank the ability to operate on a higher scale. We continue to invest in products to help our clients enhance efficiency, improve customer experience and be future-ready. Tata Consultancy Services (TCS) is a digital transformation and technology partner of choice for industry-leading organizations worldwide. On a consolidated basis, TCS reported a 1.26% decline in net profit to Rs 12,224 crore while revenue from operations rose 0.79% to Rs 64,479 crore in Q4 March 2025 over Q3 December 2024. The counter rose 0.20% to Rs 3,502.30 on the BSE.
The Hindu
6 days ago
- Business
- The Hindu
TCS to streamline complex transactions for CEB of Paris
Tata Consultancy Services (TCS) has partnered with the Council of Europe Development Bank (CEB), a Paris-headquartered social development bank that promotes social inclusion in its 43 member states across Europe, to modernise its operations and drive greater efficiency. As part of this collaboration, TCS would deploy TCS BaNCSTM for Reconciliations to help the bank streamline complex transactions and automate key reconciliation processes using artificial intelligence and automation, the tech firm said. By deploying TCS BaNCS for Reconciliations, the CEB would be able to automate the entire reconciliation lifecycle—from transaction matching and exception handling to investigation and reporting. The product would provide real-time visibility and greater transparency, while reducing manual effort and turnaround times. Its integration with the bank's core systems would allow for better control and faster daily reconciliations.
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Business Standard
6 days ago
- Business
- Business Standard
TCS partners with CEB to modernise bank's reconciliation systems
Tata Consultancy Services (TCS) has partnered with the Council of Europe Development Bank (CEB) to modernise and automate the bank's reconciliation processes. TCS will implement its TCS BaNCS for reconciliations platform, leveraging artificial intelligence and automation to streamline complex transactions, improve transparency, and reduce manual effort, according to a regulatory filing. The new solution will automate the entire reconciliation lifecycle, providing real-time visibility and faster processing for the CEB. "With the deployment of TCS BaNCS, the CEB will be able to gain significant efficiency in operations, which gives the bank the ability to operate on a higher scale," Venkateshwaran Srinivasan, Global Head - Financial Solutions at TCS, said. *** HCLTech partners with European energy firm * HCLTech has entered a multi-year strategic partnership with European energy firm Under the agreement, HCLTech will establish a private cloud and manage cloud and network operations globally for hyperscalers, leveraging AI and hyperautomation to accelerate its DevOps-led transformation, according to a company statement. The collaboration aims to enhance operational efficiency, innovation, and agility in responding to market demands.
Business Upturn
7 days ago
- Business
- Business Upturn
TCS partners with Council of Europe Development Bank to enhance reconciliation processes using AI
By Aditya Bhagchandani Published on June 16, 2025, 16:16 IST Tata Consultancy Services (TCS) has announced a strategic partnership with the Council of Europe Development Bank (CEB) to modernize and automate its reconciliation processes. As part of this initiative, TCS will deploy its AI-driven solution, TCS BaNCS for Reconciliations, aiming to streamline complex transactions and reduce turnaround times through end-to-end automation. This collaboration will enable CEB to automate the full reconciliation lifecycle—from transaction matching and exception handling to investigation and reporting—bringing real-time visibility and transparency. The platform also supports automation of file loading, extraction of PDF statements, and handling of unmatched entries. Headquartered in Paris, CEB is a social development bank working across 43 European member states, financing education, health, and housing initiatives for vulnerable communities. The bank's growing transaction volume necessitates a robust system, which TCS BaNCS addresses with scalability, real-time data handling, and compliance with global standards like SWIFT ISO 20022. TCS stated that this partnership strengthens its presence in Europe, where it serves over 80 major French companies and operates four delivery centers. The company remains committed to enhancing operational efficiency and supporting institutions focused on inclusive development. Ahmedabad Plane Crash Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.
