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ategy and the management of human resources (Butler et al, 1991; Lorange and Murphy, 1984; Lengnick-HaU and Lengnick-Hall, 1990; Boxall, 1991:61). Schuler Mid Walker (1990: 7) provide the following definition,' Human resource strategy is a set of processes and activities jointly shared by human resources and line managers to solve people-related business issue' (Truss and Granthan,1994).

According to Schuler(1992), organizations typically define (or redefine) their strategic business needs during times of turbulence. As such, these needs reflect management's overall plan for survival, growth, adaptability, and profitability. Successful efforts at strategic HR management begin with the identification of strategic business needs. If these needs are important to the success of the business, and if human resources management can be instrumental in meeting these needs, then these needs should be systematically analysed for their impact on human resources management activities, including HR philosophy, HR policies, HR programs, HR practices, and HR processes.

Iles( 2007 cited Green ,2008), defines the talent management as a holistic approach to human resource planning aimed at strengthening organisational capability and driving business priorities using a range of HR interventions. These include a focus on performance enhancement, career development and succession planning At the outset of the current economic downturn, at this time of extreme change, corporate leaders widely--and wisely--professed that keeping their organizations' best people was their top priority. As the recession deepens, and it has, some leaders are tempted to choose between retention of top talent and cost reduction. In fact, they must do both. They must focus intensely on the management of business by controlling costs, creating efficiencies and restructuring to keep the organization vibrant and healthy so that it may later prosper. They also must focus on retaining and strengthening their best people.

When organizations attempt to control costs by laying off employees, without the right critical thinking and processes, they run the risk of not having the right team to survive the downturn or compete successfully when the economy improves. By contrast, well-managed organizations--and there are many--are looking beyond the current financial turmoil to define the skills they will need in the future.

HR professionals know that skilled employees are at a premium--regardless of the economy's condition. In recent years, in nearly every sector of American business, jobs went unfilled because employers Could not find candidates with the necessary training and skills for a knowledge-based, technology-driven, high-performance workplace.

Today, with unemployment at a 25-year high, the economic environment has changed dramatically, but the need to invest in talent has become even more important. A skilled, educated workforce is essential for our recovery and future financial security. This was true before the current downturn, it's true today, and it will be even more so when economic health is restored

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