Abstract

Abstract: Leadership quality is treated as both a specialized role and a social influence process and today’s business environment requires executives who are able to operate on a global scale. Talent development includes mobility between business units domestically and abroad. It is essential that job shifts and production structure be fundamentally aligned because developing large pool of talent could lead to oversupply and the developed team would simply have no place to go. The study was focused to establish effects of talent development practices on leadership quality of financial sector regulatory institutions in Kenya through explanatory and cross-sectional survey design. A total population of 636 employees in the six financial sector regulatory institutions in Kenya were targeted. Stratified random sampling was embraced thus deriving 127 employees as the sample population. Both primary and secondary data was used where Primary data was collected using questionnaires which was analysed used SPSS software and presented as percentages, frequencies, means, charts and standard deviations. The study established that employee assessment, employee sourcing, leadership grooming and employee development programmes affect leadership quality. Human resource department needs to step up and play a critical role on employees’ talent development. There is need for management to have employee assessment on regular basis as this will help in identifying the skills they have and those they require, hence improving leadership quality. Over and above, the management need to have clear policies on employee assessment, sourcing, development and leadership grooming with an aim of improving.