Talent Management in the Service Sector: A Review of Challenges, Opportunities, and Strategic Imperatives

Abstract

The service sector has become a major driver of economic growth and employment in both developed and developing nations. However, its people-centric nature presents unique challenges in managing human resources effectively. This review paper examines the critical issues and emerging strategies related to attracting, retaining, and developing employees in the service sector. It explores various parameters including talent acquisition, employee retention, training and development, workplace culture, compensation, career advancement, and technological adaptation. The paper also identifies key opportunities for enhancing human capital through innovation, digital tools, and employee-centric policies. By synthesizing recent literature and current practices, the review provides insights and recommendations for building a resilient and future-ready workforce in the dynamic service industry.