Talent management involves systematically identifying open positions, hiring suitable candidates, developing employees' skills, and retaining them. It creates career paths for employees to improve retention and motivation. Benefits include hiring the right people, retaining top talent, better decision making, and improved performance. Principles of talent management are avoiding talent mismatches, reducing hiring risks, recouping talent investments, and balancing employee interests. The talent management process includes understanding requirements, sourcing, attracting, recruiting, selecting, training, and retaining talent.