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ColumnsGuest Editorial

Guest Editorial | Tara Denning

Aligning talent strategy with business strategy

A practical roadmap for mid-sized trade businesses.

By Tara Denning
Two engineers are wearing orange safety vests and hard hats and are looking at a laptop at a locomotive service station.
Image source: Ratchat / iStock / Getty Images Plus
February 16, 2026

When you work in the trades or any growing operation, you learn quickly that your people are your greatest differentiator. Growth happens when you have the right people in the right roles with the right support. It is not luck. It is intention.

At the same time, the labor market is tight, customer expectations continue to rise, and competition grows stronger each year. These realities put pressure on leaders to think differently about how they attract, develop, and retain talent. A strong talent strategy becomes a true competitive advantage. When business goals and people decisions move together, teams gain clarity, productivity improves, and leaders build the confidence they need to scale.

Start with the business goals, then build talent around them

Tara Denning headshot with a gray background.

Tara Denning. Image courtesy of Tara Denning

Too often, companies design hiring or staffing decisions around what worked in the past. That may work temporarily, but as the business evolves, the talent strategy must evolve too. You do not need a complex planning process to get this right. Start by asking a few simple questions across your leadership team:

  1. Where is the business going in the next one to three years?
  2. What capabilities will the team need to reach those goals?
  3. What roles, skills, or structures are missing today?

When leaders start with business objectives, talent decisions become more strategic and less reactive. Recruiting becomes proactive. Training becomes intentional. Career pathways become clearer. Most importantly, employees see leadership thinking ahead, which builds trust and stability across the organization.

Build a strong talent pipeline in a competitive market

Many trade businesses feel the pressure of a shrinking talent pool. Younger workers want more career clarity. Experienced technicians have more options. This makes it essential to create a steady pipeline from multiple sources. Here are approaches that have proven successful for SupplyHouse:

Early-career hiring: Internship/apprentice programs

  • Partnering with high schools, technical programs and trade schools creates consistent entry points for new talent. Even one or two early career hires per year can strengthen your long-term bench.
  • These programs do not need to be complicated. What matters most is structure and predictability. A defined 6- to 12-week path introduces young workers to your trade, builds essential professional skills, and helps them understand how your business operates day to day. When SupplyHouse launched their internship program, the interns were integrated into the company’s culture through cultivated experiences, real exposure to the work, and opportunities to connect across teams. That combination made the program stronger and created a reliable source of future talent.

Referral programs

  • Current employees are often your most effective recruiters. When people believe in where they work, they want to bring others along. With the right incentives and communication, referral programs can yield high-quality hires and provide built-in cultural support for new team members.

Targeted upskilling

  • Once you have the right people, the next question becomes: how do you retain them while also supporting evolving business needs. There is always a “buy versus build” decision when it comes to talent. Don’t overlook the potential of the people already inside your organization. Investing in development helps employees feel valued and supported, increases your flexibility during growth, and reduces reliance on external hiring. These efforts also signal long-term commitment, which strengthens retention.

Evolving your structure as you scale

At some point, many companies outgrow the structure that worked in their early years. Leaders take on too much, communication strains, and quality becomes inconsistent. Customers feel that friction.

» Read More Guest Editorials

An aligned talent strategy makes organizational structure a continuous conversation. Look at spans of control, role clarity, and manager capability. Stay close to each business area. Know your supervisors, understand their teams, and ask where they may be stretched thin. The more visibility you have, the more proactive you can be.

For example, if a contractor is managing too many technicians, they often spend their days firefighting instead of leading. A small realignment or early planning for future workload can dramatically improve execution. These conversations do not have to be overly formal. Start by asking simple questions. What will help the team execute more effectively, where are the pain points, and what changes could reduce friction.

Developing leaders creates leverage for the organization. It allows business owners to step back from day-to-day operations and focus on strategic growth.

Using employee engagement as an operational driver

In the trades, engagement is visible. It shows up in the pride technicians bring to their work, in supervisors who coach rather than police, and in teams that communicate clearly from one job to the next.

Organizations that align talent and business strategy treat engagement as part of operational excellence. They create structures that support clarity, communication, and connection. Practical steps include:

  • Clear job expectations and leveling so technicians know exactly how to grow
  • Regular feedback loops and 1:1s so supervisors stay connected to real issues
  • Training opportunities tied to customer needs and emerging business priorities
  • Recognition that highlights craftsmanship, teamwork, and problem-solving

These efforts create an environment where employees feel valued and supported. When engagement rises, turnover decreases, productivity increases, and customers feel the difference in the work.

Make leadership development a priority

Technical expertise does not automatically translate into leadership capability. Many skilled tradespeople grow into supervisory or managerial roles, but they need support to lead effectively. To align talent with business growth, companies should invest intentionally in leadership development.

Practical ways to build leadership capability include:

  • Teaching new managers how to coach performance, communicate expectations, and hold accountability
  • Helping leaders shift from doing the work to leading the work
  • Providing tools for giving feedback, planning workloads, and developing talent
  • Creating peer forums where managers can share challenges and learn from one another

Developing leaders creates leverage for the organization. It allows business owners to step back from day-to-day operations and focus on strategic growth. It also ensures consistency in how employees are trained, managed, and developed.

Scale without adding unnecessary complexity

A common misconception is that talent strategy requires corporate-level systems. It does not. Any business, regardless of size, can adopt the principles in simple, streamlined ways.

Focus on building habits rather than heavy frameworks, for example:

  • A simple hiring scorecard that creates consistency
  • A quarterly check-in conversation that replaces a lengthy formal evaluation
  • A clear growth map for technicians
  • A straightforward training plan tied to business needs

When done well, these practices help teams stay agile, aligned, and connected to the business vision without slowing down execution.

Aligning talent strategy with business strategy is not just a corporate exercise. It is a practical leadership mindset that helps trade businesses operate more efficiently, prepare for the future, and build a workforce that grows with the company.

Get clear on where your business is going. Build the workforce to match. Develop leaders who can carry the vision forward. When talent and strategy move together, the business becomes stronger, more resilient, and better positioned for the next phase of growth.

KEYWORDS: strategic thinking workforce development

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Tara Denning is the director of talent management and compensation at SupplyHouse.com, an e-commerce leader in plumbing, heating, and HVAC supplies, for which she ensures employees have clear career paths, competitive pay, and the structures to thrive within their teams. Tara earned her bachelor’s degree from Binghamton University and her master’s degree from Columbia University. She is a member of the Society for Industrial and Organizational Psychology and the Society for Human Resource Management.

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