Background and Objective: Talent management, as a modern approach in human resource management, focuses on identifying, attracting, developing, and retaining capable employees and can provide a foundation for improving employees’ performance and effectiveness. Compensation, as one of the key motivational factors, plays a significant role in strengthening this relationship. The present study aimed to examine the mediating role of compensation in the relationship between talent management and employee effectiveness.
Methods: In terms of purpose, this study was applied research, and in terms of methodology, it employed a descriptive–correlational survey design. The statistical population consisted of nurses working at Imam Reza Hospital, who were selected through random sampling. Data were collected using standardized questionnaires on talent management, compensation, and employee effectiveness. The validity of the instruments was confirmed through confirmatory factor analysis, and their reliability was verified using Cronbach’s alpha. Data were analyzed using descriptive and inferential statistics as well as structural equation modeling.
Findings: The results indicated that talent management has a positive effect on employee effectiveness. Talent management also had a positive effect on compensation, and compensation in turn positively influenced employee effectiveness. Moreover, compensation played a significant mediating role in the relationship between talent management and employee effectiveness. Effective talent management, through improving compensation systems, can lead to increased effectiveness among nurses.
Conclusion: Simultaneous attention to talent management and the design of a fair and motivating compensation system can enhance employee effectiveness. Hospital managers can promote performance, increase motivation, and improve the quality of healthcare services by identifying and