How to develop a succession plan
Succession planning has come a long way from the days when it usually meant simply putting names in boxes on organisation charts. Effective succession planning has evolved to a process by which successors are identified for key positions, and career development and associated activities are planned accordingly. Here are the key steps in developing an effective succession plan...
1. Decide on the depth of your succession plan.
Although the most common model for corporate succession planning focuses on the most senior jobs in the organisation (the top two or three tiers), a broader-based model where a similar philosophy and processes are applied to a much larger population (managerial, professional, and administration) is becoming popular. Sustaining the devolved model will require continued support of a committed management, so that identified successors will embrace the priority given to this process.
2. Identify the specific qualities you seek in suitable candidates.
Whatever you call them - critical success factors, key leadership criteria, core competencies - you must spend time identifying the qualities you are looking for in staff and want to develop further. A suggested process is one of multiple dialogue which involves collecting views of selected individuals and groups, testing those views - focus groups could be a useful tool here - and making any necessary amendments to the list. This approach will not only help to ensure that the view taken by the organisation of an individual is based on objective evidence but also helps to gain the commitment and ownership of those who are likely to be succession candidates. If you are having difficulty identifying those qualities, this could indicate you need to spend time defining the business you are in. Constantinos Markides in 'All The Right Moves' outlines a straightforward and useful process to follow, providing a clearer picture to help identify the qualities required.
3. Identify high-potential candidates.
A previous decision about the depth of your plan will affect the nature and size of any list of succession candidates. If your plan is for a devolved model, the list must be sufficient to accom-modate predicted demands for a wide variety of positions that may become vacant, as well as any others needing extraordinary skills or qualities. Names on your list should also reflect your equal employment policy: succession planning can never be a stand-alone concept. In identifying a strong talent pool…
- Avoid the problem of incumbents choosing and developing successors who are much like themselves, thereby perpetuating the status quo and limiting diversity. A highly homogeneous organisation is susceptible to disease.
- Ensure candidates’ values match closely those of the organisation. Jack Welch, when CEO of General Electric, said: ‘Competencies are critical, but the company’s values are even more central.’
- Ensure that all employees understand the identification process and how it works.
