Succession planning is often underdeveloped, badly executed or simply ignored until it is too late. Martin Belton, Commercial Director, e2train provides ten top tips to successful succession planning.

The departure of high profile individuals such as Steve Jobs from Apple highlights the importance of having an effective succession plan in place. Business success today is dictated by the ability to identify and develop successors for key roles both in the short term and the future. Companies that fail to invest accordingly risk impacting business continuity, company performance and reputation, shareholder value and long-term growth.

1: Don’t just focus on the board
It is easy to focus all succession planning efforts on board-level executives and members of the senior leadership team. Other management positions and key individuals in critical roles with specialist skills are all-too often overlooked and should be considered when planning for succession.

2: Succession planning should not be a standalone HR exercise
Succession planning is about safeguarding the business and guaranteeing its success in the future. It should be a fundamental part of business strategy and integrated within core HR initiatives such as talent management, L&D, performance management and recruitment strategies. Always make sure when planning for the future that you keep the overall organisational development strategy in mind.  

3: Make sure you get buy-in from the top
Without a strong business case, you won’t get the support and backing you will need from the board. The best way to develop a strong business case for succession planning is to work with a member of the board who is prepared to share with you the key challenges that are facing the business today and in the future. This level of insight will be invaluable in aligning succession planning with business strategy and in the process you will most likely gain a champion for the cause.

4: Cast the net wider
Make sure you have a systematic approach for identifying and developing potential successors. One which involves casting the net as wide as you can so that you can tap deep into today’s increasingly global and mobile talent pools both within and outside of the business. Try to avoid pigeon-holing potential leaders. The more talented individuals you select and develop, the more flexible your succession plans will be.

5: Think laterally
Succession planning shouldn’t be about replacing like for like. Think laterally about what key attributes and skills are required for each role in question and whether there are individuals who are currently performing different roles that might have the necessary expertise.

6: Prioritise the development of key talent
Many high level positions are currently occupied by the baby boomer generation born between 1946 and 1963. As this generation nears retirement new talent needs to come through to take over. Yet a lack of investment in developing leadership skills means the next generation is not ready to fill the gap or doesn’t have the confidence to take over the reins. This needs to be addressed through coaching and other appropriate development tools.

7: Talent mobility ensures a proactive approach to succession planning
Talent mobility, a dynamic internal process for moving talent from role to role, at the leadership, professional and operational levels (as defined by industry analysts Bersin & Associates) helps ensure that talent is moved to where it is needed when it is needed. Talent mobility can play a key role in helping to retain high performers and promising talent and in building a more adaptable, agile and enduring organisation.  

8: Managers need to be involved in the process
Managers have a key role to play in developing an effective succession plan and should be accountable for helping to identify the competencies, knowledge and skills that will be needed by their replacements. Having a good system in place for communicating succession planning information to managers is important too.

9: Look to the future
The rate of business change is rapid and the talent you need today isn’t going to be the same as the talent you will need in five years time. Look at what the future could bring and what talent is needed for those changes. What skills will your organisation need in 5, 10 or 15 years time?

10: Technology is the key enabler
Finally, and by no means least, significant efficiency and cost savings can be gained by investing in technology-enabled processes. Today’s easy to use software systems give HR professionals and senior managers a powerful and empowering set of tools to help identify key talent and make objective decisions to maintain critical succession planning throughout the business. Investing in talent management and succession planning software is one of the most effective moves an organisation’s HR department can make to provide easy to quantify business benefits.

The issue of succession planning is clearly gaining more attention in the boardroom and in the media. Forward-looking organisations are creating strategies to build leadership capability now to meet the challenges of the future. Are you prepared for the future?

Martin Belton, Commercial Director e2train
www.e2train.com