The traditional view of succession planning focuses on the linear concept of finding a suitable person to fulfil a role that is to become vacant in an organisation. The successor is usually modelled on the incumbent. While this course of action may be suited to mature, stable and static industry sectors, the reality is that in this changing world of ours, in the majority of instances it simply will not work.
The world today is characterised by dramatic, ongoing changes that are affecting even traditionally stable utility, telecoms and financial services industries. Around the world such organisations are undergoing major change in what they do, in the scale of demand for their services, and in the way they deliver those services. The challenges continue to mutate, as does the profile of the ideal leader.
As people, companies, residential areas, communities and societies, we are constantly being challenged to cannibalise ourselves, to re-engineer and transform who we are and how we do what we do. As a result, leaders must not only have the relevant expertise and insight, but also the ability to innovate, if they are to remain competitive and build sustainable business models.
Against this backdrop, what does succession planning really mean?
There are several ways of answering this, but a necessary point of departure is to look at the internal and external influences and imperatives.
Internally focused succession planning suggests that you want to enable an existing executive or manager to progress. Companies can be proactive in this case and create a growth path for each candidate.
Influences include retirement, an event which can be planned for. In addition, departing incumbents are usually more than happy to mentor newcomers and they often appreciate the need to pass on their experience.
Succession planning is merely one component of what should be a holistic and multi-faceted talent management and optimisation programme.
Bryan Hattingh, CEO, Cycan
Where the difficulty lies is when leaders depart suddenly. At senior management level, three months` notice does not leave much time for the company to find a suitable replacement - an endeavour which can realistically take anything from six to nine months. Succession planning needs to focus on minimising the impact of the unexpected departure of a key leader or team member, and should cater for disasters or tragedies such as death, incapacity or illness.
Bearing in mind that succession planning is a process rather than an event, the goal should be to build a model whereby you can have a fluid and seamless stream of upwardly mobile talent to step into various leadership roles.
Break rules
One important factor in succession planning is that people who love and excel at what they do should not be moved. An excellent salesperson may not enjoy, or succeed in, a management role; so rather circumvent the salary grading system and pay them more to do what they do best than promote them purely because you need to increase their rewards. Break rules where necessary.
Any organisation that has the critical mass required to enable and necessitate succession planning should have someone in place to take responsibility for talent optimisation. This encompasses the appointment, retention, succession planning, training and development of leaders at all levels.
Succession planning is merely one component of what should be a holistic and multi-faceted talent management and optimisation programme. The foundations start in the hearts and minds of the executive management. If they do not truly embrace the principle that leadership and talent are pivotal to corporate value and success, then the battle is already lost. When you truly understand and believe people and talent are your fulcrum, then you are on the right track. Business today is all about quality delivery and customer service optimisation, and central to having the right processes and structures in place are leadership and human capital development and optimisation.
This goes a long way beyond saying that people are your most valued asset - it`s about understanding what it is you want your business to be known for, and the vision and strategic direction of that business. This is not an aspirational drive, so forget about trying to seduce customers with flowery mission statements, and rather focus on a realistic definition of what you are and stand for and live it.
Use this as an opportunity to reflect on your strategy and vision. Can your employees articulate these? If not, how will your customers know what you have to offer? Brand purpose - as opposed to brand identity - comes to the fore here: How is your brand differentiated and meaningful? Never mind about "unique"; your differentiators will become apparent if you remain true to who you are and demonstrate integrity and deliver customer satisfaction. This is the fabric from which longevity is sewn.
This process may require a transition on the part of your existing leadership team. Will they be able to make that transition? If they are not suited to the type of environment you are trying to create, bid them farewell. But assuming there is clear commitment to movement, and all team members buy into the transition, your chances of success will be excellent.
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