Succession Planning

Overall Program GuidelinesNazar Albuijan

April 19th, 2012

What is Succession Planning?

• Position Prospective(Availability, Readiness, Bench Strength, etc…)

• Integration (Strategic Planning, Leadership Development, Performance Management, Career Planning, Workforce Planning, etc…)

• Cross Organizational Unit Boarders(Cross-Functional Area, Cross-Business Unit)

“a means of identifying critical management positions, starting at the levels of project manager and supervisor and extending up to the highest position in the organization. Succession planning also describes management positions to provide maximum flexibility in lateral management moves and to ensure that as individuals achieve greater seniority, their management skills will broaden and become more generalized in relation to total organizational objectives rather than to purely departmental objectives.”

Preparation

Identification and Evaluation

Training and Development

Succession StrategyCritical Positions/JobsPositions ProfilesMentorship NetworkGovernance/ Infrastructure

High Potential Candidates (HPC)HPC Profiles Individual Development Plans (IDP)

Mentor AssignmentDevelopmental AssignmentsTraining Projections

Process

Stage 1 - Preparation

Stage 1 - Preparation:

Strategic Alignment

HR Participation

Critical Positions

What Do You Need?

•Strong sponsorship by the Board and CEO and heavy involvement by management •Involvement should include strategy input, person/position evaluation, and mentorship/training•Management is evaluated against SP objectives

What Do You Get?

•SP Strategy •Mentorship Network

Technology

Stage 1 - Preparation:

Strategic Alignment

HR Participation

Critical Positions

What Do You Need?

•Create policies, procedures, roles and responsibilities •Responsible for administrating the program (tools and processes) not deliverables •Establish measurable goals and program priorities

What Do You Get?

•Governance structure

Technology

Stage 1 - Preparation:

Strategic Alignment

HR Participation

Critical Positions

What Do You Need?

•Leaders should identify critical positions• Current v. Future (based on

Strategy)• Managerial v. Professional

•Competencies Models• Core v. Position Specific • Managerial v. Technical

(Functional)• Present v. Future

•Other Position requirements (Experience, Education, Certifications)

What Do You Get?

•Critical positions profiles

Technology

Stage 1 - Preparation:

Strategic Alignment

HR Participation

Critical Positions

What Do You Need?

•Avoid fragmentation by utilizing (streamline) currently available systems•Avoid additional cost by purchasing software with customization capabilities to meet specific org requirements •Reporting (Accessible, Dynamic, Useful)

What Do You Get?

• Infrastructure

Technology

Stage 2 – Identification &Evaluation

Stage 2 – Identification and Evaluation:

Identification

Evaluation

What Do You Need?

•Create a mechanism by which candidates are identified and included in the program

Leadership Direct Nomination High Performers Panel Nomination Assessment Centers Self-Nomination

What Do You Get?

• High Potential Candidates

Stage 2 – Identification and Evaluation:

Identification

Evaluation

What Do You Need?

•Present Performance Evaluation Using Full-Circle, Multi-rater

Assessments Appraising Performance

• Management by Objectives Trait Rating• Dimensions/Activity Rating• Behaviorally Anchored Rating Scales

(BARS)

•Future Potential Global Assessment Success Factor Analysis

What Do You Get?•HPC Profiles•Individual Development Plan (IDP)

Stage 3 – Training &Development

Stage 3 – Training and Development:

T&D

Forecasts

What Do You Need?

•Important to include practical component to training (i.e. Acting Assignments)•Emphasize mentorship •IDP progress should be recorded and discussed on semi-annually

What Do You Get?•Mentorship Assignment•Development Assignment and Training

Stage 3 – Training and Development:

T&D

Forecasts

What Do You Need?

•IDPs should be systematically maintained to create a forecast for future training demands.

What Do You Get?•T&D Forecasts

Overall Takeaways

Continuous process

Long-Term Development and Retention Strategy

Emphasis on What a Firm Needs

Pool of Ready Talent (Vertical and Horizontal Movements)

Emphasis on Results•The percentage of key jobs which have at least two ready successors•The percentage of key posts filled externally•The percentage of developmental action plans implemented•The extent to which the process contributes positively to business results

Thank YouQ&A

Appendix 1 – SP Primary Responsibility

Appendix 2 – What SP Addresses in the Organization

Sources

Robert M. Fulmer, "Choose Tomorrow's Leaders Today: Succession Planning Grooms Firms for Success." Downloaded on 19 July 2004 from http://gbr.pepperdine.edu/021/succession.html. Used with permission.

Morrison, C. L., American Society for Training and Development., & Institute for Corporate Productivity. (2010). Improving succession plans: Harnessing the power of learning and development. Alexandria, Va: ASTD.

Rothwell, W. J. (2010). Effective succession planning: Ensuring leadership continuity and building talent from within. New York: AMACOM.

William Rothwell, Ed., Effective Succession Management: Building Winning Systems or Identifying and Developing Key Talent (Lexington, Mass.: The Center for Organizational Research [a division of Linkage, Inc.]).