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Submitted To:M/s Shilpa Jain

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Submitted By:

Altamash Ali

Aashutosh Joshi

Divyanshu SharmaMBA 3rd(B)

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Succession planning is a process ofdetermining critical roles within the company,identifying and assessing possible successorsand providing them with the appropriateskills and experience for present and futureopportunities.

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Succession Planning Process

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Recruitment and staffing

Training and development

Performance and compensation management Talent management

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Succession planning must be an integratedHR process.

Identify what skills the company will requirein the future.

Identify critical positions in the company.

Identify high performers to step into thosepositions.

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Analyze the workforce for eligibleretirements.

A systematic approach for identifying,nominating and selecting potentialsuccessors must be established.

Succession planning must include a systemfor providing feedback and encouragement to

successors.

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Engages senior management in a disciplinedreview of organizational talent.

Guides development activities of staff.

Brings HR systems into alignment.

Assures continuity of key positions / Avoids transitionproblems.

Assures new managers are prepared for their jobs.

Focus on Organizational Effectiveness.

Less time and expense to source talent to fill. The individuals identified in the plan will eventually be

responsible to tackle future challenges.

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The organization is prepared to deal with sudden

losses of key people.

Less turnover. It will help the company to create future potential

leaders.

Succession planning helps company "build bench

strength."

It helps company to decide where people belong on

the bus.

To retain superior employees because they appreciatethe time, attention, and development that company is

investing in them.

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Succession Planning vs.

Replacement Planning

Replacement planning: is about immediate needs, a

point in time assessment of the availability of key

back-ups who can step in and contribute quickly

Succession planning: is concerned with longer range

needs and the development of talent to meet those

needs.

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Career Planning:- Career is nothing but a bunch

or collection of jobs or

positions, and it generally

describes an applicable careerpath within the organizational

structure. By defining

careers, employers can define

the principal personnel

development paths within the

organization.

It is done for all position.

Succession Planning:- Proper succession planning

ensures that there is a

continuous availability of

qualified personnel so thatthe organization can run

smoothly without

disruption.

It done for critical position.

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Step 10Evaluate Results

Step 9Establish Individualand Organisational

Accountability

Step1Clarify CEOsExpectations Step 2

EstablishCompetencyModels

Step 3Conduct Multi Rater,

Full Circle Assessment

Step 4EstablishPerformance

Management System

Step 8Establish a TalentInventory

Step 5Establish PotentialAssessment

Step 7Implement IndividualDevelopment Plans

Step 6Establish a means of ongoingIndividual Development Planning

A Step by Step Model

to establish andmaintain a

Succession Planning

Program

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Succession Planning Software (EmpXtrack)

Allows identification of key positions in the organization

and their mapping to required skills, competencies, jobdescriptions, qualifications and experience profiles.

Facilitates identification of employees who meet the

requirements for these key positions. Sophisticated

search mechanisms are available for this.

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Attempt Succession Planning Without Other StrategicPlans

Procrastinate

No goals Sell to an Insider

Ignore Training

Keep Succession Plans a Secret

Develop a Succession Plan Once

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CASE STUDIES:

.TATA Group

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Succession planning of Tata group Born on December 28, 1937 Graduated with a degree in Architecture and Structural Engineering from

Cornell University.

Also completed advanced management programme at Harvard BusinessSchool.

Appointed the Director-in-Charge of The National Radio & ElectronicsCompany Limited (Nelco) in 1971.

Became the Chairman of Tata Industries in 1981.

Took over as Tata Group Chairman in 1991.

When Ratan Tata turned 75 he has to announce his successor. and it was atough & a time consuming process for selection committee to find a

successor of the caliber who can manage business group. The selection committee took 15 months time to identify the successor for

Ratan TATA.

Five-member panel to pick Ratan Tatas successor formed

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1. Long run wayLeadership Continuity for next 25

years.

2. TATA Group Ethos ( similar to level 5 leadership -

personal humility and professional will)

3. Experienced in handling Similar size, scale, scope,

complexity (Diversified portfolio management)

4. Shareholders / Stake holders acceptance

5. Commitment to philanthropy

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Year operating company Person holding Successor Age

Source of successor:-

2006 Tata housing N/A Brotin Banerjee 35 Within the TATA Group

2008 Tata chemicals Mr. Khusrokhan R mukundan 42 Within the company

2009 TCS S. Ramdurai N. chandrasekaran 46 Within the company

2010 Tata Tele Anil Sardana Srinath N 45 Within the company

2011 Tata commu Srinath N Vinod kumar 45 within the TATA group

2012 TATA group Ratan TATA Cyrus Mistry 43 Within the TATA Group

Source:- http://sureshine.blogspot.in/2011/12/succession-planning-for-

corporate-india.html

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"I don't want to leave the company in a wheel chair or in abox," Ratan Tata told a television news channel in an

interview.

"The company is not pushing me out. It is my desire," he said.

"I have chosen to stay off that (search) committee... the

committee has the freedom to examine and not have anyone

feel that I am driving the succession plan," Ratan Tata said.

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Ratan Tata, who will retire as chairman in December, 2012,

said that he "is looking forward to freedom to find time to do

things that I always wanted to do".

The selection process for a prospective candidate would

consider suitable persons from within the Tata Companies,other professionals in India as well as persons overseas with

global experience., he said.

The successor, I would hope, would have integrity and ourvalue systems in the forefront and hopefully would carry on

the path that we have tried to set for the companys growth,

Mr Tata had observed.

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Success will sustain and grow only when it ispassed on into safe hands and this is where theseed of succession planning takes its roots.

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