CEO & Leadership Succession Planning

Succession planning is the process of identifying and developing employees to fill key positions within an organisation. It is a strategic approach to ensuring that the organisation has the talent it needs to achieve its goals, even when key employees leave or retire.

Succession planning is more than just finding replacements for top executives. It should also focus on developing talent at all levels of the organisation. This helps to create a deep bench of qualified employees who are ready to step up into new roles when opportunities arise.

Effective succession planning is data-driven. Companies should use assessments to identify the strengths and weaknesses of their employees, and then compare those results to the requirements of key positions. This helps to identify any gaps that need to be addressed through development or external executive search.

To develop a succession plan for a senior leader or CEO, you need to take a holistic approach in order to:

1. Identify the key roles and positions in your organisation. What roles are critical to the success of your business? What are the key competencies and skills that are required for these roles?
2. Assess your current leadership team. Who are your top performers? Who has the potential to move into more senior roles? Consider factors such as experience, skills, knowledge, and leadership potential.
3. Identify potential successors. Once you have assessed your current leadership team, you can start to identify potential successors for key roles. This may include internal candidates, external candidates, or a mix of both.
4. Develop a development plan for each potential successor. This plan should identify the skills and knowledge that the individual needs to develop in order to be successful in the role. The plan should also include opportunities for the individual to gain experience and exposure.
5. Communicate the succession plan to stakeholders. It is important to communicate the succession plan to key stakeholders, such as the board of directors, senior leaders, and employees. This will help to ensure that everyone is aligned on the plan and that there is a smooth transition when the time comes.

Over 60% of internal promotions to executive positions fail within 18-months. This is primarily due to lack of planning, assessment and failure to consider a full talent map and careful transition.

Succession planning is therefore critical.

First, it helps to ensure that the organisation has a pipeline of qualified candidates to draw from when key positions become vacant. This is important because it allows the organisation to avoid disruptions to business operations and to attract and retain top talent.

Second, succession planning helps to develop future leaders. By identifying and developing high-potential employees, organisations can identify a pool of qualified candidates who are ready to step into senior roles when the time comes. This helps to ensure that the organisation has the leadership it needs to be successful in the long term.

Third, succession planning can help to mitigate the risk of unexpected departures. By having a succession plan in place, organisations can be prepared to fill key positions quickly and efficiently, even if an employee leaves unexpectedly. This can help to minimise the disruption to business operations and to protect the organisation’s competitiveness.

Succession planning consultants can help organisations in a number of ways, including:

• Identifying key roles and positions. Succession planning consultants can work with organisations to identify the key roles and positions that are critical to the success of the business. They can also help to assess the competencies and skills that are required for these roles.
• Assessing the current leadership team. Succession planning consultants can assess the current leadership team to identify high-potential employees and to identify any gaps in skills and experience.
• Identifying potential successors. Succession planning consultants can help organisations to identify potential successors for key roles. This may include internal candidates, external candidates, or a mix of both.
• Developing development plans. Succession planning consultants can help organisations to develop development plans for potential successors. These plans should identify the skills and knowledge that the individual needs to develop in order to be successful in the role. The plans should also include opportunities for the individual to gain experience and exposure.
• Implementing the succession plan. Succession planning consultants can help organisations to implement the succession plan. This may include providing training and development to potential successors, as well as facilitating communication and collaboration between stakeholders.