Career and Succession Planning in Organizations

Introduction

One definition of career and succession planning is "a crucial human resource exercise, intended to develop and hone some employees of the organization to undertake roles with higher authority, responsibility and pay" (Moorty, 2012). It actually stems from the goal to have someone ready to step into a person's role at work should that person leave the organization. Generally, companies identify individuals based on performance and evaluations, then begin training them. Once completed, their performances are compared and contrasted in order for the company to choose the right individual for the position.

Both the organization and the employee benefit in this arrangement. The employee is already familiar with the organizational environment, and the employee will be appreciative of the trust the employer has given through the promotion, leading to strong performance in the position. This is not a one-time activity but rather a plan that is updated regularly to reflect changes in company values and market conditions. This paper will discuss career and succession planning and how a company can see value from implementing this as part of their human resources development plan.

Why Succession Planning?

As one source notes, "Succession planning and the development of leadership talent are important to the organization if it is not only going to survive, but also grow" (Ingbretsen, 2011). This paper will address career and succession planning, the steps involved for a successful plan, and the benefits that an organization and its employees can receive from an effective plan.

Just as planning for disasters is important for communities, it is also important for an organization. Though not on the same level, a catastrophe or sudden departure of a manager will create an immediate demand for someone to take the lead. Succession planning needs to be done before the situation happens. According to an article on AllBusiness.com, "It can be used to build strong leadership, help a business survive the daily changes in the marketplace, and force executives to review and examine the company's current goals" ("The Importance of," 2012).

Benefits and Challenges of Succession Planning

Another reason for succession planning is that it benefits the company now, not only when someone needs to step into a leadership position. The initial identification of potential vulnerabilities can lead to identification of performance management issues and, from there, the areas that are at risk. The company could then identify and start to train the potential successors. Succession planning can also address any competency gaps that may exist so training can be developed to overcome those gaps prior to the need for advancement. This will ensure the company will not suffer any loss of "productivity and performance in the event of a vacancy in a key area" (Richards, 2012).

Succession planning has several definite benefits for the organization:

However, succession planning also presents challenges to implementation:

Developing a Plan of Succession

The first step in developing a succession plan is identifying the top individuals who could succeed key individuals in the organization. "Hiring only the top individuals and then choosing the best and brightest among them is usually how the successors are chosen" (Jain, 2012). The organization should then develop a training program that will give these successors the skill sets and knowledge they will need for the challenges that will be faced. Some of the training might need to be individualized so these successors can exceed expectations. Actually, a good program would allow them to gain experience with increasing responsibility under the guidance of the person they will be replacing.

There should be a timeline of when the successor could reasonably expect to be given the position. Getting promoted and receiving the training for the skills needed for the position are important, but there should also be a definite time when the successor can step into the job. Helen Jain, writing for eHow.com, states that the organization should "allow a little extra time on the timeline so that the individual has a chance to overcome potential obstacles without rushing" (Jain, 2012).

The last thing to keep in mind is to be realistic. No one should be considered unless they have the education and skills required for the position. In addition, all of the key personnel and decision makers should support the potential candidates. In order for these candidates to be able to fulfill their roles, they need the support of these executives. Jain offers one final tip for developing a succession plan: "Keep the plan as simple as possible. Choosing individuals and training them is simple and direct, whereas adding complicated criteria that no potential candidates can meet ultimately causes the plan to fail" (Jain, 2012).

Conclusion

Succession planning is necessary for an organization of any size. There may be a few barriers, but for the business to grow without lapses in productivity due to the loss of key personnel, it is important to overcome those barriers. The training program needs to encompass the skills the candidates need to know to be able to fill the roles expected to become available as well as those skills that will help them to exceed the expectations of the position. Gathering the support of the decision makers will help make the training and transition run smoothly. There are benefits to developing a succession plan and, while there are also challenges to developing a plan, a company that is growth oriented should consider implementing this strategy as part of their management development program.