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Succession planning is the process of identifying and developing new leaders who are able to immediately replace old leaders when they leave or retire. Essentially, it is the planning for the continuity of leadership by developing internal people who have high potentials of filling up the key business leadership positions in a company. Managing the succession of talent is a vital strategic process that minimizes gaps in leadership and enables your best people to develop the skills necessary for possible future roles. Succession planning has many benefits, especially for employee engagement. A research showed that 94% of employers report that the involvement of a succession plan positively impacts their employees’ engagement levels. Once you have set in a succession plan in place, it is equally important to measure its success rate. Here are 5 methods for measuring succession planning:
- Establish the objectives
- Bench strength
- Pipeline Utilization
- Developmental improvements
- Analyse Reports
Establish the objectives
The first step to measuring the effectiveness of the succession planning process is to establish key objectives. Have a clear vision as to what you want to accomplish from succession process. Consider both qualitative and quantitative goals that focus on employee development. Qualitative objectives can be based on developing leadership competencies, such as communication and decision-making skills.
The organisation, before developing the succession management program should conduct a thorough review of candidate qualifications, development needs and strengths, organizations run the risk of over or underestimating the talent available. The key objective for a succession planning program is to build pool of employees who are ready for to handle more challenging responsibilities.
Utilize the positions filled by succession candidates to keep track how thoroughly the success pipeline is filled. Then, prioritise most critical and pivotal roles first, and work your way to less-critical ones. Always keep a count on the number of candidates in the pipeline. The optimal number will depend on turnover rates and other factors, but the number should ensure that there is enough talent in the pipeline to handle a variety of emergencies, including the loss of “heirs apparent” to key positions.
A succession management program can only be successful when the organisation is accountable. The program should provide the candidates with opportunities to grow and the organisation should evaluate and monitor their progress with the help of tools like scorecards and multi-rater.
Since a succession
planning program is about developing leaders, it needs leadership backing to be
successful. Get that support by providing regular reports of valid and
effective measures. One of the best measurements of a succession planning
process involves identifying how many employees have advanced or are ready to
advance into new leadership roles. If often take months, if not years, to measure and see the value of
succession planning. The reason it takes so long is because each potential
successor has to be developed and groomed to determine the best candidate among
them. Succession management is the link
between the present and future of an organization. The best way to ensure
success is to provide future leaders with development opportunities that are
both structured and divers.