Reliable Plant July August 2008

ADVISOR
PEOPLE MANAGEMENT
EVALUATING THE NEED FOR
SUCCESSION PLANNING
How critical is your job? Is it viewed
as a key position? If you left the
company or all of a sudden got hit
by that proverbial bus that seems to be
going around the world taking people out,
would the company be able to keep moving
forward without losing a step? Have you
even thought about it?
If you don’t know whether or not a position
(whether it’s yours or one that reports
to you) is key, I recommend that you start
with an analysis of positions that if left
vacant would not allow you to meet your
business needs. Ask yourself these questions
about positions you believe could be
“key”:
1) Does this position require scarce,
specialized skills to deliver a product or
service?
2) Does this position have critical influence
over operations or strategy?
If the answered “yes” to either question,
it’s probably a key position. As a result, you
need to think about an appropriate succession
plan for that post.
But is succession planning really important?
Is it worth the time and effort? Isn’t
JOHN HA
John Ha is the president of Reliability Careers, a
provider of workforce solutions for the reliability
and maintenance industry. This business not only
provides traditional recruiting and sourcing services
for companies but is dedicated to help
clients with overall talent management, including
recruitment and selection, performance management
and coaching, and
employee development
and training. For individual
career-seekers, the
firm finds top-flight
opportunities in the
reliability and maintenance
field. Contact John
at 918-388-2438 or e-mail
info@reliabilitycareers.com.
succession planning built into the organization
already? Isn’t that why you have vice
presidents, directors and managers in
place or, as is often the case with small
businesses, a son or daughter waiting to
take the wings once dad retires (or gets hit
by that bus)?
All you have to do to understand the
value of succession planning today is look
at Wall Street. More and more, Wall Street
analysts are putting true market value on a
company’s succession plan. GE, PepsiCo
and IBM are just a few of the companies
that have benefited in the market due to
strong recognized succession plans at the
“C” level. And while large companies have
set the pace for formalizing succession
plans, it’s really the small to medium-sized
companies that need it the most.
So, what does a successful succession plan
look like? Once you identify an heir, are you
done? Of course, the answer is “no”.
Succession planning is a dynamic initiative
that can change quickly with the natural
movement of employees. In fact, succession
planning is more than a plan, it’s a systematic
process. The reality is that most companies
do not have a sufficient process in place to
ensure that succession planning is always
current and relevant. These companies end
up going through a tumultuous time when
key positions turn over.
Companies that have the right plan in
place share the following qualities.
MAKE A COMMITMENT
Like any initiative, success is unlikely
without commitment. Leaders must be
committed and willing to put in the necessary
time and energy to properly
implement the system. Problems with
current practices must be analyzed, the
need must be demonstrated, and a system
with specific guidelines and policies must
be developed.
COMPETENCY ANALYSIS
Leaders must analyze the competencies
of both the key positions and the current
workforce so they can understand what
gaps exist today and in the future.
Behaviors, abilities, skills and knowledge
requirements must be defined in the job
and assessed in the individuals.
DEVELOP YOUR TALENT
As managers, nothing is more important
than developing the necessary talent around
you. Developing talent is more than just
sending them to training classes. The real
foundation for talent development is found
in the daily activities of management. These
activities consist of the following: 1) Assess
what people need in order to develop; 2)
Give them experiences that will develop their
talent while, at the same time, getting the
work done; and, 3) Provide them with
useful, specific and timely feedback – stated
in a tactful and positive way – that will give
them the value of your input in doing it
better while also showing that you appreciate
their best efforts.
CONTINUOUSLY
IMPROVE
Succession planning isn’t a static event.
It must be continuously evaluated and
improved to ensure you are fully prepared
and that it is working. Leaders who have their
succession plan locked away in a drawer until
it’s needed are doomed to failure.
Finally, you need to ensure that your
succession planning is aligned with your
mission and core values so that you identify
successors who are on the same page with
your company strategy and culture.
26 July - August 2008 www.reliableplant.com