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Naza World Group’s<br />

SUCCESSION PLANNING &<br />

TALENT DEVELOPMENT FRAMEWORK<br />

1


SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


“Today we operate in an environment which is<br />

increasingly competitive and demanding. It is<br />

no longer enough that we are good at what we<br />

do.<br />

In today’s business landscape, innovation,<br />

strategic mindset and entrepreneurial values<br />

are some of the key competencies which a<br />

company needs to drive its business forward.”<br />

Datuk Wira SM Faisal Tan Sri SM Nasimuddin,<br />

Group Executive Chairman & Group Chief Executive Officer<br />

i


Foreword<br />

Nearly 30 years ago, my late father, Tan Sri Nasimuddin<br />

SM Amin ventured into the automobile business due to<br />

his great passion for cars. It wasn’t an easy start and<br />

the years that followed were very challenging to say<br />

the least but with a clear vision on what he has set out<br />

to achieve and through years of hard work, my late<br />

father has developed a small family business into one<br />

of the largest conglomerates in Malaysia.<br />

As I reflect on our company’s journey, I am very proud<br />

of what we, as a company have achieved over the<br />

years. From our humble beginning as a small motor<br />

trading company, we have established a strong brand<br />

name in the market, ventured into the production of<br />

vehicles and expanded our partnerships with several<br />

prominent brands from around the world.<br />

At the same time, I am also mindful of the challenges<br />

which we face, both current and in the future. Today<br />

we operate in an environment which is increasingly<br />

competitive and demanding. It is no longer enough<br />

that we are good at what we do. In today’s business<br />

landscape, innovation, strategic mindset and<br />

entrepreneurial values are some of the key<br />

competencies which a company needs to drive its<br />

business forward.<br />

The Succession Planning and Talent Development<br />

initiative is our response to the new demands of doing<br />

business. We want to enhance the capability of our<br />

employees to ensure that they have the<br />

competencies which are relevant not just for the<br />

present but also for the future. We also want to groom<br />

new leaders so that our company will always be led<br />

by a strong leadership to steer our business to achieve<br />

greater heights in the future.<br />

This initiative is beneficial not just for the company but<br />

also for our fellow Nazarians who are involved and I<br />

would like to take this opportunity to extend my<br />

genuine appreciation to those who share the same<br />

optimism and have contributed to the successful<br />

implementation of this initiative.<br />

Datuk Wira SM Faisal Tan Sri SM Nasimuddin,<br />

Group Executive Chairman & Group Chief Executive Officer<br />

ii


“We only achieve what we do because of our<br />

people. Naza World’s success is because of the<br />

talent and dedication of Nazarians, working<br />

together for a common purpose.”<br />

Rozana Ismail<br />

Head, Group Corporate Human Capital Division<br />

iii


Foreword<br />

During his brief lifetime, Alexander the Great created<br />

one of the greatest empires in the ancient civilization.<br />

Considering his remarkable achievements, it was<br />

indeed tragic when he could not identify his successor<br />

in his last hours. Legend has it that when Alexander<br />

was asked to name his successor at his deathbed, he<br />

could only say “to the strongest” and we know from<br />

history that soon after his death, his great empire fell<br />

apart rapidly.<br />

This example is still relevant today to illustrate just how<br />

important it is to have a clear leadership succession<br />

plan in any organisation be it a business, a public or a<br />

non-profit organisation. Without a succession plan,<br />

companies face the risk of disruption to their business<br />

continuity and the inability to realise their planned<br />

visions or targets.<br />

These risks are real and could potentially hit us one<br />

day. We, in the Senior Leadership team are very<br />

mindful of the risks and have therefore embarked on a<br />

succession strategy for our company. We have added<br />

to this an equally important component of talent<br />

management. This two-pronged approach would<br />

ensure that we not only identify suitable successors<br />

but also focus on the professional<br />

development of our employees to create a wide pool<br />

of talents, from which the potential successors may be<br />

identified.<br />

We also want to put this <strong>Framework</strong> in place to ensure<br />

that we have a structured approach which is<br />

transparent and merits-based. The approach and the<br />

values which we have embedded into this <strong>Framework</strong><br />

is important to reach an outcome which is just and<br />

fair.<br />

I am very honoured and delighted to lead and<br />

oversee the implementation of this important initiative.<br />

I want to express my appreciation to those who have<br />

supported this initiative and were involved in it. A lot of<br />

thoughts and work have been put into this initiative<br />

and I trust that this <strong>Framework</strong> would be helpful for<br />

interested parties involved in the succession process<br />

directly or indirectly.<br />

Rozana Ismail<br />

Head, Group Corporate Human Capital Division<br />

iv


About<br />

This Guide provides a broad framework to help Naza<br />

World Group identify critical positions and find<br />

potential successors for those roles within the<br />

organization. It also includes processes and templates<br />

that we hope will equip you with a variety of<br />

approaches to effective succession planning.<br />

This framework, therefore, is meant to serve as a guide<br />

and resource for management team, Human Capital<br />

personnel members and other internal stakeholders<br />

involved in part or in whole with the succession<br />

management and talent development process.<br />

iv


1<br />

Strategy & Aspirations<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Contents<br />

Foreword<br />

i – iv<br />

About 1<br />

Part 1 : STRATEGY & ASPIRATION<br />

• Succession & Talent Management Strategy 2 - 4<br />

• Objectives & Value Proposition 4<br />

Part 3: TALENT DEVELOPMENT<br />

• About Talent Development 25<br />

• Development Plans for Identified Talents 26<br />

Part 2; SUCESSION PLANNING<br />

• Introduction 6 – 7<br />

2a: Succession Planning Policy 9<br />

2b: Succession Planning Process 11<br />

• Step 1: Identifying the Critical Positions 13 - 14<br />

• Step 2 : Profiling of Critical Positions 16<br />

• Step 3 : Identifying the Talent Pool 18 - 22<br />

• Step 4 : Creating a Succession Plan 24<br />

Part 4: IMPLEMENTATION & EVALUATION<br />

• Implementation and Evaluation 28<br />

Part 5: STAKEHOLDERS, ROLES & RESPONSIBILITIES<br />

• Roles & Responsibilities 30 -31<br />

APPENDIX<br />

• Table of Content 33<br />

• Step 6 : Implementation and Evaluation 26 - 27


Naza World Group’s<br />

Succession & Talent Management Strategy<br />

Naza World Group’s Succession & Talent Management Strategy is developed to be in line with the Group’s Human Capital<br />

strategy, and importantly equips the Group to deliver its strategic goals through a talented and diverse workforce.<br />

Our vision is for the organisation to be populated by ready talents highly skilled and committed to realise our ambitious<br />

business goals. Against this vision, we have defined the following aspirations which underlies our talent strategy definition:<br />

Naza World Group<br />

Strategic Aspirations for Succession & Talent Development<br />

2<br />

Our Succession Management & Talent Development strategy is closely<br />

1<br />

aligned to the company's Strategic Plan to ensure that we deliver our<br />

key objectives<br />

Our human capital will have the confidence and capabilities to work and<br />

lead in diverse and challenging business environments<br />

3<br />

Our diverse people will work together and capitalise on their<br />

Individuality to innovate and excel<br />

It is against the above vision and strategic aspirations that we have defined the Group Succession and Talent Management Strategies.<br />

2


Our Talent Management Strategy comprises three inter-connected thrusts which together provide a structured approach for<br />

succession management and talent development. Our aim is to create the people capability needed for future success by<br />

developing talents for leadership, operational and service excellence.<br />

Talent Pipeline Readiness<br />

Leadership Capability<br />

Development<br />

Strategic Talent<br />

Management<br />

We will ensure that the organisation has a<br />

talent pipeline with readiness for future<br />

challenges by maximising the potential of<br />

our human capital.<br />

We will create a pool of robust and<br />

dynamic leaders capable of driving<br />

achievement of business results through<br />

great leadership.<br />

We will provide talents with the<br />

opportunity to realise their potential and<br />

develop their talents, through succession<br />

planning, advancement opportunities<br />

and structured development.<br />

Naza World Group Succession Management & Talent Development Strategy<br />

3


Objectives & Value Proposition<br />

Succession management influences how people<br />

across the company think about performance,<br />

potential, job assignments, career paths, staffing<br />

decisions, and employee development. Ultimately,<br />

succession management is about ensuring a<br />

continuous supply of high performing talent in critical<br />

positions.<br />

Traditionally, succession management initiative places<br />

emphasis on determining who would replace top<br />

executive position. However, in line with best practices<br />

Naza World Group’s Succession Management and<br />

Talent Development <strong>Framework</strong> encompasses a<br />

broader pool of critical positions.<br />

The key objective of this Succession Management &<br />

Talent Development framework is to define and<br />

streamline the approach and processes of succession<br />

planning and talent development in Naza World<br />

Group.<br />

Effective succession management will provide Naza<br />

World Group with an improved ability to maintain<br />

continuity of operations during leadership transitions<br />

with minimal disruption, delivering benefits to both<br />

individual employees by preparing them to be strong<br />

leaders, as well as to our organisation by facilitating<br />

smooth leadership transitions.<br />

Value Add of Succession Management<br />

A means of ensuring the organisation is prepared with a plan<br />

to support service continuity when people in critical positions<br />

exit the organisation<br />

A continuing supply of qualified, ready talents, which forms<br />

the ‘bench strength” of the organisation<br />

An alignment between organisation's vision and people<br />

strategy that demonstrates an understanding of the need to<br />

have the right human capital to achieve strategic plans<br />

A commitment to developing career paths for employees<br />

which will facilitate our organisation's ability to recruit and<br />

retain top-performing employees and volunteers<br />

Enhancement of Naza World Group’s “employer brand” or<br />

external reputation as an employer that invests in its people<br />

and provides opportunities and support for individual career<br />

advancement<br />

Communicating a message to all “Nazarians” within Naza<br />

World Group that that they are valuable<br />

4


2<br />

Succession Planning<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK<br />

13


Introduction<br />

Succession planning is a strategic planning exercise that seeks<br />

to ensure that an organisation has a pool of highly skilled and<br />

talented employees available and ready to step into senior<br />

leadership and other critical roles should the need arise. It<br />

enables an organisation to have business continuity and realise<br />

its business objectives.<br />

It consists of several processes that will guide an organisation to<br />

identify critical positions in the organisation, the current and<br />

future competencies (i.e., knowledge, skills, and abilities)<br />

individuals need to be successful in that position, and<br />

assessment of current talent to fulfill those roles to ensure an<br />

organisation’s business continuity.<br />

It also drives an ongoing, proactive dialogue between<br />

managers and senior executives that identifies and tracks key<br />

performers / high-potentials within the organisation.<br />

By implementing an effective succession planning process, Naza<br />

World Group aims to:<br />

• Proactively monitor critical talent needs and gaps for<br />

continued organisation growth;<br />

• Identify, develop and promote key talent and leaders; and<br />

• Improve the base of information about talent within the<br />

organisation.<br />

This section outlines the policy and process determined by the<br />

Group to achieve the above objectives.<br />

At the end of the process the organisation will have a<br />

comprehensive pool of talent to draw upon to meet current<br />

and future needs to ensure that the right person is in the right<br />

place, in the right position, at the right time.<br />

6


Key Elements of Naza World Group’s Succession Planning Initiative<br />

Identifying the bench strength<br />

within the organisation<br />

Putting the right people<br />

in critical and/or leadership positions<br />

Managing and developing<br />

a steady internal pipeline<br />

A systematic approach to look at<br />

current strengths and skill gaps at every<br />

level of the organisation.<br />

A fair and equitable process to assess<br />

employees potential in order to support<br />

future business needs<br />

Provide individual and career<br />

development opportunities to internal<br />

talents.<br />

7


2a<br />

Succession Planning Policy<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Naza World Group’s Succession Planning Policy<br />

• Succession Planning is used by Naza World Group to assess, develop and evaluate a talent pool of individuals and<br />

high potentials to determine their readiness to assume higher positions within a certain time frame.<br />

• The talent pool are willing and able to learn and occupy these higher positions.<br />

• The Succession Planning initiative is a method to help Naza World Group in preserving its information and<br />

knowledge that may be lost due to retirement and attrition.<br />

• Criteria for successor evaluation will be determined at the sole discretion of the company.<br />

• A developmental plan for high performing employees at various levels to undertake the next higher position would<br />

be provided for by the company.<br />

• An employee on a succession planning programme can be removed if he/she fails to upkeep the qualifying<br />

criteria.<br />

• NAZA does not commit to keep the potential successors informed of their role during the succession planning<br />

duration.<br />

• Being on Succession Planning Programme is no guarantee that a career progression will happen in the preplanned<br />

direction.<br />

9


2b<br />

Succession Planning Process<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Succession Planning Process<br />

The succession planning process focuses on defining<br />

requirements for critical roles and then identifying<br />

participants who meet these requirements.<br />

Naza World Group’s succession planning processes is rolebased<br />

focusing on specific roles that are considered<br />

critical to the current and future performance of the<br />

organisation.<br />

These pivotal or key roles can be strategic or operational,<br />

as well as developmental roles that are viewed as key<br />

“feeder positions” for providing employees with the skills<br />

and experiences needed to move into critical or pivotal<br />

roles.<br />

This framework provides a six-step process to help initiate<br />

succession management efforts, as well as detailed<br />

considerations regarding the approach to assess the<br />

leadership pipeline end-to-end implementation of effective<br />

succession management programmes with the goal to<br />

increase “leadership pipeline” or “bench strength”.<br />

This systematic approach begins with identifying succession<br />

requirements and culminates with implementing effective<br />

development programmes for successors or leaders.<br />

STEP I<br />

Identifying the Critical Positions<br />

STEP II<br />

Profiling of Critical Positions<br />

STEP III<br />

Identifying the Talent Pool<br />

STEP IV<br />

Creating a Succession Plan<br />

Naza World Group’s Succession Planning Process<br />

11


I<br />

Identifying the Critical Positions<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Step I: Identifying the Critical Positions<br />

Purpose<br />

Identifying critical positions is the starting point for the succession<br />

planning process.<br />

• Critical positions can potentially impact business operations<br />

(e.g., financial operation, process efficiencies, loss of<br />

institutional knowledge, etc) due to retirement, attrition and<br />

voluntary/involuntary separation.<br />

• A critical position is one that, if it were vacant, would have a<br />

significant impact on the organisation’s ability to conduct<br />

normal business. These positions may be Managerial,<br />

Technical or Support in nature.<br />

Approach<br />

• Develop or review the *Critical Position Criteria based on<br />

present business and operational requirements. Any<br />

existing Critical Position Criteria and Critical Position listing<br />

should be reviewed and validated for every succession<br />

planning exercise to ensure they remain relevant.<br />

• Obtain necessary approval for the said criteria<br />

• Identify and shortlist the Critical Positions across the Group<br />

based on the latest organisation structure<br />

• Obtain necessary approval for Critical Positions for the<br />

succession planning exercise<br />

* Refer to page 23 for critical position criteria<br />

Note:<br />

List of the latest approved critical positions is attached to this <strong>Framework</strong> as Appendix 1<br />

13


Selection Criteria For Critical Positions<br />

Strategic & Business Impact<br />

Stakeholder Relations<br />

Unique Nature<br />

of Position<br />

1. Business contribution of the position<br />

To what extent does the position plays a<br />

pivotal role to drive revenue and impact<br />

bottom-line financial results?<br />

2. Position’s contribution to the Company’s<br />

future<br />

To what extent does the position involve<br />

developing strategies, designing new<br />

products, or creating growth opportunities<br />

for the Company for the future?<br />

3. Relevance to core business<br />

To what extent is the position relevant to the<br />

Group’s core business, both in terms of<br />

operations and management?<br />

4. Strength of the product brand<br />

To what extent is the position important in<br />

representing the product brand?<br />

5. Relationship with Customers<br />

To what extent does the position involve<br />

relationships with internal & external<br />

customers<br />

6. Relationship with Customers<br />

To what extent does the position’s relations<br />

with key stakeholders affect company’s<br />

reputation and credibility?<br />

6. Position’s Uniqueness<br />

To what extent is this position unique to the<br />

company; such that it will be extremely<br />

difficult to recruit an external candidate?<br />

7. Specialised Expertise<br />

Is the position one that requires a very<br />

specialised set of skills, knowledge and<br />

expertise?<br />

14


II<br />

Profiling of Critical Positions<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Step II: Profiling of Critical Positions<br />

Purpose<br />

All positions have a requisite set of knowledge, skills and<br />

abilities that are expected of employees who are filling<br />

that function. Thus, knowing the success factors of a job<br />

is necessary to:<br />

• Establish the desired requirements for job success;<br />

• Create a baseline for assessing interested potential<br />

employees; and<br />

• Identify the appropriate learning and development<br />

opportunities.<br />

Approach<br />

• Job descriptions or role profiles offer a good<br />

starting point for the identification of the job’s<br />

success factors. Other sources could include, for<br />

example, interviews with senior management,<br />

immediate supervisors and other stakeholders<br />

who can offer insights on the profile requirements<br />

of every critical position.<br />

• Current incumbents of the positions may also<br />

have a good understanding of the competencies<br />

that are important for their roles. Interviewing<br />

present job holders may reveal critical<br />

knowledge, skills and abilities that potential<br />

successors should possess to assume those<br />

positions in the future.<br />

• Other considerations may include:<br />

• What are the specific behavioural and<br />

functional competencies that apply to a key<br />

job or group?<br />

• What competencies apply to all employees<br />

and groups? Are these competencies aligned<br />

with the Company’s vision, mission and<br />

values?<br />

• The Corporate Human Capital Division (CHCD)<br />

will create a *Position Success Profile for the<br />

positions within the organisation which are seen<br />

as critical.<br />

*Template is attached to this <strong>Framework</strong> as Appendix 2<br />

16


III<br />

Identifying the Talent Pool<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Step III: Identifying the Talent Pool<br />

Purpose<br />

The purpose of this step in the sucession planning process is to<br />

identify Naza World Group’s Talent Pipeline. The process shall<br />

focus on:<br />

i. Identification of potential talent pool who shall be assessed<br />

for potential and readiness for critical positions<br />

ii.<br />

Administering the assessment of potential talents to<br />

determine the Group’s talent pipeline<br />

At the end of this process, a Talent Pipeline would have been<br />

established, represented by a pool of talents who are either<br />

ready to assume critical positions, or high potential talents who<br />

shall undergo the appropriate structured development<br />

programmes to be ready for critical roles in the near future.<br />

The Talent Pipeline answers these 3 key questions:<br />

Which employees must be retained and<br />

grown (either vertically or laterally)?<br />

Which employees need to be engaged<br />

and developed?<br />

Which employee-related issues need to be<br />

managed and resolved?<br />

Talent refers to high performing and high potential<br />

employees, which the organisation would like to retain<br />

and develop for the future.<br />

18


ck on<br />

d top<br />

m t<br />

roval<br />

uence<br />

d 5<br />

Approach<br />

3(i) Identification of Potential Talent Pool through formal<br />

Assessment<br />

The following guidelines outline the steps which the Corporate<br />

Human Capital Division (CHCD) should take to ensure that the<br />

identification process is equitable, inclusive and without any<br />

prejudice or biases:<br />

*SELECTION CRITERIA FOR POTENTIAL TALENT POOL<br />

CATEGORY<br />

Discipline & Conduct<br />

CRITERIA<br />

No record of disciplinary cases or<br />

misconduct<br />

1. CHCD shall invite the incumbents of the critical positions to<br />

nominate potential talents and advise on the selection<br />

criteria. The nominations must be reviewed and shortlisted<br />

by CHCD against the Criteria for Potential Talents.*<br />

2. CHCD filters existing employee database and shortlist<br />

participants against the Criteria for Potential Talents.<br />

3. Prepare Potential Talent Database<br />

(Template is attached to this <strong>Framework</strong> as Appendix 3)<br />

4. Group the Potential Talent Pool by similar functions. Where<br />

possible, potential talent can be assigned to specific<br />

critical position or pool under skill groups/ job families such<br />

as Marketing, After Sales etc. for talent assessment purposes<br />

5. The list of nominees shall be presented to the Senior<br />

Leadership for review, deliberation and approval.<br />

6. The approved potential talent pool nominees shall undergo<br />

a series of assessments to determine their state of readiness<br />

and competency gaps.<br />

Qualifications<br />

Job Grade<br />

Years of Service/<br />

Experience<br />

Performance Appraisal<br />

Rating<br />

Each participant must fulfill a minimum<br />

education requirement. Either a<br />

degree/equivalent in the relevant field.<br />

In special circumstances, a lower<br />

qualification may be acceptable if<br />

there is a compelling justification such<br />

as experience or attainment of<br />

specialised training.<br />

Job Grade of JG13 and above<br />

(exceptions can be made subject to<br />

management discretion)<br />

Impose a minimum tenure in their<br />

current position<br />

Impose a rating score for annual<br />

appraisal result<br />

19


Talent Performance & Potential Criteria<br />

It focuses on identifying high performing/high potential employees’ position on the Talent Pipeline<br />

Map. It also gives a reference and guideline to identifying low performers.<br />

Marginal<br />

Performers<br />

Either just meeting objectives<br />

or too often missing objectives<br />

Under<br />

Performers<br />

Current performance reflects an<br />

urgent and significant need for<br />

improvement<br />

Incompatible<br />

Values<br />

Current behaviour reflects a need<br />

to fundamentally and urgently<br />

change their approach to working<br />

High<br />

Performers<br />

“ At Level ” or with Potential<br />

Effective<br />

Performers<br />

Sustained Effective Performers<br />

Note: Performance must be high or<br />

better before Potential is considered<br />

relevant<br />

Future Leaders<br />

+ Professionals<br />

Highest Performers<br />

with Potential<br />

Sustained highest performers<br />

currently have the potential to move<br />

higher (one or more levels) within 3<br />

years<br />

Current Leaders<br />

+ Professionals<br />

Highest Performers<br />

“ At Level ”<br />

Sustained highest performers who<br />

we currently believe will most likely<br />

remain at their current level over the<br />

next 3 years<br />

“ Manage and Resolve “ Engage and Develop “ Retain and Grow”<br />

Sustained Lowest Performers<br />

Sustained Highest Performers<br />

20


Approach<br />

3(ii) Administering the Assessment<br />

a. About Assessment Centre<br />

There are a number of assessment methods to identify or<br />

assess the potential candidates once a pool of potential<br />

talents is finalised, as illustrated by the table below:<br />

• ‘Assessment Centre’ (AC) is a method of assessment that<br />

assesses thinking, behaviours, skills and potential of individuals<br />

through scenario-based simulations exercises and tests.<br />

• AC is built around a leadership and behavioural competency<br />

model designed to identify essential skills necessary for<br />

effective leadership and role fulfilment. They contain a broad<br />

range of non-threatening assessment techniques to promote<br />

willing participation.<br />

• The objective of the AC is to identify employee’s potential by<br />

assessing their behavioural competencies. As such, the design<br />

of the AC has to be effective to ensure successors and high<br />

potential leaders can be identified.<br />

• The findings from the AC shall highlight each incumbent’s<br />

competency gap and lead to the application of the<br />

appropriate Individual Development Plan to accelerate his or<br />

her advancement. More importantly, the information will<br />

provide the CHCD valuable insights to determine pipeline of<br />

successors and their readiness to assume higher position.<br />

• A combination of different methods shall be used to identify<br />

Naza World Group’s talent pool.<br />

Method<br />

Competency<br />

-based<br />

Interview<br />

Individual<br />

activity<br />

Psychometric<br />

profiling<br />

Group<br />

activity<br />

Role play<br />

Paired<br />

activity<br />

Presentation<br />

Objective<br />

Assess leadership capabilities, performance<br />

track record, and job fit<br />

A written activity with a series of scenario which<br />

requires the participants to read and respond<br />

individually<br />

Measure personality and leadership style and<br />

interpersonal needs<br />

Facilitated group discussion of a leader’s<br />

demonstrated capabilities, predicted potential<br />

and development requirements<br />

G a t h e r m u l t i p l e p e r s p e c t i v e s f r o m<br />

knowledgeable sources on leadership<br />

behaviour and job-related competencies<br />

Participants are required to work in pairs to<br />

respond to a business scenario<br />

Participants are required to review a case study<br />

or scenario and present the information<br />

required to the group<br />

21


Approach<br />

3(ii) Administering the Assessment (cont’)<br />

b. Design of Assessment Centre<br />

1. Create a competency/ activity matrix based on the<br />

competencies which have been identified during the profiling<br />

of the critical positions.<br />

2. Design the AC’s tools, process, schedule, activities and<br />

guidelines.<br />

3. The activities for the assessments are designed for a<br />

particular set of job grade or job functions e.g. individual<br />

activity/ presentation for senior job grades and group<br />

presentation for junior and mid-level employees. It is<br />

therefore essential that in assessments for large group of<br />

individuals that the groupings include employees of the<br />

same job grades. Employees of different job grades may<br />

be included in a particular group but the gap should not<br />

be too big. The following example illustrates this:<br />

Group 1: all JG 13 employees<br />

Group 2: JG 13 & JG 14 employees<br />

Group 3: JG 15 and JG 18 employees<br />

Coordination of the Assessment Centre<br />

• CHCD shall contact the individual employees to notify<br />

them about their respective sessions.<br />

• On the day of the assessment, the lead assessor shall<br />

brief the employees prior to the start of the assessment.<br />

• An individual assessor shall be assigned for each<br />

employee or a group of employees, depending on the<br />

activities.<br />

• The assessors shall take down notes during the<br />

assessments for the preparation of the individual report<br />

after the assessments.<br />

• Assessors shall prepare individual reports of each<br />

potential talent based on tests, activities and/or<br />

interviews undergone by the participants.<br />

Due to nature of Assessment Center, typically external help is<br />

required for design and facilitation. CHCD will source and<br />

appoint consultants or certified assessors for this step of the<br />

process<br />

22


IV<br />

Creating a Succession Plan<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Step IV: Creating a Succession Plan<br />

Purpose<br />

A succession plan documents the steps which will be taken to prepare the successors for future vacancies. It shows the current<br />

level of readiness for the talent bench and the development plans which have been identified to prepare the individual<br />

successors for the intended positions within the Naza World Group.<br />

Approach<br />

Identification of Successor Pool<br />

Identification of Successor Pools is the actual “matching” phase where a pipeline is created for each critical position. In other words, succession pools are<br />

finalised by placing high-potentials into a pipeline for roles.<br />

Detailed Steps<br />

1. Review the information gathered during the assessment:<br />

• Placement of employees on the Talent Pipeline Map<br />

• Psychometric assessment individual profile and report<br />

• Assessment Centre individual evaluation and results<br />

• Result comparison of the prospective successor’s competency (summary of the overall result)<br />

2. Determine the individual’s readiness based on:<br />

• Inputs from Step 1<br />

• Knowledge of the job requirements<br />

• Extent of the individual’s competency development before he/ she is ready to assume the target position (based on the analysis of competency<br />

gap)<br />

• The individual’s experience history and the relevance to the target role<br />

3. Capture the successor’s readiness to promote/ transfer on<br />

the Succession Readiness Worksheet (attached to this <strong>Framework</strong> as Appendix 4)<br />

• Ready now (RN)<br />

• Ready in One Year (R1)<br />

• Ready in Two Years (R2)<br />

• Ready in Three Years (R3)<br />

4. Complete/ Update the Succession Plan Matrix (attached to this <strong>Framework</strong> as Appendix 5)<br />

5. Review the Succession Plan Matrix to ensure that the information is correct and complete.<br />

24


3<br />

Talent Development<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


About Talent Development<br />

A strategic succession planning exercise is based on learning and development to fulfil a talent’s potential, rather than<br />

merely suceeding a vacancy. Therefore, once the talents or successors have been identified, based on their interest and<br />

potential for success in a critical position, the Company must plan and ensure that these employees have access to<br />

focused learning and development opportunities.<br />

Talent Development Planning is where Naza World Group will match the right talent with the right growth opportunities,<br />

maximise the learning captured from those experiences and align individuals' goals with corporate priorities in order to<br />

ensure a lasting, robust pipeline of internal talent.<br />

Planning for Talent Development: Key Implementation Steps<br />

Conduct training and development needs analyses based on the successors’<br />

Competency Profiles in order to identify strengths and weaknesses within the<br />

high-potential talent pool.<br />

1<br />

2<br />

Conduct one-on-one discussions with successors on their candidacy and<br />

development plans towards future roles.<br />

Consolidate plans in order to set up specific development programs (e.g. Firstline<br />

Management Development Program; Sales Management Development<br />

Program, Coaching & Mentoring, Job Shadowing, Short-term Job Assignments,<br />

Job Rotation etc).<br />

3<br />

4<br />

Monitor the implementation of the plans and developmental progress of the<br />

successor pool.<br />

25


Development Plans for Identified Talents<br />

• The plans should focus on decreasing or<br />

removing the gap between the required<br />

competencies and the current<br />

knowledge, skills and abilities of the<br />

individual.<br />

Example of Learning & Development Programmes<br />

for Naza World Group Talents<br />

• Explore several options of learning and<br />

development opportunities such as:<br />

• Job assignments that develop and/ or<br />

improve an individual’s<br />

competencies;<br />

• Job rotations; and<br />

• Formal training<br />

• Ensure that appropriate strategies are in<br />

place to support the transfer of<br />

knowledge to the individuals for the key<br />

positions, which can include:<br />

• Mentoring, coaching or jobshadowing;<br />

• Documenting critical knowledge;<br />

• Feedbacks from exit interviews; and<br />

• Establishing communities of practice.<br />

Notes:<br />

The examples above are not exhaustive and may include other programmes from time to time.<br />

26


4<br />

Implementation & Evaluation<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Purpose<br />

The final step in the succession planning process is to monitor<br />

and evaluate the strategies implemented to close identified<br />

and prioritised talent gap(s). It is important to regularly<br />

evaluate the succession planning process to ensure<br />

effectiveness.<br />

It is recommended that the succession planning efforts be<br />

measured and monitored: the relationship between inputs,<br />

activities, outputs, and outcomes; and impact of the process<br />

based on stated goals and objectives. Additional measures<br />

may focus on the framework functional strengths and<br />

weaknesses, and assessing gaps in developing succession<br />

candidates.<br />

Approach<br />

Sample Quarterly Metrics<br />

• How well are individuals progressing through their<br />

development assignments?<br />

• Progress toward development goals and career<br />

development plans.<br />

• Percent of candidates in a rotational position with a<br />

formal action plan.<br />

• Percent of candidates in cross-functional<br />

assignments.<br />

Sample Annual Metrics<br />

• Number of successful promotions into key leadership<br />

positions.<br />

• Percent of open positions filled.<br />

• Percent of turnover.<br />

• Diversity demographics of “talent pool”.<br />

• Percent of talent pool candidates that are “ready<br />

now”.<br />

28


4<br />

Stakeholders<br />

Roles & Responsibilities<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


The Succession Management process is not merely a human resource initiative, but a strategic initiative which<br />

impacts the business & operations of the Group. Therefore, it is pertinent that internal stakeholders play their roles<br />

accordingly to ensure the realisation of succession management and talent development strategies and<br />

objectives.<br />

Executive Director / Group Executive Chairman<br />

The Executive Director/ GEC is the ultimate owner of Naza’s succession plan and talent management<br />

programmes for all positions that report to the Executive Director/ GEC and other identified critical positions.<br />

The Executive Director/ GEC should personally participate in the process including regular reviews and updates<br />

for the Company’s succession plan. The Executive Director/ GEC acts as a champion or ambassador to the<br />

process, including showing the Company’s commitment to the process and ensuring Succession Planning and<br />

Talent Management become embedded in the Naza’s culture.<br />

Senior Leadership<br />

The Senior Leadership’s should ensure that Succession Planning and Talent Management is embedded into<br />

Naza’s culture and are included as one of their key accountabilities. These responsibilities may include<br />

identifying high potential employees, conducting meetings with identified employees, assessing employee<br />

skills, knowledge and competency levels and assisting in the creation and execution of individual<br />

development plans for the high potential employees. Senior Managers should have regular succession<br />

planning and talent management update meetings with the GEC and the Head of GCHCD.<br />

Group Corporate Human Capital Division (GCHCD)<br />

GCHCD is primarily responsible for administering the Company’s Succession Planning and Talent Management<br />

Programme. Some of the main duties should include:<br />

• Collaborating with the Senior Leadership to develop the Succession Planning and Talent Management<br />

toolkit for use in the Company<br />

• Ensuring that the company’s Performance Appraisal system supports the Succession Planning and Talent<br />

Management Programme<br />

• Tracking and measuring progress of talent management (databases, reports etc.)<br />

• Facilitating talent review meetings with the relevant stakeholders<br />

• Assisting the management in evaluating potential talent<br />

• Providing templates, tools, etc. to assist in the process<br />

30


Managers<br />

Management staff (may include Supervisors/Directors) play a very important role in liaising between the Senior<br />

Leadership and direct support employees. This can include participating in talent review meetings, helping to<br />

identify potential talent, understanding employees’ future career goals and aspirations. Managers can also<br />

ensure effective performance appraisals occur where individual development plans are created to assist<br />

potential talent in developing to the required competency levels for career growth, as well as evaluating<br />

employee performance and progress on individual development plans. Managers should also participate in<br />

talent review meetings with the Senior Leadership to help identify potential talent and update on individual<br />

development plans.<br />

Employees Employees who are interested in their career growth should take ownership of their future by<br />

actively seeking out opportunities for skill and knowledge growth. This can be done by learning about the<br />

critical positions in the Company and having discussions about their interest with their manager. Employees<br />

should feel able to discuss their career aspirations and interests with their manager and develop mutually<br />

agreed on individual development plans as part of the performance appraisal process. Employees should<br />

also seek out professional development opportunities in partnership with their managers/ superiors.<br />

31


5<br />

Appendix<br />

SUCCESSION PLANNING & TALENT MANAGEMENT FRAMEWORK


Appendix of Forms & Templates<br />

No Title Reference Page<br />

1 Approved Critical Positions<br />

2 Position Success Profile<br />

3 Potential Talent Database<br />

4 Successor Readiness Worksheet<br />

5 Succession Plan Matrix<br />

Sucession Planning<br />

Process: Step1:<br />

Identifying the Critical<br />

Positions<br />

Sucession Planning<br />

Process: Step II: Profiling<br />

of Critical Positions<br />

Sucession Planning<br />

Process: Step II: Profiling<br />

of Critical Positions<br />

Sucession Planning<br />

Process: Step Iv:<br />

Creating A Succession<br />

Plan<br />

22<br />

25<br />

28<br />

32<br />

33


For further information refer to:<br />

Group Human Capital Division<br />

Naza World Group<br />

Lot 1, Jalan 51A/221,<br />

Seksyen 51a,<br />

46100 Petaling Jaya,<br />

Selangor, Malaysia<br />

E : info@nazaworld.com.my<br />

T : +603 79532888<br />

F : +603<br />

First version 2016<br />

Published by<br />

Naza World Group Sdn Bhd<br />

Developed by

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