Succession planning is one of the current HR management priorities especially in large companies. In addition to the economic situation, it is also caused by the estimated demographic evolution resulting in aging workforce and impending shortage of talents for senior positions. Most common errors in succession planning were highlighted in an article on the Canadian HR Reporter website. What are they?
Selection based on performance without taking potential into account
Selecting talents for leadership roles only on the basis of performance measurement is misleading. Current performance should be taken into account equally with future potential. You can use the simple tool of the nine block matrix with three levels of individual performance on the X axis and three levels of leadership potential on the Y axis. A slight lack of performance is generally less important than the same slight lack of potential.
Selection based on current positions
The best candidate for a future leadership role does not always come from the same department or level of your organization. If he has the potential to move into the role, it should be unimportant where he currently sits and who he reports to. Employees with high potential who are two to three levels lower on the career ladder than the given senior leader may be ready to move through specific work assignments, coaching and mentoring.
Neglecting external candidates
Many companies miss internal talent for potential successors especially for top-level leadership. The reasons include lack of opportunities for staff development due to the limited size of the organization, flat organizational structure, downsizing etc. In this case, it pays to consider the involvement of external candidates in succession planning. There is a whole range of possibilities from partnerships with personal agencies, customers and suppliers to cooperating with schools.
Other common mistakes involve succession planning only for the CEO position or underestimating succession planning in family companies.
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