Transcript Applied Strategic Thinking

Organizations that will thrive in
America’s future are those that are best
equipped and able to attract, develop,
and retain their most valuable assets –
their employees.
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Objectives
 Answer the “why” is succession planning
important question
 Identify the components of succession
planning
 Identify the barriers to succession planning
and ways to resolve these
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Talent Management
• Assessment and Performance Feedback
• Assess the requirements of the position, assess candidates
• Provide on-going feedback and coaching
• Leadership Development
• Uses current leaders to teach candidates
• Build relationship with executives
• Use Action Learning – solve current challenges
• Customize training
• Succession Planning (Management Development)
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Succession Planning Answers
This Question
“If something happened to a key
person in your organization, what
would you do?”
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What is Succession Planning?
Succession Planning (bench strength)
• Holistic system that targets in on mission critical
positions
• Ensures that talent is identified, developed, and
coached
• Opportunities to interact with executives
• Available, and ready to step into leadership roles
when the need arises.
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Why is Succession Planning
Important?
• Critical for the success of the business
• Estimated 75 million US baby boomers will become
eligible to retire this year
• Talent to replace these boomers will come from the
next generation of only 45 million available workers
• Global companies and global competition
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Does your organization have a
formal succession plan in
place?
1. Yes, my organization does.
2. No, my organization has an informal succession plan
or process.
3. No, but my organization intends to develop a plan in
the future.
4. No, and my organization has no intentions to
develop a plan.
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Does your organization have a
formal succession plan in
place?
2006
2011
(n = 385)
(n = 426)
Yes
29%
23%
No, my organization has an informal succession
plan or process
29%
38%
No, but my organization intends to develop a
plan in the near future
26%
22%
No, and my organization has no intentions to
develop a plan
16%
17%
2011 SHRM Poll: Succession Planning
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What is the primary reason your
organization has not developed a
formal succession plan?
1. More immediate organization requests take
precedence.
2. My organization has not yet given it consideration.
3. The leadership team feels there is not value (or
need) in developing a plan.
4. Lack of staff/financial resources.
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What is the primary reason your
organization has not developed a
formal succession plan?
43% - More immediate organization requests take
precedent.
24% - Lack of staff/financial resources.
16% - My organization has not yet given it consideration.
13% - The leadership team feels there is not value (or
need) in developing a plan.
2011 SHRM Poll: Succession Planning
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Assumptions that No Longer
Apply
•
Supply – Plenty of people in the pipeline from
which to choose.
•
Loyalty – Assumption that the people being
groomed were going to remain with the
company in the interim.
•
Time – Plenty of time to develop successors.
•
Status Quo – Positions with stay the same.
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New Assumptions that Now
Apply
•
Question Your Supply Line – Don’t assume that
the people in the pipeline will be there or will
have the ability when the time comes.
•
Be Aware of Transience – Assume that the
people may not remain with the company in the
interim.
•
Time is in Short Supply – Fast changing pace
of today’s organizations.
•
Replacements May Look Different –
Different criteria.
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Succession Planning - Importance
•
Business continuity
•
Development & retention
•
Creates a powerful differentiator – becomes
part of the employer’s brand
•
Companies known for developing their
employees show significant bottom-line
advantages, including reduced costs associated
with turnover & executive recruitment
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Video Overview
•
•
•
•
•
Hosted by Wayne Cascio,
Ph.D.
SHRM Foundation’s DVD
Program
Filmed at 3M
Headquarters, St. Paul,
MN
Comprehensive interviews
Officers, Managers, and
Employees
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Discussion
Questions
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Identify Leadership Attributes
Most Important
•
Thinks from outside in
•
Drives innovation and growth
•
Develops, teaches, and engages others
•
Makes courageous decisions
•
Leads with energy, passion, and urgency
•
Lives 3M values
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In Leadership Development,
what is most successful in
helping leaders develop?
•
Leaders teaching leaders
•
Focus on business needs
•
Build relationships with
executives
•
Use action learning
•
Customized development
and training
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How does coaching help identify
and prepare up-andcoming leaders?
•
Coaching the people
•
Coaching colleagues and
peers
•
Upward coaching
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How does “Action
Learning” help 3M
identify future leaders?
•
Small projects
•
Freedom to succeed
•
Presentation of findings
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How does innovation affect
leadership development and
succession planning?
•
Allows ideas to bubble-up
•
Allow people to be themselves
•
Innovative employees are often
strong leaders
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How does an organization
incorporate its strategy into the
succession planning process?
•
Align key management
roles with elements of the
organization’s strategy
•
Focus on those jobs that
are directly related to the
long-term strategy of the
company
•
Avoid diluting the process
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What are the key objectives of
human capital planning as they
pertain to succession planning?
•
Align knowledge, skills, and abilities with strategy
•
Identify talent earlier and deeper
•
Leverage talent
•
Drive diversity
•
Balance internal development and outside hiring
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What are some barriers to
succession planning that an
organization may encounter?
•
Managers lacking time and
effort
•
Differences in operating
procedures among business
divisions
•
Managers hoarding star
employees
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According to 3M, what is an
innovative company’s most
important asset?
•
Find the right people
•
Set them in the right
direction
•
Lead them to success
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Six Important Lessons
1. Begin with commitment from the top
2. Identify and communicate a common set of
3.
4.
5.
6.
leadership attributes
Provide customized, relevant development
Use candid, comprehensive performance reviews
Keep to a regular schedule for performance
reviews and identification of talent pools
Link all decisions about talent to the long-term
strategy of the organization
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Succession Development Program
• One-year commitment
• Identify attributes needed and what they will look like
• Partner with vendor to co-design and develop the
curriculum
• Various delivery methods:
• Pre-work
• Classroom training
• Personal coaching
• Distance learning
• Learning teams
• Capstone project
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Thank You!
Cindy Allen-Stuckey
Making Performance Matter
(812) 343-4366
www.makingperformancematter.com
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