Succession Planning Is Easier Than You Think

Succession planning shouldn't be used just for executive positions. Organizations should be developing replacements for anyone whose sudden departure could disrupt the business, a former executive turned consultant told HR professionals on Wednesday at a concurrent session at the SHRM 2018 Annual Conference & Exposition. Those employees could include sales account managers for top clients or operations managers, said Kelly Renz, president and chief executive officer of Novo Group Inc., in Brookfield, Wis. Unfilled and unplanned vacancies cost companies about 50 percent more in lost revenue than the salary for the vacated job itself, according to a 2013 Mercer study she cited. "Succession planning protects the business from unexpected changes that could potentially hurt the business," she said. It can also increase retention of top performers and drive deeper engagement of managers by "owning" talent development, she said. Renz offered the following tips: Start small and build up. Create a proposal including supporting data to show executives how the succession plan will work and how it will benefit the organization. Establish a pilot program; that will allow you to refine the program before it is rolled out to the whole organization, she said. Make it an organization program, not an HR program. Your action plan should be visible, measurable and shared. Define the goal and the data that will be used in your talent program. Refresh formal data at least once a year. Share progress and challenges with leadership quarterly, she advised.