Succession planning is critical for an organization’s long-term health and competitiveness. The average tenure for an executive role is decreasing, even as the number of C-suite positions increases. Organizations need agile pipelines of potential leaders to account for the growing number of C-suite vacancies in an era when economic, technological, and societal disruptions are at all-time highs.
However, too many organizations think about succession planning on a case-by-case basis. Such a narrow focus results in blind spots, inviting bias and strategic misalignment, stifling diversity while inhibiting organizations’ ability to elevate their best talent. By leading with inclusion, organizations can instill equity in the succession planning process, ensuring candidates who best fill organizational needs rise to leadership roles.
Start with Why
Diversity within an organization significantly influences employee engagement and retention. When employees feel represented and included, they are more likely to remain with the company, reducing turnover rates and the associated costs of recruiting and training new hires. Furthermore, diverse teams bring together a variety of perspectives, thus enhancing innovation and productivity.
Effective succession planning should be about cultivating a deep bench of potential leaders. When done correctly, this naturally reflects the available talent pool, so the organization’s leadership composition is in line with the broader workforce and the community in which it’s based. If your leadership and succession plan do not align with this ideal, start by asking why. This kind of questioning can reveal both issues and opportunities.
Build on Objective Requirements
The problem often starts when organizations fail to objectively list and assess the skills required for advancement into a given role. If the requirements for a position are poorly defined or too subjectively measured, that can create confusion about who should be considered for the role.
Additionally, many organizations overemphasize execution skills while neglecting equally important attributes such as the ability to influence others and drive change.
Taken together, these tendencies create three significant succession planning hurdles:
- Candidates lack clarity: Employees need to understand the specific skills or competencies they must demonstrate to advance within the organization. Uncertainty in this area can lead to disengagement among employees and hinder their professional growth.
- Hidden talent gets overlooked: Leaders may unintentionally miss promising candidates if they’re unaware of their accomplishments or if the candidate didn’t rise through a conventional leadership pathway. This can result in a lack of diversity in leadership roles and the loss of potential innovators.
- Leaders are lost: Candidates may be assessed based on their capabilities as individual contributors rather than their potential to lead and inspire others. This approach limits the organization’s ability to cultivate the high-performing leaders of tomorrow.
Psychometric testing and employee feedback/engagement surveys can provide a more well-rounded view of candidate potential. This data-driven approach helps overcome biases and ensures decisions are based on objective criteria rather than subjective impressions or personal connections, creating more equitable opportunities for advancement.
Drive Equity with Data
Creating buy-in starts with being seen as a trusted advisor. When HR is viewed as understanding both the organization and the market, gaining leadership support for equity initiatives becomes easier. Build on that trust by using data to show successes, such as highlighting diverse teams' performance metrics and achievements.
Data is critical to winning over skeptics and keeping matters in perspective. Data decreases emotional decision-making and highlights trends that anecdotes miss. When organizations objectively analyze their leadership demographics in comparison to the overall workforce and community, it becomes impossible to avoid uncomfortable truths and see the potential that might otherwise be missed. The resulting conversations provide an opportunity to initiate formal talent development programs aimed at addressing these disparities and creating more equitable opportunities for advancement.
By focusing on the process rather than the person, organizations can create a more equitable and effective approach to succession planning. In doing so, they not only enhance their leadership pipeline but also build a more inclusive and resilient organization.
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