What are the benefits and challenges of using internal vs external candidates for succession planning?

1 Internal candidates

Internal candidates are those who are already working in your organization and have the potential to move up the ladder or take on new responsibilities. They have the advantage of being familiar with your vision, values, and processes, as well as having established relationships and trust with your stakeholders. They also tend to be more loyal, motivated, and committed to your organization, as they see a clear career path and growth opportunities. However, internal candidates also have some drawbacks. They may lack the skills, experience, or perspective that you need for a specific role, especially if it requires a significant change or innovation. They may also face resistance or resentment from their peers or managers, who may feel threatened or overlooked by their promotion. Moreover, relying too much on internal candidates may limit your talent pool and diversity, as well as create gaps in your current teams.

3 Balancing internal and external candidates

When it comes to succession planning, both internal and external candidates have their benefits and challenges. To make the most of both options, it is important to assess your current and future talent needs and gaps, and align them with your organizational vision, mission, and objectives. This will help you determine the skills, competencies, and behaviors you are looking for in your successors. Additionally, create a talent pipeline and a succession plan that identifies and develops your high-potential internal candidates, as well as sources and attracts your ideal external candidates. It is also important to communicate and engage with your internal and external candidates throughout the succession planning process, and provide them with feedback, support, and recognition. Finally, evaluate and monitor the performance and impact of your internal and external candidates, and adjust your succession plan accordingly. This will help you measure the effectiveness and outcomes of your succession planning strategy. Succession planning is an ongoing process that requires careful planning, execution, and evaluation. By balancing internal and external candidates, you can ensure that you have the best talent for your key roles and are prepared for any change or challenge that may arise in the future.