How to create a strong succession plan and why should you use an executive search firm
In this week's Hanover Talent Insights:
?? how and why should you create a succession plan?
? why should you partner with an executive search firm
?? discover guides about menopause at work, hybrid working in 2022, DEI at EXCO level and other free goodies from Hanover
______________________
How to create a strong succession plan
With an ageing workforce such as the one we have today,?succession planning ?is critical. And yet, only?35% of organisations ?have a formal succession planning process in place.
Why? Well, for a few different reasons. One may be because as executive leaders look one or two levels below themselves, they see potential successors who are young and lack experience, and it might be difficult to predict if they’ll be ready to take on a more senior role in the longer term. And because of this, organisations go to the market to find successors rather than promoting internally.
But while you’d certainly be bringing a fresh perspective and new experience into the role, consistently recruiting externally can be counterproductive and harm employee retention. So, what are the challenges and risks of succession planning, and what are the benefits it can bring?
Risks of poor succession planning
Little or no succession planning can have a big impact, both on your people and on your bottom line.
You might find these stats pretty surprising...
______________________
领英推荐
Why Partner with an Executive Search Firm
Do you have an open senior executive role that you need to fill at your company??
Whether your vacant role is the result of an internal move or someone exiting the business, your task is to recruit an executive with equal (if not better) skills than the incumbent - someone who can help take your business to the next level.?
However, the job of recruiting an executive-level candidate is not to be taken lightly. The cost of a bad C-Suite hire can be exorbitant. Not only will it cost you financially, but you will also lose out on time, resources, productivity, and employee morale.
In fact, the?U.S. Department of Labor ?estimates?the average cost for each bad hire to equal 30% or more of the individual’s annual earnings. If you do the math on your senior executive leader's salary, you can easily see the cost of turnover can be quite significant for any company.??
In addition to the high stakes of hiring the wrong candidate, you also need to take into consideration how much time and effort goes into recruiting. Make no mistake -recruiting is a full-time job.??
Your time is probably spent in meetings, strategic planning, governance of the business, delivering on your role, managing your client partnership, and of course, managing your department and direct reports.?
Can you really afford to add another major task to your to-do list??
If you answered no, then your next questions need to be where do you start and why should you use an?executive search partner ?
Let's start by considering your options.??
______________________