If the CEO or managing partner of your company decided to step down today, would you be prepared for the impact this would have on your employees? Who would step up as the new leader? Who would take over the business growth responsibilities? More importantly, who would be the best source of knowledge to draw from and continue the success of your company? These questions become a reality quickly for established and new businesses alike, and the effects of unexpected turnover can bring your business development plans to a screeching halt.
Succession planning is about having protocol in place for the next leader of a team, department, or company. A good succession plan answers critical questions about who will: handle decision-making for the company, approve budgets and expenses, promote innovation, outline business expectations, and shoulder responsibility for creating profits.
It starts with the current roster of employees. In today’s economy, savvy leaders know it’s time to begin fostering a culture of:
• Talent Retention
• Mentoring and Information Sharing
• Leadership Development
Over the next three months, we will showcase each of these goals in our newsletter (see our white paper for references), in addition to offering sound advice to achieve competency in these areas. The strength of any company depends on how you hire, interact with and reward your employees; a new priority for your executive team. The first and most important measure begins now . . . talent retention.
A Workforce on the Move
In a recent Deloitte survey, full-time and part-time employees and managers were asked if they were on a job hunt . . . the results?
• 49% are actively seeking or planning to seek new employment.
• 45% expect to stay with their current employer.
• 6% said they didn’t know their plans yet.
In the same study, 22% of those ages 30-44 cited “lack of career progress” as the leading cause for their dissatisfaction. Research shows 40% of those respondents will act upon their turnover intentions.