succession planning overview l.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
Succession Planning Overview PowerPoint Presentation
Download Presentation
Succession Planning Overview

Loading in 2 Seconds...

play fullscreen
1 / 60

Succession Planning Overview - PowerPoint PPT Presentation


  • 174 Views
  • Uploaded on

C O M P E T I T I V E A D V A N T A G E. R E A L I Z E D. Succession Planning Overview. STATE ACTION FOR EDUCATION LEADERSHIP PROJECT Succession Planning Conference March 11, 2005 Delaware Technical & Community College Loren Appelbaum Senior Consultant

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Succession Planning Overview' - isha


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
succession planning overview

C O M P E T I T I V E A D V A N T A G E. R E A L I Z E D.

Succession Planning Overview

STATE ACTION FOR EDUCATION LEADERSHIP PROJECT

Succession Planning Conference

March 11, 2005

Delaware Technical & Community College

Loren Appelbaum

Senior Consultant

Development Dimensions International, Inc.

slide2

Outline for discussion

  • Organizational Context/Need
  • Transitional Challenges & Roles
  • The Success Profile
  • Framework for Succession Planning
  • Identifying Potential
  • Diagnosing Strengths and Development Needs
  • Development Planning
  • Key Decisions
  • Realizing results
trends in leadership succession planning
Trends in Leadership Succession Planning
  • Accelerated development of highest potentials, vs. replacement planning
  • Accountability at senior leadership levels, vs. HR

(not a spectator sport)

  • Drive toward talent acquisition, development integrated into overall talent management approach
  • Holistic approach (success profiles)
  • Stronger focus on identifying highest potentials against relevant, objective criteria
  • Earlier identification of talent for longer term growth, development, succession
  • Board level interest in leadership development
  • Sarbanes-Oxley influence
  • Need for efficiencies in leadership assessment and delivery; leveraging use of technology
david whitman chairman president ceo whirlpool corporation

“The thing that wakes me up in the middle of the night is not what might happen to the economy or what our competitors might do next, it is worrying about whether we have the leadership capability and talent to implement our global strategies.”

David Whitman, Chairman/President/CEO, Whirlpool Corporation

increasing failure decreasing confidence
Two thirds of all major companies worldwide have replaced their CEO at least once since 1995.

- Drake Beam Morin Inc.

Increasing Failure—Decreasing Confidence

Four in ten leaders fail within the first 18 months on the job.

- Manchester Consulting

readiness
Readiness

75% of companies worldwide are not confident in their ability to fill strategic leadership positions over the next five years.

conference board study developing business leaders for 2010
Conference Board StudyDeveloping Business Leaders for 2010
  • Exponentially heightened senior leadership requirements
    • Influence/communication
    • Extraordinary strategic thinking
    • Tolerance for ambiguity
    • Talent Development
  • Need to identify potential– “The hard part”
    • Only 34% report effective practices
    • Accuracy essential, but the “hows” are elusive
slide8

Risk of Derailment

Among approximately 6,000 respondents, 2/3 reported that their current leader displays behaviors that could derail his/her career.

- Development Dimensions International, 2001

slide9

Organizational Readiness

68% of organizations surveyed report that they are not prepared to deal with the leadership crisis.

- Development Dimensions International, 2001

leadership development and succession planning is a top priority
Leadership Development and Succession Planning is a Top Priority
  • Top 5 management issues; up 25%

(700 Global Executives, Conference Board, 2002)

  • 78%: Most Important/Top 5 Business Success Factors

(950 Executives, CEO Magazine/CCL, 2002)

  • 91%: Top Enabler for Business Growth

(Global CEOs, Conference Board, 2002)

  • 47%: Major Business Priority

(150 Global Corporations, Conference Board/DDI, 2002)

when it s working
When it’s working…

Work groups with strong leaders are 37% more likely to outperform other work groups, and are more satisfied, engaged, and loyal.

- Leadership Forecast Study, DDI, 2003

slide12

Implications

Now more than ever, business conditions dictate that leaders who are less prepared for senior leadership will be placed into senior leadership roles.

To avoid leadership failure and its effects, organizations will need systems, processes, and tools which prepare these leaders to manage the challenges they will soon face.

talent optimization approach

V I S I O N

Strategic Priorities

Cultural Priorities

Leadership Imperatives

Success

Profile

Capacity

Needs

ENSUREREADINESS

Identify

Potential

INVENTORYTALENT

Accelerate

Development

Focus/Drive

Performance

Assess

Readiness

Select/Deploy

Talent

Talent Optimization Approach

Business

Landscape

Talent

Needed

Game

Plan

Insurance

Policy

Communication Accountability Skill Alignment Measurement

transitional challenges faced when moving into senior leadership roles
Transitional challenges faced when moving into senior leadership roles
  • Span of Influence
  • Tactical Control
  • Consequences of Failure
  • Business Scope
  • Visibility
  • Constituents
span of influence
Span of Influence

FROM

  • Single team/ function management
  • Small-group communications

TO

  • Multiple team/ function management
  • Large, multi-group communications

Common Reactions:

  • Unclear expectations, strategic confusion
  • Slow to build partnerships, alliances
  • Difficulty navigating political environment
tactical control
Tactical Control

FROM

  • Involvement in day-to-day operations
  • Direct impact on group outputs

TO

  • Detachment from day-to-day operations
  • Indirect impact on group outputs

Common Reactions:

  • Reluctance to delegate
  • Desire for personal recognition for group success
  • Do-it-yourself solutions
consequences of failure
Consequences of Failure

FROM

  • Limited-scale consequences
  • Unit-specific countermeasures

TO

  • Large-scale consequences
  • Organization-wide countermeasures

Common Reactions:

  • More personal stress
  • Unrealistic demands
  • Negative outlook
business scope
Business Scope

FROM

  • Basic unit responsibility
  • Limited number of inputs/ variables

TO

  • Organization-wide accountability
  • Broader business judgment needed
  • Many variables

Common Reactions:

  • Financial “cramming”
  • Overemphasis on financial variables
  • Poor business judgments
visibility
Visibility

FROM

  • Limited visibility
  • Derailers disguised
  • Less cultural impact

TO

  • Wide visibility
  • Derailers visible
  • Greater cultural influence – derailers mimicked by many

Common Reactions:

  • Cultural damage; propagation of derailers
  • Unwanted turnover
  • Executive failure
constituents
Constituents

FROM

  • Focus on team/ small group
  • Objectives set by supervisor

TO

  • Focus on broader organization
  • Objectives self-imposed

Common Reactions:

  • Narrow focus; lack organization-wide vision
  • Organizational stagnation, lack of progress
leadership succession planning requires
Leadership Succession Planning Requires…
  • A pipeline of talent with the necessary skills and experiences to meet these challenges
  • Leaders who can effectively execute key roles required at senior leadership levels
  • Identification and alignment on a leadership success profile driven by the organization’s strategy and future direction
talent optimization approach25

V I S I O N

Business

Landscape

Strategic Priorities

Cultural Priorities

Leadership Imperatives

Success

Profile

Talent

Needed

Capacity

Needs

ENSUREREADINESS

Identify

Potential

INVENTORYTALENT

Game

Plan

Accelerate

Development

Focus/Drive

Performance

Assess

Readiness

Select/Deploy

Talent

Insurance

Policy

Communication Accountability Skill Alignment Measurement

Talent Optimization Approach
a leadership success profile needs to consider the whole person

PERFORMANCE

EXPERIENCE

COMPETENCIES

What I am capable of

PERSONALATTRIBUTES

What I have done

Who I am

KNOWLEDGE

What I know

A Leadership Success Profile Needs to Consider the Whole Person
competencies examples what one is capable of
Competencies (Examples)(What one is capable of)
  • Applied Learning
  • Business Acumen
  • Gaining Commitment
  • Coaching/Teaching
  • Communicating with Impact
  • Initiating Action
  • Developing Strategic Relationships
  • Empowerment/Delegation
  • Establishing Strategic Direction
  • Learning Orientation
job experiences what one has done
Job Experiences (What one has done)
  • Operate in a high-pressure or high-visibility situation
  • Implement an organizational-wide change
  • Develop and implement a plan to cut costs
  • Involvement with negotiating labor agreements, contracts
  • Become heavily involved with a strategic alliance, or partnership opportunity
  • Negotiate agreements with external organizations
  • Manage a downsizing
organizational knowledge what one knows
Organizational Knowledge (What one knows)
  • Functions
  • Processes (R&D, budgeting, selection etc.)
  • Systems
  • Services
personal attributes enablers who one is
Personal Attributes/Enablers (Who one is)
  • Adjustment
  • Ambition
  • Sociability
  • Interpersonal Sensitivity
  • Prudence
  • Inquisitiveness
  • Learning Orientation
personal attributes derailers who one is
Personal Attributes/Derailers (Who one is)
  • Approval Dependent
  • Argumentative (Defensive)
  • Arrogant
  • Attention Seeking (Self-Promoting)
  • Avoidant
  • Eccentric
  • Imperceptive
  • Impulsive
  • Perfectionistic (Micromanager)
  • Risk Averse
  • Volatile
leadership failure
Leadership Failure…
  • What do you think is the greatest cause of senior leadership failure?
    • Lack of knowledge (didn’t know enough)?
    • Lack of experience (never tried before)?
    • Skills/competency deficiencies (not enough practice)?
    • Personal attributes/derailers (not cut out for it)?
slide34

Leadership

Success

Leadership

Failure

Factors

Didn’t know enough

Never tried before

Not enough practice

Not cut out for it

What I know

What I have done

What I can do

Who I am

Knowledge

Experience

Competencies

Personal

Attributes

implications for succession planning
Implications for Succession Planning
  • Developing and gaining alignment on the right success profile is critical
  • Leadership challenges and roles need to be addressed in development planning
  • The approach needs to provide highest ROI
slide36

Prescribing Solutions

Ensuring Development

Reviewing Progress

Identifying Potential

Diagnosing Dev’t Needs

Success Profile

Building Leadership Succession Planning Approach

Acceleration Pools

Planning

succession management approach
Succession Management Approach

Clarify Terms: Replacement Pools vs. Succession Planning

  • Replacement: Can fill a specific position “tomorrow”
  • Succession: Developing people for target levels who could fill a variety of positions
traditional approach to succession
Traditional approach to succession

Traditional

Replacement

Planning

Function A

Function B

Function C

succession planning approach using acceleration pools
Succession Planning Approach (using Acceleration Pools)

Organization Need A

Organization Need B

Organization Need C

Acceleration Pool

slide40

Acceleration Pools

A Subset of People Being Identified for Accelerated Development

Senior Leaders

Middle Leaders

First-level Leaders

Individual Contributors

40

leadership potential factors
Leadership Potential Factors*

S U S T A I N E D P E R F O R M A N C E+

Leadership Promise

  • Propensity to Lead
  • Brings Out the Best in People
  • Authenticity

Balance of Values and Results(Org. specific, future focused)

  • Culture Fit
  • Passion for Results

Personal Development Orientation

  • Receptivity to Feedback
  • Learning Agility

Mastery of Complexity

  • Adaptability
  • Conceptual Thinking
  • Navigates Ambiguity

*Research Foundation

Bray & Howard, DDI, McCall et al, Personality Based Research, Collins, Hogan & Hogan, etc.

diagnosis targets
Diagnosis Targets

CURRENT JOB

PERFORMANCE

PAST

EXPERIENCES

JOB FIT

PERSONAL

ATTRIBUTES

BEHAVIOR IN

FUTURE-FOCUSED

SITUATIONS

diagnostic tools
Diagnostic Tools

Behavioral

Interviews & Career

Profiles

Multi-rater surveys

Performance reviews

JOB FIT

Inventories

& Tests

Assessment

Centers

development realization
Development Realization…

What percentage of leaders do you think actually change their behavior after their organization implements a leadership development program?

development planning
Development Planning

“The Best Lessons are Those of Experience”

  • Based on Diagnostic Assessment and In Depth Feedback
  • Senior Leader Oversight
  • Supervisor, mentor involvement
  • Ideally, Linked to all Success Profile Factors (experience, competencies, knowledge, derailers)
  • Driven by Strategic organizational needs
best development strategy
Best Development Strategy?

Development Priorities (What)

  • Job Challenges
  • Competencies
  • Organizational Knowledge
  • Executive Derailers

Development Strategies (How)

  • Job or task force assignment
  • Training; Internships
  • Short-term experiences
  • Professional coaching
closing the development learning gap

Job Success

Job Failure

What I know

What I’ve done

What I can do

Who I am

Didn’t know enough

Never tried before

Not enough practice

Not cut out for it

Closing the Development – Learning Gap

Success Profile – Whole Person View

Targeting a Development Strategy

Knowledge

Experience

Competencies

Personal

Attributes

Short-Term Experience, Job Challenges

Job/Task Force Assignments, Training

Formal Training, Coaching

Professional Coaching

developmental support
Developmental Support
  • Supervisor, mentor and pool member:
    • Plan development actions
      • How the skill/knowledge will be obtained
      • Application of the skill/knowledge
      • Measurement of success of application
    • Determine additional development areas and appropriate development actions
  • Supervisor and mentor provide coaching and support, monitor personal and retention issues
  • Proof of development = successful applications
prescribing development solutions
Prescribing Development Solutions
  • Review diagnostic assessment data with key stakeholders
  • Development priorities, plans determined
  • Individuals matched to assignments
  • Sponsors assigned
  • Follow-up plans established
key decisions
Key Decisions
  • Success Profile
    • What are the key Experiences and Knowledge important for success at the Target level positions?
    • What Competencies will be used? Existing model? Create new?
    • Use of executive derailers?
  • Diagnosing Development Needs
    • What diagnostic tools will be used?
      • Assessment simulations?
      • Tests?
      • Interviews?
      • 360s?
key decisions cont
Key Decisions (cont.)
  • Acceleration Pools
    • Number of acceleration pools?
    • Number of acceleration pool members?
    • Target level for pools?
  • Nomination Process, Criteria
    • How will the nomination process be conducted?
    • What are the nomination criteria?
key decisions cont57
Key Decisions (cont.)
  • Development Planning
    • Who will oversee it?
    • Use of mentors, sponsors?
    • Role of experiences vs. training??
    • Leadership coaching?
key decisions cont58
Key Decisions (cont.)
  • Communication Issues
    • Key messages?
    • Target Audiences?
realizing results 5 components
Realizing Results – 5 Components
  • Alignment
    • Selection
    • Development
    • Performance Management
  • Measurement
    • Participant reactions
    • % of “Ready Now” for senior roles
    • Retention of talent
    • Ratio of internal/external hires
    • Success rates of new incumbents
    • Diversity
    • Time to fill key positions

Communication

  • Key audiences
  • Key messages

Accountability

  • Senior champion(s)
  • Operation leader(s)
  • Roles & deliverables

Skill

  • Leaders
  • Sponsors/Mentors
  • Managers