Ultimate Performance: Measuring Human Resources at Work

Demand Side = Succession Planning

For most businesses, succession planning is an exercise reserved for the CEO and other C-level positions. Current best practices in the most expansive organizations have extended the planning process further down the management structure—senior management first, then through the organization levels two or three reporting levels, capturing more of the long-term planning needs for management in the organization. Measurement within succession planning has been virtually nonexistent. Having a plan in place, with buy-in from directors, was sufficient for Human Resources management to the executive level.

Depending on your organization’s attitudes toward succession, succession planning could mean several things (Burke 2002). In order of level of effort, succession planning could mean the things shown in Table 10.3.

Table 10.3.

Replacement Management	Forecasting replacements and/or retirements. This has special urgency starting in 2008 with baby boomer retirement.
Succession Planning	Forecasting and staff development for the top areas.
Succession Management	Forecasting and staff development for all business areas.

Admittedly, the idea of succession management may cross over into areas of workforce planning, learning, and development. However, the planning aspects of succession management cut to the heart of critical questions enabling a company to sustain and grow a competitive advantage. Among the questions to be addressed are:

•	What positions have the greatest ...