Most Executives Rank Succession Planning Among Top Challenges in the Future
Despite recognition, most companies lack a formal succession planning process, according to the latest report from i4cp
SEATTLE, WA (October 20, 2008) – Succession planning is about much more than just planning, according to the new Succession Planning Highlight Report from the Institute for Corporate Productivity (i4cp). A good succession plan gives careful consideration to a range of issues including transparency, retention, the development of high-potential talent, the dilemmas of internal versus external successors, and the overall management and execution of such plans.
i4cp’s research shows that succession planning is a business consideration that will increase in importance in the coming years, with nearly nine in 10 business professionals saying it will be an extremely important or important issue in the future. The report also found that a significant percentage of 526 executives (75%) ranked succession planning among the top five challenges facing them in 2008 and in the future, followed by developing leadership skills among leaders and recruiting and selecting talent.
“Succession planning is something that needs to be addressed candidly a few times a year. Assessing the skills and competencies in the organization – who you have right now, and who is ready to step up in the event of unplanned attrition or in a crisis – is critical in this environment,” said Jay Jamrog, i4cp’s vice president of research. “Companies often don’t spend the necessary time on this issue, but it’s important to have the discussion, even informally at first, and long term have a formal plan.”
Critical components of succession planning and management that are addressed in the report include these:
· Using technology for succession planning is becoming increasingly more popular in companies and is seen as either critical or very important in addressing the knowledge/skills gaps of the future.
· The actual execution and management of succession plans are major challenges for many companies; most directors don’t think their board is managing their CEO succession plan effectively.
· Poorly managed planning can create internal backlash, and corporate revamping and controlling shareholders can impede succession planning.
i4cp’s Succession Planning Highlight Report is a compilation of original research and market studies representing the definitive collection of the data i4cp has gathered on the subject over the past year. The report, available exclusively to members of i4cp, reflects material currently available online in i4cp’s Succession Planning Knowledge Center. That center covers the current trends, drivers, implications and strategies relating to succession planning. It also puts forward four scenarios on how succession planning may change over the next 10 years.
About i4cp, Inc.
i4cp is the world’s largest private network of corporations focused on improving workforce productivity. Our vendor-free community facilitates innovation by giving our members – among the largest and most respected organizations in the world – access to:
· Peers to spark new ideas and prevent “reinventing the wheel”
· Research to enable members to understand current practices and next practices
· Tools to put ideas and research into action
· Technology to enable members to easily access tailored information and execute workforce strategies.With more than 40 years of experience and the industry’s largest team of human capital analysts, i4cp is the definitive destination for organizations seeking innovative ways to improve workforce productivity. For more information, visit http://www.i4cp.com/ · Technology to enable members to easily access tailored information and execute workforce strategies.