In the day-to-day aspects of a manager’s duties, succession planning often gets lost in the shuffle. While other responsibilities, like coaching job performance and focusing on productivity, are afforded a lot of attention and training effort, succession planning isn’t usually thought about until it’s actually needed.
But, the fact is leaders move on from time to time. When this happens, it’s crucial to have a qualified replacement waiting in the wings and ready to take on the new role. So, are you in dire need of succession planning training for your company?
7 Signs Your Managers Need Succession Planning Training
Management training on how to create and enact succession plans is key to achieving continuity in your company and stability for future leaders. There are a number of signs that could indicate your managers need succession planning training:
- Your retention rates are low.
- You’re making numerous outside hires.
- Employees stay for only a short time.
- Hiring new employees is a slow process.
- Your promoted employees struggle with new positions.
- Employee happiness is low.
- You don’t have any form of succession plan in place.
Why Succession Planning Is Essential For Your Team
It pinpoints future leaders.
You want your company to have a stable future, and that means identifying bright and talented leaders among your current workforce and preparing them for the possibility of promotion.
When your managers learn how to integrate succession planning into their regular workload, it becomes a part of the company culture. Then, your leaders are constantly on the lookout for promising talent in their team members. With succession planning training, your managers become equipped to recognize valuable employees and nurture them appropriately.
It saves you money.
While the direct benefits of succession planning may be obvious – like identifying talent and ensuring stability – this training also has an indirect yet impactful benefit for your bottom line: the money saved on having to recruit and onboard new employees.
Hiring new people is one of the biggest disruptions to your productivity. Time lost in searching for and training an employee often slows down your managers and other team members.
Also, consider that external hires usually make about 16% more in pay than internally promoted employees, but they are 61% more likely to get fired from their new jobs than internal candidates. By focusing on the winning talent you’ve already invested in, you bolster the team’s chances of succeeding – even in the event of a leadership change.
It sends a positive message and reinforces retention.
When people see that other employees have followed an upward path at your company, they’ll be encouraged to seek a future there, too.
Succession planning sends the message that your company is stable and there is opportunity for employee mobility and growth. If your entry and mid-level employees feel like they’re being prepared to move up in your company, they’re less likely to look for new positions elsewhere.
It creates stability.
Arguably the most important benefit of succession planning is the stability it fosters within your company. When a high-level employee leaves, other team members may feel uncomfortable about the future of the organization or the impending changes.
With a succession plan in place, however, you’re prepared to stabilize the transition. You eliminate the competency gap of a new hire, and you have the next leader ready and available to take on a new role.
Learn even more about the importance of effective succession planning by downloading our free e-book.