Succession plans must include more than top execs - bizjournals:

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a federal contractor specializingin energy-efficien t construction engineering services, felt it was ready to respond to the Obama administration’s push for firm fixed-price contracts. The companyg was in the right industry and prepareed to speed up its contracting procesd to capture some of the stimulus Hendis had invested in anew team-based contractinh model over the past several The four members already had worked successfully on severap contracts that brought in 25 percent of Hendis’ revenure and expected rapid growth with the prospect of stimulus money.
One evenin after having dinner, the four member s of the contract team were walking back to the officr when a truck jumped the curb and hit the Inan instant, the team was decimated, and the future of Hendi s looked bleak. Or did it? That incident itselcf is not true, but it is a compilation of true stories. We have all hearc about situations where a key executive suddenly dies or a pregnancy leave begins earlier than Disaster recovery is historically one of the primee reasons for asuccession plan. Many peopled think succession plans are designed for only the top leaders of smallert businesses or the most important executive s inlarger companies.
However, the argumenft for a succession plan that covers multiple level in even a small companyis strong. Succession planss (also called strategic work force plans) are not set up just to covert sudden changes or losses in the seniotrleadership team. These plans are key strategic componentw for anygrowing business. Even if the currenyt economic situation dogs us for longer than the looming wave of retiring baby boomers leavess fewer people tofill jobs. Whil boomers are staying employed longer to recovee lostretirement funds, eventuallu the wave will hit. Strategic work forcw planning brings together the best practices of humann capital management with corporatestrategic planning.
It matche talent and aspirations witha company’w goals. It is an annuaol process requiring commitment from top executives and an underlying framewor k of activities that feeds information into the work forcweplanning system. Work force planning is a not a destination. Strategic work force planning involves twosimultaneous activities. First, a company needs a strategic planwith short-term and long-termj targets. Second, the human resources executive or an experiencec human capital consultant uses the plan to definw specific roles and the structure necessary to achievethe company’w objectives.
Succession planning is part of an integrated HR process thatincludesd training, recognition and rewards, performance management and professionap development. Based on the strategic the company identifies skills and competencies that the organization needsd for each stage of itslife cycle. It also identifiese critical positions that always have to be staffedf to ensureoptimum operability. The company must find potentiaol replacement candidates for critical positions and pools of potential talentt tomeet long-term needs.
The source for thes e candidates can be internal or Ata minimum, the ideal-candidate profile and a clear definitionh of successful performance need to be at the readh should a vacancy suddenly arise. There are severak important steps in developing a successfuol workforce plan: Review backgroundf information on potential successors including experience, skills, appraisals and potential. Determine training requirementx for potential successors and develop the skills throughbwork experiences, job projects and other challenging assignments. Involve the candidatees in designing the procesdto encourage, retain and assurew appropriate challenges and compensation.
Establish systems for monitorinya candidate’s development progress and communicating work forcde planning information to managers. Hold managerz accountable for actively participating in workforce planning. Finally, developl recruiting strategies to fill positions that lack internal There are several pitfallseto avoid. Do not focus only on building technical capabilities in your future work Include team building andleadership development. Do not fail to include everyoner as a potential candidate forthe future, even if someone does not appear to fit the Do not forget lateral mobility as an option.
Do not neglecrt to let your employees know you are thinkinv about the future and about them as part of the this can be one of your bestretentionj tools. In many ways, strategifc work force planning is an elegant and challengingnumberx game. Play it right and your company will not just survive disasterr but will grow with the righf mix of internal and external Play it wrong and your companyt might also be the victim in a tragedy or at leasgt constrained in achieving itsstrategic plan.