Charlotte Gerstner, Senior Partner and Regional Consulting Director at Korn Ferry, discussed succession management and its impact on today’s organizations during her presentation at the 2015 Human Capital Leadership Forum: Spring Event in San Francisco on March 5. In her presentation, Gerstner pointed out that succession management is currently a major problem for many organizations.

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Succession Matters:
Effective succession management planning.
March 5, 2015

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Korn Ferry

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The Succession Matters global survey.

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• Dissatisfaction with the Status Quo.
• Too much talent “bought” not “built.”
• Succession planning does not go deep enough.
Key findings.

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How do you get there?

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• What kind of leadership talent will you need in the future?
• Which roles are most critical to the success of your company?
• How broad and deep will your succession process go?
Do you know the answers to these questions?

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What is the value of succession management?

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Despite this, not everyone is good at it…
Identification
of successors
Yes Yes Yes
Development
of successors
Little or none
Yes
(Top talent pools)
Yes
(All talent pools)
Managerial
levels
Top one or two Top two or three All levels
Decisions and
analytics
Individual-level analytics to
decide:
• Who is ready right now?
• Is the best talent internal
or external?
Group and Individual
analytics to decide:
• Which leaders should be
successors?
• Are they ready? How do
we develop them?
Enterprise, group, and
individual analytics to decide:
• Where do gaps exist in
talent pools?
• How long will talent gaps
take to fill?
Towards succession management
Replacement planning Succession planning Succession management
Talent
strategy

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Successful execution requires high-performing
talent and culture aligned to strategy.
Growth strategies.
Growth in new
markets
Mergers &
acquisitions
Innovation
Customer
loyalty
Culture
Talent
Execution. Success.

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FOR EXAMPLE
Apply financial acumen.
Drive for results.
Build talent.
Display global perspective.
FOR EXAMPLE
Assertive.
Detail-focused.
Problem-solver.
Innovative/Creative.
Optimistic.
FOR EXAMPLE
Likes managing people and
delegating work.
Willing to relocate.
Enjoys providing strategic
direction.
FOR EXAMPLE
Leadership in complex
organization.
Worked in team, results-oriented,
and structured environment.
Experience in 2-3 functions.
Defining the “whole role” in relation to the
“whole person.”

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Build vs Buy.

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Prioritize the critical roles to address in the
succession management process.
Top leaders in an organization are almost always critical roles that drive strategy.
Examples include:
Executive Committee P&L Leaders The Top 100
How are these roles pivotal?
This can change depending on the organizations strategy.
Create value for the
organization through
synergies across
business units.
Strategy
Top enterprise
leaders.
Pivotal Role
Enterprise leaders can
collaborate across the
matrix, have a systemic
perspective, and adopt a
global mindset.
How?

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Key leadership roles can vary over time because
they are dependent on the organization’s strategy.
Key Leadership Roles
Integration Leadership
Provide leadership to rapidly integrate new capabilities into
the organization while preserving existing client relationships
and revenue streams.
Strategy
Growth through
mergers and
acquisitions.
Supply Chain Leadership
These leaders are responsible for planning and implementing
strategies that will enhance quality and efficiency and drive
cost out of the system.
Strategic cost
management.
R&D Leadership
Implement a product innovation plan that will generate new
solutions for the market.
Growth through product
or service innovation.

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Depth of succession management.

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Depth of succession management.

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Depth of succession management.

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• Define effective leadership for your company strategy.
• Identify roles that add the most value.
• Determine how broad and deep to go with your succession
process.
Key takeaways.

18. Any questions?

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