The document discusses succession planning and competency-based talent management. It provides information on David Snyder's expertise in performance measurement and management. Tools and processes are presented for assessing competencies, conducting performance reviews, and identifying internal talent for succession planning purposes.

1. The Essentials of Succession
Planning
Presented by
David Snyder
Author
How to Mind Read Your Customers and How to Hire a Champion
President, Snyder, Inc.
www.mindread.net
dsnyder@mindread.net

2. Expertise
David Snyder
Author:
How To Hire A Champion
How To Mind Read Your Customers
Expertise in the following areas:
Performance Measurement
Performance Management
Organizational Development
Management Development
Team Communications
Consultancy
2

3. You Can Take These Traits to the Bank
A few validated traits of high
performing customer service
professionals include:
• Positive Service Attitude
• Dependability
• Self Reliance
• Preference for Objective
Measures
• Work Ethic
• Resilience
• Process Focus
• Accommodation and
Sociability
• Acceptance of Diversity
• Energy and Influence

4. Performance Improvement
You can improve company performance through:
Identification and narrowing of performance gaps
human competency assessment
workforce training and development
process improvement strategies, and
human performance measurement
Copyright © Snyder, Inc. 4

5. The Opportunity
Most companies today want to move a performance-based corporate culture.
To accomplish this, most companies are seeking to develop integrated, electronic,
on-line, competency-based processes that will enable improved-
Hiring and Selection
Performance Measurement
Performance management
Talent Assessment
Succession Planning
Training & Development
5

6. Preparation for Success
In order to to do this, you will need these basis processes in place.
In-fill forms and processes as a precursor to an on-line talent management platform
Development and implementation of an on-line talent management platform
Succession planning Strategy
Review the timing and next steps for engagement in “The Opportunity”
In-fill form development implementation
Development and implementation of global, job-level and/or job-specific
competencies
Development and implementation of talent management processes and tools,
including performance measurement and management and succession planning
Development and implementation of training curricula to support talent management
6

7. Hire and Promote Competence
Those who build great companies
understand that the ultimate throttle
on growth for any great company is
not markets, or technology, or
competition, or products. It is one
thing above all others: the ability to
get and keep enough of the right
people.
- Jim Collins, Good to Great
7

8. Impact of Competency
Return on Investment (ROI)
Effective 90% Effective 80% Effective
70% Effective 60% Effective
30
20
ROI Ratio
10
0
-10
-20
0% 10% 20% 30%Turnover 50% 60% 70% 80%
40%
5 Year Cost = $1,000,000
8

9. Correlation Coefficients for Employee
Selection Methods
0.75 – Validated Hiring Process with Competency
Match
0.66 – Interest and Motivation Tests
0.52 – General Ability Tests
0.41 – Integrity Tests
0.38 – General Personality/Behavior Profile Tests
0.26 – Background & Reference Checks
0.18 – Job Experience (years)
0.14 – Interview Only
0.10 – Years of Education
0.00 – Flip a Coin
9

10. Competency-Driven Performance Model
Define Organizational Competencies
Define Job-Level or Job-Specific
Competencies
Employee
Recruitment
Performance Assessment
Employee
Development Plans
Employee
Talent Assessment
Employee
Succession Planning
10

11. Character Trait Assessment
11

12. 360 Assessment
12

13. Team-Based Assessment
Personality Joe Jane Bill Sarah Bob Amy Ave Manager
Energetic 40 65 50 45 65 80 57.5 50
Follows Through 85 90 90 95 35 85 80 90
Optimist 80 65 60 90 85 94 79 85
Resilient 10 59 10 75 45 90 48.1666667 90
Assertive 55 60 50 80 80 96 70.1666667 55
Social 80 5 45 95 45 75 57.5 95
Expressive 20 20 20 5 20 20 17.5 0
Serious-minded 13 80 25 95 30 80 53.8333333 70
Self-Reliant 95 82 29 30 85 35 59.3333333 35
Accomodating 10 25 15 37 25 25 22.8333333 50
Positive About People 50 70 65 80 50 90 67.5 95
Knowledge
Prospecting/Pre-qualifying 45 65 50 45 45 55 50.8333333 50
First Meeting/First Impressions 70 75 64 80 74 70 72.1666667 75
Probing/Presenting 55 45 45 80 65 51 56.8333333 56
Overcoming Objections 75 60 22 70 45 50 53.6666667 80
Influencing/Convincing 50 60 50 50 50 60 53.3333333 60
Closing 44 29 55 60 23 50 43.5 75
Motivation
Recognition/Attention 5 5 20 5 15 5 9.16666667 15
Control 60 59 45 39 49 65 52.8333333 50
Money 30 25 40 5 10 35 24.1666667 5
Freedom 29 20 0 0 15 15 13.1666667 60
Developing 79 55 94 60 75 70 72.1666667 65
Affiliation 25 25 30 95 49 40 44 70
Security/Stability 20 78 75 79 45 20 52.8333333 5
Achievement 75 66 45 45 84 85 66.6666667 65
13

14. Performance Appraisal
14

15. Performance Appraisal
15

16. Performance Appraisal
16

17. Succession Planning
“The process of identifying long-range needs and cultivating
internal talent to meet those future needs. Used to
anticipate the future needs of the organization and assist in
finding, assessing and developing the human capital
necessary to the strategy of the organization.”
(Society for Human Resource Management - HR Glossary of
Terms)
17

18. Replacement Planning vs. Succession Planning
Replacement planning –
Typically focuses on finding “back-ups” who can fill a particular role
Goal is to identify one person who can fill a job when it is vacant
Succession planning –
Broader scope that focuses on each level in the organization
Goal is to identify “talent pool” that can be developed and ready for
the next level roles
Usually considers the change in competencies that might be needed
over time, rather than replicating what the organization has now
18

19. Poll #1
How would you characterize Succession
Planning and Talent Development in Your
Organization?
Reactive, replacement focused
Proactive, develop a pool of talent
Mixed depending upon the position
We don’t have a formal system
19

20. Imperative 1: Link to Business Strategy
Talent Management
Business Strategy
Understand the business strategy
Define the people requirements to support strategy
Competency models provide link between business strategy and talent management
20

21. Imperative 2: Focus on Critical Positions
Determine importance of each role
What value does this role have to the
organization ?
What is the business impact of having a
top performer in this role? Difficult
Critical
What is the cost of mistakes in this
role? Replaceability
Determine ease of replaceability Easy
How easy is this role to fill?
Can you easily train someone to fill this
role?
Low High
Is there a top performer in the role
now? Importance
Is there a successor in place?
21

22. Imperative 3: Take Stock of Current Talent
Understanding the current talent Talent Review Process
pool is essential
A process with multiple voices to evaluate
Do we have unrealized potential? performance and potential
Where are the talent gaps? Process is intended for creating dialogue with
Managers
Competency models expand the discussion
to include all important behaviors in current
role and potential roles
Assessments are a voice in the process, not
deciding factor
22

23. Typical Talent Review Process
Define Competencies
Conduct Assessments
Provide Developmental Conduct Talent
Feedback to all Participants Review Meetings
Develop Individual Develop Organizational
Action Plans w/ Manager Succession Plan
Measure Progress in Revisit Matrix in 6-12 months;
6-12 months; update action plan update placements
23

24. Talent Matrix
Performance
How are they performing in
their current role?
Potential Prepare for
future role
Do his/her innate capabilities
align with the desired
competencies of the future
role?
Has he/she had the right
training and experiences to
prepare for the role?
For those with growth
potential How soon will they be
ready? What should we do to prepare
them?
24

25. Measuring Performance
Evaluate performance in current role
Multiple sources
Observations
Supervisor ratings
Performance appraisals/measures
Needs Meets Exceeds
Categorize each into one of three Expectations
Expectations
performance ranges: Improv
ement
Needs improvement
Meets expectations
Exceeds expectations
Professional growth implications
Performance management
Continued development
Increase responsibilities, promotion, etc.
25

26. Measuring Potential
Measurement of potential is difficult as you can not observe it
Desired competencies often differ in the future role
To make a sound evaluation you should distinguish between current performance and potential
for future roles
High Potential
Growth Potential
Limited Potential
26

27. Possible Measures of Potential
Competency-based Interviews
Identify relevant knowledge and experience
Work Simulations
Provide the opportunity to demonstrate the desired competencies in a simulated environment
Capture the person’s abilities to solve difficult or challenging problems similar to what is
needed in the future role
Relevant Observed Behaviors
Situations or experiences where the person had the opportunity to display a needed
competency in their job, or on a special assignment or task force (for example, team
leadership, negotiation, etc.)
Measure of Innate Tendencies
Personality-based assessments to capture tendencies of the person that they may not have
had the opportunity to display (managing others, visioning, championing change, etc.)
Interests/Motivations
How interested are they in other roles in the organization? What is their motivation to do what
it might take? (i.e., relocate)
27

28. Poll #2
What Sources of Information Do You Have to
Measure Potential of Individuals? (select all
that apply)
None, really
Competency-based Interviews
Work Simulations
Relevant Observed Behaviors
Measure of Personality/Attitudes
Measure of Skills/Abilities
Measure of Interests/Motivations
Other (open ended)
28

29. Case Study
Large, international insurance company with a changing sales role
Step 1: Identify Competencies
For future Sales and Sales Manager roles
Step 2: Preliminary Evaluation
Participants completed ASSESS Personality Survey
Ratings of Performance and Potential gathered in workshops
Synthesize data and made preliminary placement on Talent Matrix
Step 3: Talent Review Meetings/Calibration Discussions
Finalized placements
Step 4: Individual & Organizational Development
29

30. Imperative 4: Target Development
Avoid “sink or swim” approach: Help individuals to grow with the organization by
providing targeted growth opportunities
Begin with self-awareness of strengths and opportunities against
competencies
Benchmark assessments (personality and 360-degree feedback)
Direct development activities based on individual needs and matrix
placement
Involve managers as accountable participants; provide them with tools
and resources to coach their people
Succession management focuses on the supervisor’s daily role in
grooming employees for higher level responsibility. – Dale Carnegie
30

31. Target Development: Talent Matrix
Reassign or
Growth in
Place
Growth in place and
possibly a good
candidate for
Growth in
succession
Place or
Performance
Management
Growth in
Performance Place and
Growth in
Management Revisit
Place
Potential
Later
31

32. Development: Having a Process is Key
Development Programs to start process
Leading Your Career – for individual contributors
Self awareness using benchmark assessment
Development plan
Leading Others & Leading Leaders– for supervisor, middle managers and managers of
managers
Includes above topics in addition to:
Understanding development needs of employees
Giving Feedback
Coaching Others
On-going “real-time” development
On-going feedback and coaching from manager
Informal or formal mentoring, coaching
Job rotation, special assignments
Business Simulations
Traditional educational programs
32

33. Imperative 5: Measure Progress of Efforts
Motivating Others
Creates a climate in which people
want to do their best
33

34. Imperative 6: Measure Performance Impact
Measuring impact on performance completes the talent management cycle
A good performance review process
Not just an annual event; ongoing feedback and development
Meaningful appraisals and feedback
Positions the employee being evaluated as active, accountable participant
Quality employee/manager discussions
Detailed developmental suggestions to support planning
Ties development efforts to performance review process
After performance review cycle, re-visit matrix placements
34

35. Succession Management: Measure Performance Impact
35

36. Succession Planning Metrics
Avoid the HR initiative syndrome. Tie the process to key metrics
Number of internal promotions/placements
Ethnic/gender diversity in promotions
Number of positions with identified successors in place (“bench strength”)
Number of “ready now” candidates for critical positions
Retention of top performers
Short-tem performance impact following promotions
Long-term success rate in performance and promotability
Time to fill for open positions
Manager involvement in development (tie to performance appraisal)
Real success requires choices between two or more qualified people
36

37. Technology Can Help Facilitate the Process
Technology alone is not the sole
answer but technology can
automate some or all of the
process to improve efficiency
and accessibility
Web-enable assessments
Succession planning systems
Performance appraisal systems
First step is to ensure that there
is a quality process,
measurement tools in place, and
a qualitative calibration
discussion.
37

38. Best Practice Succession Planning Checklist
Defined Target
Easy to Use Process – uncomplicated, unified, scalable
Quality Performance Measures
Quality Potential Measures
Calibration Discussions rather than “score”
Development-oriented vs. Placement-oriented
Encourage Involvement vs. “Secret” Process
Measure Impact on Performance
Reiterative process
Metrics for Success
38

39. Target Development: Conclusion
Succession Planning should start with
business strategy and an understanding of
critical roles
Competency models can serve as the
foundation for Succession Planning
Talent Review is a process that requires
thoughtful participation of leaders; there is no
magic score
Development plans should be tailored based
on individual placement on the Talent Matrix
Not everyone has to be promoted to grow; not
everyone has to be promotable to add value
Measuring impact on performance helps
create a continual cycle of development
39

40. David Snyder Biography
Author of the critically acclaimed books, How To
Mind Read Your Customers, and How to Hire a
Champion, David Snyder works with clients
nationwide in the implementation of employee
assessment, development and selection models
across many industries. His specialty is
competency-based management assessment
and organizational alignment. He is considered
a national thought leader in using a
competency-based approach to building and
developing stronger teams.
www.mindread.net
dsnyder@mindread.net