This document discusses the CEO's role in succession planning and outlines the process in three stages: early, middle, and late. In the early stage, the CEO works with the board to identify an emergency successor and develop a skills profile for future CEOs. As the expected succession date approaches, the board becomes more involved in assessing internal and external candidates while the CEO continues mentoring potential successors. In the final stage, the board takes full responsibility for selecting the new CEO from finalist candidates. Effective succession planning requires managing the dynamic between the CEO and board over time.
The document discusses the seven deadly sins of talent management that can undermine an organization's ability to develop and retain top talent. The sins are: 1) Inept assessment, where managers fail to differentiate great talent from good; 2) Loose accountability, with underestimation of future leadership needs; 3) Tolerating protectionism that limits development across units; 4) Playing it too safe without challenging emerging leaders; 5) Settling for just good enough talent; 6) Failure to reinvent talent processes to fit the unique culture; and 7) Creating "credenza-ware" by treating talent reviews as annual events rather than ongoing processes. The article provides symptoms and solutions for addressing each sin.
This document discusses key findings from a survey about engaging the global workforce. The main points are:
1) Business leaders recognize the importance of employee engagement but HR needs to take a more strategic role and demonstrate ROI.
2) Employee recognition improves engagement, which increases retention, productivity and company performance.
3) Developing a universal recognition platform for global companies is difficult due to differences in cultures and locations.
4) CFOs are often not aware of how much companies spend on recognition programs, and HR and Finance need to work more closely together.
5) The CTO and CFO should collaborate to develop engagement strategies, but currently only about half of companies report this level of cooperation between
The document summarizes key findings from the 15th Annual Global CEO Survey conducted by PwC. It discusses declining confidence in the global economy among CEOs. While confidence in their own companies' growth prospects is higher, no CEOs are "very confident" about 12-month revenue growth. CEOs are focusing on adapting their operations to local markets, addressing risks from greater integration, and making talent a strategic priority to overcome execution challenges and position for longer-term growth.
This document contains 3 articles:
1. The first article discusses how effective talent management can boost company performance and shares that managing talent is crucial during a merger period. It emphasizes that all leaders must develop people and HR has a strategic role to play in mergers.
2. The second article by Maurizio Zollo discusses how post-acquisition talent retention is one of the hardest parts of an acquisition. It is like a huge hiring exercise without proper evaluations. The best talent may leave first. Acquirers must communicate frequently, show goodwill, leverage successes, and focus on collective performance.
3. The third article interviews Christian Merle about his experience merging 3 Italian banks of different origins. It
Unlocking The Potential Of Frontline Mgrs Exec Briefing Sbpmother55
This document outlines six keys to unlocking the potential of frontline managers. The six keys are: 1) Identify employees with the capability and interest to be good managers. 2) Help managers understand their team's goals and roles. 3) Help managers understand the people they manage. 4) Help managers understand themselves and how they impact their people. 5) Don't assume managers know how or when to coach. 6) Minimize administrative work to give managers more time to develop people. The document emphasizes the importance of self-awareness, communication, and development for both managers and the people they manage.
How to Avoid the Seven Biggest Team Building Blundersassessmentedge
The document provides advice on how to avoid seven common mistakes when building and managing high-performing teams. It discusses each mistake in turn: 1) Failure to build support for the team with stakeholders at different levels in the organization. 2) Failure to establish clear conditions for team effectiveness such as goals, roles, and resources. 3) Failure to establish a meaningful performance goal that the team is working towards. 4) Lack of a clear decision-making process. 5) Failure to establish norms for how the team will work together and make decisions. 6) Weak communication channels between team members and stakeholders. 7) Insensitivity to diversity among team members. For each issue, it provides recommendations on how to establish the right conditions
The document discusses how traditional talent management frameworks focus more on succession planning and metrics than meaningful career conversations, and proposes alternative approaches centered around in-depth discussions using a "Four Cs" model of credibility, capability, character, and career management to better understand individuals' strengths and development needs. It also examines questions around who should conduct talent assessments and how the information can be best used to inform decisions and action planning.
The document discusses the seven deadly sins of talent management that can undermine an organization's ability to develop and retain top talent. The sins are: 1) Inept assessment, where managers fail to differentiate great talent from good; 2) Loose accountability, with underestimation of future leadership needs; 3) Tolerating protectionism that limits development across units; 4) Playing it too safe without challenging emerging leaders; 5) Settling for just good enough talent; 6) Failure to reinvent talent processes to fit the unique culture; and 7) Creating "credenza-ware" by treating talent reviews as annual events rather than ongoing processes. The article provides symptoms and solutions for addressing each sin.
This document discusses key findings from a survey about engaging the global workforce. The main points are:
1) Business leaders recognize the importance of employee engagement but HR needs to take a more strategic role and demonstrate ROI.
2) Employee recognition improves engagement, which increases retention, productivity and company performance.
3) Developing a universal recognition platform for global companies is difficult due to differences in cultures and locations.
4) CFOs are often not aware of how much companies spend on recognition programs, and HR and Finance need to work more closely together.
5) The CTO and CFO should collaborate to develop engagement strategies, but currently only about half of companies report this level of cooperation between
The document summarizes key findings from the 15th Annual Global CEO Survey conducted by PwC. It discusses declining confidence in the global economy among CEOs. While confidence in their own companies' growth prospects is higher, no CEOs are "very confident" about 12-month revenue growth. CEOs are focusing on adapting their operations to local markets, addressing risks from greater integration, and making talent a strategic priority to overcome execution challenges and position for longer-term growth.
This document contains 3 articles:
1. The first article discusses how effective talent management can boost company performance and shares that managing talent is crucial during a merger period. It emphasizes that all leaders must develop people and HR has a strategic role to play in mergers.
2. The second article by Maurizio Zollo discusses how post-acquisition talent retention is one of the hardest parts of an acquisition. It is like a huge hiring exercise without proper evaluations. The best talent may leave first. Acquirers must communicate frequently, show goodwill, leverage successes, and focus on collective performance.
3. The third article interviews Christian Merle about his experience merging 3 Italian banks of different origins. It
Unlocking The Potential Of Frontline Mgrs Exec Briefing Sbpmother55
This document outlines six keys to unlocking the potential of frontline managers. The six keys are: 1) Identify employees with the capability and interest to be good managers. 2) Help managers understand their team's goals and roles. 3) Help managers understand the people they manage. 4) Help managers understand themselves and how they impact their people. 5) Don't assume managers know how or when to coach. 6) Minimize administrative work to give managers more time to develop people. The document emphasizes the importance of self-awareness, communication, and development for both managers and the people they manage.
How to Avoid the Seven Biggest Team Building Blundersassessmentedge
The document provides advice on how to avoid seven common mistakes when building and managing high-performing teams. It discusses each mistake in turn: 1) Failure to build support for the team with stakeholders at different levels in the organization. 2) Failure to establish clear conditions for team effectiveness such as goals, roles, and resources. 3) Failure to establish a meaningful performance goal that the team is working towards. 4) Lack of a clear decision-making process. 5) Failure to establish norms for how the team will work together and make decisions. 6) Weak communication channels between team members and stakeholders. 7) Insensitivity to diversity among team members. For each issue, it provides recommendations on how to establish the right conditions
The document discusses how traditional talent management frameworks focus more on succession planning and metrics than meaningful career conversations, and proposes alternative approaches centered around in-depth discussions using a "Four Cs" model of credibility, capability, character, and career management to better understand individuals' strengths and development needs. It also examines questions around who should conduct talent assessments and how the information can be best used to inform decisions and action planning.
The document discusses applying the Rocket Model to virtual teams. It recommends that virtual team leaders: 1) hold an initial face-to-face meeting to set expectations; 2) be patient as virtual teams take longer to develop norms and cohesion; and 3) address unique issues such as clarifying context, roles, and accountability to build an effective virtual team. The Rocket Model provides guidance on team development, and its exercises can be adapted to diagnose and improve virtual team performance.
The 2010 HR Summit will be held June 28-30 in Arlington, VA. The summit will focus on workforce management strategies to sustain organizations through turbulent times. Sessions will cover succession planning, developing high-potential employees, evaluating the workforce, and creating strong employer brands. Attendees can earn up to 12 HRCI credits and 15 CPE credits. The summit aims to provide HR professionals with the tools to align succession plans with organizational goals and strengthen their organizations.
We take immense pleasure in unveiling the inaugural issue of our newsletter, “Ab Initio”. The literal translation of this Latin term is “from the beginning”, rendering it an apt name for our newsletter, which is aimed at putting forth a fundamental perspective on topical management-related issues.
This document provides feedback from a team assessment survey completed by 17 raters on the Retail Brand Leadership Team. It analyzes the team's performance based on the "Rocket Model", which identifies key components of high-performing teams: Context, Mission, Talent, Norms, Buy-In, Power, and Morale. For each component, the team's performance is rated on a scale of 1 to 5. The report identifies areas of strength and opportunities for improvement for enhancing team effectiveness.
The document provides information about an upcoming succession planning summit to be held from June 28-30, 2010 in Arlington, VA. The summit will focus on developing effective succession plans, cultivating and retaining employees, overcoming obstacles to succession planning, and promoting a strong employer brand. It includes an agenda for the three-day event with sessions on creating results-driven succession plans, using social media to strengthen plans, retaining top talent, and developing a strong employer brand. The summit aims to help participants enhance their organizations by aligning succession plans with goals and engaging employees in the process.
This document discusses four key elements for building a successful refractive surgery team:
1) Hiring well by looking beyond traditional candidates and involving current staff in the hiring process. Testing candidates through temporary occupational tryouts.
2) Providing formal training programs with goals and job descriptions to develop new employees.
3) Communicating effectively through regular staff meetings to reinforce goals and priorities.
4) Celebrating team successes and accomplishments to boost morale beyond annual holidays. Measuring team performance helps improve averages over time.
New CEOs are often overwhelmed by their new role and responsibilities. Experienced CEOs provide the following advice:
1) Select a few high-impact priorities and drive them relentlessly with a sense of urgency within the first 6-9 months.
2) Make difficult talent decisions quickly, even if it means removing people who lack commitment.
3) Immerse yourself in board relations, spending 20-30% of your time on board members.
4) Admit weaknesses and seek help from others to complement your skills.
5) Focus on leading through teams and influencing many others, rather than relying on direct reports alone.
This document is an invitation for CEOs and MDs to attend the 2009 APAC Chief Executive Officer's Summit in Singapore on April 23rd. The summit will provide networking opportunities and workshops on topics relevant to business leaders in Asia such as managing rising costs in China, talent management, and economic outlook. Attendees will choose workshops tailored to their interests and have opportunities for focused networking and knowledge sharing. The event is organized exclusively for high-level executives and aims to help companies navigate challenges of the current economic climate.
The 2010 HR Summit will be held June 28-30 in Arlington, VA. The summit will focus on succession planning and workforce management strategies to help organizations sustain knowledge and performance during turbulent economic times. Sessions over the three days will provide best practices for developing results-oriented HR departments, engaging employees, and attracting and retaining top talent. Attendees will learn how to create robust succession plans aligned with business goals and strengthen their employer brand. The summit offers 12 CPE credits and a post-conference workshop on building effective succession management processes.
Private company sucession planning - where do you stand 2011Grant Thornton
Only 40% of private companies surveyed have a clear succession plan in place for transferring business ownership. Many companies lack overall business planning, with 30% of owners not having a 5-year vision and 20% lacking a clear strategy. Succession planning is made more difficult by owners who are unwilling to relinquish control or develop a long-term strategy beyond an ownership transfer. The lack of succession planning endangers the future sustainability and profitability of businesses.
The CEO Succession Planning Process Discussion PieceLarry Holmes
The document outlines a four phase CEO succession planning process for a company's board of directors and executive management team. Phase I involves the board owning the process and evaluating leadership talent. Phase II has the outgoing CEO provide input. Phase III is the senior management team developing internal candidates. Phase IV is stakeholders being assured of the succession planning process. The document also discusses defining needs, evaluating candidates, developing a pipeline, onboarding the new CEO, and addressing common succession planning myths.
How to Help Leaders Succeed: A Guide to Successful Executive Career TransitionsKip Michael Kelly
This white paper provides HR and talent management professionals six simple steps they can take with newly hired executives to ensure successful transitions into their roles and organizational cultures. These steps are cost affordable and can be scaled to any size organization. With today’s leaner organizations, it is more important than ever to reduce the break-even point—the point at which new leaders have contributed as much value to their organizations as they have consumed from it—from six to three months (Watkins, 2003). Throughout this white paper are examples of organizations that have recognized this need and have developed programs that provide guidance to their executives to ensure successful career transitions.
CEOs at the world’s most successful companies know that they can only safeguard their organization’s competitive future if they have the right leaders to develop and implement their strategy.
The Head of Talent is a relatively new role emerging in companies to align business and talent strategies. Most Heads of Talent have been in their roles for 3 years on average and are still determining how to structure the role. They manage strategic challenges like globalization, skills gaps, and succession planning as well as operational issues. Heads of Talent typically oversee a small pool of around 150 top talent and aim to increase consistency in talent processes across business units while having limited direct authority.
CEO Succession - Five Steps to Best Practice - May 2016Jason Johnson
The document outlines a five-step best practice process for CEO succession:
1. The board develops a profile for the ideal future CEO based on the company's strategy.
2. Internal and external candidates are objectively assessed against this profile.
3. High-potential internal candidates have development plans to close any gaps.
4. The board conducts due diligence and selects from internal and external shortlists.
5. The new CEO receives an onboarding process to ensure a successful transition.
Many believe that the selection of the CEO is the single most important decision that a board of directors can make. In recent years, several high profile transitions at major corporations have cast a spotlight on succession and called into question the reliability of the process that companies use to identify and develop future leaders.
In this Closer Look, we examine seven common myths relating to CEO succession. These myths include the beliefs that:
1. Companies Know Who the Next CEO Will Be
2. There is One Best Model for Succession
3. The CEO Should Pick a Successor
4. Succession is Primarily a “Risk Management” Exercise
5. Boards Know How to Evaluate CEO Talent
6. Boards Prefer Internal Candidates
7. Boards Want a Female or Minority CEO
We examine each of these myths and explain why they do not always hold true. We ask:
• Why aren’t more companies prepared for a change at the top?
• Would directors make better hiring decisions if they had better knowledge of the senior management team?
• Would they be more likely to hire a CEO from within?
• Would they be more likely to hire a female or minority candidate?
• How many succession should a director participate in before he or she is considered “qualified” to lead one?
Read the Closer Look and let us know what you think!
What keeps CEOs up at night?
“Leadership”, answered the President of one of India’s largest business conglomerates recently. “Do we have the right skills and capabilities to pull our strategy off,” reported a Global 500 CEO. “I worry that the current management team will not be able to take us where we need to go to next,” answered a third corporate leader.
Most CEO’s are satisfied with their strategies. Many are less satisfied with their performance. This Executive Insight Thought Leader centers on the imperative of leadership capability development as a business priority.
The document discusses succession planning for the general counsel position. It recommends that companies:
1) Determine if there are qualified internal candidates and prepare them for the role, such as by giving them experience interacting with the board and contributing to growth plans.
2) Develop criteria for the general counsel position, identify internal and/or external candidates, select a successor, and groom them to take over.
3) Begin succession planning when the current general counsel is within two years of retirement, but it's never too soon to start by regularly assessing needs and criteria.
"Coaching in Asia: The First Decade" is the definitive guide to the principles and practices of empowering personal and organisational change.
Whether you're a manager or coach, living in Asia, Europe or elsewhere, Coaching in Asia is packed with case studies and coaching approaches to help you develop greater effectiveness. Each chapter is drawn from the firsthand expertise of a diverse group of coaches working in China, India, Indonesia, Singapore, Thailand, Japan, Hong Kong, and beyond.
Coaching is a global phenomenon that is best wrapped in cultural nuances. Coaching in Asia offers expert guidance on what has been done and more importantly, what is working. It will provide you with the ideas, methods, and practices to enable you to live out your leadership potential and be an agent of change for the good of the world.
The Book is available at leading bookstores across Asia Pacific and also on Amazon.com
This document provides a summary of a project report on succession planning in senior management. It includes an executive summary, introduction on human resource management and succession planning, importance of succession planning, the succession planning process, leadership competencies, advantages of succession planning, mistakes to avoid, and case studies on succession planning at Murugappa Group and Infosys. The project received certification from the project coordinator and the author acknowledges the coordinator for permitting the project work.
Succession planning is critical for organizations but often fails due to a lack of formal processes. Effective succession planning involves identifying future leadership needs, assessing internal candidates, and developing high-potential employees. Both boards and CEOs play important roles in driving succession planning, including establishing criteria for future leaders, selecting successors, and ensuring leadership development keeps pace with business growth. When done well, succession planning helps ensure continuity of leadership and engagement of senior managers in developing talent.
The document discusses applying the Rocket Model to virtual teams. It recommends that virtual team leaders: 1) hold an initial face-to-face meeting to set expectations; 2) be patient as virtual teams take longer to develop norms and cohesion; and 3) address unique issues such as clarifying context, roles, and accountability to build an effective virtual team. The Rocket Model provides guidance on team development, and its exercises can be adapted to diagnose and improve virtual team performance.
The 2010 HR Summit will be held June 28-30 in Arlington, VA. The summit will focus on workforce management strategies to sustain organizations through turbulent times. Sessions will cover succession planning, developing high-potential employees, evaluating the workforce, and creating strong employer brands. Attendees can earn up to 12 HRCI credits and 15 CPE credits. The summit aims to provide HR professionals with the tools to align succession plans with organizational goals and strengthen their organizations.
We take immense pleasure in unveiling the inaugural issue of our newsletter, “Ab Initio”. The literal translation of this Latin term is “from the beginning”, rendering it an apt name for our newsletter, which is aimed at putting forth a fundamental perspective on topical management-related issues.
This document provides feedback from a team assessment survey completed by 17 raters on the Retail Brand Leadership Team. It analyzes the team's performance based on the "Rocket Model", which identifies key components of high-performing teams: Context, Mission, Talent, Norms, Buy-In, Power, and Morale. For each component, the team's performance is rated on a scale of 1 to 5. The report identifies areas of strength and opportunities for improvement for enhancing team effectiveness.
The document provides information about an upcoming succession planning summit to be held from June 28-30, 2010 in Arlington, VA. The summit will focus on developing effective succession plans, cultivating and retaining employees, overcoming obstacles to succession planning, and promoting a strong employer brand. It includes an agenda for the three-day event with sessions on creating results-driven succession plans, using social media to strengthen plans, retaining top talent, and developing a strong employer brand. The summit aims to help participants enhance their organizations by aligning succession plans with goals and engaging employees in the process.
This document discusses four key elements for building a successful refractive surgery team:
1) Hiring well by looking beyond traditional candidates and involving current staff in the hiring process. Testing candidates through temporary occupational tryouts.
2) Providing formal training programs with goals and job descriptions to develop new employees.
3) Communicating effectively through regular staff meetings to reinforce goals and priorities.
4) Celebrating team successes and accomplishments to boost morale beyond annual holidays. Measuring team performance helps improve averages over time.
New CEOs are often overwhelmed by their new role and responsibilities. Experienced CEOs provide the following advice:
1) Select a few high-impact priorities and drive them relentlessly with a sense of urgency within the first 6-9 months.
2) Make difficult talent decisions quickly, even if it means removing people who lack commitment.
3) Immerse yourself in board relations, spending 20-30% of your time on board members.
4) Admit weaknesses and seek help from others to complement your skills.
5) Focus on leading through teams and influencing many others, rather than relying on direct reports alone.
This document is an invitation for CEOs and MDs to attend the 2009 APAC Chief Executive Officer's Summit in Singapore on April 23rd. The summit will provide networking opportunities and workshops on topics relevant to business leaders in Asia such as managing rising costs in China, talent management, and economic outlook. Attendees will choose workshops tailored to their interests and have opportunities for focused networking and knowledge sharing. The event is organized exclusively for high-level executives and aims to help companies navigate challenges of the current economic climate.
The 2010 HR Summit will be held June 28-30 in Arlington, VA. The summit will focus on succession planning and workforce management strategies to help organizations sustain knowledge and performance during turbulent economic times. Sessions over the three days will provide best practices for developing results-oriented HR departments, engaging employees, and attracting and retaining top talent. Attendees will learn how to create robust succession plans aligned with business goals and strengthen their employer brand. The summit offers 12 CPE credits and a post-conference workshop on building effective succession management processes.
Private company sucession planning - where do you stand 2011Grant Thornton
Only 40% of private companies surveyed have a clear succession plan in place for transferring business ownership. Many companies lack overall business planning, with 30% of owners not having a 5-year vision and 20% lacking a clear strategy. Succession planning is made more difficult by owners who are unwilling to relinquish control or develop a long-term strategy beyond an ownership transfer. The lack of succession planning endangers the future sustainability and profitability of businesses.
The CEO Succession Planning Process Discussion PieceLarry Holmes
The document outlines a four phase CEO succession planning process for a company's board of directors and executive management team. Phase I involves the board owning the process and evaluating leadership talent. Phase II has the outgoing CEO provide input. Phase III is the senior management team developing internal candidates. Phase IV is stakeholders being assured of the succession planning process. The document also discusses defining needs, evaluating candidates, developing a pipeline, onboarding the new CEO, and addressing common succession planning myths.
How to Help Leaders Succeed: A Guide to Successful Executive Career TransitionsKip Michael Kelly
This white paper provides HR and talent management professionals six simple steps they can take with newly hired executives to ensure successful transitions into their roles and organizational cultures. These steps are cost affordable and can be scaled to any size organization. With today’s leaner organizations, it is more important than ever to reduce the break-even point—the point at which new leaders have contributed as much value to their organizations as they have consumed from it—from six to three months (Watkins, 2003). Throughout this white paper are examples of organizations that have recognized this need and have developed programs that provide guidance to their executives to ensure successful career transitions.
CEOs at the world’s most successful companies know that they can only safeguard their organization’s competitive future if they have the right leaders to develop and implement their strategy.
The Head of Talent is a relatively new role emerging in companies to align business and talent strategies. Most Heads of Talent have been in their roles for 3 years on average and are still determining how to structure the role. They manage strategic challenges like globalization, skills gaps, and succession planning as well as operational issues. Heads of Talent typically oversee a small pool of around 150 top talent and aim to increase consistency in talent processes across business units while having limited direct authority.
CEO Succession - Five Steps to Best Practice - May 2016Jason Johnson
The document outlines a five-step best practice process for CEO succession:
1. The board develops a profile for the ideal future CEO based on the company's strategy.
2. Internal and external candidates are objectively assessed against this profile.
3. High-potential internal candidates have development plans to close any gaps.
4. The board conducts due diligence and selects from internal and external shortlists.
5. The new CEO receives an onboarding process to ensure a successful transition.
Many believe that the selection of the CEO is the single most important decision that a board of directors can make. In recent years, several high profile transitions at major corporations have cast a spotlight on succession and called into question the reliability of the process that companies use to identify and develop future leaders.
In this Closer Look, we examine seven common myths relating to CEO succession. These myths include the beliefs that:
1. Companies Know Who the Next CEO Will Be
2. There is One Best Model for Succession
3. The CEO Should Pick a Successor
4. Succession is Primarily a “Risk Management” Exercise
5. Boards Know How to Evaluate CEO Talent
6. Boards Prefer Internal Candidates
7. Boards Want a Female or Minority CEO
We examine each of these myths and explain why they do not always hold true. We ask:
• Why aren’t more companies prepared for a change at the top?
• Would directors make better hiring decisions if they had better knowledge of the senior management team?
• Would they be more likely to hire a CEO from within?
• Would they be more likely to hire a female or minority candidate?
• How many succession should a director participate in before he or she is considered “qualified” to lead one?
Read the Closer Look and let us know what you think!
What keeps CEOs up at night?
“Leadership”, answered the President of one of India’s largest business conglomerates recently. “Do we have the right skills and capabilities to pull our strategy off,” reported a Global 500 CEO. “I worry that the current management team will not be able to take us where we need to go to next,” answered a third corporate leader.
Most CEO’s are satisfied with their strategies. Many are less satisfied with their performance. This Executive Insight Thought Leader centers on the imperative of leadership capability development as a business priority.
The document discusses succession planning for the general counsel position. It recommends that companies:
1) Determine if there are qualified internal candidates and prepare them for the role, such as by giving them experience interacting with the board and contributing to growth plans.
2) Develop criteria for the general counsel position, identify internal and/or external candidates, select a successor, and groom them to take over.
3) Begin succession planning when the current general counsel is within two years of retirement, but it's never too soon to start by regularly assessing needs and criteria.
"Coaching in Asia: The First Decade" is the definitive guide to the principles and practices of empowering personal and organisational change.
Whether you're a manager or coach, living in Asia, Europe or elsewhere, Coaching in Asia is packed with case studies and coaching approaches to help you develop greater effectiveness. Each chapter is drawn from the firsthand expertise of a diverse group of coaches working in China, India, Indonesia, Singapore, Thailand, Japan, Hong Kong, and beyond.
Coaching is a global phenomenon that is best wrapped in cultural nuances. Coaching in Asia offers expert guidance on what has been done and more importantly, what is working. It will provide you with the ideas, methods, and practices to enable you to live out your leadership potential and be an agent of change for the good of the world.
The Book is available at leading bookstores across Asia Pacific and also on Amazon.com
This document provides a summary of a project report on succession planning in senior management. It includes an executive summary, introduction on human resource management and succession planning, importance of succession planning, the succession planning process, leadership competencies, advantages of succession planning, mistakes to avoid, and case studies on succession planning at Murugappa Group and Infosys. The project received certification from the project coordinator and the author acknowledges the coordinator for permitting the project work.
Succession planning is critical for organizations but often fails due to a lack of formal processes. Effective succession planning involves identifying future leadership needs, assessing internal candidates, and developing high-potential employees. Both boards and CEOs play important roles in driving succession planning, including establishing criteria for future leaders, selecting successors, and ensuring leadership development keeps pace with business growth. When done well, succession planning helps ensure continuity of leadership and engagement of senior managers in developing talent.
1) While active CEOs are highly sought after for board seats, a survey found that 79% of directors said that in practice, active CEOs are no better than non-CEO board members due to CEOs being too busy with their own companies.
2) Over 50% of directors think board turnover is too low and that it is difficult to remove underperforming directors who stay on boards too long. Nearly half of companies also do not engage in succession planning for their board of directors.
3) The survey highlighted issues such as nearly 20% of lead directors being chosen by the CEO rather than independently, and skepticism about "professional directors" who sit on multiple boards full-time.
Succession planning is important for organizations as many Baby Boomer leaders plan to leave their positions in the next 7 years. A good succession plan selects a successor with the right personality, passion for the work, knowledge of the company, and loyalty. It should also invest in the successor's professional development. The succession planning process typically involves assessing the current situation, defining leadership roles, reviewing candidate skills, selecting candidates, setting a timeline, and making a commitment to carry out the plan.
Unlocking The Potential Of Frontline Managers Exec BriefingJeff Lively
Times of change present many challenges for organizations, particularly for frontline managers whose people will be responsible for implementing the change. Pressure to perform is high, as are emotions, and everyone is expected to do more with less.
Because unexpected CEO successions can paralyze even the best-functioning companies, they can wreak a harsh toll on revenues, earnings, and stock prices. All of which means there is a far greater payoff to getting succession right than current practices imply. The key is consistent planning.
CHAPTER 13
SOUTHERN COMPANY
JIM GREENE
A robust leadership development and succession planning process that uses leadership performance standards and competencies to identify successors and high-potential individuals, and target development.
• Introduction
• Background
• Initial Improvements
• The Leadership Action Council
• Competency Model
• Leadership Assessment
• Succession Planning
• Identification of Potential Successors and High-Potential Individuals
• Assessment of the Talent
• Review of Individuals
• Leadership Database
• Development Activities
• Senior Leader Development Program
• Emerging Leader Program
• Evaluation and Lessons Learned
• Evaluation
• Lessons Learned
INTRODUCTION
Having a steady supply of leaders with the right skills in the right jobs is critical to the success of an organization. Facing the possibility that a number of long-tenured leaders across all levels would soon retire, Southern Company enhanced its succession planning and leadership development processes to ensure a full leadership pipeline to sustain business success. This chapter details these processes.
BACKGROUND
Southern Company is an electric utility serving 4.4 million customers in the southeastern United States. A leading U.S. producer of electricity, Southern Company owns electric utilities in four states and a growing competitive generation company, as well as fiber optics and wireless communications. Southern Company brands are known for excellent customer service, high reliability, and retail electric prices that are significantly below the national average. Southern Company has been listed as the top ranking U.S. electric service provider in customer satisfaction for nine consecutive years by the American Customer Satisfaction Index (ACSI). Southern Company employs approximately 26,000 people.
In 2003, America’s aging workforce began to receive a lot of attention and was viewed as a potential business challenge for Southern Company. A “grow your own” company, Southern Company historically hired at the entry level and relied on internal promotions rather than external hiring to fill leadership positions. In the late 1970s and 1980s, the company hired a large number of people. A low turnover rate resulted in the leadership group being very stable and growing progressively older. In 2003, the average age of executives was fifty-two. The average ages of middle managers and first-line managers were forty-nine and forty-seven, respectively. This age bubble posed a potential succession risk. Southern Company has developed a cadre of leaders who possessed deep business knowledge and fit the organization and culture. Projections showed that, as executives began to retire in greater numbers, their successors would leave soon after. The need to develop a new generation of leaders became the driver for re-looking at the succession and leadership development efforts to ensure a sustainable supply of quality leaders to meet business needs.
In early 2004, ...
Leadership Development: Should Your Firm Invest in Growing Its Leaders?kcbradley
This document discusses whether law firms should invest in developing leadership skills among their lawyers. It argues that while law firms have traditionally been reluctant to do so, there are now good reasons for firms to invest in leadership development. Specifically:
1) Recent high-profile law firm failures were at least partly due to poor leadership, demonstrating the importance of strong leadership for law firm success and survival.
2) Research shows that leadership development positively impacts employee performance, client acquisition and retention, profitability, and shareholder value in corporations. While law firms are different structures, their internal practices have become more hierarchical.
3) Critical leadership skills for law firm success include inspiring confidence, collaborating with employees, valuing learning,
Six Keys to Unlocking the Potential of Frontline Managersassessmentedge
The document provides six keys to unlocking the potential of frontline managers:
1. Identify employees with the capability and interest to be good managers.
2. Help managers clarify their teams' goals and roles.
3. Help managers understand the people they manage.
4. Help managers understand themselves and how they impact their people.
5. Don't assume managers know how or when to coach.
6. Minimize administrative work to give managers more time to develop people.
Building exceptional boards of directors in growth stage technology businesse...Dave Litwiller
This document discusses building an effective board of directors for growth stage technology companies. It outlines three key aspects:
1) Choosing the right people for the board who are voracious learners, prepared, dedicate sufficient time, are competitively driven but balanced, optimistic yet skeptical, and tolerant of risk.
2) Advancing and renewing the board over time by developing a pipeline of talent, balancing CEO and outside director nominations, avoiding path dependency, conducting thorough reference checks, and finding independent thinkers.
3) Identifying underperforming directors who are sycophants, narrow-minded, unprepared, or have strong biases that hinder their effectiveness. Maintaining a high-performing
Board of Directors Oversight of Leadership RiskCharlie Bishop
This document discusses how boards of directors can better oversee leadership risk within their organizations. It argues that leadership should be considered one of the top risks and that boards need to take a more active role in monitoring talent management processes. The article identifies seven specific leadership risks that boards should pay attention to: loose accountability, inept assessment, misalignment of executive compensation, inadequate bench strength, playing it too safe with development, having a "once a year" mindset, and settling for "just good enough". It provides questions for boards to ask management about each risk area and suggests tactics for boards to mitigate leadership risks, such as adopting a leadership competency model and measuring the effectiveness of talent management processes.
1. Heidrick & Struggles Governance Letter
The CEO’s role
in succession planning
The level of collaboration between the CEO and board can vary significantly,
and several factors can change the dynamics of the process.
By Jack ‘Rusty’ O’Kelley III, Jeff Sanders and John Wood
D
espite the barrels of this dynamic and direct it thoughtfully
ink and numberless bytes through the early, middle, and late stages
that have been expend- of a planned succession will be able to
ed on CEO succession discharge this important duty far more
planning advice, many effectively than if they simply feel their
directors remain dissatisfied with the way forward.
process. In one of the most comprehen-
sive surveys of board directors to date, It’s never too early
more than a third of U.S. directors and While the board ultimately owns the
more than half of directors outside the succession planning process, newly ap-
U.S. indicated that their boards do not pointed CEOs have an opportunity to
have an effective CEO succession plan- pleasantly surprise their boards by ini-
ning process. Conducted by Women- tiating the succession planning discus-
CorporateDirectors (WCD), Heidrick sion almost as soon as they take office.
& Struggles, Dr. Boris Groysberg of the In fact, we coach new CEOs to introduce
Harvard Business School, and researcher the subject no later than their second
Deborah Bell, and drawn from a sam- meeting with the full board. The further
pling of more than 1,000 directors in 58 out the time horizon for the succession,
countries, the 2012 Board of Directors the more focused the CEO should be on
Survey also found that more than two- recruiting and developing as many suc-
thirds of U.S. directors and more than CEOs may be understandably cessors as possible. The day to day re-
three-fourths of non-U.S. directors say sponsibility for this talent recruitment
their boards do not discuss the succes- reluctant to start talking about and development falls to the CEO, but
sion planning regularly or do so only their exit almost as soon as they the board should ensure that they are
annually. receiving regular talent updates and in-
While the causes of dissatisfaction no make their entrance. teracting with the high potential succes-
doubt vary from board to board, we have — Jack ‘Rusty’ O’Kelley III sion candidates to actively monitor the
found that breakdowns often stem from succession process. In one best practice
lack of clarity about the sitting CEO’s example in a large U.S. company, the
role in the process and the dynamics that selection process should quickly shift board and CEO began planning seven
should govern it. In the early stages of to the board. Boards that understand years out from the CEO’s expected re-
the process, the CEO is responsible for
the leadership and development of their Jack ‘Rusty’ O’Kelley III is the managing partner, Leadership Consulting, Americas, and core
team, with the board monitoring the member of the global Board Advisory Practice at Heidrick & Struggles International. Jeff
infusion and development of talent. As Sanders is vice chairman and managing partner of the firm’s CEO Practice in North America
the likely date of succession approaches, and a member of the North American leadership team. John Wood is vice chairman and a
the level of direct involvement in the partner in the Chief Executive Officer & Board of Directors Practice.
48 directors & boards
2. Heidrick & Struggles Governance Letter
tirement in order to ensure multiple in- work, thus defusing any personal sensi- siders the strategic direction the com-
ternal candidates were ready. tivities going forward and avoiding any pany is taking and revisits the profile of
Given the average tenure of CEOs — misunderstandings that could result the kind of leader the company will need
8.4 years in 2011, down from about 10 from the board suddenly raising the in the long term. The board committee
years in 2000, according to the Confer- subject after the CEO has been on the chartered to lead succession planning
job for a year or two. — usually the nominating committee or
During this early stage, the CEO works a special committee — re-validates the
with the chairman or the appropriate existence and qualifications of the emer-
board committee to make sure that an gency successor, or potentially identifies
emergency successor has been identified a different one.
and to develop a profile of the skills and A new strategy might now require a
experiences the company would need in different type of successor, or the previ-
their next chief executive should a suc- ous designee might have left the compa-
cession take place in the short, medium, ny or exhibited shortcomings that caused
or long term. This profile and set of ex- the board to reconsider. The committee,
periences is based on an analysis of the
company’s strategy rather than what’s
needed to fill the job today. Too often,
CEO succession planning is viewed as
an event about a single individual rather
than about readiness to meet leadership
needs under any circumstances.
In addition to helping formulate the
future CEO skills and experience pro-
file, the current CEO begins to mentor
potential internal successors. He or she
creates development plans and potential
Boards should ensure that a career paths to prepare viable candidates
to assume the top job, which is why it is
candidate has the requisite time essential to begin the process as many
to close what may be multiple as five years in advance. If the process
begins too late, it is extremely diffi-
development gaps. cult to ensure that a candidate has the
— Jeff Sanders requisite time to close what may be mul-
tiple development gaps by, for example,
assuming an international assignment,
ence Board — the countdown to succes- getting comfortable with an unfamiliar
sion is getting shorter, and in many cases business discipline, and improving gen- An external scan could well bring
may be as short as five to seven years. eral management skills. The CEO should
Because even this shorter time frame ap- also consider how the organizational the board to a deeper apprecia-
pears to be so far in the future, it is easy structure will help or hinder develop- tion of the internal candidates.
to put off the discussion. Further, CEOs ment and alter the structure, if neces-
may be understandably reluctant to start sary. Throughout the process, the CEO — John Wood
talking about their exit almost as soon as should be reporting to the board on the
they make their entrance. development of top executives and seek-
The board, too, may worry that in ing the board’s sign-off. in consultation with the CEO, also revis-
bringing up succession almost immedi- its the CEO successor profiles for what
ately, they will risk alienating the CEO, The center of gravity has now become the medium term. As
on whom so much depends. Neverthe- begins to shift the list of potential successors begins to
less, this is a conversation that should In the middle stages of the process — narrow, the board members should also
begin early, and if the CEO does not roughly three to five years out — the spend time building relationships with
initiate the conversation, it is the board’s board becomes more deeply involved, the executives.
responsibility to do so. They should then and increases the frequency of discussing At this stage, the board may want to
establish succession as a regular agenda succession planning as an agenda item. consider a scan of the external market for
item and map out how the process will In collaboration with the CEO, it con- CEO talent and assess senior executives
second Quarter 2012 49
3. Heidrick & Struggles Governance Letter
in order to benchmark internal candi- The board in the final stages During this stage of the process, the
dates against that external talent. The In the final stage of the process, from committee should continue to solicit the
scan should provide a far deeper under- roughly three years to zero hour for the CEO’s input. The committee makes its
standing of the strengths, weaknesses, succession, the pace quickens and the recommendation to the full board, typi-
and required development plans for in- pendulum swings fully to the board. The cally offering a single candidate or a slate
ternal candidates relative to external op- CEO, in consultation with the board, be- of finalists for consideration. Once the
tions. When paired with an assessment gins to develop a more definitive time- selection is final and negotiations with
of internal candidates, this external scan frame, and succession is discussed quar- the candidate are completed successfully,
could well bring the board to a deeper the incumbent CEO helps develop tran-
appreciation of the internal candidates. sition and on-boarding plans for the in-
Through this assessment, the board be- Often, boards are inclined to coming CEO, seeks the board’s sign-off
comes more aware of the strengths, weak- on those plans, and makes sure internal
nesses and risks throughout the manage-
give greater responsibility to and external communication plans are
ment ranks, an issue in which boards are CEOs who have performed in place. The result should be a smooth
becoming increasingly involved. and well-received transition and a board
While the center of gravity at this
well and are regarded by that is well prepared for the next round
stage has shifted to the board, the dy- the directors as impartial of succession planning, which begins
namic is far from mechanical. The extent shortly thereafter.
of the CEO’s involvement and influence
assessors of talent.
throughout the process will depend, in Careful management
part, on his or her performance, the for- terly. In the final year, the selection and of the timing
tunes of the company, and the board’s transition process is discussed at every Boards that successfully manage this dy-
view of the CEO’s objectivity. The level board meeting. namic understand that the key question
of collaboration between the CEO and When possible, beginning several years in succession planning is not whether to
board can vary significantly, and there out, the members of the nominating keep the CEO entirely at arm’s length
is no “one size fits all” for the succession committee and other independent direc- or to let the CEO dominate or even to
planning process. Several factors can tors should spend time with potential in- try to achieve some golden mean. It is a
change the dynamics of the process: the ternal successors in both formal and in- question of timing — of the degree and
board’s culture; the CEO’s capacity and formal settings. One-on-one encounters nature of the incumbent’s involvement
objectivity; and, of course, the working can be especially important for getting as the process unfolds and of the board’s
relationship between the two. a genuine feel for a candidate’s view of ultimate assumption of its responsibil-
Often, boards are inclined to give the company and the world in which it ity. Even those directors who express
greater responsibility to CEOs who have operates, as well as for the individual’s satisfaction with their current approach
performed well and are regarded by the personal attributes. The committee also might find that careful management of
directors as impartial assessors of talent. continues to manage an “inside/outside” the timing could not only improve the
However, even when this is the case, the process, assessing inside candidates while process, but also increase the chances of
board should remember that, while the concurrently looking at talent on the attaining an ideal result in one of their
sitting CEO remains an important con- outside to ensure that the best candidate most important duties. ■
tributor, it is responsible for the process is ultimately selected. Throughout the
and will need to have enough unbiased external process, the board must use the The authors can be contacted at rokelley@
information to determine who will be utmost discretion in managing the risk heidrick.com, jsanders@heidrick.com, and
the next CEO of the company. of alienating internal candidates. jwood@heidrick.com
50 directors & boards