Best practice talent management, employee retention and succession planning principles, systems and processes

1. BEST PRACTICES IN TALENT
MANAGEMENT, RETENTION AND
SUCCESSION PLANNING
CHARLES COTTER PhD, MBA, B.A (Hons), B.A
www.slideshare.net/CharlesCotter
PRESIDENT HOTEL, CAPE TOWN
24-25 MAY 2018

2. • Objective #1: Introduction and Defining the fundamental concepts
• Objective #2: Strategic HR Business Partnering
• Objective #3: Talent/HR Planning
• Objective 4: Talent Acquisition
• Objective 5: Employee Engagement and Talent Retention
• Objective #6: Performance Management and Competency
Development
• Objective #7: Succession Planning
2-DAY, TRAINING PROGRAMME
OVERVIEW

3. AGREE OR DISAGREE?
WHY?

4. • Individual activity:
• Complete the statement by inserting one (1) word only. As a
HR Manager, in order to effectively manage talent in my
organization, I need to/to be .…………………………………..
• Now find other learners with the same word as you.
• Jot these words down on the flip-chart.
• Each learner will have the opportunity to elaborate on their
chosen word.
INTRODUCTORY ACTIVITY

5. OBJECTIVE #1:
Introduction and Defining the fundamental
concepts

6. DEFINING THE
FUNDAMENTAL HRM
CONCEPTS
• Strategic HRM
• Integrated Talent
Management
• Talent/HR Planning
• Strategic HR Planning
• Strategic HR Business
Partnering

7. INTEGRATED
TALENT
MANAGEMENT

8. INTEGRATED TALENT MANAGEMENT
ARCHITECTURE/SYSTEM

9. DEFINING
WFP -
GETTING IT
“RIGHT”

11. STRATEGIC TALENT/HR MANAGEMENT

13. STRATEGIC HRM VALUE CHAIN

15. OBJECTIVE #2:
Strategic HR Business Partnering

16. DIAGNOSIS: 10 BEST PRACTICE
GUIDELINES FOR HRBP
• #1 Embedding HRM strategy in business strategy and able to translate that
strategy into deliverable actions
• #2 Well-defined, implemented and reported HRM performance and ROI
metrics (creating credibility and accountability)
• #3 Generating business intelligence e.g. predictive and strategic analytics
(that shapes, informs, guides and ultimately, influences strategic business
decisions)
• #4 Offering a professional, value-adding business proposition sensitive to
and supportive of business needs, interests and strategic priorities
• #5 Ongoing line management consultation, engagement, coaching and
building trusting, collegial and mutually beneficial business relationships

17. DIAGNOSIS: 10 BEST PRACTICE
GUIDELINES FOR HRBP
• #6 HR Management and practitioners possess business and industry
knowledge, acumen and insight
• #7 HRM collaborates with line management to broker meaningful and
impactful business solutions
• #8 HRM processes, systems and practices are horizontally integrated
(bundled), agile, responsive and stream-lined (that enhance productivity
and efficiency)
• #9 HRM is a transformational initiator, driver and implementer of business
change
• #10 HRM is technology-savvy innovator, enabling and leveraging best
practices (e.g. CoE; Shared Services and e-HRM)

18. LEARNING
ACTIVITY 1
• Individual Activity:
• Critically review and
evaluate your current HR
business partnering
processes and function
against the ten (10) best
practice criteria. Refer to
the link:
https://www.surveymonke
y.com/r/5X9BTT9
• Group Discussion:
• Identify gaps and
recommend improvement
strategies.

20. HRBP CRITICAL SUCCESS FACTORS
• Strategic focus and thrust (on issues that contribute to business growth and
competitiveness)
• Adopting a “big picture” perspective (regarding the organization’s priorities
and goals)
• Having personal impact and credibility (to influence key decision-makers)
• Adopting an Key Account Management, (internal) client-centric approach
• Possessing a set of value-adding skills and knowledge (customers and
business)
• Being a diplomat and negotiator (in harmonizing the HRM agenda with
business needs)

22. AON INSURANCE EMEA HEALTH STUDY
(2018)

23. MERCER (2016)

24. EXPECTATIONS AND
PRIORITIES OF BUSINESS
EXECUTIVES
• CEO’s expect the Human Resources
function to play a much more active
and participatory role in enabling
business strategies.
• Senior business leaders consider
talent to be perhaps the critical
factor in the push for sustainable
growth and the need to manage
new opportunities and risks in a
more complex and interdependent
world.
• According to The Conference Board
CEO Challenge (2013), Human
Capital is rated 10% higher than
operational excellence as a major
challenge for businesses.

25. WHAT BUSINESS
EXECUTIVES ARE
LOOKING FOR IN HRBP?
• Catalytic Driver of Change
• Pro-active Business Thinker
• Collaborative Consultant
• Purpose-directed Coach
• Delivery (results-oriented HR practices)
• (Credible and Accountable) Performance
Advisor
• Strategic Facilitator

27. ENABLERS OF
TRANSFORMATION/RE-
POSITIONING TO HRBP –
“RIGHTING THE SHIP”
“HR needs to follow the right
process, applying the right
skills, in the right
manner/method, fulfilling the
right roles, for the right
reasons, to achieve the right
results.” (Cotter, 2014)

28. HRBP TRENDS
• Optimization of systems, processes and structures (architecture)
• Re-organizing HR service delivery and operating models e.g. Shared
Services
• Sourcing “Stars” from outside HRM
• Implementation of HR Academies and Business Partner training
programmes
• There is a particular focus on developing consulting, project and change
management skills as well as general business and commercial acumen
• Establishing HR Centres of Excellence/Expertise (CoE’s)

29. FUTURE-FOCUSED ROLES

31. ACTION STEPS/PLAN TO
TRANSFORM HR INTO
HRBP
• Step 1: Strategic Review and Analysis
• Step 2: Strategic Role Clarification and
Contracting
• Step 3: Formulation and Development
of Transformational Strategies
• Step 4: Implementation of
Transformational Strategies
• Step 5: Measure and evaluate
business impact and results

32. OBJECTIVE #3:
Talent/HR Planning

34. CLEAR VIEW – LINE OF
SIGHT STRATEGIC
WORKFORCE PLANNING
• Inventory of available organizational
core competencies?
• Inventory of organizational scarce skills?
• Mission critical organizational jobs (to
enable strategy achievement)?
• Critical employee segments (to promote
business continuity/sustainability –
future-proofing)?
• Competitivity and readiness of
organizational talent pipeline?
• Identification of organizational talent
gaps?

37. • https://www.surveymonkey.com/r/JMXSR2T
• #1: Aligned with the organization’s strategic business plans and priorities.
• #2: Future-focused, adopting a strategic, medium to long-term forward-
looking approach.
• #3: Pro-active, sensitive and responsive to (internal and external)
environmental change and trends.
• #4: Provides accurate and reliable (clear view) talent
planning/management information for the organization e.g. available core
competencies; scarce skills; critical jobs and employee segments and
talent gaps.
• #5: Collaborative, well coordinated and partnering effort (HRM has co-
opted business partners e.g. line managers to the process).
DIAGNOSIS: 10 BEST PRACTICE
GUIDELINES FOR EFFECTIVE SWP

38. • https://www.surveymonkey.com/r/JMXSR2T
• #6: Integrated (bundled) with other HRM value chain processes e.g. Recruitment,
Succession Planning, Retention and Leadership Development.
• #7: Generates meaningful business intelligence for the organization which
shapes, informs and influences business planning and supports strategic decision-
making.
• #8: Integrates both scientific (HRM metrics, predictive analytics and strategy
maps) with artistic (planning) principles.
• #9: Dynamic - regularly and systematically monitored, reviewed, evaluated and
adapted (committed to continuous improvement processes).
• #10: Yields a positive ROI, with tangible/demonstrable outcomes and impact for
the organization i.e. creates sustainable HCM competitive advantages
DIAGNOSIS: 10 BEST PRACTICE
GUIDELINES FOR EFFECTIVE SWP

39. LEARNING
ACTIVITY 2
• Individual Activity:
• Diagnose your
organization’s current
Workforce Planning
practices against the ten
(10) best practice criteria.
• https://www.surveymonke
y.com/r/JMXSR2T
• Group Discussion:
• Identify gaps and
recommend improvement
strategies.

40. LEVELS OF SWP MATURITY

41. HR/TALENT PLANNING PROCESS
• Step 1: Environmental Analysis
• Step 2: Forecasting HR Demand (Futuring)
• Step 3: Analyzing (Current) Supply
• Step 4: Reconciling
• Step 5: HR Action Planning
• Step 6: Monitoring and Evaluating the HR Action Plan

44. LEARNING
ACTIVITY 3
• Group Discussion:
• By referring to the illustration
of the HR planning process,
evaluate the effectiveness of
each process step in your
organization. Compare your
organization’s effectiveness
with the findings of the HCI
(2014).
• Identify areas of improvement
(gaps) and recommend how
HR management can enhance
performance and value add.

45. OBJECTIVE #4:
Talent Acquisition

46. AGREE OR DISAGREE?
WHY?

48. THE CHANGING FACE OF
RECRUITMENT

49. DELOITTE’S HCM TRENDS 2017 – HOW
HAS RECRUITMENT CHANGED?

50. DELOITTE’S HCM TRENDS 2017 – HOW
HAS RECRUITMENT CHANGED?
• #1: Building a strategic and digital employment brand
• #2: Leveraging new technologies—from social to cognitive
• #3: Using video as a tool for a compelling candidate
experience
• #4: From credentials to skills
• #5: Optimizing sourcing channels
• #6: Optimizing the talent acquisition operating model

51. DELOITTE’S
RECOMMENDED
STRATEGIES (2017)
• Deloitte recommend the following 5
strategies:
 #1: Leverage new technologies
 #2: Build a digital employment
brand
 #3: Create a compelling candidate
experience
 #4: Broaden and expand sourcing
channels
 #5: Integrate sourcing
• Savvy recruiters now have access to
new technologies to forge connections
with candidates and strengthen the
employment brand.

52. HOW HAS RECRUITMENT CHANGED?
(COTTER, 2017)
• Savvy, future-focused recruiters have transitioned from
face-to-face recruitment to facilitating the interface
between people and technology, which is at the coalface
of business strategy.
• The employment landscape has changed from “talent
wars” – battlefield to a “talent economics” – trading floor.
• Smart recruiters have to transform to “behavioural
economists.”
• Next level (future-fit) recruitment in the Gig Economy?

53. NEXT LEVEL (FUTURE-FIT)
RECRUITMENT
(COTTER, 2017)
• The Strategic
Recruiter
• The Cognitive
Recruiter
• The Social Recruiter
• The Analytical
Recruiter

54. VIDEO CLIP
• How Nestlé transformed
recruitment into talent
acquisition
• https://www.youtube.co
m/watch?v=5HIlROqdik0
• Debriefing: Extract the
lessons from this video
clip

57. RECRUITMENT PROCESS (CIPD)
• Stage 1: Defining the role (Job Analysis)
• Stage 2: Attracting applications (Developing an
EVP)
• Stage 3: Managing the application and selection
process
• Stage 4: Making the appointment (offer)

58. JOB
ANALYSIS

59. • Objective: Magnetically attracting
the “Cream of the Crop”
• Objective: Facilitating an optimal
Person-Environment (P-E) fit
• Strategy: Developing, articulating
and advocating of a compelling
Employee Value Proposition (EVP)
• Strategy: Employer Branding – (re)
positioning as an “Employer of
Choice”
TALENT ATTRACTION

60. • A resourcing strategy is concerned with shaping what an organization has to offer to people
to join and stay in the organization. (Armstrong, 2016)
• EVP is a statement of what an organization will provide for people that they will value - why
the total work experience at their organization is superior to that at other organizations.
• The EVP is an employee-centered approach that is aligned to existing, integrated workforce
planning strategies because it has been informed by existing employees and the external
target audience.
• Key Selling Points (KSP): Host of financial and non-financial benefits
• Non-financial benefits:
 The attractiveness of the organization
 Responsibility – corporate conduct, ethics and CSR/CSI
 Respect – diversity and inclusiveness
 Work-life balance
 Opportunities for personal and professional growth
EMPLOYEE VALUE PROPOSITION (EVP)

61. COMPONENTS OF VIABLE EVP

62. MANAGING THE
APPLICATION AND
SELECTION PROCESS
• The Curriculum Vitae (CV)
or
• The application form
• Dealing with applications
• The ‘candidate experience’

63. SELECTION PROCESS

64. • Short-listing
• Assessing applicants
to decide who should
be offered a job
• Selection methods
• Validity of selection
methods
SELECTION
PROCESS AND
METHODS

68. DEFINING COMPETENCY-BASED
INTERVIEWS
• Competency-based interviews (also
called structured interviews) are
interviews where each question is
designed to test one or more
specific skills.
• The answer is then matched against
pre-decided criteria and marked
accordingly.
• For example, the interviewers may
want to test the candidate's ability to
deal with stress by asking first how
the candidate generally handles
stress and then asking the candidate
to provide an example of a situation
where he worked under pressure.

70. DIFFERENTIATING BETWEEN COMPETENCY-BASED
INTERVIEWS AND NORMAL INTERVIEWS
• Normal interviews are essentially a conversation where the interviewers
ask a few questions that are relevant to what they are looking for but
without any specific aim in mind other than getting an overall impression of
you as an individual.
• Questions are fairly random and can sometimes be quite open.
• Competency-based interviews are more systematic, with each question
targeting a specific skill or competency.
• Candidates are asked questions relating to their behaviour in specific
circumstances, which they then need to back up with concrete examples.
• The interviewers will then dig further into the examples by asking for
specific explanations about the candidate's behaviour or skills.

71. CBI PROCESS FLOW

72. HOW COMPETENCY-BASED INTERVIEW
QUESTIONS ARE MARKED

73. HOW COMPETENCY-BASED INTERVIEW
QUESTIONS ARE MARKED
Positive indicators Negative indicators
 Demonstrates a positive approach towards
the problem.
 Considers the wider need of the situation
 Recognises his own limitations
 Is able to compromise
 Is willing to seek help when necessary
 Uses effective strategies to deal with
pressure/stress
 Perceives challenges as problems
 Attempts unsuccessfully to deal with the
situation alone
 Used inappropriate strategies to deal with
pressure/stress

74. HOW COMPETENCY-BASED INTERVIEW
QUESTIONS ARE MARKED

75. S-T-A-R CBI QUESTIONING PROCESS

76. • PROBING - It may be necessary to probe with
additional, relevant questions at all stages of the
process.
• “CBI HAS A CLEAR FOCUS ON ESTABLISHING JOB FIT”
CBI INTERVIEW – CRITICAL SUCCESS
FACTOR

77. STAGE 4: MAKING AN APPOINTMENT
(OFFER)
• Making an offer:
 Before making an offer of employment, employers have responsibility for
checking that applicants have the right to work in the country and are
appropriate for the work.
 Offers of employment should always be made in writing.
 Employers must also be aware of the legal requirements of and what
information should be given in the written statement of particulars of
employment.
• Joining the organisation (On-boarding):
 Well-planned induction enables new employees to become fully operational
quickly and should be integrated into the recruitment process.
 A best practice on-boarding model

79. LEARNING
ACTIVITY 4
• Develop an EVP for a
defined organization, as a
means of attracting top
talent and positioning your
organization as an
“employer of choice”.
• By benchmarking against
the Talent Acquisition
Maturity Model, critically
evaluate your
organization’s talent
acquisition (TA) strategies
and processes and peg
your organization at the
most appropriate level.
Discuss transformation
strategies to actualize to
level 4: Strategic TA.

80. LEARNING
ACTIVITY 4
• By referring to the
“changing face and new
rules” of recruitment,
evaluate your current
talent acquisition
future-fit status and
readiness.
• Critically evaluate your
current job selection
strategies, in particular,
the a) validity of
selection methods, b)
the use of Competency-
based job interviewing
and c) the viability of
your on-boarding
processes.

81. OBJECTIVE #5:
Employee Engagement and Talent Retention

82. AGREE OR DISAGREE?
WHY?

84.  #1 Role clarity and expectations
 #2 Resources – materials and
equipment
 #3 Role optimization and opportunities
 #4 Receipt of recognition and praise
 #5 Managerial care and interest
 #6 Encouragement of personal and
professional development
GALLUP Q12

85.  #7 Opinions and inputs are valued
 #8 Job/task significance
 #9 Fellow employee commitment to
performance excellence/quality
 #10 Collegial and harmonious working
relationships
 #11 Managerial interest in career
progression and development
 #12 Ample opportunities to learn and grow
GALLUP Q12

86. EMPLOYEE ENGAGEMENT DRIVERS

88. DEGREE OF S.A EMPLOYEE ENGAGEMENT (GALLUP 2013)

89. BENEFITS OF EMPLOYEE ENGAGEMENT

93. ENGAGEMENT’S EFFECT ON 9 KEY PERFORMANCE
INDICATORS

94. STRATEGIES

95. CIPD STRATEGIES (2013)
• “Giving employees meaningful voice: facilitating upwards feedback,
having respectful, adult to-adult conversations and responding to
employee views
• Effective communications that keep employees well informed and
reinforce the organisation’s purpose
• Role modelling: employees need to see that managers are
committed to the organisation and uphold the values of employee
engagement in how they act
• Fair and just management processes for dealing with problems and
supporting employee well-being.”

96. MOST IMPACTFUL EMPLOYEE
ENGAGEMENT DRIVERS
(HARVARD BUSINESS REVIEW – 2014)

97. STRATEGIES TO ACCELERATE
EMPLOYEE ENGAGEMENT
• According to Gallup (2013), three
(3) strategies to accelerate
employee engagement are:
 Select the Right People and
Managers
 Develop employees’ strengths
 Enhance employees’ well-
being

98. BEST PRACTICE
EMPLOYEE
ENGAGEMENT
• According to Gallup (2013) research,
the best organizations deeply integrate
employee engagement into the
following four (4) areas:
 Strategy and Leadership
Philosophy
 Accountability and Performance
 Communication and Knowledge
Management
 Development and on-going
Learning Opportunities

99. ARMSTRONG’S EMPLOYEE
ENGAGEMENT STRATEGIES
Leadership
The work environment
Job design
Opportunities for
personal growth
Performance
Management

102. TOTAL REWARDS STATEMENTS

103. BENEFITS OF TRS

104. LEARNING
ACTIVITY 5
• Critically review the
Employee Engagement
strategies. Indicate which
strategies are most viable,
feasible and sustainable.
• Evaluate the current degree
of your organization’s
employee retention by
gauging against the a) 10
retention criteria and the b)
Deloitte’s Irresistible
Organization.
• Craft and develop a Total
Rewards Statement (TRS) as
a form of retaining and
motivating top talent at your
organization.

105. OBJECTIVE #6:
Performance Management and Competency
Development

106. THE CHANGING FACE OF PMS
(COTTER, 2017)
• #1: RE-ENGINEERING THE ANNUAL REVIEW CYCLE
• #2: SHIFT FROM PERFORMANCE RATINGS TO
STRENGTHS-BASED PERFORMANCE COACHING
• #3: CONTINUOUS PERFORMANCE MANAGEMENT
SOFTWARE OVER APPRAISAL SOFTWARE
• #4: AUTOMATION, APPS, SIMPLICITY AND AGILITY
• #5: PERFORMANCE DISCUSSION AND FEEDBACK TO
PERFORMANCE DIALOGUE

107. THE CHANGING FACE OF PMS
(COTTER, 2017)
• #6: CROWD-SOURCED PERFORMANCE DATA, PEOPLE
ANALYTICS AND SNAPSHOTS
• #7: PERSONALIZATION AND EMPLOYEE EXPERIENCE (EX)
• #8: PERFORMANCE DIFFERENTIATION
• #9: SHIFT FROM PERFORMANCE MANAGEMENT TO
PERFORMANCE IMPROVEMENT
• #10: DE-COUPLING PERFORMANCE AND COMPENSATION

108. VIDEO CLIP
• Reinventing Performance
Management at DELOITTE
(HBR)
• https://hbr.org/video/512
2969232001/reinventing-
performance-
management

109. PERFORMANCE EQUATION

110. LEARNING
ACTIVITY 6
• Group Discussion:
• Using a 10-point scale
(1 = very poor; 5 =
average to 10 =
excellent), calculate
your organization’s
performance
potential score.
• Identify gaps and
recommend
improvement
strategies.

111. CAUSES OF POOR
PERFORMANCE
Skills/competence
Personal problems
Lack of resources
Organizational
factors

112. PERFORMANCE
MATRIX

113. PERFORMANCE IMPROVEMENT
• Assuming the role of a coach:
Identify performance problems that may be affecting performance and
where improvement is required
Generate possible solutions and map a plan to improve performance.
Identify those performance areas where the team member is performing
well
Communicate future performance expectations and requirements
• Guidelines for preventing poor performance:
Communicating clear performance standards and expectations to
employees
Providing regular and frequent feedback on performance
Rewarding and recognizing good performance, informally and
formally

115. MEASURING COMPETENCE

117. BEST PRACTICE CRITERIA: SKILLS
AUDITING
• #1: A job analysis must be used as a basis for the skills audit
• #2: Definitive performance standards must be developed,
written, and provided to all stakeholders, regardless of the
type of rating
• #3: Raters are trained to use the rating instrument properly
• #4: Formal appeal mechanisms must be in place and
assessment results need to be reviewed to ensure fairness
and reliability
• #5: Multiple techniques/approaches are utilized and ratings
are supported with documented examples of behaviour

118. BEST PRACTICE CRITERIA: SKILLS
AUDITING
• #6: Employees are given a chance to improve their skills through targeted development opportunities
• #7: The 7 E’s - the Skills Auditing process is efficient, effective, economical, educational, ethical,
empirical and evidentiary
• #8: Compliance with the following principles of Skills Audits:
 Fairness
 Validity
 Reliability
 Transparency/ Openness
 Constructive feedback
 Objectivity
• #9: The outcome of the skills audit generates predictive analytics and business intelligence, providing
the organization with a strategic competitive advantage
• #10: Skills Auditing must be a holistic, systematic, integrated and aligned approach

119. LEARNING ACTIVITY
7
• Individual activity:
• Review and evaluate your
organization’s current skills audit
practices against the ten (10) best
practice criteria.
• https://www.surveymonkey.com
/r/3YZDG8F
• Group discussion:
• Identify gaps and recommend
improvement strategies to
address these process gaps.

120. 5 C’s – THE KEY BENEFITS
OF A SKILLS AUDIT
• Compliance
+
• Competitive
+
• Cash
+
• Credibility
+
• Competence
= Clean Skills Audit

121. SKILLS AUDITING PROCESS – ILLUSTRATED

122. SKILLS AUDITING
PROCESS
• Step 1: Determine Skills
Requirements
(Competency profiling)
• Step 2: Audit actual skills
• Step 3: Determine
development needs and
plan for
training/restructuring

123. STEP 1: DETERMINE SKILLS
REQUIREMENTS
• In order to determine skills requirements, an organization should identify current
and future skills requirements per job.
• The end result is a skills matrix with related competency definitions. Definitions
can be allocated against various proficiency levels per job, such as basic,
intermediate and complex.
• Objective: Determine the critical or required skills (elicited from job profiles, your
strategy, or competency matrix).
• Skills matrix process:
 Step 1: Workshop with a project team (include Subject Matter Experts)
 Step 2: Use outcomes analysis to derive skills/knowledge factors and unit standard titles
 Step 3: Use results of outcomes analysis and value chain process to develop a skills
matrix and titles matrix
 Step 4: Verify matrices with SMEs and finalise

124. SAMPLE OF SKILLS MATRIX

125. SAMPLE OF SKILLS MATRIX

126. STEP 2: AUDIT ACTUAL SKILLS
• Step 2 involves an individual self-audit and skills audit
• Results are collated into reporting documents that may
include statistical graphs, qualitative reports and
recommendations
• A skills audit includes auditing qualifications,
experience and training (knowledge)
• Conducting a Skills Gap Analysis

127. HIERARCHY OF SKILLS

128. SKILLS AUDIT RATING SCALE
Rating Description Definition
0 No evidence of competence An individual does not currently display any form or level of competence in the
skill listed. He or she may require formal training and exposure to the skill in the
workplace.
0.25 Some evidence of competence The individual may demonstrate part competence, but definitely needs formal
training and exposure to the skill in the workplace.
0.5 Evidence of competence, needs further
training
An individual is competent, but needs to improve. Training is the most effective
solution. The individual may be at a lower level than the position requires, i.e. at
linear, instead of complex level.
0.75 Evidence of competence, needs more
exposure to the skill
The individual is competent and has undergone training. Further exposure in the
workplace would ensure improvement and full competence. The individual may
be at a lower level than the position requires, i.e. at linear, instead of
intermediate level.
1 Full evidence of competence The individual is competent in the skills at the level allocated to his/ her position.

129. STEP 3: DETERMINE DEVELOPMENT NEEDS AND PLAN FOR
TRAINING/RESTRUCTURING
• Once skills audit information has been collected, an analysis of the
results may be used for planning purposes relating to training and
development and other Human Resource interventions.
• Recommendations are then discussed and agreed actions are
implemented.
• This skill shortfall forms the basis of a Training Needs Analysis
(TNA) so that the company can reach the desired skill base
amongst its employees.
• A gap analysis is the outcome of the skills audit process.
• Information that is provided through the skills audit can be used
for the multiple HRM and business purposes.

130. LEARNING
ACTIVITY 8
• Group Discussion:
• By referring to the four
quadrants of the
Performance Matrix,
recommend
performance
development strategies
for the underachievers
and poor performers.
• Describe how the skills
auditing process can be
applied as a
competency
development tool in
your organization.

132. • Succession planning is the identification and development of
potential successors for key positions in an organization,
through a systematic evaluation process and possible
training or mentoring.
• Succession planning and management involves an integrated,
systematic approach to identify, develop and retain talent
for key positions and areas in line with current and projected
business objectives.
• Succession Planning is "a means of identifying critical
management positions, starting at the levels of project
manager and supervisor and extending up to the highest
position in the organization.”
DEFINING SUCCESSION PLANNING

133. • Succession planning is about filling the
organization's talent pipeline and
building internal bench strength.
• It is about leveraging the talent that
the organization already possesses by
developing it to full potential.
• The focus is on developing employees
so that the organization has a pool of
qualified candidates who are ready to
compete for key positions and areas
when they become vacant.
OBJECTIVES OF
SUCCESSION
PLANNING

134. • Keeping or preserving key positions, core skills, and special business know-how
• Maintaining business competiveness on key or core areas or positions
• Minimizing the impact on business due to unexpected key turnover or extended
employee absences due to health or personal issues (i.e. have candidates “ready
now” to replace planned and unplanned losses on key positions)
• A more efficient and effective public/customer service with increased ability to
deliver on business goals
• The development of a qualified pool of candidates ready to fill key positions or
areas
• Improved employee engagement through career development and resulting cost
benefit
• The opportunity for corporate knowledge transfer
BENEFITS OF SUCCESSION PLANNING

135. LEARNING
ACTIVITY 9
• Individual activity:
• On a rating scale of 1 = Poor and 4 = Excellent,
diagnose the current degree of strategic
relevance and importance of your
organization’s succession planning, with
reference to the following statements:
• #1: Succession planning is a strategic driver of
sustainable organizational development?
• #2: Succession planning is an enabler of the
achievement of strategic goals/objectives?
• #3: Succession planning is implemented on 3
levels – executive management; senior
management and critical/key roles
(professional and technical) to develop
qualified successors?
• #4: Succession planning is vertically aligned
with the strategic/business plan?
• #5: Succession planning is horizontally
integrated with other HRM value chain
processes e.g. Workforce Planning; PMS;
Learning and Development etc.?

136. LEARNING
ACTIVITY 9
• Group
Discussion:
• Identify gaps
and
recommend
improvement
strategies to
address these
process gaps.

137. STRATEGIC LINK BETWEEN SUCCESSION PLANNING AND
ORGANIZATIONAL SUSTAINABILITY

138. • Succession planning should be a proactive process geared to meeting individual
employees’ and the organization’s needs.
• It should allow staff the opportunity to gain experience and training in different
areas before they are needed in critical positions.
• This may have the added benefit of keeping employees challenged and stimulated,
which may foster retention while employees wait for openings.
• The commitment of employees to their own development.
• The personal involvement of senior leaders, as well as their personal
accountability and responsibility for growing leaders.
CRITICAL SUCCESS FACTORS FOR SUCCESSION
PLANNING – BEST PRACTICE PRINCIPLES

139. • The succession plan must support the organization’s strategic plan and values.
• It should also take the needs and interests of senior leaders into consideration.
• Succession planning and management is about developing employees and
supporting them in their careers to ensure that the organization has pools of talent
for key areas. It is not about identifying heirs to specific positions.
• Succession planning extends to all levels of the organization - a growing number of
organizations are finding that it should also be applied to the company’s most
strategic and critical roles, no matter where they may fall in the hierarchy.
• Employees play a role in the process by identifying their career interests, having
an opportunity to be assessed for key roles and developing their learning plans.
• Succession Planning should be integrated with HRM value chain functions.
CRITICAL SUCCESS FACTORS FOR SUCCESSION
PLANNING - BEST PRACTICE PRINCIPLES

140. PITFALLS TO AVOID WITH SUCCESSION
PLANNING
• Using the past to plan for the future
• Stopping at the CEO
• Not getting the Board onboard
• Allowing human capital roadblocks to take root
• Succession isn't part of the culture
• The wrong people making decisions

141. • Succession planning starts when
you can accurately measure the
performance of employees,
assess skills and career growth
information.
• Succession planning tools need
to have extensive integration
and customization options to
support all of your talent
management efforts.
• Refer to the software criteria
and requirements
• Succession Planning metrics -
Measure outcomes, not process
SUCCESSION
PLANNING TOOLS

142. • “Effective succession planning cannot succeed without
commitment from leaders at all levels, starting at the
top.”
• The primary responsibility for succession planning
should rest with the Board of Directors and the CEO
with the assistance of human resources.
• Strategic management and deployment of succession
management practices is one of the most important
responsibilities of the board and the CEO in ensuring
both business continuity and stewardship of an
organization for the future.
THE CRITICAL AND STRATEGIC ROLE OF
EXECUTIVE/SENIOR MANAGEMENT

143. THE ROLE OF HRM IN SUCCESSION
PLANNING
• Provide timely advice and guidance to managers.
• Engage in and ensure ongoing discussions with
bargaining agents.
• Ensure ongoing discussions with corporate planners
and ensure that linkages are made to program
management.
• Assist managers with the evaluation of succession
planning initiatives.

144. ROTHWELL MODEL

145. U.S. OFFICE OF PERSONNEL MANAGEMENT MODEL -
ILLUSTRATION

146. STEP 7 REVIEW AND EVALUATE THE
IMPACT/EFFECTIVENESS OF SUCCESSION PLAN
STEP 6 MONITOR AND TRACK PROGRESS
STEP 5 IMPLEMENT SUCCESSION PLAN AND
DEVELOPMENTAL STRATEGIES
STEP 4 DEVELOP SUCCESSION PLAN AND STRATEGIES
STEP 3 IDENTIFY TALENT GAPS
STEP 2 IDENTIFY AND ASSESS SUCCESSORS – POTENTIAL
AND PERFORMANCE (9-BOX MATRIX)
STEP 1
IDENTIFY CURRENT CRITICAL/KEY POSITIONS AND
ANALYZE FUTURE REQUIREMENTS AND
COMPETENCIES (BUSINESS STRATEGY)
GENERIC
SUCCESSION
PLANNING
PROCESS

147. STEP 2: IDENTIFY AND ASSESS SUCCESSORS –
9 BOX MATRIX

148. LEADERSHIP DEVELOPMENT

149. ASSESSING LEADERSHIP POTENTIAL
(GALLUP)

150. LEARNING
ACTIVITY 10
• Group discussion:
• Apply steps 1-4 of the
generic succession plan
process to your
organization.
• Step 1: Identify current
critical/key positions and
analyze future
requirements and
competencies (business
strategy)
• Step 2: Identify and assess
successors – potential and
performance (9-box
matrix)

151. LEARNING
ACTIVITY 10
• Apply steps 1-4
of the generic
succession plan
process to your
organization.
• Step 3: Identify
talent gaps
• Step 4: Develop
succession plan
and strategies

152. CONCLUSION
• Key points
• Summary
• Questions
• Training Administration
• Certification

153. CONTACT DETAILS
• Dr. Charles Cotter
• (+27) 84 562 9446
• charlescot@polka.co.za
• LinkedIn
• Twitter: @Charles_Cotter
• https://www.facebook.com/CharlesACotter/
• http://www.slideshare.net/CharlesCotter