10 Mistakes To Avoid When Succession Planning

Leaders share their insights

 

From putting all your eggs in one basket to being closed about the “why” behind decisions, here are 10 answers to the question, "What are some mistakes you made that everyone should know and avoid when succession planning?"
 

Investing in only one person as part of your succession planning can be a risk you might not want to take. Life intervenes all the time, and this may lead to people pursuing other opportunities. All the time, energy, and resources you have invested in that person can vanish, and you have to start over with someone new. 

Investing in only one person also means you leave other high-potential leadership candidates out of developmental opportunities, which may leave them disengaged and unsatisfied. A better way to think about your succession planning is to invest in multiple people; even if there are no promotions in the short term, these employees will be more engaged when they know they have a future in the company, and you will have multiple candidates ready, eager, and prepared to take on greater responsibility.
 

Anthony Martin, Founder and CEO, Choice Mutual

Continuous performance management of potential leadership candidates is essential for effective succession planning. We once made the mistake of relying on a single annual review, but that is not enough to paint a full picture. 

Scheduling regular check-ins with key candidates are the foundation of continuous performance management. By following up with a personalized review plan, we can give candidates guidance on the areas they need to work on. This ensures that your leadership candidates are consistently engaged and motivated toward achieving your organization's goals.
 

Shawn Plummer, CEO, The Annuity Expert

Succession planning requires strategic thinking and long-term vision, as well as proactive preparation in order to ensure a business's continuity. When done right, a reliable succession plan can prevent the sudden disruption of operations or excessive costs because of unforeseen events, such as high-level resignations or departures through retirement. 

Many HR leaders are unaware of how important it is to anticipate potential scenarios and plan for them accordingly. It is therefore essential not only to create policies around recruitment and personnel development but also to prioritize providing training and support so that others can step up when needed. 

To successfully manage any kind of transition as part of a succession plan, having prior plans in place makes all the difference between an effortless switchover versus an expensive crisis management operation.
 

Travis Lindemoen, Managing Director, nexus IT group

One mistake our HR leader has made regarding succession planning is failing to involve key stakeholders. It resulted in a plan that was not aligned with the business goals, unique needs, and requirements of different areas of our company. The takeaway: with succession planning, one person cannot do everything alone. 

It's important to engage senior management, existing staff members, and other pertinent departments within the company. It is beneficial when making important decisions about who should fill a leadership role or department vacancy. 

Senior managers will probably have invaluable insight into their departmental needs, while current staff may know how similar positions have been filled previously or even provide feedback regarding those already vying for new roles after someone has left. Finally, by doing this, HR leaders can prevent companies from making expensive mistakes and make the difference between success and failure in this area.
 

Maria Harutyunyan, Co-Founder, Loopex Digital

I may not be working in HR, though as the company founder, access to software and proper documentation is an issue I've run into way too many times. First, documentation. If there's a new process you're starting, be sure to file everything according to guidelines, and file EVERYTHING. 

I cannot count the number of times I had to start over a discussion on a matter that had been resolved before. As for the access, similarly to documentation, if you're using a new HR software and creating a new account, or upgrading the freemium account, be kind and considerate by adding the account information to the password manager and not in your Google Chrome saved passwords. 

This advice may seem straightforward, but here we are highlighting its importance due to constant negligence in such matters.
 

Derek Sall, Founder and Financial Expert, Life and My Finances

It's easy to assume that when hiring internally for a succession role, the person you've promoted would know everything there is to know. This will one hundred percent not be the case. That person, too, has made assumptions about the role and they're likely far off base in some facets. It's best to have a plan in place to walk the successor through each aspect of the role. Take your time with this, as you'll only get one chance to get this right.
 

Jarir Mallah, HR Specialist, Ling App

One mistake I made in succession planning was failing to start the process early. Succession planning involves transferring control, ownership, and management of a business or organization from one generation to the next. It is a complex process that takes time, planning, and careful consideration. 

Starting the process too late can cause a rushed and less effective succession plan and can also put the business or organization's future at risk. To avoid this mistake, it is crucial to start the succession planning process well before when the transfer of control will occur to ensure enough time to make informed decisions, address potential challenges, and implement a smooth transition.
 

Jason Moss, President and Co-Founder, Moss Technologies

One mistake that I made and that others should know when succession planning is not giving enough attention to cultural fit and shared vision. It's easy to focus on finding someone with the right skills and experience, but it's equally important to ensure that they share the same culture and vision for the organization. 

Bringing in someone who doesn't share the same culture and vision can create tension and conflict, and ultimately undermine the success of the succession plan. It's essential to take the time to identify and evaluate candidates who align with the organization's values, culture, and long-term vision.
 

Derek Bruce, Senior Director, Newcastle First Aid Courses

Succession planning is much more an art than a science. If we pigeonhole people into a (high potential) box, then we can create unrealistic expectations for them and the business. It also alienates people who have an idea about what they want for their careers. 

Not everyone is right for every role. Not everyone wants to be a CEO (or a manager!), and your criteria for the traditional nine-box should not be static either. So, try to think broader, and allow yourself to be more agile with succession planning. 

We believe everyone has potential, right? So, think about "the potential for what," and it's much easier to build a plan around that, as you already have a final direction.
 

Jo Taylor, Managing Director, Let's Talk Talent

Just so you know, everyone is entitled to a justification for their exclusion from your list of potential candidates. Making sure the staff is aware of the reasoning behind why specific candidates are on your list and others are not is a crucial step in attaining transparency in succession planning.

It's a sensitive job. It can be simpler for people to accept disappointment if you have an open dialogue about what your staff lacks. This is an opportunity for you to collaborate with your workers to create a development plan that will help them resolve the problem and improve their performance, which will ultimately benefit your company more.
 

Ethan Bull, Owner, ProAssisting

Brett Farmiloe is the Founder and CEO – and currently CHRO - of Terkel.io.