If someone in management quit, do you have a replacement?
Introduction
If someone in management quit, do you have a replacement? This is a question every business owner should ask themselves. The answer may not be as easy as you think. Replacing key members of your team, especially those in management, can be difficult and costly. That's why it's important to have a plan in place for when (not if) this happens. So, what steps can you take to make sure you're prepared? In this article we’ll discuss what is a succession plan, why it’s necessary for all businesses, and how to set your company up for success.
What is succession planning?
The University of Washington's Human Resource team defines succession planning as "the process of identifying the critical positions within your organization and developing action plans for individuals to assume those positions." In other words, it's a way to make sure that your business has a plan for what will happen when key members of your team retire, leave the company, or are otherwise unable to work. While it may seem like a daunting task, succession planning is actually relatively simple. Start by identifying those critical positions within your business and develop an action plan to train others on your staff to assume those roles at any given moment.
“Succession planning helps build the bench strength of an organization to ensure the long-term health, growth and stability.”
Why is it necessary?
Business owners usually fall into one of two categories. One, they don’t consider the fact that someone within their critical management will ever move on to new or better business opportunities. Or two, they are under the ‘I’ll just do it’ motto and fill in any gaps that arise. By having a succession plan in place, you can avoid any disruptions to your business if a key member of your team does move on. Additionally, succession planning can help to ensure that your business continues to run smoothly even as it grows and evolves over time. By taking the time to plan for the future, you can help to protect your business against any potential bumps in the road.
“One of the things we often miss in succession planning is that it should be gradual and thoughtful, with lots of sharing of information and knowledge and perspective, so that it’s almost a non-event when it happens.”
How to go about formulating a plan?
So, we know what a succession plan is and we know why it’s necessary; now it’s time to develop an action plan that could be used at any time. The first step is to identify the critical positions within your organization. These are the roles that are essential to the functioning of your business. Once you have identified these positions, you need to develop a plan for how they will be filled in the event that the current occupants are no longer able to do so. This may involve training current employees to take on new roles, hiring new employees, or making changes to your organizational structure. Regardless of how you do it, the important thing is that you have a plan in place so that your business can continue to run smoothly even when key members of your team are no longer able to work.
Conclusion
A well-executed succession plan is one of the most important things a company can do to ensure its future success. By taking the time to form a plan and put it into action, you are ensuring that your business will be in good hands no matter what happens. If you haven’t already started thinking about succession planning for management within your company, now is the time to get started. Let us help you formulate a plan that will work for your business and put you on the path to long-term success!