Succession planning

Establishing and maintaining a succession planning system is one of the key elements in managing strategic human resource risks.

Every organization inevitably encounters the concept of succession - if not voluntarily, then "involuntarily" when one or more key personnel suddenly depart, or as retirements approach with no one to reliably and effectively take over their roles. In such situations, companies often scramble to find quick and acceptable solutions, which, even if they ultimately prove successful, demand a lot of energy, time, adaptation, and compromises that might not be necessary.

An established and functioning succession planning system is essentially one of the most critical components of human resource risk management. It allows for the planning of human resource strategies for unexpected situations and ensures the smooth operation of the company. The implementation program follows specific steps, from identifying key positions to developing plans for selected successors. The methodological framework and execution depend on various factors, including the company's size, industry, the capabilities and time availability of the internal HR department and leadership, as well as the specific desires and needs of the company's leadership.

Succession planning is not a standardized program or a one-time event; it is a fluid, continuous, and interactive process that the leadership and HR department can incorporate into the company's developmental HR activities and use the findings more broadly.