In the recent explosive growth of talent management, performance and recruiting always seemed to be the drivers, but compensation administration and succession planning always seemed close behind.\u00a0 I\u2019ve always thought that recruiting and performance would level off as most organizations purchased and implemented modules and moved onto comp and succession.\u00a0 Unfortunately, it seems I\u2019ve been wrong.\u00a0 Certainly performance sales don\u2019t seem to have stagnated, and while compensation is increasing in adoption, people don\u2019t really implement succession or workforce planning.\u00a0 Succession plans are all the talk, but it looks like succession is still gathering momentum.<\/p>\n
I\u2019m a bit surprised that HBR says 60% of HR directors don\u2019t think their CEO\u2019s have planned successors.\u00a0 I wonder if asking HR Directors is simply the wrong level to be asking\u2026 after all, HR directors should know about division succession, but CEO succession would more likely be handled at the VP or corporate level.\u00a0 I don\u2019t doubt thought that there is a gap in leadership succession, which might mean that there is a larger problem in weak leadership development in these same organizations.\u00a0 If you don\u2019t have a succession plan, does that mean you also don\u2019t have a CEO development plan or your top candidates?\u00a0 The answer to this should be an obvious \u201cno\u201d since if you don\u2019t have a succession plan, you obviously don\u2019t have top candidates that you are applying targeted development to.<\/p>\n
I was appalled to learn recently that 60% of the respondents to a poll of 1,380 HR directors of large U.S. companies said their firms have no CEO succession plans in place. As this finding suggests, too many companies have over the past two decades ignored the hard work of building future leaders while senior executives have focused increasingly on meeting the next quarter\u2019s earnings target. When the time comes to name a new CEO, more firms look outside. Yet strong evidence supports the notion that a well-groomed insider is a key to sustained company performance. In my analysis of 1,800 successions, for instance, I found that company performance was significantly better when insiders succeeded to the job of CEO. Other researchers, including Jim Collins in Good to Great, have come to similar conclusions working from different data sets.\u00a0 ((http:\/\/harvardbusinessonline.hbsp.harvard.edu\/hbsp\/hbr\/articles\/article.jsp?ml_action=get-article&articleID=R0711E&ml_page=1&ml_subscriber=true))<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"
In the recent explosive growth of talent management, performance and recruiting always seemed to be the drivers, but compensation administration and succession planning always seemed close behind.\u00a0 I\u2019ve always thought that recruiting and performance would level off as most organizations…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","footnotes":""},"categories":[8,20,16],"tags":[],"class_list":["post-1031","post","type-post","status-publish","format-standard","hentry","category-strategies","category-talent-management","category-workforce-planning"],"_links":{"self":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/1031","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1031"}],"version-history":[{"count":1,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/1031\/revisions"}],"predecessor-version":[{"id":1032,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/1031\/revisions\/1032"}],"wp:attachment":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1031"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1031"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1031"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}