navigating your way through succession planning

1 © SHL 2013 May 10, 2013

Version 2.0 Commercially confidential

Navigating your way through Succession Planning Why Organisations Need To Plan Today For Unexpected Changes in Business Tomorrow

2 © SHL 2013 May 10, 2013


Is your boss coming back to work tomorrow?

To what extent are organisations

recognising the important role that

succession planning today plays in

maximising business performance

tomorrow?

CEO and board exits are frequently hitting the media

headlines as unexpected departures leave companies

exposed

The average CEO tenure has shortened by more than

18 months over the last decade.

3 © SHL 2013 May 10, 2013


Introduction to the key findings

• explores how succession planning is

being implemented across

organisations and

• identifies trends around unexpected

changes in leadership and its effects

on company morale and growth.

This presentation will give a snapshot of the key findings.

SHL commissioned a research survey, conducted by Opinion Matters during

the period 16 - 26 March 2012. 258 HR decision-makers in the UK were

polled. All worked in businesses with 250+ employees

SHL’s research, ‘Navigating your way through Succession Planning’:

http://www.shl.com/successionplanning/succession-in-action/download-survey-findings/

4 © SHL 2013 May 10, 2013


The impact of unexpected changes in leadership

• Over the last 12 months, almost

half (43%) of UK companies

surveyed have experienced an

unexpected change in

leadership

• Almost a third (32%) cited it had

led to a decrease in morale

amongst employees

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Successors for C-suite

• Almost half (49%) of

respondents stated having a

plan in place at board level

was the top priority for

companies of over 1,000

employees

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Successors for leadership

• 75% of people currently occupying

senior manager or executive roles

have the ability to develop a

compelling vision for their

organisations and convert this into

a tangible plan of action

• Overall, 39% said it took 4-6

months to replace director level

employees

SHL Talent Report 2012

http://www.shl.com/uk/forms/content/the-shl-talent-report

7 © SHL 2013 May 10, 2013


Succession for the engine room of the company

• Over half of those surveyed (48%) have succession

plans for technical experts or specialists, despite

45% of respondents stating it only takes 1-3 months

to recruit for these positions

8 © SHL 2013 May 10, 2013


Succession for the engine room of the company

• On average, less than a quarter (24%) views the IT

department as a priority to have a succession

plan in place for, and this drops to 1 in 5 for

customer service

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Identifying talent early

• Statistics suggest that

organisations with a workforce

between 250-750 and 1000+ are

investing in developing

succession planning for

graduates

• Companies with 751-1000

employees are more concerned

with technical specialists

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Emerging potential

• SHL Talent Analytics data indicate that around 1 in

12 junior staff have the potential to be an

effective leader, compared to the UK-wide average

of 1 in 10

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Effective succession planning

• No business, irrespective of sector or size, is

immune to losing its top talent

• Organisations needs to have a strategy in place

to deal with this loss to ensure business

continuity, momentum and reputation

protection.

12 © SHL 2013 May 10, 2013


• For succession planning to be effective, it

must be a holistic company-wide

process that considers, balances and

provides a talent pool of short-term

replacements as well as long-term

successors.

Effective succession planning

• The key to effective succession is having the

processes in place to take an objective view of

your people to understand where the next

generation of leaders will come from.

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Six strategies for achieving effective succession planning

1. Take a holistic approach and establish a culture of talent

sharing.

2. Define what a high-potential candidate is in your organisation

3. Capture talent analytics data and use it to inform succession

planning

4. Consider individual’s aspirations and

motivations when creating talent pools

5. Measuring readiness

6. Continually review and refine your strategy

Read the steps in full: ‘www.shl.com/successionplanning’




14 © SHL 2013 May 10, 2013


Navigating your way through succession planning

SHL

This research explores how succession planning is

being implemented across UK organisations.

The findings are FREE to download in the full report

at www.shl.com/successionplanning

http://www.shl.com/successionplanning

15 © SHL 2013 May 10, 2013


SHL’s Succession Planning Solution

• Determine the critical roles essential to

business success, and skills and future

capability required in these positions

• Identify your ‘high potential’ talent and predict

an individual’s potential to be high potential

• Accelerate high potential talent into

measurable business results

• Assessing high-potential employees

readiness to manage progressively advanced

responsibilities

Find out more about SHL Succession Planning Solutions

here: www.shl.com/successionplanning

http://www.shl.com/successionplanning

16 © SHL 2013 May 10, 2013


Why SHL?

• Verifiable business results

• Global presence, local flexibility

• The world’s largest source of data on people at work

• Over 30 years’ global assessment innovation

and expertise

• Our solutions are used by leading organisations,

including over 50% of the Global Fortune 500

• Part of CEB, the world’s leading member-based

advisory company, with 5,700 + participating

organisations

www.shl.com

http://www.shl.com/