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Succession Planning: The Missing Ingredients

                                                                                                    Cezanne Software White Paper




Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Contents




   •         Introduction
             – why succession planning is relevant NOW                                              3

   •         Mind the Middle Management Gap                                                         4

   •         Joining up the Dots                                                                    6

   •         Keeping Development on the Radar                                                       8

   •         Keeping Line Managers in the Loop                                                    10

   •         Robust Systems and Processes                                                         12

   •         Getting Fit for the Future                                                           14

   •         About Cezanne                                                                        16




Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Introduction - 3




                   Introduction - Why succession planning is relevant NOW


                   At a time when survival is still top of                     But the constantly changing and highly
                   the agenda in many organisations,                           competitive environment we’re currently
                                                                               in means it’s more important than ever
                   it may seem incongruous to focus
                                                                               to make sure that talent and succession
                   on planning ahead for succession.                           initiatives are delivering the goods. Cezanne’s
                                                                               experience of working with numerous
                   The first tentative green shoots of recovery                organisations suggests there are several
                   may be appearing, but the reality is that                   key areas where organisations struggle
                   private sector organisations are still hunkering            to ‘join the dots’.
Julie Windsor,
Cezanne Software
                   down, tightening their belts and shedding
                   jobs. There are undoubtedly difficult times
                                                                               There are some issues – such as line
                   ahead in the public sector too, with estimates
                                                                               manager involvement – that are regarded
                   suggesting 350,000 jobs will be lost between
                                                                               as ‘difficult’ to deal with, so they get left out.
                   now and 2015.
                                                                               Or other areas, like providing wider access
                                                                               to talent data, that organisations perceive
                   So at a time when no-one quite knows what                   will force them to be more ‘transparent’
                   is around the corner and talented people                    about their processes than they are
                   are in plentiful supply, why bother with                    comfortable with.
                   succession planning?
                                                                               The trouble is, if important issues like
                   Our view is that it comes back to the old                   these are brushed aside, the result is
                   adage about knowledge being power. If                       a talent management and succession
                   organisations don’t know who they’ve got                    planning programme that is dis-jointed
                   and what they’re good at, how can they                      and only working at half pitch.
                   ensure the business is equipped to meet
                   the next challenge, whatever that might be?
                                                                               This report provides an overview of the
                                                                               common ‘missing links’ and gives guidance
                   If companies don’t know what their people are               for those organisations who want to meet
                   potentially capable of, how can they ensure                 the challenges face on and take their talent
                   they are maximising their talent and getting                management and succession planning
                   the absolute best out of their employees?                   activities from good to great.

                   If they don’t have a clear picture of where the
                   best people are sitting in the organisation,
                   how can they slot them into the right place                      “Employers have to know where
                   at the right time as circumstances change?                        their key talent is if they are to
                                                                                     meet business critical needs.
                   Forward-looking organisations have                                It’s about ensuring your business
                   already recognised that an on-going focus                         is sustainable.”
                   on succession planning will enable them to                                     Claire McCartney, CIPD
                   keep fit for the future. Recent research from
                   the Chartered Institute of Personnel and
                   Development (CIPD) shows that many
                   businesses strongly believe effective talent
                   management could help them out of recession
                   - and they are in fact spending more time
                   on engaging, motivating, retaining and fully
                   using the skills of their existing workforce.




                            Cezanne Software Ltd · Succession Planning: The Missing Ingredients
4 - Mind the Middle Management Gap




                            Mind the Middle Management Gap


                            Succession planning programmes                               roles, which are absolutely critical to the
                            typically revolve around the top                             day-to-day running of the business.
                            layer of the organisation – the critical                     They are being groomed for bigger and
                            positions that provide leadership                            better things – but is anyone ready to
                            for the business and keep a firm                             step into their shoes when they move on?
                            hand on the steering wheel.                                  How near are the people in their teams or
                                                                                         specialist areas to being ready and able to fill
                            There are of course good reasons for this.                   the gap their eventual promotion will leave?
                            The people who sit in these senior roles
                            are the ones who have the knowledge                          Depth, timing and the health of the talent pool
                            and experience that will take the                            are three critical issues that organisations
                            organisation forward.                                        need to consider when they are fine-tuning
                                                                                         their succession planning activities.
                            If the business is to meet the challenges
                            ahead, it has to have a cadre of talented                    Depth
                            people, ready to step into these pivotal
                            positions when the current incumbents                        To have a plan with adequate depth means
                            move on.                                                     making sure there are enough potential
                                                                                         candidates for a key senior role. In an ideal
                            The top end is also, quite sensibly, where                   world, an organisation would have at least
                            organisations tend to start when they are                    two or three names ‘pencilled in’.
                            first getting to grips with succession planning.
                            The reasoning is that if they can cut their                  But it also means looking right down into
                            teeth by successfully managing succession                    the next layer of management. Are there
                            at the top – they can filter the process down                enough people with the right skills and
                            through the organisation later on.                           qualifications to cover the critical operational
                                                                                         roles that could potentially be left empty?
                            What organisations often fail to pay enough                  What kind of development needs to take
                            heed to, however, is that decisions they                     place further down to make sure the
                            make about the top leadership and                            business isn’t leaving itself exposed?
                            management positions can have an
                            enormous impact in the ranks below.                          When organisations start to look more closely
                                                                                         at this issue, they often find two things:
                            The leaders of the future – those people who
                            have been earmarked as high potential and                    Over-reliance on certain individuals: So
                            put into the talent pool – are the ones sitting              there might well be three people earmarked
                            in middle management right now. Often,                       as possible successors for a particular
                            they are honing their skills in key operational              leadership role – but they have also been
                                                                                         highlighted as possible candidates for a
                                                                                         number of other roles too, and there’s
                                                                                         only one of them to go round!

                                                                                         Under represented roles: These are the
                                                                                         roles that are important but more difficult
                                                                                         to plan for, either because they are less
                                                                                         ‘popular’ roles (i.e. not many people are
                                                                                         interested) – or because they demand a
                                                                                         specific and hard to find combination of
                                                                                         skills, qualities and specialist expertise.




              Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Mind the Middle Management Gap - 5




Timing                                                Key Questions
Timing is also a key issue. It’s not just about       •   Does your organisation’s succession
who’s ready – it’s about who’s ready right                plan have enough depth?
now, who will be ready in six months time
and who will need to get at least another             •   Have you considered the impact
year’s experience under their belt.                       of potential moves on critical middle
                                                          management roles?
It might be the right time to parachute
someone out of middle management into                 •   Is the business in danger of becoming
a key leadership role – but the wrong time                over-reliant on a few individuals?
for them to leave because none of their
likely successors are quite ready to step             •   Are there roles that are not
up to the mark.                                           adequately covered?

The impact can be far reaching. Morale in             •   Do you have a clear picture of how the
the team can plummet, performance can                     timing of possible moves fits together?
take a dip and the department’s ability to
provide a quality service to its customers
can be compromised.
                                                          Encouraging International Mobility
Technology can play an enormous part in
helping organisations put the pieces of this              “A well-designed system can help you see exactly how
jigsaw together successfully. It can help                 well some of your internal talent management initiatives
them plot likely moves and see what the                   are working.
impact will be further down the organisation.
                                                          One of Cezanne’s global clients was surprised to find that
It can give a clear picture of how the timing             a programme to encourage international mobility wasn’t
fits together and can highlight where there               as successful as they had thought.
are gaps in succession that need to be
tackled right now.                                        Managers in the talent pool were telling the organisation
                                                          they were willing to take on overseas roles or assignments.
Health of the Talent Pool                                 But the reality was that when these opportunities were
                                                          offered, they were frequently turned down.
Talent pools need regular ‘maintenance’
to ensure they remain healthy and fit for                 Managers clearly felt that if they ruled the possibility of an
purpose. Many organisations fall into the                 overseas posting out, it would have a negative impact on
trap of allowing their talent pools to become             their career progression. But when push came to shove, they
static. But business is constantly changing               didn’t want to uproot their lives and families and move abroad.
– and regular reviews need to take place to
make sure succession planning is in line                  Deeper analysis of the data in the succession planning
with shifting organisational scenarios.                   system highlighted this pattern, and helped the organisation
                                                          to see that although the programme looked good on paper,
Are there people in the talent pool who                   the numbers weren’t stacking up and they needed to review
are ‘at risk’ because opportunities haven’t               their strategy.”
emerged in the expected timescale? Are
processes in place to ensure that ‘hidden’                                                                  Julie Windsor, Cezanne
talent in the middle management ranks
becomes visible? Is the age profile of
the talent pool appropriately balanced?

These are the kind of questions that an
organisations need to ask themselves on
an on-going basis so that they can regularly
‘sanity check’ their talent pool and fine-tune
their succession planning processes.



                                   Cezanne Software Ltd · Succession Planning: The Missing Ingredients
6 - Joining up the Dots




                             Joining up the Dots


                             Effective technology is the                                  •   Plan effectively for the future – but retain
                             key to a succession planning                                     enough flex to cope with the unexpected.
                                                                                              The best systems can show you where
                             programme that really delivers
                                                                                              your key people are, indicate their level
                             the information and interpretation                               of readiness for their next role and
                             that the business needs.                                         demonstrate the impact of moving
                                                                                              them – so that you can respond
                             But many organisations are still tinkering                       quickly to changing circumstances.
                             around the edges of technology – and failing
                             to take advantage of the enhanced level                      Organisations are sometimes concerned
                             of understanding that a specialist system                    that a technological approach will make their
                             can bring.                                                   succession planning programmes too rigid.
                                                                                          Others expect technology will give them all
                             The best technological solutions can help                    the answers and they can just input the
                             the organisation join up all the pieces to                   data and sit back and relax!
                             form a coherent whole, so that they can
                             make decisions based on quality, robust                      Neither is true. The key is to supplement
                             and in-depth information.                                    what the system tells you with an on-going
                                                                                          dialogue between individuals, their
                             Succession management technology                             managers and HR.
                             can help the business fill critical gaps in
                             its knowledge about what talent is available                 It’s about recognising that individuals may
                             and how it can be maximised going forward.                   well have aspirations they haven’t voiced
                                                                                          or an agenda that isn’t immediately obvious
                             Technology allows the organisation to:                       – and making sure these are unearthed
                                                                                          through face-to-face discussions and
                             •   Gather data about wants and needs                        factored into the plan.
                                 from a wide variety of sources – from
                                 individuals, line managers, departmental                 It’s also about understanding that line
                                 or divisional heads, HR and the Board.                   managers sometimes need help to look
                                                                                          beyond the obvious. Are they overlooking
                             •   Align information from key organisational
                                                                                          a potential candidate who doesn’t stack up
                                 processes. Systems can bring together
                                                                                          on paper but could perform really well in
                                 data from appraisals, career plans and
                                                                                          the job? Is there a gap in their team for
                                 learning and development programmes
                                                                                          someone with a more creative approach,
                                 and demonstrate how these connect
                                                                                          even though the job profile might lead them
                                 with resourcing and succession plans
                                                                                          in the direction of someone more analytical?
                                 for individual teams, departments and
                                 the organisation as a whole.
                                                                                          No system alone can give you all the
                             •   Identify possible areas of risk or conflict.             answers. But organisations who learn
                                 There may, for example, be several                       how to capture the data and exploit it to
                                 people ‘ready’ to take on a particular                   best effect will be the ones who will get
                                 role, but no opportunities are likely to be              the best return on their investment.
                                 available at that level for some time. An
                                 effective system will help the organisation
                                 identify other roles that would meet those
                                 individual’s aspirations and lessen the
                                 likelihood of them leaving the business.




               Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Joining up the Dots - 7




Swarovski Case Study
Swarovski is the world leader in precision cut
crystal. The company, which was founded in
1895 in Wattens, Austria, employs 22,000
people and has a presence in more than
120 countries worldwide.

People development is a key strategic priority
for Swarovski and it is committed to investing
in the growth and development of its employees.
However, like many global organisations, the
business has a number of different HR databases
across its international operations. This meant that, with so many disparate systems, it was extremely
challenging for the Swarovski corporate HR team to manage key talent processes – such as career
and succession planning – on a company-wide basis.

“Although Swarovski were using an in-house Access database to support our career and succession
planning process, I knew that we could manage the process much more professionally and gain a much
better understanding of our global talent pool by using a specialist talent management system,” says
Remko Verheul, Global Head of Talent.

After a rigorous selection process, the business decided to work with Cezanne Software, who were able
to provide a global talent management solution which could be configured in line with its evolving career
and succession planning processes.

The system was implemented within a tight frame frame and rolled out to all of Swarovski’s HR managers in
40 countries. They now have a single, consistent view of their top 1000 employees across the globe, which
includes information about performance, potential, leadership, teamwork, functional expertise, international
mobility, strengths, development areas and succession planning.

The benefits are already being felt. Remko explains: “By utilising Cezane’s talent management software
we support and improve the quality of Swarovski’s HR decision making process. One of our most important
HR decisions is when a line manager appoints a certain person to a certain position. If you take a wrong
decision then the impact could be critical to the business.”

As well as succession and career planning software, Swarovski is also taking advantage of Cezanne’s
integrated organisation charting solution to provide it with the tools to view key data on people, positions and
performance in a very visual and accessible way. The organisational charts, together with talent and succession
trees, will provide key HR metrics and allow managers to see issues and opportunities more quickly. Importantly,
this information will support the decision making process in critical areas of Swarovski’s business.

Next year’s talent management process will start again in early March and Swarovski is already looking
forward to the next stage. Remko says: “We are moving in a good direction but the process never stops.
So far the focus has been on the implementation and go live date. The next step is to come up with a plan
to look at how best to maintain and evolve the system. We will also analyse and review this year’s
succession planning process and work out how we can improve and adjust it to make it more effective.”




                              Cezanne Software Ltd · Succession Planning: The Missing Ingredients
8 - Keeping Development on the Radar




                            Keeping Development on the Radar


                            The training budget is often one                             survey said funding for training had been
                            of the first to fall under the axe                           cut, with just over half saying budgets had
                            in difficult times. But suddenly                             remained the same.
                            calling a halt to development
                            activities can have a serious                                What did emerge from the research was
                            impact on an organisation’s                                  that the pressure on budgets had led to
                            ability to survive and grow.                                 some highly innovative development
                                                                                         approaches. Organisations are finding
                            When times are tough, organisations                          new ways of building on the skills and
                            need to make sure they are making the                        capabilities of their managers and keeping
                            most of the talent they have been able to                    them motivated.
                            retain. But if your people’s development
                            is stifled, they will be less well equipped                  The following list of thought-starters may
                            to take on new responsibilities and more                     stimulate your thinking about how to keep
                            difficult challenges – and less motivated                    development high on the agenda when
                            to pull the stops out for you.                               budgets are under pressure:


                            Culling learning and development can                         •   Mentor – upwards, downwards and
                                                                                             sideways! Yes, get senior managers to
                            also have a longer term impact. If managers
                                                                                             act as mentors to people in your talent
                            are not given the opportunity to continually                     pool – but also think creatively about
                            develop their skills and competencies, the                       how you can use mentoring to help your
                            organisation will be less fleet of foot when                     people share experiences and develop
                            it comes to future growth.                                       their own skills.

                                                                                         •   Run ‘bite-sized’ refreshers on key
                            The key is for organisations to ensure                           business topics. Could some of your
                            that their succession plan is actually driving                   senior managers share their knowledge
                            their development programme. An effective                        in a short internal workshop?
                            succession plan will not only identify possible
                            paths for high potential people – it will also               •   Pool information and resources. Ask
                                                                                             people to recommend books, websites
                            pinpoint gaps in their development and
                                                                                             and on-line groups they have found
                            allow the business to prioritise its learning                    particularly useful.
                            and development activity accordingly. If the
                            board can see that money on training and                     •   Use coaching to help your high potential
                            development is being spent in line with what                     people prepare for the transition to their
                            the business actually needs, they are less                       next role.
                            likely to make damaging cuts.
                                                                                         •   Build learning and development alliances
                                                                                             with other like-minded organisations.
                            There is no doubt that budgets for learning                      Can the managers in your organisations
                            and development have been squeezed                               learn from each other by sharing insights
                            during the current downturn, although                            and experiences through facilitated
                            perhaps not quite as badly as had been                           discussion groups?
                            predicted. Around a third of respondents to
                            the CIPD’s 2009 Learning and Development




              Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Keeping Development on the Radar - 9




•   Organise ‘work’ exchanges. Can you                 •   Stretch your people with challenging
    broaden your people’s thinking by giving               internal assignments. Get them involved
    them short, focused experience in a like-              on business critical projects where they
    for-like work swap with a manager from                 can add a fresh perspective whilst
    another industry or sector?                            building their skills.

•   Investigate funding or grants that                 •   Organise job shadowing to give people
    may be available to help support                       in your talent pool a deeper insight into
    your learning and development activity                 the challenges facing their more senior
    (i.e. Train to Gain or grants available                colleagues.
    through bodies such as Regional
    Development Agencies).                             •   Share the learning. Encourage your
                                                           high potential people to share their
•   Consider voluntary placements. Look                    insights and stimulate each other’s
    into opportunities for your up-and-coming              thinking through a bulletin board or
    talent to hone their skills by working on              blogs on your intranet.
    projects with voluntary organisations or
    social enterprises, either in or out of work.




                                    Cezanne Software Ltd · Succession Planning: The Missing Ingredients
10 - Keeping Line Managers in the Loop




                             Keeping Line Managers In The Loop


                             Line managers have to be involved
                             in succession planning activities
                             because quite simply, they are
                             the ones who know the people.
                             It just isn’t feasible in any sizeable
                             organisation for the HR team
                             to have a detailed knowledge
                             of employees and what they
                             might be capable of.

                             Many organisations, however, still pay lip
                             service to line managers – keeping them
                             on the edges of succession planning activity                 only seven per cent of front-line managers
                             rather than allowing them to become fully                    believe that being open about who is
                             involved in the process.                                     regarded as high potential results in
                                                                                          resentment among peers.
                             Some of this reluctance is down to concerns
                             about transparency. It really isn’t that long                Lack of line manager involvement also stems
                             ago when succession planning was regarded                    in part from a lack of understanding about
                             as something that should be shrouded in                      ‘how to do it’ on the ground. Technology has
                             secrecy. The Board, the HR Director and                      now advanced to the point where systems
                             a chosen few others knew who the high                        offer the capability for multiple users to
                             potential people were and what they were                     enter, analyse and utilise data.
                             destined for, but everyone else was kept
                             in the dark.                                                 But organisations are struggling with
                                                                                          the practicalities – and often lack real
                             Organisations were concerned that                            understanding of the groundwork that
                             transparency about who was in the talent                     has to take place to get line managers
                             pool would demotivate those who hadn’t                       both engaged and involved.
                             been put on the fast track – and raise
                             expectations among the chosen few that                       What’s in it for Me?
                             the organisation might not be able to meet.
                                                                                          A key issue that needs to be recognised is
                                                                                          that line managers may actually be reluctant
                             There are organisations who still struggle
                                                                                          to engage in a succession planning process
                             with the concept of openness, although
                                                                                          because, quite frankly, they can’t see what’s
                             thinking does appear to have shifted.
                                                                                          in it for them.
                             Research from Ashridge suggests that

                                                                                          There’s a perception that if you tell everyone
                                                                                          in the organisation about your best people,
    “Line managers need a top down message and organisational                             they will be whisked away to bigger and
     wide involvement before they can play a full part in succession                      better things, leaving you with a huge hole
     planning. That means that clear communication, driven by                             to fill.
     HR, is critical for engagement.”
                                                                                          That’s not too difficult to understand. Line
                                                  Julie Windsor, Cezanne.
                                                                                          managers may have spent a great deal of
                                                                                          time building up a high performing team
                                                                                          that’s delivering great results.




               Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Keeping Line Managers In The Loop - 11




They are getting lots of internal kudos, are          But there are also issues around consistency
being rewarded, financially or otherwise for          of assessment. Some line managers may
their efforts, and it’s all working very nicely       consistently over-rate people in their team,
thank you.                                            because it makes them look good and they
                                                      can bask in the reflected glory.
What line managers need before they
will fully engage is reassurance that the             Others may, deliberately or sub-consciously,
organisation isn’t going to leave them up             under-rate people in their team because
the proverbial creek without a paddle.                they want to keep hold of them or are
                                                      afraid of exposing weaknesses in their
They need, first of all, to see that there’s          own performance.
commitment from the top. That the
organisation’s leaders have made a                    There is a clear need for organisations to
strategic decision to identify and nurture            focus on raising the ability of their managers
high potential people, and that they will be          to manage performance and assess and
recognised for playing their part in that.            develop potential.

They need to understand that someone who              But technology can also help organisations
can identify and nurture talent in their team         adjust the ‘tuning’, so that they wipe out
– and let go of it at the right time – will           any bias and get a clearer picture. The best
themselves be valued highly.                          talent management and succession systems
                                                      can, for example, pick up ‘rogue’ data and
On a practical level, line managers also              highlight where a pattern of consistent over
need reassurance that the organisation is             or under-rating is emerging.
looking at the bigger picture. They want to
know that the business will support them              Tackling both these elements together is
fully in quickly plugging any gaps left if a          the key to getting successful line manager
key member of their team is taken off to              involvement – putting the groundwork in place
pastures new.                                         while also making sure the capabilities of
                                                      technology are being exploited to the maximum.
Willing and Able
Of course being willing to support
succession planning isn’t enough                          Checklist
– line managers also need to be ‘able’.
                                                          •    Send a clear ‘top down’ message about your talent
                                                               management and succession strategy.
The CIPD’s recent War on Talent survey
suggests that identifying and developing                  •    Re-assure line managers that the business
talent in a downturn is an area where                          is taking a holistic view.
managers definitely need more support.
                                                          •    Communicate clearly about the exact role
Only six per cent of respondents felt                          you want line managers to play.
managers were well equipped to manage
talent, 51 per cent said they were only                   •    Emphasise that their contribution will be
partially equipped and 13 per cent felt                        valued and rewarded.
they were not equipped at all.
                                                          •    Equip line managers with the skills they need
                                                               to assess and develop potential.
Part of the issue is around managers’
competence to conduct meaningful                          •    Maximise technology to supplement and adjust
appraisals, make judgements about                              the data you receive from the line.
people’s ability and potential and find
ways of developing their people.




                                   Cezanne Software Ltd · Succession Planning: The Missing Ingredients
12 - Robust Systems And Processes




                             Robust Systems And Processes




                             The idea of implementing                                     Start Slowly
                             technology based succession
                                                                                          A phased approach to implementation can
                             planning can seem daunting for                               help to ensure you are getting it absolutely
                             those who are new to the concept.                            right. Consider piloting the system with a
                             Organisations are often concerned                            small key population first, so that you
                             about how it will fit with their                             can see how it is functioning, make any
                             existing IT systems and how                                  necessary adjustments or iron out any
                                                                                          glitches early on.
                             secure their data will be.

                             They worry that installing a new system                      Exploit the information
                             and training people to use it will be time-
                                                                                          There is only value in putting information into
                             consuming and expensive.
                                                                                          a succession planning system if you take it
                                                                                          out and use it effectively. Make sure you are
                             Technology based succession planning                         exploiting the data you have at your fingertips
                             systems are, however, now a widely proven                    to its fullest extent. Systems can be set up
                             concept. Thousands of organisations                          to show you much more than the ‘surface’
                             are using them successfully to track                         information about capabilities of your talented
                             the potential, mobility and readiness                        people. It can help you see, for example, how
                             of their key talent to support the future                    many of your succession ‘plans’ are actually
                             development of the business.                                 translating into reality. Or it can help you
                                                                                          assess whether any diversity initiatives
                             There are a number of issues, however,                       you may have in place are really working.
                             that organisations need to bear in mind
                             when buying-in systems, to make sure
                             the technology delivers exactly what
                             they need and provides the maximum                                “A clear understanding of critical
                             return on investment.                                              data will help you move the picture
                                                                                                from black and white to colour.
                             Plan Carefully                                                     It provides businesses with the
                             A system will only ever be as good as the                          tools to make accurate and
                             information you put into it. So think carefully                    informed decisions.”
                             about exactly what data you need to support                                       Julie Windsor, Cezanne.
                             your decision-making, where it is going to
                             come from and what controls you may need
                             to put in place to ensure the information
                             is accurate and authentic. You need to
                             be absolutely clear about why you are
                             undertaking succession planning and what
                             you are hoping to achieve before you can
                             gain maximum benefit from the technology.




               Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Robust Systems And Processes - 13




Make it Scaleable                                    system is being configured. If the evaluation
                                                     process is an integral part of the system
Organisations are constantly evolving and            itself, you will be able to extract better
you need to make sure you are buying in a            quality data. Think carefully about what
system that can change and grow with you.            measures you want to include. Could you
So make sure your succession planning                make a comparison between the costs
system can scale up when required – and              of losing a key player or investing in their
also that it can be reconfigured to fit around       development? Could you show the savings
your internal HR processes as they evolve.           to be made by making an internal rather
                                                     than external appointment? Bringing indirect
Measure ROI                                          costs – such as time spent on interviewing
                                                     and induction – into the equation can also
The organisation will need to know that              help you make a business case.
it is getting the maximum return on its
investment in succession planning. It’s
best to think about how you are going to
demonstrate this right up front, when the




                                  Cezanne Software Ltd · Succession Planning: The Missing Ingredients
14 - Getting Fit For The Future




                             Getting Fit For The Future


                             As UK Plc slowly emerges from                                confidence to look beyond the ‘obvious’
                             the recession, it will become                                candidates for roles. This will ensure that
                             more important than ever for                                 people with potential don’t get overlooked
                             organisations to ensure they                                 just because they appear not to ‘fit the
                             are maximising their talent.                                 mould’ on the surface.


                             Those who have continued to focus                            Flexibility
                             on developing their people despite the
                                                                                          Organisations have a tendency to think
                             downturn will already be a step ahead
                                                                                          that once they’ve implemented a succession
                             and ready to grasp new opportunities
                                                                                          planning system they can sit back and let it
                             as the economic climate improves.
                                                                                          do the work. But businesses are not static,
                                                                                          and talent management processes and
                             A public commitment to investing in people
                                                                                          systems shouldn’t be either. They need
                             will also help organisations build a positive
                                                                                          to keep evolving as the organisations
                             brand and develop their reputation as an
                                                                                          changes and grows.
                             employer of choice.

                                                                                          The skills, competencies and qualities
                             The changing face of business, however,
                                                                                          an organisation needs today may be very
                             presents new challenges on the talent
                                                                                          different to the ones that will be required in
                             management and succession planning front.
                                                                                          the not too distant future. Organisations who
                             These are some of the issues organisations
                             will need to consider as they move forward.


                             Fit for the Future                                                “We have been looking at what
                                                                                                policing looks like now and what
                             Times remain turbulent and no-one can
                                                                                                does the changing nature of the job
                             predict exactly what is around the corner. But
                                                                                                mean in terms of the skills we are
                             if organisations have a clear understanding
                                                                                                going to need in the future? What
                             of what the business looks like now – and
                                                                                                are the hours and patterns people
                             where it is likely to head in the future –
                                                                                                are working to, how many people
                             they will be able to develop resourcing
                                                                                                are going to retire and who is going
                             and succession plans that will help them
                                                                                                to fill these positions? We have to
                             get ‘fit’ for the future.
                                                                                                be able to develop people with the
                                                                                                right skills and attributes for a very
                             Fit for the Job                                                    fast changing world – we are
                                                                                                dealing with different sorts of crimes
                             Finding people who are the best ‘fit’ for the
                                                                                                and working at a different pace –
                             job is an issue that many organisations still
                                                                                                so we have to make sure we are
                             struggle with. HR teams need to help line
                                                                                                preparing people for that.”
                             managers get better at job profiling so that
                             they can paint a clear picture of exactly                                            Angela O’Connor,
                             what is required in a particular role. They                        Chief People Officer, National Police
                                                                                                              Improvement Agency.
                             also need to equip managers with the




               Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
Getting Fit For The Future - 15




fail to recognise this and adapt their systems       service, where users pay a monthly
accordingly will be in danger of developing          subscription for an externally hosted system
high potential ‘clones’ who no longer deliver        rather than a hefty up-front licence fee, has
what the business actually needs.                    now made systems much more affordable
                                                     and accessible to organisations who want to
Fleet of Foot                                        develop a real advantage in the talent stakes.

HR needs to become more ‘fleet of foot’
in helping the organisation paint a picture
of the skills it will need in the future. HR
people need to position themselves at the
heart of the strategic decision making
process, so they can take a pro-active
approach to identifying and developing
the new skills that will be needed as the
business moves forward.


Forward Looking
The cost of not planning for succession is
a real issue organisations need to consider.
Developing and implementing an effective
succession planning process can be a
difficult journey. The board have to be
convinced of the value of the exercise,
line managers have to be engaged with
the process and communication with
employees needs to be carefully managed.

Cezanne’s experience shows, however,
that investment in succession planning –
particularly in programmes that are supported
by the latest technology – can pay huge
dividends over the long term. Organisations
that place high priority on succession
planning, report they are making significant
savings in recruitment costs, experiencing
higher levels of retention and are better
equipped to deal with the challenges
facing them.

Software-supported systems are now no
longer solely the preserve of huge, global
organisations. Thanks to a radical shift in
delivery models over recent years, they are
now accessible to a much broader range of
organisations. The advent of software as a




                                  Cezanne Software Ltd · Succession Planning: The Missing Ingredients
16 - About Cezanne




                              About Cezanne


                              Cezanne Software is a leading supplier of global HRC and Talent
                              Management software systems delivered on both a Software as
                              a Service (SaaS) and on premise basis. Headquartered in the UK,
                              Cezanne Software has over 20 years’ experience of working with
                              some of the world’s leading organizations. Today, it supports over
                              700 organizations, including companies as diverse as Vodafone,
                              HM Prison Service, Swarovski, TNT, Heineken, LINPAC, & TSYS Europe.

                              The company’s integrated suite of Human Resource systems include solutions for people
                              management, succession and career planning, employee performance management,
                              survey, training administration, recruitment, salary analysis, pay review and budgeting,
                              and reflect many years’ experience of working with clients, independent consultants and
                              academics at the forefront of best practice in HR, talent and compensation management.
                              Designed around modern web technologies, Cezanne’s HR systems offer extensive
                              support for manager and employee self-service and can be deployed in house or on
                              a Software as a Service basis, providing significant benefits in terms of both cost and
                              speed of deployment.

                              Cezanne Software’s focus is to provide flexible, people-centred Human Resource systems
                              that improve the day-to-day execution of HR and business strategies, help drive critical
                              employee performance and reward processes and enable companies to achieve and
                              sustain a competitive talent advantage.


 Further Information

International                 France - Cezanne Software S.a.r.l.              Cezanne’s                     Case Studies
                              T: +33 (0)1 44 09 71 21                                                       www.cezannesw.com/customers/case-studies
Contact Details               E: info.france@cezannesw.com                    Knowledge Bank
                                                                                                            Latest News and Press Releases
                              Italy - Cezanne Software S.p.A.                                               www.cezannesw.com/news
                              T: +39 080 549 84 11
                                                                                                            Cezanne Online Newsletter
                              E: info.italia@cezannesw.com
                                                                                                            www.cezannesw.com/newsletter
                              Portugal - Cezanne Software Ibérica S.A.
                                                                                                            Free Webinars
                              T: +351 21 3562024
                                                                                                            www.cezannesw.com/webinars
                              E: info.portugal@cezannesw.com
                              Spain - Cezanne Software Ibérica S.A.U.
                              T: +34 91 7684080
                              E: info.espana@cezannesw.com
                              USA - Cezanne Software, Inc.
                              T: +1 617 418-3945
                              (from USA 1 800 CEZANNE)
                              E: info.usa@cezannesw.com
                              Venezuela - Cezanne Solutions C.A.
                              T: +58 212 959 87 16
                              E: info.lam@cezannesw.com

                              For other locations please email
                              info@cezannesw.com
                              or visit www.cezannesw.com




Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com

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White Paper - Succession Planning: The Missing Ingredients

  • 1. Succession Planning: The Missing Ingredients Cezanne Software White Paper Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 2. Contents • Introduction – why succession planning is relevant NOW 3 • Mind the Middle Management Gap 4 • Joining up the Dots 6 • Keeping Development on the Radar 8 • Keeping Line Managers in the Loop 10 • Robust Systems and Processes 12 • Getting Fit for the Future 14 • About Cezanne 16 Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 3. Introduction - 3 Introduction - Why succession planning is relevant NOW At a time when survival is still top of But the constantly changing and highly the agenda in many organisations, competitive environment we’re currently in means it’s more important than ever it may seem incongruous to focus to make sure that talent and succession on planning ahead for succession. initiatives are delivering the goods. Cezanne’s experience of working with numerous The first tentative green shoots of recovery organisations suggests there are several may be appearing, but the reality is that key areas where organisations struggle private sector organisations are still hunkering to ‘join the dots’. Julie Windsor, Cezanne Software down, tightening their belts and shedding jobs. There are undoubtedly difficult times There are some issues – such as line ahead in the public sector too, with estimates manager involvement – that are regarded suggesting 350,000 jobs will be lost between as ‘difficult’ to deal with, so they get left out. now and 2015. Or other areas, like providing wider access to talent data, that organisations perceive So at a time when no-one quite knows what will force them to be more ‘transparent’ is around the corner and talented people about their processes than they are are in plentiful supply, why bother with comfortable with. succession planning? The trouble is, if important issues like Our view is that it comes back to the old these are brushed aside, the result is adage about knowledge being power. If a talent management and succession organisations don’t know who they’ve got planning programme that is dis-jointed and what they’re good at, how can they and only working at half pitch. ensure the business is equipped to meet the next challenge, whatever that might be? This report provides an overview of the common ‘missing links’ and gives guidance If companies don’t know what their people are for those organisations who want to meet potentially capable of, how can they ensure the challenges face on and take their talent they are maximising their talent and getting management and succession planning the absolute best out of their employees? activities from good to great. If they don’t have a clear picture of where the best people are sitting in the organisation, how can they slot them into the right place “Employers have to know where at the right time as circumstances change? their key talent is if they are to meet business critical needs. Forward-looking organisations have It’s about ensuring your business already recognised that an on-going focus is sustainable.” on succession planning will enable them to Claire McCartney, CIPD keep fit for the future. Recent research from the Chartered Institute of Personnel and Development (CIPD) shows that many businesses strongly believe effective talent management could help them out of recession - and they are in fact spending more time on engaging, motivating, retaining and fully using the skills of their existing workforce. Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 4. 4 - Mind the Middle Management Gap Mind the Middle Management Gap Succession planning programmes roles, which are absolutely critical to the typically revolve around the top day-to-day running of the business. layer of the organisation – the critical They are being groomed for bigger and positions that provide leadership better things – but is anyone ready to for the business and keep a firm step into their shoes when they move on? hand on the steering wheel. How near are the people in their teams or specialist areas to being ready and able to fill There are of course good reasons for this. the gap their eventual promotion will leave? The people who sit in these senior roles are the ones who have the knowledge Depth, timing and the health of the talent pool and experience that will take the are three critical issues that organisations organisation forward. need to consider when they are fine-tuning their succession planning activities. If the business is to meet the challenges ahead, it has to have a cadre of talented Depth people, ready to step into these pivotal positions when the current incumbents To have a plan with adequate depth means move on. making sure there are enough potential candidates for a key senior role. In an ideal The top end is also, quite sensibly, where world, an organisation would have at least organisations tend to start when they are two or three names ‘pencilled in’. first getting to grips with succession planning. The reasoning is that if they can cut their But it also means looking right down into teeth by successfully managing succession the next layer of management. Are there at the top – they can filter the process down enough people with the right skills and through the organisation later on. qualifications to cover the critical operational roles that could potentially be left empty? What organisations often fail to pay enough What kind of development needs to take heed to, however, is that decisions they place further down to make sure the make about the top leadership and business isn’t leaving itself exposed? management positions can have an enormous impact in the ranks below. When organisations start to look more closely at this issue, they often find two things: The leaders of the future – those people who have been earmarked as high potential and Over-reliance on certain individuals: So put into the talent pool – are the ones sitting there might well be three people earmarked in middle management right now. Often, as possible successors for a particular they are honing their skills in key operational leadership role – but they have also been highlighted as possible candidates for a number of other roles too, and there’s only one of them to go round! Under represented roles: These are the roles that are important but more difficult to plan for, either because they are less ‘popular’ roles (i.e. not many people are interested) – or because they demand a specific and hard to find combination of skills, qualities and specialist expertise. Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 5. Mind the Middle Management Gap - 5 Timing Key Questions Timing is also a key issue. It’s not just about • Does your organisation’s succession who’s ready – it’s about who’s ready right plan have enough depth? now, who will be ready in six months time and who will need to get at least another • Have you considered the impact year’s experience under their belt. of potential moves on critical middle management roles? It might be the right time to parachute someone out of middle management into • Is the business in danger of becoming a key leadership role – but the wrong time over-reliant on a few individuals? for them to leave because none of their likely successors are quite ready to step • Are there roles that are not up to the mark. adequately covered? The impact can be far reaching. Morale in • Do you have a clear picture of how the the team can plummet, performance can timing of possible moves fits together? take a dip and the department’s ability to provide a quality service to its customers can be compromised. Encouraging International Mobility Technology can play an enormous part in helping organisations put the pieces of this “A well-designed system can help you see exactly how jigsaw together successfully. It can help well some of your internal talent management initiatives them plot likely moves and see what the are working. impact will be further down the organisation. One of Cezanne’s global clients was surprised to find that It can give a clear picture of how the timing a programme to encourage international mobility wasn’t fits together and can highlight where there as successful as they had thought. are gaps in succession that need to be tackled right now. Managers in the talent pool were telling the organisation they were willing to take on overseas roles or assignments. Health of the Talent Pool But the reality was that when these opportunities were offered, they were frequently turned down. Talent pools need regular ‘maintenance’ to ensure they remain healthy and fit for Managers clearly felt that if they ruled the possibility of an purpose. Many organisations fall into the overseas posting out, it would have a negative impact on trap of allowing their talent pools to become their career progression. But when push came to shove, they static. But business is constantly changing didn’t want to uproot their lives and families and move abroad. – and regular reviews need to take place to make sure succession planning is in line Deeper analysis of the data in the succession planning with shifting organisational scenarios. system highlighted this pattern, and helped the organisation to see that although the programme looked good on paper, Are there people in the talent pool who the numbers weren’t stacking up and they needed to review are ‘at risk’ because opportunities haven’t their strategy.” emerged in the expected timescale? Are processes in place to ensure that ‘hidden’ Julie Windsor, Cezanne talent in the middle management ranks becomes visible? Is the age profile of the talent pool appropriately balanced? These are the kind of questions that an organisations need to ask themselves on an on-going basis so that they can regularly ‘sanity check’ their talent pool and fine-tune their succession planning processes. Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 6. 6 - Joining up the Dots Joining up the Dots Effective technology is the • Plan effectively for the future – but retain key to a succession planning enough flex to cope with the unexpected. The best systems can show you where programme that really delivers your key people are, indicate their level the information and interpretation of readiness for their next role and that the business needs. demonstrate the impact of moving them – so that you can respond But many organisations are still tinkering quickly to changing circumstances. around the edges of technology – and failing to take advantage of the enhanced level Organisations are sometimes concerned of understanding that a specialist system that a technological approach will make their can bring. succession planning programmes too rigid. Others expect technology will give them all The best technological solutions can help the answers and they can just input the the organisation join up all the pieces to data and sit back and relax! form a coherent whole, so that they can make decisions based on quality, robust Neither is true. The key is to supplement and in-depth information. what the system tells you with an on-going dialogue between individuals, their Succession management technology managers and HR. can help the business fill critical gaps in its knowledge about what talent is available It’s about recognising that individuals may and how it can be maximised going forward. well have aspirations they haven’t voiced or an agenda that isn’t immediately obvious Technology allows the organisation to: – and making sure these are unearthed through face-to-face discussions and • Gather data about wants and needs factored into the plan. from a wide variety of sources – from individuals, line managers, departmental It’s also about understanding that line or divisional heads, HR and the Board. managers sometimes need help to look beyond the obvious. Are they overlooking • Align information from key organisational a potential candidate who doesn’t stack up processes. Systems can bring together on paper but could perform really well in data from appraisals, career plans and the job? Is there a gap in their team for learning and development programmes someone with a more creative approach, and demonstrate how these connect even though the job profile might lead them with resourcing and succession plans in the direction of someone more analytical? for individual teams, departments and the organisation as a whole. No system alone can give you all the • Identify possible areas of risk or conflict. answers. But organisations who learn There may, for example, be several how to capture the data and exploit it to people ‘ready’ to take on a particular best effect will be the ones who will get role, but no opportunities are likely to be the best return on their investment. available at that level for some time. An effective system will help the organisation identify other roles that would meet those individual’s aspirations and lessen the likelihood of them leaving the business. Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 7. Joining up the Dots - 7 Swarovski Case Study Swarovski is the world leader in precision cut crystal. The company, which was founded in 1895 in Wattens, Austria, employs 22,000 people and has a presence in more than 120 countries worldwide. People development is a key strategic priority for Swarovski and it is committed to investing in the growth and development of its employees. However, like many global organisations, the business has a number of different HR databases across its international operations. This meant that, with so many disparate systems, it was extremely challenging for the Swarovski corporate HR team to manage key talent processes – such as career and succession planning – on a company-wide basis. “Although Swarovski were using an in-house Access database to support our career and succession planning process, I knew that we could manage the process much more professionally and gain a much better understanding of our global talent pool by using a specialist talent management system,” says Remko Verheul, Global Head of Talent. After a rigorous selection process, the business decided to work with Cezanne Software, who were able to provide a global talent management solution which could be configured in line with its evolving career and succession planning processes. The system was implemented within a tight frame frame and rolled out to all of Swarovski’s HR managers in 40 countries. They now have a single, consistent view of their top 1000 employees across the globe, which includes information about performance, potential, leadership, teamwork, functional expertise, international mobility, strengths, development areas and succession planning. The benefits are already being felt. Remko explains: “By utilising Cezane’s talent management software we support and improve the quality of Swarovski’s HR decision making process. One of our most important HR decisions is when a line manager appoints a certain person to a certain position. If you take a wrong decision then the impact could be critical to the business.” As well as succession and career planning software, Swarovski is also taking advantage of Cezanne’s integrated organisation charting solution to provide it with the tools to view key data on people, positions and performance in a very visual and accessible way. The organisational charts, together with talent and succession trees, will provide key HR metrics and allow managers to see issues and opportunities more quickly. Importantly, this information will support the decision making process in critical areas of Swarovski’s business. Next year’s talent management process will start again in early March and Swarovski is already looking forward to the next stage. Remko says: “We are moving in a good direction but the process never stops. So far the focus has been on the implementation and go live date. The next step is to come up with a plan to look at how best to maintain and evolve the system. We will also analyse and review this year’s succession planning process and work out how we can improve and adjust it to make it more effective.” Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 8. 8 - Keeping Development on the Radar Keeping Development on the Radar The training budget is often one survey said funding for training had been of the first to fall under the axe cut, with just over half saying budgets had in difficult times. But suddenly remained the same. calling a halt to development activities can have a serious What did emerge from the research was impact on an organisation’s that the pressure on budgets had led to ability to survive and grow. some highly innovative development approaches. Organisations are finding When times are tough, organisations new ways of building on the skills and need to make sure they are making the capabilities of their managers and keeping most of the talent they have been able to them motivated. retain. But if your people’s development is stifled, they will be less well equipped The following list of thought-starters may to take on new responsibilities and more stimulate your thinking about how to keep difficult challenges – and less motivated development high on the agenda when to pull the stops out for you. budgets are under pressure: Culling learning and development can • Mentor – upwards, downwards and sideways! Yes, get senior managers to also have a longer term impact. If managers act as mentors to people in your talent are not given the opportunity to continually pool – but also think creatively about develop their skills and competencies, the how you can use mentoring to help your organisation will be less fleet of foot when people share experiences and develop it comes to future growth. their own skills. • Run ‘bite-sized’ refreshers on key The key is for organisations to ensure business topics. Could some of your that their succession plan is actually driving senior managers share their knowledge their development programme. An effective in a short internal workshop? succession plan will not only identify possible paths for high potential people – it will also • Pool information and resources. Ask people to recommend books, websites pinpoint gaps in their development and and on-line groups they have found allow the business to prioritise its learning particularly useful. and development activity accordingly. If the board can see that money on training and • Use coaching to help your high potential development is being spent in line with what people prepare for the transition to their the business actually needs, they are less next role. likely to make damaging cuts. • Build learning and development alliances with other like-minded organisations. There is no doubt that budgets for learning Can the managers in your organisations and development have been squeezed learn from each other by sharing insights during the current downturn, although and experiences through facilitated perhaps not quite as badly as had been discussion groups? predicted. Around a third of respondents to the CIPD’s 2009 Learning and Development Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 9. Keeping Development on the Radar - 9 • Organise ‘work’ exchanges. Can you • Stretch your people with challenging broaden your people’s thinking by giving internal assignments. Get them involved them short, focused experience in a like- on business critical projects where they for-like work swap with a manager from can add a fresh perspective whilst another industry or sector? building their skills. • Investigate funding or grants that • Organise job shadowing to give people may be available to help support in your talent pool a deeper insight into your learning and development activity the challenges facing their more senior (i.e. Train to Gain or grants available colleagues. through bodies such as Regional Development Agencies). • Share the learning. Encourage your high potential people to share their • Consider voluntary placements. Look insights and stimulate each other’s into opportunities for your up-and-coming thinking through a bulletin board or talent to hone their skills by working on blogs on your intranet. projects with voluntary organisations or social enterprises, either in or out of work. Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 10. 10 - Keeping Line Managers in the Loop Keeping Line Managers In The Loop Line managers have to be involved in succession planning activities because quite simply, they are the ones who know the people. It just isn’t feasible in any sizeable organisation for the HR team to have a detailed knowledge of employees and what they might be capable of. Many organisations, however, still pay lip service to line managers – keeping them on the edges of succession planning activity only seven per cent of front-line managers rather than allowing them to become fully believe that being open about who is involved in the process. regarded as high potential results in resentment among peers. Some of this reluctance is down to concerns about transparency. It really isn’t that long Lack of line manager involvement also stems ago when succession planning was regarded in part from a lack of understanding about as something that should be shrouded in ‘how to do it’ on the ground. Technology has secrecy. The Board, the HR Director and now advanced to the point where systems a chosen few others knew who the high offer the capability for multiple users to potential people were and what they were enter, analyse and utilise data. destined for, but everyone else was kept in the dark. But organisations are struggling with the practicalities – and often lack real Organisations were concerned that understanding of the groundwork that transparency about who was in the talent has to take place to get line managers pool would demotivate those who hadn’t both engaged and involved. been put on the fast track – and raise expectations among the chosen few that What’s in it for Me? the organisation might not be able to meet. A key issue that needs to be recognised is that line managers may actually be reluctant There are organisations who still struggle to engage in a succession planning process with the concept of openness, although because, quite frankly, they can’t see what’s thinking does appear to have shifted. in it for them. Research from Ashridge suggests that There’s a perception that if you tell everyone in the organisation about your best people, “Line managers need a top down message and organisational they will be whisked away to bigger and wide involvement before they can play a full part in succession better things, leaving you with a huge hole planning. That means that clear communication, driven by to fill. HR, is critical for engagement.” That’s not too difficult to understand. Line Julie Windsor, Cezanne. managers may have spent a great deal of time building up a high performing team that’s delivering great results. Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 11. Keeping Line Managers In The Loop - 11 They are getting lots of internal kudos, are But there are also issues around consistency being rewarded, financially or otherwise for of assessment. Some line managers may their efforts, and it’s all working very nicely consistently over-rate people in their team, thank you. because it makes them look good and they can bask in the reflected glory. What line managers need before they will fully engage is reassurance that the Others may, deliberately or sub-consciously, organisation isn’t going to leave them up under-rate people in their team because the proverbial creek without a paddle. they want to keep hold of them or are afraid of exposing weaknesses in their They need, first of all, to see that there’s own performance. commitment from the top. That the organisation’s leaders have made a There is a clear need for organisations to strategic decision to identify and nurture focus on raising the ability of their managers high potential people, and that they will be to manage performance and assess and recognised for playing their part in that. develop potential. They need to understand that someone who But technology can also help organisations can identify and nurture talent in their team adjust the ‘tuning’, so that they wipe out – and let go of it at the right time – will any bias and get a clearer picture. The best themselves be valued highly. talent management and succession systems can, for example, pick up ‘rogue’ data and On a practical level, line managers also highlight where a pattern of consistent over need reassurance that the organisation is or under-rating is emerging. looking at the bigger picture. They want to know that the business will support them Tackling both these elements together is fully in quickly plugging any gaps left if a the key to getting successful line manager key member of their team is taken off to involvement – putting the groundwork in place pastures new. while also making sure the capabilities of technology are being exploited to the maximum. Willing and Able Of course being willing to support succession planning isn’t enough Checklist – line managers also need to be ‘able’. • Send a clear ‘top down’ message about your talent management and succession strategy. The CIPD’s recent War on Talent survey suggests that identifying and developing • Re-assure line managers that the business talent in a downturn is an area where is taking a holistic view. managers definitely need more support. • Communicate clearly about the exact role Only six per cent of respondents felt you want line managers to play. managers were well equipped to manage talent, 51 per cent said they were only • Emphasise that their contribution will be partially equipped and 13 per cent felt valued and rewarded. they were not equipped at all. • Equip line managers with the skills they need to assess and develop potential. Part of the issue is around managers’ competence to conduct meaningful • Maximise technology to supplement and adjust appraisals, make judgements about the data you receive from the line. people’s ability and potential and find ways of developing their people. Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 12. 12 - Robust Systems And Processes Robust Systems And Processes The idea of implementing Start Slowly technology based succession A phased approach to implementation can planning can seem daunting for help to ensure you are getting it absolutely those who are new to the concept. right. Consider piloting the system with a Organisations are often concerned small key population first, so that you about how it will fit with their can see how it is functioning, make any existing IT systems and how necessary adjustments or iron out any glitches early on. secure their data will be. They worry that installing a new system Exploit the information and training people to use it will be time- There is only value in putting information into consuming and expensive. a succession planning system if you take it out and use it effectively. Make sure you are Technology based succession planning exploiting the data you have at your fingertips systems are, however, now a widely proven to its fullest extent. Systems can be set up concept. Thousands of organisations to show you much more than the ‘surface’ are using them successfully to track information about capabilities of your talented the potential, mobility and readiness people. It can help you see, for example, how of their key talent to support the future many of your succession ‘plans’ are actually development of the business. translating into reality. Or it can help you assess whether any diversity initiatives There are a number of issues, however, you may have in place are really working. that organisations need to bear in mind when buying-in systems, to make sure the technology delivers exactly what they need and provides the maximum “A clear understanding of critical return on investment. data will help you move the picture from black and white to colour. Plan Carefully It provides businesses with the A system will only ever be as good as the tools to make accurate and information you put into it. So think carefully informed decisions.” about exactly what data you need to support Julie Windsor, Cezanne. your decision-making, where it is going to come from and what controls you may need to put in place to ensure the information is accurate and authentic. You need to be absolutely clear about why you are undertaking succession planning and what you are hoping to achieve before you can gain maximum benefit from the technology. Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 13. Robust Systems And Processes - 13 Make it Scaleable system is being configured. If the evaluation process is an integral part of the system Organisations are constantly evolving and itself, you will be able to extract better you need to make sure you are buying in a quality data. Think carefully about what system that can change and grow with you. measures you want to include. Could you So make sure your succession planning make a comparison between the costs system can scale up when required – and of losing a key player or investing in their also that it can be reconfigured to fit around development? Could you show the savings your internal HR processes as they evolve. to be made by making an internal rather than external appointment? Bringing indirect Measure ROI costs – such as time spent on interviewing and induction – into the equation can also The organisation will need to know that help you make a business case. it is getting the maximum return on its investment in succession planning. It’s best to think about how you are going to demonstrate this right up front, when the Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 14. 14 - Getting Fit For The Future Getting Fit For The Future As UK Plc slowly emerges from confidence to look beyond the ‘obvious’ the recession, it will become candidates for roles. This will ensure that more important than ever for people with potential don’t get overlooked organisations to ensure they just because they appear not to ‘fit the are maximising their talent. mould’ on the surface. Those who have continued to focus Flexibility on developing their people despite the Organisations have a tendency to think downturn will already be a step ahead that once they’ve implemented a succession and ready to grasp new opportunities planning system they can sit back and let it as the economic climate improves. do the work. But businesses are not static, and talent management processes and A public commitment to investing in people systems shouldn’t be either. They need will also help organisations build a positive to keep evolving as the organisations brand and develop their reputation as an changes and grows. employer of choice. The skills, competencies and qualities The changing face of business, however, an organisation needs today may be very presents new challenges on the talent different to the ones that will be required in management and succession planning front. the not too distant future. Organisations who These are some of the issues organisations will need to consider as they move forward. Fit for the Future “We have been looking at what policing looks like now and what Times remain turbulent and no-one can does the changing nature of the job predict exactly what is around the corner. But mean in terms of the skills we are if organisations have a clear understanding going to need in the future? What of what the business looks like now – and are the hours and patterns people where it is likely to head in the future – are working to, how many people they will be able to develop resourcing are going to retire and who is going and succession plans that will help them to fill these positions? We have to get ‘fit’ for the future. be able to develop people with the right skills and attributes for a very Fit for the Job fast changing world – we are dealing with different sorts of crimes Finding people who are the best ‘fit’ for the and working at a different pace – job is an issue that many organisations still so we have to make sure we are struggle with. HR teams need to help line preparing people for that.” managers get better at job profiling so that they can paint a clear picture of exactly Angela O’Connor, what is required in a particular role. They Chief People Officer, National Police Improvement Agency. also need to equip managers with the Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com
  • 15. Getting Fit For The Future - 15 fail to recognise this and adapt their systems service, where users pay a monthly accordingly will be in danger of developing subscription for an externally hosted system high potential ‘clones’ who no longer deliver rather than a hefty up-front licence fee, has what the business actually needs. now made systems much more affordable and accessible to organisations who want to Fleet of Foot develop a real advantage in the talent stakes. HR needs to become more ‘fleet of foot’ in helping the organisation paint a picture of the skills it will need in the future. HR people need to position themselves at the heart of the strategic decision making process, so they can take a pro-active approach to identifying and developing the new skills that will be needed as the business moves forward. Forward Looking The cost of not planning for succession is a real issue organisations need to consider. Developing and implementing an effective succession planning process can be a difficult journey. The board have to be convinced of the value of the exercise, line managers have to be engaged with the process and communication with employees needs to be carefully managed. Cezanne’s experience shows, however, that investment in succession planning – particularly in programmes that are supported by the latest technology – can pay huge dividends over the long term. Organisations that place high priority on succession planning, report they are making significant savings in recruitment costs, experiencing higher levels of retention and are better equipped to deal with the challenges facing them. Software-supported systems are now no longer solely the preserve of huge, global organisations. Thanks to a radical shift in delivery models over recent years, they are now accessible to a much broader range of organisations. The advent of software as a Cezanne Software Ltd · Succession Planning: The Missing Ingredients
  • 16. 16 - About Cezanne About Cezanne Cezanne Software is a leading supplier of global HRC and Talent Management software systems delivered on both a Software as a Service (SaaS) and on premise basis. Headquartered in the UK, Cezanne Software has over 20 years’ experience of working with some of the world’s leading organizations. Today, it supports over 700 organizations, including companies as diverse as Vodafone, HM Prison Service, Swarovski, TNT, Heineken, LINPAC, & TSYS Europe. The company’s integrated suite of Human Resource systems include solutions for people management, succession and career planning, employee performance management, survey, training administration, recruitment, salary analysis, pay review and budgeting, and reflect many years’ experience of working with clients, independent consultants and academics at the forefront of best practice in HR, talent and compensation management. Designed around modern web technologies, Cezanne’s HR systems offer extensive support for manager and employee self-service and can be deployed in house or on a Software as a Service basis, providing significant benefits in terms of both cost and speed of deployment. Cezanne Software’s focus is to provide flexible, people-centred Human Resource systems that improve the day-to-day execution of HR and business strategies, help drive critical employee performance and reward processes and enable companies to achieve and sustain a competitive talent advantage. Further Information International France - Cezanne Software S.a.r.l. Cezanne’s Case Studies T: +33 (0)1 44 09 71 21 www.cezannesw.com/customers/case-studies Contact Details E: info.france@cezannesw.com Knowledge Bank Latest News and Press Releases Italy - Cezanne Software S.p.A. www.cezannesw.com/news T: +39 080 549 84 11 Cezanne Online Newsletter E: info.italia@cezannesw.com www.cezannesw.com/newsletter Portugal - Cezanne Software Ibérica S.A. Free Webinars T: +351 21 3562024 www.cezannesw.com/webinars E: info.portugal@cezannesw.com Spain - Cezanne Software Ibérica S.A.U. T: +34 91 7684080 E: info.espana@cezannesw.com USA - Cezanne Software, Inc. T: +1 617 418-3945 (from USA 1 800 CEZANNE) E: info.usa@cezannesw.com Venezuela - Cezanne Solutions C.A. T: +58 212 959 87 16 E: info.lam@cezannesw.com For other locations please email info@cezannesw.com or visit www.cezannesw.com Cezanne Software Ltd · T: +44 (0)20 7202 9300 · F: +44 (0)20 7202 9321 · E: info.uk@cezannesw.com · www.cezannesw.com