Broomfield CO OR/WA MGMA Annual Conference. Succession Planning
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1 Broomfield CO OR/WA MGMA Annual Conference Succession Planning
2 Succession Planning It s all about the Bench It s all about that bench, about that bench, get planning! If life were as simple as a pop song, we wouldn t have to worry about things like bench strength, successors, and business continuity. Understanding the bench strength of your team to ensure business continuity must be a focal point for all managers. This is not simply a business imperative, or an HR responsibility. Effective succession planning is a leadership imperative. Think of the A- players on your team. What happens if one of them (or more) comes in tomorrow and tells you, I m really sorry, but I ve been given this fantastic opportunity, and I just have to take it. My last day will be two weeks from Friday. Gulp. Now what? We can t keep everyone. We don t want to keep everyone. As the boomer generation begins to exit the workforce, tribal knowledge and long- term customer relationships will exit your business. The war for talent is a real thing and, it s really heating up. Right now. What s your plan to retain the knowledge and prepare the next generation of leaders and managers to step up? Having a people plan, and ensuring that it aligns with your strategic plan is critical and will give your organization the ability to adapt to changing markets and evolving customer needs. People make it happen, and that s why It s All About That Bench. This interactive virtual event will provide an introduction to the philosophy, tools and processes to effective succession planning. Learning Objectives Determine your succession planning objectives Build your succession plan Assess your bench strength Communicate your talent picture Maintain momentum Utilize best practices for creating a succession/talent development plan Your SkyeTeam Facilitator Kelly Wyngarden, SVP Kelly@SkyeTeam.com 2 SkyeTeam
3 Succession Planning It s All About the Bench! Succession Planning It s all about the Bench... 2 Learning Objectives... 2 Determining Succession Planning Objectives and Building Your Plan... 5 What is Succession Planning?... 5 Stats on Succession Planning... 5 Evolution of Succession Planning... 6 Succession Planning Is... 6 Where is Your Focus?... 7 High Level Overview of Succession Planning... 8 Creating the Map... 9 Strategic Direction... 9 Environmental Scan SWOT from a Context Map Why Focus On Succession Planning? What s in it for you to focus on it? What If You Current Conditions What Will Keep You on Track? Who Is Going To Get Us There? Key Roles and What They Need To Know Key Positions Why Would We Follow Them Into the Jungle? Example of a Leadership / Key Role Profile Who Will Lead Us If Our Guide Is Eaten By A Tiger? Assessing Talent: Start with Critical Roles Assessing Talent: What Should We Look For? Nine Block Model Learning Agility: HiPerf HiPo Replacement Planning Chart Key Position / Successor Summary Sheet Individual Successor Summary Sheet / High Level Development Plan What Do They Need To Learn To Help Us Get Out Of The Jungle? Sample Development Plan Survival Skill Building SkyeTeam info@skyeteam.com
4 How Do We Learn? Examples of Development Opportunities Addressing the Gaps: It s all about the Day- to- Day! Train Your Leaders! On No! Our Leader Fell Off A Waterfall! Info@SkyeTeam.com SkyeTeam
5 Determining Succession Planning Objectives and Building Your Plan As tempting as it may be to dive into assessing your bench strength, it is imperative to first determine the strategic priorities and guiding principles for your organization s succession planning program. We will review building a business case, developing a stakeholder analysis, and establishing guiding principles. Then, we will explore identifying your business critical roles and determining the talent pools needed for success today and in the future. What is Succession Planning? A process designed to ensure the continued effective performance of an organization by creating a steady and reliable pipeline of talent that will meet its future needs in leadership and other key roles. Talent Pool Pipeline Future Needs Stats on Succession Planning According to a study performed by Korn Ferry release in May of 2015 in the article Succession Matters: Effective Succession Management Planning: 1/3 of respondents reported that they are satisfied with outcomes of their succession management program 32 percent said they were dissatisfied or extremely dissatisfied with recent succession management outcomes SkyeTeam info@skyeteam.com
6 Evolution of Succession Planning Tradi\onal Succession Planning Today's Succession Planning One- nme, annual event and stand alone program Selecnon of "replacements" in a verncal Focuses on C- suite or senior levels only Return on Investment for the future On- going process that is part of an integrated strategy for managing talent Creanon of leadership pools by looking at horizontal and verncal talent resources Focus is on idennfied leadership posinons throughout the ennre organizanon and key roles within the organizanon Return on Investment Succession Planning Is 6 Info@SkyeTeam.com SkyeTeam
7 Where is Your Focus? Keep the lights on! Emergency Planning Replacement Planning Keep us moving forward! Acceleranon Pool Development Develop bench strength to maintain and excel! SkyeTeam
8 Succession Planning: It s All About the Bench High Level Overview of Succession Planning Creanng the map What do they need to learn to help us get out of the jungle? 8 Who is going to get us there? Leadership / survival skill building Info@SkyeTeam.com Who will lead us if our guide is eaten by a nger? On no! Our leader fell off a waterfall! SkyeTeam
9 Creating the Map Where Are You Going? What Are The Current Conditions? What Will Help Keep You On The path? Why Do You Want/Need To Do This? Strategic Direction Your succession plan needs to strongly with where you in the future, the anticipated _ the organization may be facing, and what is needed to successfully address them. Where are we today? Where do we want to be 3 years from now from a business perspecnve? SkyeTeam info@skyeteam.com
10 Environmental Scan 1 Completing an Environmental Scan to identify external and internal business trends is required to fully understand and anticipate the competencies needed to ensure leadership and business continuity. GroveTools- Inc.com 1 Used With Permission: inc.com 10 Info@SkyeTeam.com SkyeTeam
11 SWOT from a Context Map What are the trends or issues that are impacnng us the most? Which represent the best opportunines? Which trends represent potennal threats to our well- being? How are these trends affecnng our customers? Which factors are interdependent? What leadership skills will all leaders within the organizanon / specific teams need in order to be successful in 3-5 years? SkyeTeam info@skyeteam.com
12 Why Focus On Succession Planning? What s in it for you to focus on it? What If You 12 Info@SkyeTeam.com SkyeTeam
13 Current Conditions What does successful leadership mean in your organization? Current leader selecnon pracnces? Current performance management process and it s fit with succession planning? Leadership development acnvines? How do you measure and track performance, skills and development needs? Intended scope? Company s culture as it relates to leader selecnon and integranon Your Unique Challenges Or Barriers SkyeTeam info@skyeteam.com
14 What Will Keep You on Track? Guiding Principles SkyeTeam
15 Who Is Going To Get Us There? Key Roles and What They Need To Know 1. Idennfy key posinons and 2.Create leadership profiles Key Positions Organizational Responsibility Impact on Business Unit Technical knowledge Financial impact External rela\ons Strategic impact SkyeTeam
16 Why Would We Follow Them Into the Jungle? Abilines Knowledge Skills Example of a Leadership / Key Role Profile Name of Position Leadership Profile Business Criticality / Link to Strategic Priorities Brief Role Description Key Experiences Required for Success in this Role Competency: Derailers to Avoid Knowledge Required for Success in this Role Skills Required for Success in this role Abilities (learning agility /attitude) Key Role Indicators: Technical Knowledge Financial Impact External Relations Strategic Impacts 16 Info@SkyeTeam.com SkyeTeam
17 Who Will Lead Us If Our Guide Is Eaten By A Tiger? Is there anyone on the team that can step up? Can we get someone from another team? Will they air- drop someone in? Assessing Talent: Start with Critical Roles Vertical Within Each Team or Department Horizontal Across the Organization / Teams Repository of Skills Supports SkyeTeam info@skyeteam.com
18 Assessing Talent: What Should We Look For? Current Performance History, Skills, Experience Aspiranons KSAs of the Posinon SkyeTeam
19 Nine Block Model Solid High Consistent Star High Contributor Low Potential, High performance Performer Moderate Potential, High Performance Performer High Potential, High Performance Performance Over Time Results & Behaviors Performance track record, consistency Capable Performer Low Potential, Moderate Performance, Talent Risk Low Potential, Low Performance Valued Performer Moderate Potential, Moderate Performance Inconsistent Performer Moderate Potential, Low Performance Strong Performer High Potential, Moderate Performance Derailing Leader High Potential, Low Performance Low Low Medium High Potential Demonstration of Leadership Competencies, Resiliency, Learning Agility/Ability & Career motivation SkyeTeam
20 Learning Agility: HiPerf HiPo Learning Agility is the ability and willingness to learn from experiences successes, mistakes, feedback and exposures and subsequently apply that learning to perform successfully under new or first time conditions. One study found that fully 71% of high performers were not high potentials (Corporate Leadership Council 2005). The same study found that 93% of high potential employees also were high performers Using Learning Agility to Identify High Potentials Around the World from the Korn Ferry Institute Future Nine- Block Model Employee Driven Specific Future Role Nine Block Model: Future State Knowledge, Skills, Abilities of the Future Role Baseline Requirements Proficient Excelling High Performer Strong performance in role with licle enhancement of responsibilifes. Solid performer May perform well and may not respond well to change and challenges. Uncertain future in this role is this really the right role / promofon? This will take a lot of work. Avoids challenges, gives up easily, sees effort as fruitless, ignores useful feedback, feels threated by the success of others Skye Team 27 Great PotenFal - Rigid in some areas and fluid and adapfng in others. Need challenge assignments and coaching. Keepers performs well and works on confnuous learning. Would need coaching and experience. Could be Successful- Needs coaching and development in the KSA s and learning agility. Ready for the next level! High PotenFal sees new possibilifes, leads to strategic inifafves, learns quickly, takes role to next level Diamond in the Rough (high potenfal) needs experiences and mentoring. Low Medium High Takes on calculated risks, stays engaged to a point in face of obstacles, curious about learning more, incorporates some useful feedback, feels threatened by certain people and not others Embraces challenges, persists in the face of obstacles, sees effort as the path to mastery, learns from criticism, finds lessons and inspiration in the success of others Learning Agility Agility, ability to learn, incorporate feedback, initiative 20 Info@SkyeTeam.com SkyeTeam
21 Replacement Planning Chart Replacement Need Code A. Need now B. Probable need within a year C. Probable need 2-5 years D. No foreseeable need Promotion Potential 1. Qualified now 2. Could be qualified in 6 months 3. Could be qualified in 1-2 years 4. Qualification uncertain, but best available VP AVP AVP Director Karen C Jim 3 Sheryl 4 Director Manager Manager Manager Manager SkyeTeam info@skyeteam.com
22 Key Position / Successor Summary Sheet Name of Position Business Criticality / Link to Strategic Priorities Current Incumbent Brief Role Description Key Experiences Required for Success in this Role Knowledge Required for Success in this Role Skills Required for Success in this role Abilities (learning agility /attitude) Derailers to avoid Key Role Indicators: Technical Knowledge Financial Impact External Relations Strategic Impacts Key Position / Successor Summary Sheet Successors: See individual Successor Development Plans for Further information Emergency Replacement Potential Internal Successors Name Readiness Time Frame IDP in place Potential External Successors Name Current Company & Role Contact info Contact within Co? 22 Info@SkyeTeam.com SkyeTeam
23 Individual Successor Summary Sheet / High Level Development Plan Individual Successor Summary Sheet / High Level Development Plan Name Current Position Within the Organization Aspiration Confirm they are interested in roles identified for potential successor Able to Relocate Nationally Internationally Resume Available: Yes / No Potential Successor for: (insert role title in relevant readiness timeline) Date Timeline Updated: Emergency Replacement * Ready Now Roles 0 6 Month Roles 6-12 months 1-2 years 2 years+ *Emergency replacement - will keep the 'lights on' until a permanent replacement is found Key Development Needs Role 1: Development Needs Experience Required Derailers to manage Development Plan In Place? Date Progress Last Reviewed Role 2: Development Needs Experience Required Derailers to manage Development Plan In Place? Last Reviewed Additional Retention Strategies: If someone is identified as a potential successor for more than X roles you may want to think about the risk of losing them and whether additional strategies will be required. SkyeTeam info@skyeteam.com
24 What Do They Need To Learn To Help Us Get Out Of The Jungle? Development Plans Nine Block and Future Nine Block Gap Analysis Feedback Received Performance Reviews SkyeTeam
25 Sample Development Plan Development Plan Employee name: Position: Date: Career Aspiration Strengths and/or assets you bring to the Organization Current Role: Areas needing enhancement Future Roles: Areas needing enhancement Area of Focus Action Steps Results and Outcomes Criteria for Success Who and what are your resources? Timeframe SkyeTeam
26 Survival Skill Building Succession Planning is executive sponsored and line owned! Address the gaps Train your leaders Barriers to succession planning How Do We Learn? Acnve Support by the Boss Navigate Challenges Happens on the Job Sansfy Business Needs Held Accountable SkyeTeam
27 Examples of Development Opportunities Development Opportunities 1:1 s Notes Assessments Cultural, 360, Leadership Style, Personality, Strengths, Derailers, etc. Leadership Academies / Emerging Leaders Programs Professional Coaching Development Plans Training Application Assignments Job Challenges Shadowing Short- Term Experiences (Task forces, participating in strategic planning, etc.) Mentoring (have and/or be mentors) Action Team Assignments or Workplace projects Cross Training Teach- backs SkyeTeam info@skyeteam.com
28 Addressing the Gaps: It s all about the Day- to- Day! Status Update Sheets Daily Coaching OTJ Development Plans Development Activities 1:1 s It s all about the day- to- day coaching, mentoring, training, job challenges. Your leaders need to own the success of their successor. Train Your Leaders! Importance Of Succession Planning Their Role In Making Succession Planning Successful Positive & Constructive Feedback How To Develop Employees How To Evaluate Performance (KSAs for different roles) Coaching Skills Accountability!! ü Hold Your Leaders Accountable For Developing Their Employees! ü Establish Accountability Mechanisms ü Coach and Mentor Your Leaders How to Have Difficult Conversations Buy In 28 Info@SkyeTeam.com SkyeTeam
29 On No! Our Leader Fell Off A Waterfall! You re O.K. because you have Linked your succession plan to your strategic plan. Developed your guiding principles Taken into consideration the current context and culture of leadership development within your organization You re O.K.! Gained leadership buy in Made a plan to address your critical barriers to success Identified your key roles Developed KSA s and leadership profiles for those positions Assessed your talent against your leadership profiles. Interviewed leaders, looked at existing data, 9 block models, Future 9 block models You have assed talent both vertically within functions / teams and horizontally across teams / functions. Developed your replacement planning chart Developed your Key Position / Successor Summary Sheet Developed your Individual Successor Summary Sheet / High Level Development Plan Empowered individuals to create their own development plans based on their current job and future roles Trained your leaders and you are holding them accountable to make succession planning part of their every day jobs. Made development a day to day learning experience with a variety of different opportunities And you have been updating your succession plan on a regular cadence to ensure that your map is accurate and the right people are in the right places to get you where you are going! SkyeTeam info@skyeteam.com
30 2016 Skye Associates LLC All rights reserved. No part of this workbook may be reproduced or transmitted in any form or by any means, electronic, or mechanical, including photocopying, recording or in any information or storage retrieval system, without permission in writing from SkyeTeam. SkyeTeam Tel: SkyeTeam
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