Succession Planning for Tomorrow s Leaders
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1 Community Action Partnership 2016 Annual Convention August 30 September 2, 2016 Austin, TX J.W. Marriott Austin Succession Planning for Tomorrow s Leaders Thursday, September 1, :15 pm 4:45 pm Presented by: Seth M. Fine, MS, CPF, Senior Manager NONPROFIT AND GOVERNMENT PRACTICE Reproduction or use of any training materials in this manual, except within a participant s agency without express written permission is prohibited by copyright law.
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3 Succession Planning for Tomorrow s Leaders September 1, :15 4:45 p.m. Board Confidential KCA and Trainer: Seth M. Fine, MS, CPF, Senior Manager AEOA Learning Objectives 1. Discuss talent and succession trends, and reasons, for focusing on opportunities today Board 2. Understand talent assessments and planning in light of the agency s Confidential long-term sustainability 3. Review leadership competencies and behaviors needed to effectively plan and manage tomorrow s talent base KCA and AEOA Succession Planning for Tomorrow s Leaders 1
4 Your Role 3 Basic Nonprofit Success Factors Clear organizational goals aligned to mission Defined performance measures Accurate accounting and control measures Reasonable constraints on activities Effective, capable board of directors An audit committee or other non-staff directed oversight body that focuses on organization finances 4 Succession Planning for Tomorrow s Leaders 2
5 Leadership and Succession 5 Questions of the Day What is leadership development? 6 Succession Planning for Tomorrow s Leaders 3
6 Leadership Development Defined 7 Leadership Development 8 Succession Planning for Tomorrow s Leaders 4
7 Questions of the Day What is leadership development? What is succession management? 9 Succession Management Defined Development Identification A systematic and defined process to ensure continuity for key positions by identifying and developing roles and people to fill them Key Position Continuity 10 Succession Planning for Tomorrow s Leaders 5
8 Questions of the Day What is leadership development? What is succession management? What is talent management? 11 Talent Management Defined Succession Planning The process of identifying highpotential employees and developing them in preparation for advancement into key positions for success of the agency Leadership Development 12 Succession Planning for Tomorrow s Leaders 6
9 holistic approach vision engagement culture capability to drive short- and long-term results to reach the vision capacity 13 Importance of Linking Talent Management Ensures you can both meet your grant objectives and grow Prepares individuals for change by developing new competencies Promotes continuity and/or improvements in your culture Outcomesbased Performance Management Talent & Leadership Development Competency Modeling Shared Vision & Strategic Plan Succession Planning Job & Wage Design Recruitment & Selection 14 Succession Planning for Tomorrow s Leaders 7
10 Issues to Consider Vision and strategic goals Linked to performance expectations and staff development needs Needed leadership and talent capabilities Current state and availability of talent with these capabilities Developmental activities and assignments Budget and time 15 Leadership Managers are people who do things right, while leaders are people who do the right thing. Warren Bennis, Ph.D. On Becoming a Leader 16 Succession Planning for Tomorrow s Leaders 8
11 Management & Leadership Management Leadership Planning & Budgeting Establishing Direction Organizing & Staffing Controlling & Problem Solving Predictability Aligning People Motivating & Inspiring Change 17 Leadership Development Anyone at any level in a group or organization can be a leader 1. Exhibit leadership qualities and skills 2. Guide the group to vision-centered action 3. Uphold the values and principles of the organization 4. Respect each individual and support the wisdom of the community 18 Succession Planning for Tomorrow s Leaders 9
12 Leadership Qualities Envisioning Empowering Energizing Designing and aligning Rewarding and feedback Team building Outside orientation Global mindset Tenacity Emotional intelligence Life balance Resilience to stress What else?? From: Global Executive Leadership Inventory (GELI), in Harvard Business Review, January 2009, page Leadership Development Process Good Leadership Development Process Right curriculum at the right time Appropriate leadership assignments Coaching Mayhem 20 Succession Planning for Tomorrow s Leaders 10
13 How Identify leadership capacity/desire for yourself how will you get supervisory support? Identify leadership capacity/desire with every employee you supervise Develop an intentional plan for leadership development actions Use part of supervisory meetings to coach leadership development Reward and evaluate on leadership growth, actions 21 Ideas for Everyday Leadership Development Facilitate staff meetings: make the agenda Give presentations Organize events: lead the planning team Support new employee orientation: mentor, present Participate in committees, task forces, etc. Take on new assignments: write the grant, build the budget, facilitate the focus group, develop the PPT Support a new idea, articulate the vision, be responsive, contribute an improvement idea 22 Succession Planning for Tomorrow s Leaders 11
14 Succession Planning 23 This is not about an Executive Search Replacement Planning Reactive Risk Management Replacing/Substituting Unstructured Approach Exclusive Rigid Succession Planning Pro-Active Talent Management Renewing/Energizing Organized Alignment Inclusive Flexible 24 Succession Planning for Tomorrow s Leaders 12
15 The Case for Succession Planning 25 Three Response Options 1. Intensify efforts to hire hard-to-find and increasingly expensive people outside the organization (i.e. strangers) 2. Do nothing and experience a competitive decline (i.e. fail as an Agency) 26 Succession Planning for Tomorrow s Leaders 13
16 Are You Ready? 27 Succession Cornerstones 28 Succession Planning for Tomorrow s Leaders 14
17 Cornerstone 1: Define Competencies Identify and define the knowledge, skills, and abilities required for each role or level of work. 29 Job Profiles with Competencies Provides a unifying framework within organizations Serves as a building block toward an integrated human resource system by identifying the capabilities required to perform successfully within an organization (by role or level of work) Generates thinking about what the role or level should be tomorrow (2 to 5 years out), versus over-examining what it is here today 30 Succession Planning for Tomorrow s Leaders 15
18 Define Competencies Customer Orientation Effective performers stay close to customers. They view the organization through the eyes of the customer and go out of their way to anticipate and meet needs. They continually seek information and understanding regarding the customer s perspective and environment. Source: OSI - Polaris Competency Model 31 Define Competencies Establishment of Proficiency Levels Significant 1 Gaps Gaps Proficient Exceeds 2 3 Significantly 4 5 Exceeds Bottom 3-5% Top 3-5% NOTE: What is a Gap for one job or level may be Exceeds for another 32 Succession Planning for Tomorrow s Leaders 16
19 Cornerstone 2: Assess Talent Evaluate your talent and analyze fits and gaps for short- and long-term needs 33 Talent Assessment Tension Potential Performance 34 Succession Planning for Tomorrow s Leaders 17
20 Talent Assessment Tension 35 Cornerstone 3: Develop Talent Create personalized development plans linked to competencies and your succession strategy. 36 Succession Planning for Tomorrow s Leaders 18
21 Best Practices The right training at the right time for the right person Development plans for all employees, specifically high performers and hard-toreplace talent Align the performance management process/system Coach for performance (including leadership) Formal performance appraisal 1 2 per year Informal checkpoints up to 12 per year 37 Cornerstone 4: Evaluate Performance Evaluate and manage performance against established goals and objectives. 38 Succession Planning for Tomorrow s Leaders 19
22 Talent and Succession Success Factors Plans alone are not enough! 5 keys to proven success: 1. Ensure the commitment and involvement of the Board and senior leadership 2. Tie the talent management process directly to the vision and goals of the organization 3. Keep it simple and inclusive 4. Create and carry out a communication plan 5. Revisit the talent and succession management plans annually and make adjustments to the process 39 Challenges to Talent Management Time for the process Engagement of the Board Buy-in from senior leaders Finding the right employees to develop Implementation and follow-through Assessment and measurement Budget to appropriately develop future leaders Losing talented employees Source: Achieve Global & Wipfli HR Consulting 40 Succession Planning for Tomorrow s Leaders 20
23 Write the Plan 41 Importance of a Solid Plan 1. Ensures effective talent management to achieve growth and vision/mission 2. Prepares individuals for inevitable change by developing critical competencies 3. Promotes continuity of organizational culture 4. Helps assure that good leadership development will actually happen ~ it s intentional! 5. Meets Organizational Standard 4.4 ( outlining the process for filling a permanent vacancy ) 42 Succession Planning for Tomorrow s Leaders 21
24 A Sample Plan Outline Position 3 5 Year Succession Plan Need? HS Director The position is currently filled. Our Director plans to retire in 2 3 years. KSA Needs High Proficiency: Facilitating Information, Problem Solving, Relationship Building, Financial Acumen, Team Management Proficiency: Technology Savvy, Change Mastery, Influence, Diplomacy 10 years of early childhood management experience 5 years of progressive responsibility for outcomes/performance Minimum Bachelor s degree or educational equivalence Current Employee JANE DOE, 21 years in HS, 16 supervisory, 8 as Director Competency Strengths Problem Solving, Financial Acumen, Influence Development Needs Relationship Building, Change Mastery Development Plan Summary Candidates Strengths Development Needs JANE is being coached by BOB JONES, HR Director, to ensure she can keep pace with our current changes & continue to effectively lead the team. See next Page 43 A Sample Plan Outline Position: HS Director 3 5 Year The position is currently filled. Our Director plans to retire in 2 3 years. Succession Plan Need? KSA Needs High Proficiency: Facilitating Information, Problem Solving, Relationship Building, Financial Acumen, Team Management Proficiency: Technology Savvy, Change Mastery, Influence, Diplomacy 10 years of early childhood management experience 5 years of progressive responsibility for outcomes/performance Minimum Bachelor s degree or educational equivalence Candidates KAY FINE NORA GOOD ROY YOUNGBLOOD Strengths Experience (5) Problem Solving (4) Influence (4) Development Needs Relationship Building (2) Technology Savvy (2) Education (2) Facilitating (5) Problem Solving (5) Diplomacy (4) Financial Acumen (1) Experience (3) Change (5) Team Management (4) Education (4) Experience (1) Financial Acumen (2) Relationship Building (3) 44 Succession Planning for Tomorrow s Leaders 22
25 As you contemplate succession planning, remember the changing talent pool of workers especially the aging population and the up-and-coming generation. 45 Myths About Older and Younger Workers Older Workers Want to retire Can t (or won t) learn new skills Take more sick days Have more accidents Aren t flexible or adaptable Are less productive Are expensive Aren t innovative or creative Are forgetful Younger Workers Don t want to work hard Can t (or won t) take direction Take more personal time off Have more outside hobbies Are too flexible and unreliable Are less productive Are driven by money Aren t technically sound Are too idealistic 46 Succession Planning for Tomorrow s Leaders 23
26 Working the Plan Ensures the right people are in the right place at the right time! 47 For Information on How We Can Help Visit the Wipfli Booth (#402) for more details or 48 Succession Planning for Tomorrow s Leaders 24
27 Connect with me: Bring Wipfli to You: Tammy T. Jelinek My Wipfli Access to our experts: Regulation questions Audit Process Human Resource Technology Leadership 49 Succession Planning for Tomorrow s Leaders 25
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