In the fast pace of today’s world, it is critical for organisations to replace traditional succession planning with performance-based ones. In other words, the integration of performance reviews and succession planning is the best way to prepare your employees for taking the next step of their career.
The process of succession planning requires time and effort from both manager and candidates. As it is a complicated process, having your performance management and assessment phases being carried out helps to identify the knowledge, skills, attitude, competencies and potential of the candidates. Moreover, the manager can also make plans for improvement or training when needed, and have better preparation for the transition in the future.
Continuous performance management and its benefits
Based on the performance and outcome of employees on specific tasks, projects or training, and by integrating this information into a talent management software, managers are able to better direct and plan out the steps they need to make.
Implement talent management software makes analysing staff performance much easier as all of the data is embedded in the system and is accessible anytime, anywhere. Succession plan – the traditional way – is a complex process of filing and doing paperwork of a long history of operation for just one staff. With the suitable talent management software, after a few mouse clicks, managers can access the history and accurate evaluations of performance.
Critical elements of performance-based succession planning
Periodic and regular
Evaluation is a continuous process, an employee’s recent performance does not provide enough information about what they are capable of and their potential. By reviewing your employee's performance over time, how they perform under pressure and their improvements will reveal their potential of leading a team in the future.
You should inform your employees gradually of how they are performing and how they can improve. Annual reviews are not informative and updated enough for you to take appropriate actions and take notice of your employees' improvement. Do you know all the progress, skill gaps, and potential of your subordinates? You’ll be able to monitor their performance, motivation, and engagement closely if you conduct a frequent evaluation.
Feedback – not only from the direct supervisor – but also from peers and those being mentored or supervised by the candidate. Review tools like 360-degree feedback along with the help of technology can help you to gather feedback from a variety of personnel and even customers that have had interaction with the candidate. Moreover, with an overall view, leaders can spot potential candidates and provide them with proper training and direct them to a higher position in their career.
Align organisational goals with employee’s goals
Future leaders should understand and have their goal aligned with their organisation goal and mission. With a frequent review plan, leader candidates can adjust and improve themselves in a way that can promote the organisational values.
Encourage training and improvement
Altogether, the key points above help guide the organisation’s succession plan to the right direction. Potential candidates often still need to develop their professional skill. Therefore, one of the most important responsibilities of a manager is to identify the skills that need improvement and prepare their staff with the essential skill set and suitable training.
Performance-based succession planning helps in creating a pool of potential candidate for the future needs of the organisation. Talent management plays a vital role in providing high-potential employees with training and development in the best suitable way to fill the blank space when needed. Organisations using accurate performance evaluation method in succession and decision making will be future proof and ready to maximise any opportunities.
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