In succession planning, individual performance and potential are two decisive criteria that need to be thoroughly studied. When a candidate is pinpointed for leadership bench strength, you are invited to assume that he embraces both high potential and performance.

In previous blogs, we have identified what the qualities of great leaders are - how to develop them is a whole other question. We will discuss the three phases both employees and managers have to go through to develop great leaders.

Succession planning is a process of preparation, not pre-selection. Organisation regardless of sizes can benefit from implementing a succession plan as it requires the managers, leaders, and HR professionals to conduct a comprehensive and ongoing evaluation on the competencies of every employee as well as taking in the organisational structure and organisation's goals. 

At the minimum, failing to plan a succession strategy could possibly hinder your conduct of day-to-day operations. Taking it to the extreme, the absence of competent leaders, when not appropriately and timely addressed, could wreak havoc on the business. This may result in it losing its standing in the ever-challenging market and eventually collapsing into oblivion.

Leadership at its core is still about mobilizing people in an organisation around common goals in order to achieve impactful results. Its foundation boils down to the basic skills used by any leaders in any organisation. 

In our previous article, we have discussed three critical losses that companies will suffer when high potential employees quit. These high potentials (HIPOs) are the lifeline of the organisation, the future leaders that you don't want to ignore.  

Time and again, the term "leadership development" is vaguely defined, confusing both employees and top management, preventing organisations from developing effective leaders.

The road to succession planning is fraught with pitfalls. Most short-sighted businesses view it as merely a “nice trend” to follow and cannot grasp the true nature of succession planning. Others give up getting buy-ins from members of the Board and top-level management. Some lack adequate tools to streamline the process.

Dominic Barton, global managing partner emeritus of McKinsey once commented on the importance of having a well laid out succession planning in an interview with Forbes: “There’s never been a more important time for leadership because of the volatility in the world today.” Yet, many businesses continue to ignore its importance and choose to march on without any formal succession plan in place.   

Great leaders are the backbone of any organisation; but at some point these key incumbents will depart and leave behind vacant critical-mission positions that need to be filled. That is why succession planning is of utmost importance. By honing your talent to their full potential beforehand, you build a leadership bench strength that is ready for coping with any challenge and responsibility.