Building Tomorrow’s Leaders Through Succession Planning
Succession planning and career development are necessary for keeping an organization strong and successful. It's more than just getting ready for leadership changes - it also involves building skills and preparing future leaders to take on their roles with confidence.
By Michelle Precourt, CPHR | Chartered Managers Canada
This guide helps leaders connect succession planning with career development by sharing best practices for identifying future leaders, encouraging growth opportunities and collaborating with HR on impactful development programs. By focusing on proactive career planning, leaders can secure their team’s future while supporting employee growth and potential.
The Importance of Succession Planning for Leaders
Succession planning isn’t just a task for HR - it’s a responsibility all leaders need to focus on to keep their organization strong. When key team members leave unexpectedly, it can cause significant disruption, delaying projects and threatening business delivery. Despite this, many leaders acknowledge they are struggling with effective succession planning. Research by Deloitte reveals that while 86% of leaders view succession planning as an “urgent” priority, only 14% of them believe they are doing it well in their organization. Succession planning safeguards critical organizational knowledge and ensures readiness for both anticipated and unforeseen leadership transitions. For leaders, it’s about making sure the business stays on track and performs well, no matter who is in charge.
Best Practices for Succession Planning
Identify Future Leaders Early
An important part of succession planning is finding future leaders early and nurturing their skills to prepare them for future roles. However, many young professionals feel they aren’t adequately prepared for leadership positions. Research by Deloitte shows that 63% of millennials think their leadership skills are underdeveloped. Rather than just focusing on those who excel in their current jobs, leaders should also look for employees who are adaptable, emotionally intelligent and eager to grow. By recognizing these traits early, leaders can start preparing potential successors before any transitions happen, giving them plenty of time to develop the skills they need.
Develop Leadership Competencies
When high-potential employees are recognized, it's crucial to develop leadership skills that are aligned with the organization's mission, vision and values, while addressing any current or future skill gaps. Encourage people leaders – those who are responsible for guiding and managing teams, often with a focus on employee development and well-being – to provide continuous feedback and mentorship, creating a culture where emerging leaders feel supported and challenged. Additionally, offering rotational programs or stretch assignments can help employees develop a broader understanding of the organization and test their leadership capabilities in real-world scenarios. By proactively creating opportunities for employees to demonstrate and refine their leadership skills, organizations can build a robust pipeline of future leaders who are ready to step up when needed. Leaders should focus on developing key skills like decision-making, strategic thinking, communication and conflict resolution to ensure that the leaders of tomorrow are ready for the challenges ahead.
Plan for Smooth Transitions
Succession planning isn’t just about preparing future leaders - it's also about ensuring smooth transitions. Leaders should create clear plans that outline how responsibilities will shift during career changes, allowing the organization to continue operating effectively and keeping client work on track. This involves designing a roadmap with periods of overlap where the outgoing and incoming leaders can collaborate and provide the successor with the necessary support to step into their role confidently. Planning ahead helps make leadership transitions seamless, ensuring uninterrupted business operations.
The Role of Career Development in Succession Planning
Succession planning and career development go hand in hand. Succession planning is about preparing employees for future leadership roles, while career development focuses on helping all employees grow and move forward in their careers. In fact, according to the Society of Human Resources (SHRM) 2022 Workplace Learning & Development Trends Report, 76% of surveyed employees were more likely to stay with a company that provides continuous learning opportunities. By investing in career development, leaders are building a talent pool that can step into leadership roles when needed.
People Leaders’ Role in Career Development
People leaders play an important role in helping employees with their career development. It starts with regular coaching and feedback sessions where leaders guide employees in setting clear goals and creating a plan for growth. These discussions help identify strengths and areas for improvement, as well as encourage employees to pursue learning opportunities that fit their long-term career goals.
Collaboration Between People Leaders and Human Resources
A commitment to continuous learning is crucial for both career development and succession planning. According to a McKinsey report, 74% of executives surveyed felt unprepared for the challenges they faced in their new roles. This highlights the need for strong leadership development and succession planning within organizations - an area where HR plays an essential role.
While people leaders are responsible for identifying and developing future leaders, HR provides the structure, tools and guidance needed to streamline the process. By offering data and insights on workforce trends, employee performance and leadership potential, HR helps people leaders more accurately identify the best candidates for succession. In addition, HR plays a key role in establishing formal career and leadership development programs, which create a structured pathway for employees to build the skills and experiences needed for future leadership roles.
These programs can include leadership training, mentorship opportunities, cross-functional projects and job rotations, all designed to align with the organization's overall goals. By working closely with HR, people leaders can approach succession planning in a more strategic and holistic manner, ensuring that leadership transitions support the long-term vision and needs of the business.
Another significant way HR can make a positive impact is by supporting people leaders in having productive coaching conversations with their teams. These discussions are essential for identifying top performers and providing the feedback and support they need to progress into leadership roles. Formal coaching programs led by HR can equip leaders with the skills to conduct these conversations effectively, focusing on developmental feedback that motivates and guides employees. HR can also train people leaders on how to address skill gaps or performance issues constructively, promoting a culture of continuous improvement rather than discouragement.
By integrating formal leadership development programs with ongoing coaching and feedback, HR and current leaders can ensure that high-potential employees are consistently being developed and prepared for future leadership roles. This collaborative approach not only strengthens the leadership pipeline but also creates a culture of growth and development across the organization.
Actionable Steps for Leaders
Sir Richard Branson, The Virgin Group Founder said, “Train people well enough so they can leave. Treat them well enough so they don't have to.”
Knowing this, people leaders need to understand that succession planning and career development are ongoing strategies that require constant attention. By investing in both areas, leaders can help their teams stay strong and ensure that the business is ready for future leadership changes. Leaders who take a thoughtful, forward-looking approach to succession and career development are better able to create a culture of growth and flexibility within their teams.
Collaborative Approach
Effective succession planning hinges on close collaboration between HR and people leaders. Leaders know their team members’ performance and potential, while HR provides the frameworks and tools to turn those insights into actionable development plans. By working together, people leaders and HR can create a unified and thorough approach to leadership development that meets the organization’s changing needs.
Action Steps
Here are a few steps organizations can take to build a strong succession plan:
- Conduct a talent assessment: Evaluate team members to identify individuals with leadership potential and a desire to grow. Use performance data and HR insights to guide this process.
- Initiate regular coaching conversations: Hold one-on-one meetings with team members to discuss their career goals, provide feedback and find opportunities for growth. Use these conversations to align personal career paths with the organization’s succession planning needs.
- Develop mentorship and job rotation programs: Set up mentorship programs where future leaders can learn from experienced leaders. Consider implementing job rotations or challenging assignments that give employees exposure to different parts of the business and help them build leadership skills.
- Collaborate with HR on development programs: Work with HR to create and implement career development programs that align with succession plans. This could include structured leadership training, workshops and other learning opportunities that prepare employees for higher roles.
- Review and adjust succession plans regularly: Succession planning should be an ongoing effort, not something you set once and forget about. Regularly review your succession plans with HR to make sure they remain relevant and in line with the organization’s changing goals and leadership needs.
Summary
Succession planning goes beyond merely replacing roles, it's about preparing for sustained long-term success. It is a multi-faceted approach that involves collaboration with HR, continuous talent development and the nurturing of future leaders. By working closely with HR, you can evaluate and refine your current strategies to develop a plan that aligns with your organization’s goals and equips your team for the leadership challenges of tomorrow. While team members may come and go, robust systems and structures ensure that the foundation remains strong and resilient, securing your organization's future.
About the Author: 
Michelle Precourt, CPHR, a proud Métis woman, is the founder of and principal consultant of Mindful HR Services Inc., a BC-based HR consulting firm dedicated to fostering mindfulness and balance within professional environments. With expertise in foundational HR practices, career development and workplace mindfulness, their programs enhance self-awareness, cultivate team cohesion and build trust, resulting in a more mindful and resilient workforce.
