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Big Business, small Business, Sporting organizations and everything in between, when it comes time to identify potential or new Leaders, what are the secrets to successful Leadership transition? Importantly, what makes Succession Plans work? 

In reality, successful succession isn’t simply following a plan. Transition and successful succession are about honestly assessing what the organisation needs next, what it needs to take it forward.   

That raises questions, ‘who’s in the room? Is the ‘nominated’ candidate suitable and prepared, able to deliver that?  Answer, sometimes yes, sometimes no! 

Read on! 

Family Businesses, and you may be one of those who have realised the importance of Succession Planning and taken the necessary steps for a smooth transition.  You will have instilled family values, strong governance structures and supported all family members to nurture their aspirations and ambitions. Role rotation, training, and shared opportunities are important to achieve this outcome. Everyone is a winner! 

Examples of succession plans that have worked where highlighted in the story of leadership transition headlined, ‘WA Cricket’s belief in coach Adam Voges is a perfect blueprint on how to get it right’. In this article, Voges was praised as ‘he epitomises excellence in the world of head coaching’. 

Other examples.

• Wesfarmers saw a successful transition when Rob Scott took over as CEO in 2017. It had been a planned and carefully crafted pathway and fully transparent. It was successful on all fronts for all concerned.

• Big Business, in recent times, was Apple’s, CEO Steve Jobs handover to Tim Cook. Cook had done his dues, as right-hand man, building over time, company, knowledge, a deep understanding of Apple’s culture and forming strong relationships. A successful transition, that has seen Apples market share grow under his leadership. 

What can Business learn from this?  

• Stepping up takes a special type of person, with a specific set of skills and values, to take charge of a Business or Team. 

• We have seen and know that being a great Manager or brilliant player doesn't mean you will be an effective, great Leader or sports Coach. 

What are the steps to a positive transition?  

Grooming, mentoring, belief in potential, and creating a supportive learning pathway. An example, sporting teams including WA’s Eagles, have formed leadership groups. Players from within, with leadership qualities, are given the opportunity to further develop and apply their skills.    

How do you know, assess, if the preferred or proposed candidate is suitable?  

Strong work ethic, humility, curiosity, integrity and resilience are words used to describe some of the necessary attributes. Discipline, calm authority and depth of standards are consistent traits.  

Succession Planning isn't all plain sailing. 

It has its challenges and as we know, even the best laid plans can go astray! Scandals, Board decisions, and ill health can hijack the transitional agenda. These have made headlines, with very public family feuds and fighting played out in courtrooms and on social media.  Ego’s, politics, commitment or lack of can muddy the waters and see even the richest of dynasties fall. 

In summary,  

• As we have seen, Succession planning can be carefully orchestrated and results in a smooth and successful leadership transition. A potential candidate is developed, nurtured, and groomed for takeover and does. Congratulations! 

• On other occasions, it's a more complicated situation. This requires an honest assessment of the time, circumstances, and potential candidates presented. This raises several questions! What does the organisation, Business need now, next and who can deliver that?  Who’s in the room or does it take a wider search. Is a change agent needed, someone with a new set of eyes or is it a known, someone with the continuity of learned in-house experience? 

Importantly, Small, big Business, sporting organisations and everything in between, Succession Planning is crucial for a smooth leadership transition.