Succession Planning: Finding the Right Person to Lead

Succession in leadership takes time and is critical for success—a goal for every organization, especially a family business. Leadership is not for everyone and not a birthright either. When considering succession, whether in a family business or not, certain qualities must be considered for success.

When leading any organization, trust must be established from the start.

To remain competitive in the market, respected in the industry, and viable financially, consider these fundamental qualities in the succession plan when finding the right person to lead.

Assessing Candidate Quality

Qualifying Questions to ask:

• Is there a good fit between education and the leadership role?
• In family business: Has the candidate worked outside the family business and demonstrated success?
• Has the candidate taken on jobs and projects whose results can be objectively measured?
• Is the candidate aware of the deficiencies or omissions in education and training and willing to learn?
• Do the candidate's behavior and demeanor serve to defuse concerns about nepotism?
• Is the candidate ready and willing to overcome complex challenges and crises to demonstrate ability?
• Has the candidate thought through a strategy for succession success? Considering resources, team capability and capacity, and market trends?
• Can the candidate deliver results in the available time?
• Does the candidate know how to motivate others to collaborate?
• Is the candidate willing to take responsibility for what goes badly and share the glory for what goes well?
• Is the candidate willing to invest the extra effort necessary to succeed in the leadership role?

Core Competencies for Leadership Succession

Integrity

• They are committed to the well-being of the organization and its stakeholders.
• Consistently tells the truth when not convenient, even about money.
• Always Accepts responsibility.

Test:  Lead project or department, including budget and 360-degree review after action as a process.

Innovation

• Demonstrates creativity
• Understands the need for rejuvenation
• Is willing to break it when it is not broken to find a better process
• Comes up with own unique ideas
• Can disagree with others (respectfully)

Test:  Develop a new strategy to reach untapped customers. Provide research, timeline, and resources needed

Competence

• Demonstrates ability and desire to achieve
• Exhibits a mindset to lead and solve problems
• Understands personal and professional  skillset and where development needed

Test:  Hire an executive coach or mentor; Develop a sequence of responsibilities

Collaboration

• Works as a Team player
• Can attract and retain required talent
• Can work with the family in a family business setting

Test:  Lead retreat; do team-building exercises & get feedback

Other Thoughts When Selecting a Successor

There are undoubtedly additional attributes to consider when finding the right leader for the new era in an organization. But these are non-negotiable.

Finding the right leader who does the right thing at the right time, with the right people, to earn the right results is no small task. This requires intense focus and desire to succeed. The stakes are high, and doing it correctly is imperative.

Again, risking redundancy, the process is critical for success. Systems drive 80%, and we manage the 20% variables, no difference here. Discipline is your friend. There is one trap to be careful of: You may want this to succeed more than the ability for it to succeed.

Do not force a square peg into a round hole!

This situation often happens, especially in family-run organizations. Be mindful.

I bet you can!

-Jeff