Talent Integration Series: Part 3
How does your organization promote from within? Do you select the person who is doing the best job in their current role? Do you promote the person you like the most, the person who has the most seniority, or the person who gives you attention and deference? If this is your current practice, then you are missing out on the opportunity to grow your business. You may also be dramatically increasing your cost of operations. This is hardly a good strategy in the current economy.
Let’s take a moment to look at the cost of a bad (mismatched) promotion:
ü Time to become productive on the job
ü Time to separate from being a peer to being a boss
ü Turnover cost resulting from a bad promotion
ü Lost productivity resulting from the turnover
ü Recruiting cost
ü Time to become productive for the new hire
A poor promotional decision is costly.
Internal promotions should be approached the same way you approach external hires: formally. There are distinct advantages you have when promoting from within. The candidate knows the business, knows some of the politics (politics at the managerial and executive level, however, are different), and is familiar with the culture. But this knowledge alone should not qualify them for promotion. What qualifies them for promotion is a positive performance track record and demonstrated ability (versus just interest) to take on additional responsibilities to succeed.
Here are five actions that organizations can take to prepare internal candidates for promotion:
1. Have a formal (or at least an informal) succession plan
a. That is, identify individuals in your organization who can fill current senior positions should the incumbent retire or leave, or new positions that are created due to growth, new product or service introductions or new projects critical to the success of the company.
2. Implement a management development program to provide future promotable candidates the opportunity to take on additional and more challenging responsibilities. A management development program will also identify employee strengths, preferences, values and potential derailers to promote best fit for positions available.
3. Introduce a valid and meaningful 360 degree evaluation program to ensure that the candidates identified for promotion are truly qualified and not just good at managing up and managing their image.
4. Provide the future promotable candidates with a mentor to help guide them through both the tangible and intangible aspects of achieving success within the company.
5. Provide the newly promoted employee with coaching support to support the transition from a functional and technical focus to a manager with broader responsibilities.
Companies should use a mix of internal and external hires to build its team, with the larger number coming internally. A rigorous internal promotion process will best prepare candidates, strengthen the business and ultimately, benefit your customers.
That said, how are you doing at growing your own and preparing your people and business for succession and long-term success?
Copyright 2009 Kubica and LaForest
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