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SURVEY RESULTS |
Succession Planning / Management Study
About i4cpi4cp is a research firm that discovers next practices in human capital. Our member organizations rely on i4cp to
ensure that their efforts will make the greatest impact on the business today and in the future. Through superior
research, peer collaboration, tools, and data, we provide insights that help organizations better anticipate, adapt, and
act in a constantly changing business environment.
Visit i4cp.com to learn more.
Thanks to Human Resource Executive® Many organizations are transforming their succession management process—expanding to cover
new roles, seeking to have a more diverse pipeline, further integrating with talent development
efforts to advance high-potential leaders, among other changes.
Human Resource Executive® partnered with the Institute for Corporate Productivity (i4cp) on this
major study to explore how organizations are approaching succession planning and management,
what is changing, and what the emerging or next practices in the field look like.
A report that explores key findings and next practices will debut over the summer at i4cp.com.
©2020 by Institute for Corporate Productivity (i4cp). All rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means, including
photocopying, recording, or other electronic or mechanical methods, without the prior written permission of the
publisher, except in the case of brief quotations embodied in critical reviews and certain other noncommercial uses
permitted by copyright law. For permission requests, write to i4cp.com/contact.
FOR COPIES OF THIS REPORT Research reports published by i4cp are made available to member organizations and may be shared internally on an
unlimited basis. For non-member access or information on i4cp membership, visit the i4cp website at i4cp.com or
call 1-866-375-i4cp (4427).
Contents Survey Responses ....................................................................................................................................................... 2
1. Does your organization have a formal process aimed at identifying and developing successors for key roles? ............................................................................................................. 2
2. Which of the following best describes your organization’s process for identifying and developing successors? ............................................................................................................... 3
3. To what degree is planning for succession a priority in your organization? ................................. 4
4. Does your organization have a specific function responsible for its succession planning / succession management process? ............................................................................ 5
5. To whom (or where) does your organization’s succession planning / succession management function report directly? ...................................................................... 6
6. What are the primary objectives of succession planning / management in your organization? (Select up to three) ........................................................................................ 7
7. How effective is your organization at each of the following? Percent of respondents indicating “highly effective” or “very highly effective” .................................................................. 8
8. Which of the following pose the most significant barriers to the effectiveness of your organization’s succession planning / management process? (Select up to five) ........................ 9
9. For which roles does your organization have a formalized process to identify and develop successors? (Select all that apply) .............................................................................. 10
10. How often do decision makers in your organization formally meet to discuss people in the succession pipeline and their stages of readiness and / or development? ................... 11
11. Which of the following practices does your organization employ to optimize diversity when identifying and / or assessing high-potential talent and / or succession candidates? (Select all that apply) ................................................................................................................. 12
12. Beyond the obvious (e.g., an individual’s annual performance rating, individual accomplishments, etc.), which of the following are the most important factors that your organization considers when determining successor readiness? (Select up to five) ............... 13
13. From which of the following sources does your organization typically find its most successful successor candidates? (Select up to three) ............................................................ 14
14. What is the approximate current balance of successor candidate sources for your organization? ............................................................................................................................. 15
15. Which of the following practices does your organization employ to promote transparency of the succession planning process? (Select all that apply) ..................................................... 16
16. Which of the following issues impede transparency of your organization’s succession planning process? (Select all that apply) .................................................................................. 17
17. Which of the following measures are used to assess the effectiveness of your organization’s succession planning process? (Select all that apply) ........................................ 18
18. To what extent are the following true of your organization’s succession planning process? ... 19
19. Which of the following employee/candidate practices are part of your organization’s succession planning process? (Select all that apply) ............................................................... 20
20. How likely is your organization to make the following changes to its succession planning process in the next 12-24 months? .......................................................................................... 21
© 2020 Institute for Corporate Productivity (i4cp) Use of all results, analysis and findings requires explicit permission from i4cp.
Institute for Corporate Productivity | Page 2
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
Survey Responses 1. Does your organization have a formal process aimed at identifying and developing
successors for key roles?
n = 2,931
21.4%
22.3%
44.4%
10.0%
2.0%
Yes, we have one process that is consistententerprise-wide
Yes, but that process varies by business unitand/or geography
No, we approach succession planning in an adhoc fashion
No, we don’t perform succession planning at all
Don’t know
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 3
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
2. Which of the following best describes your organization’s process for identifying and developing successors?
n = 2,551
39.8%
35.4%
24.9%
Succession planning: an annual or one-offevent focused on identifying successors for
specific roles
Succession management: an ongoing processthat considers a holistic view of organizational
talent across the enterprise and at multiplelayers by creating talent pools from which to
draw
Wishful thinking
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 4
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
3. To what degree is planning for succession a priority in your organization?
n = 2,551
6.2%
23.5%
45.4%
19.8%
4.2%
0.9%
Very high priority
High priority
Moderate priority
Low priority
Very low/no priority
Don’t know
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 5
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
4. Does your organization have a specific function responsible for its succession planning / succession management process?
n = 2,543
40.6%
27.0%
28.0%
4.4%
Yes
No, but it’s something we have plans to put in place
No, and we have no plans to pursue
Don’t know
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 6
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
5. To whom (or where) does your organization’s succession planning / succession management function report directly?
n = 1,027
3.0%
19.3%
9.3%
43.1%
13.0%
5.5%
2.0%
5.0%
The board of directors
The CEO
A committee comprised of select members of theboard of directors and executive leadership
The head of human resources
The head of talent management
The head of organizational development
Don’t know
Other (please specify)
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 7
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
6. What are the primary objectives of succession planning / management in your organization? (Select up to three)
n = 2,500
54.6%
48.8%
37.8%
28.0%
23.7%
20.0%
15.1%
14.4%
13.6%
11.0%
4.4%
1.7%
Improve identification and selection of futureleaders
Improve engagement and retention of high-potential employees
Retain our current leaders / top talent byproviding a succession path
Create opportunities for internal advancementat multiple levels
Better prepare for anticipated demographicchanges (e.g., a retirement wave)
Better prepare for unanticipated changes (e.g.,unwanted attrition)
Fulfi l l our board’s desire to outline succession for the top of the organization
Increase leadership diversity
Strengthen culture based on promotion of leaders who embody the organization’s values
Support growth (into new regions, product /service lines, etc.) that requires leader…
Respond to regulatory requirements
Other (please specify)
0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00%
Institute for Corporate Productivity | Page 8
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
7. How effective is your organization at each of the following? (Percent of respondents indicating “highly effective” or “very highly effective”)
n = 2,395
28.6%
27.7%
26.0%
22.6%
22.3%
18.7%
16.9%
16.5%
16.3%
15.5%
13.5%
12.9%
8.9%
Filling key/critical roles from external sources
Identifying high-potential employees within theexisting workforce
Filling key/critical roles internally with identifiedsuccessor candidates
Agreeing on ready-now or ready-enough candidates
Retaining current leaders and top talent by showingthem clear succession paths
Ensuring that internal succession candidates whotake on new key/critical roles are well-positioned to
succeedEnsuring that external successors (i.e., new hires
into key / critical roles) are well-positioned tosucceed after joining your organization
Retaining employees designated or considered high-potential by showing them clear succession paths
Adjusting the succession planning process to meetevolving needs of the organization
Developing high-potential employees into ready-nowor ready-enough succession candidates
Having a diverse talent pool of succession candidates
Preparing for anticipated demographic changes (e.g.,a retirement wave)
Preparing for unanticipated changes (e.g., unwantedattrition)
0% 5% 10% 15% 20% 25% 30% 35%
Institute for Corporate Productivity | Page 9
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
8. Which of the following pose the most significant barriers to the effectiveness of your organization’s succession planning / management process? (Select up to five)
n = 2,395
50.7%
43.9%
42.3%
42.2%
26.9%
24.1%
22.2%
20.0%
16.3%
13.7%
13.5%
12.5%
11.9%
6.3%
Lack of clear succession paths
Longevity of leaders dampens the potential ofsuccession
Inaccurate / incomplete view ofskills/capabilities enterprise-wide
Successor development programs areinsufficient or outdated
Leaders hire who they want rather thansomeone from an agreed-upon successor slate
Leaders are reluctant to let top talent moveinternally
Lack of diversity on succession slates
Selected successors are not adequatelyassimilated into their new roles
Lack of diversity among selected successors
Successor requirements are outdated (e.g., don’t reflect new ways of work)
Inability to retain top successor candidates
Top talent is unwilling to make the geographicmoves the business requires
Disagreement on succession candidates
Other (please specify)
0% 10% 20% 30% 40% 50% 60%
Institute for Corporate Productivity | Page 10
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
9. For which roles does your organization have a formalized process to identify and develop successors? (Select all that apply)
n = 2,366
38.3%
47.3%
40.6%
37.7%
25.9%
19.2%
CEO
Positions reporting directly to the CEO
Positions reporting directly to the CEO’s direct reports
Mid-level leaders
Frontline or first-level managers
Non-leadership critical roles
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 11
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
10. How often do decision makers in your organization formally meet to discuss people in the succession pipeline and their stages of readiness and / or development?
n = 2,316
35.6%
24.6%
10.9%
8.1%
2.9%
13.8%
4.1%
Ad hoc (discussed/scheduled only as needed)
Once per year
Twice per year
Quarterly
Monthly
Don’t know
Other (please specify)
0% 10% 20% 30% 40%
Institute for Corporate Productivity | Page 12
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
11. Which of the following practices does your organization employ to optimize diversity when identifying and / or assessing high-potential talent and / or succession candidates? (Select all that apply)
n = 2,316
46.9%
36.1%
25.0%
21.8%
19.4%
16.4%
15.9%
15.0%
14.0%
12.7%
5.6%
4.1%
1.4%
Provide training (e.g., unconscious bias training)for managers / raters
Broaden the sourcing of talent for succession (e.g.,widen the talent pool internally and externally)
Track / measure the diversity of successioncandidates
Review for potential bias (e.g., bias from similarity,experience, location, etc.)
Set goals on diversity of succession candidates
Provide transparency in the succession planningprocess (e.g., publishing the process,
requirements, etc.)Audit the succession process (e.g., compare results
with relevant demographic numbers, industrybenchmarks, etc.)
Intentionally focus on the development ofunderrepresented classes for potential succession
Other (please specify)
Include diversity in succession as part of theperformance management process
Incentivize movement of diverse talent throughrelocation benefits
Include an expert diversity and inclusion coach intalent assessments
Use artificial intell igence (AI) to help eliminate biasin the succession planning process
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 13
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
12. Beyond the obvious (e.g., an individual’s annual performance rating, individual accomplishments, etc.), which of the following are the most important factors that your organization considers when determining successor readiness? (Select up to five)
n = 2,285
72.0%
59.5%
51.0%
50.0%
40.4%
21.6%
20.5%
12.7%
11.7%
9.9%
9.6%
8.3%
3.9%
Subject matter expertise
Relationships/connections across the enterprise
Experience working in multiple functions orbusiness units across the organization
Experience or relationships withcustomers/partners
Ethics and integrity
Results from assessments (e.g., personalityprofiles, 360s, professional assessor interviews,
etc.)
Behaviors that promote inclusiveness orbelonging
Diversity of race, gender, orientation, age,abil ities, etc.
Proclivity to use digital/advanced technologies toenhance business outcomes
Experience working in different geographies
Behaviors that promote well-being (career, mind,and body)
Experience leading or sponsoring employeeaffinity / resource groups
Other (please specify)
0% 10% 20% 30% 40% 50% 60% 70% 80%
Institute for Corporate Productivity | Page 14
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
13. From which of the following sources does your organization typically find its most successful successor candidates? (Select up to three)
n = 2,260
61.6%
8.4%
10.3%
37.4%
10.8%
9.2%
24.9%
15.8%
13.9%
9.9%
4.3%
61.0%
18.6%
17.3%
44.7%
12.6%
12.1%
25.9%
14.2%
15.1%
9.6%
4.7%
Existing employees
People who work on a contract basis with theorganization
Former employees
New hires
M&A (employees from acquired companies)
Partners (e.g., organizations that contribute to go-to-market strategy, suppliers, distributors, etc.)
Competitors
Industry experts / influencers (e.g., academics oranalysts within the industry/market)
Organization does not track this
Don’t know
Not applicable
0% 10% 20% 30% 40% 50% 60% 70%
For Non-CEO Leadership Roles For Non-Leadership Critical Roles
Institute for Corporate Productivity | Page 15
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
14. What is the approximate current balance of successor candidate sources for your organization?
n = 2,255
3.0%
10.5%
27.4%28.7%
18.0%16.8%
20.0%
10.2%
3.7%
0.6%
27.9%
33.2%
Internal External0%
5%
10%
15%
20%
25%
30%
35%
0% up to 25% up to 50% up to 75% 100% Don't know
Institute for Corporate Productivity | Page 16
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
15. Which of the following practices does your organization employ to promote transparency of the succession planning process? (Select all that apply)
n = 2,239
69.7%
66.1%
57.5%
15.5%
13.4%
12.3%
10.4%
8.9%
4.5%
2.4%
Make all job openings visible to all employees
Make clear the skills/capabilities / experiencesrequired for each job opening
Allow any employee to self-nominate for anopen position
None, we are not transparent
Make high-potential designation criteria visibleand clear to all employees
Report internally on diversity in successioncandidate pools
Make diversity data public (e.g., percentage ofwomen or people of color in leadership roles)
Make the status for every relevant successionopening clear to designated successor
candidates
Make a list of employees designated high-potential visible and clear to all employees
Other (please specify)
0% 10% 20% 30% 40% 50% 60% 70% 80%
Institute for Corporate Productivity | Page 17
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
16. Which of the following issues impede transparency of your organization’s succession planning process? (Select all that apply)
n = 2,239
47.4%
41.6%
39.0%
18.6%
15.7%
10.3%
10.0%
6.5%
Concerns about employees not designated high-potentials (e.g., disputes about who is designated
or not designated a high potential, possibledecrease in productivity, increased turnover, etc.)
Too much reliance by the organization onsubjective rather than objective selection criteria
Concern about high-potential employees’ perceptions (e.g., unrealistic expectations of fast
advancement, sense of entitlement, implied promise of advancement, etc.)
Fear of overlooking high-quality potentialcandidates
Regulatory or legal concerns
Concern about placing undue pressure on high-potential employees
Other (please specify)
Fear of making our diversity data public
0% 10% 20% 30% 40% 50%
Institute for Corporate Productivity | Page 18
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
17. Which of the following measures are used to assess the effectiveness of your organization’s succession planning process? (Select all that apply)
n = 2,225
35.6%
27.8%
23.7%
20.8%
19.8%
15.7%
11.8%
10.9%
10.1%
9.3%
8.9%
6.8%
4.0%
2.7%
Organization doesn’t measure the effectiveness of its succession planning process
Retention / attrition rates of succession candidates
Percentage of key / critical roles filled by those in thesuccession pipeline
Percentage of key / critical roles with at least oneready or one future successor
Don’t know
Percentage of ready-now versus ready-with-development candidates on succession plans
Percentage of diverse talent on succession plansversus targets for gender, ethnicity, etc.
Success rate of successor candidates after they takeon their new roles (e.g., 90- or 180-day, or first year)
Percentage of employees identified as high-potentialtalent versus target
Percentage of internal versus external candidates onsuccession plans
Movement rate of those in the succession pipeline (i.e., to ensure this top talent doesn’t experience …
Percentage of key / critical roles filled by peoplefrom under-represented groups
Percentage of employee population identified ashigh-potential versus industry benchmarks
Other (please specify)
0% 10% 20% 30% 40%
Institute for Corporate Productivity | Page 19
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
18. To what extent are the following true of your organization’s succession planning process?
n = 2,196
18.6%
16.3%
16.0%
13.1%
12.0%
8.5%
8.0%
8.0%
7.8%
6.5%
Leaders accept/plan for advancement of their toptalent (i.e., leaders do not hoard talent)
Effects on teams headed by incoming or outgoingleaders are considered
Emphasis is on building succession talent pools asopposed to focusing on a single successor (i.e.,
succession pools vs. 1:1 succession)
Leaders are held accountable for ensuringdevelopment of those on succession plans
The succession planning process is future-focusedwith job descriptions consistently modified to align
with future expectations for each role
The organization actively helps candidates not chosenfor current succession by developing them for more
appropriate internal roles.
The number of high-potential talent and/or successioncandidate designations is balanced with number of
anticipated opportunities
Succession pools reflect a desired proportion ofdiverse candidates
Contingency plans exist to address situations wherethe succession candidate is no longer available (e.g.,
chose to accept a different position, leave theorganization, etc.)
The organization considers its external ecosystem ofstakeholders (e.g., partners/customers) to help non-selected succession candidates find their next role
0% 5% 10% 15% 20%
Institute for Corporate Productivity | Page 20
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
19. Which of the following employee/candidate practices are part of your organization’s succession planning process? (Select all that apply)
n = 2,196
52.3%
34.2%
31.3%
27.4%
25.2%
22.4%
21.1%
19.4%
10.7%
Succession candidates are encouraged to beaccountable for their own development
Individuals are permitted to self-nominate assuccession candidates
Development plans are highly personalized foreach succession candidate
Organization focuses on the skil ls candidates will need to advance (i.e., program looks
beyond those “next in l ine”)
High-potential employees and/or successioncandidates may opt out of designated
development programs
Our organization does not follow any of thesepractices
Organization actively provides support toassimilate successors into their new roles
Individual/network connections arerecommended for each succession candidate
Organization maintains an up-to-date,company wide skills inventory
0% 10% 20% 30% 40% 50% 60%
Institute for Corporate Productivity | Page 21
SURVEY RESULTS | SUCCESSION PLANNING / MANAGEMENT STUDY
20. How likely is your organization to make the following changes to its succession planning process in the next 12-24 months?
n = 2,184
20.6%
19.2%
18.3%
18.1%
15.1%
13.8%
13.5%
9.9%
8.6%
37.9%
40.7%
36.8%
20.9%
28.8%
31.3%
14.7%
24.7%
9.6%
18.0%
17.5%
20.8%
22.5%
23.6%
25.2%
27.7%
22.0%
20.7%
12.7%
9.8%
12.6%
18.9%
20.0%
15.4%
22.3%
18.5%
24.4%
10.9%
12.8%
11.5%
19.6%
12.6%
14.3%
21.9%
24.9%
36.8%
Improve the diversity of candidates in thesuccession planning process
Take a more future-focused approach tosuccession by including both current and
anticipated roles and / or skills
Ensure talent planning is part of every businessplanning conversation
Eliminate tenure (i.e., time in current role)requirements for succession readiness
Create talent pools vs. focusing on 1:1succession
Broaden the pool of talent in succession plansbeyond existing full-time employees
Eliminate numeric ratings or rankings
Change from multiple, time-based readinesslevels to ready now and ready with
development designations
Eliminate the use of nine-box talent models asan output of the succession planning process
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Very likely Somewhat likely Not very l ikely Not at all likely Don't know