A few days ago I wrote a blog entitled - "More CEOs recruited from within - the latest challenge for Search firms?". It looked at research by Spencer Stuart suggesting that more and more boards are recruiting CEOs from within. It was a widely shared post, at least by my standards (let's be honest, I'm not Piers Morgan), but I thought I should take the opportunity to share a follow up piece discussing how Search firms can provide a service facilitating succession planning.
This article in Workforce Magazine talks about succession planning for roles beyond the C-Suite and puts forward the view that it needs a structured approach led by the CHRO. Part of that model, according to Joe Bosch of Allegis Partners, should be a review of external candidates.
At Dillistone Systems, the majority of our clients are retained search firms - most of who will focus on delivering talent to meet a specific need when it arises. However, we are increasingly working with in-house executive search teams who tend to take far more of a "pipeline planning" approach; and I suspect increasing numbers of search firms will be offering this service in the years to come. It requires many of the same competencies- but potentially allows for a deeper, less transactional relationship between search firm and client and - maybe - even allows for a new subscription model - ESaaS - Executive Search as a Service?
Other common missteps include failing to include outside candidates in succession discussions. Including outside talent improves slates and helps to define best in class. Joe Bosch, an Allegis Partners human resources advisory board member, and formerly CHRO of DirecTV, Centex and Tenet Healthcare, says, “The best plans that I have seen incorporate external candidates. This widens the playing field pretty dramatically, and adds to the strength and credibility of the talent plan. This is especially important when considering new business ventures. Outside partners can be helpful in identifying external candidates.”