Companies should develop a succession pan, identify appropriate employees for development and fast track them to ensure they reach their potential.
Why it is important to develop staff?
In any organisation it is inevitable that people will move on, or retire, and an effective management team will have a system in place to identify the leaders of tomorrow, and ensure they are ready to accept the challenge when their turn comes. Failure to do this will mean that managers have to be brought in from outside as the need arises, and this has several implications for the organisation.
First, there is likely to be a financial implication. It may be necessary to advertise, or even use an agency to find suitable candidates. An agency will involve significant costs, and usually take a percentage of the candidate’s salary as a fee. There will be management time involved in the search for the right candidate.
Then the successful candidate has to learn how the company works, integrate with the existing team, and gain the trust and respect of staff. They will need to understand the values and culture of the company. Continue reading Business Ideas: Managing People, Developing Employees