One of the things you have to plan for your business is who will succeed you. Not having a valid succession plan in place is one of the biggest mistakes made by Texas business owners. This is an error that can lead to consequences that may have a serious effect on your business. The time to plan your succession is now.
Don’t make your succession plan too informal
Business succession planning should be one of the very first items on your agenda. This is a plan that should be carefully planned out to cover any and every possible angle. The more thought you put into it, the more formal and binding it will be. This will save you time, energy, and money in the long run.
The succession plan that you and your partners agree on should cover a few key areas. These should include who will step in to replace people in the key roles of your business. A shortlist of potential candidates should always be in place. This list should be revised once in a while to keep it completely up to date.
Don’t assume your talent is forever loyal
Another key element to take note of within your plan is the loyalty of your top talent. You need to provide them with a viable future within the ranks of your business. Assuring them of a viable role in the future succession of your corporate hierarchy is vital. This may well be the best thing you can do in order to have them take over top roles.
Don’t confine succession plans to the top tier
The succession plan that you make for your business needs to cover more than just your top-level employees. You also need to make sure that lower-level workers have a reason to stay loyal to you.
You can do this by creating a succession plan for lower-ranking workers. This can include promotions, bonuses, and other forms of incentive. The more you do to keep your workers, the more you will preserve stability during a time of succession.