succession planning

Enabling the smooth transition between an employee who leaves the company and their replacement. Although commonly associated with senior managers, the issue applies right through an organization. The transfer of power from one leader to the next, in the upper echelons of a company, can have a major impact, not just on morale and business performance but also on a company's share price. Good succession planning can maintain company morale and direction, and keep investors happy.

Traditionally, succession planning reflected the hierarchical structure of companies; it was highly structured and based on length of service. More recently, succession planning has become more flexible with the priority being the recruitment of the most suitable candidate.