The Impact of Management Succession in an Organisation Goal Attainment
In this chapter, the researcher has to review all that she had learnt from books and quote the views of some authors about the impact of management succession in an organizational goal attainment.
Management of human resources and the planning of its supply are becoming increasingly relevant in the developmental plans all over the world. Owing to emphasis on human resources more literature are being produced to reflect the views, aspiration and in some cases suggestions on how best to manage this very important factor of production.
Many people consider succession in managerial position as determined by natural forces for effective review of literature the approach here in will be based on number of reasons.
MEANING AND CONCEPT OF SUCCESSION PLANNING
The importance of business and the management of resources compel us to give succession planning some specific consideration in strategic planning areas of the organization objectives. Manpower planning is the activity, which incorporates the process of succession planning. Succession planning is often thought to apply only to senior management position that will be the next managing director and so on.
Worthy (1974:10: -13) consider management succession as a process. He stated that management succession must necessarily start from manpower planning to staffing and development, organization performance, appraisal and analysis, to management manpower inventory
In his preliminary analysis of the subject matter, he said among other things that “organizational survival”; continuity and violability are among the primary responsibilities of top management of all corporations and most other organizations and institution. These responsibilities to the other organization employee, clients or beneficiaries cannot be fulfilled effectively unless adequate provision is made for management succession.
Manpower planning refers specifically to the complex process of forecasting and planning for the right places, at the right time to performs activities, which will benefit both individual and the organization, manpower planning is viewed as offering a potentially great return to an establishment cost and increased productivity through the effective allocation of available human resources.
Ewing (1972:26) stated, “Managerial succession planning is uncommon, because of difficulties in anticipating contingencies and on accounting for movement of several levels of employees. Simultaneously succession planning is a detailed aspect of manpower planning and requires great caution”. Coventry and Barleer (1993:239) submitted “it is always the duty of the top management to provide for its own continuity through effective planning for succession. Usually, little or no thought is given to executive needs of the future with consequent failure to provide a management development program and lack of such planning results in frustration among senior executives.
The aim of management development is to make sure that the man set aside for future executives are properly trained and ready for action by the time the are due to take their appointed place in overall plan.
Ubeku (1983:45-46) in his presentation said that management development involved;
(i) Developing the individual management knowledge, skills and attitudes through instruction, demonstration, practice and planned experience to meet the present and future needs of the establishment. In order to achieve that objectives, the plan of management knowledge, policies and procedures for managing the company to all managers.
(ii) Appraising and maintaining on inventor of all candidates named as qualified replacements for managerial positions.
(iii) Improving the present performance of all managers on the job development methods directed at individual needs.
(iv) Broadening managers for his/her responsibilities through outside and on the job programmes, activities and courses.
Ifedi (1997:9) stated that identification of manpower needs in the context of succession plans is not once for all exercise, approximately personnel exports have underlined basic principles which can be applied to both the organization as a whole and to individual sections of its. The essential factors, which from variables in company manpower planning process, have to be watched “planning for succession demands a critical analysis of available data”.
Coventry and Barker (1993:239) shared the views of other contributions in that “broad of other contribution in that “board of Directors should ensure proper management succession at every down to the line. The board should be actively concerned with the continuing office of managing director of other chief executives as appropriate. Apart from the top, job itself the remaining problems of maintaining effective succession could be delegated to the boards as necessary. It is important however that this judgment be known to be objectives.
Succession planning is necessary because of the increasing demand for and scarcity of professional manager, age disparity in the population group and the accelerating rate of change both within the establishment and the environment in which they function.
Planning for succession to top positions should begin almost immediately the chief executive are appointed and that certain basic consideration such as experience and age should be considered very important in selecting people to the top positions.
MODALITIES FOR SUCCESSION IN ORGANISATIONS
Management arose because there are organizations and there must be people to be responsible for the attainment of the organizational goal or objective. To realize these objectives, the organizations or corporations continuously look for qualified personnel to direct their affairs. To provide managers and to ensure organizational continuity, they must develop people either by formal training, planned work experience, performance planning and counseling to take over in the event of retirement, expansion, dismissal or death.
Nwachukwu (1998:50) state that, “the development of executives is the development of the organization for it is the manager who make organization or corporation grow”.
Diejomaoh (1982:10) supported the view of Nwachukwu when he said “Human resources is the wealth of nations”.
Coventry and Barker (1993:29-245) submitted that if the right initial selections are made individual management schemes effectively organized, and the individuals themselves highly motivated, then strategic promotion through the top would seem to be sufficient to provide for normal succession.
More (1974:38) also supported the view of others when he said that most organizations have the objectives of perpetuating the business and may have fairly ambitious plans for growths accordingly, management has the continuing obligation to ensure that capable human resources are available.
According to him, “over a given period of time, some personnel will retire, many will be promoted and others may die or leave concurrently, some jobs and function may have to be restricted and keep a break of changes in market technologies and company growth. “Again, because of the mentioned eventualities, he suggested that structured; design and planned management should be tools that management can use readily on providing future manpower needs. Additionally, effective use could be made of developing positions such as assistant to or “product manager”. The relevance of this suggestion to the management succession process in our firms is that planned management development should be an indispensable means of building true and dedicated teams of professionals for future needs.
NECESSITY FOR MANAGEMENT SUCCESSION
It is the view of the researcher to focus on the possible problems and prospects of management succession in Enugu state Housing Development Corporation, particularly emphasis will be made on need for steady & undisrupted management plan.
i) PROSPECTS OF MANAGEMENT SUCCESSION
Management succession is a top management function. It is one of the responsibilities of the top management group. The top management must be guard against bias i.e., the tendency of giving preference to people similar to themselves in background or thinking. This tendency can present a serious problem in the corporation. Premium must be placed on diversity in experience, education, interest and temperament.
ii) A policy of promoting staffs organized from within the corporations is generally considered appropriate by the researchers. This policy is seen as a useful and effective administrative procedure, which will help to ensure that staffs in key positions have an applicable background of experience, and knowledge of the corporation. This thus provides an opportunity for staffs to rise on the corporation as well as ensured that only qualified employees have the opportunity for promotion.
iii) Employees with ability and potentials must be recognized early and give opportunity for continuous growth of these potentially talented employees to be stifled by a system in which plays a dominant role in advancement. This is particularly true of top positions on public sector under which the corporation falls into.
iv) The corporation should apply the principle of high leadership capacity matures early, in its staff advancement policy. By this, the researcher mean that staffs or the employees who demonstrate outstanding leadership capacity should be allowed to move up rapidly, vaulting over many who may be senior in age and service. The reason is because if this does not happen, the employees are likely to have the corporation early and thus likely dot the vaulting in the other organization in which they may find themselves. This result is a potentially top been fight man lost by the corporation.
v) The top management group of the corporation must see to it that the system functions effectively. Nothing destroys confidence in management more quickly than suspicion of favoritism. Employees in the corporation must have confidence that those promoted actually merited it. Selection to positions must be made carefully, thoughtfully and fairly to the extent that what should matter is not whom you know but what you are
PROBLEMS OF MANAGEMENT SUCCESSION
It is the view of the researcher that a good number of factors can bring about problems in the succession bid of Enugu state housing development corporation. These are:
PROCRASTINATION: By this the researcher means delay until later time may, if not properly watched become too short to allow orderly and smooth succession. Planning for succession to the top management position should begin almost immediately after the incumbent is appointed. Abebe (1980) supported this view when he stated that, “from the day I was told I was going to be appointed chairman in succession to the former chairman in managing director, we started thinking of my succession as well.”
- SELECTION AND DEVELOPMENT: Selection and development of potential successors to the prime level of any establishment corporation is a unique and difficult problem, which must be resolved by the establishment or government in the case of public service.
- FEAR OF ORGANIZATION CHANGE: Organizations should learn how to change polices of efforts that are in consistent with their strategies. Little wonder then why Drucker argument that obstacles to organizations / corporations or establishments growth are owing to managers liability to change their attitude and behavior as rapidly as the establishment require.
- SOCIAL RESPONSIBILITIES OF MANAGERS: The need of the society if not attend can turn into a social problem for the establishment. Thus managers of all kinds of establishments, particularly those at the top, should discharge their social responsibilities very well since the survival of their establishment to a large extent is dependant upon successful interaction with all environmental elements.
5. ORGANIZATIONAL POLICIES: internal policies in any establishment can make or mar it. Power struggle and incessant political maneuvering can draw the land of the chock-back wards. Establishment or corporation should avoid it.
6. FREQUENT REPLACEMENT OF CHIEF EXECUTIVE OFFICERS: The collapse of many establishments has been attributed to frequent replacement of chief executive thereby bringing in unqualified and inexperienced successors.
7. BRIBERY AND CORRUPTION: Questionable integrity is the root of all establishment problems this hampers performance of the establishment and should be fought against vigorously. Ejiofor (1984) contended that critical to the effective performance of establishment is as yeast is to dough so is the integrity of the management to the establishments.
8. EXPERIENCE AND AGE DISTRIBUTION: Emphasis should ensure that workers in the key position would have the applicable background of experience and knowledge of the establishment. The researcher therefore suggested that the successor of an important top management position should be within forty-five and fifty years of age at the time he mores into the top position. However, koon+2, 0’ Donnel (1980) was of the view that managers, most productive period is between the ages of forty and sixty years.
SUCCESSION PLANNING IN ORGANIZATIONAL GOAL ATTAINMENT:
Coventry and barker (1993) presented that the time cycles for succession planning falls into three phases.
1. “Emergency replacement plans to cover accidents or mishaps to key people”. If a manager or so suddenly collapses and dies the question that may likely to be asked after his death is “who will take his place ” this is where replacement planning should be identified for every person in a key position. The person nominated may be in the final analysis not necessarily be the person that will eventually succeed the outgoing managers, but he must often be nominated as a stand in for more than one position. However it is going until a successor is found.
Coventry and Barker (1993) pointed out that the essential requirements for someone chosen as a replacement are that he
a) Familiar with the work of the manager now doing the work.
b) Kept informed of the department’s progress.
c) Able to take over at short notice.
SHORT TERM PLANNING: Ideally replacement plan is concerned with making sure that there is adequate temporary cover in situation of emergencies, short term planning is concerned with the process of filling trained managers. For example, the sales manager of a division may due to retire in two years time. It is important that steps are taken right away to start finding his succession and grooming him to take over. Undoubtedly, unless a start is made in good time, some aspects of the work get skimped. From the for-going therefore, the following step are need to be taken;
(i) A job description for the said management post should be prepared.
(ii) A suitable specification is drawn.
(iii) Management development records are searched to identify possible candidates including those who are not yet quite ready who could be by the appointment is made.
(iv) A short list is prepared and the candidates are interviewed and a selection is made.
(v) The selected candidate should be prepared for his new appointment and this might include;
(a) A period of formal off job training.
(b) A number of planned visits or special training project designed to give him additional knowledge or experience he requires in his new job.
(vi) As a result, a promotional chain is likely to set off a chain of other moves, these are prepared for and the successful candidates may be involved in helping to train his own successor.
(vii) A setting down period should be allowed.
From the above, it becomes obvious that the chain of events for just one-job changes can take a considerable period particularly as there are bound to be delays between nearly every step. It is sensible to start detained planning two years ahead of the expected date. The timing of each step in the process can be arranged so that the whole process is done smoothly and without disruption of work. Often times, the decision may be to recruit from outsides. This can bring about considerable delay owing to advertising, screening of replies, waiting for successful candidates to be released from his present job and so on.
Conventry and Barker (1993) pointed out “short term planning is considered with the final stage of enabling a specific person to fit into a specific job”. This process can take longer than most people realize and it is sensible to keep any appointment likely to occur within the coming two years under review and to start putting short term plans into action once the date for the changes come within this two year span”.
Abebe (1970) supported this view when he said, “From the day l was told that I was going to be appointed chairman in succession to the former chairman and managing director, we started thinking of my successor as well”. I meant that there was a very little to think of who or who should be my successor and if we picked somebody we had to give him necessary development.
LONG TERM RESOURCE PLANNING.
The long-term planning has to be much more general. It is possible to forecast the number of vacancies likely to occur due to retirement, staff turnover, and other forms of wastage and from new business plan. This forecast may well turn out to be different from the real needs when they arise. Some of the managers include in the management development scheme may leave. It is a nice judgment to decide whether to have a few people in the pipeline or to rely upon external recruitment for any shortfall. Owing to the uncertainty long-term planning tend to be concerned more with preparing group of people to perform a range of job but with the available option becoming more restricted at the higher levels.
Drucker (1974) contributed greatly to the subject in two of his books. Whole agreeing to the fact that there ought to be a systematic way of making available those who are going to manage the affairs of the firm / corporation in the future he entirely disagree on any rigid method of development executive. He argued that managers’ development and management are not promotional, planning, replacement planning or finding potential. He contented that the worse thing an organization / corporation can do is to try to develop the new comers and leave out the others. His major reason being that ten years after such a decision must in the organization or establishment will be performed by those left out, that unless the left ones have developed themselves to the part where they can understand, accept and put into action the vision of the few corners” nothing will happen.
Accordingly, the eight men out of every ten who were not included in the programme will understandably feel slighted. They may therefore become less effective, less productive, less willing to do new things than were before. The implication of this to management is that every individual is given the opportunity of special development. Drucker also strictly criticized the idea of finding potentials for top management job. The idea of finding potentials he says is based on promise as opposed to performance, which is what matter in the long run. He is also against the idea of planning for replacement by searching for a crown prince. According to him, “a crown prince either has legal right to succeed or else nomination is likely to destroy him. “No matter how carefully concealed, picking a crown prince is an overt act, which the whole organization very rapidly perceives. Then all the other possible contenders unite against the down and they usually succeed. What Drucker is saying of, people are treated in a most benefiting manner to the disadvantage of assuming responsibility in the top positions.
Abebe (1980) said, “I do not know of any mathematical process of reaching the top many have attained the goal by different means but there are certain qualities of character that are certain qualities of character that are particular relevant. They include absolutely loyalty, dedication commitment, integrity, fairness, hard work, intellect, ability to work with others and the possession of basic common sense. Also, one must possess an insatiable desire to learn and he must be a leader and not a boss.
INFLUENCE OF AGE STRUCTURE
Experience and age must be considered important in selecting people for succession. Ifedi (1997) pointed out that emphasis should be the existing workforce to determine the period of retirement, skills of the sector or enterprises, training plans to identify what can be done to improve and diversify the expertise and turnover for each category of manpower.
Koontz O’Donnell and Weihrich (1980) contended that “managers” most productive period is between the age of 40 and 60; they supported their views by the use of manager inventory chart.
—This article is not complete———–This article is not complete————
This article was extracted from a Project Research Work/Material Topic
“THE IMPACT OF MANAGEMENT SUCCESSION IN AN ORGANISATION GOAL ATTAINMENT.
(A CASE STUDY OF ENUGU STATE HOUSING DEVELOPMENT CORPORATION.)”
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