British Journal of Management and Marketing Studies
ISSN: 2689-5072
Volume 4, Issue 1, 2021 (pp. 17-32)
www.abjournals.org
SUCCESSION PLANNING AND TALENT RETENTION: EVIDENCE FROM THE
MANUFACTURING SECTOR IN NIGERIA
Temitope J. Owolabi1 and Oluyemi T. Adeosun2
1
2
Department of Sociology, University of Lagos, Nigeria: jtowolabi@unilag.edu.ng
Department of Economics, University of Lagos, Nigeria: oluyemiadeosun@gmail.com
ABSTRACT: Manufacturing firms are regularly filling management and top leadership
positions. Any organization's imminent performance depends on the rigor of succession
planning and management commitment to it. With increased employee turnover rate,
organizations risk losing a wealth of knowledge to old employees, which new employees cannot
learn from reading manuals or hand over notes. One-way employee retention can be
guaranteed in any organization is the employee's perception towards the possibility of taking
up higher roles that are more challenging in the future. The study identifies ineffective
succession planning strategy as a factor responsible for the increase in employee turnover in
the organization. Using both qualitative and quantitative methods, 218 respondents were
purposively selected to examine how the improvement of the succession planning strategy
could reduce the rate of employee turnover. Therefore, it recommends embarking on advocacy
to gain management's commitment to the development of potential employees for future roles
KEYWORDS: Succession Planning, Talent Retention, Nigeria’s Manufacturing Sector, Top
Leadership Position, Employee Turnover, Organizational Socialization
INTRODUCTION
The nature of the current global economic order has shown that more organizations are
struggling with retaining their employees (Sullivan, 2004; Hunter, 2012; (Kaya & Ceylan,
2014). The need for better income, work-life balance, and career progression necessitated
employees to desert their former organizations for others that have better pay, work-life
balance, and career prospects. Rappaport, Bancroft, and Okum (2003) earlier argued that more
organizations are becoming short of skilled personnel due to a low employee retention rate. It
has a negative impact, as more organizations are becoming less competitive due to qualified
employees' departure (Herman, 2005). Employee retention is a critical factor that guarantees
organization performance. Market realities and competition have shown corporate managers
how key employees are to achieving their organizational goals and performance. Many
organizations redirect their focus to adopting staff-centered strategies that will guarantee
employee loyalty, commitment, and above all, reduce the likelihood of employee turnover.
Successful organizations have identified employees as vital resources based on their skills and
contributions to their success. Therefore, strategic efforts are put in place to ensure that skilful,
productive, and high performing employees are retained within the organization over a length
of time. To avoid the perpetual departure of employees, Human Resource practitioners and
researchers in management and social sciences examined how the introduction of succession
planning strategies can enhance employee retention and drive organizational performance.
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Succession planning can be described as the management activity that focuses on employee
planning, which entails identifying, recruiting, and developing employees who can assume
leadership or managerial positions. Rothwell (2005) disclosed that succession planning could
be defined as the process of having the right employee in the right role at the right time. Charan,
Drotter, and Noel (2001) described succession planning as the strategic managerial function
which identifies and develops employees within an organization that has the potential of filling
leadership positions. Dessler (2000) pointed out that succession planning manages individual
careers within an organization to guarantee the constant supply of job successors and optimized
organizational needs.
In 2004, a survey of 711 human resource managers conducted found that 80 percent of the
managers thought that succession planning was critical and that only half of their companies
had a clear plan in progress (Taylor & McGraw, 2004). Worthy to note that some executives
are reluctant to plan for succession due to multiple reasons such as fear of losing control,
retirement, death, poor work-life balance, and a strong attachment to the organization (Ibrahim
et al., 2001; Handler &Kram, 1988).
Armstrong (2012) opined that an effective succession-planning program provides answers to
questions such as; are there available successors that can take up leadership roles in the long
run? Do they possess the requisite skill and competencies for the future? Concisely, it is
suggested that a successful succession-planning program considers the availability of skilled
employees to occupy present and future capacities. Mandi (2008) opined that the search for
successors starts at the point of recruitment. Accordingly, Sobol, Harkins, and Conley (2007)
identified four (4) phases in succession planning: understanding the organization's future needs,
identifying and selecting the qualified candidate, preparing a progression plan, and transiting
individuals into positions. Rothwell (2005) averred that an organization's sustainability
depends on its implementation of effective succession planning and management.
In the past 18 months, the researcher has observed an increase in the employee's exit from the
organization, with most vacant leadership roles filled with external candidates. It is also worthy
to note that there has been a spike in the rate Nigerians are relocating abroad, and so some
resignations are linked to relocating outside of the country. However, there is still a link; the
researcher had the opportunity to catch up with some of the employees during their last days
informally. Those who were relocating mentioned that the company lacks a plan for them, so
why should they consider staying. This strongly resonated with what other employees who
moved to other companies shared.
The researcher is also amazed at how the vacant senior leadership and mid-management roles
are filled within the organization. External candidates take the positions, and for the remaining
filled by internal candidates, how were these individuals identified as potential leaders? There
doesn't seem to be a coordinated and management-driven approach to how mid-level and lowlevel talents are developed and prepared. Ideally, they should make up the pool of candidates
for senior leadership roles. Over time, I have been briefed by my line manager and Functional
Head (Supply Chain VP) that I am considered for a leadership role, yet I do not see a difference
in how an intentional effort is paid to developing a growth plan for me. I fear that several people
feel the same way. If this continues, my organization will see decreased employee commitment
and continue to lose a significant number of high potentials to competitors.
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Given the aforementioned impact of succession planning strategy, the researcher intends to
examine how the succession planning strategy's evaluation and improvement could reduce the
rate of employee turnover in Nigeria’s manufacturing sector. This study's findings are also
relevant for managers of organizations who want to improve their onboarding processes.
Although many companies have these processes in place, few pay it the attention it deserves,
preventing them from getting the most benefits to their employees from these processes.
Finally, this study's findings contribute to the research literature on employee integration,
performance, and organizational onboarding processes. This field of inquiry has not gotten the
attention it deserves from researchers in the field. It does not provide the necessary empirical
and methodological framework for building better onboarding processes in organizations. This
study fills that gap in the literature.
EARLIER STUDIES
Imna and Hassan (2015) affirm that one of the main critical issues companies face today,
particularly in the manufacturing industry, is retaining their workforce. Das and Baruah (2013)
point out that an organization's weathering life-long success rests upon keeping talents.
Organizations need to invest in human capital, but it calls for proper planning. Gulzar and
Durrani (2014) further explain that appropriate talent management policies and practices that
exhibit a commitment to employee development produce more committed staff members and
reduce staff turnover.
For succession planning to be implemented to retain employees, the focus should be on career
management and talent management (Tunje, 2014:61). He further emphasized that the existing
succession planning practices should always lead to employee retention, and therefore,
conscious decisions should be made when promoting talented employees. The outcomes of the
research done by Eshiteti et al. (2013) indicate that succession planning programs enable
employee development opportunities and job satisfaction, which has a significant influence on
staff retention.
Studies have shown positive correlations between succession planning and employee retention
(Armstrong, 2009; Chew 2005 and Morton, 2005). Chew (2005) carried out a study on
organizational prosperity through employee motivation and retention at Malaysian Institutions.
The study discovered that attractive pay packages amidst other benefits are pivotal in the
retention of talents. Further, it was revealed that strategic HR practices, such as succession
planning, helped reduce employee turnover. Waleed (2011) conducted a study on the
relationship between human resource practices and employee retention in public organizations
in the United Arab Emirates. It was observed that the absence of development and training
opportunities are among the leading factors motivating employees to quit their jobs. Nyamekye
(2012) studied the impact of motivation on employee retention at the standard chartered bank
in Ghana. It pointed out that employees would prefer to build their careers at the bank. The
study identified factors such as access to training opportunities and mentorship as the
motivation for growing with the bank. Chikumbi (2012) studied the impact of talent
management on staff retention at the bank of Zambia, where it was discovered that access to
continuous learning opportunities, valued ideas, and encouraging creativity were highlighted
as factors influencing employee's decision to stay at the bank.
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Examining the impact of succession planning on organizational performance, K'Obonyo et al.
(2013) studied the succession strategy and performance of family businesses in Nairobi, Kenya.
They disclosed that there is no clear relationship between succession planning and
organizational performance. Further, Chepkwony (2012) researched the relationship between
talent management practices, succession planning, and corporate strategy amongst commercial
banks in Kenya. It was disclosed that there is a positive relationship between talent
management practices, succession planning, and corporate strategy in selected banks in Kenya.
It was further noted that the banks have chosen to rely on training and career development
strategies in retaining talented and productive employees. Eshiteti et al. (2013) studied the
effects of succession planning programs on staff retention amongst sugar companies in Kenya.
They observed that succession-planning initiatives are among the reliable indicators
influencing staff retention, mainly through employee growth opportunities and job satisfaction.
Bernthal and Wellins (2001) examined talent retention in companies located in the United
States and the rest in Australia, Asia, Europe, and Latin America. The study had a large sample
size of 5,689 respondents from agriculture, mining, transportation, wholesale trade, retail trade,
finance, services, government, and multiple industries. The research discovered that
succession-planning programs in their various organizations effectively dissuade their
respondents from leaving their jobs. Greiner, Cummings & Bhambri (2002) disclosed that the
absence of a succession planning strategy in organizations could lead to a high employee
turnover rate. The conclusion was arrived at when undertaking a study on succession planning
on talent retention in the Ghanaian service industry. It was further indicated that the idea of
outside succession increases employee turnover and the possibility of losing top management
executives.
Huang (2001) studied the impact of succession planning on human resources outcomes and
found no clear indication that organizations with succession planning strategies achieve better
human resource outcomes. Michaels, Handfield-Jones, and Axelrod (2001) in the "War for
Talents" stated that companies with effective succession planning strategy attract quality
talents, which eventually rub-off on the organization's overall performance. Rowe, Cannella,
Rankin, and Gorman (2005) studied the impact of succession planning on organizational
performance and found that leadership succession is crucial to corporate performance. It was
further suggested that to explore the benefits of succession planning effectively; organizations
must consider the duration of successful execution and the timing of the successors' learning
in the organization. It was noted that the length of successors' learning within the organization
determines the type of impact succession planning will have on the organization's overall
performance.
First, Miles and Dysart (2008) reported that most companies would agree they have a
succession planning strategy in their corporate agenda. Meanwhile, most times, such strategies
are high underdeveloped, unfairly implemented, and often time ignored. Therefore, it suffices
to say that the organization's commitment to implementing succession planning is crucial to
organizational performance. Khumalo and Harris (2008) reported that most organizations do
not have succession planning in place, which leaves a dilemma when the situation arises.
Vardiman, Houghston & Jinkerson (2006) opined that incorporating succession planning in an
organization's corporate ideals helps avoid potential conflicts that might arise from having
people occupy key leadership positions. Lamoureux, Campbell, and Smith (2009) argued that
effective succession planning is positively correlated to business success.
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Stadler (2011) affirms that employees with high job satisfaction are usually committed to the
company as they believe the company has a great future for them and will care about their
contribution to the organization. Committed employees are more likely to excel in their jobs,
remain in employment longer, and resist job offers, subsequently increasing retention rates and
productivity (Stadler, 2011). Oladapo (2014) asserts that successful retention practices begin
with good hiring practices since competent and motivated people will stay longer. Branham
(2005), as quoted in Oladopo (2014), ascertain that poor hiring practices escalate turnover in
two ways: recruits that are incompatible and disorientated tend to leave quickly; experienced
staff, on the other hand, can become highly frustrated at the revolving door of newcomers that
places a continual burden on their time and performance.
THEORETICAL FRAMEWORK
This research is based on Organizational Socialization Theory as found in the work of
Cooper-Thomas & Anderson (2006). Organizational Socialization Theory has a long history,
from early pioneers' works into cultural organization studies such as John Van Maanen and
Edgar H. Schein. Organizational socialization is defined as "the process through which a new
organizational employee adapts from outsider to integrated and effective insider, though
changes in or the development of new skills, knowledge, abilities, attitudes, values, and
relationships, and the development of appropriate sense-making frameworks (Cooper-Thomas
& Anderson 2006: 492; De Vos et al. 2003: 45). Organizational socialization is important for
four reasons. First, inadequately socializing new employees leads to unmet expectations on
those employees as well as for the organization. This can lead to poor attitudes and negative
behaviors in the workplace. Secondly, organizational socialization employees get up to speed
in their new roles, thereby letting them contribute behaviors to the organization's objectives.
Thirdly, organizational socialization is the primary way through which new employees learn
to function in their new organization. Finally; organizational socialization has "rapid influence
and lasting effects on the employment relationship (Cooper-Thomas & Anderson 2006: 493).
Va, Maanen & Schein (1979: 209) identify six strategies that organizations use to influence
new employees: collective-individual, formal vs. informal, sequential vs. random, fixed vs.
variable, serial vs. disjunctive, and investiture vs. divestiture. Collective-individual describes
whether socialization takes place in groups or individually for each new employee; formalinformal describes whether or not new employees are separated from outsiders during
socialization; sequential vs. random describes whether or not new employees are told about the
specific steps in the socialization process; fixed vs. variable describes whether or not there is a
fixed timetable for the completion of the socialization process; serial vs. disjunctive describes
whether or not new employees are exposed to older workers in the course of their socialization,
and investiture vs. divestiture describes whether or not new employees 'receive positive social
support from insiders" (Van Maanen & Schein 1979: 209; cited in Cooper-Thomas & Anderson
2006: 494).
Organizational socialization can be seen to serve five purposes: newcomer role performance,
extra-role performance, social cohesion, internal stability, and external representation (CooperThomas & Anderson 2006: 500). Newcomer role performance refers to the extent to which
new employees successfully perform the role assigned to them. Extra-role performance
describes the extent to which new employees engage in "helping behaviors" beyond what they
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are contractually required to do in the pursuit of organizational goals. Social cohesion describes
the outcome that organizational socialization creates, emphasizing shared values, attitudes, and
norms among organization members. This results in internal stability, which minimizes
disruptive behaviors that undermine the organization's success. Finally, external representation
describes 'how employees portray their organization to their communities' (Cooper-Thomas &
Anderson 2006: 501). There are interrelationships among these five purposes of organizational
socialization, so experiences in one dimension are likely to affect other dimensions' outcomes.
In addition to the Organizational Socialization Theory is the Scharmar's Theory U Model. In
2007, Scharmer developed a succession model referred to as Scharmer's Theory U Model. He
argues that top management must first embrace change to enact succession planning, and they
must act to make it happen. The model views succession planning as beginning from the
immediate future and supports a concept of a U process of five movements that support change.
These movements are; Co-initiating, Co-sensing, Pre-sensing, co-creating, and co-evolving,
they can help an organization embrace change, implement succession planning strategies and
practices in the organization for an emerging future.
Figure 1: Otto Scharmer's Theory U Model (Scharmer, 2007)
The stages can be explained as followed;
1.
Co-initiating: The organization establishes a common purpose with all stakeholders about
a future event, in this case, about planning for succession.
2.
Co-sensing: The organization tries to gather new ideas through collective input regarding
the possible models and strategies to suit the organizational structure.
3.
Presencing: The versioned future starts emerging as a possible reality. Failure to
"presence" is one of the reasons why most organizations lulled into a false sense of
security that ignores the possibility of facing challenges of vacant key positions without
groomed successors.
4.
Co-creating: The organization's top management involved in the succession planning
process potential groom candidates for key positions before the predecessor may retire.
At the co-creating stage, a group of change agents makes the future possible.
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5.
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Co-evolving: The leadership evaluates, out of many, which prototypes are practical and
beneficial, and then the innovation is truly embraced as a strategy for the organization.
Scharmer's theory applies to the succession planning process. Companies that have adopted the
principles have scaled to the next level and have seen lasting results.
METHODOLOGY
The study employed a descriptive research method. It seeks to ascertain the nature of
onboarding process in a leading manufacturing company in Nigeria, as well as the challenges
hampering its effective execution (and how these may be improved). These are phenomena that
can be described in interviews with respondents and other key informants. This study employed
a triangulation method of data collection- that is, a combination of both qualitative and
quantitative data collection methods (qualitative data were collected using the in-depth
interview guide while quantitative data were collected using structured questionnaires). These
data collection methods were of a cross-sectional nature, meaning that the data were collected
at a specific point in time without regard to changes in trends over time.
The questionnaire used was the Onboarding Process Questionnaire for New Employees based
on Haueter et al. (2003) Newcomer Socialization Questionnaire: the questionnaire measures
employee onboarding along three dimensions: the organization, the group, and the job/task
(Haueter et al. 2003). The questionnaire contained thirty-five items in all, 12 of which measured
onboarding in terms of the organization, 12 for the group, and 11 items for the job/task (Haueter
et al. 2003: 18). Responses to these items were presented on a four-point Likert-type scale
(1=strongly disagree to 4=strongly agree). The complete questionnaire is presented in
Appendix A. The same questionnaire was administered with managers/supervisors; the only
difference being that they were asked to assess new employees along these dimensions; it is
attached in Appendix B. The in-depth interview guide was used to collect data about the
organisation's onboarding process and the ways it could be improved
The fieldwork was conducted at the manufacturing company’s headquarters in Lagos, Nigeria.
This study's population was all employees who joined the organisation within the 12 months
preceding this study, line managers, and Human Resources personnel at the organisation. This
study used non-probability sampling methods, specifically convenience sampling. A nonprobability sampling technique does not give all study population members an equal chance of
being selected (Babbie 2010). The justification for using this sampling technique is that specific
people within the study location possessed the requisite knowledge to offer useful insights into
the research problem. Hence, it makes sense to survey those people. Convenience sampling
was used to select study participants based on availability. A sample size of 218 employees
and 5 line managers were selected to participate in the survey, excluding the Human Resources
Manager.
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RESULTS
The result from objective 1 shows the respondent's perception of succession planning strategy.
70% of HR managers agree that successors are identified from their performance evaluation
rating. It aligns with insights shared in Organisation Analysis (Temilade Abass OA, 2018) on
the organisation's robust performance evaluation system. 80% also agree that successors are
picked from personality assessment, which is also in line with its strong focus on its standards
of leadership. 100% of the HR managers agree that the Line manager identifies the next talent
for a position within the organization. In comparison, 70% posit that the HR department is not
solely responsible for identifying successors.
It was shown that 36% of the respondents were indifferent about being familiar with the
organisation's succession planning practices. It was disclosed that another 36% disagree that
groomed replacements in the organization's talent repository take up the role if a valuable or
senior employee with critical knowledge leaves the organization. About 43% were neutral in
the response that the organisation is committed to identifying talent from existing employees
for future leadership utilization. Another 36% were indifferent about the notion that the
organisation invests significantly in its employees' training and development, while 29%
disagreed that the company invests in training. More respondents (43%) averred that job
rotation is commonly practiced. Further, it was disclosed by 64% of the respondents that job
enlargement or job enrichment is commonly practiced at the organisation. Also, 43% of the
respondents thought that job shadowing is encouraged. Employee's views on talent
development practices implemented in the organisation are in line with HR views. It was also
reported by 72% of the respondents that high potential employees are often assigned short-term
assignments within or outside the country; this is in line with HR perception as well. About
65% of the respondent opinionated that identified potential leaders take part in
management/leadership development programs based on competency needs. Another 36%
agree with the idea that even though people have been shadowing and taking on additional
responsibilities, a successor is still not picked out of the pool of groomed potential leaders.
About half of the respondents (50%) reported a deliberate effort to recruit outside talent for
critical positions within the company.
A few respondents (36%) agreed that team leaders or managers are active and held accountable
for coaching and developing their direct reports. About 36% of the respondents were indifferent
about being clear on the next plans for you in the organization, which is also linked to people
not being clear on the succession planning strategy. Over 57% of the respondents further
showed signs of indifference in their response to having their development plan reviewed and
signed off. Finally, the majority of the respondents disagreed that they are being considered
and groomed for a leadership role
The result from objective 2 shows the respondent's perception of establishing the succession
planning strategy's effectiveness in the organisation. It was disclosed that 36% of the
respondents disagreed that the succession planning program is well developed, communicated,
and implemented. Another 43% disagreed that there is a significantly low level of employee
turnover in the manufacturing company. Above 70% of the respondents (72%) agreed that
employee satisfaction is good compared to other companies. On the contrary, 43% were
indifferent to the notion that employees/colleagues willingly go the extra mile to get the job
done. Finally, another 57% were lukewarm about the organisation implementing a
comprehensive workforce plan to ensure that current and future needs are met.
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The result from objective 3 shows the respondent's perception of critical barriers hindering the
effective implementation of succession planning strategy in the organisation. The result
showed that 43% of the respondents were neutral because the succession planning initiative is
aligned with its strategy. Another 36% were neutral on the idea that it invests significant
resources in future leaders' training and development. It was further noted that half of the
respondents (50%) agree that the management is committed to developing the next generation
executives from within the organisation. Above 36% of the respondents were neutral on
whether managers are afraid of replacement by a successor has an internal leadership grooming
and retention program in place.
Further, another 39% of the respondents were neutral because management is proactive to
workplace issues-HR analytics are used for predictions and projections; manning is
strategically planned. Another 36% were indifferent about the idea that managers and top
executives lack the requisite skill to develop talented employees in the organization. Finally,
about 57% of them disagree that unit managers have plans in place to develop junior staff
capacities for future roles.
The result from objective 4 shows the respondent's suggestions on strategies that could improve
the current succession plan in the organisation. The result showed that 72% of the respondents
opined that management's commitment to developing talents within the organization is critical
to improving the current succession plan. Another 50% disclosed that the organization needs
to align its succession planning program with its corporate strategy. It was further noted that
half of the respondents (50%) of the organization should develop coaching programs for the
senior management team. Above 40% of the respondents averred that the organization should
have an internal leadership grooming and retention program. Further, 65% of the respondents
thought that the organization should increase their human capacity development investment.
Finally, about 36% of the respondents were indifferent to the idea that the organization should
implement recognition and reward programs for team leaders or managers with outstanding
contribution to team members' development and growth.
DISCUSSION OF RESULTS
The study set out to investigate how succession planning can be improved in Nigeria’s
manufacturing sector in order to mitigate high employee turnover. The field survey results
reflect that the organization adopts job rotation and job enrichment as a significant strategy for
developing employees for future tasks. It was further highlighted that the organization assigns
high performing staff to short-term projects within and outside the country to gain experience.
It agrees with Luna's (2012) findings, who reported that job rotation is an effective means of
implementing succession planning in corporate organizations. The employees also revealed
that it is a constant practice within the organization to have key positions occupied by sourcing
externally. It means that even though employees have had the scope of their work increased,
shadowed colleagues, and sometimes acted incapacity of their boss, they are still not considered
for higher roles. Due to the negligence of the management and department heads in closely
monitoring the progress of employees and their readiness for future roles. The impact of this
was signaled by Reid and Barrington (2001), who noted that organizations with a culture of
developing and training talents have a high tendency to attract and retaining quality talents for
a long time. Further, Armstrong (2009) has highlighted the importance of talent development
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and training, and Morton (2005) that trained talent has fewer propensities to leave an
organization.
It means that the organization's failure to look inward for replacements and negligence in
grooming junior staff for future roles would propel their employees to source for organizations
where they have the chances of occupying leadership roles. Given the first objective that seeks
to evaluate respondent's perception of the organisation's succession planning strategy, it can be
deduced that the employees hold a negative perception of the succession planning initiative
employed in the organisation. On the effectiveness of the adopted succession planning initiative
at the organization, it was revealed that the organization does not have a well-implemented
succession planning program or strategy that could prepare junior staff for leadership roles and
reduce turnover. It is in tandem with First, Miles, and Dysart (2008) view where it was reported
that most companies agree to have a succession planning strategy in their corporate agenda,
but, most at times, such plans are high underdeveloped, unfairly implemented, and often time
ignored. Furthermore, Khumalo and Harris (2008) reported that most organizations do not have
a succession planning or have an undeveloped succession planning strategy, which leaves them
in a dilemma when a situation arises.
The third objective focuses on critical barriers that hinder the effective implementation of a
succession planning initiative in Nigeria’s manufacturing sector. It was reported that managers'
inability to nurse initiative and programs targeted at developing junior staff capacities hinders
the effective implementation of a succession planning initiative in the organisation. It makes
most of the employee unfit to work in the organization since there is no opportunity for carrier
growth. They also facilitate their departure from the organization. Halbesleben & Wheeler
(2008) has earlier stated that an employee's perception as being suited to their jobs is a
significant measure for their choice to remain at their current positions.
Finally, the respondents averred that one significant way the organization can improve on the
current succession planning initiative is by gaining management's commitment to developing
leadership capacities in junior staff. It is in line with First, Miles, and Dysart (2008), who
reported that the organization's commitment to implementing succession planning is crucial to
organizational performance. It was also suggested that the organization needs to align its
succession planning initiative with the organization's corporate strategy. It affirms Chepkwony
(2012) assertion that there was a positive relationship between succession planning and
corporate strategy when he studied the relationship between talent management practices,
succession planning, and corporate strategy amongst commercial banks in Kenya. It was also
suggested that the organization increase its investment in developing human capacities within
the organization. It coincides with the findings of Rothwell (2010, which stated that having a
succession-planning program in place ensures that organizations invest adequate resources in
the development of human capital.
Interview Analysis
An interview was conducted with the Human Resources Manager to address the remaining two
research questions that this study attempts to answer:
1. What are the challenges of the current onboarding process in your organisation?
2. In what specific ways can the onboarding process be improved to enhance employee
integration and performance?
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The Human Resources Manager identified two mains challenges of the current onboarding
process in Nigeria’s manufacturing sector. These are (1) the decentralization of the onboarding
process that gives line managers complete control over the process, and (2) the relatively short
time during which onboarding is executed.
The HR Manager observed that the onboarding process in the organisation's biggest challenge
is the decentralization to line managers, who have almost total control over the process.
According to the HR Manager, this has some downsides. For instance, the line managers focus
almost exclusively on the job's technical aspects, without paying enough attention to new
employees' cultural socialization. The HR Manager also observed that because the process is
left largely to line managers, there is no consistency in how it is executed, so there can be
significant variations in how new employees in the finance department are onboard compared
to new employees in the sales and marketing department. The HR Manager believes that this
inconsistency among the different departments' onboarding process undermines the integrity
of the organization as one large, coherent unit.
The HR Manager also observed that line managers spend only five working days to onboard
new employees. However, the HR Manager believes that intense onboarding should occur for
at least ten working days and should continue at intermittent intervals over the next 6 months
of the new employees' arrival at the organisation. According to the HR Manager, spending time
onboard new employees this way yields dividends in the long-term over the employee's stay at
the organisation, whereas failing to spend that time results in misunderstandings about job roles
and performance expectations in the future. The HR Manager expressed the view that line
managers are understandably reluctant to spend that amount of time because they want new
employees to begin producing results right away, believing that spending a long time on
onboarding is a waste.
Based on the challenges of the onboarding process identified previously, the HR Manager made
two suggestions on how the onboarding process in the organisation can be improved. The first
is for the onboarding process to be centralized, with the Human Resources Unit in the driving
seat to coordinate onboarding across the entire organization. However, the HR Manager noted
that this does not mean line managers will no longer have input in the onboarding process.
Rather, that centralization will allow the company to ensure consistency of onboarding for the
cultural socialization of employees, while line managers retain their role in the technical
aspects of onboarding that have to do specifically with job requirements and competencies.
The HR Manager observed that the second way to improve the onboarding process is to extend
the time required to onboard new employees, from the current practice of five working days to
ten working days for the main onboarding, and monthly onboarding activities in one week of
every month for the next six months. According to the HR Manager, this extended onboarding
will provide sufficient time to get new employees acquainted with the company's culture and
help them understand more clearly the subtleties of working effectively with teammates to
perform the technical aspects of their jobs more effectively. The HR Manager believes that
although extending the onboarding time in this way may slow down new employee productivity
at first, the long-term gains outweigh the short-term impacts.
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CONCLUSION AND POLICY IMPLICATION
From literature, it has been suggested that crucial to the implementation of succession planning
is the management's willingness and commitment to invest the organization's resources in
developing potential employees for future roles. Therefore, raising advocacy targeted at senior
staff at the management cadre aims to raise awareness on the need to have the junior staff get
adequate training that will enable them to stay in the organization while aspiring for higher
positions in the future.
The findings concluded that the organization's current succession planning initiative is not
aligned with the organization's corporate strategy, hence the reason for the negligence on the
part of the management to uphold it. Therefore, suggesting that the organization align the
succession planning program with its corporate strategy will ensure that the company is better
positioned to attract and retain potential future talents within the organization. It could be a
selling point for the organization in attracting other high fliers within the industry.
Implication for Theory
From the field survey, it was disclosed that the talent development pathway is almost nonexistent in the organization at the moment. Therefore, revamping the talent training pathway
will help identify capable hands that could fill into leadership roles in the future. This pathway
will be made visible to all employees; identified talents can also track their own personal
progress while motivating other employees to do better. It will further help increase the
professional capacities of the employees in their current positions. The organization should
also nominate a member of the leadership team as the program's guardian for accountability
and visibility.
Limitations of the Study
This research employed a cross sectional research design (that is, the study of a group of
respondents only at a given point in time), but this might not capture the changes that might
occur over time taking into consideration the dynamics after the implementation of some
proposed recommendations. Furthermore, the study was conducted in a manufacturing firm,
hence, it might not reflect the dynamics of succession planning in other sectors.
Suggestions for further Research
Other factors that could be considered for further research would be
28
Analyzing feedback of the respondent by department and function. Interestingly, the
views or perceptions on succession planning vary within functions, and the problem
might be more prominent in one than the others.
Extend survey to senior management to get an overview of succession planning at the
C-suite level in the organization
Review, if available, exit interview reports of people that have exited the organization.
It will provide more information on the link between succession planning, job
satisfaction, and retention.
British Journal of Management and Marketing Studies
ISSN: 2689-5072
Volume 4, Issue 1, 2021 (pp. 17-32)
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