Succession planning can be defined as an ongoing process of systematically identifying, assessing and developing organisational leadership to enhance performance. In simple words it involves planning about the likely successors of the organisation.
Need for succession planning
* It ensures continuity in company operations.
* Employees feel relatively secured as they get a reasonably good idea about the way company is likely to be managed in future.
* It gives likely successor time to devise a plan for the future growth of the organisation.
* Prospective business leaders can be groomed properly in the required area.
* It helps in facing the competition effectively.
* It ensures that the resources are not wasted during intervening period till the successor is appointed.
* It reduces chaos and uncertainty which may arise due to the term of the existing management expiring or if there is a mass exodus due to retirement.