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Some employers push succession planning to the back burner. Reasons may include a focus on immediate recruitment needs rather than investing in long-term planning, a lack of resources, and the perception that what attracted longer-tenured employees of the past is going to have the same appeal for the current generation of workers.  

Focusing solely on the immediate and reactive needs of the organization and neglecting the more strategic long-term efforts of succession planning comes with risks. For public employers, not having a clear plan to mitigate and fill future vacancies can lead to disruption of operations and essential public services and the potential loss of support and public confidence.  

On the other hand, having a well-defined succession plan can provide many opportunities for public employers and preempt potential issues before they arise. This article highlights some opportunities that succession planning can provide as well as some of the risks and challenges a public employer may face if it does not balance short-term goals with a long-term focus on succession planning.  

Mitigate Disruption and Ensure Continuity of Services 

Why should public employers, in particular, be concerned about key positions left unfilled? One of the more compelling reasons is that staff and leadership vacancies directly impact the public they serve. We all may have experienced long security lines at the airport, slower response times to emergency calls, or the reduced number of days or hours of operation of our local public offices or library.  

In 2020, a major West Coast city experienced delays in processing building permits due to a shortage of staffing in its Department of Building Inspection (DBI). The DBI had several key positions vacant at the time, including director, which had been vacant for over a year. As a result, the department struggled to keep up with the volume of permit applications, causing significant delays for builders and developers. The consequences were compounded by supply chain issues that began to emerge and the skyrocketing cost of building materials. That had downstream implications, making it difficult for contractors to honor their agreements and impacting businesses and their other stakeholders in the community.  

In June 2019, one city’s police chief in Colorado announced he would be retiring at the beginning of September. An interim deputy police chief was appointed while the organization assessed the department’s needs. After conducting a national search and narrowing down the candidates, the current chief was hired eight months later. The new police chief was an external candidate and likely needed time to learn the department and the community she would be serving. When a key leadership role such as the police chief is vacant, there is always the potential for a temporary loss of continuity and direction within the department. That can be especially challenging during times of community unrest or other high-stress situations where clear, decisive leadership is needed.  

Another Colorado municipality recently found itself with several open director positions after the pandemic. That wasn’t unique to that town. And like so many, they found themselves unprepared to fill those positions in a timely manner, not to mention the institutional knowledge they most likely lost. Also, keep in mind that when you lose key staff, others within your organization may follow.   

So how can you use succession planning to help maintain business continuity and mitigate interruption in service levels? Succession planning can help you thoughtfully identify the key positions, competencies, and potential talent long before you have a planned or unplanned vacancy. Proactively developing the skills and knowledge of employees who may be potential candidates for future roles ensures that they are prepared to step up when needed and fill positions quicker. When key positions remain vacant for an extended period, this can also lead to concerns about the ability of the organization to function effectively and can erode public trust in its leadership.  

Avoid Delays of Important Projects and Initiatives 

Losing key staff can also delay important projects and initiatives, which can have long-term consequences, including future funding and support from constituents. I’m sure you can think of infrastructure projects that ended up with significant cost overruns, loss of economic opportunities, and eroded public confidence. Staffing is not the only reason this may happen, but it can be a key factor. In recent years, a major road infrastructure project in Colorado faced significant delays due to key staff vacancies and difficulty recruiting candidates with the necessary experience and expertise for critical roles, not only slowing down completion but also resulting in cost overruns.    

Starting from square one and concentrating mainly on external candidates can take months to fill a vacancy and adds up to a significant expense. Filling leadership and other vital roles from a pool of suitable internal candidates creates a smoother transition because employees better understand the organizational culture, policies, procedures, and those you serve. There is less ramp-up time and less downtime and disruption.  

Strengthen Employee Engagement and Retention 

Private and public organizations alike are facing a talent crisis. We are seeing a shortage of people to fill open positions, and public employers are especially impacted by baby boomer retirements, as their workforce tends to be older. The perceived competitiveness of public versus private employers to attract talent can vary depending on the specific job role, industry, geographical location, and even personal priorities and values of job seekers. However, what today’s workers want from an employer is shifting, and public employers need to adapt their mindsets to keep up with the changes to retain and attract talent.   

Succession planning can improve employee engagement and retention. People within your organization are more likely to stay if they see future opportunities, understand the path to get there, and see the organization’s commitment to helping them learn and grow along the way. It should be part of a comprehensive talent-management strategy that includes identifying those within the organization with the potential to fill different roles and provide training and development opportunities to fill the skill gaps and support career advancement.  

In April 2022, global management consulting firm McKinsey & Company surveyed 1,500 individuals employed by U.S. federal, state, and local government entities to understand what would make them stay, leave, or return to their jobs. Of the 385 respondents who planned to leave their current role in the next three to six months, the top reason was a lack of career development. According to LinkedIn’s 2023 Workplace Learning Report, “three of the top five factors that drive people to pursue new jobs reflect their desire to stretch, grow, and develop new skills.” 

Career development is not only important to employees, but it also benefits the organization by ensuring better-qualified employees and a pool of potential internal candidates.   

When employees not only understand how their work matters to the mission, but also feel they matter to their employer, it’s good for morale and employee engagement. People are more committed to their work, more productive, more likely to take on greater responsibility, and more likely to stay.   

Strengthen or Reset Organizational Culture 

Organizational culture is an organization's shared values, beliefs, and biases, whether clearly articulated or not. Culture influences the behavior of employees. When you do the work of succession planning, you don't want to fill a key vacancy with just anyone that might have the technical skills and experience you need, but you also want to consider those who can demonstrate the behaviors that align with the culture you have or want to create. 

Think about your current organizational culture. Do different departments in your organization operate in silos? Do they function independently, not share information or collaborate effectively? This can create an organization where individuals prioritize their own goals over those of the wider organization. Or is there good coordination and collaboration across the organization? Do individuals have a strong sense of ownership and responsibility toward the organization?    

Another example of culture is where everyone toes the line, complying with the rules and expectations usually set by an authority figure. The benefits might be consistency, efficiency, accountability, and an expectation where team members work together to achieve a common goal. However, it is important to note that a compliance culture can sometimes stifle creativity and initiative and slow decision-making and necessary change. It can also create fear and make it hard to build trust and relationships between employees and management.   

What employees value from their employer is shifting. Culture is also a top factor younger workers consider when choosing where to work. They tend to prioritize employers that offer a sense of belonging and an organizational culture that values and applies diverse experience, styles, backgrounds, and perspectives to get results. They want to feel their work has meaning and purpose, where they can have an impact on the world or in their community — which is a big plus for public sector employers.  

Is your organizational culture on the right path, or does it need tweaking or, perhaps, a full overhaul?   

Succession planning enables you to not only identify the technical capability needed within your organization but should also focus on behavioral skills, such as effective communication, teamwork, and conflict resolution. As you focus on identifying and building the internal capability needed now and in the future, you can have a transformative impact on your organization’s culture with succession planning.    

In today's dynamic public sector environment, succession planning has emerged as a critical imperative for organizations aiming to secure their long-term success. The time is now to move succession planning up the priority list and make the strategic choice to invest in comprehensive succession planning to capture the opportunities and conquer tomorrow's challenges with confidence. If you have any questions or need assistance, please contact Employers Council’s Member Experience Team.