Succession Planning Software

Succession Planning Software – a Critical Aspect of Organizational HR Strategy

Summary

A rapidly ageing workforce and a growing need for upskilling the workforce makes succession planning an important aspect of the HR strategy. 

Succession planning software helps organizations manage talent pipelines and prepare for smooth leadership transitions. 

Succession planning empowers organizations to build a sustainable talent pipeline, improve employee engagement, and reduce recruitment costs.

Succession planning involves preparing for situations where an employee unexpectedly decides to leave the organization. 

An effective succession planning software can help develop future leaders who will provide fresh perspectives to your organization and drive innovation. 

What is Succession Planning Software?

Succession planning software helps organizations build a sustainable talent pipeline, reduce recruitment costs, and improve employee engagement. Organizations looking to manage their talent effectively must invest in succession planning tools. Using talent assessment tools for succession planning helps build a strong pipeline of future leaders and maintain business continuity. We explore important aspects of succession planning, the need for HR succession planning software, and the best succession planning software to consider for your organization in this blog. 

Why Do You Need Succession Planning?

As the global workforce ages, organizations face several challenges and opportunities around succession planning. In the year 2020, nearly 25% of the US workforce was made up of people aged 55 years or older. An aging workforce presents unique challenges for HR in terms of knowledge retention, skill gaps, and diversity and mentorship. An aging workforce presents unique challenges that require proactive succession planning initiatives that include strategies to understand the dynamics at play and mitigate the risks associated with retirements. An effective succession management plan helps overcome the challenges that result from an aging workforce. 

Another major factor that dictates the need for a succession plan is the need to reskill or upskill one in every two employees. Employees have to update or change their skills and competencies regularly (ideally every year), in order to stay relevant amidst the cutthroat market competitiveness. Good succession planning ensures that skill gaps are bridged effectively by training employees. 

So, why is succession planning important? 

Ensures business continuity –

With attrition rates and the percentage of ageing employees in the workforce increasing, succession planning helps organizations maintain operational stability by preparing for potential leadership transitions. Succession planning helps identify and develop future leaders, and enables HR teams to fill critical roles quickly. This way, operational disruptions are minimized and knowledge transfer is done efficiently. 

Mitigates risks –

Sudden departures not only result in loss of leadership, but also hurt the team’s morale and overall business performance. Potential risks due to sudden departures, especially in executive roles, can be mitigated largely by having a succession plan in place. 

Helps retain top talent –

A well-laid-out succession plan provides employees with clear career pathways and enhances their job satisfaction as well. With a succession plan in place, employees see opportunities for advancement in their careers. 

Fosters leadership development –

Evaluation of current employee’s skills and training them for future roles is part of a succession plan. Employees who have been trained to perform in leadership roles can easily transition to the role when given the opportunity. 

Supports diversity and inclusion –

A robust succession plan contributes to greater diversity within leadership roles by widening the range of candidates for key positions. The succession plan enriches the leadership role and also reflects a commitment to equitable opportunities within the organization. 

What is a Succession Planning Software?

Succession planning software or succession planning tools are used by organizations to identify and develop new leaders within a company to replace old leadership when they retire leave, or are promoted. Traditionally, the HR team carries out succession planning by providing manual knowledge transfer and other training. Right from identifying key positions to evaluating the effectiveness of the succession planning process, the HR team carries out these steps manually. So, what are the steps in succession planning?

1- Identifying the key positions

Not all job roles require succession planning, leadership roles that are crucial for the success of the organization Leadership roles and specialized positions that play a key role in achieving organizational goals require a succession plan to ensure business continuity. 

2- Defining competencies and job requirements

Developing competency models and outlining the necessary skills, experiences, and attributes required for success is another key step in succession planning. A clear definition of competencies helps clarify the requirements for each role.

3- Assessing internal talent

Once the competencies and role requirements are defined, the HR team needs to identify candidates with similar competencies and skills. Internal talent assessment may involve evaluating their performance in the current role, potential, mobility, and readiness for the new role. 

4- Developing talent

Once a potential candidate in the internal talent pool has been identified, the HR teams start working on training and mentoring the person, and providing learning opportunities tailored to prepare them for the new role. 

5- Implementing the succession plan

Putting the succession plan into action involves establishment of timelines and responsibilities for every activity undertaken by that role. All through the implementation of the plan, the communication strategy must be clear to keep stakeholders informed. 

6- Monitoring and evaluating progress

Once the succession plan is implemented, its effectiveness must be evaluated by monitoring key performance indicators. The readiness of potential successors must be evaluated and the plan must be adjusted accordingly to align with organizational goals. 

7- Communicating the plan

HR teams need to maintain complete transparency by communicating the succession planning strategy and progress to all stakeholders. This encourages better employee engagement and ensures that everyone is clear about their role in the process. 

There are several steps in the succession planning process that are repetitive and do not require human intervention. Moreover, using succession management tools can improve the efficiency of the succession management plan. Talent assessment tools for succession planning help organizations manage talent pipelines and prepare for future leadership transitions. Using succession management software can help ensure smooth leadership transitions and continuity. Investing in a HR succession planning software enables HR teams to identify and develop emerging leaders who will drive your organization’s future success.    

Why Do HR Professionals Need Succession Planning Software?

Assessment tools for succession planning provide some robust features that can generate valuable insights for HR professionals. Here are 5 reasons why HR professionals need a succession planning software – 

Ensures leadership continuity – Minimizes disruption during leadership transition

Enhances employee development – Helps identify high-potential candidates

Drives data-based Decision Making – Helps identify skill gaps proactively

Streamlines succession planning- Minimizes administrative burden on the team

Supports organizational agility – Maintains all succession plans up-to-date.

Benefits of Using Talent Assessment tools for Succession Planning

Bridges Skill Gaps

A succession planning software can mitigate the risk of leadership gaps during leadership transitions by proactively identifying candidates for filling the role. Knowledge transfer during the leadership transition can be smoothly handled with a talent assessment tool like Skillrobo. A succession planning tool helps in identifying and developing high potential employees proactively, and also helps create a robust talent pipeline that ensures a smooth leadership transition. 

Fosters career development

Succession planning software allows HR teams to identify high-potential candidates for filling leadership roles. The software also allows HR professionals to create tailored development plans that enhance their skills and knowledge, so that they can perform well in leadership roles. A culture of growth and development can be practiced effectively with the help of these tools, which eventually boosts employee engagement and retention. 

Chalks out clear career paths

Using succession planning tools improves talent retention by chalking out clear career paths for individuals. When potential employees are identified for transitioning into leadership roles, their career path takes an upward trajectory. This makes them feel valued and gives a clear direction to their career. 

Standardizes succession processes

Succession planning software brings structure and streamlines the succession planning process. When repetitive steps in the process are automated by the software, the execution of the succession plan is carried out more efficiently. Talent assessment tools provide real-time data and analytics that help HR personnel make informed decisions for filling leadership roles. 

Provides visibility into talent pipeline health

Succession management tools provide deeper visibility into the talent pipeline health by identifying potential bottlenecks that might cause the loss of high-quality candidates. These tools are highly effective in evaluating the quality of hire by providing customized tests for evaluating skills and competencies required for leadership roles. 

Enables data-driven succession decisions

Deciding on a replacement for leadership roles requires updated data on the potential candidates’ performance and skills. When HR personnel have access to updated information on the potential replacement, they are in a position to make the right decision on the replacement. 

How Can You Use SkillRobo for Succession Planning?

Succession management tools must provide a wide array of features and functionalities that help HR teams streamline their succession planning workflow. Choosing the best succession planning software for your organization makes all the difference to your succession planning process. An AI-powered pre-employment assessment tool like Skillrobo helps HR teams implement their succession plan successfully. With a host of automation features, Skillrobo helps HR teams stay on top of their succession planning. 

Here are the top features of Skilrobo that help in implementing the succession plan effectively. 

AI Test Generator

SEYARC – the AI test generator in Skillrobo automatically generates the right questions for any skills that you wish to test the candidate for. Talent assessment questions for leadership positions can be easily created using SEYARC by simply mentioning the skill you wish to test. 

Performance tracking and assessment

The intuitive dashboard in Skillrobo provides real-time updates on the performance of employees. The software offers a wide range of assessments that can evaluate the skills of employees. You can even create your own test in Skillrobo as per the role and set your preferred difficulty of questions that thoroughly evaluate skills, leadership potential, and competencies. 

Career path visualization and modeling

The detailed performance analysis report provided by Skillrobo, helps HR teams provide a clear career path to potential candidates being considered for the leadership or managerial position. These career path visualization models in Skillrobo help employees visualize their career growth in the role for which they are considered for. 

Skills and competency matrix

HR teams must be able to map the skills and competencies against the role in consideration using the succession planning tool. By creating a skills and competency matrix, skills gap analysis can be conducted. Skill gap analysis can be greatly simplified with this matrix and relevant training programs can be planned to help employees develop the skills required to perform well in the role. 

Risk assessment for leadership roles

The talent assessment features in Skillrobo provide HR teams a comprehensive analysis of the risks associated with the key positions they are looking to fill through succession planning. Skillrobo enables effective analysis of the risks associated with the role. 

Integration with existing systems

The test scores are directly shared to other HR evaluation systems, which helps HR teams make informed decisions on the suitability of the employee for the role for which they are being considered. 

Instant reports and analytics

Skillrobo provides HR teams with instant reports on the performance of the candidate, which helps shortlist the candidates who fit the requirements of the role on maximum counts. Custom reporting and analytics provided by Skillrobo help HR teams identify the candidate that fulfills all the skill and competency requirements for the role. 

Top 8 Succession Planning Software

Implementing the succession plan requires robust succession planning software that can streamline the entire workflow. We have curated a list of the best succession planning software that can put your succession process on track. 

1. Skillrobo

About – Skillrobo is an AI-powered talent assessment platform that can help HR teams hire new candidates and also assess skills and competencies of employees. You can create your own test or choose from the vast skill library with ready-to-use tests. 

Key Differentiator – SEYARC – the AI test generator that can generate questions for any skills that you wish to test for. You can create skills-based assessments quickly and efficiently with Skillrobo.

Key features 

  • Fully customizable tests
  • Engaging and interactive
  • Enterprise integration
  • Wide range of skill tests
  • Real-time analytics and results

Pricing

Professional plan available at $149 billed annually

2. SAP SuccessFactors

About – SAP is a leader in Human Capital Management (HCM) software for enterprises having an employee strength more than 1000. They are among the leaders in the global market for succession and leadership planning software. 

Key Differentiator – Their succession planning software provides a host of features, including the “good fit” role recommendations to find positions that match employees’ skills and interests, and the feature of proactively informing recruitment plans and identifying potential open roles. 

Key Features 

  • Organizational chart for succession planning
  • Company-wide searches for uncovering hidden talent
  • Sharing present and LIVE presentations for strategic planning
  • Dynamic view into talent pool membership

Pricing 

Available on request

3. Succession Wizard 

About – The main focus of succession wizard is to simplify the entire succession planning process. This software helps identify potential gaps in succession and assists in planning for future staffing needs within the organization. 

Key Differentiator – The key benefit of using the software is acquiring a fully functional and operational succession plan within hours of implementing the solution. The configuration of the succession planning software can be done internally without employing consultants. 

Key Features

  • User friendly interface for simple configuration
  • Easy configuration without the need for additional hardware

Pricing

Pricing varies depending on number of entries

4. Plum

About – This software aims at empowering organizations to get the right people for leadership roles. HR teams can build a strategic workforce that is scalable and competent. With Plum, HR teams can upskill their employees to perform well in leadership roles. 

Key Differentiator – This software is powered by Industrial/ Organizational Psychology and AI. Plum intelligently matches every employee’s talents to job behavioral needs across the organization. 

Key Features

Provides employees with personalized experience

Pinpoints skill alignment by discovering exact skills for the role

Provides deep insightful analytics

Culture gap analysis

Talent acquisition and management

Pricing 

Available on request

5. PerformYard

About – Perform yard is a performance management software that is ideal for annual reviews, quarterly goals, and continuous feedback. The succession planning platform can support succession planning by identifying high value employees and streamlining their learning process. 

Key Differentiator – PerformYard is a customizable software that provides 360 degree reviews for all employees. The 9-Box grid that categorizes employees by their performance and potential for growth.  

Key Features

  • Understand learning and development needs of employees
  • Personalized development program for employees
  • Facilitates active conversations between the HR and the employees
  • Reporting and analytics
  • Continuous Feedback

Pricing

Based on number of employees, typically ranges from $5-$10 per person per month

6. PeopleFluent

About – This software is best suited for creating career plans. PeopleFluent’s succession planning software can be used by small and large enterprises to find new leaders or upskill current employees to fill critical roles. 

Key Diffentiator – PeopleFluent can be used to create a fact-driven succession plan using data analytics to understand the internal candidate profile. HR teams can track and map competencies against goals for annual reviews.

Key Features

  • Compensation management 
  • Learning management system
  • Strategic workforce planning 
  • Sophisticated talent management
  • Organization charting for workforce insights

Pricing

Available on request

7. Bullseye Engagement 

About – This is a talent management platform that offers a complete suite of succession planning tools that help businesses manage the succession planning process efficiently. Bullseye is a human capital development and data management platform that intends to augment existing ERP systems. 

Key Differentiators – Bullseye is a complete succession planning platform that offers talent assessments, career path planning, and personalized development plans. This software specializes in developing strategic planning tools that bolster the strategic positioning of your business. 

Key Features

  • Talent assessment and development tools
  • Customizable development plans
  • Personalized development plans for employee engagement
  • Record keeping and HRIS
  • Regulatory compliance
  • Hiring and ATS

Pricing

Available on request

8. Arcoro

About – This software is a human resources management system that includes succession planning tools that empower HR teams to prepare for future leadership reeds. You can get career development plans and succession planning reports from Arcoro.

Key Differentiators – Provides a complete suite of HR solutions that includes performance management and succession planning. Arcoro helps improve employee engagement and help develop a career path. 

Key Features

  • 9-box talent matrix for accurate employee ratings
  • Simplifies internal skill searches
  • Provides a comprehensive scorecard for tracking employee performance
  • Identifies and addresses current and potential talent gaps

Pricing

Available on request

Final Thoughts

Rapidly ageing workforce and the constant need for reskilling and upskilling employees makes succession planning an important part of HR strategy. Using talent assessment tools for succession planning helps organizations ensure smooth transition for leadership roles. An AI-powered talent assessment software like Skillrobo can help organizations plan proactively for filling leadership positions and addressing skill gaps. To explore Skillrobo further, sign up for the free trial. 

FAQs

What types of companies require succession planning?

Medium to large enterprises that have important leadership positions that impact organizational performance require robust succession planning.

Is succession planning software the same as talent assessment software?

Succession planning software can be considered as a subset of talent assessment software. Talent assessment software can be used for succession planning and career development. 

What are the types of succession planning?

Succession planning can either be an emergency succession plan or a planned succession plan, or a talent management succession plan.