E. K. Ward & Associates

                                                   An OI Partners Company

 

Coaching Survey Results 2009

 

Even With High Unemployment, More than Half of Large and Mid- sized Companies

Do Not Have Enough Future Leaders On Board

 

Even with a high unemployment rate, more than half of large and mid-sized companies report not having enough management successors currently on board, according to a survey by OI Partners-E. K. Ward & Associates (Buffalo), a leading global career transition and executive coaching firm.

- 54% of companies in the survey said they do not have enough qualified successors now working for them to succeed their executives and managers

- Only 32% of companies report currently having enough management successors in place

- 14% of companies are not sure whether they have enough future leaders already in their organizations

The survey included responses from 212 primarily large and mid-sized employers throughout North America, and has an error rate of +/- 6.7%, according to OI Partners-E. K. Ward & Associates (Buffalo) (www.oipartners.net)

“The survey reveals a real opportunity for executives and managers – especially those now out of work – to show they can accomplish desired results for a prospective employer,” said
Lateyfa Ali, Managing Partner and General Manager of OI Partners-E. K. Ward & Associates.

“This is also a wake-up call for current employees to prove they should be considered for promotion now or be placed on the fast track,” added Ali.


The biggest source of a typical company’s future leaders is its own high-potential employees. Employers are more often developing their own high-potential employees into future leaders than they are promoting their now-ready executives, hiring from their competitors, or recruiting from outside their industries, according to the survey. (Respondents were allowed to select more than one answer.)

- 72% of companies plan to internally develop their high-potential employees to become future top management

- 54% expect to promote their now-ready executives to become management successors

- 40% plan to hire future leaders from their competitors

- 26% anticipate recruiting future leaders from outside their industries

Companies that currently do not have enough management successors are more than twice as likely to hire from their competitors, and are almost two times more likely to hire from outside from their industries, than those that have enough future management talent already in place, according to the survey.

- 48% of companies without enough management successors plan to hire from their competitors, compared to only 21% of employers with sufficient management bench strength

- 28% of companies without enough executive talent plan to hire from outside their industries, compared to only 16% of employers that already have enough successors

The survey results offer the following considerations for employees and employers:

- There is an opportunity for employees – and especially out-of-work executives and managers – to demonstrate that they can drive value, increase profits, and/or position the organization as a best in class . “With more than half of companies reporting they currently lack enough management successors, this is an opening for both employed and unemployed executives and managers to show they can help a company win business, achieve its goals, and keep ahead of its competition,” said Ali.

- Executives and managers who are looking for a new job should determine whether a prospective employer has enough management successors on board.
“Companies without enough management successors are a real opportunity for people working for their competitors, and even those from outside of the company’s industry,” said Ali. “
Find out whether a desired employer needs qualified management successors by contacting current and former employees, consultants and other vendors, and target those companies.”
 
- This is a wake-up call for employees currently working for companies.  “Current employees who aspire to reach the top management levels need to demonstrate that they should be considered for available higher-level positions now or in the future, and/or they should be designated as successors,” said Ali.

- Employers need to establish formal programs such as succession management to maintain “bench strength” and knowledge transfer to capture and retain experience and knowledge that may be embedded in key processes and positions in the organization.   A critical aspect of succession planning is providing the necessary resources to prepare individuals for current and future leadership positions.  71% of employers in the survey are currently providing high-potential employees with coaching and other developmental training to grow them into future leaders. “Employers need to fully assess the capabilities of current employees and those outside of their organizations against organizational strategy/needs and decide which ones to grow as future leaders,” Ali added.

About OI Partners
OI Partners is a leading global career transition and coaching firm that helps individuals find new careers and employers to improve the performance of their employees and organizations. OI Partners is comprised of certified career management professionals who specialize in executive and group outplacement, executive coaching, leadership development, workforce planning, and talent management. The company was established in 1987 and is now located in 200 locally-owned offices in 27 countries with more than 100 U.S. offices. Please visit www.oipartners.net or call 800-232-5285.