It can be difficult to establish at what point a business should implement a succession plan. It’s not something that comes high up on the agenda for some smaller businesses and start-ups, as there are many other challenges for businesses to contend with.

However, having spent nearly 25 years working alongside businesses and witnessing their growth and evolution, the benefits are clear for those where succession is a constant consideration. We’ve seen first-hand how businesses that invest in structured succession planning enjoy greater stability, improved employee retention, and a stronger internal pipeline of leadership talent.

In particular, we see that as business owners and directors begin to approach retirement, or companies look at the possibility of a business sale, having a strong internal team who understands and can run operations effectively is crucial. Any potential buyer or new leader will want assurances that key personnel exist within the business who can maintain stability and continuity. A business without a defined leadership pipeline can struggle to remain competitive or attractive to investors.

Failing to implement a formal succession strategy means that instead of developing and nurturing the most appropriate candidates into senior positions, promotions and leadership appointments are often driven by:

• Employees asking for promotions—rather than businesses strategically identifying suitable talent.
• High employee turnover—where people, often the better employees, leave because they see no clear career progression or opportunities for development.
• Short-term thinking—where businesses focus on immediate needs rather than long-term strategic goals.

The absence of a structured succession plan can create instability, disengagement, and increased recruitment costs, as businesses are forced into a doom-loop of reactive recruitment rather than developing their talent from within.

Organisations that fail to invest in their employees’ development and progression, may inadvertently create a revolving door culture, where talented individuals join, realise there’s no structured career path, and leave for opportunities elsewhere. Without an effective plan in place, businesses may find themselves:

• Scrambling to fill key roles internally—leading to rushed promotions of employees who may not yet have the right experience or training, or simply the wrong promotion altogether.
• Paying excessive recruitment costs—as they are forced to hire externally, with costs compounded by often having to pay premium salaries.
• Risking cultural misalignment—when external hires struggle to adapt to the organisation’s values and ways of working.

Having a clear development plan for future managers and directors ensures that the business is not only prepared for leadership transitions but is also a more valuable and secure investment for potential buyers.

An effective succession plan will incorporate investment in Leadership & Management training that is aligned with the overall strategic business plan of the organisation. At HR Champions Ltd, we provide both accredited (ILM) and non-accredited training programmes, helping businesses identify, develop, and prepare future leaders.

Our training equips individuals with the skills that are essential to the long-term growth and productivity of the organisation, including:

• People management & leadership – Ensuring managers can inspire and lead their teams effectively.
• Strategic thinking – Helping future leaders align with long-term business goals.
• Performance management – Teaching managers how to develop and support their teams.
• Effective communication – Ensuring leadership teams can collaborate and drive productivity.

We can also provide psychometric analysis to help to identify the individuals with the appropriate traits and behaviours required to fulfil certain roles or fill gaps in the management structure.

We understand that every business is unique, and we work closely with organisations to design training and development programmes that align with their long-term goals. Whether that’s preparing for a leadership transition, developing the management team or future-proofing the business.

HR Champions Ltd can help you create a structured leadership development programme that ensures your organisation remains strong, competitive, and ready for the future. Contact us today on 01452 331331 or via our contact page to discuss how we can support your business with effective succession planning and leadership training. Let’s work together to develop your managers and directors of tomorrow.