Matching talent with tasks: Dole implements succession planning to get ready for changes at the top - HR Technology: Systems & Solutions

HR Magazine, Nov, 2002 by Bill Roberts

Although Dole's annual turnover rate among top management is less than 10 percent, succession planning was on its radar screen for years, says Hagen. "Talent is scarce. Time and cost to ramp someone up in our business is difficult and costly. It makes going outside more difficult."

Hagen talked informally to all corporate executives, and the leaders and staffs of each business unit to generate consensus for succession planning for corporate positions-- corporate officer's, business unit presidents and their direct reports. The initial group would be about 100, she says. Next year, another few hundred will be included.

The reaction was mostly positive, Hagen says. "We got a range of responses. It was more an issue of education, especially for the businesses based outside the United States. We had to educate them to what the objectives were going to be and why we do it centrally rather than decentralized."

Senior management approved the project, and Kern is especially enthusiastic, Hagen says. "He wants us to maximize the internal talent we have."

Defining the Processes

Hagen's next step was to hold a series of in-depth interviews with the executives to determine which succession planning processes were needed and how often they should be conducted. The goal was to reflect as much of their thinking as possible. "One division wanted to review succession plans on their people six times a year. Another didn't want to do it at all," she says. Hagen compromised: Succession planning will be conducted twice a year. She also identified four competencies on which everyone would be evaluated: accountability, business acumen, multi-functionality (cross training) and vision/originality.

Kaiser and another Hewitt consultant, Lisa Labat, assisted Hagen with the Dole project. "One of the first questions we ask organizations is, "What are the business needs?'" says Labat. They also ask, "What is your business today and where are you going to be taking it? What does that mean for the talent you need in place, especially at the top?"

Hagen did not want software to dictate the process, nor did she want to create a process and then search for software that exactly fit. Instead, she started to look at software while developing the process itself, looking for a package that is flexible, needs little customization and is easy to learn. The Hewitt consultants pointed her toward several products but did not participate in the selection. Hagen also networked with other HR professionals who had adopted succession-planning software.

Many HRMS software suites have an optional succession-planning module, but neither Dole nor its business units have an HRMS. Since most employees are farm or factory workers, there is not much need for the detailed information an HRMS provides, says Hagen. "It would be overkill." In a way, the succession planning software Dole adopted will become a mini-HRMS for top personnel, she adds.

Hagen also wanted an application service provider (ASP) model. Outsourcing, including payroll, is common at Dole. Hagen didn't want to own and support technology, and she didn't want the small corporate information technology staff to have to work on it.