Establishing an effective process for promoting employees

National Public Accountant, The, Jan, 2005 by Max Messmer

If you have not recently considered which of your staff members may be ready for advancement, do so now. A recent survey by our company shows that 60 percent of executives said that businesses are more likely to promote from within than they were three years ago.

As the job market strengthens, your best employees may pursue positions elsewhere if they believe their contributions are not valued or there is no long-term potential at your firm. Providing advancement opportunities to your accounting staff demonstrates that hard work and outstanding performance will be rewarded--a real motivational factor.

The Selection Process

While the practice of promoting from within has proven very successful, it is best to establish firm guidelines before proceeding. This will help ensure employees know the deciding factors for promotions and minimize the potential for misunderstandings or hurt feelings.

Choose carefully when selecting candidates. Your top accounting professionals will often be the best prospects for advancement opportunities, but not always. You may determine that some individuals are a better fit for a technical track while others clearly demonstrate leadership potential.

Training and mentoring may help some people prepare for more challenging roles but not necessarily resolve all weaknesses. An associate who enjoys working independently analyzing financial information, for instance, might not possess the interpersonal skills needed to supervise employees. This may be due to a lack of experience, but it could also mean the employee prefers to work independently.

Consider not only the abilities required to play a more senior role in the short term but also what might be necessary in the future. Perhaps the firm has expansion plans that would require someone to manage accounting staff at multiple locations. Determine whether your leading candidates for promotion have the talent to rise to the challenge.

Announcing Your Intentions

The right approach is critical when presenting potential advancement opportunities to employees. To ensure that people are truly interested in performing senior-level work, focus primarily on the new responsibilities rather than the pay raise or job title associated with a career move. Give employees plenty of time to consider promotions, even if you hope to fill certain openings immediately. People often know their own limitations--and potential--better than their managers do, and managers should give them the opportunity to decide whether they are confident with the proposed change in roles. Meet with reluctant candidates to address any minor issues, but avoid pressuring those who have serious reservations. Remember, your goals are not only to reward exceptional performance and develop your management team, but also to identify leaders who will thrive in senior roles over the long term.

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Making the Transition

Once an employee has accepted a promotion, consider pairing the individual with a mentor who is in a similar function at the firm. Mentors can share insights on how to succeed in the position and offer direction. Accounting professionals may be more willing to admit to a trusted adviser that they need guidance on how to deal with a difficult client, for instance, than they may be confiding in their supervisors.

Make sure you establish a realistic schedule for any promotion. Even though employees have knowledge of the firm and its practices, they may still require training and additional support to manage new responsibilities. Encourage people to attend seminars and workshops in areas such as supervising, written and oral communication, decision-making and time management to build the diverse skills needed to succeed in senior financial positions.

You should also meet with recently promoted employees on a regular basis to discuss job performance and expectations. Formal reviews supplemented with ongoing feedback will help staff maximize their contributions in their new roles.

Promoting from within is a beneficial way to reward employee accomplishments while filling vacancies at your firm. Establish an objective system for evaluating candidates for advancement and give staff the resources and guidance needed to make a positive impact in their new positions. By showing there are upward career paths at your firm, you can help reduce turnover and encourage strong achievements among all of your employees.

Max Messmer is chairman and CEO of Robert Half International Inc. (RHI), parent company of Robert Half[R] Finance & Accounting, Accountemps[R] and Robert Half[R] Management Resources. RHI is the world's first and largest specialized staffing firm placing accounting and finance professionals on a full-time, temporary and project basis. Mr. Messmer's most recent books are Motivating Employees For Dummies[R] and Managing Your Career For Dummies[R] (John Wiley & Sons, Inc.).