EXECUTIVE COACHING IN YOUR SUCCESSION DEVELOPMENT PLAN Michelle Payne, MCC CEO, SEE Strategies

“We’re trying to do more with less. Is this really the best use of our resources?” Why is succession development essential today?

5/50 Crisis Ready Now?

 30% of Fortune 500 CEOs lasted less than 3 years.  2 out of 5 of new CEOs fail in their first 18 months.  Failure rate is higher when talent is hired from outside.

 Failure related to leadership style out of touch with modern times  82% of new leaders derail because they fail to build partnerships

Generational Divide Unlike their parents and grandparents, Gen-X employees do not plan on staying with one company throughout their career.

Boomers – 47+  Security from the institution  Promotions based on longevity  Loyalty to the organization  Wait to be told what to do  Respect based on position

Gen X  Security from within  Promotions based on performance  Loyalty to the team  Challenge authority  You must earn respect

What you will learn from this seminar  How to identify the high-potential leaders in your organization  Tips for creating succession development experiences  Ways executive coaching can help in your succession development program

How to identify high-potential leaders  Establish a business strategy  Conduct talent review sessions  Ask: What does high-potential mean to us?

H-P Leader Competencies Systems thinking vs. Silo thinking

H - P Leader Competencies Team-building Skills

H-P Leader Competencies Organization-specific competencies Reflects diversity or organization/constituency? Demonstrates technological savvy?

Communicate H - P Designations I’m a BLUE!

Best Practices  Avoid creating in-groups and out-groups  Emphasize continuing development—not status

Manager scripts “You have the capacity to take on more responsibility so let’s talk about what that could look like. Are you interested?”

Tips for Creating Succession Development Experiences 2-phase strategy  Review talent and plan actions  Develop and deploy talent

Tip  Keep your assessment simple.

Tip  Don’t get bogged down in the planning phase.

Tip  Evaluate the outcome of your succession program—not the process.

Tip  Be realistic about “stretch” assignments.

Ways Executive Coaching can help in your succession development program

"Executives who rise to the C-suite do so largely based upon their ability to consistently make sound decisions. However, while it may take years of solid decision making to reach the boardroom, it often times takes only one bad decision to fall from the ivory tower.” —Mike Myatt

Why good leaders make bad decisions We all think that we make decisions by analyzing a problem, looking at all the options, forming a strategy, and then implementing the strategy. In fact, most of us are influenced heavily by four influences that have foiled even the best leaders. —Sydney Finkelstein

4 Red Flags  One plan at a time  Emotional tagging  Self-interest  Inappropriate attachments to people, places, and things

Safeguards  Organizational  Personal

86% of companies use coaches in leadership development programs

5 reasons to make executive coaching part of your development mix Source: Larry R. Nordhagen

 Provides a safe, confidential environment.  Offers a sounding board. You are free to discuss challenges without fear of being evaluated negatively. Source: Larry R. Nordhagen An Executive Coach

Source: Larry R. Nordhagen  Provides perspective.  Provides resources  Pushes you. Will challenge you to stay focused on your goals, be accountable, and explore new ideas.

Secrets to coaching your High-Potential Leaders

Summary  Thriving companies make succession development a priority investment.  Executive coaching can play a major role in developing your high-potential leaders.