Imagine that a company's IT manager left without warning. How likely would it be that someone else in the organization could instantly begin to manage all the ins-and-outs of the business's information systems?

It isn't uncommon for corporate executives to leave their positions with little or no warning. New opportunities within an organization and outside opportunities often present themselves, or personal issues or crises may arise. These are the types of thoughts that keep company presidents up at night, and every corporate leader, as well as every human resources director, needs to ask "How can we survive if a key employee leaves?"

Fortunately, there are steps that companies can take to prepare for executive departures. Through these steps, companies can develop the bench strength they need to assure that there are qualified people to pick up the ball when an executive leaves. The key is to proactively undertake succession planning at all levels of corporate management.

Succession planning revolves around evaluating what the organization's leadership and talent needs are going to be in the future, identifying individuals who can potentially satisfy those needs, and preparing future leaders for their eventual roles. A seat-of-the-pants approach won't work, and organizations can't wait until the crisis occurs to act. In fact, companies that wait too long often find themselves forced to pursue costly outside hires through executive search firms rather than turning to talented people who already have a stake in the organization. This is a far too common problem and occurs because many organizations don't do their homework in advance. So, what can companies do to make sure they are ready?

Leadership survey and gap analysis

The first step is to survey current leaders to determine which skills are most important to the organization, and in which roles those skills should be found. After identifying these skills and roles, HR planners should single out top-rung talent, including the CEO and president and working down to other top managers and department heads. In fact, anyone who holds a significant position in the company should be included in the survey. Once key roles are identified, organizations should look at their existing employees to select individuals who might take over these positions if they open up.

In developing this roster of bench strength, it is a good idea to have several people lined up for each position since there are no guarantees that all will be available when they are needed further down the road. Additionally, certain individuals may be good candidates for several different posts.

Organizations can then do a gap analysis, which revolves around identifying prospective leaders' strengths, and creating a plan for improving those skills that need to be developed further. Usually it's not technical skills that need development, but rather softer ones, such as management or leadership skills, communications skills, or networking talents.

Providing an individualized development plan

Leadership coaching and/or mentoring is the most effective approach to helping future leaders develop the most important skills. Executives don't gain as much in a classroom environment as they do in a one-on-one setting revolving around coaching.

Take, for example, a CEO who is preparing the company's president to take over. The gap analysis may determine that the current president has many of the skills that are necessary to succeed as CEO, such as being a great strategic thinker and having a strong vision for the future. However, the analysis may also reveal that the individual needs to improve his or her team-building skills. Through coaching, the president will be better able to develop these skills before taking over as CEO, rather than waiting until he or she assumes the role. This one-on-one approach would be a far more effective strategy than sending the president to a leadership seminar because it would focus on his or her individual needs rather than on a set of hypothetical issues, many of which may be entirely irrelevant.

As important as succession planning is at the highest levels, the benefits will be felt at all levels. For instance, it can have a huge impact on staff retention. Employees who are slated for future advancement feel a greater investment in their companies when their superiors partner with them in their career planning. Conversely, when employees don't feel that the organization has a stake in them, they are less likely to feel a commitment to the organization. Talented employees, particularly prospective leaders, will always be at a premium, and succession and career planning can play a vital role in the ongoing effort to hold on to the most important employees.

A key to success

When it comes to preparing employees for leadership roles, nothing is written in stone - people come and go all the time. This is particularly true of the best and brightest because there is always another organization out there ready to recruit them. Unfortunately, far too many organizations don't learn this lesson until it is too late - until they are faced with replacing a key leader on a moment's notice.

Through strategic succession planning, and by partnering with key employees in their career planning, organizations can prepare themselves for unforeseen change while holding on to their most important people. Ultimately, this can be one of the most important keys to success for any organization.

Reenie Kelleher is Partner/Director of Client Services with Camden Consulting Group, a Boston-based leadership development and executive coaching firm, and is also a NEHRA member. She can be reached at rkelleher@camdenconsulting.com.