Succession planning in talent management: the exposure
- Development budget to close the gap
- $24,000
- Critical roles turning over within three years, percent
- 40
- Successors still to develop
- 3
- Of the roles turning over, covered ready-now, percent
- 25
Every figure on this page is computed from the inputs entered, by the method stated below it. Ninebix publishes no rating rule, no pay benchmark, no replacement-cost rate and no time-to-fill figure: the counts and the assumptions are yours, and the defaults are a worked example to replace with your own figures.
The figures above start from a worked example ($24,000). Change any input and the answer updates as you type.
Download the Succession planning in talent management: the exposure worked example (CSV)
This is a succession exposure worksheet that looks three years out, for a company whose critical roles have incumbents who will retire, move or be promoted. Enter the critical roles on the plan, how many incumbents you expect to leave within three years, how many of those roles have a successor ready now, and your own figures for the months and the cost of making a successor ready, and it returns the share of critical roles turning over in the horizon, the successors still to develop, how many of the turning-over roles are covered, the months of slack before development must start to be ready in time, and the development budget to close the gap. Every count and cost is yours; the worksheet publishes no benchmark for development time or cost. Free, on the page, no account; the paid plan saves every exposure sheet against the roles and the successors it counts.
The horizon: which critical roles turn over within three years
Four of ten critical roles with an incumbent expected to leave within three years is 40% of the plan turning over in the horizon. The count comes from what the company knows: a retirement date, an agreed promotion, a move already discussed. The worksheet counts what you enter and asks nothing about why anyone is leaving.
The gap and the slack: successors to develop, and when to start
Four roles turning over with one ready-now successor is three successors still to develop, and a coverage of 25% of the roles that will turn over. At your own eighteen months to make a successor ready, there are eighteen months of slack in a thirty-six month horizon before development has to start for the last of them to be ready in time. The months are yours from your own development plans.
The development budget, at your own cost per successor
Three successors to develop at your own $8,000 each, covering courses, coaching and cover for a stretch assignment, is a development budget of $24,000 to close the gap. Set against the cost of filling the same three roles from outside on the succession plan worksheet, it is the number that argues for developing rather than hiring; the worksheet works the figure and publishes no rate.
Succession planning in talent management: the exposure: common questions
What is succession planning in talent management?
The part of the talent review that names the critical roles, the successors for each and how ready each one is, and looks ahead to which incumbents will leave and when. The worksheet works the arithmetic of the look-ahead: the share of roles turning over, the successors to develop, the slack before development must start and the budget to close the gap.
How far ahead should a succession plan look?
The worksheet uses a three-year horizon because that is long enough for most development plans to complete and short enough for a retirement or a move to be known. Change the months to make a successor ready and the slack figure moves; the horizon itself is the thirty-six months the slack is counted against.
How much does it cost to develop a successor?
Whatever your development plan costs: the worked example uses $8,000 per successor to show the arithmetic and nothing more. Enter your own courses, coaching and cover figure and the budget to close the gap recomputes; the worksheet publishes no benchmark.