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Building a Thriving Future: Embracing Succession Planning and Diversity to Propel Your Company Forward


 

As the business landscape continues to evolve, companies face a significant challenge: the impending retirement of the baby boomer generation. According to AARP, 10,000 people a day are reaching the retirement age of 65, and about 80% of baby boomers retire shortly after turning that age. With their departure, organizations must ensure a smooth transition by having a robust succession plan. However, HR leaders and those in C-Suite roles must consider more than merely filling the gaps left by retiring employees. To thrive in today’s dynamic world, businesses must prioritize diversity and inclusion as part of their succession plans, particularly by empowering mid to senior-level women. But changes will need to be made to achieve better representation for women, and companies will need to understand the obstacles they face in their industries. For example, in the financial services industry, among the most senior roles, only 21% are women. In tech, women hold only 28% of computing roles, a disproportionate number to the 47% that women make up of all employed adults in the US. 

 

Keep reading for advice on how companies can leverage internal talent, address industry disparities, and create an environment that prioritizes women’s growth in order for them to rise and thrive in today’s corporate world: 

 

1. Develop a Strategic Succession Plan: Preparing for the departure of experienced employees requires careful planning.

  • Identify critical roles: Determine which positions will be most impacted by retirements. Analyze the skills and knowledge required to excel in these roles.
  • Assess internal talent: Evaluate current employees’ capabilities and potential to fill the identified positions. Look for individuals who exhibit leadership skills, dedication, and a commitment to personal and professional growth.
  • Implement mentoring and training programs that transfer knowledge between retiring employees and potential successors. Encourage experienced professionals to mentor and guide their successors so that they can acquire the necessary skills and knowledge.

 

2. Leverage Internal Mid to Senior-Level Women: To create a diverse and inclusive workforce, empowering women and ensuring their representation at every level is vital. Here are a few ways companies can leverage internal talent to fill the gaps left by retiring baby boomers:

  • Provide leadership development opportunities: Create targeted programs that focus on developing the leadership skills of mid to senior-level women. 
  • Foster a supportive culture: Cultivate an inclusive work environment where women feel valued and empowered. Encourage open dialogue, address unconscious bias, and ensure equal opportunities for growth and advancement.
  • Promote networking and visibility: Provide platforms for women to connect with senior leaders and mentors within and outside the organization. Promote participation in industry conferences, speaking engagements, and professional organizations, facilitating visibility and opportunities for career advancement.

 

3. Address Industry Disparities: The underrepresentation of women and minorities in certain industries demands urgent attention. Companies can tap into a wider talent pool and foster innovation by actively working towards greater inclusivity. 

  • Target education and engagement: Collaborate with schools and universities to encourage young women to pursue careers in underrepresented fields. Provide scholarships, internships, and mentorship programs to support their development and retention.
  • Eliminate bias in recruitment and promotion: Implement blind recruitment practices, standardized assessment criteria, and diverse interview panels to prevent unconscious bias. Evaluate promotion processes to ensure equal opportunities for women and minorities.
  • Establish diversity and inclusion initiatives: Create employee resource groups, diversity task forces, or inclusion councils to drive initiatives and hold leadership accountable for progress. Develop diversity metrics and set goals to monitor the organization’s progress in achieving greater representation. Consider working with a partner that specializes in diversity recruitment. 

 

Companies must embrace succession planning and diversity and inclusion efforts to navigate the baby boomer generation’s retirement successfully. By leveraging internal talent, particularly mid to senior-level women, organizations can fill the gaps left by retiring employees while creating a more diverse and innovative workforce. By addressing industry disparities, we can create a business landscape that values and promotes the contributions of women and minorities, ultimately driving growth and success for all. Reach out today to learn how reacHIRE can help you navigate your diverse hiring challenges.