Every organization intends to create multiple opportunities for employees to enhance the visibility of development. In the contemporary bushiness era, Succession planning has become an integral part of the human resource function. Tesco, one of the leading retail chains in the United Kingdom, is quite visible in terms of succession planning. Succession planning is all about preparing employees at all levels of the company to replace them with top positions or leaders. It seems a long journey, but Tesco has done an incredible job.
Tesco follows multiple steps in succession planning. For Instance, the first step in succession planning is alignment. The succession management plan in Tesco is always linked with organizational strategy. The second step is the identification of skills and competencies. Tesco has developed an incredible work culture that still provides opportunities for employees to develop skills and competencies to move forward in the internal business environment. The next step is the identification of high potential employees. Tesco makes a pool of employees in the company, which contains or adopts the required skills and competencies. The identification of these employees sets the foundation for further steps in succession planning. Now, Tesco aims to develop these employees further to take positions in the company. Opportunities to learn new tasks and responsibilities must be provided. Finally, Tesco monitors the succession process by engaging people who are promoted or placed.
Julio M. Quintana, President and Chief Executive Officer in Tesco, decided to retire in 2015, and it was quite tough to fill the vacancy. It was a huge risk because the company could not wait in the long run to hire an external individual. Thus, the succession plan worked for this company, as Fernando R. Assing was placed, which was currently serving as a chief operating officer and vice president. Fernando R. Assing was included among those employees, which involved a long journey in the organization. Human resource management-initiated training and development programs for employees at the top, middle, and bottom-level to help employees utilize opportunities. Fernando R. Assing used these opportunities, as he was placed at this top position successfully.
The significant risk that every company like Tesco faces is the possible challenges for new leaders, which are replaced through incredible succession planning. The role of human resource management in Tesco is visible in this regard, as it arranges initiatives to retain people at top positions. Sustaining the business process by retaining talent and leadership is a fundamental approach. An inconsistent role of the leadership position has been always risky for the company, and the management is quite aware of it at all levels. In case of inconsistent performance, HR also keeps an eye on external candidates.
By introducing key performance metrics and long-term training programs, internal stakeholders, especially at the top level, have been recognized as industry leaders. Of course, the role of human resource management is in the spotlight because it provides opportunities for employees, managers, and other stakeholders to come forward and take charge of serving the company.
