5 Steps To Effectively Promote Your Employees
Our consultants have seen a fair share of top talent leaving their companies for the lack of advancement opportunities. This situation will apply to your organization if there has not been any promotion plan in place for your employees.
A recent study by Matthew Bidwell at Wharton on 5,300 employees in multiple jobs, from traders and research analysts to support staff, showed that external hires made 18% more than the internal promotes in the same jobs. External hires were found to score worse on performance reviews and 61% more likely to be fired from their new jobs than those promoted internally.
So, instead of watching your talent pool slowly dwindle, you, as employers, are better off establishing a company culture that embraces internal promotion. These are several steps you should take in order to improve the effectiveness of your promotion process.
Step 1: List Required Skills. You want your new managerial candidates to have suitable skill set and meet the demands and responsibilities of the position. Several mandatory skills for a manager include the ability to strategize, plan, lead work groups, guide junior staff, manage budgets, problem-solve and review performance of direct reports.
Step 2: Identify Viable Candidates. Look around and seek employees that meet all the pre-set requirements. There may be more than one person that match your criteria.
Step 3: Add Other Criteria. If you still cannot choose the most suitable internal candidate, consider other criteria. Do not put too much weight on just one single factor. For example, a senior employee may have considerable professional experience but could lack mandatory leadership skills like motivating or coaching. You can also talk with each prospective candidate to know their opinions about the promotion. Not everyone is interested in a managerial position and the responsibilities it entails, especially when their career is on a smooth track and they love what they are doing.
Step 4: Provide Challenges. After identifying shortlisted candidates, give them the authority over a project with a scale smaller than the one they may handle if promoted. Delegate some aspect of budget preparation and involve them in meetings with senior-level staff. Pay close attention to how these employees perform. Do they demonstrate confidence and initiative? Do they need much close guidance? Are they accountable for the consequences of their decisions? These questions will help you decide more sensibly.
Step 5: Actively Support. You need to support the newly promoted manager by officially announce the advancement to related departments and explain explicitly about his or her responsibilities. This will help the selected individual avoid unexpected obstacles when supervising former colleagues. In the first few months, hold periodic meetings with the employee to discuss challenges and provide guidance.