How to Create a Succession Advisory Team
Advisors play a crucial role across all sectors of society — financial advisors guide investors, heads of state rely on expert counsel, and universities benefit from the input of student councils. The business world is no exception. When performance matters and decisions carry significant stakes, collaborative leadership becomes essential. One impactful example of advisory support in corporate leadership is the Succession Advisory Team (SAT). In this article, SIGMA’s succession planning experts delve into the purpose of SATs and outline how to establish one to drive the succession planning process within your organization.
What is a Succession Advisory Team?
SATs are groups of individuals tasked with devising, implementing, and managing an organization’s succession plan. They work collaboratively to set clear goals, drive buy-in, and foster engagement across the organization. The SAT ensures progress by holding stakeholders accountable for their roles in the succession plan. Essentially, the SAT serves as the organization’s succession planning champions, driving the process forward and ensuring its success.
Benefits of the SAT
One of the most common succession planning pitfalls is entrusting the entire process to a single individual. While this approach might seem like an efficient way to develop a plan, it falls short when building an organization-wide initiative. Succession planning is a strategic process that requires input from multiple key stakeholders, including board members, CEOs, executives, and senior management. Research shows that without senior management’s support, 70% of succession planning initiatives fail within two years. Establishing a Succession Advisory Team (SAT) is a proven way to secure executive-level buy-in and incorporate diverse perspectives, ensuring the success and longevity of the succession plan.
Building the SAT
Team building is one of the most challenging yet essential aspects of organizational management. Unsurprisingly, assembling a Succession Advisory Team (SAT) demands careful consideration and should be approached with the same level of importance.
When choosing your advisory team, consider the following:
- Who has time to commit to the SAT?
- Has anyone demonstrated interest in employee development and succession?
- Who is persuasive enough to motivate others?
- Does someone have the authority to hold people accountable?
- Who has the ability to make decisions about succession?
- Is someone flexible enough to adapt to changes in the organization and adjust the succession plan accordingly?
- Who has the organizational skill set required to execute an effective succession planning process?
It’s important to note that your SAT should possess these qualities collectively. It’s not necessary — or possible — for every member of the SAT to be strong in each of these areas. An effective SAT holds a diverse set of skills, perspectives, and ideas, which strengthens both the initial plan and the day-to-day implementation.
The Skill Set
As you consider who has the organizational skill set required to execute an effective succession planning process, look for leaders who are:
- Future-focused. Your SAT must be able to see beyond their short-term goals or circumstances. Succession planning enables organizations to proactively prepare for the future well in advance of needing new leaders.
- Strategic. Your leaders need to be aware of organizational strategy so that they can develop other leaders who will be able to understand and execute it.
- Visionaries. Identifying individuals who deeply understand your organization’s mission and vision is crucial for recognizing those with the potential to carry it forward. This process plays a key role in preserving not only the organization’s corporate culture but also its long-term financial stability and success.
- Organized. Look for employees who possess strong organizational skills to support the implementation of an organization-wide succession planning initiative.
- Influential. Members of the SAT must be respected leaders. They will need to motivate succession candidates to take on critical roles while also guiding managers throughout the development process.
- Connected. The primary role of your SAT is to identify and cultivate potential leaders within the organization. Seek individuals who are well-connected through their interactions with junior staff, mentoring relationships, or cross-departmental responsibilities.
Building Diversity with the SAT
Successors often resemble their predecessors too closely, a pattern that arises when incumbents promote their protégés without considering the full spectrum of potential candidates within the organization. Establishing a diverse SAT increases the likelihood of recognizing talent in its many forms. A diverse SAT brings together members with varied experiences, perspectives, and demographic backgrounds, enabling broader representation and more comprehensive decision-making.
Functional diversity within the SAT is equally critical. While many organizations rely heavily on their C-suite executives for advisory roles, it’s essential to look beyond this group. Consider department heads, administrative staff, or other influential individuals who can ensure the plan stays on course. At a minimum, we recommend including a mix of senior leaders, HR representatives, and others in key organizational roles.
It’s also important to note that the composition of an advisory team will differ across organizations. The objective is to assemble a group that best represents and serves the unique needs of your organization.
Gaining Support
Establishing your SAT may require an initial investment of time and effort to secure buy-in. This often involves building a strong business case for succession planning and highlighting the value of having a dedicated advisory team. For resources to guide this process, explore our blog on selling succession to your CEO.
If your organization needs an effective succession plan fast, SIGMA’s Succession Planning Sprint is the ideal solution. In just one high-impact, four-hour executive strategy session, our consultants work closely with your leaders to create a customized 12-month succession plan for each member of your leadership team — delivered in only 30 days. For more information, complete the form below and one of our consultants will contact you shortly.