HR Insights: Succession Planning: Key to Effective Leadership Transition for Cooperatives

In 2014, it was an honor and a privilege to be invited as the guest speaker for the 2nd General Assembly of Bulacan Cooperative Leaders. This event brought together 24 cooperatives across four districts and a Bulacan-based federation. It was fulfilling to share my knowledge and experience in human resource management with such a passionate audience.

The topic I presented this morning was "Succession Planning as Key to Effective Leadership Transition." This is a critical issue for cooperatives, as leadership continuity ensures stability and growth. I could feel the participants’ genuine concern and eagerness to learn as they diligently took notes throughout the session.

Key Questions from the Session

During the discussion, several thought-provoking questions were raised. Here are some of the most notable ones, along with my answers:

1. As a small cooperative (20+ employees), is it okay to assign employees to different functions to test where they fit?

Answer: Absolutely, especially for smaller organizations. When your team is small, multitasking is often unavoidable. The fewer complexities in your processes and the manageable volume of transactions make it feasible to rotate employees through different roles. This approach allows staff to gain on-the-job training, better understand operations, and discover where they excel.

However, there are key considerations to ensure success:

• Document your processes. Create manuals and review policies regularly to maintain control and consistency.
• Monitor performance. Keep track of employees’ progress to ensure their skills align with the cooperative’s needs.
• Focus on long-term growth. These early experiences prepare employees for leadership roles as the cooperative expands.

2. How do we begin implementing succession planning in our cooperative?

Answer: Yes, you can start immediately, but it’s crucial to lay a strong foundation first. Here’s how:

• Update your organizational structure. Identify key positions and review the qualifications and job descriptions for these roles.
• Profile your employees. Understand their current competencies, career aspirations, and future plans.
• Close skill gaps. Create training plans to address gaps between current employee skills and the requirements for critical positions.
• Engage employees. Conduct career conversations to gauge their commitment and aspirations within the cooperative.

Succession planning is a collaborative effort involving the Board of Directors, the CEO/General Manager, and HR personnel. The board and management own the process, while HR handles the implementation.

Profiling Employees: Why It’s Essential

During the session, I noticed that some cooperatives do not yet profile their employees. This is a crucial first step in identifying potential leaders and mapping out development plans. Even without sophisticated software, you can start using Excel.

Here’s a simple list of data points to include in an employee profile sheet:

1. Name
2. Date Hired
3. Department
4. Entry Position
5. Current Position
6. Entry Salary
7. Current Salary
8. Age
9. Gender
10. Civil Status
11. Number of Children
12. SSS/TIN/PhilHealth Numbers
13. Contact Information
14. Address
15. Educational Background
16. Trainings Attended
17. Skills and Competencies
18. Desired Position
19. Certifications
20. Performance Appraisal Records

From this data, you can:

• Identify skill gaps between employees’ current roles and their desired positions.
• Design personalized training and development programs.
• Track progress over time to ensure alignment with the cooperative’s goals.

The Road Ahead

For cooperatives, succession planning isn’t just about preparing for leadership transitions—it’s about securing the future. By laying the groundwork now, you ensure that your organization will thrive for years to come. Start by establishing the basics, like a clear organizational structure, detailed job descriptions, and performance measures.

Remember, succession planning is a journey, not a one-time event. With a proactive approach, even small cooperatives can build a pipeline of future leaders ready to take on greater responsibilities.

Thank you to the Bulacan Cooperative leaders for an engaging and insightful discussion. I hope today’s session inspired you to take the first steps toward effective succession planning. Together, we can ensure the continued success of your cooperatives.

To God be the Glory!

Career Guidance for the Next Generation: How to Shape Their Future

Career Planning: A Lifelong Journey 

In the Philippines, high school graduates often choose their college courses based on trends among their peers or suggestions from family members. Unfortunately, the child’s personal interests and passions are often overlooked in this decision-making process.

Some private schools have started offering career counseling programs, which are often inaccessible to students from middle-income or impoverished families. As a result, many young Filipinos only discover their valid career preferences after entering the workforce. A common scenario involves students completing a degree—like computer engineering—only to realize that their chosen field does not align with their passions.

This mismatch leads many to shift courses during college or even change careers later in life. While some succeed in finding their true calling, the process is often costly and time-consuming. Taking a second course or pivoting careers usually involves sacrifices and delays in achieving stability. Nonetheless, the effort invested in their initial education is always well-spent; it serves as a learning experience and stepping stone. As the saying goes, "Better late than never."

How You Can Help Shape Future Careers

If you’re reading this, you have an opportunity to help others avoid this cycle. By sharing your knowledge and guiding family and friends, you can empower them to make more informed career decisions.

From an early age, children often show signs of their interests, such as singing, playing instruments, or tinkering with building blocks. Their choice of toys or activities can offer clues about their future aspirations, like becoming doctors, artists, or engineers. As they grow older, parents and mentors can play a pivotal role by introducing them to various career paths.

Exposure is key. Educational or career-focused TV shows like ER or Glee or movies about different professions can spark curiosity. Simple conversations—asking children what they dream of becoming—can lead to meaningful discussions. Providing reading materials, brochures about universities, or information on vocational courses can further guide them.

Consider encouraging children to explore two-year programs or applied courses. These shorter programs provide foundational knowledge and skills. If the student later decides to pursue a different path, some completed units can be credited toward a new course.

The Importance of Focus and Career Planning

It is crucial to help children develop focus early on. While switching jobs or fields can enhance versatility, building expertise in one area requires time, dedication, and a clear sense of direction. Specialization is often the key to long-term career success.

Creating a career plan involves envisioning a life path. Here’s an example: During college, I attended a seminar where a young vice president of a telecom company spoke about career development. Inspired by his story, I set a goal to one day stand before a large audience and share my experiences.

I created a roadmap:

1. Complete my degree in Industrial Psychology.
2. Start in recruitment and work my way up to becoming a specialist.
3. Gain exposure to different areas of Human Resources and eventually become a manager.

As I approach retirement age, I plan to transition into teaching, where I can share my expertise with the next generation. To prepare for this new chapter, I am earning extra units in my master’s program and gaining experience as a part-time instructor.

Career Development: A Lifelong Process

Career planning doesn’t end when you land your first job. It’s a continuous process, evolving with your interests, skills, and life circumstances. Even at 65, you don’t have to stop working; retirement can be an opportunity to explore new passions or give back through mentorship and teaching.

Just like learning, career growth is a lifelong journey. Recognizing this can inspire you to stay committed to your goals, adapt to challenges, and embrace personal and professional development opportunities.

By guiding others or reflecting on your own path, you contribute to a culture of thoughtful and intentional career planning that leads to fulfillment and lasting success.