You're facing succession planning decisions. How do you choose between internal talent and external hires?

Actually I believe that the succession planning is a role to role decision. How the role has evolved and the future of the role is critical in deciding on it's succession plan. For fungible roles, if the skill is available internally, internal hiring is the most appropriate. However for critical specialist roles it's important to understand the role progression and align the profile appropriately. One key, and often missed variable, is the leadership profile of the 'person' being replaced. It's a key variable to consider for teams that will get impacted by it. I've found internal hires more appropriate in such scenarios, anyone who has experienced otherwise?

I prefer to promote the internal talent more than external if the internal meets requirements of position. However, when I need an external talent with new skills new innovation new ideas together with internal to be a perfect team, I prefer an external. So, it depends on the purpose you want to build a team and what you want your team achieve.

A balanced and strategic approach, considering the advantages and challenges of each option, will help in making the best decision for the organization's future success. HRs first preference are generally internal candidates based on the tenure, leadership qualities, experiences, cultural fit and most importantly their achievements in the organisation. Hiring externally even when you look for an experienced candidates might be difficult as every company culture is different and to find that right fit is challenging. Succession plan is not only success of hiring/promoting, it is the succession of people who will look up to them

Choosing between internal talent and external hires is essential when planning succession. Internal talent knows the organization well and fits the culture, which makes onboarding faster and boosts morale. A 2022 SHRM report found that 68% of HR professionals prefer internal promotions for these reasons. However, external hires bring new ideas and skills, with 45% of companies seeing more innovation (CIPD, 2023). A balanced approach combining internal stability and external innovation best meets strategic goals and fills talent gaps (Deloitte, 2021; McKinsey, 2022).

To choose between internal talent and external hires for succession planning, consider these factors: Cultural Fit: Internal candidates understand the organization’s culture, while external hires bring fresh perspectives. Skills and Experience: Evaluate if internal candidates have the needed skills or if external hires are necessary for specialized expertise. Development Potential: Internal talent might need development, whereas external hires offer immediate expertise. Time and Resources: Internal promotions are quicker and cost-effective; external hiring can be time-consuming and expensive. Team Dynamics: Internal promotions boost morale; external hires may disrupt but offer new energy.

evaluating internal talent strengths and potentials can be advantageous as these employees are already skilled and familiar with the company culture and processes, making them potentially better choices. however if internal candidates lack the necessary skills, external hires can diversify leadership teams and introduce new ideas.

Sometimes, hiring managers and human resources professionals share job postings with internal employees before publishing it for public advertisement.

Promoting someone who isn't ready for a new and expanded role does more damage to morale than hiring externally. A bad promotion can undo morale quickly - so it's good to be smart about who you hire. I'm a huge advocate for internal promotions when it's a good fit. If not, hiring externally is better. For internal candidates that apply but don't get the role - meet with them individually and discuss what additional skills (soft or hard) that might be needed for them to advance successfully. A good, empathetic, and honest conversation goes a long way to keeping morale up and employees engaged.

Considering the internal talent strengths and potentials. If they are already skilled and knowledgeable about the company culture and processes. They may be a better choice. If not external hires can also help to diversify leadership teams or bring new ideas.

If the roles demands can be met by traning an internal candidatethis approach is recommended as it boosts morale and reduces attrition. however if the role requires someone fully prepared, hiring externally is the better option allowing for immediate integration with minimal training. typically external hires are suited for entry or manager-level positions, while senior roles may benefit from internal promotions.

Há alguma praticidade em contratar internamente porque além do fator curricular a considerar, conhecemos o potencial humano enquanto recrutadores. No entanto, uma contratação externa poderá trazer novos contributos a uma realidade já em velocidade cruzeiro, potencializando o ganho de novas perspetivas e visões.

Because hiring internally doesn't require the company to advertise the open position or spend an extensive amount of time interviewing candidates, this practice can reduce hiring costs.

- It depends on the needs and the availability to fully train an internal candidate in their new role, but if its possible it is recommended as the work environment will greatly appreciate these decisions and will help combat attrition and lack of motivation. In the other hand if the need is to find someone fully prepared for the role ans you just need to train into the business specifics, external is the best option

Hiring internal candidates for open positions can allow you to allocate part of the funds you might have spent on hiring an external candidate to other aspects of your department's budget.

While you will save on costs when promoting internally you still need to back fill for the role they just left. This is a perfect time to consider any adjustments to the team that can improve efficiencies, or adding new skills that will be better long-term for the organization. It still comes with a cost, but not quite as much as for the management role.

Perhaps a tailored dev planning for internal candidates and providing comprehensive onboarding for external hires can significantly enhance their readiness and alignment with company goals.

Internal hiring often involves a shorter hiring process than external hiring. This is because human resources professionals typically can conduct fewer interviews, which likely are more concise than an interview with an external hire.

Something I’ve noticed is that when we choose internal candidates their learning curve is less then external candidates, also the suggestions for improvement or finding those areas of opportunity is easier for them since they come from the backbone of the operation

It is wisest to consider an optimal mix of talent after all a diverse group creates a well-rounded approach on both strategy and tactical aspects of running an organization

promoting and recognizing employees internally is a crucial strategy for maintaining team balance and driving innovation. Offering new opportunties within the company not only refreshes routines but also encourages fresh contributions. hiring from within allows a familiar professional to seamlessly transition into a new role, aligning with the companys culture and philosophy

When companies choose to hire internally, it allows a professional who is already familiar with the company philosophy and culture to fill a new role.

Una herramienta importante para mantener el equilibrio dentro de un equipo es tanto la promoción, reconocimiento y oportunidades que puedan brindarle internamente y a su vez un ingreso nuevo le da el empuje necesario al refrescamiento de la rutina e invitar a cambios, innovación o nuevos aportes