1. Succession
PlanningPresented by Nunzio Bruno
T h e D i s r u p t i v e S t r a t e g y C o .

2. Introduction
Welcome to your crash course in Succession Planning
I’m Nunzio Bruno, Business Strategist and owner of The
Disruptive Strategy Co.
I spend my days helping businesses grow. I work with
business owners to help them develop the skills, tools,
processes and plans that will help them create success in
their business however they meausre success.
When I’m not in front of business owners, I’m in front of
students. I teach Economics, Finance and Strategy to
undergraduate and graduate students of Western Mass.
I’ve even done a stint up here at GCC.
That’s me!
In this presentation I’m going to cover what Succession Planning is, why it’s important and how you can save your business from
being one of the sad statistics you’ll see in a few slides.
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3. You can only be the superhero in your business for so long...
Succession Planning is the purposeful and systematic effort made
by your business to ensure leadership continuity, retain and
develop knowledge, create sustainability, encourage employee
growth and devlopment.
You poured your heart into your businses.
You polished it regularly like you would for any great diamond.
Now it’s time to create the checks that will keep it shining
brightly.
Succession Planning
Why should you care?
Your Bussines As A Legacy
02

4. Succession Planning Statistics
From the Family Business Association: This is how the current landscape of succession planning looks.
Of businesses last into
the second generation.
30%
Of the 30% make it into
a third generation.
12%
Of the 30% make it into
a fourth generation.
3%
Fewer than 10% of
family businesses are
effective at attracting,
hiring, retaining or firing
employees or at
leveraging diversity in
the workforce.
10%
Average decrease in the
value of a business that
is passed on.
60%
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5. Timeline
Succession Planning Milestones
You can’t just wake up one morning
and decide to hand your business over
and hope that someone else will run it
just like you have. The first step is to
your top people involved and to start
thinking about your businseses future.
• Changes in constomer taestes and
expectations.
• Possible market/industry
challenges.
• What is the future mission or vision
of the business.
Ideas
Who/what are your key:
• People (Successors)
• Resources
• Clients/Customers
• Business Processes (What you do)
• Guiding Policies (Why you do )
Keys

6. • How is your business currently structured?
• What will the chain of command look like when you are
gone?
• If you were driving the business do the employees you
leave behind know the depth of the work that you do?
• The relationships you keep?
• How are decisions going to be made?
Business
Organization
This is the nuts and bolts of how you are going to
handle the transition. Everything from transfers of
ownership to appointment of roles needs to be
outlined. The most important part of the plan is to
make sure that your key people have enough time
to ease into their new roles.
Plan

7. Succession Planning is about
continuing to identiy the Stars in your
business that will honor your business’
mission and continue to deliver the
value that you’ve spent a lifetime
delivering. In business speak it’s about
continueing to identify and refine the
key positions in your business.
Developing depth in your employee
pool also saves time and money as the
business continues to grow after you
move on.
Stars
Successful Succession Planning
happens when your key employees
fully embrace their roles and you have
fully tranistioned out of the business.
Graduation

8. Refining the Success Planning Milestones
Taking the abstract ideas from the Timeline and putting them into practice
It’s important that you hit all the milestones
when working on your Succession Plan
because that’s where you will get buy-in
from everyone that deals with the business.
These action steps are where the rubber
meets the road. These steps are most
successful when you’ve dont the work to
collect and organize all the data of your
businses. That’s quantatitive and qualitative.
Assessment of Key
Positions
Identify Key Talent Assess Key Talent
Monitor and
Review
Phase Out
Implementation
Development
Planning
ACTION STEPS
07

9. 4
Benefits to the
Plan
Succession Planning is more than just
protecting your business, it’s creating a legacy.
Succesion Planning has the power to transform
how companies manage the future of their talent –
from top to bottom – in order to postively impact
bottom line results. Done well, it drives ongoing,
proactive dialogue between managers, family
members and senior exectutives that identifies and
tracks individual’s talents in key poistions. You can
then put key contributors on a growth path where
they can be most valuable to the company.
01 Build Bench Strength
02 Better Career
Development
Cost Savings04
03 Time Savings
Why Bother?
Why is it importnat to have a Succession Plan?
08

10. By helping companies identify potential skills and talent
gaps, companies can proactively train and groom talent
across all key positions in the organization. For
example, a contributor with deep corporate “smarts”
and knowledge of your business-critical processes is
always difficult to replace. A departure in this situation
can create a serious business continuity issue —
especially when you can’t just hire someone with that
same intimate knowledge through an outside party.
Succession planning provides proactive identification of
“go-to” employees that can then be further groomed for
the job without losing the knowledge base your
company depends on.
Succession planning facilitates genuine development of
employees — for both their own benefit and that of the
organization. After identifying a talented employee, it’s
understandable that a smart company will help train and
support that individual in a way that moves their career
forward. And there is a reciprocal aspect to this effort:
open development compels employees to go the extra
mile and stick around longer with the understanding that
they have a future in the organization.
Succession Planning Benefits
Breaking down the 4Benefits
09
01 Build Bench Strength 02 Better Career
Development

11. We’ve all seen the scramble that happens when an
employee unexpectedly leaves. The time and stress
involved with interviewing, hiring, and ramping up a new
employee is a flat-out burden to any company. Effective
succession planning translates to a definitive plan —
and reassurance —that your organization can
dramatically reduce the effort to replace a key
contributor by literally having the right replacement
strategically engaged and ready to step in.
There are two primary ways that succession planning
delivers measurable cost savings. The first — and
most obvious — is in avoiding the significant out-of-
pocket expense incurred by using a third-party
placement agency or headhunter. The second way is
more subtle, and often unrecognized: the cost of
reactively focusing on hiring and ramping-up a new
employee. When a key contributor leaves, it can often
take 6 – 9 months to bring a replacement up to speed
— clearly, a huge hit to productivity at many levels of
the company. While some corporations might dismiss
this as a cost of doing business, they’d certainly think
differently if they could get a real-time report reflecting
real money lost due to employees desperately trying to
fill a position instead of working toward their revenue-
generating responsibilities.
Succession Planning Benefits
Breaking down the 4Benefits
10
03 Time Savings Cost Savings04

12. Timeline
Know that going it’s a process
that needs to happen and that
for Succession Planning to be
successful you have to hit the
milestones and get buy-in
from everyone.
Action
Walking through the Action
Steps ensures that you are
leaving behind a set of
processes and a framework
for the business to continue to
succeed.
Benefits
If part of your goal was to
create a legacy with your
businses than you need to
plan for it. Witout a clear
succession plan you can
potentially lose the effeciency
of your employees and
revenues from missed
opportunities.
Hands off from one leader, manager, or regime to the next can be tricky because of the politics and intrigue that surrounds them. This is
also the time when a business can be perceived as vunerable in the market. By cragtin a thoughtful, strategic approach to succession
you will address its governance and continue to guide your business to future success.
In Closing
Pulling it all together for a successful Succession Plan
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13. www.disruptivestrategy.co
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nunzio@disruptivestrategy.co
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Springfield, MA 01089
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