Sustainability Through Succession Planning

1. The Story of the Spice Company
   Robert Lawless led McCormick and Company for only 6 years when he realized at some point he was going to leave the company. Over the next 5 years, the board of directors, along with this forward-thinking CEO, developed a comprehensive succession plan that would groom the next generation of leaders and identify his successor. Lawless was so committed to the concept that he requested a portion of his compensation to be based on succession planning, including the successful development of several key players within the organization.1 With the board, he developed the program, identified a slate and participated in choosing the new CEO. In 2006, Alan Wilson was named the company’s President and COO. He worked side-by- side with his predecessor for two years, and in 2008 took over the helm at the Baltimore-based spice company. Their 1st quarter earnings report this year reflected a 7% growth in sales, demonstrating a truly seamless transition.
2. Defining Succession Planning
   Robert Lawless understood the importance of succession planning to the stability, viability and bottom line of his company. This simple task remains one of the most difficult challenges that an organization faces in today’s complex era of organizational management. While the term is most often associated with the succession of the CEO, successful companies look beyond the C-suite. Succession planning for organizations with an eye for strategic development is the process of identifying and preparing strong employees through mentoring, training and development to move into their next role.

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