Around 80% of all businesses in Thailand are family owned and operated, but for nearly half of those companies, a formal succession plan is not yet in place. In order to avoid family discord, and secure a smooth transition from one generation to the next, it is important to formulate a clear and sensible strategy for succession.
Many businesses postpone this step, either out of a wish to avoid difficult questions, or because they aren’t sure how to proceed. But it is important to make such decisions as early as possible, so that the next leader can get up to speed, and be fully ready to grab the baton when their time has come. To assist with the process, here are 3 initial points to consider:
- Internal vs external candidates. In general, internal candidates are preferable because they are a known quantity, and have already adapted to the culture of the organisation. Internal promotions also let your team see that rewards come to those who work well. Still, internal talent isn’t always available, and it is often worth casting a wider net to examine the calibre of the full talent pool. Many companies contact our recruitment agency in Bangkok and Singapore for precisely this reason.
- Local vs foreign talent. Local candidates will often allow companies to save on cost, but in many cases, foreigners bring more international experience and a higher-quality education. Companies can often find a comfortable middle ground by hiring a suitable candidate from within the ASEAN region.
- Diversity and values. Is it time for a woman to lead the business? Many companies think so – and mandate at least 2 female candidates to be shortlisted before any final decision can be made. Companies whose stated values include equality and diversity could see succession as the ideal time to put those beliefs into practice.
These types of broad questions can get your company started on the important task of succession planning. From there, the list can be narrowed further by determining which skills and personal characteristics will be most important when leading your business into an unknown future.
For more on these and other questions, our recruitment agency in Bangkok and Singapore will be happy to help.
Contact Connexus today to find out more.