Is the Pipeline Clogged?

By Rich Wellins, Ph.D.

DDI’s CEO, Bill Byham, is always thinking.  In 2000, he wrote a best-seller called Grow Your Own Leaders (Financial Times Prentice Hall Books) and reinforced the “war for talent” which he predicted would be especially acute at higher leadership levels due to an aging workforce.

That was back then.  Fast forward to 2010, the “leadership world” according to Bill has changed.  The war for talent may well be over for many parts of the world.  And, the leadership pipeline may become clogged. 

Why? For one, advances in healthcare make it much more likely that people will live for longer.  The traditional 10-15 golden years could extend to 15-20.  Many people, (not all) find this a bit long for “retirement” and are increasingly worried they will outlive their savings.

Perhaps a bigger reason is the enormous economic losses we faced in the last two years—many people are simply unable to retire.  The potential consequences are enormous:

• What happens to younger high-pos interested in rapid progression?  Will we be able to hang on to them?  Are they likely to start their own “younger Incs,” competing with traditional corporations.
• What do you do with senior managers coasting to retirement?  It’s one thing to tolerate a bit lower productivity for the final years of a career.  But what happens if “coasting” goes on for five years or more?
• Will the clogged pipeline lead to stale business models, less innovation, and diminished chances for change?  Diversity, especially at leadership levels, is key to business success.

So, do you think the war for talent has ended–at least for the next five years?  Are you worried about a clogged pipeline?  We’re interested in what you think can be done about it.

Rich Wellins is senior vice president at Development Dimensions International (DDI).

Comments

[Dan McCarthy]

Barry, Matt, Mike, Rich –

Welcome to the blogosphere! It’s about time – and I mean that with all due respect. I’m looking forward to your contributions.
Thanks for including Great Leadership on your blogroll; I’ve added yours to mine as well.
Interesting question regarding the potential problem of clogged leadership pipelines. I’m sure not seeing that yet, but I could see how it might happen.
What really bothers me is what I see as an emerging tension between older leaders that aren’t interested in retirement, either because they still have energy and much to contribute, or for economic reasons, and younger emerging leaders that are eager to be promoted. I find the assumptions and labels about older workers coasting, or lacking the ability to innovate, or lacking energy, and “clogging the pipelines” to be untrue and offensive. It’s especially pervasive amongst some of the blogs I read targeted toward younger workers. And yet I understand the biases and barriers that younger employees face as well. I hate seeing ideas dismissed based on age and experience, and emerging leader’s development stunted due to archaic systems and biases.
Let’s design our talent management and succession planning systems in a way that assesses and selects based on performance and potential, regardless of age, gender, race, nationality, or sexual preferences and allow the best talent to rise to the top. A firm and fair performance management should address non-performance – which would mean that no, we don’t tolerate “coasting” at any stage of an employee’s career.

[Jack Douglas Cerva]

Howdy Rich,

The war is not over!

The war is however, in a new phase. This means, I hope, greater realization that this "clogged pipeline" cannot simply be attributed to improved health standards or current economics alone. We must also consider the role the HR function/Leadership played in clogging up the pipleline. Was HR seen as a business partner? If they were, there is a better chance those systems and structures will aid the organization in keeping the pipeline open. IF a business truely has a smooth pipeline,(wise selection, training, coaching and planning), however many didnt have very good pipelines BEFORE. How convenient for training companies (en vogue marketing jargon) and HR leaders (rationalize their performance based on economics) to now be able to say, aha we have the answer-- unclog the pipeline.

This means that foundations built need to be reinforced, enforced and revised again- e.g.selection (internal AND external). By selection I do not simply mean behavioral interviewing, but also the establishment at senior levels, of appropriate criteria based on both what worked in the past AND what different behaviors are required to meet future (now) global business requirements.

Another tool is dual or multiple career ladders/thinking. There remain promotions of people who are visable because they accomplished some objectives at a high level yet may not have been evaluated against competencies of the current job or considered and interviewed for the next levels required success factors. There remains acceptance of these offers(even when the people know its not a good fit); is there another answer when there are no alternatives? We need to give people the ability to say "no, thank-you" to that offer.

If we are worried about a clogged pipeline, and many polls suggest that it is a number 1 or 2 priority concern for CEO's, then all we have to do is put our money where are mouth is. Meaning add 1 or 2 % to that annual manpower budget alowing you to keep some of those people who may be "clogging" up the system in roles that support the new comers. Rejuvinate your performance management system. Now is a time to be or quickly get healthy so you can invest. If the business is not healthy don't blame people costs, use the people.

Sorry for rambling a bit but thanks for letting me vent some.

Jack
HanesBrands, Asia