Scharmer's U model theory
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Theoretical framework
Scharmer's U model theory can be used to understand successful planning. In his theory, Scharmer (2007) observes that the top management team should embrace and act to implement succession planning. He views succession planning as beginning from the immediate future. The theory supports a concept of U process, which consists of five movements that make change possible (Scharmer, 2007).
The first movement is co-initiating. At this stage, the organization establishes a common purpose with all stakeholders about a future event. That suggests that everyone in the company has to be involved in succession planning process. Succession is, therefore, a concern of all involved in the operations of the company rather than the work of a single individual.
The second stage is co-sensing. Now, the company sees the need at hand as a whole in all spheres. At this stage, new ideas are put in place and innovation occurs through a collective input. The stakeholders of the company give room to changes by welcoming new ideas in the running of the company. Innovative ways of doing business are sought, and this becomes the work of every person and not necessarily the work of chief executive officer alone.
The third stage is forecasting, or what Scharmer calls presencing. At this stage, the leadership of the company foresees the future they want in place for the company. A foundation is laid for change that sets up the company to the expected end. Unresolved past issues are let go and focus put on realistic future goals. That forms an important stage in a company's succession because this is where the company's future needs are envisioned and worked on. Succession plans are made with this future in mind, and potential successors can be identified at this stage by focusing on skills and competencies necessary to steer the company towards the desired end (Ballinger & Marcel, 2010).
The fourth stage is co-creating. At this point, the leadership looks at what the future model of the organization will be. Scharmer suggests that at this stage, leadership should make succession planning a long-term concept and not just focus on immediate organizational requirements. Strategies to identify potential successors that will ensure sustainable and dynamic succession plan are put in place. That involves looking into the qualifications of the possible replacements.
The fifth stage and the final one Scharmer refers to as co-evolving. That includes strategies that are aimed at helping the organization to embrace change and implement succession-planning strategies in the context of an emerging future. Therefore, continuity will be achieved through collective work rather than making of unilateral decisions by the leadership of the company. The views of all should be considered in developing a succession plan for the company.
Another model that can be used to explain succession planning is Santorin's Relay Succession Planning. In this model, the Chief Executive Officer of an organization is supposed to pass the baton to a successor over an extended period. Research shows that those companies that have adopted this model were observed to perform better because successors were exposed to corporate challenges and were able to deal with such challenges before the succession stage. Another advantage of this model is that the successor receives the baton during the tenure of the current Chief Executive Officer and, therefore, receives training. Therefore, relay succession planning has the advantage of giving potential successor the much-needed experience.
This model would however not work well for a company looking for an external replacement. That is because the external successor, though would have the benefit of bringing in fresh ideas to the business, would not have the opportunity to work with the current CEO of the company.