Next Generation Next Destination

SUCCESSION PLANNING: ACHIEVING KNOWLEDGE TRANSFER

Some companies are farther ahead than others in acknowledging the urgency of preparation to replace soon-to-be retiring highly skilled workers - and actually doing something about it. In the Preoccupations column in the Sunday New York Times Business section (August 10, 2008), Mike Begley, manager of staffing and work-force planning at Midwest I.S.O. in St. Paul, wrote about how his company is planning for succession and knowledge transfer, particularly for 80 people to fill six critical positions. The company is the independent Transmission Systems Operator that oversees the power grid for 15 states and Manitoba, Canada for 27 power companies.

The first step to implement succession and knowledge transfer is to find people to fill the positions. An incentive system was developed for employees to make referrals, with a further financial incentive if their referral is hired.

The second crucial step was to develop a program for incumbents to transfer their knowledge to new employees or people new to their positions. A self-pace apprenticeship was developed by a collaborating team of managers from training, operations, engineering and tariff administration. It consists of a detailed curriculum ending in a cetification test. Every other week an associate sits next to an employee soon to retire to watch and learn all the complex skills. The program is open to to current employees as well as new ones, and they receive full salary and benefits while training.

The company has been pleasantly surprised by the results so far. Begley said they assumed that the associates would take 18 months to finish the program. Apparently highly motivated, most did the rigorous training in six months and passed the difficult certification exam! Score one for the work ethic and ambition of the younger generations. 

"One of the hardest things for new people to understand," said Begley, "is that all the people in the control room have to work together to monitor the grid." Another example of the need for collaboration in today's highly skilled workplace.

The company is now evaluating whether to offer the retirees the option of part-time work. That issue is being explored by an "energetic intern."

Phyllis Weiss Haserot   www.pdcounsel.com

TRANSITIONING CHALLENGE: KNOWLEDGE TRANSFER

The MetLife Mature Market Institute in collaboration with David Delong & Associates conducted a study in the first half of 2007 resulting in "Searching for the Silver Bullet: Leading Edge Solutions for Leveraging an Aging Workforce." While many more were interviewed, the study has in-depth case studies of four companies that have implemented successful programs to address changing demographics. They are: Boston Scientific, First Horizon Corporation, The Aerospace Corporation and Weyerhauser.

The study provides insights for HR managers on helping older workers successfully transfer their knowledge, implementing effective flexible work arrangements, and devising creative solutions for rehiring retirees. It points out that though companies are searching for a silver bullet or one-size-fits-all solutions, there are none. Sandra Timmermann, EdD., director of the MetLife Mature Market Institute, said that "What's needed is a portfolio of strategies and solutions that balance the need to retain older workers while also transferring knowledge to younger workers, so that business performance can be sustained."

The study provides valuable lessons on how to create effective knowledge sharing relationships between older mentors and younger workers and the need to make knowledge transfer an explicit part of any job when rehiring a retiree.

It seems to follow that a corollary would be training and coaching to prepare new partners and executives.