SUCCESSION PLANNING: MINING AND SUPPLY CHAIN
By: Scott Bahr
In mining, as in all industries, there comes an inevitable time when a new generation of leaders needs to step up and take the reins as previous powerhouses leave the workforce to retire. This “passing of the baton” is an important transition period that far too few companies within our industry are prepared for at the moment.
This predicament calls for the prioritization of “succession planning.” This involves creating a strategy that will enable you to be ready to pass on leadership roles (sometimes even ownership of companies themselves) to new employees when the time comes. This practice is also called “retirement planning” in some circles. It exists to ensure that business can continue as usual—without any jarring interruptions—after the primary principles or players move on
AGING WORKFORCE
It’s the issue that faces every mining industry across Canada: an aging workforce, in both the mining and supply chain realms. And as the current leadership demographic becomes older— leaving positions open amid a super-tight workforce market, one far more limited than last year—replacing retirees with new talent has become more challenging than ever.
It’s for this reason that your succession planning must be an ongoing endeavor. Otherwise, you will be left scrambling to replace exiting workers with limited options from a dry well. And no one wants to be left with the stress of having to scramble for workers like that—or even worse—be unable to complete operations due to an inadequate amount of skilled, competent employees. If you want to avoid finding yourself in this dilemma, looking ahead and attracting new talent are vital.
ATTRACTING NEW TALENT
A smart first step is looking to promote more from within your own company. We strongly encourage mentoring programs that thoroughly groom promising candidates to replace their retiring senior colleagues.
Attracting new talent to come on board is equally important, and companies have to bring much more to the table than mere monetary gain when looking to lure candidates. Today’s applicants are now demanding not only fair financial compensation, but are also concerned with proper work/life balance. They also want to be assured that signing on with you will provide them with opportunities for long-term development in the future.
Once you have an attractive compensation package settled and are ready to woo your new workers, it’s crucial to keep an open mind when hiring.
DIVERSIFYING WORKFORCE
Lack of diversity and an inclusive culture also continue to be a challenge when recruiting top talent to the mining sector. Rather than limiting your hiring pool to the age-old, narrow list of boxes to check (X number of years’ experience, looking for a certain degree, etc.), prioritize both aptitude and adaptability. Candidates who display potential leadership strength should also be seriously considered. And while we’re on the subject of hiring, remember how important it is to diversity your workforce.
Right now, women only represent a paltry 10% of the mining workforce in Canada. Minority groups are also grossly underrepresented. So spread your hiring net wide, while still making decisions with discernment and focusing on the essential skills of the job. You might be pleasantly surprised by who you find, and most importantly, you’ll also be prepared when those principal players leave the company.
The bottom line is that succession planning is a mark of a well run business, and should be a top priority. Invest in the next generation of leaders and create a culture that attracts and retains top talent.