“Is a Succession Plan Only for the CEO?”

This is from my time at Goldman Sachs.

Upon my arrival in Hong Kong for a new role, the first thing my predecessor asked me on the handover day was,

“Shigeki, I’d like to hear about your Succession Plan.”In other words, I was asked about potential successors for my new role in Hong Kong right from day one.

I started my job by naming the candidates I had in mind beforehand. Naturally, when I was about to leave my previous role in Tokyo, we had already decided on my successor after extensive discussions with him.

At Goldman Sachs, the authority for personnel decisions lay not with the HR department but with each division. Therefore, it was an organization where each division head made decisions about personnel changes.

As a member of the management, this was part of my job. So, always considering the succession plan for my role and carrying out my daily tasks with that in mind has become second nature to me, even when I later worked in various companies, including listed Japanese companies

I fondly recall being constantly reminded, despite being very busy, of the English phrase, “If you were hit by a bus tomorrow, who would take over your job?”

To ensure sustainable growth for the entire company, a succession plan is essential not only for the CEO or the representative director but also at every level of the organization.

If this becomes a preparatory process for future management candidates, there’s no need to make a big deal about “what is a succession plan.”

I believe that such practices, both on an individual basis and as a corporate organization, will naturally cultivate a healthy and effective corporate culture.