CASE STUDY : SUCCESSION MANAGEMENT AT AIR

CANADA

The steps in 1.Link

succession succession
2.Identify the 3.Identify the 4.Develop the
management management 5.Measure the
competencies high potential high potential
are applied in with strategic results
needed employees employees
the real world. goals of the
organization
 CASE STUDY : SUCCESSION MANAGEMENT AT AIR
CANADA
1. Link succession management with strategic goals of the
organization
• Because of economic recession, Air Canada was in a survival
mode primarily(1990)
• Restructured organization and downsized the early 1990s

• Key focus was succession planning at the executive level

by bringing in a few key outsiders to fill the senior management

positions and achieve balance between external and internal
resources
 CASE STUDY : SUCCESSION MANAGEMENT AT AIR
CANADA (continued….)

2. Identify the competencies needed

• Identify internal candidates
• Identify the requisite competencies
• Core competencies were identified to select the high
potential employees. The prediction of skills of future is
the weakest part of the succession planning.
 CASE STUDY : SUCCESSION MANAGEMENT AT AIR
CANADA (continued….)

3. Identify the high potential employees

• Asked to identify ready now, ready in 18 months and ready
with development employees
• Assess employees by reassignments, supply gaps, marginal
contributors, developmental requirements and expatriate
candidates
 CASE STUDY : SUCCESSION MANAGEMENT AT AIR
CANADA (continued….)

4. Develop the high potential employees

Emphasis given on developmental assignment, corporate
learning and job shadowing .
 Developmental assignment: The candidate got special task on
a team to develop a part of new venture such as star alliance.
 Corporate learning: This method entailed training courses,
workshops, seminars.
 Job shadowing: This method involved a junior employee
trailing a senior employee from another branch on an informal
and as needed basis.
 CASE STUDY : SUCCESSION MANAGEMENT AT AIR
CANADA (continued….)

5. Measure the results

 Measure the degree to which the plan identified high
potential employees, marginal contributors and new hires.
 Tracked the stock of people and the flow of people
throughout the organization via promotion, resignations and
retirements.
 As of 2003, Air Canada’s success at succession management
was still open for debate. Environment factors such as fear of
terrorism and oil continued to influence strategic planning.
Air Canada had filled for bankruptcy