Real Succession Planning Includes Planning for a Loss of Skill & Expertise
Successful succession planning is as much about understanding – and preparing for – the skills, expertise, and knowledge that will leave with the exiting partner as it is about selecting the right fit. Every team member contributes differently, and when key people exit, firms need a clear plan to fill those gaps.
As the saying goes, most professional firms have the finders, minders, and grinders – or, if you prefer, the rainmakers, managers, and doers. When planning for succession, it’s crucial to assess what role the departing person plays. Are they a strategist? A key driver of new business? The operational backbone that keeps everything running smoothly? Or the powerhouse who delivers the work?
A good starting point is gathering input from all partners, including the one leaving, to pinpoint exactly what’s at risk. Make a list of the critical skills, attributes, and expertise that will be lost. Then, as a group, determine what truly needs replacing. Be honest and realistic – most, if not all, of those functions will need to be covered.
Finding the right solution
Once you’ve identified the gaps, the next step is deciding how to fill them.
- Are there internal team members who can step up?
- Will external recruitment be necessary?
- Would a merger provide access to a broader skill set?
- Could a specialist employee or contractor cover certain aspects without requiring equity?
Each approach has different implications for the firm’s structure, costs, and long-term success. For example, if a key audit specialist is leaving, can the firm maintain compliance and service quality with an internal promotion, or is outside expertise essential? If the departing partner is the firm’s primary rainmaker, how will new business generation be maintained?
Planning for timing & costs
Replacing a high-level team member isn’t always a one-to-one swap. In some cases, maintaining the same level of output may require hiring multiple people, which impacts costs and workflow planning.
It’s also important to be realistic about timeframes. Finding the right successor is challenging under normal circumstances; replacing someone with highly specialised skills can take even longer. Factoring in recruitment timelines, training periods, and transition phases will help avoid last-minute scrambles and disruptions.
Ultimately, succession planning isn’t just about who takes over – it’s about ensuring the firm remains strong, stable, and equipped for the future. A proactive approach today will make all the difference when the time comes to transition.
Your firm’s future deserves the right plan.
Rob Knights & Co has been providing advice on practice succession for 50 years. We help practice owners plan for and then transition smoothly, while preserving client trust and business value.
Let’s create your practice succession strategy together. Contact us today.
