Sometimes hiring from within is the best option, especially if organizational culture is very important to you. You already know how that person fits, but you need to be careful about promoting only high achievers. Research shows that only 30 percent of current high performers could step into a leadership role, and most employees (more than 90 percent) would have trouble at the next level.
“I was the Controller at a large Church ($55M budget) for seven and a half years and then CFO for the last three years of my ten and a half year tenure,” says Vicki Richardson, Customer Support Supervisor at AcctTwo. “I was well groomed for the CFO job. For two years prior to my promotion, I was included in most meetings and decisions. I felt prepared. After my promotion, I realized I had not done a good job of reproducing myself. I needed a Controller and didn’t have one. The growth of our organization was exponential. I was trying to move us into the 21st century with new software and processes but neglected to reproduce me. So, it took me some time to find a Controller. There was no one on my staff that could step into the position. When I did finally hire a Controller, I included him in all my meetings, decisions, and most correspondence. I wish I could say it was a smooth transition, but it was rough. I gave three months’ notice when moving to AcctTwo and I could have easily stayed three additional months.”