Impact of Succession Planning on Employee Retention

The rise in the employee turnover rates is increasing the concerns amongst the organizations in retaining the employees in the workplace. The higher turnover rates are threatening the business capability in earning higher profits. Grounded by the leadership and motivational theories, the following study aims explore that how the succession planning strategies could help in retaining the employees in the organization. Swedish organizations are chosen as the area of the study. In order to fulfill the purpose of the research, the data has been gathered from primary and secondary tools. The secondary tools used in the study are past papers related to succession planning and employee retention as well as information collected through SHRM/Globoforce employee recognition survey and OECD statistical data. The primary tools used in the study are semi-structured questionnaire and face to face interviews. The data analysis involved the evaluation of the secondary data, face to face interview and classification of themes on the basis of semi-structured questionnaire. By means of the thematic analysis, four main themes were emerged. The findings showed that in order to retain the employees fruitfully, Swedish organizations should work on planning career development programs, identify and develop the talent pool and offer non-monetary rewards to the employees. This will enable them to be committed with the company and stay with it for a longer time. The implications for the study is that it will bring a positive social change by adapting the effective succession planning practices which will as a result help to increase the morale of employee and enhance the business profits by retaining the talented employees in the organization. The study has some limitations on the basis of which, it is suggested to the future scholars to conduct a quantitative study by taking a longitudinal approach in order to validate the findings on the statistical grounds as well