Why growing talent from within is a smart rule of thumb

Succession planning is a very big deal these days. Put another way: growing and keeping talent for rainy days and beyond. But what I have always found puzzling is the tendency for many organizations to look outward rather than inward, thereby ticking off a lot of people. Why is the “devil you don’t know better than the one you do” in so many recruiting efforts?


Maybe it’s the quick fix approach in search of the Holy Grail. That shiny new person, full of energy, exuberance and efficiency tools will shake things up a bit. Get people moving. Save some costs. And above all improve productivity.

If it were only so simple. Organizations must refresh with new hires but not at the expense of ignoring those within. If everyone is counted in instead of being counted out via a “high potential” selection process upfront, the organizational culture has a greater chance to flourish.

There are plenty of studies showing that superstars don’t contribute as much as you think to organizational success. A superstar is one member of a team. All other members play different, yet important roles in getting the job done. If the superstar is an outsider, that person has a distinct disadvantage - not having a deep knowledge of the business. If the powers that be signal that an outsider is the best choice, the lines harden internally making the job of the new recruit almost impossible. Besides, like any economy, all “classes” are needed to contribute to growth and robustness. The worker bees do good!

But, what about the value of recruiting outside CEOs? Joseph Bower at the Harvard Business School has analyzed 1,800 successions and written about them in his book The CEO Within: Why Insider-Outsiders are the Key to Succession. Bower’s findings confirm that an organization’s performance financially is “significantly better” when persons who are insiders move up to the top job. This flies in the face of the conventional wisdom of boards.

In Bower’s words, “it takes hard work to grow talent”. That’s why human resources departments are vitally important for guiding the talent strategy and setting up the right supports and systems for many to flourish. Nature does well with diversity. So can we.

Can You Improve Your Personality? Yes, and...

I am often asked about the nature of personality. What is it? Am I stuck with it? Can I change it if I want to? By association, can leaders and managers make improvements in their personalities? That is, can a terrible boss become a wonderful boss? Well, that might be asking for too much unless the boss has an epiphany…and…there is some wiggle room for improvement.

I like Manfred Kets de Vries take on personality in his book, The Leader on the Couch:

Personality is the same as character, the sum of deeply engrained patterns of behavior. It’s the stamp impressed on us by nature and nurture, a composite of habits we choose and develop and that gradually drive us. It is central to the way we perceive and present ourselves. Personality (character) shapes ideals, values, beliefs, patterns of information-processing, moral compass and leadership style.

Whew! Rather all-encompassing. This is going to take some work to change.

De Vries is quite optimistic in this regard. You can de-script the unhelpful parts of your “inner theatre”. You can change your perceptions and habits from both your genetic inheritance and early experiences. You can liberate yourself somewhat from the confines of your “programmed” personality, if you wish to.

Twin studies confirm de Vries research. You can seize the opportunity for personal growth because personality has a large “nurture” component. Although how smart you are is significantly determined by the genes from your parents, personality is only about 45% heritable, according to Robert Plomin, Professor of Behavioural Genetics at King’s College, London. You can become smarter in your relationships, beliefs, how you assess information, your ethics and your habits overall. In short, you tweak your personality in good ways.

You can become more conscious. That’s the really good news. Just takes some work at thinking about your thinking and then practicing new habits until they stick.