Promoting employees can be an important talent retention tool and is a great way to reward excellence. Promoting from within sends a message to all employees: that hard work is recognized; that organization loyalty is valued; and that the organization sees current employees as crucial to future success. If the wrong person is promoted, however, it can be quite disruptive, causing conflict and distrust among the ones “left behind.”
To ensure that promotions from within actually enhance your organization’s culture and its chemistry, the decision must be thoughtfully considered. Take into account that promotable employees and leaders share important characteristics and competencies:
10 Characteristics of Promotable Employees
- An unwavering alignment to the organization’s values
- A proven ability to deliver results
- An innovative approach in identifying new ideas that creates value internally and externally
- A commitment to developing and upgrading their people
- A knack for hiring outstanding talent for their team as well as the organization
- A demonstrated ability to adapt in the midst of rapid change
- The ability to act and react in a decisive manner
- An understanding of your customer and trends that impact those you serve
- The capacity to establish and maintain relationships externally as well as at all levels internally
- The possession of business acumen, professionalism, and the potential to achieve even more! (After all, a promotion is not an “ending.” Promotions actually present the opportunity for the employee and organization to be even more successful!)
Promoting from within is Great for the Budget
There is another important factor to weigh when promotions are being considered: your talent budget. One “budget benefit” of promotion is that it can be less expensive than hiring someone new (not to mention the fact that a promotable employee is generally one who is already crucial to the organization’s culture and chemistry.)
Be sure to leave margin in your talent budget for merit and performance increases for those promoted. If the promotion includes additional benefits, for instance stock options, be sure to include that when presenting the total compensation package to the promoted leader. It all adds up–yielding satisfied talent, employees who can aspire to be more, and a healthier organization.