Succession Planning: Baby Boomer Brain Drain? Part I
The Baby Boom generation began turning 65 in 2011. They are the largest generation in U.S. history, and their retirement means companies will soon be facing an exodus of many of their senior leaders and most knowledgeable people!
Senior leaders have mission-critical skills, experience and knowledge. When they leave, they will take it with them – unless you are prepared with solutions. It will not be possible to simply recruit your way around this “Boomer brain drain”. Here are some strategies that can help companies be prepared.
Do a threat assessment
Determine which of your senior managers are eligible to retire in the next five to 10 years. Assess how critical each is to accomplishing your mission, and how prepared you are to replace the knowledge and skills that they will take with them.
Using strategies such as the one outlined below, act now to close any identified gaps.
Update your retention strategy
Some Baby Boomers want to work beyond traditional retirement age, perhaps in a reduced capacity. The key to keeping such talent as long as possible is being flexible. Consider part-time, flex-time and consulting relationships as alternatives to full-time employment.
Additional strategies for a proactive approach to the “Baby Boomer exodus” will be included in a post coming soon!
Davis & Hodgdon Associates has been assisting businesses in the Burlington Vermont Metro area for more than 20 years. The firm provides tax planning and compliance as well as a complete menu of business services including succession planning to businesses of all sizes. For more information visit: http://www.dh-cpa.com/entrepreneur-services.html or call 802.878.1963 or email [email protected].