MHA 702 Exam 4 Questions and Answers With Verified Solutions 2025
Succession planning - ✔✔-useful for managerial positions (CEO, COO etc)
-prepares single designated successor
-proactive approach to ensuring continuity of leadership
Career planning - ✔✔-succession plans for middle managers
-focuses on many particular individuals
-prepares several candidates for a position
intent of succession planning - ✔✔HR process used to prepare the organization for a strong leadership
transition
How long do senior organizations leaders stay? - ✔✔Expected to retire over 5 to 10 years
Organizations without succession plans - ✔✔Uneasiness is intensified and negatively affect performance
Leaving development of future leaders to chance
why do healthcare organization benefit more from effective succession plans? - ✔✔they are usually
complex and known to foster highly political environments
CEO is responsible for - ✔✔Initiating succession planning
Organizations with succession plans - ✔✔More likely to have smoother leadership transition
Board of directors is responsible for - ✔✔Appointing a successor
three factors that motivate succesion planning - ✔✔1. presence of CEO having had previous succession
experience
,2. having a person within the organization initiate and coordinate effort
3. recognition of benefits of succession plannning to organization
Succession planning should begin - ✔✔4 years prior to CEO leaving; most organizations should begin
process within 1 year of hiring a new CEO
HR responsibility - ✔✔Managing succession planning process
Succession planning saves organizations - ✔✔-Money
-Executive search fees eliminated
-Maintains leadership continuity when inside person is promoted
Grooming an internal person - ✔✔-key element of for-profit succession planning
Financial gain of Hiring outside of an organization - ✔✔-requires 6-12 months before financial
performance regains the level that existed prior to replacement
5 principles to succession planning - ✔✔1. board-driven, collaborative process
2. should be a continuing process; successor should be available at any given time to step in
3. key leadership criteria must be defined; build feedback loop
4. bring leader in and right time; clear exit strategy should be developed
5. once transition has taken place, post succession assessment should be conducted
A continuous process - ✔✔-succession planning must be continuous
-successor should always be available
-significant development assignments can be arranged to ensure appropriate experiences are
encountered
Feedback loops - ✔✔Are critical in succession planning; ensures the successor is receiving the
experiences necessary for professional development
, succession planning must include - ✔✔a process to promote diversity and multiculturalism
common mistakes of succession planning - ✔✔- thinking that succession planning is a single event rather
than a process
- failure of organization to anticipate concerns of key employers who may have been passed up
Why should Succession planning begin early? - ✔✔-for developmental assessments
-provide insight and allow skills to be acquired
-developmental tasks should be diverse to expose to departments/operations
-institutional memory preserved
-the CEO personally experienced being groomed will support process
Potential pitfalls - ✔✔-connections to social network and psychological ties to organization that
complicate effort to change
-inappropriate or limited experience
What can damage CEO/ Management teams? - ✔✔-only bringing in an entire new regime can sweep
organization clean
-organization will be taking a fall anyway
-comes out of scandal, mismanagement, failed takeover
what is it called when organizations inventory their potential employees? - ✔✔Often called assessing
their inside bench strength
If no suitable candidates, how should organizations hire and WHEN? - ✔✔-based on skills and ability
-consider hiring outside person at least 18 months and up to 5 years in advance
How can Succession planning become costly? - ✔✔-Due to expense of maintaining 2 individuals with
high salaries over time
Succession planning - ✔✔-useful for managerial positions (CEO, COO etc)
-prepares single designated successor
-proactive approach to ensuring continuity of leadership
Career planning - ✔✔-succession plans for middle managers
-focuses on many particular individuals
-prepares several candidates for a position
intent of succession planning - ✔✔HR process used to prepare the organization for a strong leadership
transition
How long do senior organizations leaders stay? - ✔✔Expected to retire over 5 to 10 years
Organizations without succession plans - ✔✔Uneasiness is intensified and negatively affect performance
Leaving development of future leaders to chance
why do healthcare organization benefit more from effective succession plans? - ✔✔they are usually
complex and known to foster highly political environments
CEO is responsible for - ✔✔Initiating succession planning
Organizations with succession plans - ✔✔More likely to have smoother leadership transition
Board of directors is responsible for - ✔✔Appointing a successor
three factors that motivate succesion planning - ✔✔1. presence of CEO having had previous succession
experience
,2. having a person within the organization initiate and coordinate effort
3. recognition of benefits of succession plannning to organization
Succession planning should begin - ✔✔4 years prior to CEO leaving; most organizations should begin
process within 1 year of hiring a new CEO
HR responsibility - ✔✔Managing succession planning process
Succession planning saves organizations - ✔✔-Money
-Executive search fees eliminated
-Maintains leadership continuity when inside person is promoted
Grooming an internal person - ✔✔-key element of for-profit succession planning
Financial gain of Hiring outside of an organization - ✔✔-requires 6-12 months before financial
performance regains the level that existed prior to replacement
5 principles to succession planning - ✔✔1. board-driven, collaborative process
2. should be a continuing process; successor should be available at any given time to step in
3. key leadership criteria must be defined; build feedback loop
4. bring leader in and right time; clear exit strategy should be developed
5. once transition has taken place, post succession assessment should be conducted
A continuous process - ✔✔-succession planning must be continuous
-successor should always be available
-significant development assignments can be arranged to ensure appropriate experiences are
encountered
Feedback loops - ✔✔Are critical in succession planning; ensures the successor is receiving the
experiences necessary for professional development
, succession planning must include - ✔✔a process to promote diversity and multiculturalism
common mistakes of succession planning - ✔✔- thinking that succession planning is a single event rather
than a process
- failure of organization to anticipate concerns of key employers who may have been passed up
Why should Succession planning begin early? - ✔✔-for developmental assessments
-provide insight and allow skills to be acquired
-developmental tasks should be diverse to expose to departments/operations
-institutional memory preserved
-the CEO personally experienced being groomed will support process
Potential pitfalls - ✔✔-connections to social network and psychological ties to organization that
complicate effort to change
-inappropriate or limited experience
What can damage CEO/ Management teams? - ✔✔-only bringing in an entire new regime can sweep
organization clean
-organization will be taking a fall anyway
-comes out of scandal, mismanagement, failed takeover
what is it called when organizations inventory their potential employees? - ✔✔Often called assessing
their inside bench strength
If no suitable candidates, how should organizations hire and WHEN? - ✔✔-based on skills and ability
-consider hiring outside person at least 18 months and up to 5 years in advance
How can Succession planning become costly? - ✔✔-Due to expense of maintaining 2 individuals with
high salaries over time
