Management Dynamics in the Knowledge Economy (Jun 2023)
Succession Management: A Proficient Resource in Organisational Sustainability?
Abstract
The competitive business environment has made it imperative for organisations who desire to remain relevant put forward survival strategies. This study explores the effect of succession management on three dimensions of organizational sustainability among insurance industry employees in Nigeria. Data was collected from a sample of employees from selected companies. The study utilised structural equation modelling (SEM) to test the hypothesized model of succession management and organisational sustainability as separate but related processes. Looking at the three dimensions of sustainability (environmental integrity, economic prosperity and social sustainability) and how they impact succession management, the findings indicate that succession management has a significant relationship with organisational sustainability across all three dimensions. The study concludes that insurance companies comprehend the inherent potential of a robust and active succession management programme in the drive for organisational sustainability. The study further discusses the theoretical implications of the relationship.
