The Necessity of Succession Planning

Succession planning has become increasingly important due to the retirement of baby boomers and the challenge of attracting younger tax professionals. The current labor market presents a supply and demand disparity where senior leaders are exiting the workforce, creating a gap that needs to be filled with a solid internal pipeline. Companies must evaluate their talent pool early, not limiting their focus to immediate successors but considering deeper tiers within the department. By identifying potential candidates early, organizations can strategically prepare for unexpected retirements or voluntary severance, ensuring a smooth transition.