What is succession planning in HRM?

Succession planning in Human Resource Management (HRM) refers specifically to the process of identifying and developing new leaders within an organization. This strategic approach ensures that there are qualified individuals ready to fill key roles as they become vacant, whether due to retirement, promotions, or other transitions.

By focusing on leadership development, organizations can create a pool of internal candidates who are not only familiar with the company's culture and operations but are also equipped with the skills necessary for leadership positions. This proactive approach helps in maintaining continuity and stability within the organization.

The other choices, while related to HR functions, do not capture the essence of succession planning. Hiring new employees pertains to recruitment processes, employee performance evaluations focus on assessing current staff, and exit interviews deal with gathering feedback from departing employees. None of these aspects include the forward-thinking strategy necessary for preparing future leaders, which is the core objective of succession planning.