Common Leadership Challenge #3: Mastering Leadership Succession
In earlier posts, I shared about the leadership challenges of turning vision into reality and aligning our words and actions. A third common leadership challenge is bridging the distance between our capacity and the capacity of those who follow us. As leaders, we’re obligated to grow our people so they can increasingly carry out our responsibilities in a manner that surpasses us. Or, as we typically might say it: We must triumph in succession planning so that after we’re gone, the company we led is better than when we were there.
True story: In 1952, Bob Sheetz opened the first Sheetz store in Altoona, Pa. Nine years later, Bob hired his brother, Steve, who is now the Chairman of the company. Today, 63 years later, Sheetz is one of the fastest growing, family-owned convenience store chains in the world with more than 437 locations in six states, and employing nearly 15,000 people.
For the first 11 years, Sheetz remained a successful, single-store operation located in its original Altoona dairy/deli. However, trouble began when they opened their second store. Simply replicating the appearance of their first store did not replicate the operational dynamics that had accounted for Bob and Steve’s success. As they struggled to understand this problem, they realized they weren’t doing enough to ensure all new employees understood certain critical factors. These factors or values became known as Speed of Service and Total Customer Focus.
This story is repeated in every company’s growth trajectory. We, as leaders, do many good things essential to the success of our business. Despite this, we can mistakenly think our main job is to hire people to handle the day-to-day operations so that between the things we do and the things our employees do, the job is covered.
This understanding of our job as leaders is fractured. Our main, ongoing responsibility is to bridge the gap between our own understanding and capabilities, and our people’s understanding and capabilities. As we do, we increasingly become unnecessary at our current level of contribution. In other words, our people can then step-up. As they do, we can continue to rise up and out, and then, from our new place, bring value back to our company at a completely new level.
Let me clarify something: everything I’ve just stated is unnecessary if we don’t wish to grow, if we have no intention of being succeeded, and if we’re content to never, ever, take a proper vacation. If we’re going to close the doors of our company on the day that we retire, then we don’t need to prepare our people to carry the ball when we’re gone.
One of my deep points of passion is to move the needle on the percentage of companies that successfully transition from the first generation of leadership to the second. We lose nearly as many companies in that first succession as are lost back at the entrepreneurial stage during start-up. If more companies could lean in to the learning required for succession, the economic impact would be extraordinary.
The mission of Sheetz is simple and straightforward: “To provide Fast and Friendly Service and Quality Products in Clean and Convenient Locations.” Sheetz has grown from one location to over 400. At the core of this success is their commitment to teach and coach all employees—both managers and service staff—in every aspect of the business, focusing on their critical success factors.
Today, Sheetz has a full-time team dedicated to training new store managers. These managers and assistant managers participate in a 19-day program covering everything from leadership, coaching, and employee training, to all of the functional skills like merchandising, finance, customer service, safety, and food and beverage preparation. The experienced training team stays on-site in the new store until the new team is trained and performing to standards.
Bridging the gap between what we can do and what our people can do—mastering succession—is a leadership challenge common to us all. Let me say it more directly; we must learn the daily disciplines of growing our people and benchmarking the critical-to-success factors. These disciplines are not just for our employees’ benefit, but for ours, too. Our greatest leadership legacy will not be how well things ran when we were in charge, but how strong the company was after we were gone.