It is one thing to attract talent to your firm, it is quite another to attract successors with the right talent though. Many financial advisory firms see the need to create leverage and handle their own succession issues through recruiting new advisory talent but struggle to do it successfully. The main reasons why recruiting the right advisers for the future of the firm often results in frustration for all and a parting of the ways is usually because the big issues were not thought about and addressed at the outset. Perhaps the main reason however is because firms mistakenly think the issue is “keeping talent”, whereas the real issue is “growing talent”.
The big issues that do not seem to get thought about adequately are:
- Understanding the difference between what attracts talent, and what keeps talent
- Laying out a development pathway
- Rewarding the growth behaviors
Provided the promised opportunities were being delivered though and the talent still left, it usually comes down to one of 2 things:
- The remuneration model was not evolving with (and rewarding) the growth in skills and capability
- Lack of recognition for the milestone achievements