Independent Banker - June 2024 - 53

of Peoples Bank. " He already knew our culture, our
goals and our processes. "
After the two-year succession planning period,
there was still work to be done. Peoples Bank hired
an outside coach to help the new CEO ease into his
new role. Hartings held regular, casual meetings
with the new CEO in the latter's office. This helped
the incoming leader learn and absorb knowledge
in his own environment, versus always being called
into the boardroom. Hartings says those interactions
were valuable because they allowed him to share
advice and insights over time.
The community bank also got its board involved
in the candidate interviewing process, with each
board member encouraged to ask the individuals
two questions. " This gave board members a chance
to ask questions they felt were important and then
use the responses to evaluate multiple candidates, "
says Hartings. " That worked out very well in
our situation. "
Succession planning ensures continuity of
leadership and bank strategy; prevents disruption
from unexpected leadership changes; and
builds confidence among customers, investors
and regulators.
" Succession planning is an essential part of
talent management, " says Valerie Utsey, ICBA
EVP and chief people officer. " Proactive planning
prevents costly and disruptive talent gaps. " On
the other hand, lack of planning can leave banks
vulnerable and scrambling to fill in those gaps at
the last minute.
To avoid these and other succession-related
problems, Utsey suggests using external training
through ICBA Education (icba.org/education)
" By investing in the next generation
of leaders today, you'll ensure your
bank's success for years to come. "
-Valerie Utsey, ICBA
courses such as Succession Planning for Your
Community Bank's Future (and Survival)
and Strategies for Succession Planning and
Talent Management.
5
Expose potential
leaders to all areas
of the bank. CorTrust
uses its compliance
committee to help
employees understand
all aspects of the
bank's operations. The
20-person " middle
management "
committee reviews the
various departments
and the regulations that
cover those operations.
" That way, they get
exposure to everything
within the bank, "
says Hopkins.
Shadowing and soft skills
Banks can also implement internal training by
having rising stars shadow current leaders and focus
on soft skills like communication, adaptability and
vision-all of which are more critical than ever in the
modern workplace.
" The higher you move up in an organization, the
greater the importance of soft skills for inspiring
others toward a mission, listening with intention
and providing a safe place for people to work,
develop and grow on their own, " says Alice Frazier,
president and CEO at $830 million-asset Bank of
Charles Town in Charles Town, W.Va. " Soft skills are
critical to your effectiveness as a leader. "
Frazier also recommends ICBA Education and
the Barrett School of Banking as two good resources
for banks that are kicking off or continuing their
succession plans.
The latter's one-week executive leadership
program, for example, provides a " broad
independentbanker.org // 53
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