Leadership Succession in
Increasing the active involvement of Russian managers in leading
the Alcoa Russia organization is an important part of integrating acquired
Russian facilities into the Alcoa system.
After acquiring the Samara and
Belaya Kalitva fabricating facilities in 2005, Alcoa brought numerous
specialists from its facilities in 12 countries to deploy its practices in
operations, commercial activities, and corporate governance at these new Russian
locations. In 2007, the development and implementation of a leadership
succession plan is providing for a smooth replacement of the foreign Alcoa
employees with their Russian counterparts.
In its succession approach,
Alcoa Russia both promotes internal talent and hires external candidates.
Development of internal leaders is the primary focus, as this attracts people
who are already familiar with the operations and who have shown commitment to
their location. The approach also helps talented people inside the organization
realize their potential.
The succession process begins with expatriate
leaders identifying the most promising people in their function. These
candidates are put into two categories: managers who are ready to fill the
leadership position and those who need extra support and mentoring if placed in
the job immediately. The leader then creates an individual development plan for
the named successor that defines objectives to support the individual's
development, actions needed, milestones, target dates, and resources that will
help achieve the objectives. Alcoa training, such as leadership and management
skills and the executive leadership development program, are an important part
of this plan. All are also part of the training regime for external hires, who
are sourced when no internal candidates are found.
Implementation of the
succession approach in 2007 helped Alcoa Russia promote Russian managers to the
following leadership positions: controller, finance director, procurement and
logistics director, country manager, and forging deputy lead.
1, 2007, Alcoa Russia had 52 expatriates on it staff. It finished the year with
31—a 40% reduction. Additional successions are slated for