Who’s next in line? Many businesses don’t know

Robert Walters research uncovers only 1 in 5 have a leadership succession plan

Just 19% of organisations say they have a succession plan in place, according to new research from global talent solutions partner Robert Walters, suggesting many may be less prepared for leadership change than they realise.

The findings, part of the firm’s Talent Trends 2026 guide, also reveal that 41% of organisations have no succession plan at all, while 7% are unsure whether one exists.

At the same time, 81% of leaders said they have a shortage of senior talent, with more than half (53%) describing the shortage as significant.

Christian Atkinson, country director at Robert Walters Switezrland, says,

There is a clear gap between how concerned organisations are about senior talent shortages and how prepared they are for leadership change.

“In many organisations, succession planning has historically been handled informally. But they are now operating in a far more complex environment than they were even a few years ago. Advances in artificial intelligence, geopolitical uncertainty and economic pressures are all contributing to more frequent leadership transitions. With only one in five businesses having an established succession plan, many are leaving themselves exposed to significant operational risk.”

The ripple effect of leadership change

Whether planned or unexpected, the departure of a senior leader can have wide-reaching effects across an organisation, influencing strategy, decision-making and organisational culture. Indeed, analysis cited by McKinsey indicates that when these transitions are managed well, around 90% of teams go on to meet their three-year performance targets.

“Leadership continuity can be a challenge for organisations of every size, from SMEs to the world’s most recognised brands,” adds Adam Gordon, Global Head of Talent Development. “Senior talent is one of the hardest resources to replace, and finding the right long-term successor can take time. Interim leaders can play a valuable role here by maintaining stability and ensuring critical decisions continue to move forward while organisations assess their long-term options.”

Pipeline pressure building

Beyond formal plans, the research points to challenges in developing future leaders. Nearly a quarter (24%) said they are struggling to identify and develop strong successors within their business.

“Many organisations have talented people internally, but identifying future leaders early and giving them the right development opportunities takes deliberate effort,” comments Atkinson. “At its core, succession planning is about futureproofing the organisation – building a strong leadership pipeline comprising internal progression and external hiring to ensure organisations have the resilience they need for the long term.”

The findings form part of the Talent Trends 2026 guide, which draws on Robert Walters’ global market insight across recruitment, outsourcing and talent advisory, supporting organisations as they navigate evolving workforce expectations and leadership challenges. Download the full Talent Trends 2026 guide here.