As a recruiter, I’ve witnessed countless promotion decisions. The stakes are always high; promoting from within offers potential continuity, loyalty, and familiarity, while hiring externally can infuse fresh ideas and skills into a team. Recently, I worked with a new manager named Alex, who was facing a dilemma: Should he promote an internal candidate, Emma, a dedicated team member of four years, or hire an impressive external candidate, Jordan, who brought unique expertise from a competitor?
During our meeting, Alex expressed his concerns. “Emma has been with us through thick and thin. She knows our clients, our culture, and our team’s challenges inside out. But Jordan could bring a fresh perspective and an edge in areas we’ve been struggling with,” he explained, shifting in his seat.
Balancing these choices is never easy, and I assured him there were structured, thoughtful approaches to guide this decision—approaches that would ensure fairness, maximize the team’s potential, and support long-term goals. Let’s explore best practices to help managers like Alex make informed promotion decisions and set employees up for success.
1. Assess Role Requirements Thoroughly
Begin by clearly defining the role’s requirements, goals, and skills. Consider what the team needs now and what will be needed to meet future objectives. A thorough understanding of the role ensures that both internal and external candidates are evaluated based on the same standards.
2. Evaluate Employee Performance and Potential
For internal candidates, look beyond tenure. Consider their track record of delivering results, adaptability, and their alignment with organizational values. Use tools like performance reviews, 360-degree feedback, and past project outcomes to gauge readiness.
3. Prioritize Leadership and Growth Capabilities
Promotion decisions should not be limited to technical competencies. A promoted employee will likely take on leadership responsibilities, so assessing emotional intelligence, team influence, and coaching ability is essential. Gauge whether the internal candidate has shown growth potential and leadership skills over time.
4. Engage in Open Communication
In Alex’s case, it was important to have open conversations with Emma to gauge her interest in the promotion and explore her vision for the team’s future. Internal candidates shouldn’t feel entitled to a promotion, but neither should they feel sidelined without being considered. Transparent communication helps manage expectations and builds trust.
5. Compare Skills and Cultural Fit
When considering external candidates, compare their skills and fresh perspectives to the internal candidate’s organizational knowledge and proven performance. Remember, culture fit matters—an employee who understands and thrives within the company culture can have a more immediate positive impact than an outsider, unless the culture needs a shake-up.
6. Consider Team Dynamics
Think about how the team might react to the promotion decision. Will promoting Emma improve morale, or lead to resentment due to perceived favoritism? If you bring in Jordan, how will it impact the team’s existing cohesion? The decision will reverberate through the organization, so tread carefully.
7. Develop a Transition Plan
If an internal candidate is promoted, prepare them for their new role with a structured transition plan that includes mentoring, leadership training, and performance goals. If the decision is to hire externally, work to integrate the new hire with a clear onboarding strategy. This helps mitigate any friction between the new hire and internal staff.
8. Monitor and Adjust
Finally, decisions around promotion shouldn’t end with the selection. Continuous feedback and performance monitoring will ensure the chosen candidate—whether internal or external—continues to develop and thrive.
In the end, Alex weighed all these factors carefully. He chose to promote Emma, recognizing her demonstrated loyalty, growth potential, and alignment with the company’s culture. But he didn’t discount Jordan; instead, Alex brought him on as a consultant to help develop areas that needed improvement. It was a win-win solution, proving that thoughtful promotion practices can create opportunities that benefit everyone.
Promotion decisions are complex but rewarding, shaping both careers and the organization’s future. By adhering to best practices, leaders can make promotion decisions that inspire excellence and drive success.