Mechanisms And Determinants Of Succession Planning By Small Enterprises In Awutu Senya East, Ghana

Abstract

This study assessed the mechanisms and determinants of succession planning, focusing on the case of small enterprises in Awutu Senya East, Ghana. The study discussed relay race theory, social role theory, family business theory, the determinants and mechanisms of succession planning as part of the theoretical and conceptual analysis. This thesis utilised the pragmatic research paradigm and the mixed research approach. The study first objective was analysed using narrative technique, the second and third objectives were analysed using inferential statistics whereas the fourth objective was analysed using descriptive statistics. In all, a sample of 180 owner/managers of small enterprises together with eight officials from Ghana Enterprise Agency were used for the study, and the research employed questionnaire and an interview guide to elicit the required data for the study. The findings demonstrated the significance of familial bonds, organizational culture, and long-term sustainability in shaping the extent of succession preferences and practices. The study also found that succession planning mechanisms by gender reveals notable differences in preference and approach among male and female owners/managers. Also, the study found the significant influence of personal, organizational, and environmental characteristics on succession planning practices among small enterprises. Based on the results, it is recommended that small enterprise owners/managers should develop gender-inclusive succession strategies that recognize and leverage the unique strengths and perspectives of both male and female leaders. Lastly, small enterprise owners/managers should invest in continuous learning and professional development initiatives to equip owners/managers with the knowledge and skills needed.