Succession Plan for Senior Management

The Corporation has established succession plans for important management personnel in accordance with the "Succession System for Important Management Personnel" passed by the 33rd meeting of the 8th Board on December 18, 2019. It purpose to ensure sustainable management and growth, and establish a succession system for important management personnel to pass on the professionalism and experiences of important management personnel.

Succession Plan for Senior Management

The Corporation's president, senior vice presidents and each head of division(office) are appointed from internal development and external recruitment, and approval by the board of directors.

Succession System and Implement Stage

It's implemented through five stages : identification of key skills, availability of current talent, development of successors, evaluation of successors, and approval of management personnel, the details are as follows:

Identify the qualification and conditions in accordance with the department's business responsibility of the Corporation's organizational regulation.

  • Experience and Performance
    1. Core Functions: planning and organizational capabilities, guidance, customer orientation, continuous improvement, and performance enhancement
    2. Possess majors in strategic thinking, operational planning, Research & Development innovation, business sensibility, financial analysis, etc.
    3. The experience and conditions of professional managers in compliance with laws and regulations or required functions
    4. Performance Appraisal
  • Core Values and personality traits
    1. Discipline、Integrity、Efficiency、Innovation and Sensibility
    2. Business thinking and leadership culture
  • The Human Resource Department consolidates the qualifications and functions of the next important management levels, and evaluates the reserve risks, then provide the name list for the management team to review.
  • The list of high-potential talents would be sent to President for confirmation, and then submitted to Chairman for approval.
  • With the assistance of the management team or professional consultants, focus on vertical and horizontal thinking training.
  • Initiate job agency rotation and coordination performance evaluation mechanism.
  • The agency schedule is planned according to the needs of the individual case, in principle is for one year, but shall not exceed two years.

The management team regularly reviews the effectiveness of talent development.

According to the vacancy situation of important management positions and the business objectives and organizational needs, the succession plans would be sent to Chairman for confirmation and then submitted to Board of Directors for approval.

Training & Development

In order to facilitate the development of succession talents, the Corporation has been assessing the managerial proficiency for different levels of management since 2019. The goals are:

  1. Inventory Corporation's current managerial capabilities and correctly grasp training needs.
  2. According to the assessment results and the Corporation's medium and long-term development strategy, carry out the training plan for different levels of management.
  3. Provide differentiated training based on individual managerial capabilities, and define the learning passport for each management level.
  4. Establish management talent pool and develop talent echelon.

The Corporation currently has 274 section-level, department-level and division-level managements, 15 new managements and all of them have completed the "MAP Managerial Assessment of Proficiency ". The Corporation will also arrange the training courses for "Communication Ability" 、"Cognitive Ability"、"Supervision ability" and "Creativity" in 2023 to enhance then managerial capability. According to the Talent Echelon Building project, the corporation has defined 37 key positions and have define the conditions and qualifications for each positions and output for high potential talent pool and Individual Development Plan , In 2023, the same structure was used to complete the formulation of qualifications for above department-level management positions throughout the company, and will be linked to the planning and execution of management function improvement training in the future. In the meantime to facilitate the development of succession talents, the 2021-2023 job rotation plans for department-level and section-level managements, will be initiated in the second half-year of 2021. With the collaboration of current mechanism and system, 81 of the above managements have completed the process to cultivate the job rotation cultural through the enhancement of existing mechanism.

In line with this Corporation's Succession Plan for Senior Management, all senior managers of the Corporation not only participate in training courses required by laws and regulations, but also follow with the Corporation 's Code of Ethical Conduct and Ethical Corporate Management Best Practice Principles, and receive education for ethics and integrity, prevention of insider trading, confidential information protection, and gender equality law through digital training courses and professional function training courses etc., additionally, they also participate the professional training courses, and accept the job rotation as per Corporation's requirement for accumulating the experience of across department.

The former Operation Senior Vice President of the Corporation retired in July 2022. Through above mechanism, the Corporation arranged for the original Operation Division Vice President as successor, who is under the Operation Senior Vice President, and promoted to the position of Operation Senior Vice President in July 2022. This Vice President has worked in Transportation Department, Passenger Services Department, Station Operation Department, Operation Sub-Division and Operation Division, etc., and has also rotated to the head of the Maintenance Management Division. He has core competency, strategic thinking, operational planning, business sense and other related fields of expertise, and also conforms to the Corporation's five core values-" Discipline, Integrity, Efficiency, Innovation, Sensibility” . Therefore, he was promoted after review and approval by the Board of Directors.