Chapter One — 1.1 Background to the Study

Succession Planning has increasingly attracted the attention of researchers, regulators, and practitioners concerned with employee retention. This growing interest reflects the recognition that succession planning does not operate in isolation, but interacts with a wider set of institutional and market conditions found within Selected Commercial Banks in Nigeria.

Selected Commercial Banks in Nigeria presents a useful setting for examining this relationship precisely because the conditions there — structural, regulatory, and behavioural — differ from those typically assumed in the broader literature, most of which draws on evidence from more developed economies.

1.2 Statement of the Problem

While succession planning is widely discussed in policy and industry circles, empirical evidence on its actual effect on employee retention within Selected Commercial Banks in Nigeria remains sparse and, in places, contradictory. This lack of localized, rigorous evidence makes it difficult for decision-makers to know with confidence whether current approaches to succession planning are helping or hindering employee retention — a gap this study sets out to close.

1.3 Objectives of the Study

1. To examine the effect of Succession Planning on employee retention in Selected Commercial Banks in Nigeria.
2. To assess the extent to which succession planning influences employee retention within the study area.
3. To identify the challenges associated with succession planning in relation to employee retention.
4. To recommend strategies for optimizing succession planning in order to improve employee retention.

1.4 Research Questions

1. What is the effect of succession planning on employee retention in Selected Commercial Banks in Nigeria?
2. To what extent does succession planning influence employee retention within the study area?
3. What challenges are associated with succession planning in relation to employee retention?
4. What strategies can be adopted to optimize succession planning in order to improve employee retention?

1.5 Significance of the Study

This study is significant to a range of stakeholders. For policymakers and regulators, the findings offer evidence to guide the design of frameworks that support healthier outcomes around employee retention. For managers and practitioners within Selected Commercial Banks in Nigeria, the study provides practical insight into how succession planning can be better managed. Finally, it contributes to the academic literature on business administration by extending existing knowledge into a specific empirical context, and offers a reference point for future researchers.

1.6 Scope of the Study

In terms of scope, this MSc study confines itself to Selected Commercial Banks in Nigeria, focusing specifically on how succession planning relates to employee retention within that setting. Findings are interpreted within these boundaries rather than as universal claims applicable to every organization or market.