Firstly, it hepls to boost the confidence among employees as when they would see a chance for growth they will try to give their best in the assigned task which in turn will benefit the company’s progress. For instance, british broadcasting channel once published about a survey conducted by an organistaion in 2020 that states industries that support the future development of their workers also shows a positive trend in their organisations development and growth.
Secondly, people who work at one place for long tend to have deep knowledge about the input required which in turn can be proven as cost- effective. This help to save time and resources and could be benefical when a position requires to be filled quickly.
Thirdly, it promotes choesion and morale in team as when people see their peers committment and hardwork helps them to acquire cheif positions they tend to stay more focused and dedicated in terms of their responsibilities. This creates a positive work environment and increse overall job satisfaction.
However, a downside of this could be lack of new talent and skills as the new hring could bring a number of different and essential techniques which other employees working in the same environment may not be aware about. This limit the company to try on new methods for more output.
To conculde, hiring old employees for senior roles could be really advantageous for the company as it maintain the flow by saving the resources and time, but the best decision should always be the one that aligns with companys requirements.