Managing a Successful CEO Succession

If there is one constant, it is that there will always be change. The working world is in a continuous state of transition as market trends wax and wane, but more frequently, we find change is brought about by people. RHR International’s Head of Board & CEO Services Deborah Rubin identifies CEO succession among the most impactful changes to an organization. Here are some of the ways we can help with manging the often-difficult transition of leadership while avoiding common mistakes.

Initial Steps
While we can join at any point during the transition, we provide a number of services right at the beginning of the CEO succession process. We offer assessment and development of potential candidates for the role, including internal and external, as well as helping the new CEO through the onboarding process as they transition. We offer unbiased counsel to board members to aid in sound, intentional decision-making. It’s important we are able to be a part of the process as early as possible so that we may ensure that by the end of the process, the board is aligned, the stakeholders are satisfied the process was transparent and equitable, and the new CEO is prepared to hit the ground running.

Navigating Pitfalls
Perhaps the most important part of CEO succession is not just knowing what challenges there are in the process, but being prepared for unexpected obstacles. Candidates sometimes pull out, CEOs change their departure timeline, and businesses can be rocked by major changes. The process is naturally long and as such there is more opportunity for something to go wrong during that time period.

When it does, RHR are here to lend their support and mitigate the negative effects before they have the chance to become disastrous. If left unchecked, a poor CEO succession can lead to loss of key talent, shareholder value, and a damaged reputation for board. When done right, a successful CEO transition is a pivotal moment for the next evolutionary stage of the company, one that helps ensure business continuity and reflects the new leader’s direction.

Why RHR?
Our 97% client retention rate is in no small part due to the fact that we're flexible. Our specialty is leadership, but our expertise is much broader than just one specific industry. We have experience working with boards, CEOs, and companies of all sizes, sectors, and locations. Whether private or public, we know how organizations tick so that we can enter any business and still implement a successful transition.