(Episode 328; 10 minutes 29) Many businesses do not have a formal plan or process for who will replace the CEO. The result can be a long period where the top job is vacated, or a rushed process to make a new appointment.
A lot of companies simply assume the role will be passed on to the 2IC. Sue Forrester, the Queensland CEO of The CEO Institute says this approach isn’t always the best one. A very good 2IC doesn’t mean they will be a good CEO. She says a CEO requires strong leadership skills and companies should resist simply promoting someone to the top job just because they have been with an organisation for a significant period of time.
So how do you formulate a good succession plan and whose job is it? Should the current CEO be involved in the process?
Do you have advice on how to find a successor? Add comments in the Talkback section at the end of this post.
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