The selection of a CEO is one of the most important- and risky-events in th
e life of any company. Yet the way CEOs are chosen remains little discussed
and little understood. The succession process has traditionally unfolded b
ehind closed doors - some observers have even likened it to the election of
a pope.
To shed light on what works and what doesn't in CEO succession, the authors
lead a roundtable discussion with five distinguished corporate directors:
Philip Caldwell, George D. Kennedy, G.G. Michelson, Henry Wendt, and Alfred
M. Zeien. Collectively, the five directors have participated in dozens of
successions, either as board members or as CEOs.
In a lively and frank exchange of views and experiences, the roundtable par
ticipants explore a broad range of questions: What can a company do to ensu
re a successful succession? How should management-development and successio
n processes be managed? How should the board work: with the sitting chief e
xecutive during the process? What makes for a strong CEO candidate? When sh
ould outside candidates be considered? How much competition should be encou
raged among potential CEO candidates? What role should executive search fir
ms play? What role should former CEOs play after they are succeeded? Their
conversation illuminates a corporate challenge that is as difficult as it i
s important.