Searches becoming more complex under public eye
The Shortlist article, "Searches becoming more complex under public eye", quoted Russell Reynolds Associates Consultant Melissa Cameron on the growing pressure on organizations to put in place robust succession plans for the C-suite . The article is excerpted below.
Executive searches are becoming more complex in the wake of intensifying public scrutiny and a rise in sudden, high-profile senior departures, specialists say.
"Boards are now a lot more exposed as a result of the past 12–18 months, and they can't tolerate any sorts of misgivings they might have in the past. They need to act more quickly and are forced to be more decisive on key issues," says Watermark Search International managing partner David Evans.
Cases where troubled CEOs and other leaders have been pushed out rather than resigning have had flow-on effects into other areas of business, he adds.
"We're doing a lot more due diligence on the existing leadership team to see if they have the ability to step up...before an event happens."
More boards are requesting internal leadership reviews of CEOs and their direct reports, Evans says, and "they're really trying to bolster their ranks to say, 'if an event does happen, how do we ensure the business has a strong continuity plan?'".
Russell Reynolds Associates executive director Melissa Cameron says there is growing pressure not only to have robust succession plans for CEOs, but for all of the C-suite, especially the CFO.
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