“As companies face tremendous pressure from shareholders, activists investors, new competitors and digital disruption, it is essential to get succession right — and one aspect is planning and ensuring that you have a robust plan in place that looks at internal and external candidates and covers multiple scenarios,” said George Davis, global CEO practice leader for Egon Zehnder. Leaders surveyed by Egon Zehnder agree that the defining characteristic of good succession planning is that it is “always switched on” – and includes six best practices:
1. Clear role specification for the CEO
2. Regular assessment of the CEO
3. Active development of internal bench strength
4. External scans of potential CEO candidates from the market
5. A robust CEO integration process
6. Emergency planning to cater for a sudden, unexpected CEO departure
Full story: Scott A. Scanlon: How Predicting CEO Success Can Impact the Corporate Bottom Line in Hunt Scanlon Media (23 May 2016).