Transforming organisations

The new CEO

When you know you need a new CEO for whatever reason, there are three main options:
1) Try a senior manager already on the payroll, as CEO designate for a trial period conditional upon him / her receiving structured mentoring and support from an external executive coach.

The advantage here is that you already know the person, it is the lowest short term cost option but the risk is that they may simply not make the grade. This will delay the process.

2) Use a recruitment agency to source and shortlist a selection of new candidates for a ‘business as usual’ post.

This is usually an exercise in trying to find someone with the skills, knowledge and / or attitude that people internally are not perceived to possess. This person would work within existing parameters but the brief would be to make incremental improvements to the business without access to any substantial capital investment. The risk is that the business may require more radical surgery if it is to develop and sustain competitive advantage in the market place.

3) Head hunt someone that has had extensive executive experience in successful related businesses. This person would have a track record in innovative capital project development.

This option is looking at the big picture. There is an acknowledgement that there is a need for an overhaul, maybe involving substantial capital investment to avoid slow or even terminal decline. The risk is that you have to get the right person who has the appropriate range of high quality skills and knowledge.

As usual everything depends upon the Bull’s Eye.

posted by Tim @ 11:25 PM