RHR International Advises Directors to Take the Lead in CEO Succession

Ownership, Timing and Preparation for Emergencies are Essential First Steps


CHICAGO, Nov. 5, 2012 (GLOBE NEWSWIRE) -- Current headlines constantly remind us of the cost of poor CEO succession planning. Chief executives are leaving abruptly at an increasing rate, surprising shareholders and analysts and leading to decreased market share and stock price. But the flip side, which receives much less attention, is that many companies do get it right. Organizations with boards that pay strict attention to the succession process enjoy a tremendous competitive advantage. Seamless transitions allow continuity of strategy and growth without the distractions and drama of a C-suite revolving door.

For RHR International's new book, "Inside CEO Succession: The Essential Guide to Leadership Transition," Drs. Thomas J. Saporito and Paul C. Winum analyzed both ends of the spectrum. Their findings, combined with decades of experience in the area, enabled them to develop 10 Key Dimensions that must be managed well to ensure that organizations reap the benefits of a thoughtful and carefully structured CEO succession program.

The new issue of RHR International's thought leadership publication, Executive Insight, provides an overview of the first three dimensions and offers suggestions on how board members can successfully navigate each of them:

  • Board Ownership, Involvement and Oversight
  • Succession Time Frames
  • Preparing for Emergencies

"Our research shows that successful companies are governed by boards that accept full responsibility for the CEO succession process," said Dr. Saporito, Chairman and CEO of RHR International. "Wise directors have learned that chief executive transition planning is not a one-time event, but rather requires continuous effort."

"Effective CEO succession planning also requires the ongoing collaboration between the board and incumbent CEO, commented Dr. Winum, Senior Partner and Global Practice Leader – CEO Succession. "We have found that the challenge in doing this well lies in dealing with the complex issues of ego, power, status, money and legacy inside and between the key stakeholders involved."

For additional details, download the complete issue, entitled "Inside CEO Succession: First Steps."

ABOUT RHR INTERNATIONAL

We are a firm of management psychologists and consultants who work closely with top management to accelerate individual, team and business performance. We focus on four key areas of client need — Individual Assessment, Executive Development, Senior Team Effectiveness and CEO Succession. We have been proven difference-makers for more than 65 years, unique in our combination of top management focus, psychologists' perspective and high-level business acumen.

RHR International has offices in Belgium, Brazil, Canada, China, France, Germany, Italy, Switzerland, United Kingdom and United States. The company is headquartered in Chicago, Ill. For more information, please visit www.rhrinternational.com or follow us on the RHR blog site, Twitter and Facebook.

The RHR International logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=11444



            

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