Why We Should Pay More Attention to Departing CEOs

HBR IdeaCast

Harvard Business Review

Leadership, Entrepreneurship, Communication, Marketing, Business, Business/management, Management, Business/marketing, Business/entrepreneurship, Innovation, Hbr, Strategy, Economics, Finance, Teams, Harvard

4.4 • 1.9K Ratings

🗓️ 9 July 2024

⏱️ 30 minutes

🔗️ Recording | iTunes | RSS

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Summary

When news breaks of a CEO succession, much of the attention is given to the new leader and how they will change the company. But new research shows that the leave-taking process of the outgoing chief executive is often mishandled, with negative impacts on succession and the organization. Rebecca Slan Jerusalim, an executive director at Russell Reynolds Associates, and Navio Kwok, a leadership advisor at RRA, say that boards are often surprised when a CEO gives notice, and they often make that person feel excluded during the handoff process. The researchers share stories from the front lines about CEO psychology, best practices for outgoing leaders and their boards, and broader lessons for effective transitions. Jerusalim and Kwok wrote the HBR article "The Vital Role of the Outgoing CEO."

Transcript

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0:00.0	Got 30 minutes?
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0:12.6	Subscribe wherever you get your podcasts. Welcome to the HBR IDEA cast from Harvard Business Review. I'm Kurt Nickett.
0:33.0	When there's a changing of the guard at an organization.
0:42.7	It can be very out with the old, in with the new.
0:46.2	The longtime CEO leaving makes headlines at first, but then the focus shifts quickly to the
0:51.9	new leader.
0:53.0	Will they be able to keep the business growing or turn things around?
0:57.5	Our guests today say that the success of that new chief executive
1:01.9	depends a lot on what the old one does.
1:05.0	When the outgoing CEO takes a positive role in the process, the handoff can go swimmingly,
1:11.0	but if they feel excluded or vacillate with doubt and regret, the
1:15.8	transition can be turbulent.
1:19.0	Organizational psychologists, Rebecca Salan Jerusalem and Navio Quack have interviewed outgoing CEOs to study their best practices.
1:27.0	Jerusalem is an executive director at the Executive Search and Leadership Advisory firm Russell
1:32.0	Reynolds Associates,
1:33.5	Quok is a leadership advisor there.
1:36.0	Together they wrote the HBR article,
1:38.6	The Vital Role of the outgoing CEO.
1:41.8	Rebecca and Navio, welcome.
	...

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