CEOs are failing all throughout business, and you don’t have to take blog author Brian Lucas’ word on that: simply look at any news article concerning the dozens of CEOs that have been fired or stepped down from their postions and you’ll get a clear picture that the business environment is one that isn’t friendly for the Chief Executive Officer.
This isn’t a secret for CEOs, either. They are asking and receiving non-performance based pay and receiving bonuses that far outweigh what anyone else in the organization receives. Lucas takes a hard look in this article at the phenomenon of the failing CEO and what business can do to get better, more Agile-thinking people into their companies.
One suggestion that Lucas has is the use of Human Performance Management systems, which allow for deep analysis of what current resources bring to the table if re-assigned to the CEO role:
Analysis derived from these systems can provide great insight into a number of key factors associated with executive management leadership. One of the most crucial is whether or not executive management is actually aware of what is really going on in their organizations. Too often executive management surrounds itself with an insulating layer of middle management that is incorrectly incented resulting in self-protectionism which lies at variance with the enterprise vision. Knowing what is really going on in the organization is one of the key advantages of recruiting from within and arguably one of the most critical success factors in making a manager not personally successful, but enabling the success of the business unit that they control and contributing to the success of other organizational units they interface with and service. For more reasons to promote and more importantly to develop from within the organization read Fred Wackerle’s book, The Right CEO: Straight Talk About Making Tough CEO Selection Decisions and his article, Succession Planning”” Grow Your Own CEO.
Instead of depending on an outside resource to come in as a Chief Executive, the board of directors needs to proactively groom from their own ranks, creating the CEO that their company needs: someone who knows the company, knows the mission, and has the strategic, Agile thinking that is required to survive in our current business environment.