The Role of the Board in Turbulent Times... CEO Succession Planning

Management succession is one of the most critical strategic risks a corporation faces and a favorite topic of discussion on the role of the board in business crises. Similarly, leadership development is germane to the mitigation of uncertainties resulting from the sudden loss of talent and should take center stage in any board agenda. To ensure the effectiveness and objectivity of their role, corporate directors should consider assigning responsibility for the CEO succession plan and top-executive leadership development program to a standing committee under the board's independent chair or lead director. The process should become integral to business strategy, enabling the business enterprise to access the talent necessary to adapt, thrive, and grow, despite changing market conditions.