Summary

Inevitably, an organization's chief executive will move on. For an organization that is unprepared for the departure, this can precipitate an organizational crisis. It can also place a considerable amount of strain on the board, especially if it has never had to deal with an executive transition before. Out of a desire to fill the position as quickly as possible, a nervous board will often skip essential steps in the transition process. This greatly increases the risk of hiring an unsuitable successor, and makes it more likely that the organization will lose its strategic focus. One way to minimize this risk is for the board to create an executive profile, which can be put together even before the chief executive announces his/her departure.

The Background

Let`s see how this might work in practice. Sue is the board chair of Education Unlimited, a nonprofit organization that provides mentoring opportunities to children of low-income residents in the DC area. Recently, she received a call from the organization`s executive director that she would be leaving in six months to assume another position.

The Solution

Without wasting any time, Sue decided to put together an executive profile. She convened a meeting of the executive committee and invited the executive director to discuss the following questions: 1. What are the key organizational issues that the organization is currently facing? 2. What are the most important leadership skills needed to guide this organization into the future? 3. What personal qualities and relationship skills should we look for in our next executive director? 4. What specific performance indicators will demonstrate that our next executive director is successful in his/her first year?

Lessons Learned

One of the greatest challenges in any executive transition is ensuring that the new executive is able to pursue the strategic direction set by the board. In some cases, the new executive may need to help the board establish a strategic direction if one is absent. An executive profile enables the outgoing executive to describe the central issues that the organization is facing, and identify the core competencies needed to address these issues. It is therefore an essential tool in ensuring that the next chief executive is successful.