Succession Planning and Life….
At any company, public or private, a “Succession Plan” is often in draft form at the accountants. Is that enough?
At Fiat/Chrysler, there were even 3 in house candidates for the CEO position when Serge Marchionne was planning on leaving in 2019. However he has suffered a health emergency and while at the hospital, he announced that he would not be returning.
And one of the 3 candidates was the COO but as he was not offered the CEO position he too gave his notice. Now 2 senior head office slots must be filled within the next 30 days.
On top of this, Serge Marchionne, is a baby boomer. For the past 14 years, he worked almost 7 days a week. His vision and drive created a company worth 10 times its’ previous value. He saw the merger with Chrysler occur in 2008 during the 2008 financial crash.
Who shows that kind of devotion and energy today? Do you see your successor in the office now? What are your plans?
As we saw during the merger of Lafarge/Holcim, where the parent company is being charged with war crimes and supporting a terrorist organization, accountants do not always see the subtle needs of a corporation.