Four characteristics for new CEOs to quickly relish or potentially perish
The announcement of a new CEO is an exciting time. Exciting for them personally as this is usually a culmination of many years effort, exciting for their family who have supported them along the way, exciting for the Board who have endorsed this individual and hopefully, exciting for the organisation who look forward to the upcoming ‘reign’ of the new leader. I imagine they are hoping for less of the Games of Thrones type of reign and more of the Tim Cook or David Thodey style!
The infamous book title of “What got you here won’t get you there” applies to new CEOs now more than ever. When the Fortune 500 was launched in 1955, according to a 2013 BCG report, CEOs had 4-7 KPIs to achieve each year. Today the same CEO will have 25-40 KPIs. Employee engagement scores in the 1990s, according to sources such as Gallup, were in the 60th percentile. Today they measure in the 40th percentile and in many countries, are dropping. This creates the challenge of harnessing the energy of an increasingly disengaged workforce.