Daring to Depart: Executive Succession Planning Strategies

1
Daring to Depart Executive Succession Planning
Strategies

• PNAIS Institutional Leadership Conference
• October 26, 2008
• Nancy R. Axelrod
• Governance Consultant
• Founding President, BoardSource

2
Goals of the Session

• Review results of latest research on executive
  transitions/succession planning challenges
  opportunities.
  
• Review practical steps that the Head and the
  Board can take for successful succession planning.

3
Chief executive leadership transitions are

• Investments in the future
• Not always expected
• Often neglected, poorly planned, and/or executed
• Not amenable to one size fits all approaches
• Dependent on collaborative planning by the board
  and head

4
Succession Planning Vs. Executive Search

• SP ? executive search or grooming an heir.
• SP is an ongoing process rather than an
  intermittent event.
  
• SP begins at the time that the new Head is
  selected.
  
• SP is not a linear process.

5
Daring to Lead 2006 Highlights of a National
Study of Executive Leadership

• Executives plan to leave their jobs but not the
  nonprofit sector within five years.
  
• Boards of directors contribute to executive
  burnout.
  
• Concerned with organizational sustainability,
  executives seek new skills and strategies.
  
• Bench strength, diversity, and competitive
  compensation are critical factors in finding
  future leaders.
  

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Why is executive succession planning neglected?

• 1.
• 2.
• 3.
• 4.
• 5.
• 6.

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Succession Planning Readiness Assessment
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Succession Planning Tools

• What can I do as Head to ensure that our school
  has an effective succession plan?
  

9
Key Succession Planning Steps for the Head

• Take responsibility for the board.
• Build a leaderful organization.
• Grow organizational infrastructure/capacity.
• Ask for help.

10

• Live in the question Am I still the right
  person for this job?
  
• Engage in career planning.
• Help the board develop an emergency leadership
  transition plan.

11
Succession Planning Tools

• What can the Board do to ensure that our school
  has an effective succession plan?
  

12
Key Succession Planning Steps for the Board

• Take responsibility for the board.
• Create climate for executive leadership
  support/Actively monitor Heads job
  satisfaction.
  
• Insist on adequate salary and benefits for the
  Head.
  
• Conduct board, Head, institutional
  assessments.
  
• Develop ELT plan.
• Discuss succession planning.

13
Dimensions of the ELT Plan

• Communication and notification
• Financial oversight
• Legal counsel
• Acting/Interim management
• Executive search

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What steps will we take to ensure adequate
succession planning?
15
Helpful resources on chief executive succession
planning

• Chief Executive Succession Planning The Boards
  Role in Securing Your Organizations Future, by
  Nancy R. Axelrod. Published by BoardSource
  www.boardsource.org
• Board Newsletter www.boardcafe.org

16
While chief executive departures are often
unexpected, executive leadership transitions are
inevitable.Source Chief Executive Succession
Planning The Boards Role in Securing Your
Organizations Future, by Nancy R. Axelrod
BoardSource 2002.