Transitions at the Top. Ciampa Dan

sitions at the Top

Praise for Transitions at the Top

      “Without a doubt, corporations have raised their game on the use of various techniques to improve the likelihood that externally hired talent will succeed in their most business-critical roles. What many companies haven't done, however, is to spend the same amount of time on building a set of transition practices to further increase the probability these executives will thrive and prosper in their new roles and in their new companies. The cost of a failed transition is monumental, and comes in the form of missed market opportunities, a loss of business momentum, reputational damage, and potential damage to the credibility of the CEO and/or the company's board of directors. Fortunately, Dan Ciampa and David Dotlich outline a practical, compelling playbook that if properly executed, will substantially increase the chance of success in senior leadership transitions. A timely and important book on a very important subject.”

L. Kevin CoxChief Human Resources OfficerAmerican Express CompanyDirector – Kraft Foods GroupDirector – Corporate Executive Board

      “Senior transitions are seminal events but are often botched, at great cost to the company and its shareholders. Too often succession decisions are made by a board, with those crucial first months then left entirely to the new manager to navigate. This book takes a different vantage point and illuminates the critical role of the company, its board, and senior managers in making sure those vital successions work. Written in a straightforward, practical manner, a must read for all involved.”

Ken LeiblerCEO Liberty Financial Companies and former President American Stock ExchangeDirector – Northeast UtilitiesTrustee – Putnam Investments Funds

      “Transitions at the Top is a welcome, long-overdue addition to our thinking about leadership and transitions. Far too little attention has been paid to the dynamics and consequences of CEO succession, especially to the critical role the organization plays in driving success or failure. As Ciampa and Dotlich clearly demonstrate, the costs of botched succession processes are very high. And what it takes to make them work is not rocket science, nor is it overly costly or burdensome. It just takes discipline, clarity about roles, and unswerving commitment to the right principles and processes. Follow their advice and the result will be world-class succession planning and implementation. This is a book that every CEO, Board member and senior HR executive should read.”

Michael WatkinsAuthor “First 90 Days”Co-Founder Genesis Advisors

      Transitions at the Top

      What Organizations Must Do to Make Sure New Leaders Succeed

      Dan Ciampa and David L. Dotlich

      Cover Image: ©iStock.com / -1001-

      Cover Design: Michael J. Freeland

      This book is printed on acid-free paper.

      Copyright © 2015 by Dan Ciampa and David L. Dotlich. All rights reserved

      Published by John Wiley & Sons, Inc., Hoboken, New Jersey

      Published simultaneously in Canada

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       Library of Congress Cataloging-in-Publication Data is on file.

      ISBN 9781118975084 (Hardcover)

      ISBN 9781118975114 (ePDF)

      ISBN 9781118975091 (ePub)

      To Bruce Henderson, Chris Argyris, and Dick Beckhard. Friends who, over the years, took the time to react, challenge, and guide through my various transitions.

Dan Ciampa

      Preface

      It's never smooth or easy to transfer power from one leader to a successor. The incumbent may not be ready to leave because he believes there's more to do, but his board of directors insists. Or the board may not have the experience or patience to fulfill its accountability of ensuring leadership continuity. Or the search process may not be coordinated effectively by the human resources department, which may also fail to devise a useful, efficient onboarding program for the new leader. Or the organization may not be prepared for the changes that a leadership handoff brings, including the senior managers who may resist the new leader because one of them expected to be promoted or because a leadership change will threaten their power. For the new leader hired from the outside, especially one taking the chief executive officer (CEO) title for the first time, these gaps in thinking and execution by the company she is joining can cause her to fail. And the challenges become even more difficult to overcome when the leadership transition coincides with a change in strategic direction. In fact, changes in leadership are often made to seek changes in company strategy.

      Before deciding to write this book, we asked ourselves whether the topic of transitions at the top deserved the effort that would have to go into it and whether another book on leadership was needed. We believe that most books do nothing more than repeat what has already been said and offer nothing novel to the question they pretend to answer. Indeed, most books should be articles. In the final analysis, our readers will be the judges of whether it adds something worthwhile. But, it is important to explain why we believe this book is needed.

      We decided to write it (and to write a book rather than an article) because leadership transitions are complex, seminal events that herald a new era in the life of a company, and too many of them fail. As we'll show, when they fail, the costs are enormous – financially in lost revenue, strategically in misguided direction, operationally in loss of stability and predictability, culturally in damage to relationships and coalitions, and perhaps most tragic, personally in derailed careers. Transitions are big deals, and when they go wrong it is a setback for everyone involved.

      Some failures happen because the new leader offered the top job was not ready for it yet and didn't have the help needed to overcome his shortcomings. But, we believe at least as often,