CHAPTER 1: INTRODUCTION 1.0 Chapter Overview - DSpace@UM

Carey, Ogden, & Roland (2000), recommend the following 10 core principles to be usedto describe corporations that are serious about implementing and maintaining bestpractices in executive succession planning.1) They have strong, involved boards.2) They continually expose their top management team to the board.3) They encourage “next generation CEO’s” to gain exposure to outsideboard service, to the media and to the investment community.4) They form executive committees or operating committees to facilitate thedevelopment of several executives who are aware of the challenges,business plans, and strategies across the entire organization.5) They view succession planning as an ongoing and “real time” process.6) They take as much of the human drama out of the succession process aspossible.7) They link the CEO’s compensation to the development of successionplans.8) They pay their directors increasingly in stock and require the directors tomake a personal investment in the company.9) They periodically calibrate likely internal candidates for CEO againstcomparable outside leaders.10) They develop a “succession culture”32