CEOs And Boards Are Locked In A Spiral Of Doom

Written by Brent Filson

PERMISSION TO REPUBLISH: This article may be republished in newsletters and on web sites provided attribution is provided torepparttar author, and it appears withrepparttar 119418 included copyright, resource box and live web site link. Email notice of intent to publish is appreciated but not required: mail to:

Word count: 700

Summary: The relationship between boards of director and CEOs are vital torepparttar 119419 well-being of any company. Many boards and CEOs misunderstand that relationship and so are locked into a "spiral of doom." The author describesrepparttar 119420 spiral and ways to stop it.

CEOs And Boards Are Locked In A Spiral Of Doom by Brent Filson

American CEOs are dropping like flies. Boards, armed with new federal rules and stock exchange requirements coming inrepparttar 119421 wake ofrepparttar 119422 corporate scandals ofrepparttar 119423 past few years, are getting rid of underperforming CEOs at record rates. This trend is allrepparttar 119424 more notable because it's happening during an improving economy and stock market.

However,repparttar 119425 real reasons forrepparttar 119426 CEO bloodbath are being overlooked. Analysts pinrepparttar 119427 bloodbath onrepparttar 119428 CEOs. But it's not justrepparttar 119429 CEOs who are failing. Boards are failing too. Working with thousands of leaders worldwide for more than twenty years, I've learned that there is a "spiral of doom" inrepparttar 119430 relationship between many company boards and their CEOs. Most boards are clueless as to what leadership skills are needed for CEOs to succeed. So they hire clueless CEOs. Clueless boards hiring clueless CEOs -- it'srepparttar 119431 classic spiral of doom.

The reason boards and CEOs misunderstand leadership is that recently there has been a tectonic shift in leadership skills CEOs need to succeed. Inrepparttar 119432 80s and 90s,repparttar 119433 autocratic CEO reigned supreme. Many companies were like slow-moving ocean liners with autocratic captains giving orders to mates and mates giving orders torepparttar 119434 crew. But todayrepparttar 119435 combination of globalization and new, differently-manageable generations coming intorepparttar 119436 workforce is creatingrepparttar 119437 need for new kinds of leadership. CEO leadership is no longer like piloting an ocean liner but like white water canoeing that calls for flattened organizations that can change rapidly and accurately, decentralized decision-making, motivated employees, and inspiring relationships.

The era ofrepparttar 119438 autocratic leader is over. Yet most boards know no other way of leadership but autocracy.

Managing Change - Get it Right

Written by Martin Haworth

Managing change in organisations is a challenging, process driven exercise, unless you have been courageous enough as an organisation, to be enlightened and multi-inclusive in decision making.

In any event, gettingrepparttar process right is a vital component. The credibility ofrepparttar 119417 change managers will be scrutinised closely enough onrepparttar 119418 issue itself, with all processes in place. If process is at fault too, then things can get very messy indeed.


Legalities of how you are dealing with people issues must be resolved first with a clear understanding of HR technicalities, which requiresrepparttar 119419 right level of expertise. Within this are elements of fairness, consistency and honesty. Although subsets ofrepparttar 119420 well-researched HR framework, they save a lot of time, energy and emotion if considered in advance and protocols carefully positioned.


Appropriate timescales in changing people issues will need to be carefully dealt with as part ofrepparttar 119421 HR overview, but it can be easy to slip. A good way to work is using a simple project management process forrepparttar 119422 whole event, working for as far back as week 12 to week +12 and setting this into a spreadsheet or a Gantt Chart.

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