Ten Key Practices
- Have a strong, involved board
- Continually expose top management to the board
- Encourage the next generation of CEO prospects to get early experience with outside boards, the media and financial community
- Create an active executive or operating committee so more executives get exposure to an overview of the company, its strategy and issues
- Do succession planning on an on-going, real-time basis
- Take as much human drama out of the process as possible (keep in mind how hard it is on number twos)
- Tie some of the CEO's compensation to succession planning and progress
- Pay directors in stock and ask them to make additional investments in the company's shares
- Calibrate the internal candidates with external ones
- Develop a culture that encourages succession (a la Built to Last)