Leadership and strategic succession : the how and why for boards and CEO's

Based on a review of the literature and several in-depth case studies, this book suggests a strategy-as-practice framework for succession and explores leadership logic, trust and followership. This book takes the reader through the key stages and disciplines required for effective top-level succession. Corporations, growing entrepreneurial companies and family owners all must manage strong group dynamics and individual needs in a succession transition. This book includes a wide range of global client cases, including public sector organizations, corporations, entrepreneurial firms and family owners. Based on rigorous research and written in an accessible style with a focus on practical needs, readers will also be able to combine this analysis within disciplines of governance, leadership, strategy and organizational development. This book will be of interest to students at an advanced level, academics and reflective practitioners as well as executives at the top levels of businesses. Based on a review of the literature and several in-depth case studies, this book suggests a strategy-as-practice framework for succession and explores leadership logic, trust and followership. This book takes the reader through the key stages and discipl Cover 1 Half Title 2 Title Page 4 Copyright Page 5 Dedication 6 Table of contents 8 Illustrations 11 Boxes 12 About Gry Osnes 13 Acknowledgements 14 Foreword by Dr Jules Goddard 16 1 Introduction 20 1.1 Strategizing Complexity 21 From Best Practice to Complexity 21 Succession Wheel Model 21 Constructive and Destructive Group Dynamics 22 Ownership Evolution 23 Educative and Evocative Cases 24 1.2 Succession as Stress Test 24 Succession is an Emotional Process 25 Successions are Highly Consequential 26 Successions Represent Strategy Formation at Several Levels 26 Succession is about Trust and Trust is Elusive 27 1.3 Practical Guidance: Steering through Complex Terrain and Shaping Leadership 27 1.4 Research Underpinning the Book 28 Action Research 28 In-depth Multi-case Studies 28 Interview Research on the Role of Chair of the Board 29 1.5 Organization of the Book 29 Part I: Exit of a CEO and Strategic Successions 30 Part II: Entry of a CEO and Followership 31 Reference 32 Part I Exit of a CEO and Strategic Succession 34 2 Successions as Crossroads 36 2.1 Ottolenghi and New Entrepreneurship 40 2.2 New Practices in Family Leadership: Shipping 43 2.3 Corporate Dilemma in General Electric 45 2.4 A Transitional Approach 47 Practice Summary 48 References 49 3 Strategic Successions 50 3.1 Preparation and the CEO Exit as the Triumph 52 3.2 Board Strategy Practices 55 3.3 The Succession Strategy Wheel 58 3.4 Lame Duck Periods 62 Practice summary 63 Leadership in Succession Process 63 Strategy Formulation in Successions 64 References 64 4 The Force of Group Dynamics 66 4.1 Succession as Constructive Group Dynamic 67 4.2 Groupthink 68 4.3 Scapegoating 72 4.4 Elite Preservation 73 4.5 Idealization and Marginalization of Leadership 76 4.6 Acknowledgement and Participation 78 Practice summary 80 Diagnosis of Group Dynamics 80 Prevention 80 References 81 5 Managing Feelings and Emotions 82 5.1 Pimco: Failure in Care 83 5.2 Accepting Grief and Mourning 85 5.3 Hope 87 5.4 Rivalry at the Top 88 5.5 Vulnerability behind Narcissism 89 5.6 Avoidance of Conflict 90 Practice Summary 93 Duty of Care 93 Diagnosis: Loss, Mourning and Sadness 94 Hope 94 Narcissism and Hubris 95 References 95 6 Logic on Leadership: How Successions Create Leadership 96 6.1 Legitimate Leadership and NBIM 98 Shifting Leadership Logic 100 6.2 The Vatican 101 6.3 Tribe Successions 102 6.4 Logics on Leadership in Mossad 103 6.5 Gender Bias 104 Practice Summary 108 Cultural Understanding 108 Understanding Legitimacy 109 References 109 Part II Entry of a CEO and Followership 112 7 Agent of Evolution or Transformation? 114 Disruptive Successions 115 7.1 HSBC and the First Outsider CEO 116 7.2 Inside or Outside Recruitment 118 7.3 Internal Talent Pool 119 7.4 Mandate and CEO Entry 122 7.5 Entry onto the Stage of Symbolic Leadership 123 Practice Summary 125 References 126 8 The Handover and CEO Entry 127 8.1 Hostile CEO Welcome 130 8.2 Sequencing Transitions 134 8.3 Delicate Dance and Followership 136 8.4 Incumbent–Successor Dynamics 137 8.5 Organizational Identity Shadows 138 Practice Summary 140 References 141 9 Succession or Incubation? 142 9.1 Ownership Evolution 143 Social Change and Ownership 144 Family Owners Evolving 146 9.2 Monolithic and Distributed Leadership 147 9.3 FOTILE: Family Incubation in China 149 Co-entrepreneurs, Distributed Leadership and Incubation 149 Social Context and Second Generation Motivation 150 Creative Tension and Succession 150 9.4 Values and Emotional Ties as Leadership Logic 152 9.5 Family Offices 153 Practice Summary 154 References 155 10 Authority and Power 157 10.1 Executive Discretion 159 10.2 Authority and Power 160 10.3 Role Duality and Non-duality 163 10.4 Alibaba: Succeeding Jack Ma 165 10.5 Emerging Governance Systems 166 Practice Summary 168 References 170 11 The Board: Trust and Followership 171 11.1 Trust 172 Organizational Trust 173 11.2 Strategy Integration 174 11.3 Clean Energy: Collapse of Trust 176 11.4 The Care of the Board and Independence 178 The Independence Issue 179 11.5 Followership 181 Practice Summary 182 References 182 12 The Social and Psychodynamic in Successions 183 12.1 The How and Why Questions 184 The How Question in Succession 184 The Why behind the How 185 12.2 Always Switched On: Feelings and Emotions 186 12.3 Lust in the Workplace 189 12.4 Volumnia and Kingmakers at Work 194 12.5 The CEO Work Hazards: Narcissism and Hubris 197 Practice Summary 200 References 201 Index 202 "Based on a review of the literature and several in-depth case studies, this book suggests a strategy-as-practice framework for succession and explores leadership logic, trust, and followership. This book takes the reader through the key stages and disciplines regquired for effective top-level succession. Corporations, growing entrepreneurial companies and family owners all must manage strong group dynamics and individual needs in a succession transition. This book includes a wide range of global client cases, including public sector organizations, corporations, entrepreneurial firms and family owners. Based on rigorous research and written in an accessible style with a focus on practical needs, readers will also be able to combine this analysis within disciplines of governance, leadership, strategy and organizational development. This book will be of interest both to students at an advanced level, academics and reflective practitioners as well as the top levels of businesses"-- Provided by publisher One of the central purposes of a board is to effect a successful change of leadership; this book explains the complex organizational, psychological and interpersonal dynamics involved, distilling key disciplines required in a rigorous yet accessible practical handbook