Boards That Deliver: Advancing Corporate Governance From Compliance to Competitive Advantage

Chapter Nine

The Leadership Gene Pool

Companies that succeed over time are gold mines of leadership talent. Leaders at every level meet their commitments, learn in the job, and move on to new challenges and greater levels of responsibility. High performers are rewarded; those who can’t succeed make room for others. The whole organization is vibrant and performs at a high level, is adaptable to changing circumstances, and, when it comes time to choose a CEO’s successor, has several candidates from which to choose.

Few boards delve into the leadership gene pool below the seniormost level, despite its importance to a company’s performance and longevity. That’s a mistake. Organizational competence cannot be left to chance. Boards have a duty to ...