Leadership succession in private professional services firms is a high-stakes and complex process, especially as many stakeholders have limited experience of such situations and are unaware of best practice across the industry.
The reality is that most boards in private professional services firms do not have much experience in managing succession and getting this process wrong can be very painful, with potential fall-out lingering for many years.
In this guide we set out core principles for successful CEO succession planning in a professional services context and provide detailed recommendations on each. We use the term “CEO succession,” although the principles remain valid for whatever role or title your firm may use.
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Create clear governance
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Know what success looks like
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Design role profile based on context and strategy
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Allow time for candidate development
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Engage the partnership and key stakeholders
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Communicate effectively
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Assemble the best candidate slate
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Assess candidates rigorously
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Don’t rush decision making
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Make the most of year one
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Take care of unsuccessful candidates
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Capture the learning
Choosing their leaders, and managing a successful transition, can be pivotal moments in the evolution of a private professional services firm. At Spencer Stuart, in our work with clients we leverage consultants with deep expertise and experience in succession and in professional services. Please feel free to contact us to discuss any element of succession.
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