The document discusses challenges new CEOs face and how HR leaders can help support them. It notes that CEOs often feel unprepared for the demands of the role, which is different than expected. The role is lonely and requires navigating conflicting demands from various stakeholders. HR can help new CEOs prepare by understanding the unique challenges of the position and ensuring succession plans fully develop candidates so there is not a large gap between expectations and realities of the CEO role. Proper preparation, such as working with potential replacements, can help CEOs develop skills to lead through change and uncertainty.

1. RIPPLE
INTELLIGENCE
DEVELOP YOUR
As an HR leader, how can you help a new CEO cope with the demands of the
role and become a success? Dave Tullett, of Heidrick & Struggles, explains.
association with Saïd Business School,
has produced a wealth of insight into
how the CEO fits into their role. We
interviewed more than 150 CEOs,
with an average tenure of six-and-a-
half years, and combined revenues
of $1.658 billion. The candour of this
group of people revealed their doubts
and surprise at the unique demands of
the role. In most cases, it was widely
different from their expectations.
And it is here that senior HR leaders
can be instrumental in supporting
them to ensure business is propelled
forward (our research showed that
business performance dropped back
in these early transitional months after
a new CEO arrives).
LONELY AT THE TOP
For the HR professional, it’s about
understanding the unique position
of the CEO in a changing world.
While we all appreciate a good CEO
is well remunerated, it’s a lonely role.
Today’s CEO sits at the intersection
of two complex worlds. The old days
of ‘command and control’ leadership
appear to be dying: and now, the
tuned-in CEO must keep pace
with the expectations of a variety of
often-conflicting stakeholders, both
inside and outside their organisation.
In our research, CEOs told us they
were unprepared for this noise from
so many sides. So the chances are your
next CEO appointment will feel the
same, and is underprepared for the
task. HR directors should look at their
executive succession process and the
full development of candidates. There
is a chasm between expectation and
reality and it is vital the succession
team understands what a future
CEO looks like.
And this is an internal matter too.
While the business news headlines
always look at the arrival of external
CEOs with turnaround management
programmes in large corporates,
in reality the majority of CEOs
are groomed from their existing
businesses. National stereotypes
persist too, with leaders in the UK
coming from a finance background,
in Germany from an engineering
background, and in France from
the civil service école system.
Every CEO’s position is a unique
role, like a political leader, a prime
minister, or a sports team coach. They
are never fully formed until they have
been through the fire of office. The
best way to learn is to be a CEO.
However, our research shows
preparation is vital to enhance
their abilities, cushion the hard
landing into the CEO’s seat, and ensure
they arrive with the right mindset.
For example, the CEO is suddenly
visible to a new range of stakeholders,
all with views, all pulling at their coat
sleeve. In their previous role, they
might articulate their thoughts inside
the safety of the organisation. Now all
pronouncements are in a public arena.
NAVIGATING CHANGE
When we interviewed the CEOs, they
talked about the speed of change. Yet
it was more than just the pace, it was
the need to understand the scope and
significance of each challenge.
Just because a matter is pressing
does not mean it has maximum
significance for the business. The
CEO has to learn when to deal
with decision-making and when to
delegate. The CEO is also expected to
be more human: some interviewees
even talked of the ‘chief emotional
officer’, adding ‘the best leaders are
human first and foremost’. To create
trust the CEO must learn how to
communicate, listen, make multiple
decisions and manage time.
We call this ‘ripple intelligence’. The
analogy we use is visualising stones
thrown into a pond and watching the
ripples. The CEO must keep his eye
on them, using this as an early
warning alarm system. While the
CEO still needs to ‘own the chair’, they
must do so while showing a sensitivity
about what’s going on. This was about
‘collaborative command’ rather than
old-style ‘follow the leader over the
top of the trenches, no matter what’.
HR leaders must operate effectively
in this changing environment. It’s fine
for the CEO to doubt their decision-
making. Yet decisions must be made.
We see CEOs as three-dimensional
thinkers who understand change is
the oxygen of growth and creativity.
CEOs will need to keep learning
on the job. Talent development and
succession planning are critical.
And it might mean the current
incumbent starts working with
future replacements, to develop
emotional intelligence, influence and
communication skills. This was once
dubbed softer management skills,
but now they must be seen as core
to sustainable business success.
“The best leaders are human
first and foremost”
Dave is
vice-president of
Heidrick & Struggles’
London office.
www.heidrick.com
DAVE TULLETT,
DIRECTOR,
LEADERSHIP
INNOVATION
CENTRE, HEIDRICK
& STRUGGLES
P
icture this: six months into her
job, the CEO finds a fleeting
moment to savour. In the
morning, she announces record
company results to stakeholders and
a generous profit share to delighted
colleagues. In the afternoon she
calls in the HR director and thanks
him for a level of executive support
and preparation that has made her
elevation to the top job an
early success.
“Thank you for helping me to
prepare for my initiation as CEO
of this business and for helping me
to make the leap from a CEO-in-
waiting to the headline act,” she says.
Sound familiar? If this is the kind of
appreciation that happens inside your
business: congratulations. You are way
ahead of the pack. Unfortunately, our
research suggests that when the CEO
takes up the hot seat, there is a high
level of personal doubt about what the
role entails. It can take CEOs some
time to get into their stride. In the
past, it was a matter of sink or swim;
that is no longer a sensible option for
succession planning.
Our research, The CEO Report:
Embracing the Paradoxes of Leadership
and the Power of Doubt, conducted in
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42 November – January 2016