Insights
Korn Ferry: CEO Replacements on the Rise
Citing recent high CEO turnover rates (including 669 CEO departures from January – July of 2017 and the average board replacement of CEOs up 8% the past three years from 2011), Korn Ferry discusses these departure rates and what’s behind them. In the energy industry, for example, cost-cutting procedures have caused boards to look for new leaders who have experience in refinery and cost-cutting experiences.
Several other sectors have also experienced high CEO departures, including industrials, automotive, commodities, retail, and healthcare. In healthcare, specifically, Korn Ferry states the disruption of new business models, technological transformation, and political uncertainty as aiding to the 69 CEOs of hospitals who have left their positions.