The CEO churn rate is approaching record levels in big business around the world. Research covering 1,800-plus firms listed on leading stock markets by executive headhunter Russell Reynolds has found that 106 chief executives left their roles in H1 2023. In the past couple of weeks alone, FTSE stalwarts BT, NatWest and Capita have announced the departures of their CEOs for varying reasons.
But corporate boards are decidedly uncreative when it comes to finding replacements. Raconteur’s own analysis of the FTSE 100 in May found that 70 of its constituents had appointed their then CEO from within. And it is likely that very few boards, if any, had a chief executive of a not-for-profit organisation on their shortlist.
Stephen Crookbain is senior client partner across the government, public sector and not-for-profit sectors at recruitment firm Korn Ferry. The non-profit space, he observes, doesn't tend to feature in business recruitment. “When corporate clients come to us, they don't look at not-for-profit business leaders,” he says. “That isn't to say that is always the case but my experience of it is zero.”