Stephanie Hughes

Yo-Jed Chang is a professor of business administration at the University of Virginia.

She says when succession planning is done well, a board gets to know people at the company who could become their next leader.

She says when succession planning is done well, a board gets to know people at the company who could become their next leader.

So that could be having dinners with executives around board meetings.

So that could be having dinners with executives around board meetings.

It could be having individuals in the firm to come in to do presentations with the board.

It could be having individuals in the firm to come in to do presentations with the board.

You want to have someone who's ready to take on the role when it's time.

You want to have someone who's ready to take on the role when it's time.

But Chang says you don't want to anoint them too soon.

But Chang says you don't want to anoint them too soon.

If everyone in the firm sees like, okay, this is the next person, oftentimes talented people will leave.

If everyone in the firm sees like, okay, this is the next person, oftentimes talented people will leave.

And go try to be a CEO somewhere else.

And go try to be a CEO somewhere else.

Another potential stumbling block, when the current CEO gets a little too involved with the process.

Another potential stumbling block, when the current CEO gets a little too involved with the process.

Deb Rubin is a senior partner at the leadership consulting firm, RHR.

Deb Rubin is a senior partner at the leadership consulting firm, RHR.

It is hard for a CEO to be completely objective about the next phase and who should be there and what their own shadow has been in the organization.