Mulally has been signaling for years that Ford veteran Fields would eventually succeed him. He has been steadily expanding Fields’ responsibilities loosening his own grip on the tiller after steering Ford to resounding success through the Great Recession and to a strong industry-leading position today.
There have been distractions—such as Mulally’s flirtation with the CEO spot at Microsoft. But the success process at Ford has reflected well on Mulally, Ford Chairman William C. Ford II, and the company’s dramatic turnaround—especially as the new CEO of crosstown rival General Motors, Mary Barra, struggles in her new role.
Keys to smooth CEO successions, according to a study by executive recruiter Korn/Ferry, include:
These are principles that Mulally and the board clearly applied at Ford.
For all the messy succession scenarios that have unfolded at big U.S. companies in the last couple of years—including the returns of A.G. Lafley to Procter & Gamble and Myron Ullman to JCPenney, and the bouncing of founder Andrew Mason at Groupon—Ford’s good fortune isn’t singular.
Alongside Ford’s announcement, Yum Brands announced that Greg Creed, head of Taco Bell, would succeed David Novak as CEO of the parent company. Like Ford’s Fields, Creed has a long-term history with the company and has risen through the ranks one promotion at a time.
Other smooth transitions took place at Kroger, Marriott International, AmerisourceBergen, Rubbermaid and MasterCard.
Looking ahead, billionaire Warren Buffett recently assured Berkshire Hathaway shareholders that the company’s board knows who his pick as the next CEO would be. While they don’t have the last word in the decision, CEOs that make their successor wishes clear to the board are more likely to have their choice heavily considered.
Additional reading:
Smooth CEO Successions: Lessons in Passing the Baton
From Mr. Miracle Mulally to polished protégé Fields: Ford’s changing of the guard
Kroger CEO Succession Seen as ‘Smooth’
Chief Executive Group exists to improve the performance of U.S. CEOs, senior executives and public-company directors, helping you grow your companies, build your communities and strengthen society. Learn more at chiefexecutivegroup.com.
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.
