Multimillionaire Matchmaker: An Inside Look at CEO Succession Planning

Abstract

This case takes an inside look at CEO succession planning at Energy Corp. The case provides an overview of various models of succession planning, including external search, COO appointment, a horse race, and the inside-outside model. The case then outlines the process by which Energy Corp chooses to identify a successor. Readers of the case are expected to evaluate Energy Corp’s effectiveness, and discuss the various risks of succession planning and how they can be mitigated. Learning objective: To evaluate CEO succession planning and identify transition risks from the standpoint of the board of directors.

Keywords: Corporate Governance, Board of Directors, Labor Markets, CEO, Succession Planning

JEL Classification: G30