Company boards can no longer afford to delay CEO succession planning due to increasing executive turnover. The global trend shows shorter tenures, forcing a shift from cultivating a single heir apparent to nurturing a "strong bench" of internal candidates while also scouting externally. This proactive approach requires identifying potential leaders early, focusing on their development, and planning for multiple timeframes.

Global CEO turnover hit a record in 2025, with a significant increase in new CEO appointments in Q1. Boards are advised to define role requirements before seeking candidates and to continuously assess potential leaders against future challenges. This involves providing candidates with diverse experiences and responsibilities to round out their skills, while carefully managing internal dynamics to avoid rivalries.

Initiating open dialogue about a new CEO's tenure and objectives early on can de-escalate tension. Companies like JPMorgan are implementing this by testing potential successors, such as Doug Petno and Troy Rohrbaugh, for key roles. This proactive and ongoing process, focusing on both external and internal candidates' "outer game" (skills) and "inner game" (resilience), is crucial for navigating the increasing complexity of leadership.