Choosing a new or successor executive is one of the most important roles for a board of directors and is one of the most difficult. Leadership succession is about more than conducting an executive search and bringing a new executive onboard. It is an opportunity to plan for the organization's future without the pressure of a leadership crisis. It is wise to begin planning for your executive transition before you need it by establishing a leadership transition and succession plan. A good transition plan focuses both on who will serve as the next executive and the process for dealing with both planned and unplanned executive departures.

While we all wish for a smooth leadership succession, executive leadership changes are often unplanned and high-risk. Those risks may include a loss of organizational momentum, a decrease in overall morale, a loss of staff, a loss of trust, and a loss of goodwill among stakeholders. On the other hand, a good, well-communicated leadership succession plan will help insure a smooth transition to the next executive – whether the prior executive's departure was planned or unplanned. A good leadership transition and succession plan will be applauded by the board, staff, members, and other stakeholders. It is an opportunity to send a positive message about the organization and its leadership.

Leadership transition planning is a lot like estate planning. We don't enjoy planning for our own demise. Yet, it provides the organization with an "insurance policy" that clarifies what will happen and when for both the planned departure of the CEO, e.g., retirement, or an unexpected departure, e.g., a tragic accident, catastrophic illness, or involuntary termination.

TMC works with the board and current executive to develop a leadership transition and succession plan, which includes, in part, the following:

• Scenarios and succession options for planned and unplanned executive departures;
• Key executive competencies needed in an interim or successor candidate;
• Identifying potential internal candidates and plan for advancement;
• Interim executive management options;
• Executive search options;
• Communications plan for the public and key stakeholder; and
• Operational plan and roadmap required for the interim or successor executive.