{"id":2174,"date":"2024-01-26T19:08:51","date_gmt":"2024-01-27T00:08:51","guid":{"rendered":"https:\/\/ampleader.com\/?p=2174"},"modified":"2024-01-29T10:32:49","modified_gmt":"2024-01-29T15:32:49","slug":"laying-the-foundation-for-succession-amidst-growth","status":"publish","type":"post","link":"https:\/\/ampleader.com\/laying-the-foundation-for-succession-amidst-growth\/","title":{"rendered":"Laying the foundation for succession amidst growth"},"content":{"rendered":"

Half a century of founding family leadership leaves sizeable CEO shoes to fill.<\/span><\/b><\/p>\n

As one of the largest independent infrastructure contractors prepared for a long-tenured CEO to retire, supporting internal succession was top of mind for the PE sponsor. Ampersand was engaged to help our client gain a clear understanding of the strengths and weaknesses of the management team in order to best support growth over the hold period. They wanted to pressure-test whether the CEO successor apparent was truly the leader for the future, and then ensure the right scaffolding was built to make a smooth handoff.<\/p>\n

CONFRONTING THE CHALLENGE: WHAT WE KNEW<\/span><\/b><\/p>\n

With multiple acquisitions and contractual wins, the business had recently doubled in size and complexity, and after an impressive 50 years of family ownership and with decades in role, the CEO planned to transition to the board. With a significant influx of government contracts, a growing national footprint, and an impending shift in leadership, gaining a thorough understanding of current state was imperative for the investors to set the foundation for stable leadership and a successful exit. More importantly, they needed clarity on how future organizational structure would be influenced in a world without the charismatic, highly respected, and industry leading CEO.\u00a0<\/span><\/p>\n

AMPERSAND\u2019S APPROACH<\/span><\/b><\/p>\n

Organizational Diligence<\/b> as a first step provided a temperature check on current organizational structure, dynamics, capabilities, and culture. Ampersand\u2019s approach integrated 1:1 interviews and light-touch 360 to identify the strengths of the organization and the functional gaps to fill. The most pressing questions to answer included: \u201cIs the CEO heir apparent a ready-now successor? Does he have the team around him to augment him? What does this team need to support the leadership transition and steady growth ahead?\u201d<\/p>\n

With answers in hand, Feedback <\/b>was provided to each participant and customized Team Alignment <\/b>sessions facilitated constructive dialogue and action planning to support a successful transition.<\/p>\n

Executive Coaching<\/b> for the CEO successor leveraged the findings gathered from organizational work to create a focused action plan to shore up skill gaps, refine leadership skills, confront opportunity areas candidly and supportively, and accomplish specific development goals.<\/p>\n

DISCOVERY AND FINDINGS<\/span><\/b><\/p>\n

The long-tenured CEO had been instrumental to the company\u2019s success to date and seen as the true heart and soul of the business. Deep industry connections, off-the-charts charisma, and historic relevance to the organizational culture created an exceptionally tough act to follow. And the long shadow he cast also masked an autocratic and disempowering leadership style.<\/p>\n

While the current President was highly respected and seen by all as the CEO heir apparent, there were doubts as to whether he was truly a ready-now candidate. Ampersand\u2019s process revealed blind spots and gaps in the President\u2019s ability to assess talent; hold others accountable for performance; accept constructive feedback; and establish meaningful relationships at all levels within the business.<\/p>\n

Further complicating the succession plan was an underpowered leadership team that was struggling to scale (and viewed the CEO as the backstop on decision making throughout the business). A well-defined strategy for the business and the brand, clearer accountabilities, greater alignment for the team, and more discipline in operating the business were necessary to build the scaffolding for growth.<\/p>\n

OUTCOMES AND CONTRIBUTIONS<\/span><\/b><\/p>\n