Capturing the Power of Leadership Change

A 1997 study analyzed a five-year capacity building and transition initiative of some 200 organizations and found increased executive tenure (from 4.3 to 5.7 years), “healthy” rankings (from 67% to 89%), and direct investment in communities served (from $146.7 million to $418.9 million).

In three surveys, between 62% and 78% of executives indicated they will likely their positions within five years, and only 20% wished to return to a leadership position elsewhere.

Nearly 70% of transitions are “non-routine” and occur due to an organizational crisis or the departure of a founder or visionary leader, followed by extended periods of under-performance.

Nonprofits struggle on average for four to eight months to select a new executive, and sometimes longer, depending the role to be filled.

The costs of transition include money for executive search and hiring, missed opportunities for program growth, and – in the worst cases – a loss of services due to program closure.

There is a severe shortage of firms who provide executive transition management services and planning.