Change is a part of business growth. Seamless, successful leadership transitions should move companies forward rather than cause hiccups. Organizations that experience steady growth have a plan and set of steps to keep operating no matter who’s in charge. 

Some things that help when a new manager comes in are common sense. Others may require a bit of thought and planning. Here are the top things you can do to pave the way for a new executive and prepare new management and employees for any coming changes. 

1. Know You Aren’t Alone

Experts predict higher CEO turnover in 2024. Reasons include the complexity of the job and rapidly advancing technology. Many companies are facing high leadership turnover.

You can learn from others and how they handle ongoing transitions. Form alliances with business owners in your area. Attend local chamber of commerce meetings, find a mentor, and talk to leaders about how they handle change and what works best.

2. Understand Why Leaders Fail

Successful leadership transitions start with understanding what makes an executive stay and why leaders fail in the first place.

Some of the reasons frequently cited include failing to set realistic goals as a new executive, needing to listen more, not taking action or the inability to show their teams their vision. 

Once you understand why leaders fail, you can better address management’s needs and ensure they’re prepared to take on a new role within the company you’ve built. Each culture is unique. They must understand how things have always been done so they can steer the business without flipping the organizational boat over. 

3. Onboard Executives

Successful changes start by onboarding new leaders. You likely spend at least several weeks teaching new workers about the ins and outs of the company and familiarizing them with policies. Give new management the same benefit. 

Start by introducing new executives to the teams they’ll work with. Company connection establishes a positive relationship early on. An excellent onboard process familiarizes CEOs with expectations. Explain which meetings they must attend, what paperwork gets completed when and areas for their own discernment. 

Leaders will enter the role feeling more comfortable and able to meet the expectations and needs of their staff. 

4. Develop a Strong Support Team

Employees and even other leaders may resist change from a new CEO. Successful leadership transitions start with a strong support team to rally around the new executive. 

Run workshops and keep the lines of communication open to see if someone feels overlooked or uncertain about the new manager. For example, another executive may feel they should have gotten a promotion instead of hiring from outside the company. Addressing those concerns ahead of time may prevent snafus when the CEO arrives.

Seek to promote people who are team players. If they only care about getting ahead at all costs, they may not be right for a leadership role in your company. You should strive for a culture that rewards those who play a supporting role and praise those who come alongside others and lift them up. 

5. Shore up Security

Ensure your systems are secure. The last thing you want is for a new CEO to come into the company dealing with a major data breach. 

Cyberattacks are on the rise. Artificial intelligence (AI) encourages new and frightening ways for hackers to get their hands on company data. At the same time, there is a shortfall of around 3.4 million cybersecurity workers. 

Ensure your systems are safe by hiring a third-party cybersecurity team to test them. They can utilize AI to see if there are any undetected vulnerabilities. Update antivirus software and have IT run virus scans. You should also ensure policies about password changes or best methods are implemented before the new leader arrives. They’ll be bringing their ideas for change, so anything commonplace that’s already in place saves them from having to make yet another demand on staff who don’t know them well. 

6. Tell the New Leader’s Story

People feel more comfortable with someone they know details about. Talk to your incoming leader and see if they’d be comfortable with an interview. A video sent to employees or something in the company newsletter may put nervous workers’ minds at ease. 

For example, when working parents see the CEO has three children and likes to coach their soccer team, they may feel they will understand their need to spend time with family or take a day off when a child is ill. 

You could also host town hall-style meetings, where the manager meets with employees in small groups and answers questions they might have. The agenda can have set queries, or employees can ask whatever they’d like. 

7. Seek Emotional Intelligence (EQ)

The World Economic Forum’s 2023 Future of Jobs report showed companies put a high value on EQ as a top quality for leaders. The good news is that you can train leaders and their staff to have higher EQ.

Workshops with role-playing are one way to train employees to actively listen and control their emotions. Current leaders can encourage an atmosphere of cooperation. Ask people to take time to reflect and reassess when they feel emotionally overwhelmed. Offer places for quiet reflection and give the time needed to make crucial decisions. 

Part of a successful leadership transition is encouraging new management to adopt an approach where they actively listen to those who’ve been with the company longer and know how it operates rather than plowing through objections. 

Pave the Way for Successful Leadership Transitions

With CEO turnover running high and many executives feeling overwhelmed, successful leadership transitions may hinge on the little details that make a company run smoothly. Ensure the new manager understands who is in charge of what tasks. 

Create excitement about going in a new direction by focusing on positives such as building brand momentum and job security for everyone. Foster a culture of mutual respect and team attitude and your new hire will fit in with the company culture, making improvements but keeping the things that work well. 

Hear leaders out if they have concerns or problems. Sometimes, having the support and appreciation of founders is all they need to push through a difficult time in the company’s growth and come out on the other side stronger and wiser.