CEO turnover rose 39% in March 2009, as 114 CEO departures were announced during the month, according to Challenger, Gray & Christmas.
ExecuNet’s 17th Annual Executive Job Market Report reiterates that the down economy is taking a toll on all executive employment. Here is one significant highlight:
The average executive tenure continues to decline from 3.2 years in 2007 to 2.8 years in 2008; a result of corporate belt tightening and increasing demand for different skill sets in key leadership functions.
Contrast this finding with the Mellon Learning Curve Research Study which found Median Time to Full Productivity for external executives at 26 weeks and internal executives at 16 weeks.
The gap between ramping up and leaving the organization is closing. These high executive churn rates are a costly productivity drain on the organization. Investing in succession planning, talent alignment, and onboarding can hasten that time to productivity and increase results.
