As studies have observed meaningfully improving outcomes from innovation and effecting change starts at the top.
To answer this question, Spencer Stuart analyzed the performance of 1,300 CEOs since the turn of the millennium and found that –
- 85% of CEOs were previously a – Divisional CEO, CFO, COO, person below the 2nd layer of management.
- The conclusion – The person below the 2nd layer of management (referred to as a “Leapfrog Leader“) produced the best outcomes with 41.2 % ranking in the top quartile of CEOs for performance.
- Former CFOs were the least likely with a ranking of 7.9 %
- Former Divisional CEOs turned out to be the safest bets. While they were less likely to overperform than “Leapfrog Leaders“ they also were the least likely to underperform of all four groups.