When a credit union CEO announces his or her impending retirement, it’s only natural—and, you would think, a good thing—that one or more internal candidates might throw their hats into the ring. But what happens if someone doesn’t make the cut?
Strategies for producing the best possible outcome are the subject of “Not the Chosen One.”
According to our cadre of experts, limiting bad feelings on the part of the passed-over executive and minimizing disruption during the leadership transition start with a good search process. Make it clear what the credit union is looking for in its next CEO, ensure the selection is objective and be honest with any unsuccessful internals about where they fell short and how they might sharpen their skills going forward.
From there, whether the executive will stay at the credit union or move on “depends on the individual and their situation,” says Charles Shanley, executive vice president of JMFA, Baytown, Texas, a CUES Supplier member and CUES strategic provider. “If that person is primed, ready and their dream is to become a CEO, there’s often not much you can do to make them stay.”
Still, the article suggests, there are ways to smooth the situation and encourage valued executives to continue contributing to the credit union at a high level during this critical transition period.
Of course, having two or more potential CEOs on your credit union’s staff is not a bad problem to have! Even though those not promoted might leave for another CEO job when the time is right, the fact that you’ve developed these individuals to that point says a lot about the credit union’s talent management abilities.
Spotting gifted staff to groom for management positions and eventually top leadership roles is the first step in this process and one best not left to chance. CUES Next Top Credit Union Exec challenge is a great way for rising stars, age 35 and under, to take their ideas and games to the next level. With executive coaching along the way and an opportunity to compete for three years of CEO Institute tuition on an international stage, NTCUE is a not-to-be-missed opportunity.
Nominations for 2014 CUES Next Top Credit Union Exec are open May 13-June 6. Think about your credit union’s promising young leaders and nominate one or more today—it only takes a moment at www.ntcue.com. You’ll both be glad you did!
Mary Auestad Arnold
Editor and Publisher