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Prevent Derailment of Your Company's New Leaders

Leigh Branham

Given the investment companies typically make to recruit and relocate new executives, it is amazing how few invest in properly assimilating and retaining them.

Consider that four out of 10 new leaders fail in their first 18 months on the job. Almost 50 percent of new presidents of public U.S. companies leave their respective employers within four years. Further, the loss/replacement of a new leader is typically two to 10 times annual base salary, depending on indirect costs such a damaged customer relationships, poor employee morale and lost business opportunities.

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