CEO Hiring trends - Snippets #3

 Sharing insights from a CEO hiring specialist. This article focuses on CEO Hiring Trends 2024

As part of the CEO Hiring Trends basis analysis of 524 firms, we also explored the proportion of CEOs who come into the role through external hiring vs internal elevation. You can see our earlier posts at 'Post 2 link' 'Post 1 link'

In 2024, 52.3% of the CEOs came into the role through internal elevation, while the remaining 47.7% were externally hired from the market. And this split has broadly remained steady through the years.

If we compare to the CFO Practice, the long-term split is similar – 48% of the CFOs are hired from the market, with 52% internally elevated.

Clearly, more of the CEOs come through internal elevation than the CFOs – and understandably so. 80% of the companies have a BU structure (as opposed to a functional structure) and with each company having at least 2-3 BUs, there are that many more options to select the next CEO.