Strategic Board Leadership & Executive Talent Acquisition
Navigate unprecedented business disruption with the right governance structure and executive talent to drive long-term value creation and enhance stakeholder confidence.
Explore Board OpportunitiesBoard Oversight Priorities for 2025
As companies face unprecedented disruption and uncertainty, board oversight and corporate governance processes will be put to the test. The following areas require focused attention in 2025:
Geopolitical & Economic Disruption
Maintain focus on how management is preparing to address risks and opportunities related to geopolitical and economic shifts and global disruption.
GenAI Governance
Understand the company's generative AI strategy and related risks, and closely monitor the governance structure around deployment and use of the technology.
Data Governance
Probe whether the company's data governance and cybersecurity frameworks are keeping pace with the growth and sophistication of data-related risks.
The Critical Role of Executive Talent in Driving Strategic Success
Few board responsibilities are more important than hiring and replacing the CEO—a reality that continues to generate media attention. With CEO changes remaining near an all-time high, boards must have robust succession planning processes that identify the skills, traits, and experiences necessary for future leadership.
Institutional investors have been vocal about the importance of human capital and talent development programs and their link to strategy. Companies face increasingly difficult challenges in finding, developing, and retaining top talent at all levels of the organization.
CEO
Succession planning should be an ongoing process involving a robust pipeline of talent
GenAI
Increased demand for technology professionals with AI-related skills requires strategic talent acquisition
Risk
Companies need specialized expertise to manage emerging business risks and regulatory requirements
Strategic Executive Recruitment Process
In our recent conversations with directors, they have emphasized the importance of devoting significant time to identifying "what" the company needs in future leadership before addressing the "who." The process should include:
- Developing a list of the top six or eight skills, traits, and experiences needed in leadership roles
- Considering the impact of new technologies like GenAI on business strategy
- Evaluating how geopolitical turbulence and regulatory changes influence leadership requirements
- Assessing the type of culture needed going forward and how this impacts leadership criteria
- Identifying what skills and traits are non-negotiable for each position
Executive search and talent acquisition specialists help boards identify potential internal and external candidates, recognizing that the list of potential candidates may evolve over time as business needs change.
C-Suite Experience/Skills in High Demand
Chief Executive Officer (CEO)
Strategic leadership with digital transformation capabilities
- Setting organizational vision and strategy
- Managing board relationships and stakeholder communication
- Driving digital transformation and innovation
- Balancing short-term results with long-term sustainability
Chief Financial Officer (CFO)
Financial expertise with strategic business partnership focus
- Financial strategy aligned with corporate objectives
- Capital allocation decision-making
- Data analytics and financial forecasting
- Risk management and strategic planning
Chief Information Officer (CIO)
Technology leadership with cybersecurity governance expertise
- Digital strategy development and execution
- Technology infrastructure management
- Cybersecurity and data protection
- Enterprise technology integration
Chief Operating Officer (COO)
Operational excellence with supply chain resilience specialization
- Supply chain optimization and resilience
- Operational efficiency and productivity
- Cross-functional alignment and execution
- Business continuity planning
Evolving Executive Titles
Chief AI Officer (CAIO)
GenAI strategy development and responsible deployment
- AI strategy development and implementation
- Ethical AI governance and risk management
- Cross-functional AI integration
- AI talent acquisition and development
Chief Risk Officer (CRO)
Enterprise risk management and regulatory compliance expertise
- Comprehensive risk assessment frameworks
- Regulatory compliance management
- Risk mitigation strategy development
- Crisis management and business continuity
Chief Data Governance Officer (CDGO)
Data quality, privacy, and security governance frameworks
- Enterprise data strategy development
- Data privacy and protection programs
- Data quality and integrity management
- Regulatory compliance for data handling
Chief Talent Officer (CTO)
Strategic talent acquisition and development in high-demand areas
- Talent strategy aligned to business objectives
- Leadership development programs
- Workforce planning and succession management
- Culture transformation and change management
Executive Recruitment Screening Criteria
Strategic Alignment Assessment
When conducting executive searches, boards and talent acquisition teams should evaluate candidates against these key dimensions:
Core Leadership Capabilities
- Strategic vision: Ability to navigate geopolitical and economic disruption
- Digital fluency: Understanding of GenAI and technology governance
- Risk management: Experience with data governance and cybersecurity
- Stakeholder management: Building trust and protecting company reputation
- Team development: Track record of talent acquisition and retention
Specialized Industry Knowledge
- Regulatory expertise: Understanding of evolving policy landscapes
- Risk competency: Enterprise risk management and governance experience
- Supply chain insight: Experience with resilience and localization strategies
- Cultural alignment: Values and behaviors that match organizational needs
- Board collaboration: Experience working effectively with governance bodies
Executive Recruitment Process Guide
1. Define strategic needs: Identify the skills, traits, and experiences required for future company success
2. Develop role profiles: Create detailed position descriptions aligned with strategic objectives
3. Source diverse talent: Ensure candidate pools reflect diversity of skills, experience, thinking, gender, and race/ethnicity
4. Rigorous assessment: Evaluate candidates against established criteria using structured interviews and scenarios
5. Cultural alignment: Assess fit with organizational values and leadership approach
6. Strategic onboarding: Develop comprehensive integration plans to ensure leadership success
Board Structure and Oversight Evolution
Governance Structure Recommendations
The increasing complexity and fusion of risks unfolding simultaneously requires a more holistic approach to risk management and oversight. Boards should consider:
- Evaluating whether committee scope creep is a concern and consider transferring responsibilities to another committee
- Assessing if another board committee has the time, composition, and skill set to oversee specific risk categories
- Determining if there's a need for an additional committee, such as a technology or risk committee
- Identifying risks for which multiple committees have oversight responsibilities and clearly delineating each committee's role
The full board and each standing committee should play a key role in ensuring that management's strategy, goals, objectives, and incentives are properly aligned with performance metrics and company culture.
Board Composition and Executive Recruitment
Board composition, diversity, and renewal should remain a key area of board focus in 2025. Boards should:
- Develop and maintain a high-performing board that adds value through proactive board-building and diversity
- Ensure diversity of skills, experience, thinking, gender, and race/ethnicity
- Implement succession planning for directors and board leaders (lead director and committee chairs)
- Conduct regular board and individual director evaluations
- Have processes for addressing underperforming directors
Executive recruitment specialists can help boards "tell their story" about board composition, skill sets, leadership, and functioning to institutional investors and other stakeholders.
