Unplanned CEO turnover can harm financial results of portfolio companies

“These [investors relying on sources that focus on CEOs’ past performance and current (subjectively assessed) characteristics] are relatively unhelpful for evaluating important dimensions of CEOs’ ability to deliver high performance in the future, which will rely on the potential to learn and change – that is cognitive and emotional flexibility – and cultural fit.” stated Mark Veldon, a Managing Director at AlixPartners in the UK.