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I think you are right that the skills to be a successful CEO are rare, but I think the main problem is that the hiring process for CEO is so incestual that the
by jandrese 4y ago
I think you are right that the skills to be a successful CEO are rare, but I think the main problem is that the hiring process for CEO is so incestual that the majority of the people who would be good for the job aren't even considered. Instead the applicant pool consists of "son of current CEO", "son of CEO's favorite politician", and several "CEO that is currently failing a different company". The applicant pool feels small because they never look beyond the boundaries of "billionaire families who go to the same country club".
There are a few CEOs that seem to truly make a difference, and maybe those would be worth the money, but for the most part companies are grossly overpaying for people who are mediocre to terrible at the job and will deploy the golden parachute in a couple of years to go fail at a different company.
- startupsfail 4y agoThe CEOs that belong to the club (network) can draw on the resources available to that network. It is widely believed that this ability is more important than the technical skills. It used to be correct when e-mail, LinkedIn or Google were not a thing. Now this is simply a cargo cult.
- jandrese 4y agoThat smells like rationalization to me. "No candidate outside of my personal circle of friends could possibly do this job because being in the circle is required to do the job."
- lenzm 4y agoMore like self fulfilling prophecy. The clique preferentially favors doing business with each other causing their businesses to perform better.