The Incredible Shrinking CEO –Agenda
January 29, 2024
The average tenure of the CEO has become much shorter, according to research by Farient and Corporate Board Member. This means boards need to think creatively and proactively to ensure sudden CEO departures don’t wreak havoc on the company. In this Agenda article, which focuses on the Farient/CBM research “Turnover at the Top: Are Boards Ready?” and a recent brief on the report, Farient COO and Partner RJ Bannister delves into the implications and required action steps for boards. Among these, says Bannister, are better identifying and developing internal executive talent, and paying closer attention to corporate culture (seen as a key driver in executive retention or lack thereof in the research). Ultimately, boards should consider tying culture metrics to executive pay as a way to strengthen the conditions for attracting and keeping talent.
About R.J. Bannister
Partner, COO, Farient Advisors/GECN Group, New York
R.J. has 30-plus years of experience consulting to the S&P 1500 and large private companies representing the board’s compensation committee or management, and sometimes both parties. R.J. has worked with hundreds of companies on their total rewards strategy and executive compensation philosophy to align pay programs with business strategy. His ability to create alignment results from deep insights on industry and compensation trends; sophisticated financial, market, and compensation analytics; and impactful, easy-to-implement solutions. He has worked in nearly every industry sector and extensively with private equity companies. Before joining Farient, R.J. was the founder and CEO of Bannister Group LLC, an executive compensation and total rewards consultancy he founded in 2019 after retiring as a managing director from Willis Towers Watson. R.J. holds an MSc in economics from the London School of Economics and a BS in economics from the University of Pennsylvania’s Wharton School with a triple concentration in corporate finance, strategic management, and international political science.