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Within the second quarter of 2024, CEO departures reached their lowest stage for Q2 for the reason that World CEO Turnover Index started monitoring in 2018, in line with the Russell Reynolds Associates (RRA).

Solely 51 CEOs left their roles within the second quarter this yr, in line with the index, barely decrease than the 52 CEOs who departed within the earlier quarter.

Deliberate CEO successions accounted for 23% of all outgoing CEOs within the second quarter, greater than double the six-year common of 11%.

CEO dismissals, however, have been down by greater than half the quarterly common to only 12% globally this quarter, in line with the report.

_{Supply: Russell Reynolds Associates’ World CEO Turnover Index}

On the subject of CEO appointments, 78% of them have been inner promotions.

“We’re beginning to see the advantages of a long-term cultural shift in the direction of succession planning and the promotion of inner candidates,” mentioned Emma Combe, Head of UK Board Apply at RRA, in a press release.

“With the appropriate preparation, inner candidates recurrently outperform even skilled exterior candidates due to their deep institutional data and powerful cultural ties to their organisation.”

Politics affecting boardrooms

As CEO departures dropped to record-low ranges within the second quarter, the RRA additionally discovered that there have been no CEO departures or appointments within the FTSE 100.

_{Supply: Russell Reynolds Associates’ World CEO Turnover Index}

The RRA attributed the dearth of CEO motion to the boards wanting stability amid anticipated political disruptions throughout Europe.

“We’re seeing boards attain for consistency in management to steer them by way of these transitions,” mentioned Laura Sanderson Co-Head of Europe, Center East & India at RRA, in a press release.

“With sustainability coverage, taxation and progress changing into extremely politicised points, the flexibility of management groups to pivot shortly to the surprising will probably be key.”

Ladies as CEOs go up

In the meantime, the report additionally discovered that there have been 5 girls appointed as CEOs out of 51 world appointments made within the second quarter.

The share of ladies in CEO positions additionally grew by 7.7% globally from the primary quarter of 2018 to the second quarter of 2024.

“To realize true gender steadiness on the prime, we have to create systemic modifications to how succession is deliberate, managed, and executed,” the RRA mentioned in its report. “The scope of CEO candidacy must be widened and organisations have to take the preparation of ladies for CEO roles much more severely—investing extra of their girls leaders, rising pipelines, and addressing bias.”