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CEO Turnover Is at a Record High—Is Your Leadership Pipeline Ready?

CEO turnover in S&P 500 companies is approaching 15%—the highest in decades. For many organizations, this is not just a headline; it is a wake-up call. Succession plans are thin, internal pipelines are dangerously underdeveloped, and the risk of leadership gaps looms larger than ever.

Does this sound familiar? Perhaps your organization has faced unexpected departures, or you have watched capable leaders struggle to step up when the moment demanded it. When leadership gaps appear, the impact is felt across teams, projects, and organizational performance.

The solution may seem obvious, but it is often overlooked: developing talent and building robust leadership pipelines.

The Stakes Are High

  • High turnover at the executive level is not just a problem for CEOs. It reflects a broader issue: organizations often lack leaders ready to take on critical roles at every level. When rising leaders are not prepared:

    • Projects stall: Teams wait for direction, slowing progress and affecting outcomes.

    • Employees disengage: Uncertainty about leadership can erode trust and morale.

    • Opportunities are missed: Organizations struggle to respond quickly to market changes.

    Leadership gaps rarely appear overnight. They creep in quietly, as promising talent is promoted without preparation, critical skills are left undeveloped, and succession planning is treated as a formality rather than a strategic imperative.

Leadership Development as a Strategic Solution

Leadership development is not a perk or optional program; it is the backbone of organizational resilience. Developing your emerging and current leaders ensures that when transitions occur, the organization is prepared. It also fosters engagement, strengthens retention, and builds a culture of accountability and high performance.

Succession readiness: Ensure capable leaders are ready to step into critical roles.

  • Stronger internal pipelines: Reduce dependency on external hires for senior positions.

  • Increased engagement and retention: Employees are more likely to stay when they see growth opportunities.

  • Improved performance: Leaders trained in communication, influence, and decision-making drive better results.

Practical Strategies for Building Leadership Pipelines

1. Identify High-Potential Talent Start by recognizing employees who demonstrate leadership potential. Look beyond current performance—assess problem-solving abilities, interpersonal skills, and adaptability. These individuals are your future leaders.

2. Provide Structured Learning Opportunities Programs like FOCUS Training’s Accelerate and Elevate Institutes give emerging and mid-level leaders the tools they need to grow.

3. Create Mentorship and Coaching Programs Pair rising leaders with experienced leaders who can provide guidance, feedback, and insight. Mentorship accelerates learning, builds confidence, and exposes emerging leaders to real-world leadership challenges.

4. Offer Stretch Assignments Provide opportunities for high-potential leaders to take on projects outside their comfort zone. Assignments that challenge them strategically and operationally build skills, confidence, and credibility.

5. Monitor and Adjust Development Plans Leadership development is an ongoing process. Regularly assess progress, adjust development plans, and ensure leaders are receiving the support they need. Incorporate feedback loops, 360-degree assessments, and reflection exercises.

Start Strengthening Your Leadership Pipeline Today

CEO turnover and leadership gaps may be headline news, but they do not have to be your reality. The fix is within your control: develop your leaders now, before gaps become crises.

Investing in leadership development ensures that your team is prepared for the future, that rising leaders have the skills to succeed, and that your organization remains resilient no matter what challenges arise.

Ready to talk about next steps for your team or organization? Our team at FOCUS Training can help you design a tailored leadership development strategy that builds internal pipelines, strengthens succession planning, and equips your leaders to succeed today—and tomorrow.

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We believe leadership matters

FOCUS Training is an interactive leadership development company that has been helping people achieve excellence through understanding and action since 1992.

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Milwaukee, WI 53204