On Our Minds

When it comes to a CEO search there’s a lot you can’t completely control: how the market responds, what other searches are happening at the same time, whether a strong candidate ultimately chooses your organization. But there’s also quite a bit that is within your control. Using that power well can help boards find the right person, set up a strong transition, and avoid being caught off guard if things don’t go according to plan.

Here are four areas where boards can take proactive action.

1. Building consensus around a candidate

Consensus is often misunderstood as something to be reached at the end of a long process. In reality, it needs to be built and nurtured from the very beginning. When it breaks down, that’s often a sign the process itself needs a redesign. Across searches, we’ve found the key is a thoughtfully structured and consistently engaged committee. 

When committee members have been present throughout critical stages, they’ve seen the market, heard candidates, and worked through different viewpoints alongside their colleagues. They are in a fundamentally different position than someone who shows up at the end with a veto vote but little context. Uninformed dissent late in the process is one of the most common ways a search is derailed after investing months of time.

It also matters how your board is set up to make decisions. Review your bylaws and understand what’s actually required: Are you seeking consensus? A majority? A supermajority? Getting clear on that early—and designing your feedback-gathering process around it—means you avoid late-stage surprises.

From there, a good consensus-building process has a few key elements:

• Align on core competencies first. This means going deep at the start—not just naming competencies, but getting specific about what they mean and how to prioritize them.
• Do early candidate profile work. Review potential prospects to think through the different archetypes that could bring you those competencies. Each looks different on paper and comes with different tradeoffs. 
• Share synthesis at every stage. Build a shared understanding of the search as it unfolds. That includes ideas about the funnel, the themes, the candidates in play, and what you’ve learned and what you still need to find out.
• Keep consistent voices across stages. Try to have at least one or two of the same people in each round of interviews so you can genuinely compare candidates. Recording interviews with candidate consent is also a useful tool. Committee members who miss a conversation can watch it later and weigh in with the full picture.

2. Getting compensation right

There are many factors at play when your organization is thinking about setting CEO compensation.There’s the external market, your organizational approach to cost-of-labor adjustments, internal equity considerations, and more. And perched on top is the budget reality, which is especially important when you’re thinking about hiring for your future state and securing the individual that can help accomplish your goals. 

There are a few practices that can help:

• Set a range early and build your pipeline around it. Knowing your range before you go to market shapes which candidates you can realistically pursue. 
• Post the range. In most states this is now required by law, but it’s best practice everywhere. Transparency upfront saves time and signals seriousness to strong candidates.
• Lean on your search partner. Most organizations don’t have the budget or bandwidth to commission a full compensation study. But luckily, a good search partner brings in-house data and access to third-party compensation benchmarks that can help you build a defensible, realistic range without starting from scratch.
• Remember everything is data. If candidates are consistently asking for more than your range allows, it might be time to find room to adjust, or think differently about the candidate profile.

3. The founder’s role in a search

Unsurprisingly, there’s no one right answer here. The appropriate role for a founder depends on who they are and what their relationship to the organization will look like going forward.

What makes founder transitions genuinely complicated is that it’s hard to let go of something you built, even if you think you’re ready to, and that can impact judgement and approach. It also leaves candidates wondering if they’ll have the room to lead and set a real vision, or if they’ll be constantly navigating the founder’s shadow.

Our general guidance is:

• Keep founders out of the first round. That sends the right signal to candidates and ensures the initial assessment comes from the right vantage point.
• Bring them in at mid-to-late stages. A founder’s deep organizational knowledge is genuinely valuable later in the process, when candidates can benefit from it.
• Know their post-search role before the search begins. Candidates will ask: Is the founder staying on the board? Will they be an advisor? Will they remain active in fundraising? Having clear, honest answers is essential.
• Think carefully about their vote. If a founder is remaining on the board, they have a vote. If they’re leaving the organization, be intentional about how much weight their input carries in the final decision.

4. Planning for interim leadership

You can’t know when a search will end. Sometimes they take longer than planned, and if you don’t have an interim plan in place, you’re likely to feel pressure to make a decision before you’re truly ready. Or to put the organization at operational risk in the meantime. Neither outcome is acceptable for a hire this important.

A rough rule of thumb: if your current CEO has six months or less, start actively thinking about your interim options. If they’ve already left, you need one now.

When evaluating who that person should be, the most important quality is steadiness. The interim’s job is not to build or transform—that’s for the incoming CEO. It’s to keep the organization stable which means motivated staff, well-maintened relationships, and steady operations. With that in mind: 

• An internal candidate who doesn’t want the permanent role is often the best option. If an internal candidate does want the permanent role, think carefully about how you manage that dynamic.
• Professional interims are a strong alternative. There are experienced leaders who do interim work as a practice and are specifically trained for it.
• Board members can step in, but it’s rarely the first choice. It can work in certain situations, but blurring the governance and management line introduces its own complications.

Final thoughts

CEO searches are among the most consequential processes a board will navigate. You can’t control everything, but the boards that invest in the things they can control tend to come out the other side with a stronger hire, a smoother transition, and a team that’s genuinely ready for what comes next.

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On-Ramps is a search and consulting firm that serves mission-driven organizations in the social sector. We are deeply committed to helping create diverse, equitable, and inclusive workplaces. Together with our clients, we thoughtfully consider and address these topics throughout every step in our process. 

Want to talk through your CEO search process? Reach out to Sarah Grayson at info@on-ramps.com.