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Another difference we see is that in only 32% of firms which appoint interim CEOs, the departing CEO was also the Chairman of the board (so-called CEO duality).
Therefore, lower ratio of departing CEO duality in firms appointing interim CEOs is possibly due to lack of succession planning, and lower management quality.
Around ten percent of the observations are missing departing CEO duality.
Departing CEO duality is the single most important predictor of permanent CEO appointment.
The differences in board size, percentage of outside directors and departing CEO tenure are no longer significant.
For his farewell, Paul Otellini, Intel's departing CEO, chose the interview format with the Atlantic Monthly's senior editor Alexis Madrigal.
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Further, the departing CEOs have lower duality ratio and shorter tenure.
We also see that departing CEOs have a shorter tenure in interim appointment cases, which is consistent with the literature (Brickley et al., 1997; Chen et al., 2015).
Unlike many departing CEOs, Bob created a feeling in his executive team that every member had some responsibility for the transition.
Among the world's 2,500 biggest public companies, the average job tenure for departing CEOs has fallen from 8.1 years in 2000 to 6.6 years today, according to Booz & Company, a consultancy.
Firms with succession plans are also 17percentt more likely to retain their departing CEOs during the transition and significantly less likely to experience departures by non-CEO members of their top management teams.
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