A study by Spencer Stuart, CEO Transitions in India: A Five-Year Look, examines CEO appointments in BSE 200 companies during 2020–2025. It records 33 transitions in 2025, with approximately half involving outgoing CEOs who had served for less than three years. Two-thirds of incoming CEOs in 2025 were appointed internally. The findings bring together two demands on boards: developing credible internal candidates and remaining prepared for a change earlier than anticipated.
The study also reports that only eight of the 128 CEO appointments examined were women. It links the development of a broader candidate pool to access to roles carrying responsibility for an entire business and its financial performance. For nomination and remuneration committees, this makes leadership development below the CEO level an essential part of succession review.
Spencer Stuart emphasises continued board support during the first 12–18 months after appointment. Clear expectations, structured induction and an effective relationship with the leadership team deserve attention alongside the selection decision.
Read the Spencer Stuart study
Preparing successors for the board chair and other leadership roles
A Spencer Stuart survey of more than 560 directors serving on public and private company boards in the United States examines preparedness for changes in board leadership. Although 67% considered their boards very or somewhat prepared for a transition within the next year, a formal succession plan documented or shared with the full board was reported by only 28% of public-company directors and 13% of private-company directors.
Directors who had experienced a smooth transition highlighted agreement on leadership expectations, a prepared successor and an effective handover. These findings support a more explicit discussion about the qualities required of the next chair, the availability of suitable candidates and the preparation they need.
For Indian boards, the review can extend to committee chairs and the timing of independent directors’ terms. Mapping expected departures together helps identify whether a change could remove several experienced directors at once, particularly from the audit or nomination and remuneration committees.
Read the board leader succession survey
Keeping succession planning active between appointments
Korn Ferry’s article CEO Succession Planning: Best Practices for Boards, published on 1 October 2026, draws on its 2026 CEO and Board Survey and advisory experience. The survey reports that 32% of boards discuss succession only once a year. The article recommends regular review of potential successors, opportunities for directors to observe candidates in demanding assignments, and a leadership profile linked to the company’s future strategy.
It also highlights the importance of considering internal and external candidates and preparing for an emergency departure. A useful board discussion therefore needs to establish both who could take charge immediately and who could become ready for the permanent role over time. The nomination and remuneration committee can organise the assessment, while the full board develops a shared understanding of the evidence, the remaining gaps and the support required. Clear communication with the incumbent CEO helps make succession development a normal part of the company’s leadership responsibilities.
Read the Korn Ferry article
