Courtesy of Tech Pluto

The Lessons CEOs Can Learn from Jack Dorsey’s Resignation

Change is inevitable. 

On Monday CNBC broke the news that Jack Dorsey was stepping down as CEO of Twitter. The reasoning for the big move is to allow new leaders to move the company in a transformational direction and is ready to do so without its founder as Dorsey announced on Twitter. 

Some insiders may say it was also due to the attempted coup d’état last year as investors tried to push Dorsey out of the top seat. All in all, the message is clear the founder of one of the largest tech companies in the world has been dethroned either willing or by choice, and what changes will ensue are ones for the market to heavily watch for. 

In just a few hours after the announcement, as Twitter stock prices increased trading halted on the Silicon Valley conglomerate and left a question that needs to be answered. What can CEOs learn from this move? It boils down to one thing. Plan, revisit the plan, and act when the time is right. 

The decision facing every founder is when and if they should leave their position. Some feel fully capable of leading an organization until retirement while others may want to pursue new passions that would pull their attention elsewhere. The best way for CEOs to plan for the next chapter of their role as a leader is to keep two facts in mind. 

#1- What is in the best interest of the company?

 Not all founders make for great CEOs and not all CEOs are founders of the company. The future of the company is based on decisions made in the best interest of the company and not one individual. The market has taught us this example time and time again one case in point is when Nasty Gal founder Sophia Amoruso stepped down in 2015 as CEO. Amoruso built the company from her living room to a global franchise and later realized her position was best suited in the creative seat of the company versus running the day-to-day affairs.  

Jeff Bezos is another powerful example of a founder who led the company from its inception to announce in Q3 2021 he would pivot out of the C-Suite while still having a huge role in the company and many would say making the move well before his time to retire. Both leaders had to decide what’s best for the company along with how they can stay engaged.

# 2 – Elevate new leaders from within 

Chief Technology Officer Parag Agrawal has received the nod to move into the CEO suite, an interim position, and then officially when Dorsey’s term expires in 2022. Having the talent in-house to select from is an advantage as the onboarding time will move quickly to ensure limited gaps in the transition process.

Time will be the true judge of success for Twitter moving forward and the two key points above can prepare you for any executive changes that you may be considering in the future. Along with changes to the CEO role, the more important watch item is coaching your C-Suite team on how to be innovative in new ways to guide your business into the safe harbor as the market projections ahead are still rocky. 

I will be discussing this in detail in our upcoming private CEO closed-door workshop at our offices in West Palm Beach, Florida on December 10th. Join me for the “What Every CEO Must Do to Transform Executive Teams into Next-Gen Leaders” a one-day complimentary workshop designed for CEOs of mid-market and large enterprises. 

 During this private closed-door session with myself and up to twelve CEOs I will share with you:

  • Developing a leadership team of the future to drive measurable results
  • CEO and Chief Human Resources Officer Partnerships: The key to a sustainable company culture 
  • How the CEO role contributes to creating in-house top talent and strengthening employee retention 
  • and much more 

Seating is limited and a few spaces are available. To RSVP www.vosgroup.org/ceoinsights

As you move into 2022 this workshop is a must-attend for CEOs wanting to lead innovative companies into the future market. 

Image courtesy of Tech Pluto