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If the board is unhappy with their CEO, what role does HR have to play?
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4 Answers
Human resources may play a tactical role when the board is unhappy with its CEO, but I have never seen HR directly involved in the critically important, tough conversations that need to take place between a board and CEO in a situation like this. This is a time when communication should be frank, direct, and unsparing. That includes communication in both directions by the way. Removing "indirect" parties from these conversations only helps the board and the CEO get to the best result for the business.
Those conversations may reach a point where they are no longer productive and another party should step in, but even in this situation I haven't seen HR step in. It's usually a different member of the board who will step in to try to resurrect the conversation or manage a termination. It's in this latter case that HR can play a more direct role in helping the board understand many of the points around transitioning the CEO out of the business and finding a replacement.
A true HR executive is expert at performance management problem diagnosis, experienced in active listening, and competent as a mediator of human conflict resolution. Such a person can thus be a neutral facilitator for clear productive communications. Without taking sides, they can clarify and optimize options for mutually acceptable solutions. They will also be sensitive to the legal and operational process implications of employment terms, termination situations, replacement costs, search activities, and the timelines involved.
Agree with Scott that HR is almost never involved in this scenario, but I was answering the specific question of what role HR could play. Unlikely, but possible...
Absent the presence of a SuperHR exceutive with unprecedented influence with board and CEO, all HR could do would be to facilitate opening the channels of communications and assuring clarity from both sides.
HI Caty - I agree with both Jim and Scott. However, what I've learned is that Board's often need - and actually even sometimes want - HR advice and support when they do need to work with a CEO in regards to performance. There is no question that they are rarely HR pros themselves!
As Scott indicated, working with internal HR is almost impossible, and surely awkward. If the Board can contact an external HR expert, this person can provide them with guidance on how to mange the process, how to respond to the CEO's reaction to performance guidance, and, if worse comes to worse, provide support and guidance for a transition.
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